Rachelle Haughn, Commercial Review City Reporter

Portland is getting more jobs.

A local industry has decided to expand operations here, creating 27 additional jobs. Also, a new company formally announced plans to move to town, creating 50 to 100 new jobs.

During Monday's Portland City Council meeting, council members reviewed a request from Jay Products, 0086 East 100 North, for a tax abatement to relocate some of its operations from Michigan to Portland. This move is expected to create 27 jobs, with salaries totaling $779,490.

Also Monday, more details on Geesaman Industries, a Wisconsin-based metal polishing company, were released. This business will create 50 to 100 jobs. The city has agreed to request a $900,000 federally funded, state-administered grant on behalf of the company. The funds would be used to purchase equipment and a vacant factory building on South Bridge Street that was formerly home to Sheller-Globe.

Jay Products is requesting a five-year tax abatement on the $1,039,344 in equipment that is being moved to Portland from Blissfield, Mich. Council members voted to send the abatement request to the Portland Tax Abatement Advisory Committee for review.

Bill Bradley, executive director of Jay County Development Corp., told council members that officials with Jay Products decided to move some operations here because Jay County's business climate is healthier than Michigan's. He said the company requested the tax abatement because the equipment being moved to Portland will be new to the tax rolls.

Normally, tax abatements phase in taxes on new investments over a period of several years. Bradley said Jay Products' request is permissible under Indiana law.

Also Monday, members of the council met Steve Geesaman, owner of Geesaman Industries, and learned more about the business. Council members also gave the nod for an application for a $900,000 State Community Development Block Grant and chose a company to administer the grant. If the company does not meet employment targets, city taxpayers could be asked to repay thousands of dollars.

Geesaman, a Jay County native, plans to locate his business in the former Sheller-Globe buildings, located along South Bridge Street. Bradley said Geesaman also considered an industrial spec building at the former site of XPLEX Extreme Competition Park. Geesaman chose the former factory site because it had adequate space and included a 25-ton crane.

Geesaman said he would like to begin production at the stainless steel polishing plant in about two months. He said he expects to hire 25 to 30 people in about a month, then hire about 30 more after the equipment is installed. He said he would like 90 percent of the workforce to be Jay County residents. The total investment will be about $5 million, he said.

At Monday's meeting, council members voted for the city to apply for the $900,000 grant through the Indiana Office of Community and Rural Affairs, on behalf of Geesaman.

As a stipulation of the grant, Geesaman would have to hire at least 50 employees. If he doesn't have that many employees 18 months after receiving the grant funds, the city would have to repay $18,000 per employee that he is short. The funds would be paid to the Indiana Office of Community and Rural Affairs. Bradley said the city is working on an agreement with Geesaman, in case such a situation should arise.

Council members voted Monday night to hire Beumer Consulting LLC, Farmland, to administer the grant. The work will be paid through the grant, Bradley said.
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