Lawmakers were in and out of committees Tuesday trying to finalize the multimillion-dollar incentive package for Ford Motor Company. A section of it focuses on what happens if the West Tennessee assembly plant doesn’t pan out.
Rossville Republican Rep. Ron Gant explained.
“Ford and JV Partner must hire and maintain at least 90% of 5,767 jobs on the 10th anniversary date of the accountability agreement to avoid what we call clawbacks,” Gant said.
The clawback provision is required to be part of the multimillion-dollar capital grants, thanks to legislation passed in 2019. The idea came up after the failure of the Clarksville Hemlock Semiconductor plant. That incentive package ended up giving a $95 million grant to Hemlock, which ultimately closed without following through on promises made.
If the same happens with Ford’s Blue Oval City, the clawbacks would allow the state to recoup money spent.
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