Project Hem, Project Z13 identified
Thomasville City Council on Monday night scheduled public hearings next month for incentives aimed at two companies planning to invest millions of dollars in the Chair City.
Two public hearings are scheduled for Sept. 9 concerning Community Development Block Grant applications for Mill-Chem Manufacturing and SV Plastics, LLC, two companies previously know as Project Hem and Project Z13, respectively. The grants are federally funded and designed for new businesses to renovate existing buildings and create jobs.
If approved, the city will manage the funds, which must be matched dollar for dollar by the company. Each company could receive up to $500,000 form the grant and with the match push the total investment from the funds to $1 million.
"All we do is manage the grant," Councilman Neal Grimes said. "We're just the administrator of the CDBG. This doesn't cost the taxpayers any money."
Mill-Chem Manufacturing is a merger of two companies planning to invest $2.3 million and create 30 jobs. Mill-Chem is looking to renovate a building at 416 Albertson Road, the former home of Executive Delivery Service.
SV Plastics LLC, an injections molding firm, plans to renovate buildings at 15 and 25 High Tech Boulevard. The company will invest $2.2 million and create 11 jobs equal to the average county wage.
"This is a tool for business recruitment, investment and job creating," Grimes said. "We've got two companies that are willing to relocate into Thomasville and invest in plants and machinery, and guarantee a certain number of jobs. It's another tool in the tool bag we can use to attract new businesses."
City Manager Kelly Craver said the company gets reimbursed for any renovations through the CDBG. If the company creates and maintains the jobs it said it would for five years, the loan is forgiven. The loan also is forgiven at 20 percent per year for the five years of the grant.
"If something happens after the first year, they'd have to pay back 80 percent of the loan," Craver said.
Council and Davidson County Commissioners earlier this year approved economic development incentives for both companies.
Staff Writer Eliot Duke can be reached at 888-3578, or email@example.com.