RINGGOLD, Ga. — A 2009 incentive package for Shaw Industries’ Ringgold plant was renewed and a loan for property on state Highway 151 was renewed Tuesday by the Catoosa County Economic Development Authority.
The incentive package for Shaw originally was approved in 2009 to help keep the floorcovering plant in Ringgold after the industry announced it was consolidating operations from its Algona, Wash., plant to a site off Interstate 75 at exit 335 in North Georgia, according to authority Chairman Randall Peters.
County Attorney Chad Young said the agreement provided for tax abatements for new equipment purchases for five years, but each year the agreement must be renewed to include whatever equipment Shaw has bought that year.
Shaw turned in a new equipment list in mid-December, Young said.
“The way it has worked for the past two years is each year they identify the equipment they add that qualifies for the abatement and they actually transfer title of that equipment to the development authority by a bill of sale,” Young said.
The development authority then leases the equipment back to Shaw for the abatement period, he said, and, at the end of the period, Shaw buys it back for $1.
Meanwhile, the loan with Northwest Georgia Bank used to purchase 50 acres on state Highway 151 matured Jan. 1 and was renewed by the bank for 30 days because the development authority didn’t meet in December, Young said.
Development authority members ratified the 30-day renewal, then approved 12-month renewal of the loan at 70 percent of the prime rate, or 2.275 percent at current rates, he said.
The current balance of the loan stands at $1,481,701.
Ben Benton is a news reporter at the Chattanooga Times Free Press. He covers Southeast Tennessee and previously covered North Georgia education. Ben has worked at the Times Free Press since November 2005, first covering Bledsoe and Sequatchie counties and later adding Marion, Grundy and other counties in the northern and western edges of the region to his coverage. He was born and raised in Cleveland, Tenn., a graduate of Bradley Central High School. Benton ...
related articles »
The Catoosa County Economic Development Authority’s meeting on Jan. 10, its first of the new year, was devoted primarily to ...
Officials with Shaw Industries said today they have restructured production schedules at plants in Ringgold and Eton, Ga., and are ...
Shaw Industries plans to lay off workers in Ringgold and Eton, Ga., but officials with the Dalton-based carpet maker won't ...
Shaw Industries plans to layoff workers in Ringgold and Eton, according to a company spokesman.
