Glasgow Daily Times, Glasgow, KY

October 11, 2011

Incentives approved for two businesses

Glasgow Daily Times

GLASGOW — Two businesses got the approval they needed from Glasgow City Council on Monday night in a move that will create about 240 jobs, according to city officials.

City council approved the first readings of three ordinances, one for Akebono Brake Corporation, LLC., and the others for Innovated Manufacturing Services, Inc., but that have existing locations within the area.

If the ordinance is approved on second reading at the next council meeting, Akebono will be permitted to retain or ask for the rebate of one percent of a one-and-a-half percent occupational license fee on certain wages paid to employees in the city of Glasgow, according to the ordinance. This fee is sometimes called a payroll tax and will be used for the purposes of an expansion. According to the ordinance, this move will create 224 more jobs within the company.

Another ordinance for rebate and retention of the license fee was read and approved on first reading for Innovated Manufacturing Services, an incentive for which both companies applied through the Kentucky Business Investments Act. The city council also approved on first reading a $50,000 forgivable loan to IMS from the Glasgow Economic Development Loan Fund for use on an expansion that will result in 20 new jobs, according to the ordinance.

“It’s excellent,” said Mayor Rhonda Trautman. “The Akebono ordinance has been in the works for a while and the Innovated Manufacturing was a recent development but it’s 240 jobs which is really good.”