Ten-year tax abatements for three different Seymour companies totaling more than $56 million recently were granted by the city council.
During the council’s meeting on April 22 at city hall, statement of benefit requests and resolutions for tax abatements were unanimously approved for Valeo North America Inc., Fostech Inc. and Aisin USA MFG., Inc.
A tax abatement occurs over a 10-year period in which companies pay 10% more on taxes each consecutive year. Companies do not pay any property taxes on the improvements the first year of a tax abatement.
The statement of benefits and resolutions both were introduced by industrial development committee chairman Seth Davidson.
Jim Plump, executive director of Jackson County Industrial Development Corp., spoke on behalf of each company.
Valeo, which is located at 1231 A. Avenue North in Freeman Field, is investing $29,258,000 toward manufacturing equipment to support continued business growth.
Plump said the project will create up to 192 new positions and will allow Valeo to retain its current workforce of 1,365, not including temporary workers.
He said the project is expected to start around May 1 of this year and be completed by Dec. 31.
Valeo North America Inc. has been producing automotive lighting systems in Seymour since 1978 and have developed several lighting innovations for the industry used by automakers worldwide.
Fostech Inc., which is located at 320 Myers St., is investing $635,000 for the purchase of a Vertical Machining Center.
Plump said the investment would allow the company to retain its current workforce of 29 employees while also adding two new jobs.
The project is expected to start on or about May 1 and will conclude by December 31.
Fostech Inc. is a family-owned firearms manufacturer based in Seymour that was founded in 2010 in a garage. The company is owned by brothers David, Paul and Mark Foster. Fostech designs, builds and produces products for both civilian and military customers, including Origin-12 shotguns, ultralight AR-15 rifles and a line of firearm accessories, the website states.
Officials with Aisin, located at 500 Burkart Blvd., requested four tax abatements including two real estate and two personal property for a total investment of $26,798,968.
At Plant 1, located at 1700 E. Fourth St., the company plans to invest $17,615,560 in new machinery equipment as well as $397,000 in real estate improvements.
At Plant 2, the company projects to invest $8,533,408 in new equipment and $253,000 in real estate improvements.
Plump said much of the personal property investment will allow the company to continue toward electric vehicle parts.
All projects will start June 1 of this year and are projected to be completed by June 1, 2026.
Plump said at this time the company is not committing to adding new positions with this investment, but it will allow the company to keep its current workforce of 1,895 employees. That does not includes around 200 temporary workers.
Aisin USA Mfg., Inc. has been operating in Seymour since 1988, manufacturing automotive components like door frames, seat adjusters, and molding. AUM is a subsidiary of Aisin Seiki, a Japanese company, and is located in East Side Industrial Park near Interstate 65.