Lake X-Ray tax break approved

Published 7:29 am Tuesday, February 15, 2011

Hearing no comment at a public hearing Monday night, Dowagiac City Council approved Lake X-Ray’s application for an industrial facilities tax (IFT) exemption that will preserve six jobs.

“We’re very pleased that Lake X-Ray is siting its new facility in the industrial park,” said City Manager Kevin Anderson. “As such, they qualify under the IFT program that has been available and has been used numerous times. Cindy (LaGrow, the economic development coordinator from Coloma) has been working with them. Unfortunately, she’s ill tonight and couldn’t be here.

“They’re looking at an investment that could be up to $300,000 for improvements they’re making to the property. The facility’s well underway and will be a nice addition to the community. ‘Tax abatement’ doesn’t mean zero taxes, it means a reduction by 50 percent. We anticipate that when this is done there will still be new taxes coming in to the community of about $1,100 for the city and another $850 or so for the other taxing entities. They’re a business that’s been around the area for a number of years, experienced some storm damage and moved into some rental property. I’m glad to see they’re making a long-term investment and will be around.”

In other Feb. 14 business, council authorized Anderson to prepare a grant pre-application with the U.S. Department of Agriculture for a $99,900 revolving loan fund.

“It has been an issue on a couple of projects as the credit markets tightened up. It can be a nice tool to bridge financing,” Anderson said, to which Mayor Pro Tem Leon Laylin added, “There are seven or eight small entities operating out of National Copper Products, almost like an incubator. This could make the difference in them being able to upgrade machinery and get a contract. We can use this to help them, and thereby provide more jobs for our community. That’s why we’re doing what we’re doing.”

So that they can attend The Disney Way public kickoff keynote by Bill Capodagli Monday, Feb. 28, at 6 p.m. at Dowagiac Middle School Performing Arts Center as part of the city’s initiative with Dowagiac Union Schools, Southwestern Michigan College and Borgess Lee-Memorial Hospital, council moved its meeting back to 8 p.m., after the speech.

Council authorized submittal of a Category A grant application to the Michigan Department of Transportation (MDOT) for 2012 road improvements to Paul/Prairie Ronde from M-51 to Lowe/Middle Crossing.

At the mayor’s urging, Anderson broke down the three categories of local neighborhood arteries such as Green Street, which the city has committed $100,000 to $150,000 to satisfy its responsibilities because there are no grant funds available; small urban streets, such as Prairie Ronde, Telegraph, Pokagon and Lowe, which qualify for some grant assistance, including some $700,000 every three to four years; and state projects on M-51 and M-62.

In an item which recurs annually, council authorized four city employees to sign MDOT permit applications — Anderson, Department of Public Services Director and City Engineer Christopher Bolt, civil engineer Cory Vincent and Public Works Operations Superintendent Matt Stack.

The Valentine’s Day meeting ended on a somber note as Mayor Donald Lyons announced the death of 31-year-old volunteer firefighter Jimmy Keys in a South Haven auto accident.

Council observed a moment of silence in his memory.

Lyons commented, “He was certainly a very valuable member of the city staff. We’re deeply saddened about the circumstances.”

Second Ward Councilman Jim Dodd, a longtime firefighter, agreed. “No matter what you told him to do, he’d just go, no questions asked. A very nice guy, very polite.”

Second Ward Councilman Bob Schuur added, “Keep his wife in your prayers. She was injured.”

Schuur echoed other council members praising the crews’ swift snow clean-up after a foot fell on Groundhog’s Day. “They’re just good guys. Where else would you found that but in a small town like Dowagiac?”

City Clerk Jim Snow reminded that Dowagiac will be 163 years old on Wednesday.

The city was founded on Feb. 16, 1848.

Dodd said of Linda Roberts’ letter to the editor about her granddaughter’s injury falling against an ice sculpture, “Why don’t we look at that next year and maybe ask Boy Scouts or volunteers to help out keeping ice off the sidewalks or sidewalks sanded so this type of accident doesn’t happen again?”

Council directed City Treasurer Robin Coffey to pay out $730,322.68, including $547,446.45 for bills and $182,876.23 for payroll.