RUMFORD – Eight sites in five River Valley towns were named to the Androscoggin River Valley Pine Tree Zone last week.

The designation gives the area an advantage over other towns as it tries to draw new business or business expansions to the River Valley because of the number of tax exemptions and advantages built into the state-sponsored economic plan.

Several months of hard work by the River Valley Growth Council, its member towns and the Androscoggin Valley Council of Governments paid off, said RVGC economic developer Scott Christian.

“It was a complex process, working and negotiating with other towns in the Androscoggin Valley region,” he said. “This is exactly what we wanted, tax favored sites.”

Having the Pine Tree Zone designation provides a variety of tax advantages for manufacturing, technology or financial service businesses that locate in one of the sites. These advantages include sales tax exemptions for building materials and personal property, corporate income tax credits, and breaks in payroll and property taxes.

Christian said the Growth Council has received many inquiries of interest both before the official designation last week and since the designation was announced.

Before any eligible business can move to one of the sites, townspeople in their respective town must approve the Pine Tree Zone sites at their annual town meetings.

Residents in Canton will vote on Saturday, March 13; in Peru on Saturday, March 20; and at annual June town meetings in Rumford, Mexico and Dixfield.

If residents approve the sites, individual potential businesses must then apply to the state revenue office, to make sure all criteria have been met, said Christiansen.

Sites designated are: Canton, 38 acres along a part of Route 108 south; Dixfield, 14 acres on Pine Street; Peru, the former Diamond Match mill and the current Winderosa Inc. plant; Mexico, 369 acres off Route 2 heading east; and Rumford, the former Thurston mill on Route 2 west, a portion of the current Industrial Park and the entire now-under-construction new business and industrial park, both located on Route 108.

“This is the most powerful economic tool we have to continue rebuilding the economy,” said Christian. “Pine Tree Zones will help attract business.”

eadams@sunjournal.com

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