Chuck Simon wanted a 10-year abatement for his manufacturing business.

Kosciusko County Council approved a five-year abatement Thursday for $400,000 of equipment for his steel rolling manufacturing business.

Simon plans to begin his new business at 27 E. CR 250N, south of the Warsaw airport. The building has been vacant for several years. It is a steel process fabrication plant that will supply parts to the trucking industry.

Simon's company, Simon Roll Forming Co., will have 13 new employees by the end of the first year and will add three to five employees in the second year, he said. Eventually, he said, he hopes to employ 60 to 70 people. Attorney Steve Snyder, representing Simon Roll Forming, said the 13 new positions will add $340,000 in salaries to the community.

He told the council they should approve the abatement because "this building will probably sit as is without someone like Simon Roll utilizing it without sewer and water."

Snyder said he was aware Midwest Roll Forming Co. was going to remonstrate against the abatement, arguing that a tax abatement would give Simon Roll Forming an unfair advantage. He said in 1997, Midwest asked for and received a tax abatement from Pierceton for $471,000 for 10 years. He said, "We would not be getting an unfair tax abatement because they already have one in place."

Councilman Lewis Bertsch asked how large the economic revitalization area will be if approved. Snyder told him it was 5.9 acres.

Councilman Harold Jones asked how a five-year abatement instead of 10 years would change Simon Roll Forming's plans. Snyder said they would accept a five-year abatement but would prefer 10 years.

Attorney Rick Helm, representing Midwest Roll, said the abatement granted Midwest Roll is not the same situation as an abatement granted to Simon Roll Forming. Midwest Rolling brought jobs to the marketplace, he said, while Simon Roll Forming is taking jobs from the old market, not creating new ones. He said the county should not be in the business of stealing jobs from one company to another.

As for the oddly sized building Simon Roll Forming will take over, Helm said, "That building is going to sell when the price is right."

Bertsch told Helm he was not sure the council should get involved in competition between two companies.

"It's (Midwest's) problem," he said.

Helm said the council needs to have more criteria to approve abatements than an attorney saying the market will expand.

In rebuttal, Snyder said, "As far as taking jobs, if someone from Midwest thinks it's better to work at Simon, that's their decision. If someone thinks it's better to work at Zimmer, that's their decision."

He said there is plenty of room in Warsaw for manufacturing companies to compete.

Jones said Midwest is a good company and Chuck Simon is a good man.

"The fact that (Midwest) ha(s) a tax abatement through Pierceton, we must be fair about it," he said. He said he would rather give a five-year abatement instead of a 10-year, which has been the county's unofficial policy.

Bertsch approved the resolution setting up the property as an Economic Revitalization Area for five years and the resolution passed 6 to 1. Only councilman Jim Tranter opposed.

He later said he was opposed because "I still think we need to come up with criteria to establish tax abatement."

Jones agreed to the need for criteria, but said the council should not penalize businesses in the county when cities like Warsaw and Pierceton are giving tax abatements. [[In-content Ad]]