Tennessee House Republican leaders aren’t endorsing the revival of legislation providing a $20 million tax break to FedEx, despite a billion-dollar-plus investment planned in Memphis.
Rep. Mark White, an East Memphis Republican, hopes to return House Bill 1978 to the House floor for another vote after it failed 37-45 two weeks ago when critics of the bill cast it as “corporate welfare.” Because it didn’t receive 50 no votes, the bill can be reconsidered.
But with the legislature expected to wrap up the two-year session in less than two weeks, the measure hasn’t gone back before the Calendar and Rules Committee to decide whether it should receive another floor vote. It would require a two-thirds vote of the 18-member panel to return.
“So as you’re looking at the clock ticking, it’s not looking great for it to come back this year, at this point,” House Speaker Cameron Sexton said last week.
The measure would provide FedEx with an exemption from sales taxes as it moves forward with a $1.4 billion hub project in Shelby County. White said the $89 billion company could undertake the same project in Indiana but that FedEx officials would rather upgrade in Memphis.