Tuesday, July 15, 2008
Bridget Beckman, MEDC
High-tech projects to create 257 new jobs
Governor Jennifer M. Granholm today announced two high-tech projects planned for Downriver, an expansion by Steel Tool & Engineering in Gibraltar and a new campus for the Michigan Institute of Aeronautics in Huron Township. Combined, the projects are expected to create 257 new jobs and involve more than $8 million in new capital investment. Assistance provided by the Michigan Economic Development Corporation (MEDC) helped win the projects for Michigan over competing sites in other states.
“These high-tech projects in are critical to our state's economic transformation and our efforts to create good-paying jobs,” Granholm said. “We will continue to go anywhere and do anything to bring companies like these to Michigan.”
The projects announced today:
SteelTool & Engineering Co.– The manufacturer and engineering provider of precision component parts for military and commercial aircraft jet engines plans to invest $3.5 million to consolidate operations in Taylor and Wyandotte into a facility in Gibraltar. The project is expected to create 112 new jobs, including 50 directly by the company. An economic analysis conducted by the MEDC estimates that the project will generate an additional 62 indirect jobs. Based on the MEDC’s recommendation, the Michigan Economic Growth Authority (MEGA) board today approved a state tax credit valued at $535,000 over seven years to win the project over a competing site in Indiana. The city of Gibraltar has proposed a 12-year abatement to support the project.
Michigan Institute of Aeronautics Inc.– The Belleville-based postsecondary institution and one of the largest aviation maintenance technician schools in the nation plans to expand and locate its Power Technology Institute in Huron Township. The Power Technology Institute, with 103 students currently, expects to grow to over 600 students over the next five years. The institute focuses on alternative energy and trains students to become technicians and dispatchers. The project is expected to create 145 new jobs, including 103 directly by the institute. An economic analysis conducted by the MEDC estimates the project will create 42 indirect jobs. Based on the MEDC’s recommendation, the MEGA board today approved a state tax credit valued at $847,000 over five years to win the project over a competing site in Texas. To support the project, Wayne County has proposed to make $7 million worth of improvements on Sibley Rd., including new lanes with traffic signals.
"Successful economic development is always a team effort,” MEDC President and CEO James C. Epolito said.“We worked closely with the city of Gibraltar and Wayne County to make the best business case for Michigan to secure these projects and ensure these new jobs are created here.”
The Downriver projects are two of 18 economic development projects the governor announced today. In all, they are expected to create a total of 6,917 Michigan jobs.
“We were pleased to provide the local match for Michigan Institute of Aeronautics Inc, a company that will provide high level training in wind energy for regionaland national markets,” Wayne County Executive Robert Ficano said. “Its decision to grow in Huron Township is further testament to the attractiveness of the Detroit Region Aerotropolis. Equally, we are pleased that Steel Tool & Engineering could consolidate its operation within the Downriver communities showing that Wayne County continues to be competitive in attracting high-tech companies.”
In her 2008 State of the State address, Granholm emphasized the importance of creating opportunity in the changing world of the 21st century. Since January 2005, the governor and the MEDC have announced the creation or retention of more than 248,000 jobs as a result of targeted assistance providedby the MEDC.
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 Web site at www.MichiganBusiness.org.
# # #