July 20, 2010
July 20, 2010
Companies investing more than $177.5 million to grow in Michigan
LANSING - Governor Jennifer M. Granholm today announced that the Michigan Economic Development Corporation (MEDC) is helping 14 companies grow in Michigan and backing one brownfield redevelopment project. Combined, the 15 projects are expected to create and retain 6,272 jobs (1,530 direct new jobs) and generate $177.5 million in new investment in the state.
"The depth and scope of the projects announced today underscore the fact that Michigan is a prime business location," Granholm said. "We have the economic-development tools in place to complement our outstanding workforce, which are advantages businesses can utilize to expand in their current industry sector or diversify to new sectors."
The Michigan Economic Growth Authority (MEGA) board today approved incentives to win the following projects for Michigan over competing states and countries:
Cascade Engineering Inc. - The global engineered plastics systems and components provider plans to invest $2.8 million to expand its renewable-energy business division in Grand Rapids. The company is expected to create up to 456 total jobs, including 183 directly by the company. The MEDC estimates the increased economic activity created by the project may create an additional 273 indirect jobs. Based on the MEDC's recommendation, the MEGA board today approved a state tax credit valued at $1.8 million over seven years to convince the company to expand in Michigan over competing sites in Ohio, North Carolina and Texas. Cascade Township is considering an abatement over seven years in support of the project. http://www.cascadeng.com/
Clyde Union Inc. - The world's seventh largest provider of large industrial pumps in the energy market plans to invest $17.1 million to expand operations in Battle Creek. The expansion will enable the company, which recently celebrated its 125-year anniversary in Battle Creek, to increase production, testing, pump systems packaging and expanded pump service capabilities to its global customer base. The investment is expected to create up to 420 total jobs, including 190 directly at the company. The MEDC estimates the increased economic activity created by the project has the potential to create an additional 230 indirect jobs. Based on the MEDC's recommendation, the MEGA board today approved a state tax credit valued at $1.2 million over five years to convince the company to expand in Michigan over competing sites in Texas, Louisiana and Ontario. The city of Battle Creek is considering an abatement in support of the project. http://www.clydeunion.com/
Creative Breakthroughs Inc. - The IT service company specializing in network security, integration and management plans to invest $780,000 for an expansion that will increase its workforce and office space in Troy. The project is expected to create up to 208 total jobs, including 100 directly at the company. The MEDC estimates the increased economic activity created by the project has the potential to create an additional 108 indirect jobs. Based on the MEDC's recommendation, the MEGA board today approved a state tax credit valued at $1 million over five years to convince the company to expand in Michigan over a competing site in Texas. The city of Troy is considering local assistance in support of the project. http://www.cbihome.com/
Delphinus Medical Technologies Inc. - The spin-off of the Barbara Ann Karmanos Cancer Institute plans to invest $5.9 million to expand to a new location in Plymouth Township to design, manufacture and market its 3-D, full-breast ultrasound imaging device. The project is expected to create up to 645 total jobs, including 109 directly at the company. The MEDC estimates the increased economic activity created by the project has the potential to create an additional 536 indirect jobs. Based on the MEDC's recommendation, the MEGA board today approved a state tax credit valued at $779,118 over five years to convince the company to expand in Michigan over competing sites in Illinois and Massachusetts. Plymouth Township is considering an abatement over 12 years in support of the project. http://www.delphinusmt.com/
Detroit Diesel - A state brownfield tax credit valued at $7 million will support Detroit Diesel's renovation of its operations in Redford Township. The manufacturer of heavy-duty diesel engines for the commercial truck market will upgrade equipment, make infrastructure improvements and purchase new machinery. The project will generate $194 million in private investment and is expected to retain up to 1,900 jobs, which were previously announced in June 2010. http://www.detroitdiesel.com/
Genesis Corp. d/b/a Genesis10 - The New York-based business and technology firm with offices across the United States plans to invest $2.2 million to open a new development center in Troy to service their clients' growing demand for domestic project delivery. The project is expected to create up to 594 total jobs, including 296 directly at the company. Genesis10 will be hiring a variety of roles including project managers, software engineers, data experts and other technology professionals. The MEDC estimates the increased economic activity created by the project has the potential to create an additional 298 indirect jobs. Based on the MEDC's recommendation, the MEGA board today approved a state tax credit valued at $2.1 million over five years to convince the company to expand in Michigan over a competing site in Missouri. www.genesis10.com.
Inteva Products LLC - The auto supplier for leading OEMs around the world (formerly Delphi Interiors & Closures) plans to invest $4.9 million to expand and renovate its world headquarters and technical center in Troy. The project is expected to create up to 67 total jobs, including 35 directly at the company. The MEDC estimates the increased economic activity created by the project has the potential to create an additional 32 indirect jobs. Based on the MEDC's recommendation, the MEGA board today approved a state tax credit valued at $263,055 over five years to encourage the company to expand in Michigan over a competing site in Ohio. The city of Troy is considering an abatement to support the project. http://www.intevaproducts.com/
Meritor Heavy Vehicle Systems LLC - ArvinMeritor, Inc. - The global supplier of systems and components to commercial truck, industrial and aftermarket customers plans to invest more than $23 million over five years in its technology center located in Troy for additional jobs to expand its engineering and development capacity. This project is expected to create 125 jobs at the company. The MEDC estimates the increased economic activity created by this program has the potential to create an additional 122 indirect jobs - resulting in 247 total jobs. This growth will augment more than 700 technical and professional employees at the company's headquarters. Based on the MEDC's recommendation, the MEGA board today approved a state tax credit valued at $2.2 million over seven years to convince the company to expand in Michigan as opposed to competing sites in Ohio and North Carolina. The city of Troy has proposed support for the project through consideration of PA 198 personal property and facility rehabilitation exemptions. http://www.arvinmeritor.com
Piranha Hose Products Inc. - The manufacturer of high-pressure, thermoplastic hoses plans to invest $6.3 million to expand their facility in Cadillac. This expansion will provide the space and equipment necessary to enter the oil and gas market. This project will also increase capacity for their current product lines to meet increasing global demands. The project is expected to create up to 107 total jobs, including 45 directly at the company. The MEDC estimates the increased economic activity created by the project has the potential to create an additional 62 indirect jobs. Based on the MEDC's recommendation, the MEGA board today approved a state tax credit valued at $154,303 over five years to convince the company to expand in Michigan over a competing site in Indiana. The city of Cadillac is considering an abatement over 12 years in support of the project. http://www.piranhahose.com/
Quantum Signal LLC - The advanced engineering research and development company plans to invest $1.3 million to expand in Saline to meet growing demand in both the military robotics and simulation/game sectors. The project is expected to create up to 93 new jobs, including 47 directly at the company. The MEDC estimates increased economic activity created by the project has the potential to create an additional 46 indirect jobs. Based on the MEDC's recommendation, the MEGA board today approved a state tax credit valued at $206,083 over five years to help convince the company to expand in Michigan over a competing site in Virginia. The city of Saline is considering an abatement in support of the project. http://www.quantumsignal.com/
Royal Oak Medical Devices LLC - A leading supplier of precision machined components for the medical device industry plans to invest $2.6 million to diversify into the design, manufacture and distribution of highly complex medical devices at its facility in Oxford. Royal Oak Medical Devices is a division of Royal Oak Industries, a market-leading contract manufacturer for the transportation, power generation, medical device and defense industries. The company is expected to create up 26 direct new jobs. The MEDC estimates the increased economic activity created by the project has the potential to create an additional 42 indirect jobs, for a total of 68 new jobs. Based on the MEDC's recommendation, the MEGA board today approved a state tax credit valued at $195,181 over five years to convince the company to expand in Michigan over competing sites in the southeastern and west coast regions of the United States. The village of Oxford is considering an abatement over 12 years in support of the project.
Styron LLC - The spin-off of the Dow Chemical Company and global provider of plastics, performance rubber and latex products plans to invest $13 million to establish its North American Operating Center in Midland. The project is expected to preserve up to 690 total jobs, including 202 directly at the company. The MEDC estimates the increased economic activity created by the project has the potential to preserve an additional 488 indirect jobs. Based on the MEDC's recommendation, the MEGA board today approved a state tax credit valued at $4 million over seven years to convince the company to make the investment in Michigan over competing sites. The city of Midland will consider an abatement in support of the project. http://www.styron.com/
Waltonen Engineering Inc. - The provider of engineering and design services to the aerospace, automotive, defense, medical and heavy equipment industries plans to invest $9 million to expand its operations in Warren. The project is expected to create up to 276 total jobs, including 145 directly at the company. The MEDC estimates the increased economic activity created by the project has the potential to create an additional 131 indirect jobs. Based on the MEDC's recommendation, the MEGA board today approved a state tax credit valued at $538,770 over four years to encourage the company to expand in Michigan over competing sites in Washington, D.C. and Wisconsin. The city of Warren is considering an abatement over 12 years in support of the project. http://www.waltonen.com/
Whirlpool Corporation - The global manufacturer and marketer of home appliances plans to invest $86.8 million in real and personal property to consolidate its world headquarters into three compatible locations, including a new office facility in downtown Benton Harbor. The project is expected to retain up to 2,336 total jobs, including 868 directly at the company. The MEDC estimates the increased economic activity created by the project has the potential to retain an additional 1,468 indirect jobs. Based on the MEDC's recommendation, the MEGA board today approved a state tax credit valued at $19.4 million over five years to convince the company to expand in Michigan over competing sites in Illinois and Georgia. (As a result of today's MEGA board action, the company has agreed to set aside MEGA credits approved in 2001 and 2006.) The cities of Benton Harbor and St. Joseph, Benton Charter Township and Berrien County are considering local incentives in support of the project. http://www.whirlpool.com/home.jsp
YourSource Management Group Inc. - The provider of human resources services to small- and medium-sized businesses plans to invest $1.5 million to expand in Auburn Hills. The company is expected to create up to 65 total jobs, including 27 directly at the company. The MEDC estimates the increased economic activity created by the project has the potential to create an additional 38 indirect jobs. Based on the MEDC's recommendation, the MEGA board today approved a state tax credit valued at $206,943 over five years to convince the company to consolidate in Michigan over a competing site in Tennessee. The city of Auburn Hills is considering an abatement in support of the project. http://www.ymghr.com/
"Every day, we're working with business customers and local economic development partners to put in place comprehensive economic development tools that companies can use to support growth and job creation," MEDC President and CEO Greg Main said.
The Michigan Economic Growth Authority, the state's response to interstate competition for company expansions and relocations, may provide a refundable tax credit against the Michigan Business Tax (MBT) to companies expanding or relocating their operations in Michigan. Since January 2010, more than 63,570 new and retained jobs have been announced as a result of the MEGA program.
Michigan brownfield programs provide incentives to invest in property that has been used for industrial, commercial or residential purposes and to keep that property in productive use or return it to productive use. Brownfield incentives can be used for functionally obsolete, blighted or contaminated property.
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 the MEDC's initiatives and programs, visit the website at www.MichiganAdvantage.org. For updates on MEDC programs, events, success stories and more, follow us on Twitter (www.twitter.com/MIAdvantage), become a fan on Facebook (www.Facebook.com), read our blog at http://blog.michiganadvantage.org.
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