clawback

Site plan for Ford plant gets green light from Megasite Authority

The Blue Oval City plans superimposed on a map of the West Tenenssee Megasite. (Illustration by The Tennessee Jounral)

The Megasite Authority of West Tennessee has approved the site plan for Ford Motor Co.’s $5.6 billion electric pickup truck and battery plant in Haywood County.

The Daily Memphian reports the company only needs to secure an environmental permit before it can begin preparing the Blue Oval City project for construction. Ford has chosen Detroit-based Walbridge as its general contractor.

The Megasite Authority previously approved a payment in lieu of taxes (PILOT) agreement by which the company will remit $8 million by 2030 and $11.5 million by 2051.

The 3,600-acre parcel of land is being leased to Ford and SK Innovation for $1. Under a clawback provision, 90% of the committed 5,760 jobs must be filled within a decade. Otherwise the companies would have to pay back a portion of a $500 million grant from the state, plus the $175 million value of the land, the Associated Press reported last month.