The Fort Payne City Council approved a $5.7 million tax abatement to GH Metal Solutions. DeKalb County Economic Development Authority Executive Director Jimmy Durham joined Vice President and General Manager Tom Sesterhenn to formally present the request to the council at the Jan. 17 meeting.
“They’ve been around for a long time, starting locally as The Gas House,” Durham said. “They are back requesting another abatement because they are growing so much, which will help our community. They presently have about 400 employees here in Fort Payne and have hired people from throughout the county. This abatement is for sales and use taxes, as well as property taxes. If we abate the city portion, it will be $63,000 per year for 10 years. On property taxes, it will be $44,123 per year.”
Educational taxes are not abated, Durham said.
Founded locally in 1958, GH Metal Solutions is now a subsidiary of Reliance Steel & Aluminum Co., the largest metal service center in North America. Their team includes degreed engineers, American Welding Society-certified welders, and trained line operators.
“We don’t make products of our own,” explained Sesterhenn. “We manufacture components for predominantly original equipment manufacturers, many of them located in Alabama and throughout the region. We rely on our customers and partnerships. Yes, we have requested abatements in the past because they’ve been very successful for us and have allowed us to invest in new equipment.”
Sesterhenn said GH Metal Solutions plans to invest in new fiber-optic and CO2 lasers to cut high quality metal parts to suit detailed product specifications.
Council President Pro Tem Lynn Brewer thanked GH Metal Solutions “for always being such great community partners.”
In other business, the Council also:
• Reappointed Jimmy Cunningham to serve on the Industrial Development Board.
• Mayor Brian Baine reported on discussions with Shannon Scruggs Campagna to acquire grants to pay for breathing apparatuses and P-25 radios for the Fire Department. He said Campagna will help set up meetings on March 7 & 8 for city representatives to meet with officials in Washington D.C. Baine also shared that the city has a $200,000 check for the old police fleet. Finally, Baine shared correspondence with Retail Specialists concerning an issue sourcing a tool needed for construction at the Highway 55 Burgers and Fries site on the corner of Alabama Highway 35 and Airport Road.
“Hopefully, by late March or early April, they should be flipping burgers,” Baine said.
• Baine reminded the council of a meeting scheduled for Jan. 26 at 4 p.m. with local homebuilders to discuss proposed updates to the city’s building and fire codes.
• The Council held an executive session to discuss contract negotiations. They also approved the minutes from the Jan. 3 meeting and ratified the payment of bills.
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