Johnson City staff presented the Industrial Development Board (IDB) annual pilot report on Nov. 20, 2025 and the commission approved a requested one‑year extension of the IDB pilot memorandum of understanding (MOU).

Assistant City Manager Alicia Summers summarized several pilots and their performance: LPI exceeded its five‑year job creation goal (required 209 jobs; created over 330); Crown Laboratories exceeded its commitment (committed 216 jobs; up to 282); LabConnect is in year four and has made progress toward targets; Katz America and PVS Plastics are new or early pilots; housing pilots are anticipated to begin reporting in 2026. Summers reiterated that pilots include accountability components and must report annually to CPAs, the IDB attorney and staff.

Staff explained the MOU criteria the IDB uses to score projects: a minimum capital investment of $1,000,000, creation of at least 25 jobs, provision of medical benefits and compliance with taxes. Commissioners asked about factors that could cause underperformance (supply chain disruptions, workforce/talent shortages) and clarified that transfer of real property to the IDB is the mechanism that enables property tax abatement while personal property pilots are handled through annual bills of sale and tangible personal property taxation.

The commission moved and approved the one‑year MOU extension by roll call.

What happens next: the IDB will continue to receive annual pilot reports and staff will monitor compliance and performance under the extended MOU.