Should Agrium be granted a new credit which could save the company $3-4 million a year in state taxes? That’s the question being put to legislators by Nikiski Speaker Mike Chenault’s HB 100.
Public testimony on the bill will be taken at 3:30pm today.
Agrium’s Adam Diamond…
Diamond: “If this incentive bill goes through, I can’t say it would make or break the decision but it absolutely would be a positive factor in the decision, so we’re hopeful that that will actually go through. It would generate revenue for the state as well.”
To restart the North Kenai plant, he said Agrium’s Board will need to decide to invest about $275 million, a move which would bring roughly 140 full-time permanent salaried positions.
Some Senators argued that the State can’t afford more credits with oil production down and revenue dipping to 40-year lows.
Diamond insisted the State of Alaska would make its money back through natural gas royalties, a figure closer to $12-15 million dollars.
You can comment via the Kenai LIO on Main St Loop at 3:30pm today.
