Tech Electronics asks Maplewood to restore original Chapter 100 tax abatement, offers apprenticeship commitments and construction timetable

Tech Electronics representatives asked the Maplewood City Council at a Jan. 14 work session to approve a Chapter 100 bond package that would restore the original tax‑abatement terms and establish a construction timetable the company says will start this year and finish by mid‑2027.

The proposal matters because the arrangement would change how property tax relief is applied to the company’s new facility and how those tax dollars are distributed among taxing districts. Mark Spikerman, the city’s bond counsel with Gilmore and Bell, told the council the pilot payment would be placed on the property tax bill and “the school district is gonna get roughly 60% or so of the pilot payment.”

Robert Clark, counsel for Tech Electronics, described the company’s request to terminate the prior agreement and seek the original tax‑abatement terms after pandemic‑era delays. “The proposal would be to commence this year, complete ideally by the end of 2026, although in the proposal we would ask for no later than June of 2027,” Clark said.

Owner Kurt Canova explained the delay traced to acquisitions, COVID‑era supply‑chain disruptions and other business decisions that postponed construction. “We are definitely ready. We’re excited,” Canova said, adding, “There are no roadblocks ahead of us right now.”

Company and project details provided to council include: - A signed general‑contractor agreement with Contegra about four months ago and a contractor selection process that concluded roughly six months ago. - Gray Design listed as the architect, with the council told conceptual designs are about 60% complete and the warehouse layout remains to be finished. - An apprenticeship and internship program the company said it already runs; company representatives described mixed earlier participation and said they want to expand outreach to high‑school students and consider scholarships or education assistance.

Council members repeatedly pressed for measurable commitments. Several members asked staff to secure a detailed milestone schedule and suggested quarterly project updates to the city so the council and staff could monitor progress and avoid further extensions. Council members also raised the community‑benefit question, saying that the apprenticeship and internship commitments should be “fleshed out” and formally included in any agreement.

On the tax terms, some council members said they would consider negotiating the length or amount of any abatement; Tech Electronics’ representatives said they preferred to proceed on the original request. Bond counsel said the pilot payments can be structured as a percentage or a flat amount and can include step‑downs over time.

No formal council vote occurred at the Jan. 14 work session. Council members asked staff and the city’s consultants to negotiate specific payment terms, milestone schedules and community‑benefit language and to return with a formal agreement for the council’s consideration at a future meeting.

Next steps: staff will negotiate the details of the Chapter 100 package with Tech Electronics and return recommended terms, schedules and any proposed community‑benefit provisions for council review and formal action.