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Wednesday, September 16, 2009

Environment - California water bottling company to build Plainfield plant

Bruce C. Smith reports today in the Indianapolis Star:

The largest private label bottler of water in the country will build a plant in Plainfield.

Niagara Bottling Co., a family-owned operation based in southern California, plans to invest at least $35 million into the highly automated facility. It will make the plastic bottles and then fill them with water to be sold in grocery and convenience stores and most of the major big box discount stores and clubs.

Niagara plans to buy approximately 300,000 gallons a day of Plainfield's municipal water from wells, then treat the water and fill the bottles for shipment via I-70 and other nearby interstate highways.

Niagara also is negotiating with an Indiana company to buy truckloads of natural spring water to bottle.

Details of the economic development deal including state tax credits haven't been announced, though company officials confirmed they have talked with Gov. Mitch Daniels. The project was disclosed Monday night in the public meeting, when the Plainfield Town Council approved a package of local incentives to lure the company. * * *

The Plainfield package of incentives includes approval of a new type of bond issue created with $15 billion in Federal stimulus funds targeted for recovery zones, according to bond attorney Denise Barkdall of the Ice Miller law firm.

The town approved $8.5 million of the funds allocated for Hendricks County to help companies to get lower interest rates on borrowing to build new plants. Niagara is responsible for the bond payments; the town and taxpayers have no financial obligation. However the town council did approve a package of property tax abatements for the building and equipment.

"One of the things that impressed us a great deal is that Niagara is buying, not leasing, the building with plans to grow. That says they are making a commitment," said Town Manager Rich Carlucci.

Niagara has faced legal disputes and lawsuits at its Groveland, Fla plant, where some residents balked at selling 500,000 gallons a day to the bottler when the region was facing in a drought.

Plainfield officials have long planned for companies like Niagara by beefing up the water and sewer systems to create a plentiful supply. The town already serves it own needs, sells up to two million gallons a day to Indianapolis and has about seven million gallons of daily capacity available, according to town officials.

See also this Oct. 22, 2007 ILB entry headed "Canadian company mining Indiana aquifer."

Posted by Marcia Oddi on September 16, 2009 09:05 AM
Posted to Environment