If I were Jack Daniels, I would threaten to open up another distillary in Kentucky or Georgia and start shifting production there. Pay their fee for the time being if no resolution is found, maintain a good memory of the event. If after the other distillary is open, the county wthdrawals the tax... just say No, unless the county pays them to be there. They are already are good "citizen" company.
The shift would result in laying off people from in and around Lynchburg and essentially doom the county. There is little else in that county except farming. Lots of distillaries in KY and lots of good springs in GA that should meet their specs. Keep the Distillary in Lynchburg as the tourist site. If necessary, move the headquarters.