UNION — Union County Council unanimously approved the second reading of an ordinance authorizing a fee-in-lieu-of-tax (FILOT) arrangement with Gestamp, which would allow Gestamp to pay a lower property tax rate. Such incentives help foster economic development and job creation, to which Gestamp has already committed.
The agreement covers the 150,000 square-foot expansion of the facility currently under way. Gestamp is investing $60 million in the expansion which is designed to increase the facility’s to handle increased production from new business contracts. The expansion is projected to create approximately 120 new jobs.
Council also unanimously approved the second reading of an ordinance to authorize a FILOT agreement by and between the county and Lockhart Power Company.
The ordinance states that its purpose is to induce Lockhart Power to install a “project” on its property. Said project refers to the ongoing construction of a small hydroelectric plant in Lockhart beside the company’s existing hydroelectric plant.
Lockhart Power’s Chief Operating Officer Bryan Stone said Thursday the company will hold a groundbreaking or ribbon-cutting ceremony in the near future to make the formal announcement.
The new plant will take water currently running from Lockhart Canal into Broad River and run it through a new turbine generator to generate renewable energy. Stone said in March that the new turbine will be rated for 800 kilowatts which is roughly enough at full output to provide power for approximately 800 households.
Look for more information as it becomes available regarding the projects of both companies in future editions of The Union Daily Times and on www.uniondailytimes.com.
Staff Writer Derik Vanderford can be reached at 864-427-1234, ext. 29, or by email at firstname.lastname@example.org.