EAST MILLINOCKET, Maine (AP) — The company hoping to buy two Maine paper mills is seeking $48 million in tax breaks over 10 years.
Millinocket Town Manager Eugene Conlogue and East Millinocket board Chairman Mark Scally say Meriturn Partners LLC is seeking the tax breaks from the two communities.
Last month, Meriturn signed a letter of intent to buy the mills by April 29 if several conditions are met, including the setting of favorable property tax rates for the mills.
The Bangor Daily News says that if the towns agree to the tax breaks as proposed, it would force local government layoffs and a vast reduction of services — unless the state or federal governments can help offset the revenue loss.
The East Millinocket mill employs about 450 people. The Millinocket mill is closed.
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Information from: Bangor Daily News, http://www.bangornews.com
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- FILE – In this April 2005, file photo, the Katahdin Paper Co. is seen in Millinocket, Maine. Maine Gov. Paul LePage announced Monday, Feb. 14, 2011, that he’s encouraged by a tentative agreement by an investment group to buy the Katahdin Paper Co. mills in East Millinocket and Millinocket. LePage said that he hopes the Millinocket Mill can be restarted under the ownership of Meriturn Partners LLC.(AP Photo/Pat Wellenbach, File)
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