The city of Columbus will be giving Cummins a big tax break on about $62 million worth of improvements to the mid-range engine plant in Walesboro.
Cummins officials told the City Council last night that they will be spending $26 million dollars on real property and $36 million on personal property at the company’s plant on County Road 450S.
The council agreed to phase the property taxes in over 10 years.
The company said the improvements would let it keep 722 jobs in Columbus, which pay an average of almost $24 per hour. Councilman Tim Shuffett serves on the city’s incentive review committee:
Shuffett said the changes are all about preserving jobs and the property.
Shuffett explains that under an abatement the community gives up immediate tax collections on the property, but will see growing amounts of tax revenue as the abatement shrinks.
Among the changes to the property will be the removal of the on-roof parking. Company official said that the weight of the parking has proven to be a strain on the aging building.