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TMCNet: Northwest Georgia Trade center hotel will take act of legislature

[December 30, 2007]

Northwest Georgia Trade center hotel will take act of legislature

(Chattanooga Times (Free Press, TN) (KRT) Via Thomson Dialog NewsEdge) Dec. 30--Paving the way for a hotel to be built at the Northwest Georgia Trade and Convention Center in Dalton, Ga., is a top priority of at least one lawmaker the upcoming legislative session.

The trade center's contract with Missouri-based John Q. Hammons to build a $40 million Embassy Suites hangs in the balance as legislators again try to pass tax incentives that Gov. Sonny Perdue vetoed in May, officials said.

"It's all dependent on this bill passing," said Rep. Roger Williams, R-Dalton. "The city was really disappointed because in negotiations with the developer, they enticed him to consider to develop."

The legislation proposed tax rebates of up to 25 percent of the project cost. Gov. Perdue vetoed it because the bill included another tax incentive for film production, spokesman Bert Brantley said. He said the governor vetoed three other bills with multiple tax proposals in one piece of legislation.

"He never said he had specific problems with the specific provisions in those bills," Mr. Brantley said. "He believes tax policy should be considered individually, not passed on (by) putting other bills on it."

Supporters will try for an override vote in the first week of the session, which begins Jan. 14. If that doesn't work, the bill will be redrafted to separate the tourism and film incentives said Rep. Jeff Lewis, R-White, who wrote the original legislation. He said it has a good chance to pass if proposed again.

"It's a no-brainer," Rep. Lewis said. "It's good for economic development."

Rep. Williams said he is waiting for Rep. Lewis to work out a final draft, which he will sponsor and consider a "top priority."

"As far as we know, the governor will sign it," he said.

Mr. Brantley said the governor wouldn't decide on the measure until it's before him.

Meanwhile, the future of of the trade center hinges on the legislation, executive director Rick Tanner said.

"There's really a lot riding on this," he said, explaining that the hotel contract includes a $10 million renovation of the trade center itself.

"We're kind of back to the drawing board" if the tax incentives don't pass, he said. Dalton Mayor-elect David Pennington is supporting the venture, traveling to Springfield, Mo., in January to talk to John Q. Hammons, Mr. Tanner said.

He said that if the legislation passes, "We should see a groundbreaking pretty soon."

Mr. Tanner said he's optimistic that the tourism development legislation would pass because it will apply to projects statewide, not just the trade center's hotel.

"It affects a lot of people," he said. "Dalton's $40 million hotel is pretty small potatoes."

E-mail Lori Yount at lyount@timesfreepress.com

To see more of the Chattanooga Times/Free Press, or to subscribe to the newspaper, go to http://www.timesfreepress.com.

Copyright (c) 2007, Chattanooga Times/Free Press, Tenn.
Distributed by McClatchy-Tribune Information Services.
For reprints, email tmsreprints@permissionsgroup.com, call 800-374-7985 or 847-635-6550, send a fax to 847-635-6968, or write to The Permissions Group Inc., 1247 Milwaukee Ave., Suite 303, Glenview, IL 60025, USA.

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