Tipton and Getrag

Followign up on an earlier post, from the Kokomo Tribune on June 11 and June 12:

Tipton County Commissioners signed a commitment agreement with German manufacturer Getrag Monday.

The company has reportedly agreed to build a $560 million manufacturing plant in Tipton County.

“It’s similar to a memorandum of understanding,” Commissioner Tom Dolezal explained. “We’re expected to provide the necessary infrastructure and they would build a product factory.”

Getrag representatives still need to sign the document, Dolezal said.

So Tipton is to create a TIF zone to bring this plant into the county.

Monday, Tipton County commissioners became the first of five groups involved to sign the commitment agreement. It still needs the approval of Tipton County Council, Tipton Economic Development Foundation, DaimlerChrysler and Getrag.

Much of the six-page agreement details the reimbursement of expenses for DaimlerChrysler and Getrag as well as economic development issues.

“The agreement is between the local community, Chrysler and Getrag,” Commissioner Tom Dolezal said Tuesday night. “It was written as both legal parties, Tipton and Chrysler-Getrag, [sought].”

Expenses that Getrag and Chrysler are incurring in purchasing property and land and infrastructure development will be reimbursed by Tipton County following the sale of bonds it plans to issue.

“The immediate impact is the estimation of 1,200 new jobs in Tipton County, and I think, other growth we may experience related to Getrag-Chrysler coming to Tipton,” Dolezal said.

According to the agreement, the bonds will pay for the costs of their issuance; reimburse Getrag and DaimlerChrysler for land and infrastructure development; pay infrastructure costs and land purchases made after undertaken after the bonds are issued; and other expenditures agreed on by the entities “to the extent of available bond proceeds.”