County to get $50 M in investments

LANCASTER, SC – A trio of local company investments, including $21 million from health supplement company Nutramax Laboratories, were announced during Lancaster County Council’s final meeting of the year on Dec. 8.

As an early Christmas present to the county, Lancaster County Economic Development Corp. President Keith Tunnell was on hand to announce almost $50 million in investments and the creation of hundreds of jobs from three companies, including Nutramax, Silgan and an as yet unnamed company.

 The announcements came as council considered and unanimously voted for three separate resolutions that formally demonstrate the county’s commitment to enter into fee or incentive agreements with the companies.

When discussing the Nutramax resolution, Tunnell said the company has made great strides since it initially pledged in 2010 to invest $8.5 million in the county. That number has since soared to a current $29 million investment and the creation of more than 200 jobs.

The company now plans to invest another $21 million, which will include expansion of the company’s building at 946 Quality Drive and the construction of a new 50,000-square-foot warehouse. An additional 125 workers are expected to be hired within the next 13 to 18 months, with average wages in excess of $13 per hour, he said.

 “This is the best company we’ve recruited here. And with this investment there would be an increase in the existing fee as well,” Tunnell told council. “Also, out of the 7 percent economic development fee, 5 percent will be dedicated for a training program.”

Tunnell was referencing a new funding stream approved by council earlier this year that will redirect 7 percent of future fee-in-lieu of tax agreement dollars collected from new companies to be used on county economic development projects, such as spec buildings.

Councilman Larry Honeycutt made the motion to approve the resolution.

“We need more companies like this in Lancaster County,” Honey-cutt said.

 Councilman Bob Bundy also lauded the company, but wanted clarifications about the intended use of funds from the economic development fee.

 “Nutramax is the kind of company we want in Lancaster County and I’m excited we have them here. I have a question about the 5 percent for training,” Bundy said. “What would that go through? I don’t want to let them down.”

Tunnell said further clarification would come back to council at the beginning of the year, either in January or February, along with the formal fee agreement.

Project Mermaid 

Council also approved a resolution regarding a fee agreement and special source revenue credit for Project Mermaid, which was formally revealed as food-packaging manufacturer Silgan a week after the meeting.

During the meeting, Tunnell said the eventual fee agreement will help keep the company within Lancaster County’s borders.

“This is an existing industry with 40 to 50 existing jobs and the company had been looking at moving their operation to North Carolina, since they’ve been acquired by another company,” Tunnell told council. “With this resolution, they are committing to stay and adding 18 jobs and investing $3 million.”

According to the resolution, the county commits to enter into a fee-in-lieu of tax arrangement with the company for an investment period of five years and the promise the company will create at least 18 new full-time jobs no later than the third year of the investment period. There will also be a special source revenue credit equal to 50 percent of the FILOT payments for years one through five.

“This is a very good company. They have been here over 25 years and I recommend approval of the inducement resolution,” Tunnell said.

He said the FILOT agreement will be brought to council for approval in January.

On Dec. 18, Tunnell officially revealed the company as Silgan, which recently purchased local company Van Can.

“This purchase will allow for additional investment and work for this facility including the addition of 18 additional jobs with average wages of more than $16 per hour,” he said. “The company makes cans for the food industry including for companies that package and sell tuna.”

Project Wahoo

Finally, council approved an inducement resolution for Project Wahoo, a not-yet-revealed financial services company from Charlotte that has the potential to bring hundreds of jobs to the county.

 Tunnell said the company is eyeing a location in Indian Land where it could set up a 670-plus-employee operation.

“They are bringing 240 jobs from Charlotte and adding over 400,” he said.

 According to the resolution, the company is considering the construction and installation of a facility in the county provided the county enters into certain fee-in-lieu of tax arrangements with the company. The company intends to invest at least $21.2 million and create at least 672 new jobs over the first five years.

He said the company’s first planned phase of investment would be more than $21 million, while the second phase could go as high as $45 million. The average salaries would be $60,000 and up, he said.

“This will generate $9 million in property taxes in phase one,” he told council.

Lots of investment

In addition, Tunnell also pointed out investment the county will receive from the new tenant of the former Argibusiness building, located at 3758 Charlotte Highway (U.S. 521). Integrated Global Solutions, a distribution company, plans to lease the building for five years and has plans to invest $850,000 and employ 15 people with average wages of $15 per hour, Tunnell said.

Thanking county officials, the LCEDC board of directors and the S.C. Department of Commerce, Tunnell said Thursday, Dec. 18 that the newly announced investments will push the county to more than $550 million in announced capital investment for this year and over 1,500 jobs created.

 “I want to thank each of these companies for their investment in Lancaster county. These investments total nearly $50 million in new investment and more than 700 new, good paying jobs for our residents,” Tunnell said. “We continue to see a good mix of existing industry expanding, new office projects creating white collar jobs and new manufacturing projects.”