Fairfield had to rescind the agreement with Keystone Foods, which was bought out by the Martin Brower Company. The city had entered into an agreement with Keystone in 2010 for a 100 percent tax abatement. The company also operated another facility in Springfield, said Tim Bachman, the city’s development director.
For business reasons, the company decided to reduce staff in Springfield, and the Springfield facility eventually closed. The state determined that this met the definition of a relocation, which went against the terms of the tax abatement agreement, Bachman said. The Fairfield facility remains open.
“They haven’t lost any jobs in Fairfield, but nonetheless, the agreement they had under state procedures has been violated,” Pizzano said.
Fairfield City Schools will now receive its standard tax distribution, so the schools will not lose any money, Bachman said.