by Brent Hovey
Reporter
Aurora -- The city's finance committee took some steps April 14 to try to keep a large industrial company in town.
Members approved two items that would benefit Rotek Inc., if it decides to remain in Aurora.
Rotek is planning a $90 million expansion, but is also considering leaving Ohio for Florence, Ky., just across the Ohio River from Cincinnati.
The first item favored was a Community Reinvestment Area tax abatement.
Finance Director Bob Paul said of the proposed $90 million expansion, $17 million is for real estate. The other $73 million is for equipment. Only the real estate is considered in the abatement.
Rotek would receive $3.4 million in tax abatements over a 15-year period. The city would share with the schools the income tax dollars the expansion would bring to the city.
The second item favored is adding a portion of Route 43 in front of Rotek to the 2008 road improvement program.
Paul said the plan is to widen Route 43 to include a left-turn lane and a deceleration lane along the front of Rotek's property.
The road improvement would cost about $400,000, according to Paul, who added he hopes the state would approve a grant and pay half the cost.
Service Director John Trew said by adding the widening to the road program, $200,000 worth of other road projects scheduled for this year would be postponed.
HE NOTED officials have not decided what projects could be put on hold.
Paul added, however, depending on the bids for the road project, the city still may be able to do some of the original projects.
Councilman at-Large Robert Galaska Jr., who was speaking as a resident and is not a member of the finance committee, said he doesn't believe the city should invest anything in Rotek until officials know whether the firm is committed to staying.
Mayor Lynn McGill was quick to point out that all the approvals would be valid only if Rotek stays in town.
"This is contingent on them staying here," he said. "This is a package to keep a company that has been here since 1978, has 215 jobs here now and will add 150 jobs, with potential to expand and add even more."
At a recent economic development committee meeting, Rotek officials said one advantage of moving to Florence is railroad access, which Aurora currently does not offer.
A railroad was discussed very briefy at the finance meeting. The panel agreed there needs to be much more detailed worked out between Rotek and the Wheeling Railroad Company before they can approve or reject a rail link.
A Rotek spokesman said the firm hopes to decide whether to stay or go by the end of May. If it stays, he said groundbreaking for about 299,000 square feet of manufacturing and office space likely would take place in June.
McGill stressed again that no money will be spent on Rotek if it leaves the city.
The Rotek tax abatement and road improvements will be on City Council's April 28 agenda.
E-mail: bhovey@recordpub.com
Phone: 330-688-0088 ext. 3115