Commissioners approve incentives; Thomasville to consider April 21
Davidson County Commissioners approved an incentives package for a company to relocate to Thomasville.
Commissioners on Tuesday night passed an economic incentives package for Project MEND, a metal working company that plans to move to Thomasville, invest $2 million and create 20 jobs. The approved five-year package is for .0027 times the investment in plant, machinery and equipment, and could total $27,000 should the unnamed company meet its job creation requirements.
“We've been working with them off and on for about two years,” said Steve Googe, executive director of the Davidson County Economic Development Commission. “They are considering a location in Thomasville. They're good jobs with wages a little above the county average.”
There is a $5,400 annual cap on the incentives and commissioners agreed to pay the third year up front to help the company relocate.
“They're wanting to relocate here and the guy needed a little upfront money to move his equipment in,” Commissioner Don Truell said. “It's one of those things where it's a win-win because the equipment will be here so if we do it up front and something were to happen we would get our money back. Everything looked good on it.”
Truell said the company selected Thomasville for several reasons.
“I think one reason why they want to relocate here is they looked at the job market here and they know it's needing some help,” Truell said. “They also looked at our tax base here and the package that we offered them. It looked good to them.”
Thomasville City Council will hold a public hearing April 21 to consider a similar incentives package. Googe will ask City Council to pay the third year of incentives up front to assist the company with its relocation costs.
“In this particular case, the cost of relocation is extremely expensive,” said Googe. “Moving heavy machinery can get pretty costly. The packages will be almost identical. The only difference is the Thomasville multiplier would be .0027 times the investment and their annual cap would be $5,500. They would pay a little more because their tax rate is higher.”
Googe said a reason for fronting the third year of incentives is because that is the when requirements for job creation and investment kick in.
“The project will increase the property tax base and thus tax revenues and provide jobs for the citizens of Thomasville and Davidson County,” Googe said.
City Council meets on the second floor of the Thomasville Police Department, 7 W. Guilford St., at 7 p.m. on the third Monday.
Staff Writer Eliot Duke can be reached at 888-3578, or email@example.com.