IRONWOOD – June 17, 2011
The Ironwood Economic Development Commission met
Wednesday to validate changes to the sale of the City
spec building to Burton Industries.
The terms sale had already been approved by the IEDC and
the City Commission. However, last Friday elements of
the Michigan government expressed their desire to undo
all that had been previously agreed upon.
The state wants to amend the original agreement with the
city so that there will be a continuous paper trail and
record regarding the Industrial Park building. They felt
that the way the deal had been put together that it
created a whole new agreement with no linkage to the
original deal; perfectly understandable.
But the state had agreed to convert the loan assumed by
Burton into a grant as new jobs were created as a result
of the buildings sale. The deal requires the hiring of
fifteen new employees of low or moderate means. The
conversion from loan to grant was to be on a graduated
and pro-rated basis.
The state has had a change of mind and they now want an
all or nothing agreement in that the Burton loan will be
converted to a grant if and when 15 low or moderate
income employees have been hired.
Burton Industries has agreed to the terms and will also
purchase the vacant land adjacent to the Spec Building.
The Ironwood Economic Development Commission approved
the revised changes for the transfer of the building's
ownership
The City Commission was to act on the agreement in a
special meeting Friday, June 17. However, that meeting
has been temporarily postponed. |
