The Baxter Springs City Council on Tuesday night approved a 10-year property-tax abatement for a warehouse at the Orval Kent salad wholesale plant.
The completed plan forgives the company 100 percent of property taxes on the warehouse for the first two years; 80 percent will be forgiven for the next two years; and the amount of the tax break will decrease by 20 percent each two years thereafter until it is eliminated.
Mayor Huey York said the tax break applies only to the company’s new warehouse.
Councilman Larry Warner, did not vote on the tax break because his company does business with Kent.
He said Monday that besides the 15 or so people employed in the warehouse, the new warehouse could result in more production employees. He said tax breaks in Baxter Springs have succeeded in creating jobs at Atec Steel Fabrication, at King Louie America and at Bagcraft Papercon.
The Orval Kent production area had about 130 employees when the warehouse was being built in 2007.
York said the warehouse saves Orval Kent a substantial amount of money because it doesn’t have to truck its products to a storage site in Carthage, Mo.
Council member Lori Wren also abstained from the vote. She is employed by Orval Kent.
Council members Ron Costlow and Ed McAfee were absent.