Politics & Government
First Public Hearing Tonight on GM Expansion
City bonds and tax abatement will help fund the $300 million project.
Wentzville residents have the chance to comment on the at tonight's board of aldermen meeting.
The 500,000 sq. ft. expansion will be constructed on on Highway A. off its assembly lines by August 2014.
Construction of the facility is expected to cost about $79 million, and equipment and installation, $216 million.
Find out what's happening in Wentzvillewith free, real-time updates from Patch.
The expansion is expected to create about 2,000 new jobs for the area.
The development plan for the project calls for the city to issue a series of taxable industrial revenue bonds starting in 2012 and continuing through 2016 for a total of $300 million to fund the project.
Find out what's happening in Wentzvillewith free, real-time updates from Patch.
GM will convey title of the property and improvements to the City of Wentzville, and GM will lease it back from the city until the term of the bonds ends.
In addition, GM will have a property tax abatement, instead paying annual payments in lieu of taxes equal to 25% of the property taxes for the first 10 years and 100% of property taxes after that period.
GM will also be able to use the city's tax-exempt status to purchase materials for construction of the expansion.
You can get updates to this story and all the day's headlines delivered FREE to your email inbox every day! Just CLICK HERE and sign up!
Get more local news delivered straight to your inbox. Sign up for free Patch newsletters and alerts.