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Tax abatement for Kimberly-Clark approved

WARREN — Trumbull County commissioners on Wednesday unanimously approved an enterprise zone agreement that will provide a 10-year, 60% tax abatement with Kimberly-Clark Corp. for the construction of a 591,661-square-foot distribution center that if financially supported by the company will be located on Pine Avenue property already owned by the company in Howland.

The proposal would allow the company to build what is being described as a state-of-the-art center for the housing and distribution of items made at the Kimberly-Clark facility now under construction, as well as items made at other company facilities.

“This is still a proposed project that must be approved by the board of directors of the Kimberly-Clark Corporation,” said Nicholas Coggins, assistant director of Economic Development with the Trumbull County Planning Commission. “This is being requested to make the project more feasible for the company’s board of directors.”

Coggins said the proposed project is one of the first company-owned regional distribution centers co-located with one of the U.S manufacturing plants in many years.

“Incentives that offset the construction’s operational cost are particularly important to help bolster the financial case for this sizable capital investment,” Coggins said.

Howland trustees approved this abatement request at their Nov. 12 meeting.

J. Branch Sinkle, Kimberly-Clark’s senior director of government relations, noted that the project is awaiting the approval of a construction budget from the company.

The estimated cost of the distribution center is projected to be between $136 million and $166 million to build.

“The state-of-the-art regional distribution center is expected to employ up to 65 people, and it will be taking product from our phase one manufacturing operation currently under construction and mixing it with product from other Kimberly-Clark locations for distribution across the region,” Sinkle said.

Construction of the distribution center, if approved, will begin early next year and be completed by the end of 2027.

He said the property tax abatement and tax savings will help in the operational profile.

Commissioner Rick Hernandez said Kimberly Clark’s arrival into the county has caused a level of excitement.

Commissioner Denny Malloy said everyone is “all in” on Kimberly-Clark moving into Trumbull County.

“This has been a community effort unlike any other I have seen,” Malloy said. “Hopefully, it is a footprint for other businesses to follow. We are open for business. We have plenty of land available.”

Commissioner Tony Bernard said Kimberly-Clark has told the county it is interested in maintaining a long-term investment.

“This is what happens when townships, the city and the county all work together with a company that wants to come in and provide us with an excellent new manufacturing facility,” he said.

Starting at $3.23/week.

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