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State, local officials offer $1.5B to land Rivian project

J. Scott Trubey and Greg Bluestein, The Atlanta Journal-Constitution on

Published in Automotive News

During Sunday’s Atlanta Press Club debate, Kemp said the same sorts of incentives were used in 2006 to bring the Kia auto plant to West Point when Sonny Perdue was governor.

The $400 million-plus package for Kia in today’s dollars would be worth about $570 million.

The result, Kemp added, is “great-paying jobs going to rural Georgia.”

New details

The full details of the package emerged Monday, months after the project was announced at a celebratory press conference at the state Capitol. The timing comes just after Kemp and Perdue completed their third and final televised debate.

By far the biggest piece of the package involves a $700 million-plus local tax abatement approved by county officials, according to a state offer letter.

 

The state also agreed on a $21 million direct grant for the project, along with nearly $90 million for a Quick Start training center and job recruitment program. Another $111 million will be spent on land and grading for the project.

State officials committed to spend about $30 million on a new I-20 interchange and roughly $20 million on nearby road and rail improvements. About $7.3 million will be spent to reduce the environmental impact on nearby wetlands and streams.

Some of the most generous perks in the deal were spelled out in Georgia law, including about $200 million from a recently-altered “mega tax credit” program that offers incentives at $5,250 per job annually for five years for companies readying major investments in Georgia.

Other incentives written into the law include tax breaks worth $105 million for construction material and $175 million for the plant’s machinery.

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