Chattanooga Industrial Development Board approves Nubonics pilot and property lease agreements

Chattanooga's Industrial Development Board (IDB) has taken significant steps to enhance the city's economic landscape by approving new policies and agreements during its recent meeting on April 3, 2025. The board unanimously approved a resolution to formalize policies for Payment in Lieu of Taxes (PILOT) programs, marking a pivotal moment for the city as it establishes its first formal guidelines for these agreements.

The newly adopted PILOT policies are designed to streamline the application process for targeted industries, addressing critical factors such as environmental risks and job commitments. This structured approach aims to foster transparency and accountability, ensuring that companies meet their obligations regarding job creation and capital investment. Notably, the policies include clawback provisions, allowing the city to reclaim benefits if companies fail to fulfill their agreements.

In addition to the PILOT policies, the IDB authorized a real estate purchase and sale agreement for approximately 182 acres in the Enterprise South Industrial Park. This agreement facilitates the leasing of land to Novonix Enterprise South LLC, a move that aligns with the city's long-term economic strategy and the Chattanooga Chamber of Commerce's five-year growth plan. The project is expected to contribute significantly to the regional economy, reinforcing Chattanooga's commitment to sustainable development.

These decisions reflect the ongoing efforts of Mayor Kelly's administration to implement the "1 Chattanooga" plan, which aims to bolster economic growth and improve the quality of life for residents. With the approval of these policies and agreements, Chattanooga is poised to attract new businesses and create job opportunities, setting a positive trajectory for the city's future.