SYRACUSE -- Satisfied that noncompliance with terms was due to outside factors, town council approved tax abatements for two businesses Monday.
Council renewed tax abatements for Syracuse Properties LLC and Technical Services Inc. during a special meeting Monday. Members had postponed those renewals when they OK’d two others April 17, noting that payroll and hiring numbers didn’t meet expectations.
There was a misunderstanding on the numbers in the real-estate company’s case, councilmen learned after the April meeting. They approved the abatement quickly Monday.
They then voted in favor of Technical Services after Alan Tehan, president of the mechanical and electrical research and development company, explained that they had lost several accounts and had little success attracting new ones due to the downturn in the economy.
Councilman Bill Musser asked directly if the shortfall on job targets was due to factors outside the company’s control, and Tehan said yes.
Requirements for Technical Services to keep a tax phase-out begun in 2009 include creating eight new jobs in town with a projected payroll of $1.4 million, council observed in April, noting the company had fallen far short. Determining that factors outside the company’s control are responsible is the legal exception to noncompliance.
Also Monday, council agreed to a suggestion from Clerk-Treasurer Julie Kline that the town temporarily loan money from the wastewater depreciation fund to the Oakwood infrastructure fund in order to cover immediate repair needs.
A $90,000 loan is needed to purchase a generator for the park lift station and clean out the wastewater system. The wastewater fund will be repaid from money collected from Oakwood residents.
Council will vote on authorizing the loan during the regular meeting May 15.
Council on Monday did not discuss the fate of Oakwood after learning Buckingham Properties backed out of its purchase agreement, Kline said after the meeting. She said finding a new buyer is in the hands of receiver Ian Rolland.
