JAY – If International Paper’s corporate office approves a proposed $112 million investment at its Androscoggin Mill, the project is anticipated to be completed next May.

The investment would help IP stay competitive in a global market.

Jay voters approved a tax increment financing agreement for the mill Monday in a 356-79 vote.

While the vote is not the deciding factor in whether or not the proposed capital investment project is approved, it is most certainly a critical element in the decision-making process, mill Manager Mike Craft said in a press release.

The vote clearly shows the people of Jay agree that the tax increment financing agreement can provide a “win-win” scenario for the town and for IP if the project is approved, he stated.

“I am truly thankful that the citizens supported the referendum,” Craft wrote.

IP corporate officials are expected to make a final decision on the proposed capital investment project in mid-July. The project is designed to improve efficiency, reduce manufacturing costs and enhance product quality.

The tax break agreement voters approved will give IP a rebate of 60 percent of the property taxes paid on the value of the new equipment over a 20-year period. The other 40 percent will be added to the town’s tax base.

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Craft said he was “excited” about the proposed investment of “approximately $100 million in a project to rebuild our No. 3 paper machine along with an upgrade of the groundwood mill and associated equipment. Our No. 3 paper machine produces coated groundwood grades of paper for catalogs and magazines. This machine is a key strategic asset for us to continue to compete in these markets.”