Oliver Seeks Tax Break Move
GRAND RAPIDS — City commissioners will hold a public hearing July 22 to help them decide whether they should approve a transfer of an industrial tax exemption that was awarded to the Oliver Products Co. a few years ago.
The state tax certificate for an equipment purchase was assigned to the company’s leased building in Plainfield Township. Oliver Products wants to relocate the certificate and the medical packaging equipment it bought to its headquarters in the city at 445 Sixth St. NW.
City Economic Development Director Kara Wood said the company never installed the equipment at its Plainfield Township site and the three-year lease Oliver Products had there is about to expire. Wood said Oliver Products invested almost $2.7 million in the project and relocating the equipment here will bring five more jobs into the city.
“It shows that they’re growing and doing well,” said Wood.
“They have diversified pretty well,” she added of the firm’s move into medical devices.
In addition to the jobs, the city will also receive $12,600 in new income-tax revenue over nine years if commissioners OK a transfer of the abatement. The equipment purchase has been estimated to produce a total of $126,000 in new state and local taxes over nine years, with $42,000 of that amount being generated in the city. Half of that total will be abated by the transfer. The city’s portion of the abatement comes to $21,000.