By MELINDA J. OVERSTREET
for Glasgow News 1
The Glasgow Common Council on Monday finalized the 2025 property tax rate for real and personal property and gave a first nod to tax incentives for two industries looking to come to town.
At the Sept. 15 special-called council meeting, three council members – Randy Wilkinson, Elizabeth Shoemaker and Marna Kirkpatrick – voted against the proposed rate of 0.165, or 16.5 cents, per $100 of assessed property value for those two property categories after several minutes of discussion, but they were outvoted by the other six members.
The 2024 rate for both real property and personal property was 0.169, or 16.9 cents per $100 of assessed value of the property. The compensating rate – the one that would be expected to produce roughly the same or close to the amount of revenue as the prior year, as calculated by the Kentucky Department for Local Government and provided to the city, would have been 0.160, or 16 cents, per $100 of assessed property value.
The proposed rate was a compromise that would still reduce the rate for property owners. At the same time, this rate’s anticipated revenue of $2,114,050 would be roughly $82,522 more than from the previous year. It would be a smaller amount than what is budgeted, but the gap is not expected to be as wide as it would have been with the compensating rate.
After lengthy remarks from Councilman Randy Wilkinson, during which he spoke about the rising cost of taxes and other things since 2013 and relatively stagnant salary rates as well as questions about whether certain kinds of things could be cut and whether the city is doing things as efficiently as possible, Monday’s council vote on the second reading was 5 to 4 in favor of the ordinance. This time, without comments or questions, Councilman Freddie Norris joined the three who had previously voted against the rate.
The only new business was a proposed ordinance that would provide tax incentives for two businesses that are looking to locate here: Union Coating & Chemical Industries and Tate Access Floors Inc. Each company would receive a discounted rate on the occupational license fee on certain wages paid to their employees, provided they meet the criteria of the Kentucky Economic Development Finance Authority.
Maureen Carpenter, president and CEO of the Barren County Economic Authority, was on hand at the meeting to answer questions. She emphasized that these deals are preliminary, particularly with Tate, showing the city’s commitment but noting that the companies have not finalized their commitments to bring the projects here.
“They have up to two years to go active,” she said, and it could take two to three years to ramp up that level of employment.
Mayor Henry Royse said he saw it as a positive sign that they had two potential projects on the table at one time.
Councilman Joe Trigg asked some questions about the process, and he said a previous company that had received incentives had gotten them only for 10 years.
Carpenter said that, in 2024, Barren County got an “enhanced” designation that allows the incentive to go for 15 years in certain locations.
After other questions and comments, Councilman Terry Bunnell said he thought the incentives were a good way to welcome the companies.
Carpenter said she is still under nondisclosure agreements that limit the extent to which she can share details.
She said one of the best ways that council meetings and community members can help with the industrial recruitment process is to be positive and be mindful that people who are scouting locations for their companies could be in the next booth over in a restaurant or walking the aisles of a local store hearing comments.
Egypt-based manufacturer Union Coating and Chemical Industries plans to establish its first United States operation in Barren County, providing 60 jobs and investing $11.9 million into the community.
Tate Access Floors specializes in raised floor, structural ceilings, and data center containment, according to its company website. That company was approved for state financial incentives last week for a $33.2 million project with up to 400 jobs.
The average salaries of the companies for these projects are between $20 and $30/per hour, Carpenter said.
The ordinance, first reading of which was approved unanimously, permits a rebate or retention of 1 percent of the 1.75 percent occupational license fee on certain wages paid to employees in the city for up to 15 years, on the condition that the two industries meet the criteria of their applications for incentives with the Kentucky Economic Development Finance Authority and other stipulations within the ordinance.
The next regular meeting is scheduled for 6 p.m. Oct. 13 in Council Chambers on Floor 2 of the Luska J. Twyman Municipal Building, 126 E. Public Square.
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TO LEARN MORE
To see Glasgow News 1 reports on announcements about the two new industries, click on the respective links below:
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