Refresco has shown an interest in purchasing the former Kraft and ConAgra site on Talcott Street. Submitted photo

DUNKIRK — Refresco is seeking a payment in lieu of taxes agreement to purchase and renovate the former Kraft and ConAgra building on Talcott Street in Dunkirk.

It’s on Tuesday’s Dunkirk Common Council agenda because the Chautauqua County Industrial Development Agency had to give the city notice that it might deviate from its uniform tax exemption policy for the agreement. The IDA board will consider the Refresco deal on May 23.

“The reason for the proposed deviation is that the property tax exemption, if approved by the agency, is necessary to induce the applicant to undertake the project in Chautauqua County,” according to the IDA’s notice. “Deviating from the policy in this instance will advance the job opportunities, general prosperity and economic welfare of the people of the state of New York and Chautauqua County.”

Refresco is proposing to buy approximately 10 acres at 26 E. Talcott St. and renovate the building on site into a warehousing and distribution facility.

The company wants a 15-year PILOT agreement for that. It would pay $6,963 a year in the first five years, $20,890 per year in years six through 10 and $34,817 annually in the final five years.

The building on site was last used by ConAgra and has remained vacant ever since. It still has old equipment inside.

Mark Geise, who heads up the IDA, told the OBSERVER in March a developer was being sought for the site.

He said there was an opportunity to sell the building that was turned down because it would have been used for warehousing purposes only. “That doesn’t do a lot for us in terms of job creation, if somebody is going to buy it and just put stuff in it,” he said.