Michigan City Paper Box to request tax abatement at Michigan City, Indiana, city council meeting, would allow company to install US$725,000 worth of new equipment, add four jobs
MICHIGAN CITY, Indiana
November 11, 2011
– One of Michigan City’s oldest companies, the Michigan City Paper Box Company, will seek help in expanding this week when they request a personal property tax abatement at the Michigan City Common Council meeting on November 15th. The abatement will allow Michigan City Paper Box to install modern equipment that will increase their competitive position in the marketplace. Michigan City Paper Box Company manufactures high quality packaging products used in many different types of retail and commercial industries.
Michigan City Paper Box intends to purchase two new fully automated lines that would manufacture rigid boxes. The cost of the equipment is about $725,000 dollars.
By expanding and investing in the Michigan City area, they will retain 54 local jobs and add an additional 4 jobs. The company has an annual payroll of over 1.6 million dollars and will add almost $90,000 in local wages. “Michigan City Paper Box is a long term industrial citizen of Michigan City that is successfully competing in the world market. We are pleased that have elected to reinvest in our community.” said Mayor Charles Oberlie.
With a tax phase in process being sought by Michigan City Paper Box, they will start paying taxes in year two and by year ten they will be paying full taxes on the new equipment. As with any tax abatement granted, the company still pays the full amount of the current taxes, the abatement is on the new investment.
“Giving companies an incentive such as tax abatement shows our willingness to support and encourage them to grow at the local level. We are happy to do what we can to make local businesses successful domestically and in the global market,” said Kevin Kieft, Business Development Manager for the Michigan City Economic Development Corporation.