ATLANTA — The state of Georgia has already spent more than $200 million on projects associated with the Rivian assembly plant in Morgan County. The state is planning to spend more even while the project is on pause.
The electric automaker said last week that plans for the major Georgia production facility are on hold.
"This was a company everybody in the country was recruiting," economic development commissioner Pat Wilson told a state Senate committee Monday.
Pat Wilson, the state's economic development director, said Rivian told Gov. Brian Kemp that it would pause its massive state supported auto assembly plant project near Rutledge.
"What’s your level of confidence this deal with Rivian comes to fruition as planned?" Sen. Greg Dolezal (R-Cumming) asked Wilson.
"It’s hard to say but I am hopeful because it’s a great product," Wilson answered. Rivian makes all-electric trucks and SUVs. It introduced a smaller and less expensive model last week, initially planned for assembly at its Georgia plant. The company announced the new model will be made at its Illinois plant instead.
When equipment showed up in Morgan County to move dirt to make way for the massive Rivian auto assembly plant, Georgia taxpayers funded the work, not the company.
Wilson said even if Rivian bails out on the project completely, the site would already be prepped for another project
"Should the worst case scenario happen – the company goes bankrupt or there is a breach of contract – the site is significantly more valuable today than it was before," Wilson told the Senate committee.
Wilson said the state’s investment has only been on infrastructure, with no direct payments to the startup manufacturer.
But state officials said taxpayers are so far on the hook for
- $141 million for grading;
- $67 million in a road upgrade;
- $91 million more on a new I-20 interchange that is still on DOT’s construction calendar
The grand total is $299 million.
"None of this goes to the company," Wilson emphasized.
Wilson told lawmakers that Rivian could legally keep the project paused until December 2030.
"I don’t want to wait six years, or six and a half years," said state Sen. Brandon Beach (R-Alpharetta).
Wilson predicted Rivian would decide much more quickly than that. Some lawmakers did not share his optimism.
"At this point in time, I have very little confidence that Rivian will be back. And I am extremely hopeful that I’m wrong," state Sen. Randy Robertson (R-Cataula) said.
Wilson told lawmakers Rivian is legally bound to maintain the site for however long it pauses the project. If not, the state seek a court judgment to break the contract and make the site available for another job-creating project.