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Jasper Common Council sets a public hearing for first abatements under new ordinance

The Jasper Common Council received the first requests for tax abatements on Wednesday evening. Indiana Furniture and Stens filed for the property tax abatements available through the city’s new abatement program (story here). This is the first time in Jasper’s history that the council has received a request for tax abatement.

Indiana Furniture originally applied for abatement for the expansion of the existing plywood manufacturing facility and the construction of a new administrative office building on the south side site. During the Economic Development Board meeting Indiana Furniture President/CEO Bret Ackerman was informed that the company might consider applying for the abatement for the new administrative building separately to avoid penalties that could occur if the company had problems staying on schedule with its construction. Indiana Furniture revised their application to only cover the new additions to the existing facility.

Stens’ application remained the same. Jay Walters with the firm Bingham Economic Development Advisors addressed the council explaining that Stens has sold the current building they are in on Cathy Lane. The company has to move out by September of 2012 and is looking for a larger building to move into. A nearby building owned by Kimball is in consideration as the new site but a site south of Louisville is also being considered for the move. The abatement has increased the company’s interest in staying in Jasper.

The council approved the resolution for both company’s requests and a public hearing is scheduled for November 22.

One portion of the abatement package spearheaded by the Jasper Action Team (JAC) was taken up and approved by the council last month. The other two abatements were based on employee taxes; County Option Income Tax (COIT) and Economic Development Income Tax (EDIT). Mayor Schmitt has stated he would like to have a county-wide abatement for these two areas because he feels it will have more impact for the employer.

The council could be reviewing ordinance proposals for the COIT and EDIT abatements as early as November’s Common Council meeting.

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