Orchid Orthopedic Solutions in Delhi plans $5.5M for expansion of operations

DELHI TWP. — A local business has applied for tax relief as it plans to add millions of dollars in new equipment at its Holt headquarters to keep up with a growing demand.

Orchid Orthopedic Solutions, LLC, applied for an Industrial Facilities Tax Exemption, or IFT. The application must be approved by different authorities, one being the local municipality before it can be approved.

The Delhi Township Board of Trustees approved the agreement after a public hearing June 3.

The company, 1489 Cedar Street, plans to purchase $5.5 million in new equipment in the next two years.

As a result of the tax break, the company would get $849,262 in personal property tax breaks over 12 years to defray the cost of the equipment purchase, according to Tracy Miller, township Community Development Director.

The new equipment will allow the company to add 26 more jobs, according to documents filed with the township.

“It’s important to note that this is a tax abatement package that hopefully will encourage them to stay and expand here instead of somewhere else,” Miller said. “The state’s Michigan Economic Development Council is also working towards the same goal.”

Orchid Orthopedic Solutions is a national company that makes medical devices, including orthopedic implants and surgical tools.

According to the company’s IFT application, it needs the new equipment because of a rise in demand for its products.

“Original equipment was purchased when running one or two shifts per day five days a week,” according to the company’s application.

“We are currently running three shifts per day with most weekends, and putting significant wear and tear on the machines,” the application says.

A call to the company seeking comment on the tax exemption was not returned.

The company employs 243 in Delhi and employs more than 1,700 nationally. It recently expanded with a manufacturing facility in Jackson, Tenn.



Josh Sandberg

Josh Sandberg is the President of Ortho Sales Partners and Partner for The De Angelis Group. He also serves as Co-Founder and Editor of OrthoSpineNews.

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