Spartech Corp. gets abatement from county

Friday, December 7, 2012

Cape Girardeau County commissioners Thursday approved a 50 percent abatement in property taxes that will allow a local manufacturing company to receive state income tax credits.

Spartech Corp., a plastics manufacturing company in Cape Girardeau, plans to build a 4,000 square-foot addition that will contain a blending room and locker room upgrades to hold new equipment. Since the company is within a Missouri Department of Economic Development-designated enhanced enterprise zone, it can receive incentives from the state if it meets certain requirements.

The zones make new and expanding businesses eligible for the tax credits and a 50 percent local property tax abatement for 10 years. The abatements must be approved by the county commission.

John Mehner, president of the Cape Girardeau Area Chamber of Commerce, told commissioners Thursday that the designation of most of the county as an enterprise zone increases jobs and investment in the area. The expansion at Spartech on Nash Road will add eight jobs with an average starting yearly wage of $29,031. The company employs about 230 people.

Companies in an enhanced enterprise zone can receive the tax credits by going through an application process. They must show they are creating at least two jobs and making investments to open a business or expand a current one.

Cape Girardeau County has had an enhanced enterprise zone since 2011. It includes the SEMO Port Authority, several industrial sites in the cities of Cape Girardeau and Jackson, property along Nash Road and the Procter & Gamble and Nordenia sites north of Cape Girardeau.

Spartech is joining forces with PolyOne Corp., an Ohio-based company that announced in October it would buy the plastics maker.

Doug Spooler, a divisional process engineer with Spartech, estimated the local expansion project will cost $900,000. Tax credits the company will receive in a five-year period, according to correspondence between the DED and chamber of commerce, would be just a bit more than $47,000.

Commissioners, in other action:

- Opened submissions of qualifications for consulting engineering services from six firms; approved referring submissions to Road and Bridge Advisory Board for recommendation.

- Approved providing training for an Experience Works participant in the Archive Center.

- Approved seeking bids for a multi-plate structure on County Road 247.

- Approved entering into a closed session for discussion pertaining to real estate.

eragan@semissourian.com

388-3627

Pertinent address:

1 Barton Square, Jackson, MO

4753 Nash Road, Cape Girardeau, MO

Map of pertinent addresses

Comments
Respond to this story

Posting a comment requires free registration: