City grants breaks to Wayne Farms
Published 8:06 pm Tuesday, March 10, 2020
Edited to correct total of tax abatements.
The Troy City Council granted Wayne Farms more than $1.2 million in tax abatements on Tuesday as part of an incentive package supporting the company’s planned $16 million expansion in Troy.
The expansion of the hatchery, located at the old Industrial Park on Henderson Highway, will yield 19 new jobs with an average pay of $11 to $15 per hour, said Troy Mayor Jason Reeves.
“This is a great opportunity to support a local expansion when you’re talking about $16 million in capital investments and 19 new jobs,” Reeves told council members during a work session prior to Tuesday’s public meeting. The mayor said the expansion is spurred by a growth in the agriculture sector and particularly in poultry farming. The local hatchery provides eggs for poultry farmers throughout the Wayne Farms network.
“They have been involved here for many years,” Reeves said. “And they are a very good utility customer.”
The estimated value of the abatements, which are authorized under state law and do not apply to any taxes collected for educational purposes, include:
$728,750 in construction related transaction taxes, a one-time abatement;
$74,400 in non-educational ad valorem taxes in the first year, renewable for a total of 10 years.
And $15,000 in mortgage and recording taxes.
In addition to the tax abatement, council members on Tuesday:
• Approved a three-year agreement for Dr. Eric Law to serve as the off-line emergency medical director for the Troy Fire Department. Law is providing the services free of charge and the city will provide an additional $2,800 annual liability insurance policy.
Authorized the utilities department to enter into an agreement with Ipkeys Power Partners to provide security monitoring equipment to detect external attempts to hack into the department’s network. Utilities Director Bryan Chandler said the department will participate in a grant program with the American Public Power Association, Ipkeys and the Department of Energy, which provides the city with the monitoring equipment at no net charge for one year. The data collected through the monitoring devices will be shared with the Department of Energy, which is working to identify cybersecurity threats to utility networks and develop better protection and resources. The city has the option to extend the contract after the first year at a rate of $7,500 per year.
Met in executive session during the work session to discuss pending litigation and matters which could result in pending litigation and during the regular meeting to discuss potential real estate transactions.