Jason Ouhrabka, owner of Korber Hats in Fall River
The Baker-Polito Administration approved nine economic development projects for state or local incentives under the Economic Development Incentive Program (EDIP). The Economic Assistance Coordinating Council (EACC) certified five projects that will be eligible to receive state tax credits and as well as local incentives from their host communities. An additional four companies were approved to enter local property-tax agreements with municipalities. Combined, these projects are expected to create 890 new jobs, retain 2,121 jobs, and leverage $136 million in private investment.
Governor Charlie Baker said, “Our administration has worked hard to extend and expand resources for cities and towns to encourage job growth and attract private investment, for the benefit of residents across the Commonwealth. The Economic Development Incentive Program is an important part of the suite of tools we have to foster growing businesses, create new, well-paying jobs and help municipalities create the conditions for long-term economic growth in their communities.”
Lt. Governor Karyn Polito said, “As Massachusetts local officials work diligently to build walkable, vibrant downtowns, support small businesses and meet the needs of their residents, our goal is to bolster locally-driven efforts to drive economic development.”
Housing and Economic Development Secretary Jay Ash said, “Through our economic development bills in 2016 and 2018, we have enhanced the Economic Development Incentive Program, and we are pleased to continue partnering with businesses and municipalities to create new opportunities for workers across the Commonwealth.”
Assistant Secretary of Business Development and International Trade Nam Pham said, “These tax credit awards help small businesses grow and contribute more to their local economies by creating new jobs and enhancing the local tax base.”
Since 2015, the EACC has approved 204 economic development projects. These projects will lead to the creation of 13,246 jobs, retention of 30,011 existing jobs, and leverage over $5.7 billion in private investment. Additionally, the EACC has assisted 91 manufacturing companies and 92 companies in Gateway Cities during this period.
Spencer Technologies, Inc., Medway
Founded in 1972, Spencer Technologies is a privately-held global company focused on providing retailers total life cycle management of their store technology. The company plans to consolidate its business units in MA, NH, TN, OH and Canada. Spencer Technologies intends to create 200 new jobs, retain 128 existing jobs, and make a private investment of $12,300,000. The EACC Board has approved EDIP investment tax credits in the amount of $245,000.
Plastic Distributors & Fabricators, Inc., Haverhill
Plastic Distributors & Fabricators is a family owned business that began in 1974. The company manufactures plastic products used in the aerospace, energy, medical and defense industries and distributes plastic raw materials in the form of rod, sheet, tube and film. They are at capacity in their current facility and are considering purchasing a larger facility in Haverhill, which needs extensive site work and improvements. The company plans to hire 15 new employees, retain 42 employees, and make a private investment of $6,231,700. The EACC Board has approved EDIP investment tax credits in the amount of $225,000.
Hardline Heat Treating, Inc., Southbridge
Hardline is a commercial heat treating facility that thermally heats materials to improve wear, toughness and aesthetics based on customer-provided specifications. They began business in 2004 in a 7,500-square-foot facility with 3 employees; they now operate out of three buildings in Southbridge with 38 employees and opened a plant in Florida. Their Massachusetts facilities are not adequate to support future growth and plan to purchase their currently leased facilities and invest in expansion on site. The company plans to retain 36 full-time jobs, create 10 new jobs, and make an investment of $3.2 million. The Town of Southbridge has approved a ten-year Tax Financing Agreement with a value of approximately $100,330. The EACC Board has approved EDIP investment tax credits in the amount of $125,000.
Fall River Hat Company dba Korber Hats, Fall River
Korber Hats was established in 1919, and is one of two remaining hat manufacturers in the U.S. Korber is proposing an expansion into “cut and sew” hats and recently acquired new machinery that will increase capacity and create jobs. They are looking to relocate to a 30,000-square-foot manufacturing space. The company plans to hire 6 new employees, retain 15 employees, and make a private investment of $211,000. The EACC Board has approved EDIP investment tax credits in the amount of $30,000.
Humana Insurance Company, Boston
Founded in 1961, Humana is a leading managed health company. The company is creating new digital health division, which will be headquartered in Massachusetts and is building out a 40,000-square-foot facility in the City of Boston, near South Station. Humana plans to hire 225 new employees, retain 9 positions, and make a private investment of $10 million. The EACC Board may consider a specific EDIP award at a future meeting.
Local Incentive Only Projects:
IPG Photonics Corporation, Oxford
IPG Photonics is a manufacturer of fiber lasers and fiber amplifiers headquartered in Oxford. IPG has outgrown its existing space in Oxford is planning on constructing a 170,000-square-foot, four-story office, manufacturing and research facility, and a 460,000-square-foot parking garage. The company plans to retain 1,550 full-time employees, hire 400 new employees, and make an investment of $67.9 million. The Town of Oxford has approved a 15-year Tax Financing Agreement with a value of approximately $1.5 million.
Primetals Technologies USA, Inc., Sutton
Headquartered in Worcester, Primetals is a leading global manufacturer of equipment and machines for the steel industry. Currently, they operate out of two leased locations in Worcester which houses the U.S. corporate headquarters, R&D and manufacturing. The company plans to relocate its operations to one modern, state-of-the art facility in Sutton. They plan to relocate and move their current 275 employees and make an investment of $28 million. The Town of Sutton has approved a 15-year Tax Financing Agreement with a value of approximately $1.4 million.
Freudenberg Medical, LLC, Beverly
Freudenberg Medical is a medical device manufacturer. The company plans to construct a 36,000-square-foot state-of-the-art manufacturing and clean room facility in Beverly. The new facility will be the new home of the Freudenberg Medical global headquarters. The company plans to hire 26 new employees, retain 48 employees, and make a private investment of $7 million. The City of Beverly approved a 10-year TIF valued at approximately $112,000.
Camia, LLC/Myers Information Systems, Inc., Westfield
Camia, LLC was founded with the intent to purchase 110 Elm Street property and lease it to a related company, Myers Information Systems, Inc. They plan to convert a vacant restaurant into modern, professional office space. The company plans to hire 8 new employees, retain 18 employees, and make a private investment of $800,000. The City of Westfield approved a 6-year Special Tax Assessment valued at approximately $52,469.