ATLANTA (AP) — A Georgia judge rejected an agreement that would have provided a huge property tax break to Rivian Automotive, clouding the upstart electric truck maker's plans to build a plant east of Atlanta.
Morgan County Superior Court Judge Brenda Trammell rejected what is normally a routine request by a local government to validate a bond agreement, ruling Thursday that the development authority that brought the case hadn't proved that the $5 billion plant, projected to hire 7,500 people, was “sound, reasonable and feasible” as is required under state law.
Trammell also ruled that under state law, Rivian should be required to pay regular property taxes because of its level of control over property it would be leasing from the development authority, undermining the reason that the legal action was brought in the first place.
Rivian declined to comment.
The Georgia Department of Economic Development and a local four-county joint development authority that recruited Rivian said they were “disappointed and respectfully disagree with Judge Trammell’s decision. They said they aren't giving up on their plans, and are considering an appeal.
“We remain undeterred in our efforts to bring high-paying, American manufacturing jobs to Georgia, and are currently assessing all legal options,” the groups said.
The Irvine, California-based electric vehicle manufacturer announced last year that it would build the facility on a 2,000-acre (800-hectare) site in Morgan and Walton counties about 45 miles (70 kilometers) east of Atlanta along Interstate 20. It plans to produce up to 400,000 vehicles a year there. Rivian, which also has a plant in Normal, Illinois, had hoped to break ground as early as this summer and begin production in 2024.
By maintaining ownership of the property...
