
Shirley Sherrod (c), State Director of USDA Rural Development, presents a check to EMC President and CEO Neal Trice (r) and Thomaston-Upson County IDA Chair Neil Hightower for use in construction of the rail spur for Innoware Plastics. Photo by Larry Stanford
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By Larry Stanford
editorial1@thomastontimes.com
Upson EMC received a $500,000 loan from USDA Rural Development Monday morning. The loan will be used to fund a rail spur project of Innoware Plastics and the Thomaston-Upson Coun-ty Industrial Development Authority. The project will keep Innoware in Upson County and will create 45 new jobs.
Neal Trice, President and CEO of Upson EMC, thank-ed former EMC manager John Broadnax, a member of the IDA, for bringing Innoware's situation and the possibility of getting the loan, to the EMC Board of Directors.
"This loan, known as REDLG, or Rural Economic Development Loan and Grant, is a program that provides zero interest rate loans or grants to electric cooperatives for economic development projects in rural areas," said Trice. "The loan is for 10 years, with a deferred payment two years out.
"If you run the numbers for the employees that Innoware has today and the employees they plan to add in the future, and divide that into the $500,000 over 10 years, it is a small amount per employee for this loan," Trice added. "Even though we don't provide electricity to this plant, we do provide electricity to the employees who work there, and it is our obligation as a community to come together to do everything possible to make sure they stay here and not relocate."
Shirley Sherrod, State Director of USDA Rural Development, presented the ceremonial check to Trice, stating the USDA wants to do all it can to create and maintain jobs in rural areas.
"These funds will be used to provide a critical rail link to a local manufacturer," said Sherrod. "This project will significantly reduce transportation costs and allow the company to reinvest the savings in the business."
The rail spur connects Innoware in the Central Georgia Business and Technology Park to the Norfolk Southern Railway main track. A 3,200-foot rail line has been installed with switch and track crossing. It provides rail access and storage for five rail cars to unload industry goods.
The project will retain 134 full time Innoware employees and an additional 45 jobs are expected as a result of the project. Innoware was considering consolidating operations at their Chattanooga, TN, facility, which has rail access. This project keeps Innoware and its employees in Upson County.
Nick Clementi, Chairman of the Board for Innoware, thanked everyone for their efforts on the project. He said he is happy Innoware has made the commitment to keep its plant in Thomaston.
"One thing that makes Thomaston special is the way you make us feel like a part of the family," said Clementi. "It makes our employees feel important and that they are part of the community."
Clementi said that the rail spur will allow Innoware to expand its marketing beyond the Rockies to the west coast, which will increase sales and manufacturing, and in turn, increase jobs. He added that Innoware had made a three-year commitment of $9.7 million in the plant and equipment, and that they will reach the $10 million mark in capital improvements in June, fulfilling their three-year commitment in one year.
Neil Hightower, Board Chair of the IDA, thanked the EMC for their continued support of the community and existing industry. He also thanked Aronda Smith of the Three Rivers Regional Commission for her help in filling out the loan application, and thanked the USDA for their role, stating that this project is the result of a team effort.
Upson County Commission Chair Maurice Raines added his thanks as well.
"This is a great day in Thomaston and Upson County," he said. "There was no 'I' in the whole process; it took a team working togeter to do it. The community working together made this happen."