COOSA, Georgia (From news reports) -- International Paper is once again planning a major re-investment in its Coosa linerboard mill, to the tune of up to $150 million.
Rather than speaking of job creation, officials spoke of job retention. Technological upgrades to the mill are expected to help retain over 500 jobs.
An inducement resolution for the project was approved by the Rome Floyd County Development Authority on Tuesday. Authority attorney Andy Davis said the last time International Paper received bond financing, for a similar amount in 2013, the company pledged to retain 460 jobs.
Since then, he said, 40 new jobs have been created at the mill.
International Paper will receive a ten-year payment in lieu of taxes agreement as part of the bond package. The company has agreed to pay 25 percent of its local tax bill with the remaining 75 percent abated over the ten-year period of time.
The company itself backs the bonds and there is no exposure to either Floyd County or the development authority.
"It is going to be used for the modernization of the plant and it is going to be spent over the next three years," said Jonathan Frey, a property tax manager of International Paper who represented the company at the development authority meeting on Tuesday.
The company came very close to using the full $150 million approved in 2013.