July 23, 2014 at 2:10 p.m.
Council OKs GFT abatement
Jay County Council
The Jay County Council granted a pass Wednesday to a Pennville company on its tax abatement requirements, judging that extenuating circumstances prevented the producer from reaching it quotas.
The council decided to continue the tax abatement for GFT Corporation, which was found to be out of compliance with its abatement qualifications. Companies must meet two criteria - an investment goal and employment goal - to continue receiving the county-granted tax exception.
GFT produces foams and insulations that are highly resistant to extreme temperatures both hot and cold and is NASA licensed to produce materials for its projects.
Although GFT was fine with its investment in property, the company fell short from its promised 10 jobs, employing only about 3 people.
Council president Gerald Kirby and Jay County Development Corporation director Bill Bradley said they spoke with the owner during the abatement checkup and he openly stated that he knew he was not in compliance, but attempted to justify the shortfall.
The downturn in the economy mixed with struggles with suppliers and employees early in the startup have slowed GFT's growth. But once the products find a foothold in the market, business should flourish.
"There are some real promises with this company," Bradley said.
"I really don't blame him for this lack of employees," Kirby said in defense of GFT after speaking with the owner, and suggested the council continue the abatement despite the failure to meet compliance numbers.
Bradley also pointed out that the abatements for GFT are in their waning years, meaning the tax loss to the county is at its lower levels.
"It wouldn't be good for the county and certainly not good for the company," Kirby said.
"If the economy improves, will
See GFT page 6
Continued from page 1
the market be there?" asked councilman Dan Orr.
"The success of his company is not so dependant on the economy," Bradley said, noting that effective marketing will help to connect GFT to manufacturers who could benefit from the highly resistant building materials being produced in Pennville. Bradley said he thinks GFT is moving in the right direction toward that.
The council voted unanimously to continue the abatement despite the noncompliance.
"He's had a lot of challenges in this startup," Bradley said.
"So much of it was out of his control," agreed Kirby.
In other business Wednesday night, the county council:
•Approved an additional appropriation of $873 to the public defender's office to continue paying bills to attorneys from outside the office working on cases assigned before the end of 2008.
•Approved an appropriation of $45,000 for the jail's medical and hospital fund to continue paying for medical bills and for housing inmates outside of the county.
Sheriff Ray Newton said the average daily population at the jail is about 75 inmates and has peaked to highs of more than 80. About 15 offenders are being houses of out county at a cost of $35 a day. Newton said he has spent more than $52,000 this year housing inmates out of county due to overcrowding at the jail.
Newton said he wasn't sure how long the $45,000 would last, stating he might make it to September on those funds.
•Approved an appropriation of $3,880 to the superior court to pay for contractual services.
•Approved appropriations of $100,000 and $70,000 in the infrastructure fund to pay for architectural fees.
•Approved a transfer of $11,500 in the infrastructure fund to pay for the county's recent bond rating. The county received an A-plus rating from Standard and Poors.
•Approved a transfer of $150,000 to bolster the county highway's bituminous fund for materials to chip and seal roadways.
•Heard an update from community developer Ami Huffman on grants applied for and received during the 2008 fiscal year. Huffman said about $2 million in grants will be applied for by the end of August.
•Heard a report from councilwoman Marilyn Coleman on a recent conference she attended about county budgeting.
•Reviewed the county budget schedule. Budget reviews will begin in August and should be approved by September.[[In-content Ad]]
The council decided to continue the tax abatement for GFT Corporation, which was found to be out of compliance with its abatement qualifications. Companies must meet two criteria - an investment goal and employment goal - to continue receiving the county-granted tax exception.
GFT produces foams and insulations that are highly resistant to extreme temperatures both hot and cold and is NASA licensed to produce materials for its projects.
Although GFT was fine with its investment in property, the company fell short from its promised 10 jobs, employing only about 3 people.
Council president Gerald Kirby and Jay County Development Corporation director Bill Bradley said they spoke with the owner during the abatement checkup and he openly stated that he knew he was not in compliance, but attempted to justify the shortfall.
The downturn in the economy mixed with struggles with suppliers and employees early in the startup have slowed GFT's growth. But once the products find a foothold in the market, business should flourish.
"There are some real promises with this company," Bradley said.
"I really don't blame him for this lack of employees," Kirby said in defense of GFT after speaking with the owner, and suggested the council continue the abatement despite the failure to meet compliance numbers.
Bradley also pointed out that the abatements for GFT are in their waning years, meaning the tax loss to the county is at its lower levels.
"It wouldn't be good for the county and certainly not good for the company," Kirby said.
"If the economy improves, will
See GFT page 6
Continued from page 1
the market be there?" asked councilman Dan Orr.
"The success of his company is not so dependant on the economy," Bradley said, noting that effective marketing will help to connect GFT to manufacturers who could benefit from the highly resistant building materials being produced in Pennville. Bradley said he thinks GFT is moving in the right direction toward that.
The council voted unanimously to continue the abatement despite the noncompliance.
"He's had a lot of challenges in this startup," Bradley said.
"So much of it was out of his control," agreed Kirby.
In other business Wednesday night, the county council:
•Approved an additional appropriation of $873 to the public defender's office to continue paying bills to attorneys from outside the office working on cases assigned before the end of 2008.
•Approved an appropriation of $45,000 for the jail's medical and hospital fund to continue paying for medical bills and for housing inmates outside of the county.
Sheriff Ray Newton said the average daily population at the jail is about 75 inmates and has peaked to highs of more than 80. About 15 offenders are being houses of out county at a cost of $35 a day. Newton said he has spent more than $52,000 this year housing inmates out of county due to overcrowding at the jail.
Newton said he wasn't sure how long the $45,000 would last, stating he might make it to September on those funds.
•Approved an appropriation of $3,880 to the superior court to pay for contractual services.
•Approved appropriations of $100,000 and $70,000 in the infrastructure fund to pay for architectural fees.
•Approved a transfer of $11,500 in the infrastructure fund to pay for the county's recent bond rating. The county received an A-plus rating from Standard and Poors.
•Approved a transfer of $150,000 to bolster the county highway's bituminous fund for materials to chip and seal roadways.
•Heard an update from community developer Ami Huffman on grants applied for and received during the 2008 fiscal year. Huffman said about $2 million in grants will be applied for by the end of August.
•Heard a report from councilwoman Marilyn Coleman on a recent conference she attended about county budgeting.
•Reviewed the county budget schedule. Budget reviews will begin in August and should be approved by September.[[In-content Ad]]
Top Stories
9/11 NEVER FORGET Mobile Exhibit
Chartwells marketing
September 17, 2024 7:36 a.m.
Events
250 X 250 AD