KALAMAZOO, MI (WKZO AM/FM) – A controversial tax abatement for Graphic Packaging will be extended, but only for another year.
The decision was made during a virtual City Commission meeting Monday night.
The City plans to pursue a new kind of agreement that could tie the tax break to ending the odors coming from the plant.
The staff proposal had been for a five-year tax break, along with an option for six more.
They also proposed the creation of a Community Benefits Agreement to try to win the votes for passage, but it still wasn’t enough.
Commissioners amended it down to just a year.
City Attorney Clyde Robinson says there have only been a few CBA’s in the U.S., all in much larger jurisdictions such as Los Angeles, Detroit and Atlanta.
The plan is to form a steering committee and present a proposed CBA to the Commission next April.
Commissioner Jack Urban says it could give them leverage on the odor issue.
“It’s great to have this tie-barred, I think it’s going to help us actually get the extensions that everybody is looking to get,” Urban said.
With this development, the next Commission will likely be considering another extension on the tax abatement at this time next year.
— Copy written by John McNeil —
Comments