POLAND & AUBURN JOIN IN STATE’S FIRST MULTI-LOCALE PINE TREE ZONE

“A majority of our property is located in Poland, with the entrance and office situated in Auburn. In order to get a Pine Tree Zone designation, we had to work with officials in both municipalities for approval of our application,” said John Adelman, president and CEO of CPRC Group, the parent company of M.B. Bark LLC.

When the application process began in early 2006, Auburn already had a number of businesses benefiting from the city’s Pine Tree Zone status. For Poland, however, this was a first.

“Among town officials, it was a unanimous decision. We want to help the business prosper and employ more people. And since there would be no loss of tax revenue to the town, we knew it was a good decision for Poland and its residents,” said Rosemary Roy, assistant town manager for Poland.

Under a Pine Tree Zone designation, a business is granted reimbursements for corporate and income taxes associated with the hiring of new employees, as well as sales tax breaks for new investment and equipment purchases. The State provides for these benefits through the Maine Revenue Service, but each municipality must approve applications made by local businesses. There are eight Pine Tree Zones in Maine, the Androscoggin Valley being one of them.

“When we bought Morse Brothers’ assets in bankruptcy court, three employees were part of the old organization. Our expansion plans call for another 25 employees to be hired. Reimbursement of taxes associated with those new employees will help us keep our business competitive and growing,” said Adelman.

According to Ron McKinnon, a regional coordinator for the Maine Department of Economic and Community Development, the State’s goal for the Pine Tree Zone program is to spur economic development and promote economic diversity in targeted regions of the state, while helping to increase the opportunities to elevate wages and the standard of living for working people.

“The Androscoggin Valley is the most proactive of any of the eight zones in Maine. And the uniqueness of this dual application is yet another example. In addition, this large land parcel offers further opportunity for more qualified business expansion under the program, thanks to CPRC Group’s investment,” remarked McKinnon.

At its processing facility, M.B. Bark LLC produced more than 100,000 tons of bark mulch in 2006 made from the bark of Hemlock, Pine, Spruce and Eastern Cedar trees.

M.B. Bark LLC is a division of CPRC Group, headquartered in Scarborough.

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Contact: Melissa Field
(207) 229-7136
mfield01@maine.rr.com