A battery parts manufacturer that aims to make a major investment in the Chattanooga area got one vote closer Tuesday to realizing plans for a $1 billion expansion at Enterprise South Industrial Park.
The Chattanooga City Council unanimously signed off on a deal that would give Novonix, which produces materials for batteries used in electric vehicles and already operates two local facilities, about 182 acres in the industrial park and a 15-year, $54 million tax incentive meant to stimulate economic growth.
The Hamilton County Commission is set to vote on the same agreement Wednesday.
If the county approves, Novonix will purchase the industrial park land for about $4.5 million and will pay no taxes in the first year of the deal, beyond those dedicated to public schools. Payments will resume in increments over the 15-year period, though the company’s tax incentive will decrease if it fails to meet its job creation commitments.