(ATLANTIC) The Cass County Board of Supervisors approved a multi-year agreement for property tax exemption of part of the value of the Amaizing Energy ethanol site at their meeting this morning.
Fagen Farms LLP intends to acquire property owned by Amaizing Energy LLP north of Atlantic for the purpose of securing a developer to build a second generation biofuels facility. The resolution states that as an inducement to make an investment in planning and design of the proposed facility, Fagen Farms LLP requires financial assistance from the County in the form of either a reduction in the actual value on the property to an amount after rollback of $1,350,000 or a rebate of the difference between the actual property taxes paid and the property taxes that would have been paid on a value after rollback of $1,350,000 from now until the earlier of either; substantial completion of any plant built on the property, or two years after commencement of construction of a plant on that property.
Duane McFadden, Supervisors Chairman, and Kathy Showalter, of Planscape Partners, said Ron Fagen has made it clear that he is willing to make an investment in the property in order to make it a reality that he will have something to build in the future.
“In visiting with Ron he said he is willing to make the commitment at the 1.35 million but he will not strap his family to any time limit when this has to happen,” said McFadden. “And, he said whatever comes about to be developed, he will resell it for the price of what he bought just so that he’s working towards something happening there and who else is there at that price that is going to step up.”.
Showalter said, “He is not buying this on speculation at all, it’s not his goal to make a profit on purchasing this land.”
The Cass County Board of Supervisors agree to use available economic development tools to provide the future developer financial incentives equal to an exemption from taxation of 50% of the actual value of improvements to the property for a period of ten years and other benefits associated with Enterprise Zone designation in order to make this project a reality.