By PAUL LOCHER

Staff Writer

ORRVILLE A special meeting of City Council paved the way for the Scotts Co. to open a facility at what had been the Spectrum Brands plant, near the intersection of Back Orrville, Schrock and South Crown Hill roads.

Council voted unanimously to approve a job creation income tax credit of 10 percent for six years for the Scotts Co. and its subsidiaries. In return, Scotts agreed to hire at least 63 employees over the next three years.

The terms of the tax credit require Scotts to remain at the site for two years for each year the incentive is granted for.

Council's vote Wednesday comes on the heels of similar action taken at the state level Monday, where Scotts was awarded a job creation tax credit of 40 percent for six years.

Mike Hedberg, director of the Office of Orrville Industrial Development, said the state had to extend its portion of the tax credit before it came to Orrville. Council had been prepared to vote on the measure Monday, but the unforeseen absence of two members forced the cancellation of that action.

Hedberg said the city became aware of conversations between Scotts and Spectrum Brands about the plant before that facility closed its doors at the end of 2008. Spectrum Brands eventually filed for Chapter 11 protection and Scotts obtained the plant's machinery and equipment through Chapter 11 proceedings.

Eventually Scotts was able to negotiate a lease with Spectrum Brands through the Chicago-based Insite realty firm.

Hedberg said Scotts approached the city about possible tax incentives between two and three months ago.

In addition to the state and city tax incentives, Hedberg said Scotts is working with the Wayne County commissioners to have transferred to it the remainder of a 50 percent, 10-year tax abatement that had been in place for Spectrum Brands. Hedberg said about seven more years remains on that uncompleted agreement. That abatement applies to one building on the site, which had to be renovated in the wake of a fire several years ago.

About three years ago the city extended the new wastewater line to the Spectrum plant under an agreement in which Spectrum expanded its facility.

Hedberg said Scotts has told the city it expects to be a good corporate citizen and participate in a variety of aspects of life in Orrville.

The Orrville facility is reportedly one of only two Scotts had nationwide that acts as both a manufacturing and distribution facility. The company will mix specialty soils and fertilizers at the Orrville plant, using some 500,000 square feet, including one structure that has about eight acres under roof.

Also, the Orrville plant which will serve all of the eastern United States, will be Scotts' second largest facility, behind only its Marysville plant that has 800,000 square feet.

Mayor Dave Handwerk called the finalization of arrangements with Scotts "such good news. A year ago we learned that Spectrum would be leaving, and now we have this very good news for the community."

Hedberg said getting Scotts into the community defied a lot of odds. He said his office knew the vacant Spectrum plant with its specialized equipment and design "didn't lend itself to just any kind of manufacturing," and was likely to be a hard sell. He characterized Scotts as "the perfect tenant. It's the only company I can think of that is suited for that type of manufacturing."

Handwerk added, "The neatest part is that because it's the same type of business, it has allowed some people who worked for Spectrum to get their same job back."

Safety-Service Director Steve Wheeler said the company expects to do a full move-in within the next couple weeks. He said there has been a flurry of preparatory work going on at the plant for some weeks, and noted the warehouse area has never actually completely closed down since Spectrum ceased operations.

The mayor credited Hedberg with doggedness in pursuing a tenant for what could have become the city's biggest white elephant.

"Mike has done an excellent job staying in contact with everyone involved and keeping the facility in the forefront in terms of getting someone in there," Handwerk said.

"We're excited," said Hedberg. "It's great news for Orrville."

Reporter Paul Locher can be reached at 330-682-2055 or e-mail plocher@the-daily-record.com.