©2016 Michigan Economic Development Corporation

Granholm Announces Funding for Federal Mogul Retention Study

Thursday, March 11, 2004

Susan McCormick
(517) 335-4590

Federal Funds to Facilitate Action Plan to Keep Local Jobs

Governor Jennifer M. Granholm today announced $20,000 in Community Development Block Grant funding to help the city of St. Johns in its efforts to keep Federal Mogul from closing down its plant there due to competitive and cost pressures. The federal grant, made available through the Michigan Economic Development Corporation (MEDC), will be used to develop an assessment and action plan targeted toward the retention effort.

"Keeping these jobs in St. Johns is a number one priority," Granholm said. "This funding will be used to help develop a mutually agreeable action plan so that everyone comes out a winner."

An outside consultant will be retained to evaluate business factors that affect Federal Mogul's operations in St. Johns. The consultant will work with the city, local utilities, labor officials and tax authorities to compile the plan and make recommendations to the city.

"We want to make sure that we are using every tool necessary to retain these jobs," said MEDC President and CEO Don Jakeway. "This is an excellent way to examine the situation from many angles and promote the collaborative effort it will take to keep Federal Mogul in St. Johns."



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.