BCC grant paves way for $3.2 million allocation
Merlin-based Recoil Suppression Systems lands helicopter tank Dept. of Defense contract
From our weekly issue dated December 30, 2009
What began as a $25,000 economic development grant approval from the Josephine County Board of Commissioners has turned into a $3.2 million appropriation from the federal government.
Commissioner Dave Toler, an Illinois Valley resident, announced that Recoil Suppression Systems LLC, based in Josephine County, received the allocation recently signed into law by President Obama.
Recoil is an aircraft parts and auxiliary equipment manufacturer in Merlin. The funds will be used to provide a wildland fire suppression fixed-belly tank system for the U.S. Army National Guard’s UH-60A, L&M Blackhawk helicopter.
County commissioners voted last February to approve the company’s grant request under the name “Project Carriage.” Toler heralded the county’s decision to leverage economic development dollars to draw $100,000 in additional public investment for the company.
Economic development funds are allocated by the state government, and originate from proceeds generated through the Oregon Lottery.
Before Toler took office in 2007, he said, the county tended to spend some of those dollars on its own programs and save the rest. But he began to push for a change in policy, and said that 2009 was a “promising year” for economic development projects in the county, despite the grim national job picture.
Another success story cited by Toler is the use of $20,000 in county economic development funds to leverage dollars from Southern Oregon Regional Economic Development Inc. (SOREDI) and the city of Grants Pass to lure a call center to the area.
That call center has employed 70 people, offers health benefits and it’s anticipated to double to 150 jobs by the end of 2010, Toler said. It also has reduced blight, as the company is headquartered in Downtown Grants Pass at the former location of Ken Roberts Co. The building had been unoccupied for the past few years.
Earlier this month, the commissioners voted 2-1 to approve a $20,000 grant for Grants Pass firm, Encore Ceramics. Toler said that grant will be used to leverage between $150,000 to $200,000 from SOREDI and the state government to encourage the company to create a new product made of 90 percent recycled material.
“There is nothing like it out there on the market,” Toler said.
Although the county already has allocated most of its economic development dollars for the 2009-10 fiscal year, Toler said that potential grant applicants will have the chance to make their pitch to commissioners starting next spring. The next round of economic development funds will be received by the county on July 1, he added.
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Cave Junction Firms Looking For Boosts
Among those hoping to receive a boost is Cave Junction resident James Walmsley. He said that he is in the process of “fine-tuning” a business plan to market Old Flame Firelogs made from biomass materials.
“It’s just a matter of plugging in the numbers,” Walmsley said.
He added that he is in the process of determining the prices of the equipment he will need to get his business up and running, and is eyeing possible sites throughout Illinois Valley.
Once the company is operating, Walmsley said that he plans to hire approximately 15 people at family wage jobs to aid in production and sales. He said that he would like to start during summer 2010.
“It’s a viable business enterprise,” Walmsley said. “I plan to bring it to fruition.”
Toler said that he also has met with representatives from Rogue Truck Body, a firm with a location in Kerby and another near Illinois Valley Airport.
At one point, Toler said, the company employed between 60 and 70 people. But it’s now looking at developing a new product line, which Toler said would help the firm make its case for economic development dollars.
“That would create family wage manufacturing jobs for Illinois Valley,” Toler said.
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