Portland City Council on Monday voted to approve tax abatements for a company that plans to establish 102 new jobs in Portland by 2018.

It also approved changes to Portland Redevelopment Commission’s economic development plan and heard from Lisa Price with WorkOne.

Council unanimously approved a $1.22 million personal property tax abatement and a $50,000 real property tax abatement for Carrera Manufacturing, formerly known as W&M Manufacturing.

The company, which is an injection molding and finishing manufacturer, will construct and equip a Class 100 clean room at its current facility, 1000 N. Morton St., Portland. It will allow the company to expand its current finishing and coating capabilities to meet customer demand for anti-fog, anti-glare, thermal and UV-cured coatings.

Mayor Randy Geesaman said Portland Redevelopment Commission is amending its 2006 economic development plan to include a preliminary plan for how it will spend its money, as mandated by a new state law.

In order for the changes to be adopted both council and Portland Plan Commission need to approve them.

Plan commission approved the changes Nov. 6.

A public hearing also needs to be set to discuss the changes, which will then enter a remonstrance period before they are officially approved.

Councilman Bill Gibson asked how the changes will affect the tax increment financing (TIF) dollars.

“We’re not actually saying we’re spending any money … we’re giving the authority based on the state legislature,” Geesaman said. “We have to amend the ordinance before we can do any expenditures.”

Geesaman noted the commission doesn’t need council’s approval to spend the money because it is its own entity.

Gibson said he’s concerned because plans to pay the TIF district’s debt aren’t included in the commission’s preliminary plans.

“It just doesn’t make sense to go out here and spend the extra money that you could be paying on the debt,” he said.

City Attorney Bill Hinkle said the commission can’t make partial payments on the bonds. If it wants to pay off the bond, it has to hold the money until it’s able to pay the bond off in full or refinance.

“That’s the whole concept of the TIF District, is the reason we bonded it will generate additional dollars so that we can use them for improvements,” Hinkle said.

But Gibson said he believes it would be better to pay the bonds as soon as possible.

“In the long run I think it will benefit us to pay off Part A when it falls due here when we can and hold the money back and pay Part B,” he said.

Geesaman said redevelopment commission keeps council’s concerns in mind when making decisions regarding the TIF District.

“We do know the payments we get twice a year from the redevelopment TIF District does cover all the expenses for the bonds we currently have,” he said. “We’re actually just following the state statue.”

Commission approved the changes 5-1, with Gibson casting the only dissenting vote. Councilman Michael Brewster was absent.

Price, who works for WorkOne in Jay County, discussed with council two programs the office plans to use to strengthen the county’s workforce.

ACT WorkKeys is a job skills assessment system that helps employers select, hire and retain workers. The test measures foundational and soft skills and offers specialized assessments to target the institution’s needs.

It’s a test offered nation-wide and is free to take. WorkOne currently offers the test and wants more residents to complete it so the county can become a work ready community.

It’s also working to offer a short-term training program for industrial maintenance, which is what industries need, Price said.
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