County Commissioner Joe Graham on Wednesday said PILOT (payment in lieu of taxes) tax breaks for downtown apartment and residential projects are over as far as he is concerned.
He said, "It was my understanding that there was a goal of getting about 2,100 apartment units downtown and then the PILOTs would go away.
"The PILOTs did what they were suppose to do and now they're over."
He commented after Mayor Andy Berke on Tuesday said at a press conference that the city and county will only consider payment PILOT agreements for housing developments with a much higher affordability requirement than ever before.
Commissioner Warren Mackey questioned the statement by Commissioner Graham, asking, "You don't want to see development?"
Commissioner Graham responded that he is "100 percent for development."
He said, "There were some good PILOTs that were necessary tools and brought projects that were of value in building up downtown."
However, he said those projects "do not bring jobs" as industrial projects do.
Commissioner Mackey said, "Sometimes you change your goal. You achieve one goal and you try to reach a higher level."
He said, "Many of these projects would never have happened unless there were incentives."
Commissioner Tim Boyd said PILOTs "have certainly done their job downtown and I am in favor of doing away with them."
But he said the commission has an obligation to look at projects in such areas as the Southside and East Chattanooga that may require incentives "to get a developer over the hump."