SMS Shredding, New Carlisle, Indiana, has applied for two tax abatements with the County Council of St. Joseph, Indiana, according to the South Bend Tribune. The company applied for the abatements to assist in the planned $3.5 million expansion project it is undertaking at its shredder facility. The abatements will include one for the equipment to be purchased and one for the property.
The company is a subsidiary of the recycling company Scrap Metal Services, based in Burnham, Illinois.
The expansion project includes upgrading its auto shredder, adding shredding equipment to increase the plant's processing capacity. The expansion includes erecting a building that will cover the new downstream system that will be installed.
The Tribune notes that the company claims that increasing the facility’s processing capacity will divert around 6 million pounds of waste from landfills per year. The facility has been operating under the SMS name for about two years. The company says it hopes to break ground on the project this fall and have it complete by the end of the year.
The company says it plans to seek a five-year personal property tax abatement for equipment purchases — the maximum duration allowed. But it hasn’t yet determined the duration of the real property tax abatement for building and site improvements, says Bill Schalliol, the economic development director, according to the Tribune.
Schalliol says the company’s project calls for equipment that will enable it to process more shredded metal from scrapped cars that would otherwise be landfill waste. “This system of scanning and shredding will separate and refine the metals much more. It’s sold to different vendors for recycling and doesn’t go to a landfill,” he says in the article. “From a recycling and environmental standpoint, it’s huge.”
SMS acquired the 26-acre New Carlisle property out of receivership for $4.3 million in September 2014. Indiana Metal Group ran the plant for about a year before it was shut down in October 2013 as a result of financial woes. That company, which built the plant’s multimillion-dollar car shredder, operated it though a subsidiary called 360 Degree Metal Recycling.
Schalliol says his department will submit a report to the county council for its next meeting Sept. 27, 2016. Following that meeting, the council will hold a public hearing where comments and input can be heard. The final decision on whether to approve the abatement likely will be made at the county council meeting Nov. 9, 2016.
Get curated news on YOUR industry.
Enter your email to receive our newsletters.
Latest from Recycling Today
- IP closure in Kansas prompts recycling program shutdown
- Takeuchi adds dealer locations in central US
- MRAI gears up for event in Vietnam
- Reworld partners with Mystic Aquarium
- BIR calls for fair standards, circular solutions in defining ‘green steel’
- LME reports active Q2
- Liberty Steel assets facing financing deadlines
- Sims is part of Australian recycling loop