December 10, 2022
The Herald Bulletin, Ken De La Bastide
ANDERSON — A tax abatement for the third expansion of the Interstate Cold Storage facility in Anderson has been approved.
The Anderson City Council Thursday approved a six-year, 60% tax abatement for the Tippman Group for a planned $31.5 million expansion.
The council set a public hearing for Jan. 12 at 6 p.m. to consider a seven-year, 70% tax abatement for a $400.5 million expansion of the Nestle plant.
The Tippman Group opened Interstate Cold Storage in 2019 and has invested $80 million in Anderson.
Greg Winkler, executive director of the Anderson Economic Development Department, said the expansion will create an additional 20 jobs.
Winkler said the company’s initial investment in Anderson was $25.7 million; the first expansion in 2021 was an investment of $21.5 million.
He said the Tippman Group will have paid $500,000 in property taxes before the second and third expansions are completed and the company will eventually pay approximately $1 million.
Currently Interstate Cold Storage employs 70 people and intends to hire an additional 33. The starting wage is $26.44 per hour with benefits.
The council passed two resolutions pertaining to the tax abatement requested by Nestle.
This will be the Nestle company’s seventh expansion of its facilities since locating in Anderson in 2006.
Nestle is seeking a seven year 70% tax abatement on a planned $400 million equipment expansion and a $60,000 plant expansion.
The expansion is expected to create 68 jobs with an annual salary of $6 million.
The additional payroll would generate $193,800 in state income taxes and $135,000 in county local option income tax revenues.
Winkler said a portion of the planned expansion will include an upgrade of the facility’s wastewater treatment procedures. Nestle first announced it was locating in Anderson in 2006 with an initial investment of $359 million and the creation of 300 jobs.
The plant employs more than 800 workers, with the majority of them residing in Anderson and Madison County.