CHARLESTON, W.Va. — The West Virginia Economic Development Authority has agreed to purchase a tract of land and two buildings from a Putnam County business.

The purchase would transfer ownership to the state of the assets of F.L. Schmidt Company. The business located in Putnam County within the past year and is up and running. The sale, approved on Thursday, is part of the original agreement which brought the company to West Virginia.

Officials say F.L. Schmidt planned to build the buildings on acreage in the Fraziers Bottom Industrial park and then sell it to the state. The state in turn agreed to lease the property back to the company for 20 years.

State officials said the sale creates two advantages for the company. They’ll have the asset off their books for accounting purchases and will have to pay less in real estate property taxes to Putnam County.

F.L. Schmidt makes screens used in coal, mineral, and aggregate industries to separate materials by varying sizes.

 

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Comments

  • Aaron

    So they financed construction of the building, sold it to the state for a profit, and now they don't have to pay property taxes. And there's no long-term asset holding them to this location should their business dictate they move elsewhere.

    Given that they do business all over the world and they merged a plant from Louisiana, one from Kentucky, and one from West Virginia into this facility, I don't see security or stability with this company. It seems to me like we've got another Coldwater Creek looming with a company less stable than that one.

    I know who made the deal on the county level. I just wonder who the Nimrod at the state level that agreed to this.

  • darlene theisen

    I agree with Gary. This company led their workers to believe they had job security when all along they knew they were going to lay off a lot of workers. A lot of these men sacrificed there homes to move closer to the plant so it would be financially easier to work for this company, many traveled far to work for this company, only to be let go. How is this helping bring jobs to the community? All these companies want is to get around paying taxes! They don't care about the people only their bottom line!

  • Gary

    Another business that will be out of business in a couple of years because of the down turn in coal and the taxpayers will left holding the bag for the land costs. Why doesn't the government get some viable businesses that will be around for the future.