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)CITYOFSOUTHBEND I OFFICE OF THE CLERK
<br /> He continued,You can see kind of where the projects are dotted if you look at the map(referencing
<br /> a slide in the presentation. Not real surprisingly, Ignition Park, up Sample Street, I have included
<br /> Grace Steel on there,who,again,we did earlier this year,and then a few up in our logistics corridor
<br /> there. So, any questions before I start jumping in to these specifically? I'll get you what I'm looking
<br /> at, and I apologize for that, I thought that was going be here. In any event, this slide just simply
<br /> shows your private investment. So, again,looking at each project,it takes us up to that$60 million
<br /> plus in private investment. That's going happen, again, we anticipate in a very rapid time frame in
<br /> the next year to eighteen (18) months. Additionally, we do have a view or chart of the taxes. So,
<br /> again, I talk about that $150,000 or $147,000 per year that those properties have as a tax base
<br /> today. Where they're going to start rolling on, by year seven (7) we're going to surpass $1 million
<br /> a year as these are phasing in, and then, year eight(8),nine(9), ten(10), they come to fruition and
<br /> will be paying the full tax amount.
<br /> He went on, So, we'll start with Molding Products. Troy and Tim are here from the company to
<br /> help me make sure I don't make any mistakes. I was really thrilled to meet these guys and learn a
<br /> little about the company.The company has been here for over forty(40)years. They make,in very
<br /> simple terms, sheet plastic which then goes out as raw material to companies that press it into
<br /> various shapes, sizes and products. Everything from bathtubs to my favorite Corvette body panels.
<br /> So, here we've got this company right in our backyard doing some amazing things. This is who I
<br /> mentioned, they already have done a $5 million real property investment and built the building
<br /> that all of their capital equipment, that will double production, will go into. That is another $5
<br /> million that they've asked for assistance with in the form of a personal property tax abatement.The
<br /> max on that as a standard is five (5) years. They will, by doing this, again, I've already said, but,
<br /> they will double the production, retain forty(40)jobs, add twenty(20) new jobs, and the average
<br /> wage is eighteen dollars per hour ($18/hour). So, the request is for support of a personal property
<br /> tax abatement for Molding Products. The full amount abated is $52,331. In that same period of
<br /> time, they will still continue to pay taxes on all of their other equipment. So, they'll be paying
<br /> throughout those years $687,630 on existing new equipment as a base.
<br /> Committee Chair Ferlic opened the floor to questions from Committee and Council Members.
<br /> Committeemember Kyle Copelin asked, Are the twenty (20) new jobs full time, or is there a
<br /> temporary measure?
<br /> Troy Wade, 1545 South Olive Street, replied, I'm the Vice President and General Manager of
<br /> Molding Plastics LLC. A lot of them are salaried, fifteen(15) are hourly.
<br /> Mr. Buckenmeyer continued, Alright,Bill No. 19-20 is Chase Plastic Services, so we'll see two(2)
<br /> here for the same facility. This one (1) is the personal property tax abatement. So, Chase Plastics
<br /> was an early entrant into Portage Prairie. They've been there, and this is a primary distribution
<br /> center for their business that is located in Clarkston, Michigan. Great location, as we know, we
<br /> provide for central in terms of logistics and shipping and warehousing and so on. They are doing
<br /> so well that they need to expand by roughly a third(1/3). In terms of that investment they're going
<br /> to be doing, well, it is an $823,000 project. They are another company in plastics, but they
<br /> specialize in pellets. So, they warehouse and sell plastic pellets to folks who mold them into end
<br /> products. They sometimes blend them for color or certain elements of plastics. I'll leave it at that
<br /> before I get over my skis,which I already am. Nineteen(19)retained jobs and will add twelve(12)
<br /> EXCELLENCE ACCOUNTABILITY INNOVATION I INCLUSION EMPOWERMENT
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