Calhoun OKs tax holiday to save jobs
By TUCKER LYON, T&D Government Writer Monday, May 09, 2005ST. MATTHEWS With 210 local jobs on the line, Calhoun County Council passed a resolution Monday to exempt a struggling industry from county taxes for the next five years.
Eric White, the general manager for Wilbert Inc., told council that he has until June 1 to turn things around and keep the plant open.
The former plastics company, that was acquired through a bankruptcy action, has been a "difficult ownership," White said. More than $3 million was invested last year to increase competition and losses have been reduced by 50 percent.
But, with the June 1 deadline looming, White asked for council's help.
County Administrator Lee Prickett explained that the county is allowed to give the five-year abatement for manufacturing, since "we'd have lost the jobs." The abatement applies only to the county portion of taxes, not school taxes. The Tax Commission must approve the action.
"I hope you guys can get this thing turned around," said Council Chairman David Summers. "Is there anything else we can do?"
Prickett said he has advised the firm about job credits, but "if they're losing money, job credits don't do much good."
Also, Prickett reported to council that the Bankruptcy Court has ruled that the entire $219,400 tax bill be paid. While the school district will get most of the money, the county will receive about $50,000.
"Wilbert is a good corporate citizen and we want to work with keeping them in the community," Prickett said.
The local Wilbert plant manufactures injection molding, including hoods for tractors.
In other business, council gave first reading, by title only, to several separate budget ordinances to get the process started.
One ordinance would increase water and wastewater rates; one provides for county taxes; one is for capital improvements and debt service; and one is for the water and wastewater operations.
The new budgets go into effect July 1.
Prior to the session, Summers said council is trying to put the budget together.
"It's tough trying to find the money," he said.
In other business, council:
Also, the proposed budget for 2005-06 calls for $52,450 in revenues. The Budget Committee will review it.
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