County commissioners approve tax breaks for company moving operations to Weiser

Washington County commissioners on Monday approved tax incentives for a California company that plans to relocate to Weiser, citing long-term economic benefits to the county.
 The county will waive 100 percent of taxes on building improvements and equipment for three years and 50 percent of the taxes for two years for AFC Finishing Systems.
 Commissioners agreed to offer the company the same tax breaks that were given in 2017 to Intrinsic Organics, a food processor that also built a new facility at the Weiser Industrial Park.
 Commissioner Nate Marvin said the Intrinsic Organics processing plant and the AFC Finishing Systems facility are the first companies to locate in the county in a long time.
 They may not have hundreds of jobs, but he said he’ll take the 25-35 well-paying positions that  AFC Finishing Systems will bring to Weiser.
 The company’s investment in the county will include a 60,000 square-foot plant and a 7,000 square-foot office building that will cost an estimated $2 million to $2.5 million.
 The company is bringing equipment from California valued at $1.5 million, along with 25-35 new jobs that will pay above the average county wage.
 The company’s president and CEO wrote a letter to the county in February asking commissioners to waive AFC’s taxes for the first five years.
 Idaho law allows counties to waive all or part of the taxes on a new business or expansion that meets the investment threshold for up to five years.
  A public hearing on the proposed tax breaks for the company earlier this month was attended by a half-dozen people who were opposed and one county resident in favor.
 Some of the reasons given were the company will require services but won’t be paying taxes to cover the cost. Others said taxing districts can’t afford not to collect the tax revenue.
 Commission chairman Kirk Chandler pointed out that the company has already satisfied all the requirements to receive a tax incentive from the state commerce department for relocating to Idaho. The TRI from the state offers a refundable tax credit of up to 30 percent on income, payroll, and sales taxes for up to 15 years.
 The county previously said it would offer AFC Finishing Systems some sort of tax incentive but didn’t know what it would be at the time.
 The effort by the Snake River Economic Development Alliance to bring AFC Finishing Systems to Idaho has been ongoing since 2012. The owner also looked at the Pocatello area as a potential site for relocation.
 Commissioner Lisa Collini said granting the company a tax break now is a short-term arrangement. In the long-run the company will be an economic benefit to the community. The ability to offer tax incentives is important in attracting new business to think about locating here.
 The county ordinance stipulates that any new or existing business planning an expansion or building in the county that applies for tax incentives must have a structual valuation of at least $500,000.
 AFC purchased 67 acres of industrial-zoned property, including the old Sunnyside feedlot, at the Weiser Industrial Park and has started preliminary work at the site.
 AFC Finishing Systems manufactures spray booths, paint booths for auto body shops, powder coating ovens and powder coating finishing equipment. The company was founded in Southern California in 1967 and sells its products in the U.S., Canada and Europe.