AFTON – A Tioga County company that’s receiving $161,000 in tax breaks over the next decade to purchase a saw mill in the Town of Afton has also been awarded a grant from the state, according to a recent announcement by Empire State Development.

Wagner Lumber, of Owego, was given a $100,000 grant earlier this month from Empire State Development for purchasing the Pomeroy Mill in Nineveh, near the Broome County line.

In November, Wagner received a payment-in-lieu-of-taxes (PILOT) agreement from the Chenango County Industrial Development Agency to take over the mill, saving the company $37,000 in 2008-09. The tax exemption, which decreases annually over ten years, will save the company a total of $161,000.

Wagner is purchasing Pomeroy for $1.525 million.

While Wagner pledges to retain 27 jobs, create 10 more and invest a total of $6 million in buildings and equipment, a group of Afton residents voiced opposition to the tax break at two IDA public hearings held in September and November.

Afton residents would see a .31 per 1,000 increase overall in school, town and county taxes combined in 2008-09 because of Wagner’s 10-year tax free agreement.

Upon hearing of the grant from Empire State Development, town resident Mike Bernhard, who strongly opposed awarding Wagner the PILOT, again questioned the need to relieve what he says are already prosperous companies of tax responsibilities, only to also throw tax dollars at them.