by SAVANNAH YAWN
Mississippi has long offered a range of tools for companies considering new investment or expansion in the state. The list includes tax credits, exemptions, workforce training support, infrastructure assistance and programs aimed at specific industries or project types.
MFLEX, the Mississippi Flexible Tax Incentive Plan, is designed to make that toolbox easier to use.
The Mississippi Development Authority (MDA) describes MFLEX as a streamlined, universal tax credit built around a simple premise: one application and one universal tax credit. The program is available to both new companies locating in Mississippi and existing businesses planning to grow in the state. To qualify, a project must include more than $2.5 million in planned capital investment and create more than 10 jobs.
Rather than asking a company to sort through multiple applications for separate incentives, MFLEX allows an eligible business to submit one form to MDA. The credit is calculated using planned capital investment, number of new jobs and annual payroll. Once approved, the company receives a credit that can be used to offset Mississippi state tax liabilities in the way that works best for that business.
Flexibility is the point. MFLEX can be applied to state income, sales and use, franchise and payroll withholding tax liabilities, and credits can be used over 10 years, giving companies more room to match the credit to the way their project is actually structured.
The program’s broad eligibility also allows it to serve different kinds of projects including manufacturers, warehouse and distribution businesses, research and development facilities, regional or national headquarters, air transportation and maintenance facilities, data and information processing centers, technology-intensive enterprises, telecommunications businesses and data centers.
Competing for Major Investments
Recent project announcements show MFLEX working in two directions at once: helping Mississippi compete for large-scale industrial investments and supporting companies already rooted in local communities.
On the large-project side, one of the biggest recent examples of MFLEX in action is Siemens Energy’s expansion in Rankin County. The company is investing up to $300 million and creating up to 300 jobs with a new facility at West Rankin Industrial Park in Pearl, where it will produce electrical grid components and add to its existing capacity in the county.
“The equipment that Siemens Energy makes in Mississippi is in high demand throughout the United States as we build out the electrical grid to deliver more power to homes and business that need it,” said Matt Neal, president of North America for Siemens Energy. “Siemens Energy is going to manufacture more high-voltage switchgear here and our continued success in this state will require hiring and training more workers.”
Other major announcements point to the same pattern. In Tupelo, Swiss manufacturer Liebherr announced a $176 million investment and at least 180 jobs, with potential for up to $238.4 million and 342 jobs. In Saltillo, Spartan Composites announced a $49 million manufacturing project creating 45 jobs. In Batesville, GE Aerospace is expanding manufacturing capacity through projects that include a recently announced $11 million investment and are expected to create 100 jobs. MDA assistance for each project included MFLEX.
GE Aerospace is expanding its manufacturing capacity in Batesville by investing $11 million and creating 100 jobs. MDA assistance includes MFLEX.
Photos courtesy of GE Aerospace
GE’s Batesville expansion also shows how MFLEX can support sophisticated manufacturing work already happening in the state. The project will add industrial equipment, precision measuring tools, high-precision machines and inspection technology to support production of components used in aircraft engines, military fighter jet engines and helicopter engines. Brian Rapien, GE Aerospace plant leader for the Batesville Composites Operation, said the site has grown along with the company’s role in aviation manufacturing.
“From the start, the GE Aerospace site has been at the forefront of manufacturing cutting edge parts that are key for the future of aviation,” Rapien said. “The site’s role and number of employees continues to grow … We are grateful for the partnership we have with the county and Mississippi to strengthen manufacturing in the region.”
Supporting Companies with Mississippi Roots
The same incentive shows up in more local, homegrown growth stories.
In Batesville, Azuria Water Solutions broke ground in May on a new 72,000-sq.-ft. Underground Solutions manufacturing facility. The $80 million project is expected to create 50 jobs and will be the first U.S. plant dedicated exclusively to the production of Fusible PVC Pipe, according to the company’s announcement. The facility will be built next to Azuria’s existing Insituform Technologies manufacturing plant, which has operated in Batesville since 1988 and employs more than 150 area residents.
Azuria Water Solutions’ $80 million Underground Solutions manufacturing facility in Batesville is expected to create 50 jobs and is supported by Mississippi’s MFLEX incentive program.
Photo courtesy of Azuria Water Solutions
“The MFLEX incentive was one of several factors that influenced our decision to expand in Batesville,” said Azuria Water Solutions EVP and Chief Commercial Officer Robert Moorhead. “The program reflects Mississippi’s commitment to fostering manufacturing growth and creating a business environment where companies can invest with confidence. Combined with the strong local workforce, strategic location, and partnership from state and local leaders, the incentive helped make another facility in Batesville a compelling opportunity for our company’s long-term growth.”
In Hazlehurst, poultry processing and portioning company DG Foods is investing $1.19 million and creating 32 jobs. The expansion includes new automated chicken nugget portioning equipment that will allow the company to increase nugget capacity in response to customer and consumer demand. DG Foods opened its original 55,000-sq.-ft. Hazlehurst facility in 2004 and currently employs approximately 375 people. MDA is assisting through MFLEX, and Copiah County also is assisting with the project.
“DG Foods is grateful for the support from the Mississippi Development Authority. This partnership has played an important role in our growth, and we appreciate the opportunity to work together on this project,” said DG Foods CEO Chris Carter. “We are excited to invest further in our Hazlehurst operations, strengthen our capabilities with new technology and create additional jobs for the community we call home.”
Beyond MFLEX
MFLEX is one part of a broader incentive toolbox. MDA’s FY2025 Incentives Report says Mississippi incentives are typically delivered through infrastructure assistance, workforce training and statutory tax exemptions, with some projects also receiving help defraying capital costs. The report also notes that MDA can support companies with permitting assistance, site and building identification and introductions to other businesses.
The scale of the state’s incentive toolbox is significant. From FY2020 through FY2025, the report lists 144 grants and loans funded through key programs, representing approximately $1.46 billion in state funds awarded, 20,509 jobs committed and more than $22.6 billion in committed investment. The report calculates that for every state dollar committed toward an economic development project, $14.93 is invested from other sources.
Those programs include several tools that can matter alongside or apart from MFLEX. The Mississippi Industry Incentive Financing Revolving Fund, for example, supports major projects and shows a total bonding capacity of $534 million, with $413 million in bonds issued to date and 3,605 jobs committed. The ACE Fund, another major program, has supported projects representing nearly $2.5 billion in committed investment and 6,799 jobs, according to the FY2025 report. Development Infrastructure Program grants support publicly owned infrastructure tied to business location and expansion, while the Economic Development Highway Program helps fund access roads for large capital investment projects.
Mississippi also maintains tax incentives aimed at specific business needs and project types. Manufacturers that have been in business in Mississippi for more than two years may qualify for a Manufacturing Investment Tax Credit equal to 5% of eligible investment. Headquarters projects can qualify for credits tied to new headquarters jobs or relocation costs. The state also lists incentives for GAP areas, aerospace enterprises, clean energy enterprises, data centers, broadband technology, port usage and research and development skills.
Together, those tools give Mississippi more than one way to support business growth. MFLEX adds a simpler, more flexible front door to that larger structure, while the state’s broader incentive programs can address the workforce, infrastructure, site and industry-specific needs that shape individual projects.