Wednesday, November 28, 2007
$10 Million Tax Exempt Bond Approved for New Facility
Michigan Economic Development Corporation (MEDC) President and CEO James C. Epolito today announced $10 million in financing has been approved to support the construction of a new facility by Fresh Solution Farms LLC through the use of the Private Activity Bond program. The project is anticipated to create about 27 new jobs and up to 46 over the next few years. The bond was issued by the Michigan Strategic Fund (MSF) chaired by Epolito.
"Michigan's agricultural assets are among the main staples of the state's economy," Epolito said. "This bond will help support this vital industry by keeping the processing portion of the business firmly rooted in the state creating the opportunity for additional investment and job creation."
Fresh Solution Farms will use the bond to finance the land acquisition and construction of a new 60,000-square-foot potato processing facility to be located at 70255 Blue School Road, White Pigeon in St. Joseph County. The land and facility will be owned by Fresh Solution Farms.
Incorporated in Michigan in 2007, Fresh Solution Farms is owned by Eugene Miller and four potato production, processing and distribution companies: Ohio-based Michael Farms, Michigan-based Sandyland Farms, Pennsylvania-based Sterman Masser Inc. and Michigan-based Walther Farms.
Private activity bonds are issued to finance projects for manufacturers and certain non-profit corporations. The MSF acts as an intermediary between a borrowing company and lending party to lessen the cost of borrowing because the interest paid to the bond buyer is exempt from federal, state and local taxes.
"Fresh Solution Farms is very excited about the opportunity to be part of Michigan's rich potato and agricultural production industry, to create new jobs, and to launch a growing business in the state," Fresh Solutions Farms General Manager Greg Salisbury said. "We are very grateful for the support of the MEDC, St. Joseph County Economic Development Corporation, Mottville Township and Southwest Michigan First for their efforts and support in getting this project started. The commitment of local, county, and state government to new businesses and new jobs has been evident right from the start!"
Cathy Annis, Executive Director of the St. Joseph County Economic Development Corporation said, "It has been such a pleasure to work on a job creation project that complements our county's rural character and resources so well. We will continue to lend our support as Fresh Solution Farms breaks ground and becomes a vital local business."
The Michigan Economic Development Corporation, a partnership between the state and local communities, promotes smart economic growth by developing strategies and providing services to create and retain good jobs and a high quality of life. For more information about the MEDC, please visit the Web site at www.MichiganBusiness.org.
General Manager, Fresh Solution Farms LLC
(269) 279-2450 Extension 115