Also Highlights $1 Million Grant to Galesburg Sanitary District for Key Improvements
CHICAGO – Gov. Rod R. Blagojevich today officially welcomed Westcode Inc., a manufacturer and supplier of HVAC equipment door systems and rail industry parts, to Knox County and highlighted a $1 million grant to the Galesburg Sanitary District (GSD) to improve the city’s wastewater system. Pennsylvania-based Westcode, who will lease a facility in Galesburg, will create 20 new jobs as part of an up to $267,000 business investment package from the state. Illinois Department of Commerce and Economic Opportunity (DCEO) Chief of Staff Kristi Lafleur joined company representatives and local officials at Galesburg City Hall to talk about this announcement.
“Exciting things are happening in Galesburg, and we’re happy to be making these investments that will bring more jobs and better opportunities across the region both now and in the future. Westcode understands that West Central Illinois has all of the assets in place to build a successful operation, not the least of which is a world-class rail infrastructure. By making the investments that matter most to communities and not raising sales or income taxes, we have created a businesses climate that is encouraging investment and innovation and putting more people to work,” Gov. Blagojevich said.
Westcode Inc., an outgrowth of Westinghouse Brake and Signal Co., a British-owned rail-engineering group, formed in 1973 and was privately purchased in 1995 by its current owners. The company is a primary supplier to the U.S. transit industry and is headquartered in Philadelphia, with other locations in Binghamton, NY and the United Kingdom. Westcode supplies a list of new and refurbished HVAC parts to the New York area, as well as rail parts to rail transportation companies. Westcode has secured relationships and business in the Midwest with customers including Chicago Metra, Amtrak in Beech Grove, IN and EMD (General Motors) in LaGrange, IL and Kawasaki based in Lincoln, NE. Westcode also has working relationships with BNSF and Chicago Transit Authority.
The funding for the Galesburg Sanitary District is for a Final Polishing Filter System, which will greatly enhance the plant efficiency, improving the quality of the community’s waste water treatment. This infrastructure improvement will better position Galesburg to successfully attract and accommodate companies to the area, including efforts to attract small businesses, warehousing and distribution companies to the 330-acre Galesburg logistics park. Engineering work is complete and the project has been put out for bid with completion anticipated by Fall of 2007. Through Opportunity Returns, Gov. Blagojevich also provided $300,000 for water line improvements to the city of Knoxville, which is currently under construction.
The Illinois Department of Commerce and Economic Opportunity (DCEO) is providing the funding to the GSD and administering the business investment package of grants and tax credits to Westcode. DCEO will make available Economic Development for a Growing Economy (EDGE) corporate income tax credits over the next ten years based on job creation; and provide Employer Training Investment Program (ETIP) job training funds to enhance workforce skills; a grant to help the company purchase equipment machinery; and additional financial benefits, such as sales tax exemptions and tax credits for job creation, resulting from the company’s location within an Enterprise Zone. Westcode is also receiving a $10,000 grant and $112,500 revolving loan from the City of Galesburg and technical support from the Galesburg Regional Economic Development Association (GREDA).
“Westcode wishes to thank Governor Blagojevich and DCEO for their investment in our businesses that helped us select Galesburg. We were impressed by the cooperation and support between GREDA, the City of Galesburg and the State of Illinois and look forward to growing our business in the community,” Westcode President and Chief Operating Officer Michael Hall said.
“Attracting a quality company like Westcode to Galesburg is a victory for our local economy, and we look forward to its growth in the region. Gov. Blagojevich and I understand that in order for a community to strengthen its economic potential, we must have a strong infrastructure in place. With investments like these, we are making Galesburg more competitive and bringing more quality jobs to the area,” State Rep. Don Moffitt (R-Galesburg) said.
“This is a great day for Galesburg as we celebrate new jobs in the community and a stronger infrastructure for our working families. Galesburg is a regional water provider, so this investment from Gov. Blagojevich will provide an enhanced quality waste water system to many in the area, while also making the region more attractive to businesses. My thanks to Westcode, the Governor and all of our local partners for making all of this possible,” Galesburg Mayor Gary Smith said.
“This project is one of those very few where environmental interests and economic development goals seem to coincide, and the results of the project are positive in every way for the community and the environment,” Galesburg Sanitary District Superintendent Steve Davis said.
“Gov. Blagojevich and I believe that we must continually make these kinds of strategic investments that will pay important economic dividends at the local level for years to come. Partnering with an innovative company like Westcode will not only create new jobs in the community, but also enhance the economic vitality of the entire region. We will continue providing communities across Illinois with the support they need to attract and retain business, create good jobs and promote more vigorous economic growth,” said DCEO Director Jack Lavin.
Gov. Blagojevich recently announced that Illinois added 31,100 new jobs in July, which was the best in the nation that month. This is the second time this year Illinois has created more new jobs than any other state, which has never happened before in recorded history. Illinois also led the nation in job growth in April. The total number of new jobs created this year is 75,200, which is the best start to a year since 1998 and more new jobs than any Midwest state. Since January 2004, Illinois has gained more than 150,000 new jobs, which is also best in the Midwest. The Illinois unemployment rate has been below or the same as the U.S. unemployment rate since May 2006, the first time this has happened in seven years. The unemployment rate in Knox County has declined from 8.1 percent in January 2003 to 5.8 percent in August 2006. The federal Bureau of Labor Statistics and the Illinois Department of Employment Security compiled these statistics.
Site Selection Magazine also ranked Illinois third in the nation for attracting new and expanded corporate facilities in 2005, and Business Facilities Magazine named Illinois the top state for biotech growth last year.