(STURGIS) - The Sturgis City Commission has approved a 12 year Industrial Facilities Exemption Certificate for a local business.
Wednesday, the Commission held an IFEC public hearing regarding a request from Summit Polymers.
IFEC's can only apply to real property for a business as personal property is exempt from local taxes.
Sturgis City Clerk Ken Rhodes says Summit has made an investment of $15.6 million into a new 71,000 square foot addition. The real property portion of the project is valued at $6.6 million which would be covered by the IFEC. The expansion allows Summit to offer new products to the automotive industry.
With this expansion, Summit will also create 45 new jobs.
Rhodes says if approved the IFEC would allow Summit to play one-half their normal taxes for 12 years. The would be approximately $110,000 per year during the 12 years of the IFEC.
The Commission unanimously approved the request.