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Posted on Tue, Oct 25, 2011 : 9:44 a.m.

Dapco Industries wins approval to expand Dexter plant

By Lisa Allmendinger

The Dexter Village Council unanimously approved a combined site plan for an 8,500-square-foot addition at engine parts supplier Dapco Industries in the village’s industrial park Monday night.

In addition, the Village Council approved an extension of the time period to pay off additional water and sewer tap fees and deferred the time that the company has to build a 900-foot sidewalk on Dan Hoey Road.

“This is economic development, in this economy, we are supposed to be helping the businesses that are here already,” Village Councilman Jim Carson said before the vote.

Dapco plans to expand the west side of its building at 2500 Bishop Circle East, which will be used for new equipment to make parts for the small engine industry. Dapco wants to put all of its screw machines in one area and purchase two additional machines.

The company requested that the village defer the timeline for an installation of a sidewalk along Dan Hoey Road until properties on either side of the business install a connecting sidewalk.

Councilman Paul Cousins agreed with the request. “There’s not a lot of connection there. To just to put the sidewalk in and let it deteriorate, that makes no sense. There is no connection to the other properties.”

Dapco executive Ron Tupper said in an e-mail that “to add this cost (for the sidewalk) to our project at this time will change the scope of our plans. We feel that it would be more cost effective to install a continuous sidewalk on all three (adjacent) properties at one time.”

In addition, the council unanimously approved a public hearing for Nov. 28 to consider a 12-year tax abatement for about $80,000 in real property and about $1.3 million in personal property.

According to the application for the abatement, 147 jobs will be retained and about 10 new employees will be added.

“This abatement will reduce Dapco Industries' tax liability approximately $23,000 per year,” a memo from Donna Dettling, village manager states. “Of this amount, the village will forego approximately $7,000.” Established in the village in 1952, Dapco was the first company to locate in the Dexter Business Park in the late 1980s. In 1994, an addition was constructed to the building.

The village’s Planning Commission approved the site plan on Oct. 3 with several conditions.

Lisa Allmendinger is a regional reporter for AnnArbor.com. She can be reached at lisaallmendinger@annarbor.com. For more Dexter stories, visit our Dexter page.