April 29, 2004
April 29, 2004
Governor Jennifer M. Granholm today announced $500,000 in Community Development Block Grant (CDBG) funding that will lead to the creation of 50 jobs in Lansing. The performance-based loan, made available through the Michigan Economic Development Corporation (MEDC), will make it possible for Neogen to consolidate and expand its operations in Lansing. The company was considering relocating its entire operation to Chicago.
“This funding makes it possible for for one of the nation’s leading life sciences companies to stay in Lansing and help Michigan grow its biotechnology workforce,” Granholm said. “This is a great example of how we can creatively use our existing economic development tools to help communities build their economic base.”
In her 2004 State of the State address, Governor Granholm announced a focused seven-point plan for economic growth. So far this year, the Governor and the MEDC have announced the creation or retention of approximately 5,638 jobs as a result of targeted assistance provided by the MEDC.
The Lansing project is one of five announced today by the MEDC. Combined, the projects will create a total of 229 jobs for Michigan workers. The other projects involve company expansions or new facilities in Marquette, Port Huron and Yale and a downtown infrastructure project in Dexter.
The city of Lansing will use the funding to make a loan to Neogen to purchase equipment for consolidation and expansion. The company had considered locating the project at a competing site in Chicago.
Neogen is a developer and manufacturer of diagnostic food test kits and other products that are used in the quality control and food safety programs of many feed manufacturing companies.
On March 12, the MEDC announced that a state brownfield redevelopment tax credit valued at $115,000 would be provided to help Neogen redevelop the former Dudley Paper building on North Hosmer Street for its expansion.
“We appreciate Neogen’s commitment to Michigan and to Lansing,” MEDC President and CEO Don Jakeway said. “The company has been a great partner with the city and I am pleased that the funding offered today will help the company stay and grow in the state.”
The Michigan Economic Development Corporation administers the state’s block grant program with funds received from the U.S. Department of Housing and Urban Development.
These funds are used to provide grants and loans to eligible counties, cities, villages and townships—typically those with populations less than 50,000—for economic development, community development and housing projects.
Each year, Michigan receives approximately $50 million in federal block grant funds. There are 1,655 local governments within the state eligible to apply for these funds.
The Michigan Economic Development Corporation, a partnership between the state and local communities, promotes smart economic growth by developing strategies and providing services to create and retain good jobs and a high quality of life. For more information on MEDC initiatives and programs, visit the Web site at www.michigan.org.
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