Cherne Industries, Inc. a wholly-owned part of Oatey, is considering relocating its headquarters, R&D, manufacturing and warehousing into a new building to be constructed on the property currently owned by the Shakopee EDA and under contract to OPUS for development.  OPUS will also be constructing a spec building to the north that will not be part of the subsidy.  The property is currently tax exempt.

Cherne is requesting a tax abatement for the City's property taxes for a period of nine years.  The estimated total is approximately $500,000 over the nine years.  OPUS will be constructing a 130,000 square foot building for the applicant.  Cherne would move all of its operations from Edina where they have been for more than twenty years.  They have outgrown their currently facility.  They would be bringing 119 jobs and adding 30 more over the next five years.  OPUS has an option for their client to expand the building to the west, should that be necessary.  The company's average wage is over $20 an hour and they provide benefits.

Since 1916, the parent company, Oatey, has provided reliable, high-quality products for the residential and commercial plumbing industries. Today, Oatey operates a comprehensive manufacturing and distribution network to supply more than 6,000 products for professional builders, contractors, engineers and do-it-yourself consumers around the world. They acquired Cherne Industries in 1990.

Cherne is the recognized world leader in pipe plug and testing equipment manufacturing. In 1998, Cherne demonstrated its commitment to quality and continuous improvement by achieving ISO 9001 registration and is the only domestic pipe plug manufacturer to achieve this certification. Cherne has been serving the plumbing and underground industries for over 60 years and is dedicated to providing customers with unparalleled product quality in addition to the highest level of customer service.