PEPPERELL – Selectmen will be moving forward as soon as possible to designate both the former paper mill and Masy Systems, Inc. in Lomar Park as Economic Opportunity Areas (EOA) that would in Masy’s case, pave the way for a tax break on its future investment in the company.

Masy’s owners, John and Laurie Masiello, met with the board this week.

Specific sites can be designated as EOAs once state approval of Pepperell’s application to become an Economic Target Area for development is received.  It is under consideration at the moment, after the application was approved by May town meeting voters.

“As you know, Masy has been making considerable investment with infrastructure and hiring employees,” Selectman Joseph Sergi said.  “Moving forward (as an EOA) with a potential TIF is worthy of discussion.”

A TIF is a property tax agreement whereby an industrial property owner pays negotiated lower property taxes over a 20-year period on improvements made to the property.  Its tax basis – taxes already in effect – remains a constant.  Five percent of savings can come from the state.

Masy, a manufacturer of high-tech temperature measuring systems and provides a storage location for pharmaceutical companies, currently pays about $20,000 per year in taxes on 6 industrial condominiums it purchased in Lomar Park and on its now-vacant former location at 18 Lomar Park Drive, a former preschool.

Approval of a TIF application must come from town meeting.  To that end, Sergi suggested starting the application process moving as October’s special town meeting approaches.

John Masiello said a delay past Dec. 31 would be quite detrimental to his firm’s plans.  The couple has spent about $1.5 million on renovations and moving the business to the condos to date.

Another $700,000 will be spent to expand is ancillary bio-storage capability.

“So if we don’t act this quarter, it (expansion) goes away?” asked Sergi.

“We think it’s exciting.  We’d love to have a growing business in the park,” Masy responded.

“I understand you’re spending a lot of revenue,” Selectmen Chairman Lyndon Johnson, “I’m just apprehensive about how it will affect the town.  I have no problem moving it forward.”

Selectman Patrick McNabb explained both the EOA and TIF applications can be submitted to the state at the same time, although he assumes the ETA must be approved first.  “You don’t need an EOA to have a TIF negotiated, according to (sources in) Boston,” he said.

Laurie Masiello, referring to reports of the $1,600 bi-weekly heating oil cost for Town Hall in winter offered the town the use of Masy’s former location in Lomar Park.