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September 25, 2007

Augusta to seize former mill's equipment

Augusta's city councilors last night endorsed a plan to take equipment from the defunct Augusta Tissue paper mill because officials say the company owes $500,000 in back taxes, according to the Kennebec Journal.

Councilors also supported a plan to apply for as much as $350,000 in U.S. Environmental Protection Agency funds to test the ground under and around the mill for industrial contaminants, the paper reports. City officials want to be sure they don't have serious environmental liabilities before they seize the land.

American Tissue Mills of Maine operated the plant on the Kennebec River until August 2000, when the owners filed for bankruptcy protection, the paper says. A New York man purchased the mill, renamed it Augusta Tissue and promised it would reopen and he would pay the back taxes. But those plans were never realized.

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