Importance of business retention not overlooked
Expansion projects show 'confidence'
Advertisement
Sunday, November 12, 2006
GALESBURG - While news such as Dial Energy having an option on 300 acres north of Abingdon to build a 100 million gallon ethanol plant is the type of development economic development officials want to hear, the president of the Galesburg Area Chamber of Commerce said taking care of existing businesses also isimportant.Ethanol and other agri-business also are expected to become more important as the area rebounds from the loss of Maytag and Butler.
Bob Maus, president of the Galesburg Area Chamber of Commerce, said employers "who have stayed in our community are experiencing good things, as well. They are the backbone of the community."
Linda Utsinger, vice president for business development for the Galesburg Regional Economic Development Association, agreed.
"We continue to see our existing employers growing and that's a good thing," she said.
She said BNSF Railway and Dick Blick Co. are good examples.
"During the course of the year, they may hire 30 to 40 people," Utsinger said. "If they did that all at once, it would be front-page news. That's why our business retention program is so important."
Maus said G and M Distributors, which recently announced an expansion project, is another existing firm moving forward.
"It's important to note, once again, how important that is, demonstrating confidence in the Galesburg community," Maus said.
A side benefit, Maus said, is as existing businesses expand, they interact more, buying goods from each other.
Utsinger pointed out the importance of agriculture here, not only new ethanol and biodiesel plants but also the number of people farmers employ.
"The agri-business here is very important," Utsinger said. "I don't think people realize how many people are employed in the agriculture industry. She said some area farmers employ as many as 10 to 15 people.
"When we start looking at biodiesel plants and ethanol, that will add to that," she said.
GREDA President Greg Mangieri echoed Utsinger.
"In light of the development of biodiesel and ethanol, that industry (agri-business) has nowhere to go but up," he said.
Dial Energy plans to hire about 45 people if it builds an ethanol plant near Abingdon. Those jobs are expected, on average, to pay in the upper $40,000 range annually. Mangieri said this is another example of how businesses that on the surface do not appear to be large make up for the loss of huge factories, such as Maytag.
"You have a tendency to look at those 45 jobs," Mangieri said. "You tend not to look at the support industry."
He said some industry estimates are that it takes as many as 200 additional jobs at other firms to support the original 45.
Maus said Westcode, which makes air conditioners and other items for railroad cars, is another company that proves a company does not have to come with thousands of jobs to be important.
"They represent what we think will be the next wave of these types of industry in the community," Maus said.
Mangieri said good news tends to build upon itself and mean other good things.
"One of the first things a company will do if they think of locating here, the Google you," he said. "Lately, we have generated a lot of positive press."
That, Mangieri said, tends to pique the interest of potential employers.
"The tenor is very positive. We're busy again," Maus said. "We're part of what is happening. The morale in the local business community has changed dramatically in the past 18 months."
Again, Mangieri turned to Westcode.
"They're happy to be here," he said, "and they're very vocal about being happy to be here. Success attracts success. Galesburg is on the radar, that's the good thing."
