Governor Announces Vermont Castings and New England Precision Expansions

first_imgGovernor Announces Vermont Castings and New England Precision ExpansionsVT Castings is second ‘Green VEGI’ applicantMontpelier, Vt. – Governor Jim Douglas was at Vermont Castings in Bethel Monday to announce that the wood stove manufacturer and another Vermont-grown company, New England Precision, will be expanding and could earn more than $700,000 worth of Vermont Employment Growth Incentives (VEGI) that could produce 88 new jobs in the Bethel and Randolph area over the next several years.VERMONT CASTINGS EXPANSIONGovernor Douglas highlighted a decision by Vermont Casting’s parent company, Monessen Hearth Systems Corporation, to send its Kentucky operations to Vermont.Governor Douglas said the Green VEGI incentives-a program offering increased incentives for businesses in sectors such as energy efficiency, energy conservation, and biomass to grow here and create good paying jobs-helped ensure that certain lines of manufacturing are relocated to Vermont Castings’ facilities instead of existing Monessen operations in Kentucky.”The type and quality of manufacturing done by Vermont castings qualifies their expansion for the enhanced Green VEGI initiative I included in the 15-point economic stimulus package we pushed through the Legislature this spring,” said Governor Douglas. “It is a great example of how innovative, pro-growth policies can strengthen our economy and help Vermont emerge from this national economic downturn with a stronger and more resilient economy.””With the incentive support the State of Vermont is offering our company we will be able to effectively relocate steel stove production to Vermont Castings along with adding automation to support new non-stove customers,” said Dale Trombley, General Manager of Vermont Castings. “This is exciting as it helps Vermont Castings diversify and provides growth opportunities for our current employees as well as adding many new jobs to our operation.”Vermont Castings, formerly a subsidiary of CFM Inc., has manufactured wood stoves in Bethel and Randolph since 1975. Monessen Hearth Systems Corporation recently acquired Vermont Castings and other CFM, Inc. assets. Monessen is consolidating all former CFM, Inc. operations and business lines and has closed plants in Indiana and Canada.NEW ENGLAND PRECISION EXPANSIONGovernor Douglas said VEGI incentives also helped to ensure that the jobs created by New England Precision are in Vermont.New England Precision is a full-service metal stamping contract manufacturer in Randolph. NEP makes small metal pieces for the automotive, medical, security, architectural hardware and other industries. The company was considering relocation to other locations like Pennsylvania and South Carolina. New England Precision was also considering a partnership with another Vermont company who recently expanded in Mexico.”New England Precision, Inc. is grateful to the Vermont Economic Progress Council for the authorization of incentives to expand our operations, and work force, at home in Vermont,” said Joe Holland, Treasurer of New England Precision, Inc. “As a result, we are now committed to growing and creating jobs in Vermont, and have declined similar offers from other states.”ABOUT THE INCENTIVESThe Vermont Economic Progress Council has given final approval for Vermont Castings of Bethel and Randolph to earn up to $488,000 worth of incentives if they add new employees and makes investments in the Vermont facilities. In addition, the Council gave final approval to an application from New England Precision to earn up to $241,236 of incentives to ensure an expansion of their manufacturing operation in Randolph instead of other possible locations under consideration.The Council approved the applications after reviewing nine guidelines and applying a rigorous cost-benefit analysis which showed that because of the economic activity that will be generated by these projects, even after payment of the incentives the State will realize a minimum net increase in revenues of $454,038.”These projects will create good new jobs in an area that has seen a substantial loss of employment recently,” said Karen L. Marshall, Chairwoman of the Vermont Economic Progress Council. “These approvals are examples of the kind of leverage this program can have on today’s business decisions, which are more and more about global competition, even for Vermont companies.The Council also determined that these projects would not occur or would occur in a significantly different and less desirable manner if not for the incentives being authorized.The Vermont Economic Progress Council is an independent board consisting of nine Vermont citizens appointed by the governor that considers applications to the state’s economic incentive programs. The Council is attached to the Vermont Agency of Commerce and Community Development, whose mission is to help Vermonters improve their quality of life and build strong communities.For more information, is external) is external) is external)###last_img

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