The Greenwood City Council approved a tax break for a growing, southside HVAC business as it prepares to move its operations about 4 miles south into Johnson County.
Peterman Heating, Cooling and Plumbing plans to add 60 jobs in the next five years that pay, on average, $19.25 an hour, said Chad Peterman, a co-owner of the family business.
The council approved a five-year $112,000 tax break for the company. The company will still be responsible for about $74,000 in property taxes during those five years, which will flow into the city’s east side TIF, with no taxes paid the first year and an additional 20 percent paid each year of the abatement. The city’s redevelopment commission also approved the tax break.
Some Greenwood residents argue approving this tax break encourages unnecessary competition.
“I normally don’t say a whole lot, but I’ve heard from multiple sources that this presents unfair competition. I’m not sure how that works. They’re already in competition with companies in Greenwood for customers. Them moving to Greenwood doesn’t change that. So I’m not sure what they’re actually competing for that is affected by this tax abatement,” council president Mike Campbell said.
The council approved the abatement on a 6-3 vote. Council members Bruce Armstrong, Dave Lekse and Ron Bates voted against the tax break.
The company plans to build a $2 million, 20,000 square-foot facility, including warehouse and office space, on a 3-acre lot at 370 Commerce Parkway, just east of the Interstate 65 and Main Street interchange.
Construction is expected to begin next summer and wrap up in March 2020, according to the application.
The business is currently located near Stop 11 Road and Emerson Avenue.
