Marcal Paper gets break on NJ energy taxes
May 11, 2007 - New Jersey-based tissue maker Marcal Paper Company got some good news yesterday when Gov. Jon S. Corzine signed into law a bill that will give the company a break on New Jersey energy taxes.
The law will give Marcal's Elmwood Park mill a seven-year break from state energy taxes and save it up to $4 million annually.
Supporters contend the loss of tax revenue will be worth it because the plant will continue to provide 850 jobs in northern New Jersey.
"With so much of New Jersey's historic manufacturing base shuttered, it is essential that we do all we can to retain as many manufacturing jobs as possible," said Assemblywoman Nellie Pou, D-Passaic. "It's an absolute priority to keep these jobs and those of other major manufacturers here in New Jersey."
The measure includes a provision that would require Marcal reimburse the state for money it's saved should it move its manufacturing facility from New Jersey.
In November the company filed a voluntary Chapter 11 reorganization bankruptcy petition and blamed rising energy costs for its troubles.
SOURCE: AP Newswire