Monroe City Council to vote on tax abatement to Hitachi for $330 million expansion

The Monroe City Council will have its November Work Session and Called Council Meeting beginning at 6 p.m. tonight, Nov. 6, 2018 in Council Chambers, N. Broad Street in Monroe. The public is invited to attend. There are two items that will require a vote – the R1A Moratorium Extension and a tax abatement for the Monroe plant of Hitachi Automotive Systems of the Americas.

Last month, when Hitachi laid off close to 70 employees, Javier Montalvo, vice president of Human Resources at the plant, said that the company is still looking at continued growth and would need to increase investment in the future.

“The workers were let go as a result of a global restructuring that is taking place at the company to keep pace with changes in the automotive industry,” Montalvo said at the time. Shane Short, director of the Development Authority of Walton County said that the local plant remains very productive and this expansion is to keep pace with the changing needs of the automotive industry.

“This is a huge expansion. $330 million is a larger investment than most large new companies,” short said, pointing out the $15 million investment recently announced in Social Circle by the Chinese chemical company Top Polymer Enterprises. He said the expansion would bring about 100 new jobs to the company. Hitachi also would be working with the county’s workforce development program as these new jobs would be at a higher skill level. With the computerization and electrification of the automotive industry, more computerized skills are required in the manufacturing process.

The tax abatement would be phased in, beginning at 0 percent for the first year and expanding to 100 percent by year six.

“Most of the investment would be in the first year, so this way they would get a break on the front end when most of the expansion costs are incurred,” Short said. The Walton County School Board and the Development Authority have already signed off on it and the City of Monroe is expected to do the same tonight.

The full agenda of tonight’s meeting follows.

1.     Roll Call

2.     City Administrator Update

3.     Central Services Update 


1.     Finance

a.     Monthly Finance Report

2.     Airport

a.     Monthly Airport Report

3.     Public Works

a.     Monthly Solid Waste Report

b.     Monthly Streets & Transportation Report

c.      Purchase – Trees for West Spring Street Sidewalk Project

4.     Utilities

a.     Monthly Electric & Telecom Report

b.     Monthly Water, Sewer, Gas, & Stormwater Report

c.      Approval – 2018 CDBG Engineering Services Award

d.     Approval – HVAC for Water Plant

e.      Approval – Electrical System for Water Plant

f.      Approval – Young Street Gas Main Replacement

g.     Purchase – Vermeer Service Trencher

h.     Purchase – Redundant Server System

i.       Purchase – Redundant Arris C4 CMTS

j.      Purchase – Optical Transport System 

5.     Public Safety

a.     Monthly Fire Report

b.     Monthly Police Report

6.     Planning & Code

a.     Monthly Code Report

b.     Intergovernmental Agreement for Aerial Photometrics

7.     Economic Development

a.     Monthly Economic Development Report


1.     Application – Beer & Wine Package Sales – Alcovy Grocery

2.     Application – Beer & Wine On-Premise Consumption – Rocky’s Pizzeria & Grill

3.     Resolution – City of Ethics Recertification  



1.     Resolution – R1A Moratorium Extension

2.     Tax Abatement – Hitachi Automotive Systems Americas, Inc.   



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