posted on October 04, 2013 13:52
Release from the Genesee County Economic Development Center:
Yancey’s Fancy Project- Final Resolution- Approved
Discussion: Proposed sales tax and mortgage tax exemptions and property tax abatement
Yancey Fancy has updated their project specifications since submission of their original application for incentives. The original application was received by the GCEDC in April, 2013. According to the original application Yancey’s was planning an 112,000 sq. ft. expansion at their existing facility, 857 Main Rd. Corfu, NY. After moving forward with planning and permitting for the expansion the company has decided to build a new facility within the Buffalo East Technology Park (BETP) located in Pembroke, NY. Yancey’s Fancy would like to purchase approximately 12 acres within the BETP, and build an 112,000 sq. ft. facility. The capital investment is estimated to be $18.2 million. The company plans to keep their artisan cheese operations and retail store in the current location (857 Main Rd.), and to undertake an expansion at this location as well. The second part of the project will include the addition of 3,500 sq. ft. at the 857 Main Rd. location where they will install a new reverse osmosis system. The instillation of a reverse osmosis system will allow whey produced during the cheese making process to be dried and sold. Currently whey is transported by local farmers at a cost to Yancey’s. By utilizing reverse osmosis technology, it is possible to concentrate the solid content enough to sell whey to processors and animal feed operations. Recent technological advances also allow the water removed from the whey to be pumped back into plant operations. These advances, as well as the expansion of the town and village sewer system, have made the reverse osmosis project a viable opportunity in the overall growth strategy that Yancey’s Fancy in undertaking. The capital investment of this project is estimated to be $2.5 million.
The total capital investment for Yancey’s project is estimated at $20.7 million. The company currently has 108 full time equivalent (FTE) employees and expects to add 50 more over three years after the certificate of occupancy is obtained for this new facility. A public hearing was held since incentives sought by company is over $100,000 and no public comments resulted.
Board Action Request: Approval of a final resolution for the Yancey’s Fancy project. The estimated sales tax exemption is valued at $638,608, and the estimated mortgage tax exemption is valued at $233,388. The new building and land located within the Buffalo East Technology Park will have an estimated property tax savings of $686,314, and the incremental increase in assessed value that will apply to the additional square footage at the 857 Main Rd. location will have an estimated property tax savings of $49,022. The total estimated property tax exemption is valued at $735,336.
Alpina Foods 2013 Expansion- Final Resolution- Approved
Discussion: Proposed Sales Tax Exemption
Alpina Foods continues to grow their yogurt manufacturing operations at their production facility located within the Genesee Valley Agri-Business Park. Alpina Foods invested over $20 million to build their 42,000 sq. ft. facility in 2011 and are planning to invest another $3 million this year in new production equipment and interior renovations. The 2013 capital investment plan will increase their production capacity and includes spending $2.5 million in new production equipment and $500,000 in interior construction (furniture, fixtures, and non-manufacturing equipment). Associated with this expansion plan Alpina has committed to adding an additional 15 full-time equivalent employees to their workforce over the next three years after completion of the expansion project.
Board Action Request: Approval of a final resolution for sales tax exemption valued at $40,000.
Historical Look: In 2011 Alpina Foods, a leading South American dairy products company constructed their first United States yogurt manufacturing facility. The facility is located in the Genesee Valley Agri-Business Park and currently has 50 full time workers on site. Alpina met job creation commitments for their initial project ahead of schedule and is now looking to add additional investment and jobs with their 2013 expansion project.