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Batavia is working on a 10-year deal to keep Suncast, the city’s largest industrial employer, expanding locally instead of out of state.
At the Oct. 13 Committee of the Whole meeting, officials broadly backed a plan to give the company $125,000 per year in electric bill credits, which works out to $1.25 million over 10 years. City documents state that beyond jobs, keeping Suncast in Batavia would help keep electric rates stable for customers.
No vote was taken, and staff will bring a final agreement back to City Council for approval.
Here’s what to know:
A source of local jobs: Suncast makes resin and plastic outdoor products like sheds, hose reels, and storage, which are sold through national retailers. It employs about 1,000 people in Batavia. The expansion would start in 2027 and increase that number to roughly 1,200.
How the credit works: The incentive comes as a credit on Suncast’s monthly electric bill rather than as a cash payment. Suncast earns it only in years when it keeps substantial manufacturing in Batavia and its electric use hits agreed goals.
Effect on electric bills: Suncast accounts for about 14% of the city’s electric utility revenue. Batavia buys its power under a long-term contract that requires the city to pay for its share whether or not customers use it. If Suncast left Batavia, staff says those costs would shift to other customers, including residents, through higher rates.
Projected net gain: City staff projects that the extra electricity Suncast buys as it expands will bring in more each year than the $125,000 credit, plus added revenue for the city’s general fund.
According to city documents, Suncast has operated in Batavia for more than 40 years and currently occupies two facilities on about 75 acres in Batavia’s industrial park. It’s one of the largest employers in Kane County and the western suburbs.
Read more in this city agenda document.
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