Jerome Township officials gave the green light to a tax abatement that will be offered to a new logistics center.
Trustee Chair Barry Adler emphasized that the Enterprise Zone Agreement with Mixt Solutions and Mixt Holdings is an agreement with Union County, but requires approval by Jerome Township.
Mixt Solutions, which describes itself as an online sales company specializing in Amazon-based consulting, intends to construct a 60,000-square foot e-commerce, marketing and logistics center on 3.076 acres of land at 8495 Rausch Drive.
According to information in the agreement, construction is expected to begin on April 15 and be “substantially completed” by April 30, 2025.
The company is expected to invest $6,744,215 in completing the project.
Through the Enterprise Zone Agreement, Mixt Solutions will receive a seven-year, 45% tax abatement on the increase of the assessed valuation of the property.
Adler explained that the property lies within the enterprise zone, which designates areas of land in which businesses can receive tax exemptions for new investment, already existing in the township.
Jerome Township land was added to the enterprise zone in 2012.
Adler said the company is not required to join the Joint Economic Development District (JEDD), through which a 1.5% income tax is collected from persons working and residing in the district and the net profits of businesses within it.
For that reason, Adler said Union County/Marysville Economic Development Director Eric Phillips offered the company a 10% lesser abatement than the Economic Development Incentive Policy suggests.
Adler also highlighted several conditions that the company will be required to fulfill regarding the local school districts.
Beginning in 2025, Mixt Solutions will be required each year to provide a paid internship to a Jonathan Alder student attending Tolles Career and Technical Center.
The company will also be required to contribute $500 each to the JA Athletic Boosters and JA Music Boosters each year. In any year Mixt Solutions cannot place a student in a paid internship, those contributions will be bumped to $750 each.
Trustee Wezlynn Davis said she felt it was important to note that officials from the school districts are in favor of the abatement that is being offered.
The company is estimated to create 22 full-time, permanent jobs by 2031.
The cumulative, estimated payroll of those positions is expected to be $1,250,000, according to the agreement.
Adler also noted that the agreement includes “claw back provisions” that ensure the tax abatement will be repaid if the terms are not met.
Mixt Solutions will be required to submit any information requested by the Union County Tax Incentive Review Council (TIRC) to evaluate the company’s compliance with the agreement.
If Mixt “fails to fulfill its obligations under this agreement, other than meeting the number of employee positions to be created or retained,” Union County officials may terminate or change the tax exemption.
The county may also do so if Mixt is given written notice of unfulfilled obligations and does not remedy them within 30 days.
Under these circumstances, the company can also be required to repay taxes that were abated through the agreement.