Chesterton Tribune



Tax abatement endorsed for Andritz Herr-Voss

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The Chesterton Tax Abatement Advisory Committee has endorsed a 10-year abatement for a 20,000-square foot addition at the Andritz Herr-Voss Stamco Inc. facility, located in the Jack Oremus Industrial Park, 1079-1 Industry Drive, on the far west side of town off Ind. 149.

Members voted unanimously to endorse the abatement at a meeting Thursday afternoon.

The Town Council must now formally approve the abatement.

Andritz Herr-Voss Stamco--which produces steel rolls for the steel, paper, and aluminum industries--is the most current iteration of a company which has been in business at Jack Oremus for some 20 years, and is the tenant of the industrial park’s owner, Chester Inc. In 1999, the Town Council granted the company a 10-year abatement, which has since expired.

As Associate Town Attorney Julie Paulson noted, the new abatement--if granted by the Town Council--would apply only to the increment of assessed valuation, estimated at $1.46 million, of the 20,000-square foot addition, not to the total AV of the entire facility.

Andritz Herr-Voss Stamco currently employs 52 with an annual payroll of $1,980,000. Thirteen more full-time employees would be hired to staff the addition, with a payroll of $522,000. The addition is projected to generate--following full tax phase-in--$38,000 in property taxes.

Work on the addition is scheduled to begin sometime this month and be completed on April 30.

The Advisory Committee did recommend that the Town Council consider two conditions on the abatement. The first: that Town of Chesterton residents be given preference for hiring, consistent with their qualifications; and that Andritz Herr-Voss Stamco annually donate 15 percent of the amount which it would have paid in property taxes to a local public or not-for-profit entity. Pete Peuquet of Chester Inc. expressed the hope that the 15-percent donation might be made to the Duneland School Corporation.



Posted 10/4/2019




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