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Sunday, July 13, 2008 , 12:00 a.m.

Berke warns against incentives 'arms race'

Tennessee State Sen. Andy Berke, D-Chattanooga, said that state officials are doing the right things by offering incentives to businesses looking to come to Tennessee, but also warned that the government shouldn’t go overboard.

“You cannot get yourself into an arms race with the insane when it comes to tax cuts,” he said at Wednesday’s meeting of the Midtown Council of the Chattanooga Area Chamber of Commerce.

Sen. Berke praised Gov. Phil Bredesen for offering incentives while also showing fiscal responsibility.

Lawmakers this year passed a new business incentive package that allows recruiters to grant enhanced tax credits.

Volkswagen AG is considering Chattanooga as the site of a U.S. assembly plant. The German automaker is also looking at sites in Michigan and Alabama.

Some news accounts have stated that VW could invest up to $1 billion in the plant.

YOU’VE BEEN GREAT, LADIES AND GENTLEMEN

Before his remarks, Sen. Berke joked to the business owners in attendance about the state’s financial situation.

“Since everyone here is making their business pitch, let me make one to you,” he said. “The state needs your money.”

A revenue shortfall forced Gov. Bredesen to make about $468 million in budget cuts this year. The senator also joked about Volkswagen. Following an invocation by Olin Ivey of Pilgrim Congregational Church that took the form of a cell phone call from God, Sen. Berke said he planned to start his remarks with a phone call from Gov. Bredesen about a “major company” coming to Chattanooga.

“But Olin stole my thunder,” the senator said.

BIKES ON THE BEAT

BMW of Chattanooga donated two 2009 BMW cruise bikes to the Chattanooga Police Department during a formal presentation in the dealership’s showroom last week.

The bikes were donated as part of BMW’s sponsorship and community support for the BMW of Chattanooga Waterfront Triathlon, scheduled for today.

Chattanooga police Assistant Chief Mike Williams and Sector One Cmdr. Capt. Tommy Kennedy received the bikes, along with other members of the department.

“We were thrilled to get them,” said Chief Williams in a news release. “They are high quality bikes and they will be a much-needed addition to our bike patrol.”

The donated bicycles are 24-speed, hydroformed, aluminum-framed bicycles with front suspensions and Shimano Alivio components.

BAR-B-QUE FOR BIKES

Highland Park stakeholders are pitching in to raise money for local police officers to be able to bike around their neighborhood.

The “Bar-B-Que for Bikes” fundraiser will be held July 26, at 6:30 p.m. at Deli Man & Cake Lady restaurant at 1414 McCallie Ave.

“Highland Park has one of the highest crime rates in the city,” David Harris, co-owner of a Highland Park business, said in an e-mail. “We appreciate all that the city police department does for our community, so we saw a need in the community that we wanted to help with.”

Organizers are selling tickets for $18, but they cost only $12 for police officers. Funds raised will pay for new bikes for Chattanooga officers, Mr. Harris said in the e-mail.

For more information, call Mr. Harris at 593-3231.

PADGETT TIES ALEXANDER TO BUSH

It’s no surprise that Democratic U.S. Senate candidate Mike Padgett is linking U.S. Sen. Lamar Alexander with President Bush, but the former Knox County clerk even has an acronym: “ABC,” as in Alexander, Bush, Cheney administration.

His references to the president and Vice President Dick Cheney came during an interview with the Chattanooga Times Free Press late last week.

“(Sen. Alexander) is an icon that has been there totally in step with the Bush administration,” Mr. Padgett said.

Mr. Padgett should know in early August whether he will be able to face Sen. Alexander in the November general election. On Aug. 7, Mr. Padgett faces Bob Tuke, Gary Davis, Kenneth Eaton, Mark Clayton and Leonard Ladner in the Democratic U.S. Senate primary.

Sen. Alexander, a former Tennessee governor, was elected to his first six-year term in the U.S. Senate in 2002.

PRIDE IN THE NEIGHBORHOOD

A group of neighbors in East Brainerd gathered Friday to celebrate their successful bid a year ago to keep unwanted development out of their neighborhood.

Residents fought against a plan by developer Gary Bumgarner to build a seven-house subdivision on about two acres of property. Planners and officials denied the plan.

Friday’s celebration was held by Hamilton County Commissioner Larry Henry and Chattanooga City Councilman Jack Benson.

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