GE to repay $6M in Chattanooga for closed plant's tax breaks

By The Associated Press

A General Electric company will repay Chattanooga and Hamilton County $6 million after closing a manufacturing plant purchased from a French company that received millions in tax breaks.

 

CHATTANOOGA, Tenn. (AP) — A General Electric company will repay Chattanooga and Hamilton County $6 million after closing a manufacturing plant purchased from a French company that received millions in tax breaks.

The Times Free Press reports (http://bit.ly/2l4GmCK ) GE Power will pay Chattanooga $3.3 million and the county $2.7 million.

Local officials wanted GE to repay $13 million in tax breaks awarded after a 2008 payment-in-lieu-of-tax agreement with France-based Alstom to expand in Chattanooga.

About a year ago, GE bought Alstom's power operations and announced closure of the steam turbine manufacturing plant and two adjacent facilities, a loss of about 235 jobs. GE said it would keep 50 Chattanooga workers.

Chattanooga Mayor Andy Berke says the agreement didn't specifically require company repayment if plans fell through.

Berke says GE believed the commitment was Alstom's.

Did You Like this Article? Get All the Energy Industry News Delivered to Your Inbox

Subscribe to an email newsletter today at no cost and receive the latest news and information.

 Subscribe Now

Whitepapers

Latest PennEnergy Jobs

PennEnergy Oil & Gas Jobs