MORTON — School Board members Tuesday agreed that an intergovernmental agreement regarding property tax abatements for businesses that wish to move to Morton or expand a facility in the village be extended for three years.
The original agreement between the Morton School District, village of Morton, Morton Public Library, Morton Township and Tazewell County was approved in 2014.
It expired Dec. 31, 2017, but will be extended to Dec. 31, 2020, if all of the taxing bodies involved agree to the extension. It isn't known if the other taxing bodies besides the School District have voted on the agreement extension.
The eight-page agreement, developed by a Morton Economic Development Council committee over a 10-month period, spells out the requirements industrial, knowledge-based and logistics companies must meet for an abatement.
The agreement also limits an abatement to five years with the amount of the abatement declining each year.
One of the abatement requirements for an industrial company, for example, is a minimum 15,000 square feet of new construction or a minimum $2 million in new construction.
Industrial, knowledge-based and logistics companies all have job creation and wage rate requirements.
The first-year abatement is 90 percent. The fifth-year abatement is 50 percent.
School District Superintendent Jeff Hill said the agreement is beneficial to the district, not just because the growth of the district's equalized assessed valuation is essential to the district's financial health.
"The agreement brings consistency to the process of offering incentives for businesses to locate within the School District boundaries," Hill said.
Steve Stein can be reached at 686-3114 or email@example.com. Follow him on Twitter @SpartanSteve.