A tax increment financing agreement (TIF) is used by the town to encourage economic development. By a temporary reduction in the real estate tax levy businesses are encouraged to invest in their property to promote growth. The town collects the full tax on the value of the original building but the added tax due on improvements are adjusted. Eventually, typically after 10-20 years, the exemption expires and the owner pays real estate taxes on the total value of the property.
In 2017 Town Meeting approved an agreement negotiated between the Insulet Corporation and town officials to secure a TIF to facilitate the company’s moving their world headquarters and U.S. manufacturing to Acton. Insulet did move into the newly remodeled and expanded 100 Nagog Park in 2019. One of the conditions of the agreement, in addition to transferring five hundred employees to the new building, was to add another five hundred jobs. At Tuesday’s Town Meeting finance committee member Greg Jarboe reported that they had more than fulfilled that promise, now having eleven hundred employees.
The building at 100 Nagog Park, built by Digital Equipment, had been vacant for fifteen years. The Select Board thought, according to the 2017 Town Meeting warrant, that: “the relocation of the company to Nagog Park would help revitalize the business park and add to the vitality of the town.” Several years ago, Insulet expanded again by constructing a building at 50 Nagog Park.
At this year’s town meeting the Select Board presented Article 16 which proposed another TIF agreement with Insulet. The company was averaging 20% yearly growth and needed more space. The building at 35 Nagog Park has been targeted by Insulet for additional offices. The town warrant states that the redevelopment project “would transform the underutilized, outdated building into a modern fully functional facility.” The Select Board and the finance committee were in favor of the article.
After some brief discussion including support from the Economic Development Committee the article was approved, 236-18.
Insulet was founded in 2000 and had their first office in Bedford. They developed an insulin delivery system, getting their first FDA approval in 2003. In addition to U.S. distribution, they began selling their product in Europe in 2010 and Canada in 2011. In 2024 they launched Omnipod 5. According to the Insulet website the Omnipod is “the first truly wearable, automated insulin delivery system, controlled by a phone.” In the same year the FDA approved the use of the Omnipod to treat Type 2 diabetes.
Jeff Brown is the Acton Exchange business beat reporter.
