First PILOT Tax Break Of The Kelly Administration Planned For Major Manufacturing Project Alstom Site

  • Tuesday, June 22, 2021

The first planned PILOT (payment in lieu of taxes) tax break of the Kelly administration is planned for NOVONIX, which on announced that the company plans a $160 million expansion of its Chattanooga manufacturing operations while adding 290 jobs.

Jermaine Freeman, interim city economic development administrator, said the City Council will be briefed next Tuesday on the request.

He said the project "is in a once very industrialized area."

It will include a "community benefits" component, he said, though by state law government cannot direct that a company hire a certain number of workers from a certain area.

Mr.

Freeman said a "clawback" will also be included to seek to gain recovery of forgiven taxes if a company does not live up to its jobs promises.

City Councilwoman Jenny Hill said Mayor Tim Kelly had committed during the election to a very transparent process involving PILOTs.

She said she and Councilwoman Raquetta Dotley had commented to providing public hearings for PILOTs.

Councilwoman Demetrus Coonrod, who heads the economic development committee, said the commitment by the two council members was "throwing other council members under the bus."


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