Jasper Engines tax abatement approved

The Jasper Economic Development Commission met Friday morning and approved the tax abatement request from Jasper Engines & Transmissions on their plans to purchase and renovate the former Kimball Plastics facility at 1220 Power Drive in Jasper.

The commission listened as Jasper Engines Chairman and CEO Doug Bawel re-stated the company’s plans to invest $6.9 million in a plan that includes purchasing the 220,000 square foot facility so that it becomes the new home of the transmissions division of their Jasper Operations.

Bawel stated that they have an aggressive time line, which is the
reason that the Economic Development Commission was asked to have a special public meeting this morning to score the application for the tax abatement, then pass it to the Jasper Common Council, which met immediately following the Economic Development Commission.

Bawel wants to move the transmission division into the facility by August.

The reason for the expansion, according to Bawel, is due to the company’s sales growth. Unit sales for 2012 were 121,901. For 2013 are 131,615, an 8 percent increase and the company is on track for 2014 for an increase of 14 percent. Projections for 2015 are for a 10 percent increase.

The company scored a 113 on their application which gives them a 100 percent abatement during the first 8 years, 75 percent in year 9 and 50 percent in year 10.

The Jasper Common Council voted to approve the abatement schedule.