Rapid Response has won preliminary approval for a tax break that could pave the way for an $11.3 million expansion on its home turf in Syracuse, according to a report Tuesday in The Post-Standard.
The project, which would add up to 200 jobs, would include the purchase and renovation of the 37,500-square-foot building that Rapid currently leases, according to the report. Rapid also plans to build a 20,000-square-foot facility nearby.
The “payment in lieu of taxes” deal, or PILOT, approved by the Syracuse Industrial Development Agency would save Rapid about $738,000 over 10 years. A sales tax exemption on construction materials is expected to save the company another $500,000, the report said.
The expansion is not a done deal, however. The tax plan still needs to be approved by the City Council, with a bigger potential hurdle at a higher level: acquiring financial help from the state.
Ben Walsh, the city’s deputy commissioner of neighborhood and business development, told The Post-Standard that the project is contingent on Rapid receiving assistance from Empire State Development, a state agency.
An application has been submitted to the Central New York Regional Economic Development Council, which recommends projects for state funding. ESD officials are expected to announce the list of projects that receive funds by late October.
A start date for the project, which the company says would take about two years to complete, has not been announced.