Follow us on

Wednesday, May 22, 2013 | 6:06 p.m.

Web Search by YAHOO!

Posted: 8:03 p.m. Thursday, Nov. 1, 2012

Township wants BAE Systems to pay back taxes

  • comment(6)

West Chester Twp. officials want Butler County to get back money from property tax breaks awarded to BAE Systems because the company failed to meet the level of employment it promised in a tax agreement.

The amount of money at stake has not been determined yet by township officials. BAE has a seven year, 75 percent abatement.

BAE Systems, which makes military and commercial armored vehicles at its facilities in West Chester Twp., has done a series of downsizings in recent years in response to lost contracts and reduced military spending. In September, BAE Systems said it would move its local military operations to Texas. Then the O’Gara Group Inc., a Cincinnati company that has a Fairfield commercial armoring business, said in October it had entered an agreement to buy the remaining local vehicle armoring business from BAE.

In 2007, approximately 1,500 people — 900 employees and 600 contractors — worked in West Chester Twp. at BAE, according to the company. That number swelled to more than 2,000 before the business downturn led to layoffs. September’s announcement to move military operations out of state was said to bring employment at the facility from 294 employees to 134 employees.

Layoffs are supposed to start at the end of November and occur monthly until the end of March next year, concerning the military related work, according to a notice of layoffs the company filed with the state government.

The deal with O’Gara is supposed to close before the end of this year.

The county’s Tax Incentive Review Council met Thursday to review various property tax abatement agreements local communities made with companies. BAE Systems is not meeting the level of jobs it committed to in its Enterprise Zone property tax agreement with the township and county.

As such, Brad Evans, West Chester Twp. business attraction and expansion manager, asked at the meeting for a termination of the agreement and for the county to look into clawing back taxes that have been abated. The council, which consists of local government officials and members of the community, voted to terminate the agreement.

BAE Systems has three buildings here, on Le Saint Drive and Thunderbird Lane.

  • comment(6)

More News

 

Hot topics

 

© 2013 Cox Media Group. By using this website, you accept the terms of our Visitor Agreement and Privacy Policy, and understand your options regarding Ad ChoicesAdChoices.