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Expansion resolution approved by board

Former Case New Holland property moves closer to desired KOEZ?designation

By JOE?CANNON Special to The Sentinel
POSTED: May 29, 2009

LEWISTOWN - Designating the former Case New Holland plant in Belleville a Keystone Opportunity Expansion Zone came another step closer to reality following action taken Thursday night by the Mifflin County School Board.

After an update on the project by Mifflin County Industrial Development President Rob Postal, the board voted to adopt a resolution approving a conditional agreement to designate the property as KOEZ.

Postal said the resolution passed Thursday would be a conditional agreement contingent upon completion of a signed financial support agreement satisfactory to the board and executed by Case New Holland. If the board and the other two taxing municipalities involved, Mifflin County and Union Township, are satisfied with the agreement, a payment in lieu of taxes would be paid through December 31, 2020. Postal said the county and the township have both passed similar resolutions.

"This is a revenue-neutral agreement," Postal explained. "We're doing this for an incentive to be on that site for years to come. We're trying to get this New Holland site going. This is not a benefit for (Case New Holland), but for the future."

Postal said time is a critical factor because the state has set a deadline for next month to see if interest and/or progress toward an agreement is being made. He added that even though the taxing bodies have now passed these resolutions, there is still no guarantee the state will award the designation to the site.

"The state can still come back and say we don't think you can have it anyway," he said. "However, I'm confident it will be one of the 15 (KOEZ sites) that will be designated statewide."

Postal said that should all entities be satisfied with the final agreement and the state awards the KOEZ designation to the site, it would go into effect January 1, 2010.

The Pennsylvania Keystone Opportunity Zone Act of 2005 authorizes political subdivisions to apply to the Pennsylvania Department of Community and Economic Development for designation of an area that grants exemptions, deductions, abatements or credits from all local taxes identified in the act, he said.

In a related issue, Postal said he has been approached by representatives of First Quality Baby Products in Granville Township to request its KOEZ status be extended on the 1-million-square-foot building it recently constructed for a period of seven years, to the year 2020.

Postal said the current agreement extends through 2013 and following recently passed legislation, First Quality is able to request alternatives, one of which is an extension of its KOEZ designation.

"They're asking you to consider extending the KOEZ on the existing building and engage in payments in lieu of taxes on the building and a second parcel on the residual amount of space," Postal said.

He said the request is to extend the designation on the entire parcel for seven years, then split the parcel into two lots, with real estate taxes being paid on the second lot until it is occupied.

Postal said this plan would give First Quality incentive to develop the land.

"If they do, they'll get 10 years (KOEZ designation)," he explained. "This is providing an incentive for the company to continue this development in the coming years."

No decisions were made on this request at Thursday's meeting; however, it was noted that Postal and possibly representatives from First Quality will be on hand at the board's June workshop meeting to answer any questions the board may have on the issue. The deadline for application of the extension is June 30.

In other business, Superintendent David Runk reported to the board that the last day of school for students in the Mifflin County School District is June 4. He said all elementary school students will be dismissed at 1:15 p.m.; and middle and high school students will be dismissed at 1:30 p.m. Runk added that school lunches will be provided in the same manner as it is on other school days.

Under custodial and maintenance, the board on Thursday approved the following change orders for the ongoing construction project at Indian Valley High School: $4,144.14 for installing a crane access road for area B; $1,467.72 for encasing water line in concrete; $4,509.65 for an additional manhole; a credit of $4,188.93 for the deletion of a manhole; $22,052.80 for over-excavation of foundations; and $29,055.89 for adding retaining wall drainage.

In other business, the board approved a recommendation that summer school for high school students be approved as a partnership with T.I.U. 11 with the following conditions: Juniata County students may attend; classes will be held at Lewistown High School; classes are scheduled for June 23 to July 21; and tuition will remain at 2008 rates, $180 per course.

In other action, the board:

Approved the retention of Dr. Kimberly Manganaro as school district physician consultant for next school year at a fee of $1,000.

Approved the hiring of Mark Conner as assistant principal at Lewistown High School, effective July 1.

Approved the resignation of Lewistown High School head wrestling coach Ken Whitsel, effective May 28.

Approved the following resignations: Mary Ford as business education teacher at Indian Valley High School, due to retirement; Nancy Machmer, music teacher at Highland Park Elementary, due to retirement; Virginia Swigart, business education teacher at Indian Valley High School, due to retirement; Andrew McFarland, chemistry teacher at Indian Valley High School, due to relocation; Vincent Youngbauer, social studies teacher at Lewistown High School, due to personal reasons; Mary Ann Peters, library clerk at various elementary schools, due to retirement.

Approved the following hires for next school year: Deanna Conner as itinerant autistic support teacher at Lewistown Elementary School; Elizabeth Moon for the temporary position of fifth grade teacher at Lewistown Elementary School until January 4, 2010, or less; Emily Baker as emotional support teacher district-wide.

Approved the furlough of French teacher Nancy Wilson due to the addition of blendedschools.net and virtual languages being added to the curriculum.

Approved the following building leaders for next school year: Christine Palmer, Armagh Elementary; Valerie Collins, Brown Elementary; Starla Fogleman, Union Elementary; Nancy Kauffman, Highland Park Elementary; Carrie Stufft, East Derry Elementary; Gary Henry, Buchanan Elementary; Nancy Aurand, Lewistown Elementary; Jackie Shinskie, Strodes Mills Elementary; and Heidi Welham, Strodes Mills Middle.

Approved the following coaches for next school year: Joseph Korona, assistant trainer at Indian Valley; Scott Gantz, head track coach at Indian Valley; Lester Kyle, tennis coach at Indian Valley; Ronald Sprecher, first assistant wrestling coach at Indian Valley; William Shafranich, head junior high wrestling coach at Indian Valley; Justin Shafranich, assistant junior high wrestling coach at Indian Valley; and James Fossleman, head junior high girls basketball coach at Lewistown.

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