The Elkhart City Tax Abatement Committee reviewed Treadit Tire and Wheel Co.’s CF-1 compliance after staff flagged a narrowly missed wage threshold for new employees and a complex set of delayed equipment installations tied to COVID-era supply-chain disruptions.
City staff explained that a layer of equipment installed later than planned created timing and assessment issues that required review. For the 2024 CF-1 the company’s average annual wage for additional employees was reported as $33,871 — about 89.9% of the city’s 90% threshold (approximately $33,920), according to tax advocates working with the company. Kate Womack of JAM Tax Advocates, who helped prepare the filing, said a reporting or headcount rounding issue likely produced the shortfall and that the corrected CF-1 would be resubmitted if required: “We reran the numbers because it was so close,” Womack said.
Julie Walsh (Treadit vice president) explained the firm diversified suppliers and worked to keep staff throughout supply disruptions; Treadit restored a third shift in April and reported 81 full-time employees plus eight temporary staff it expected to convert to full-time hires. City staff noted the 2025 CF-1 showed wages above the threshold and that the company retains time in its phase-in schedule (2025–2026) to meet requirements.
The committee heard that staff will present a waiver-of-noncompliance option at a future meeting if the council determines the company made substantial efforts; otherwise the standard noncompliance procedures would apply. After discussion, a council member moved and the committee voted to recommend the finding that Treadit Tire is in substantial compliance with the personal-property statement of benefits; the recommendation will be forwarded to the Common Council for final action.