04-24-92 Human Resources & economic Development

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f • Human Resources and Economic Development Committee April 24, 1992 Page 2 Mr. James P. Knepp, the attorney for the Petitioner, then introduced Mr. Roger Stouffer the President of the company. Mr. Stouffer noted that his company has a world wide market and then showed examples of various "sensitivity guides", exposure guides, and provided brochures on the type of services provided in the photographic industry. Following very favorable comments, Council Member Slavinskas made a motion seconded by Council Member Washington the Resolution No. 92-25 be recommended favorably to Council. The motion passed. The Committee then reviewed Resolution No. 92-26 which is a ten(10) year real property tax abatement request filed by Toro and Resolution No. 92-27 which is a ten (10) year personal property requested filed by Toro. Mr. John Fonash of the Department of Economic Development then reviewed the report dated April 21, 1992 from the Department of Economic Development. He noted that with regard to the personal property tax abatement request that the current City Code only permits a five (5) year personal property tax abatement. Charlene R. Claywell, the Assistant Controller for Toro noted that the Resolution should be amended to a five (5) year opposed to the ten (10) year indicate. Following favorable discussion, Council Member Slavinskas made a motion seconded by Council Member Washington that amended Resolution No. 92-27 indicating a five (5) year personal property tax abatement request would be recommended favorably to Council. The motion passed. The Committee then reviewed in detail the report for the ten (10)year real property request for Toro. It was noted by Mr. Fonash that this would be taken as a special case consideration under Section 2-84. The Council Attorney advised the Committee that specific findings must be made by the entire Common Council in order for such a request to be approved. The Committee then reviewed the schedules proposed for a three (3), six (6), and ten (10) year real property tax abatement request and the additional information provided by Project Future, and the St. Joseph County Assessors Office. Charlene Claywell then gave additional verbal information noting that the new production line would produce Lawn Boy, Toro, and Ford lawn and garden equipment. She noted that the bargaining will have their wages frozen for two years. Thirty-one additional employees would be employed on a full-time basis in 1993 and the tax abatement requests would help preserve 275 current employees which are employed on a full time basis. She noted that the market is very competitive between the Mississippi and Michigan plants and that a decision was made to close the Mississippi Plant. Council Member Slavinskas noted that his business does do work for Toro. It was determined by the Council Attorney that this would not create a substantial conflict a interest. Council Member Slavinskas noted that the abatement requests for ten years is proper in light that thirty-one (31) new jobs and the preservation of 275 jobs would take place. He also spoke in favor of the five(5) year personal property tax abatement. Council Member Washington also spoke in favor of the proposed abatement as a special exception. He noted that the need for new jobs is critical and that an employer who has a 23%minority work force is needed in our City.