AS We Feared: VW Gets 100% Tax Break For 10 Years

Submitted by WhitesCreek on March 13, 2012 - 5:56pm.

...100 percent property tax break for 10 years, the $435,000 worth of local matches of two state grants totaling more than $1 million, and a break-even land purchase deal.

Another big corporation subsidized by Roane County Property Owners. And we get what exactly?

Link...


"Another big corporation

"Another big corporation subsidized by Roane County Property Owners. And we get what exactly?"

I expect we'll get a great place to start a 400,000 square foot indoor flea market in a little over 10 years... if they can find another sucker to offer them the same deal we did.

Oh

I guess I shouldn't be surprised. On one hand if it helps with long term jobs great..but nationwide these companies move out and leave a white elephant for the citizens to pay for. Make them sign a contract for twice the number of years they got the tax break for? They would find an escape clause or something.
I am guessing that the Roane County Commission knew about this...funny I don't remember seeing it mentioned anywhere.
Also, what kind of jobs, how many, how soon, how much will they pay? None of this information is available through the Roane Alliance, I called to ask.

According to the article

According to the article linked below, 45 jobs with a payroll of $3 million.

WhitesCreek's picture
Let's see a spreadsheet

That is the good side of the equation. How many of those will be Roane County jobs?

Actually I question those numbers. Dagger had a payroll of about that number and twice the number of employees and that was twelve years ago. Are they planning on paying and average of $66,666 yearly wage for each employee?

I'm sure that won't be the

I'm sure that won't be the case, there's no way a low-level warehouse employee is going to make over ~$12-14 an hour.

WhitesCreek's picture
The Chattanooga Times Story has the Accurate Headline

Volkswagen gets cache of breaks in taxes

Link...

You know, if all of these jobs were for Roane Countians this would be less onerous. The problem is that Loudon County had it's own lane built on I 40 so that Loudon County workers can slide right into work at a facility built on the backs of Roane County tax payers. What a great deal for Loudon County!

I wouldn't make that

I wouldn't make that argument. At least 3/4 of the I-40 widening is in Roane County. Only the short section from exit 364 west to Paw Paw Plains Rd overpass (at Crete) is in Loudon County.

WhitesCreek's picture
Ony the short section that

Ony the short section that gives Loudon County its own I 40 lane into the Roane County Industrial Park, you mean. Where's the study showing this is a good idea for Roane County?

Sorry, still don't get your

Sorry, still don't get your outrage. Turn it 180 degrees and you could say Roane County got its own I-40 lane, eastbound. Should the extra westbound lane have started at the county line, or would it make more sense to extend it a short distance to the nearest exit? Either way i don't see how Loudon County got its own lane into the park, it's just an extra lane on an existing roadway. It was built with state and federal pork dollars, after all.
As for being a good idea, you couldn't convince me the park itself is a good idea. Seems like Roane County had plenty of other industrial land available without gobbling up these greenfields.

WhitesCreek's picture
I 40 has a ton of problems

I 40 has a ton of problems in Roane County. Lanes are buckling at the Midtown exit and the west bound approach to the Clinch River bridge is a mess. Why would we spend money on a new lane connecting the Industrial park exit to Highway 95? Highway 95 isn't in Roane County. It goes straight to Lenoir City. The point is that the jobs Roane County is paying for won't be primarily filled by people from Roane County. We've been had!

Here's another Chattanooga Times headline.

Volkswagen plans Knoxville warehouse for parts

Roane County foots the bill. Knoxville gets the credit.

Link...

WOW?? For a group that scream about the lack of jobs...

For a group that scream about the lack of job creation, this is a lot of complaining about job creation. So which is it??? Should Roane County let this company go elsewhere and say goodbye to6 the jobs and revenue? Do you think the companies that help supply VW might need locations close to this new facility? Giving VW the tax break and land deal was a short term giveaway to attract other companies associated with VW, for more job creation and more revenue. How about a little positive thinking, rather than negative criticism!

WhitesCreek's picture
I would love to be won over.

I would love to be positive about this. Let's see the study and spreadsheet showing us how this works.

And let's see a study showing how many of the jobs are held by Roane County residents. That would totally convince me.

I'm waiting....

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