Fee-in-lieu of ad valorem tax; revise distribution of for certain projects.

HB 1635 amends Mississippi tax law to require that for projects with over $1 billion in capital investment, a portion of the fee-in-lieu payment (instead of property taxes) must be deposited into a new "Mississippi Strategic Development Fund" for projects entering agreements after July 1, 2026. This fund, managed by the Mississippi Development Authority, will use legislative appropriations to support statewide infrastructure, economic development, and quality-of-life improvements. The bill directly affects large-scale developers and local governments entering fee-in-lieu agreements, as it redirects a portion of their payments toward this new fund rather than local budgets. It also updates existing tax agreement rules but does not change the minimum fee-in-lieu amounts or eligibility thresholds for smaller projects.