850 jobs could be coming to Tipton County

Posted: Tuesday, September 29, 2009 1:30 pm | Updated: 2:30 pm, Tue Sep 29, 2009.

By Peter Adelsen Perspective staff writer padelsen@kokomoperspective.com | 0 comments

Jobs could be finally coming to the vacant Getrag Transmission plant in Tipton County.

A solar company that wishes to be unnamed has expressed an interest in the property at the corner of US 31 and Ind. 28.

On Monday, the Tipton County commissioners, the Tipton County council and the Tipton County Redevelopment Commission approved a set of incentives to assist the trust's efforts to keep the county in the running for the unnamed company using the code name "Apex."

Rick Hall, an attorney with Barnes and Thornburg, spoke to the crowded room that spilled out into the hallway about the details on what the county is willing to offer to the unnamed company.

Currently, a claimants trust owns the property and if the it is sold to "Apex," the company intentends to invest approximately $450 million in real estate developments and equipment to be used at the site and to employ approximately 850 employees at the site, Hall said.

"These are incentives that they believe are necessary for a deal to be reached with 'Apex,'" Hall said. "There are other sites that are being considered. This is not a done deal by any means."

Right now, the county has two series of Tax Increment Financing, or TIF, bonds outstanding, he said. The TIF was used for the construction of the Getrag plant. Harris Bank holds the senior bonds in the amount of $3.1 million. Chrysler holds the junior bonds in the amount of $5.5 million. The Chrysler bonds are currently under investigation by the Indiana secretary of state for securities fraud, he said.

If the junior bonds are no longer outstanding at the time of the sale, the county would pay to the trust $13 million in tax increment revenues, rather than $10 million, after taking into account scheduled payments on the senior bonds, he said.

The funds would allow the trust to lower its price on the property, he said.

Even if the county is not able to make a sale with "Apex," the county will abate one-half of the real and personal property taxes due on the site in 2010. He also said that the trust agrees not to appeal the assessed value for 2009 and pay 2010, in the current or any future year.

He said if the county is able to make a deal with "Apex" in the incentive package, there would be a number of public hearings with further details provided.

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