Earlier this month members of the Plymouth City Council approved an ordinance that authorizes the issuance of taxable economic development revenue bonds that will support Pretzels, Incorporated’s multi-million dollar expansion project.
Heidi Amspach from Baker Tilly, formerly Umbaugh said the bonds would be purchased by the company and payable from the TIF revenues generated from the plant expansion project.
While the Pretzels Inc. facility is located in TIF District #3, a special TIF area will be created for the new project so the tax dollars captured for the TIF from the expansion project will be pledged to pay the bonds.
Pretzels Inc. would receive 100% of the taxes they paid for the first 10 years to pay the bond and the remaining 4 years they would receive 80% with the Redevelopment Commission receiving the remaining 20%.
Amspach assured members of the City Council that no funds are coming from the city for the bond issuance. She said Pretzel’s Inc. is responsible for all costs.
The City Council unanimously approved the ordinance on second and third readings.
