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Local officials react to Goodyear closing

Dustin Fox @GT_DustinFox / Apr 24, 2020 at 6:40 PM
Donna Thornton @GT_DThornton / Apr 24, 2020 at 6:40 PM

The official word Thursday from Goodyear Tire & Rubber Co. that its Gadsden plant will be closing felt like the other shoe dropping, after last year’s layoffs and the buyouts months ago had dropped the workforce to 411 employees.

For those who remember the days when the steel plant and Goodyear operated at full strength, employing thousands, it may feel like losing the last leg of the local economy.

But city and county leaders say they are continuing their work to bring new industry and more jobs to the region, to keep the loss of Goodyear from bringing the area economy to its knees. “Our hearts go out to the families of the Goodyear workers who have lost their jobs due to the imminent closing of the Gadsden plant,” Gadsden Mayor Sherman Guyton said. He noted that city officials learned of the closure through reported corporate filings and the media’s confirmation. “To date, Goodyear has not notified the City of Gadsden of their permanent closure of Goodyear-Gadsden, but it is clear that Goodyear has taken advantage of a global crisis to send production outside the United States,” Guyton said. Over the last year in conjunction with state leadership, the City of Gadsden has reached out to Goodyear about preserving jobs in Gadsden, the mayor said in a press release. Goodyear would not respond to these efforts to bring them to the table, he said. “Goodyear’s business decision to move the production of these tires to other locations and foreign countries is disappointing. The city, state and community have invested and partnered with Goodyear for decades,” Guyton said. He said the city’s leadership remains committed to bringing good-paying jobs to the community and “doing everything we can” for the workers laid off from Goodyear.

The Etowah County Commission echoed that commitment in a statement. “Even today as we receive reports of Goodyear’s decision, Etowah County, along with the State of Alabama and the Gadsden-Etowah Industrial Development Authority, is working with industrial prospects to bring new jobs to the area,” the statement said. County officials said Etowah County has been fortunate to have a plant like Goodyear as part of the community for more than 90 years, allowing generations of men and women to successfully raise families here because they were able to find good jobs at the Gadsden plant. “While we are thankful for that opportunity, we must now turn our attention to those people who have been negatively impacted by this long-anticipated closure,” the statement said, adding that county officials are praying for the employees and their families, specifically that they find work locally and are able to help the county and its municipalities as they transition through this difficult time. “We know that Goodyear people are highly skilled, have a strong work ethic and have always been dedicated employees, which will be vitally important as we work to further diversify the local economy,” they said. Marilyn Lott, economic development director for Etowah County, reiterated that the county is continuing to recruit industry to the area, specifically to the Little Canoe Creek Mega-Site within the county. “We’re continuing ongoing efforts to recruit industries to the Mega-Site and to make that site as competitive as possible, so that we can recruit high-quality, high-paying jobs to Etowah County,” she said.

She said she feels for the families who have lost jobs, noting that indications show a lot of manufacturing jobs will probably relocate from overseas because of the current disruption of the supply chain. “We must be vigilant in our efforts to recruit a variety of businesses, ranging from small companies to major industries, so that our economy will be stronger and more resilient than ever,” the commission’s statement read. A union source told The Times meetings with Goodyear employees will begin Monday. The plant closure was first reported in Rubber and Plastics News, after a filing with the U.S. Securities and Exchange Commission, and confirmed by a Goodyear spokesperson. News of the closings had been circulating in the community for almost a week, without confirmation from the corporation. “We are disheartened at the news of the closure of Goodyear Tire & Rubber Company in Gadsden,” Heather New, president and CEO of The Chamber of Gadsden & Etowah County, said. “It has been a sustaining force in our community for the past 90 years. We appreciate their rich history and longevity and the impact they’ve had on our economy,” New said in a statement. “The employees and their families are among our greatest assets, ” she said. “We salute their years of service to the company and especially their generosity to our community.

“Our commitment to workforce development is unwavering, and we pledge our utmost support in new recruitment efforts as well,” New said. “Though we have many challenges ahead of us, amplified by the economic impact of the COVID-19 pandemic, we are proven to be a resilient community,” she said. According to the SEC filing, the company reached a tentative barganing agreement April 17, and subsequently approved a plan to permanently close the Gadsden plant, “as part of the Company’s strategy to strengthen the competitiveness of its manufacturing footprint by curtailing production of tires for declining, less profitable segments of the tire market.” The tentative bargaining agreement is subject to approval by the membership of the local union.

Click here to view the original Gadsden Times article.

Etowah County to let bids for megasite improvements

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Dustin Fox @GT_DustinFox / Apr 22, 2020 at 1:51 PM

The Etowah County Commission will soon begin accepting bids for a mass grading project at the Little Canoe Creek Megasite after passing a resolution during a virtual meeting held on Tuesday.

The bid would allow for a portion of the more than 1,000 acres to be cleared and made pad-ready as the county continues to seek industries to occupy the location.

That aligns with a $2.7 million site-improvement project announced in January that was funded through the state’s Growing Alabama Credit program and a donation from the Norfolk Southern Corporation.

That project includes grading part of the project to create a pad-ready rail-served site and adding a new railroad crossing to the industrial access road off U.S. Highway 11, as well as other improvements.

The bid will be let following the completion of plans created by engineering firm Goodwyn, Mills and Cawood.

“GMC is 100% complete with their plans and they are ready whenever the county approves to go out for bids,” said Marilyn Lott, economic development director for Etowah County.

While they are planning to remove trees and grade 60 acres of land, they will accept bids for a backup 50-acre plan. Lott said the bid would include both so that it would not need to be rebid if the 60-acre plan proved too expensive.

Chief Administrative Officer Shane Ellison said the county has consulted with GMC to see if contractors were still bidding during the novel coronavirus COVID-19 pandemic, and said the engineering firm recommended pushing back the bids to mid-May. Ellison said he expects it to be later in May before the bids actually go out.

Commissioner Tim Ramsey asked what the timeline for the project would be, and Lott said it should take about six months — meaning that if work began in June, it could be finished by December unless there were delays because of the coronavirus or weather.

Click here to view the original Gadsden Times article.

$2.7-Million Site Improvements Planned for Little Canoe Creek Mega-Site

Gadsden, AL - January 21, 2020 - Plans are underway for a $2.7-million site-improvement project for the Little Canoe Creek Mega-Site funded through the state’s Growing Alabama Credit program. The Etowah County Commission’s application was approved by the Renewal of Alabama Commission in December, and funding has been secured through a Norfolk Southern Corporation donation.

The project will include grading a portion of the over 1,000-acre property to create a pad-ready rail-served site sufficient to accommodate a large industry. Natural gas lines will be relocated near the edge of the property, and a new railroad crossing will be added to the industrial access road off U.S. Highway 11.

Marilyn Lott, Economic Development Director for Etowah County, said the improvements will enhance the site’s marketability by reducing a company’s construction timeline, saving time and money. “The mega-site has many location advantages for industrial recruitment and this project will improve upon its assets and greatly increase our overall competitiveness,” Lott said. “We’re very grateful to Daniel Parker and company officials of Norfolk Southern and to the Department of Commerce for partnering with us on this project.”

“The Little Canoe Creek Mega-Site is designated as a Norfolk Southern Prime Site, having been thoroughly reviewed for rail access and certified by the Economic Development Partnership of Alabama,” said Chris Ingraham, Norfolk Southern’s Assistance Vice President of Industrial Development. “Norfolk Southern is pleased to partner with Etowah County and the state of Alabama to develop a rail-served industrial site that will generate mutual benefits for all parties involved, including increased opportunity for new jobs and private investment across the region.”

The Growing Alabama Credit program, administered by the Alabama Department of Commerce, allows private companies and individuals to get a dollar-for-dollar tax credit up to 50% of their income tax liability for investing in approved projects, including site preparation for industrial sites. “This infrastructure improvement project at the Little Canoe Creek Mega-Site perfectly illustrates how we can use the Growing Alabama Credit as a tool to facilitate growth and expand employment,” said Greg Canfield, secretary of the Alabama Department of Commerce. “It also underscores how true collaboration can advance the goals of economic development in our state.”

The Etowah County Commission began purchasing the Little Canoe Creek Mega-Site property in 2008. The site is adjacent to Interstate 59 in Attalla and located on a Norfolk Southern mainline. In 2018, the site earned the “Alabama AdvantageSite” designation, which means all the necessary due diligence typically needed by companies and site selection consultants during the evaluation process has been completed.

“These types of partnerships are vital in helping the County Commission reach our longstanding goal of seeing high-paying jobs at the mega-site,” said Jeffery Washington, President of the Etowah County Commission. “We truly appreciate this funding made possible by Norfolk Southern and the state.”

Lott said, “This investment in our community will move us one step closer to seeing significant economic growth in the region as a direct result of the mega-site. We appreciate the support from our elected officials, Gadsden-Etowah IDA, and other economic development partners. Working together, we will make the mega-site a success.”

Koch breaks ground on $55 million Attalla project

Donna Thornton / Times Staff Writer - Nov 5, 2019

State, city and Koch Foods officials shoveled corn instead of dirt Tuesday morning at the ground breaking for a $55 million grain storage and distribution facility to be located on Jones Sawmill Road in Attalla.

Gov. Kay Ivey was there, along with Koch Foods COO Mark Kaminsky, Norfolk-Southern Railroad’s industrial development manager for Alabama, Daniel Parker, state economic development leaders, members of the local legislative delegation, officials from Attalla and surrounding cities and Etowah County, and a host of local folks in government and economic development roles who had a hand in facilitating the announcement.

“It was the collective work of a collective body,” Gadsden-Etowah Industrial Development Authority Executive Director David Hooks said, “working together for a specific goal.”

The goal achieved: A feed mill that will help supply Koch Foods growers in surrounding counties.

Attalla Mayor Larry Means said the project is the biggest ever in his city, and one of the biggest in the state in terms of capital investment.

Ivey said the facility will bring about 28 “well-paying jobs” to the area. Payroll is expected to be $1 million annually, according to a press release from the governor’s office.

The 130-acre facility will have the ability to hold more than one million bushels of corn and will support the nearby processing plant in Gadsden.

That plant, Kaminsky noted, recently completed an expansion allowing it to process an additional 672,000 chickens each week.

Both Kaminsky and Matthew Herman, of Boaz, senior vice-president of fresh operations, talked about the company’s presence in the state. There are four processing plants — in Gadsden, Collinsville, Montgomery and Ashland — that employ more than 3,800 people and process 364 million birds a year.

Means talked about standing on Jones Sawmill Road three or four years ago with Herman, when the project was first discussed. He said it “went away for a while,” then came back.

Herman praised Attalla’s city leaders and staff their help. “From that day in the road, it’s been an easy transition to get here today,” he said, noting that city leaders helped the company work through any obstacles.

“We’re excited that Koch Foods has chosen Attalla for this large, high-tech facility. We are thankful to have 28 new, high-paying jobs in our community, and this facility will build on the strong focus on industry and innovation that are woven into the history of Attalla,” Means said.

“In addition to the long-term operational jobs, there will be over 200 people working to build the facility here in Attalla over the next 18 months,” he added. “The economic impact of construction alone will be huge for the City of Attalla and all of Etowah County.”

Hooks said the project had been in the works for about 15 months. Construction work in underway at the site now, and the facility is expected to become operational in fall 2021. The company will start assembling a management team in the first quarter of 2020 and will begin interviewing prospective production workers in early 2021.

Hooks said the Gadsden-Etowah IDA team, the City of Attalla and key partners including Norfolk Southern joined forces to bring the project to fruition. He noted that the Little Canoe Creek megasite owned by the Etowah County Commission is just 2 miles from Koch facility site. That site, like the one Koch Foods has begun work on in Attalla, is served directly by rail — a key selling point in marketing industrial property.

“This project qualifies for two of the industrial sectors the Gadsden-Etowah Industrial Development Authority has targeted — logistics and food and farming,” Hooks said. “Locating this state-of-the-art facility will go a long way in solidifying Etowah County’s position as a national leader in both sectors.”

Ivey noted the state’s record low unemployement level of 3.0 percent.

“It would have never been realized without top-notch companies like Koch coming and investing in Alabama,” Ivey said, adding that she hopes the company continues to do so.

Kamisky said Koch Foods has invested more than $300 million in Alabama since 2016.

“If I get my way, governor, it shall be more,” he said.

Click here to view the original Gadsden Times article.

Airport receives $1 million FAA grant

Michael Rodgers / Times Staff Writer - Aug 13, 2019

The City of Gadsden on Tuesday announced the acceptance of a $1 million grant for the Northeast Alabama Regional Airport, and the money will be used to rehabilitate the taxiway.

The grant, worth $1,044,172, comes from the Federal Aviation Administration, which will fund 90% of it. It includes a 5% match (a little more than $52,000) from both the State of Alabama and the Gadsden Airport Authority.

“This is an important investment and a critical next step in our plan to continue to improve the airport area,” Mayor Sherman Guyton said at the City Council meeting. “We appreciate the FAA’s ongoing commitment to the operations at the airport and to supporting the many activities that take place there, including the increasing military operations with the 20th Special Forces and other units.”

Guyton said the military groups that train at the airport have a large economic impact on Etowah County because some of them live here, some stay in hotels and they do things like shop and buy groceries locally.

He said there have been a number of other renovations in recent years, including some to office space at the facility.

Frankie Davis, the city’s director of governmental affairs and economic development, pointed out during the pre-council meeting that the area around the airport is seeing development with the recent location of Motus, a Tier-1 auto supplier, and work at the airport also helps facilitate other development plans.

The main runway at the airport was repaved in 2014, and this money will be used to rehabilitate the taxiway around the runway and also to improve drainage and protect the electrical vault that powers the airport.

Kenneth Gilbert of Neel-Schaffer Inc., consulting engineer for the airport, said in a press release that the taxiway is nearing the end of its life and renovations have been needed for years. He said they expect the project to be completed by the end of the year.

Click here to view the original Gadsden Times article.