Plymouth Common Council approves tax abatement for Bomarko

Thursday, September 26, 2024 at 12:00 AM

By Kathy Bottorff

Bomarko received a personal property tax abatement for installing a new press and additional equipment. The estimated capital investment for their facility at 2400 Walter Glaub Drive in Plymouth is $4 million.

Bomarko currently employs 97. This investment is conservatively estimated to add an additional four full-time employees. These additional positions are expected to average up to $27 per hour.

Kimberly Birchfield, Bomarko Controller, attended the Plymouth Common Council meeting on Monday, Sept. 23, to answer questions from the council during the public hearing.

The tax abatement is a seven-year phase-in abatement. The additional assessed value of the personal property for this investment will be phased in over the seven-year period. This helps companies invest in expanding their manufacturing capacities without paying a significant increase in taxes in the first year. They will gradually pay more each year as the assessed value of the personal property increases.

Bomarko received a previous abatement in 2019 and has complied each year. To stay in compliance, the number of jobs created and retained by the capital investment is reported each year. For this reason, companies are often conservative when estimating the number of new jobs created.

“Bomarko has been a long-time locally grown company that has been a good corporate citizen in the community. This company has grown from only producing rolls of waxed paper to a leading flexible packaging and specialty coating manufacturer,” said Marshall County Economic Development Corporation’s Greg Hildebrand. “MCEDC was proud to assist Bomarko in this process and thanks the City of Plymouth for helping to incentivize this type of growth in Marshall County.”