Reagent Chemical and Research in Knox will soon be expanding, thanks to a series of tax phase-ins for the company. The Knox City Council at a special meeting last night approved the phase-in for Reagent, allowing the business a five-year deduction for new manufacturing equipment and a ten-year deduction for two real property improvements.
Mayor Rick Chambers explained that this is a mutually-beneficial agreement for both Reagent and the city of Knox.
“It’s just the city’s way of helping out businesses to get them started to cut some expenses. It’s just a good working relationship for everybody,” said Chambers.
City Attorney David Matsey and Reagent’s attorney, Todd Wallsmith, worked together to rewrite the resolution and come to a compromise with the agreement. Reagent agrees to provide at least 11 full-time jobs paying at least $297,440 per year in wages, and will convert at least 90,000 pounds of solid waste such as paint waste and leftover scrap from manufacturing clay targets.
Reagent is not responsible for filling all 11 positions until the expansion has been completed, and if they cease doing business at their current location, the business must repay any and all taxes that were abated.
A motion was made and passed unanimously to approve the resolution.