Parker Hannifin’s plant in Albion will be adding 29 jobs. Staff photo by Matt Getts
ALBION — Parker Hannifin is making a nearly $4 million investment at its North Orange Street Albion manufacturing location.
The Albion Town Council rewarded that investment with a 5-year tax abatement that will save the company $109,000 in taxes over the life of the abatement.
The company will be adding two forge presses at a total cost of $3.96 million, allowing the company to add four new jobs with an average salary of more than $40,000.
The new forge presses will also aid in the retention of another 136 jobs with a combined payroll of $6.8 million.
The new presses will lead to the elimination of older equipment valued at $411,000.
The Noble County Economic Development Corp. assisted Parker Hannifin with the tax abatement application.
A tax abatement allows the company to have the tax impact of its new equipment gradually implemented.
In the first year of the abatement, the company will pay no new taxes on the new equipment. The following year, the equipment will be taxed at 20% of its value, increasing each year by 20% increments.
The council was presented with three different potential abatement schedules, for 5-year, 7-year and 10-year abatements.
The 7-year abatement would have saved Parker Hannifin $131,052 over the life of the abatement. The 10-year option would have saved the company $157,000.
© 2024 KPC Media Group, Inc.