Home   News   Schools   Sports   Biz   Opinion   Health   Scitech  Arts   Dining   Movies   Outdoors   Weather   Comics   Archives  NM Jobs Cars Real Estate

          Front Page  AED

Tuesday, February 03, 2009

Council Approves Tax Breaks for General Mills

By Dan McKay
Journal Staff Writer
       Albuquerque is getting some pleasant financial news for a change.
    Amid a national recession and job cuts, General Mills moved closer to expanding its local plant and hiring 60 new employees, with salaries starting at $42,000 a year.
    City councilors approved a package of tax breaks for the company late Monday as part of a $100 million bond deal. City Hall will forgo about $1.34 million in property-tax revenue over the next 20 years as part of the agreement, among other tax breaks for the company.
    But councilors said it was worth it, given the new economic activity and manufacturing jobs that would be generated.
    Debbie O'Malley, who sponsored the proposal on behalf of the mayoral administration, said General Mills "has an excellent track record here in Albuquerque," dating to 1991.
    The company already has a plant near Paseo del Norte and Edith. A 176,000-square-foot addition will be built there, pending final approval from General Mills' corporate leadership.
    If all goes well, the company will make snacks in Albuquerque by January.
    General Mills said it would honor agreements with neighborhood leaders who were concerned about an increase in truck traffic — from about 40 trucks a day now to about 100 a day within five years. The company has agreed to send incoming traffic from Interstate 25 west down Alameda, then south on Jefferson and west on a Paseo frontage road.
    No one spoke against the measure.
    General Mills, not the city, is responsible for paying off the $100 million in industrial revenue bonds that are part of the deal.
    "This is going to be a tremendous investment in our community," Councilor Ken Sanchez said.
    Plant Manager Keith Bone said the company picked Albuquerque for expansion because of its "tremendous workforce."