Knoxville

Kingsport Clarifies Misunderstood "Economic Development Fee" at Rural King

AI Assisted Icon
Published on May 28, 2025
Kingsport Clarifies Misunderstood "Economic Development Fee" at Rural KingSource: Google Street View

A new fee at the Rural King store has sparked public confusion and prompted the City of Kingsport to state clarification. Contrary to what some residents believed, this "economic development fee" is not, in fact, a city charge. It's a 1% surcharge added by Rural King to every purchase, a decision made independently by the business. The proceeds from this fee are earmarked for funding improvements within the Rural King development itself.

Steve Bower, Kingsport Economic Development Director, shared that there was a misunderstanding among the community about the fees' origins and destination. "We understand there may be some confusion regarding the “economic development fee” being charged at Rural King," Bower said, according to the official city statement. Specifying the city's non-involvement, he added, "This fee is not a part of any economic development project by the City of Kingsport, rather it is a private fee implemented at the discretion of the business."

The fee first drew widespread attention when a screenshot of a sign explaining the charge was shared on social media over the weekend. This led to a flurry of inquiries from community members, with many taking to online forums and platforms to express their concerns and seek answers.

In their response, city officials elaborated on their stance, stating they have been in communication with Rural King about the fee. "We have been in communication with Rural King and greatly appreciate their investment but look to them to add clarification regarding their fee," relayed Bower in the city's release. It seems the onus of explaining this charge rests with Rural King, as the city has made its limited role clear and directed further queries to the store in question.

As the story continues to unfold, customers at Rural King and members of the Kingsport community are waiting to see if and how the company will address the public's concerns directly. Meanwhile, city officials appear to have taken steps to ensure transparency and to distance themselves from any potential fallout related to this controversial fee.