Ground was broke Tuesday morning for a new auto parts manufacturing facility in Anderson's Flagship Business Park by by Greenville Technology, Inc. Pictured turning earth are Anderson Mayor Kevin Smith; Tom Moore, GTI vice president; Hiroyasu Masuno, North America Operations for Moriroku Technology North America; Indiana Governor Mitch Daniels; and William LaFramboise, GTI executive vice president. Staff photo by John P. Cleary
ANDERSON — Ohio-based Greenville Technology Inc. is expected to bring 325 jobs to the area with a new automotive parts manufacturing facility, officials announced today.
The plant, to be called GTI Anderson, is scheduled to open with 100 employees by January on the city’s southwest side.
Construction of the 150,000 square-foot facility will soon begin in the 3600 block of West 73rd Street in Anderson’s Flagship Business Park.
Workers will make dashboards for the Honda Civic and Acura ILS made at the Honda plant in Greensburg, Bill LaFramboise, executive vice-president of the Greenville facility, said during a news conference at The Flagship. Gov. Mitch Daniels traveled to Anderson for the announcement which was also made by Mayor Kevin Smith and interim city economic development director Greg Winkler, among others.
In Greenville, GTI employs almost 600 people and specializes in injection molding for such products as car consoles, glove boxes and engine covers. The parent company, Moriroku Technology Co. Ltd., is based in Japan and, along with its divisions, employs 3,100 people.
Construction will begin next week in Anderson on an $8 million plant, which will be built on 25 acres at the Flagship campus. The facility is to be completed and operational by January.
GTI will invest $21.5 million in the project, including equipment, Winkler said.
The jobs will pay on average $15 an hour, plus benefits. Rather than bring in managers from other plants, GTI will hire a plant manager, plant engineer and quality control manager locally, officials said.
The annual payroll is projected at $9 million, excluding benefits.
GTI was originally planning to build the facility in Richmond, Winkler said. But in May, site selectors and brokers who have relationships with Anderson and Madison County officials encouraged GTI officials to explore the possibility of expanding to Anderson instead.
And in a quick turnaround, the company switched their plans to Anderson.
As a way to draw GTI here, the City of Anderson offered to invest $3.25 million in tax increment financing (TIF) dollars for the construction of the plant. The TIF fund is made up of property taxes collected from new commercial, industrial and manufacturing businesses within a designated district. The funds are to be spent on infrastructure improvements within the district or to benefit the district.
GTI is required to spend $3.25 million of its own money first, and only then will the TIF money be made available to the company, Winkler said.
Several city governing bodies still have to approve the use of TIF funds.
The incoming company will be paying full taxes, and won’t get any tax abatements, said Otto W. Krohn, an executive partner with financial firm O.W. Krohn and Associates, on Monday.
Krohn said he predicts that the city will collect about $4.3 million for the TIF fund during the company’s first 11 years.
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