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Firms Keep Pace
Friday, March 13, 2009 4:01 AM


(Source: Star Beacon)trackingBy Carl E. Feather, Star Beacon, Ashtabula, Ohio

Mar. 13--JEFFERSON -- Despite the challenging economy, county industries and businesses that received tax abatements are keeping pace with their agreements.

The annual tax-incentive reviews were conducted earlier this week by a board of county officials. The officials verify the companies' compliance with the terms of enterprise-zone tax abatements and Community Reinvestment Act agreements.

The review board includes county administrator Janet Discher; Joseph Mayernick, executive director of Growth Partnership for Ashtabula County; County Auditor Roger Corlett; Ashtabula County Joint Vocational School Superintendent Jerome Brockway and Commissioner Joseph Moroski.

Affected school district superintendents and mayors, city managers and trustees are allowed to sit in on the reviews that affect their jurisdictions and vote on compliance. For example, Ashtabula Area City Schools' Superintendent Joseph Donatone and Saybrook Township Trustee Norm Jepson attended and voted on the Mohawk Papers and Plastpro interviews.

Under the economic microscope this year were Mohawk Fine Papers, Plastpro, VRA Inc. (Foseco), Wayne-Dalton, King Luminaire, Kennametal, KraftMaid, LT Harnett Trucking, Reese Machine, Third Dimension, Precision Melamine Products, Nordic Air, Truckmen and Save-A-Lot. Orwell's CRA zone also came under review.

Reviews were held by appointment Monday and Wednesday.

Review-board members heard a common story: The bad economy is taking a toll on business.

"The numbers are down," Moroski said. "They aren't terrible, but they are a reflection of the economy we are operating in. Nobody is telling us they are shuttering the doors and leaving. We're all looking forward to better days."

No company had its abatement pulled. Commissioners expect one firm that was receiving a personal-property abatement, to withdraw its abatement because of changes in state tax law that affect the tax.

Plastpro, whose expansion project has been delayed by environmental permitting, probably will have its agreement modified to reflect that delay. Plastpro, which makes doors for the housing industry, dropped from 105 employees a year ago to 66 now, said company representative Jerry Hoback. He estimated that the Saybrook Township plant has produced 10,000 fewer units this year than it did in the comparable period last year. Nevertheless, Hoback said it appears as if the downward trend is leveling off.

"We're holding our own for now, and it looks like in the fourth quarter it will be back up," he said.

Plastpro's contract was for 120 new jobs.




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