ANDERSON — The city of Anderson is seeking to obtain ownership of the former Delco Remy Plant 18 on Scatterfield Road through eminent domain for a new Purdue College of Technology facility.
The Anderson Redevelopment Commission is expected to consider a resolution on Thursday at 4:30 p.m. to begin the process to obtain the site for the proposed Purdue College of Technology and Flagship Makers Space facility.
Hy-Tech Machining Systems purchased the building from the Anderson Redevelopment Commission for $425,000 in 2008 during the administration of former Mayor Kris Ockomon.
The property is included on the Oct. 20 Madison County tax sale list, with $72,963 in taxes owed on the site. The owners have until noon on Oct. 17 to pay the delinquent taxes.
As of August the company also owes $8,131 in utility bills to the city.
The city has been negotiating with Hy-Tech Machining for several months in an attempt to reach an agreement for the transfer of ownership.
Stan Lay, president of Hy-Tech Machining, declined to comment on the pending eminent domain petition and the past-due taxes Monday on the advice of legal counsel.
Ann Marie Bauer, attorney for the Redevelopment Commission, said she was still hopeful a settlement could be reached.
“We’re running out of time to accomplish the project,” she said. “We can’t reach a negotiated settlement.”
Bauer said Hy-Tech paid all but $100,000 at the time of the 2008 closing and a portion of the remaining amount was forgiven, but that the company still owes the Redevelopment Commission money.
“There is no agreement, so we’re moving forward with Plan B,” Greg Winkler, director of the Anderson Economic Development Department, said Monday.
Winkler said if the Redevelopment Commission approves the eminent domain resolution it will have to be approved by the Anderson City Council.
He said Hy-Tech has 30 days to appeal.
The city has obtained two of the three required appraisals on the property.
Winkler said the entire process could be completed in 60 days.
“Our intent is to demolish the building,” he said. “We have demolition bids that have to be updated.”
The eminent domain resolution includes the office building and manufacturing space, but not the parking lot to the north.
“We don’t need the parking lots,” Winkler said.
There are several partners in the Purdue College of Technology project, including the Redevelopment Commission, Purdue and the Flagship, he said.
The property is located in the Community Revitalization Enhancement District (CReED), which allows communities to recapture up to 75 percent of state sales tax and personal income tax collections for up to 15 years.
The City Council approved $21,000 in food and beverage tax revenues on Thursday for preliminary design work on the facility.
Earlier this year it was announced that the Purdue College of Technology will provide space for as many as 500 students and hundreds of entrepreneurs.
The centerpiece of the project will be a Maker Space where students, teachers and entrepreneurs come together to produce and test prototypes and refine new designs.
Surrounding and integrated into the maker space will be a variety of tools ranging from specialized learning labs and incubator spaces; to a light industrial space where students can work for local established and developing businesses.