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Enterprise Group News & Events

Blackman Township officials moving ahead with plans to bring businesses to DDA District

Blackman Township officials moving ahead with plans to bring businesses to Downtown Development Authority District
By Keith Roberts
Jackson Citizen Patriot
Thursday, July 15, 2010

Blackman Township officials are moving ahead with plans to bring businesses to their Downtown Development Authority District with or without Ramco-Gershenson.

The township is seeking to issue $3.5 million in economic development bonds to buy about 28 acres north of I-94 and west of U.S. 127. Blackman Township Supervisor Robert Rando, who is chairman of the DDA, said buying the land will help Ramco-Gershenson or another company develop the site faster.

Share “I want to see it right now,” Rando said.

Ramco-Gershenson, which owns Jackson Crossing, proposed putting an upscale, open-air shopping mall on the site in 2006, but has put those plans on hold to focus on developments that could offer a quicker return.

The township has been trying to buy the land from the North family and went to Circuit Court to determine its value. The North family owned what was the Holiday Inn of Jackson along U.S. 127 and land surrounding it. The hotel is now the Avalon Hotel and Conference Center.

Attorney Eric White, who represents the township, said the parties recently reached a $3.5 million settlement that covers the purchase of the property and the court costs.

The township is seeking authorization from Jackson County to issue the bonds. The county was allotted $11.5 million in bonds through the Recovery Zone Bond Program, part of the federal stimulus plan intended to help public entities pay for improvement projects.

Rando said the township would pay off the bonds over 20 years with taxes captured from the Downtown Development Authority District. This just gives us another tool, Rando said.

Steve Shotwell, chairman of the Jackson County Board of Commissioners and a DDA member, expects the county board to authorize the bond issue next week.

Everyone seems to see the purpose and understand the reason to go forward, Shotwell said.

In March the county board authorized Jackson Public Schools to issue $7.4 million in economic development bonds to renovate school buildings and grounds.

Shotwell said county officials have stayed in touch with Ramco-Gershenson and the company is still interested in the development but would like the township to resolve the property issues first.

NOTE: The Enterprise Group of Jackson provides staffing services to the Blackman DDA.

Limits set on tax captures

Jackson-area government entities to set limits on tax captures

By Brad Flory
Jackson Citizen Patriot
May 16, 2010

The theory of growth for 20 years in Jackson County assumed everyone wins when local governments give up tax money to create jobs.

Today, the win-win theory is cracked and crumbling.

Three units of government—Jackson County, Jackson Community College and Jackson District Library—have set limits on sacrifices they will accept in the name of economic development.

Between the three, they lose about $2.2 million a year in property tax that is either captured or not collected.

‘Originally, the policy of the college was automatic approval of these things with no questions asked’, said Edward Mathein, board chairman at JCC, which enacted new policies in January. ‘We cannot afford to do that anymore.’

Ishwar Laxminarayan, director of Jackson District Library, said Michigan libraries lose more than $10 million a year in taxes captured for job-creating programs.

‘We are absolutely concerned that we will lose more and more money’, Laxminarayan said.

Several millions of dollars in local property tax are captured or never collected each year in Jackson County—but most of it is not exactly lost.

School districts, including the Intermediate School District, are reimbursed by state government for any losses.

Educators are happy to be made whole, but they suspect Lansing’s obligation to make reimbursements must affect education funding at least indirectly.

‘It takes money out of the pot, so there is less money to go around’, said William Hannon, deputy superintendent for finance and operations at Jackson Public Schools.

City, villages and townships also lose money, but typically they create tax captures for purposes they deem important.

Losses are more direct for other units of local government.

Jackson County government pegs its loss at $1.6 million a year. The District Library loss is an estimated $300,000 a year. JCC would lose slightly less than that figure.

Renaissance zones, where companies pay virtually no property tax, account for a large share of those tax losses. Properties with $120 million in taxable value are located in 11 renaissance zones, mostly of a type designed for tool and die shops, in Jackson County.

Factory properties worth another $133 million in taxable value pay half the normal tax bill because they have Industrial Facilities Tax abatements.

Many other companies pay their full property tax bill, but some or all of the money is diverted from normal government services.

Taxes are typically captured from a geographic district, a process usually overseen by downtown development authorities or local development finance authorities.

Instead of passing it on to governments that levy taxes, the authorities use captured tax money to pay for projects or improvements within the district.

Jackson County has 15 tax captures in the city and various villages and townships. Countywide taxes are captured from property with taxable value totaling $125 million.

Critics say the job-creating mission of tax captures can grow vague and open-ended over time.

‘These things go on forever’, Randy Treacher, Jackson County administrator said. ‘They are supposed to go away, but they never do. It is not that any money is misspent or misappropriated by anyone’, he said. ‘Our concern is it is not being spent for the original intent.’

The first local development finance authority formed in Jackson County was created by the village of Parma in 1988 to help bring the MACI plant to Sandstone Township.

MACI taxes were captured to pay off 15-year bonds that financed water, sewer and roads to the plant site.

Fifteen years passed, but the tax capture continues. Today, the local development finance authority exists to acquire and improve land for the Parma-Sandstone Industrial Park, and the tax capture will continue at least 11 more years.

In 2002, the LDFA took on a new debt to improve the village of Parma’s water system. It still owes $1.8 million in payments spread out to 2021.

Its most recent annual report says the Parma LDFA captured $582,855 in property taxes, almost all from MACI, in 2008. It spent $183,654 on bond payments and other expenses. The remaining $399,201 was distributed back to taxing units like county government.

Beginning about four years ago, local governments began enacting policies to automatically opt out of all new tax captures. They have no legal power to opt out of renaissance zones or tax abatements.

County government, which started the trend, has since refused to participate in one new DDA, two expanded ones and a SmartZone in Blackman Township.

Jackson District Library later followed suit by enacting a similar policy.

‘We are not going to be a part of anything that is totally unlimited and has no end date’, Laxminarayan said. ‘The more we get into these long-term situations, we lose more and more control.’

JCC board members decided in January to opt out unless two conditions are met: New jobs created must pay 150 percent of minimum wage and college taxes cannot be taken for more than 10 years.

Leaders of the college, county and library all stressed that they will still consider supporting economic-development projects on a case-by-case basis. But they will do it only under negotiated terms that include a time limit for giving up taxes.

The familiar idea that government does not lose anything when taxes are captured from new companies has become a point of debate.

‘The theory behind it is, if you don’t have that tax money now, you don’t lose it’, said Amy Torres, economic development director for the Enterprise Group in Jackson. ‘Fifty percent of something is better than 100 percent of nothing’, she said.

Treacher responded, ‘How do you know who would be here and who wouldn’t (without tax incentives)? Treacher said. How do you know every factory would still be a corn field?’

Philosophy aside, tight budgets probably force leaders at all levels of government to seek all the money they can claim.

‘There would probably be less concern if property values and revenues were not falling’, Mathein said.

Torres expressed sympathy for local governments facing tight finances, but she said the trend can only hurt efforts to attract jobs.

‘If everyone opts out, you are a little limited in what you can do to attract employers’, Torres said. ‘It comes back to the philosophical argument over whether tax incentives are good or bad. But if Jackson County or the state of Michigan stops using incentives, they will lose unless everyone else quits doing it, too’.

Details

Tax captures—Officially called tax increment financing, a portion of property tax paid in a geographic district is diverted from normal government services to finance projects in the district.

SmartZone—A specialized tax capture to attract firms in alternative energy, life sciences and advanced manufacturing. Another special-purpose tax capture used in Jackson County is Brownfield redevelopment.

Renaissance zones—Businesses that locate in distressed Renaissance Zones pay virtually no property tax for 12 years. Zones specific to tool-and-die businesses are used in Jackson and six surrounding townships.

Industrial Facility Tax—A discount, typically 50 percent, on property tax factories pay for new construction or equipment. Tax breaks in Jackson also go to non-industrial properties through programs to rehabilitate obsolete buildings and create neighborhood enterprise zones.

Armory Arts Village preparing to reopen gallery, begin warm-weather scheduling

By Bill Chapin | Jackson Citizen Patriot
Friday, April 23, 2010

Armory Arts Village, 100 Armory Court, will celebrate the arrival of spring and relatively warmer temperatures with the reopening of the its gallery space. There will be a reception from 4:30 to 8:30 p.m. April 30.

The gallery will have work on display by Armory Arts Village residents, adult students and children who take classes at the complex, and other Jackson artists.

Regular gallery hours are from noon to 5 p.m. Friday, Saturday and Sunday through November. The gift shop also is open during those hours.

Beginning in May, Fourth Friday celebrations will resume. The building will be open until 8:30 p.m. on the fourth Friday of each month for art viewing and special activities. A historic tour will begin at 6 p.m. each month. Tours are also available by appointment on other dates.

There is no charge to view the gallery. Historic tours are $8.

For more information, call 795-2112. 

Tenneco expansion to add jobs

By Chris Gautz | Jackson Citizen Patriot
Wednesday, April 21, 2010

Tenneco plans to invest $3.5 million into its Grass Lake engineering facility after receiving a Michigan Economic Growth Authority tax credit Tuesday morning.

The Illinois-based company, which manufacturers automotive emission and ride control products around the world, will invest a total of $15.6 million by the end of 2011 in Michigan as it expands to make components for gas and diesel pickups, SUVs and crossover vehicles at four of its plants.

The tax credit is worth $1.8 million over seven years, and the state says it will lead to the creation of up to 185 jobs at its sites in Litchfield, Marshall, Monroe and Grass Lake. In order to receive the full amount of the credit, Tenneco has to create the 185 jobs by next year and maintain them through 2017.

The majority of the jobs will go to the Litchfield and Marshall plants, where the company does the manufacturing of its emission control products, Tenneco Spokesman Jim Spangler said.

“We will start hiring immediately,” he said.

The sites in Monroe and Grass Lake are engineering facilities. Spangler said he did not know how many of the jobs will come to Grass Lake.

Its secluded 208-acre campus in Grass Lake has about 300 employees at its 140,000-square-foot facility, which features high-tech acoustics testing and validation labs and an outdoor test track.

Spangler said the investment in the Grass Lake facility will be used to purchase additional equipment to support technology development and the industrialization of the new diesel emission products.

Spangler said they are proud of the work done in Grass Lake and will continue to invest in the facility.

“It’s critically to our long-term success,” he said.

Scott Fleming, president and CEO of The Enterprise Group, the county’s economic-development agency, said this is good news for the area, and it will likely lead to indirect jobs.

“I’m always glad to celebrate these little victories here and there,” he said.

According to the Enterprise Group, Grass Lake Township anticipates giving up $38,220 in taxes per year to support the project.

Township Supervisor Jim Stormont said Tenneco has to file an application with the township for the tax abatement, and the board will look to determine whether it will qualify for the full 12-year, 50 percent abatement. The issue would likely come up at their next regular board meeting on May 11.

The Michigan Economic Development Corporation said in a statement that the state tax credit was used to encourage Tenneco to bring the jobs to Michigan rather than to its facilities in either Nebraska or Tennessee.

Spangler said it wasn’t a situation where the company was looking to one state over another.

“It just made perfect sense that we bring this business to Michigan,” he said.

ADCO Products will expand operations in Jackson County; move will create more than 200 jobs

By Chris Gautz/J. Scott Park
Jackson Citizen Patriot
March 17, 2010
In the next five years, more than 200 jobs will come to Michigan Center.

ADCO Products President Glenn Frommer confirmed Wednesday the company chose to locate its expansion project at its plant here, rather than at an existing site in Evansville, Ind.

On Tuesday, the Michigan Economic Growth Authority approved a five-year, $1.2 million tax credit to make the deal happen.

Frommer said the company made the decision after receiving approval of the tax credit from the state. Leoni Township has also approved a 12-year tax abatement on the company’s real and personal property, estimated at $557,000 in tax savings over a 15-year span.

ADCO Products makes adhesives and sealants used in the automotive and construction industries and plans to make a $17.3 million investment in the photovoltaic panel adhesive market to further establish itself in the solar panel industry.

As part of the deal, ADCO will consolidate its operations in Evansville, and employees there were notified of the plans Wednesday.

Frommer said the consolidation will take place in a structured way throughout the year and will be completed by year’s end.

Some employees in Indiana will be offered jobs here, he said.

“We have a lot of very experienced capable people,” Frommer said.

The union shop will be hiring locally to fill the rest of the jobs.

He said ADCO chose Michigan Center over Evansville, because the area has a very capable workforce and access to young graduates.

The work they will be doing in the solar panel market will require both blue and white collar workers, he said.

“We see an opportunity to not only manufacture products, but develop new value-added technology,” he said.

According to the MEGA, the average weekly wage for the new jobs is expected to be $577, along with health care benefits.

The company has 158 employees now. ADCO’s facility in Leoni Township has centered on making products for the automotive, maritime and architectural industries.

Frommer said the company is in the process of expanding and changing the footprint of its facility at 4401 Page Ave. to accommodate all the new workers and equipment.

For more information, visit www.adcocorp.com. 

Jackson County Board approves giving $7.4 million in bonds to Jackson Public Schools

By Holly Klaft
Jackson Citizen Patriot
March 17, 2010

Jackson Public Schools will be the first to take advantage of low-interest federal bonds available to public entities in Jackson County.

The county Board of Commissioners on Tuesday unanimously approved giving JPS $7.4 million in economic development bonds for planned renovations to school buildings and grounds.

The county had $11.5 million available in economic development bonds through the Recovery Zone Bond Program — a part of the federal stimulus plan. Those bonds are intended to help public entities, such as schools or governments, pay for improvement projects.

About $17.2 million in tax-exempt Recovery Zone Facility bonds also are available to private businesses for projects that could create jobs.

The bonds must be issued by the end of the year.

Bill Hannon, deputy superintendent for finance and operations at JPS, said using the low-interest bonds will result in a lower cost to taxpayers, who in November 2009 approved a $16.6 million bond proposal for renovations in the district.

JPS is still waiting to hear whether it was awarded as much as $15 million in Qualified School Construction bonds — another federal stimulus program that could reduce the cost to taxpayers, Hannon said.

If the district is awarded the $15 million in bonds, it will return the economic development bond money it doesn’t need to the county, he said.

The bond money must be paid back once it is used, but the program is a good tool for development, said Scott Fleming, CEO of The Enterprise Group, the county’s economic-development agency. JPS officials contacted the Economic Development Corp. of Jackson County — an arm of county government that is run by The Enterprise Group — to express interest in obtaining the bonds.

Renovation projects planned for JPS include: replacing roofs, improving classroom ventilation, building a fitness center and upgrading athletic fields. The district also plans to buy new buses, classroom projectors, computers and video-conferencing equipment.

The board in August approved designating the entire county as a Recovery Zone to make all local businesses and public entities eligible for financing through the program.

The entire county qualified as a Recovery Zone — typically considered an area with significant poverty, unemployment and home foreclosure rates — because of the state of the local economy.

County Commissioner Jon Williams said it made sense for the board to allocate the bonds to JPS.

“The savings could be passed on to the citizens,” Williams said. 

ADCO Products in Jackson County awarded tax credit which may lead to 212 new jobs

By Chris Gautz
Jackson Citizen Patriot
March 16, 2010

A Michigan Center company that made its mark in the automotive industry is venturing further into the solar panel market — and with the help of a lucrative state tax credit, may add 212 jobs in the next five years.

ADCO Products, 4401 Page Ave., makes adhesives and sealants used in the automotive and construction industries and plans to make a $17.3 million investment in the photovoltaic panel adhesive market its solar panel business by consolidating existing facilities in either Michigan or Indiana.

This morning, the Michigan Economic Growth Authority approved a five-year, $1.2 million tax credit to encourage the company to bring the work here. According to the MEGA, the company is also considering an investment in Evansville, Ind.

“I’m ecstatic,” said Scott Fleming, president and CEO of The Enterprise Group, the county’s economic-development agency.

This project would be larger than all of the investment in base jobs the EG calculated in the county in 2009, Fleming said.

“We did not have a banner year (in 2009),” Fleming said.

Fleming credited Amy Torres, director of economic development for the EG, and Ed Reed, business development manager for the Michigan Economic Development Corporation, with helping to put the deal together.

Fleming said there are several other Jackson County companies looking at expansion projects as well.

“We’re seeing some positive things happen,” Fleming said.

Leoni Township Supervisor Todd Brittain said this could mean more jobs for the area and that is welcome news.

“We’ve had some bad news previously, but things are starting to look a lot better,” Brittain said.

At last week’s Leoni Township board meeting, the township approved a 12-year tax abatement on the company’s real and personal property, estimated at $557,000 in tax savings over a 15-year span.

According to the MEGA, the average weekly wage for the new jobs is expected to be $577, along with health care benefits.

The company has 158 employees now in Michigan and also has locations in Indiana and Ohio. ADCO’s facility in Leoni Township centered on making products for the automotive, maritime and architectural industries, the document said.

ADCO got into the solar panel market three years ago and produces more than 50 products with solar applications.

In 2005, ADCO received a tax break on a $1 million investment in new equipment. The Leoni Township Board at the time granted the company a 50 percent industrial facilities tax exemption over eight years based on a formula that considered the size of the investment and that the company would retain its then-207 jobs.

For more information, visit www.adcocorp.com. 

Performance Automotive’s $1.2 million investment in Jackson expected to create 30 jobs

By Keith Roberts
Jackson Citizen Patriot
Thursday, March 11, 2010

Performance Automotive, a locally owned and operated auto parts supplier, plans to invest $1.2 million in a new warehouse and create 30 jobs.

The warehouse will be in a 40,000-square-foot building at 546 N. Mechanic St., about two blocks south of Armory Arts Village.

“We’re excited to be participating in the renovation of this neighborhood, and can’t wait to open the facility this summer,” Tim Stone, president of Performance Automotive, said in a news release issued by The Enterprise Group of Jackson.

Jackson Mayor Karen Dunigan said she is pleased a local company is expanding.

“Every job is an important one right now,” Dunigan said.

Dunigan also commended The Enterprise Group, the county’s economic-development agency; Barry Hicks, the city’s economic development project manager; and the Brownfield Redevelopment Authority for helping the company deal with environmental issues at the site.

“It’s a great working relationship,” Dunigan said.

Performance Automotive will receive a $19,000 grant from the Brownfield Redevelopment Authority to help pay environmental-assessment costs.

Performance Automotive, a privately owned corporation, was founded in Jackson in 1971 as an automotive performance parts store and now offers complete lines of repair parts.

In addition to the warehouse, Performance Automotive has retail locations at 317 W. Prospect St. and 3300 E. Michigan Ave. in Jackson, and stores in Albion, Adrian and Tecumseh.

Performance Automotive Northwest, Hillsdale, and Jonesville are separate companies from Performance Automotive, but were originally part of the same group. 

Procurement Technical Assistance Center helps manufacturers diversify

By Ingrid Jacques
Jackson Citizen Patriot
Monday, March 8, 2010

Bill Hirsch, projects manager at Clarklake Machine Inc., wanted to do more for his country. So in late 2007 he wrote a letter to Gov. Jennifer Granholm and told her about the company and how he wanted to help the U.S. Department of Defense.

A short while later, he was contacted by Pennie Southwell, the Enterprise Group’s program director of the Procurement Technical Assistance Center. After a site inspection and gaining the necessary security clearances, Hirsch and the company were on their way to fulfilling his vision. Clarklake Machine, 9451 S. Meridian Road in Clarklake, is a precision parts manufacturer that specializes in parts for heavy trucks and motorcycle transmissions.

Now the company is working on its second defense contract. Both projects have supplied tools that support the mobility of ground vehicles and are put directly into operation, Hirsch said.

“How many times do you get to help your country?” Hirsch said. “It elevates the organization.”
In a tough economy, area manufacturers have had to diversify. PTAC helps companies do that by teaching them how to land contracts with the federal government. It serves approximately 70 companies in Jackson County.

PTAC is a nonprofit organization funded largely by grants from the U.S. Defense Logistics Agency and the Michigan Economic Development Corp., and “supports national security by ensuring a broad base of capable suppliers for the defense industry and other agencies,” according to the Enterprise Group’s Web site.

Southwell said Clarklake Machine is one of many PTAC success stories. As the program director for the past 23 years, Southwell has a lot of experience matching local companies with national projects — and things are looking up for Jackson.

In 2008, the value of contracts in Jackson County was $2.3 million, but that more than tripled to $8.5 million in 2009. Southwell said the majority of these contracts were with the Defense Department.

While the procurement process is not easy, she said the rewards are worth the effort. The federal government has money to spend, plus it pays promptly for completed work — which is not always true of traditional clients.

The Jackson PTAC office was the first in Michigan, and is now one of 13 in the state. Though companies do not have to go through PTAC to secure contracts, Southwell said she can make the process easier for clients since she is familiar with the bidding process and the laws and regulations.

Most federal contracts are bid on and won on the Federal Business Opportunities Web site, FedBizOpps.gov. The government posts all of its bidding opportunities of more than $25,000 on the site, which advertises more than 26,000 active federal opportunities.

Bill Rayl, executive director of the Jackson Area Manufacturers Association, said while it can take significant work to land a contract, area companies have had “a lot of success” through the program when they know how to match their capabilities with an available project.
“You get what you put into it,” he said.

Rayl said JAMA works alongside PTAC to help manufacturers find niches that turn into successful ventures. JAMA has also coordinated subcontracting opportunities for smaller companies that may not take a bid on their own, but are able to provide parts or services for the company with the contract. Consequently, several companies could benefit from one contract.

For more information about the Procurement Technical Assistance Center of South Central Michigan, visit www.enterprisegroup.org/ptac or call Pennie Southwell, the Enterprise Group’s PTAC program director, at 788-4680. He is proud that Clarklake Machine was named the “Jackson County Government Contractor of the Year” in 2008 by PTAC and subsequently recognized in 2009 by Congress through U.S. Rep. Mark Schauer, D-Battle Creek.

Jackson leaders bid farewell to Acme Building complex; structure to be demolished next week

By Keith Roberts | Jackson Citizen Patriot
Friday, February 5, 2010

The Acme Building complex, a symbol of Jacksons prison and manufacturing past, is soon to be gone but not forgotten.

Those words were used Friday by Amy Torres, director of economic development for The Enterprise Group of Jackson, who is probably more responsible than anyone for the complexs impending implosion.

Torres gave the closing remarks at a ceremony commemorating the history of the complex.

Torres borrowed the phrase from a series of photographs of the complex by Jackson artist Willa Davis and said it described the way she felt about getting rid of the attractive nuisance.

About 75 dignitaries attended the event. The complex, 600 to 626 N. Mechanic St., will come down next week and clear the way for the construction of the Grand River ArtsWalk in the spring.

Pitsch Companies of Grand Rapids is demolishing the complex, which is owned by The Enterprise Group, for $247,360.

The complex was part of Jacksons prison factory system, which played a key role in its development. It was to be the home of Armory Arts Village, but the artist community moved down the street to the former National Guard Armory and state prison after extensive soil contamination was found.

Steve Shotwell, chair of the Jackson County Board of Commissioners, said the effort was the result of a county-city partnership. Jackson Mayor Karen Dunigan agreed and said it proves once again we are better together.

After the ceremony, several dignitaries took swings at the northeast corner of the main building with sledge hammers and an excavator began knocking down the graffiti-covered garage nearby.

The walk will start at Louis Glick Highway and Mechanic Street, which will be restored with bricks and have a bike lane, jog through Armory Arts Village and follow the Grand River to Monroe Street. It will be connected to Lions Park by a bridge.

Kaneka building sale final

Maverick Industries closes deal to purchase former Kaneka Texas plant in Blackman Township; 90 jobs expected to be created

By Chris Gautz
Jackson Citizen Patriot

Wednesday, December 23, 2009

When Kaneka Texas closed its doors last year, it left 50 people without work and left unoccupied one of Jackson County’s most prime pieces of industrial real estate.

Before production ceased in August 2008, a variety of state and local officials worked to find a buyer and spent nearly all year securing the financing.

On Tuesday, the long-awaited deal was finalized when Maverick Industries purchased the Blackman Township facility off I-94, at 4335 County Farm Road and plans to begin operations next month. Maverick is expected to hire 90 people, including some who had worked at Kaneka, within five years.

Scott Fleming, president and CEO of The Enterprise Group, Jackson County’s economic-development organization, led the initiative and marketed the building for Kaneka. He said he showed it to close to 40 companies who considered purchasing it.

“We had to kiss a lot of frogs, and we found a prince to come in,” Fleming said of Maverick.

Tom Grace, Maverick’s executive vice president and CEO, said his company will be one of the largest steam chest molding facilities in North America, designing and producing packaging solutions for a variety of high-growth industries.

At a luncheon Tuesday, Fleming brought together a number of the key players in the deal to extend his thanks.

Steven Skarke, site manager and senior vice president of operations for Kaneka, surprised everyone in attendance when he handed Fleming a check for $50,000 as a thank-you donation for all the EG’s hard work.

Skarke read a letter from Kaneka President Shinji Mizusawa and said they hoped the EG will be able to use the money to continue to attract business to the area.

“It was a difficult decision to close down and anything that we could do to keep employment in the area and keep some of these folks working was going to be a win-win situation,” Skarke said.

Fleming said he wished there were more companies like Kaneka around to work with. He said because the company left nearly $16 million worth of the plant’s equipment, office furniture and computers in the facility, it made it more attractive to sell.

Kaneka spent eight years at the Blackman Township plant making energy absorbers — the foam between the plastic and metal bumper pieces — for the automotive industry.

U.S. Rep. Mark Schauer, who assisted in the deal, said he was pleased to hear of the company’s donation.

“This is a very wonderful Christmas present,” Schauer said.

Fleming said he was also thankful for the efforts of state Rep. Mike Simpson, who died Friday after suffering a heart attack.

“Mike was part of it, too,” Fleming said.

Special thanks to John Waldron and Bill Jors of County National Bank as they assisted with financing a major portion of the project

View the Press Release

Bids taken on demolition of Acme complex near art district in Jackson

By Tarryl Q. Jackson
Friday, October 30, 2009

Jackson residents and visitors will soon be able to view an up-and-coming art district instead of the dilapidated buildings that overlook Mechanic and Ganson streets.

Local officials are getting closer to demolishing the Acme Industries complex, which borders Art 634 and Armory Arts Village.

The Enterprise Group of Jackson, which owns the buildings at 600 to 626 N. Mechanic St., is taking bids from contractors to have the buildings torn down over the winter to make way for the construction of the Grand River Arts Walk in the spring.

“We’re moving along on all kinds of fronts,” said Amy Torres, director of economic development for The Enterprise Group. “The stars are aligning, finally.”

The Enterprise Group had a mandatory walk-through of the property for eligible bidders earlier this week. About 50 individuals who represented 30 to 45 companies throughout the state showed up, Torres said.

Bids are due Nov. 11, and The Enterprise Group hopes to award a contract in December, Torres said.

Officials got word in July that demolition could proceed.

The buildings were part of a prison factory system that played a key role in Jackson’s industrial development in the late 19th and early 20th centuries and continued to operate into the 1980s.

The Acme complex was to be home of the Armory Arts Village, and efforts were made to list it on the National Register of Historic Places. But after extensive soil contamination was found, the artist community moved to the nearby former Michigan National Guard Armory and state prison.

The State Historic Preservation Office has acknowledged the need to demolish the buildings and signed a memorandum of understanding with The Enterprise Group and the city, Torres said.

“I think the demolition will be great for the area,” said Mindy Bradish-Orta, president of the Greater Jackson Chamber of Commerce. “A lot of people think that part of the area is unsafe and not aesthetically pleasing.”

Because of the contamination, the site will most likely become a parking lot. An environmental review has been conducted.

“It’s not going to be a parking lot and open space right away,” Torres said. “It’s the first phase in the eventual development.”

The Enterprise Group and the city received federal funding earlier this year to tear down the building.

In February, The Enterprise Group secured $332,500 from the Department of Housing and Urban Development Appropriations Act. In April, the city was notified it would receive $1.7 million in federal Neighborhood Stabilization Program funds and agreed to set aside $375,000 for the demolition.

The Jackson County Brownfield Development Authority also agreed to contribute up to $50,000. 

RTD Manufacturing gets contract to assemble materials for U.S. Army: update

By Chris Gautz | Jackson Citizen Patriot
October 26, 2009

Standing in front of the dozen or so employees left at RTD Manufacturing, a host of politicians and business leaders announced a major military contract that could keep those workers busy and add to their ranks.

Warren-based Waltonen Engineering Inc. won a five year contract earlier this month with the U.S. Army’s Tank Automotive Research, Development and Engineering Center with a ceiling of $430 million.

RTD will be the primary manufacturer on the team Waltonen assembled to produce the materials the Army requests.

It does not guarantee work, but it does give them the opportunity, RTD President Bryant Ramsey said.

“The opportunity is very exciting,” Ramsey said.

RTD Manufacturing Inc., 1150 S. Elm St. is a full-service job shop, from machining high-tolerance details to replacement parts and fixtures.

Tom Laboda, director of business development for Waltonen, said the products they could build could range from unmanned robots to look for improvised explosive devices, to putting up-armor kits on Humvees.

“Anything that moves in the Army on the ground, comes through this contract,” Laboda said.

U.S. Rep. Mark Schauer, D-Battle Creek, said this will help to aid the war effort.

“We will protect and provide the tools for the warfighters… here together, as a team,” Schauer said.

State Rep. Martin Griffin, D-Jackson helped the company search for locations when it moved to Jackson several years ago while he was the city’s mayor. He said he is happy to see it have the potential to grow.

“These people are in a position to do pretty much anything,” Griffin said. “In this economy, it’s either adapt, or go out of business and they’re looking everywhere… to change their business and stay afloat, and they’re doing a really good job.”

RTD vice president of operations Stephen Artz said RTD will work with The Enterprise Group to get local manufacturers qualified to assist them in this level of military work, so they can subcontract the work locally when possible.

“It could really benefit a lot in the Jackson area,” Artz said. 

RTD Manufacturing gets major military contract; deal expected to help retain jobs

By Chris Gautz
October 26, 2009

A local manufacturer has received a major military contract that is expected to create and retain jobs, according to U.S. Rep. Mark Schauer’s office.

Officials were to announce details of the contract at a news conference this morning at RTD Manufacturing Inc., 1150 S. Elm St.

“It opens the door for military projects to come to RTD,” Schauer spokesman Zack Pohl said.

Schauer, RTD President Bryant Ramsey and Scott Fleming, president and CEO of The Enterprise Group, the county’s economic development agency, will discuss the contract at the event.

Pohl said because of the contract, now when the U.S. military needs a new piece of equipment, it can turn to manufacturers like RTD to produce it.

RTD is a full-service job shop, from machining high-tolerance details to replacement parts and fixtures.

Pohl said Schauer’s Economic Development Director Lisa Dedden Cooper has been working on this project for two years.

In recent years the company has worked to diversify and look for business in new markets.

In 2007, the firm purchased a rare, hand-held 3-D scanner, which cost several hundred thousand dollars and allows the company to scan fabricated parts or complicated machines for themselves or other customers.

One year ago, the company announced it was partnering with Dexter-based inventor Ken Henes to produce a classified military device that could be used to fight forest fires and be used with various military and homeland security applications.

It was expected to create 1,200 jobs in four years, but that deal never materialized.

At that time the company employed 27, about half of what it did two years ago.

The company now has about a dozen employees, Pohl said.

“They are looking for ways to diversify their business and this opens a new avenue for them to pursue to be able to compete in the 21st-century economy,” Pohl said.

RTD was founded by Ramsey’s father, the late William “Bill” Ramsey, in his garage in 1985. Since his death in 2005, Ramsey’s sons have run the company.

Arts Village gallery can stay open all winter

By Bill Chapin
Sunday, October 25, 2009

October 25, 2009

One of the biggest complaints among the artists living at Armory Arts Village has been the lack of heat in the Grand Gallery.

Last winter the hall was closed from November to May, upsetting artists who moved into the building with the idea they would have a place to display their work year-round.

That scenario won’t be repeated. Last week workers began installing a radiant heating system that will allow the gallery to be used through the winter.

The Enterprise Group, Jackson County’s economic-development agency, is paying for the system out of its budget. The total cost is expected to be about $40,000, President and CEO Scott Fleming said.

“It hurts,” Fleming said, but keeping the gallery open was a priority for the agency.

For artists, the heating system is a step in the right direction, but questions remain about the room’s availability.

“It’s encouraging,” artist Jean Weir said, but “there’s a lot of unknowns.”

The Enterprise Group has contracted Fancy Schmancy Events, an event-planning company based at the neighboring Art 634 development, to coordinate use of the gallery. Owner Chris LaRock Gorton said her job will be a combination of handling booking for outside groups that want to use the gallery and working with Armory Arts Village residents and others in the community to plan events.

“Lots of ideas have been talked about, and now we can realize some of that ... without freezing our tails,” LaRock Gorton said.

“We’re going to take small steps but dream big,” she said. “It would be great if we can make this a central part of happenings in our community.”

The heating system is similar to those used to heat such large spaces as warehouses and hockey arenas, Fleming said.

Fleming said the temperature will be maintained at about 55 degrees when the gallery is not in use and turned up to 70 degrees during events.

The cost will be significantly less expensive then what it would have cost to heat the former drill hall — which is 250-by-50 feet with 44-foot-high ceilings — with the building’s existing boiler system. The bills could have been as high as $10,000 a month in the winter, Fleming said.

“We had to find a way of heating it economically,” he said.

In May when the Jackson City Council approved the second phase of the Armory Arts project, Fleming said that fees from the development would be used to buy the heating system and pay utilities, but an agreement with project developer Excel Realty Group of Shaker Heights, Ohio, was never reached.

Instead The Enterprise Group will be looking at use of the hall to generate income to cover expenses.

What’s still unclear to artists is what that means as far as their ability to plan exhibits in the hall.

“We can’t make any plans until we know the format (and) if we’re going to be charged,” Weir said. “We need quite a bit of time to plan, and right now we’re stuck without being able to make a commitment.”

At least one thing looks certain: The arts complex’s Fourth Friday Open Studio nights will continue. The Enterprise Group is budgeting $500 to cover utilities for such events as the monthly open houses.

Construction of the second phase was to have started this year but has been pushed back to the spring because of environmental contamination on the site, Fleming said. The developer and The Enterprise Group are waiting to hear from the Michigan State Housing Development Authority to determine what it will take to clean the site and comply with state and federal regulations.

When completed, the second phase will be a mixed-use development with 49 housing units for people age 55 and older, retail and gallery space, an outdoor plaza and additional parking.

Also in the works is a new Web site for the complex to market it to new artists and allow current residents to network with each other and sell their work online.

Multimillion-dollar horse park approved for Jackson County

By Jackie Smith
October 16, 2009

A multimillion-dollar horse park is coming to northern Jackson County.

The Enterprise Group of Jackson was one of three groups to submit a project proposal to the Michigan Equine Partnership last June. It was selected by the Partnership on Wednesday to construct the park, which could include show arenas, a convention center, stalls for 2,000 horses or other livestock and campgrounds.

Scott Fleming, president and CEO of the Enterprise Group, said its selected proposal was founded on boosting Jackson County’s tourism industry.

“This is a beginning to going up the hill for economic prosperity,” he said. “It’s one of those giant steps to bring in tourism. To look at what we have, we need to accentuate and embrace that aspect.”

The cost of the project would be tens of millions of dollars, Fleming said, but the location of the park isn’t being released because of incomplete property agreements. It would be funded through private investors.

It was the group’s director of its small business technology center, Roni Weaver, Fleming said, who sparked the motivation to pursue such a project.

“I’ve always believed that if a person has a passion to do something, you’re going to make it happen,” he said. “Roni’s passion was putting a horse park together.”

Aaron Price, the Partnership’s president, said he expects to hash out the planned facility’s designs, set plans, price and a time schedule with the Enterprise Group within the next week and to complete that process within 90 days.

He said their proposal was selected because of its location near the two major interstate highways and an adjacent property that is already developed into horse riding trails.

In building a park, Price said he hopes to open state residents’ eyes to the prominence of the horse industry.

“Equine in Michigan is huge,” he said.

“Agriculture is the second largest industry in this state. This is a long overdue project.”

The Partnership, which is based in Lansing and promotes the horse industry, had received a grant from the U.S. Department of Agriculture in 2007 to determine the feasibility of building a multi-purpose equine park in southern Michigan.

Among the site criteria, Price said was also the need to service five states.

Proposals had also been received from the Springport Township Equine Partners and a group supported by the Albion Economic Development Corp. and Albion College.

When they were submitted last spring, proposals had to include open space at least 600 acres in size and ready access to hotels, freeways and restaurants.

Val Vail-Shirey, executive director of the Partnership, said they’d researched and performed in-depth site visits during the last few months to pick a proposal.

The Partnership had originally planned to pick a site in September, she said, but identifying a proposal that “would really unite the equine industry” took longer than planned.

“People don’t realize the number of horses we have and how sizable the industry is,” Vail-Shirey said.

Reasons for building a park came from the state’s lack of investment in the industry, she said, recalling stories of Michigan equine groups hosting annual national equine competitions in other states.

“We want to bring those to Michigan,” Vail-Shirey said. “That will have a very positive economic impact to the state with a showplace that is economically viable and attractive.”

Ten Michigan Counties to receive more than $5 million

WEDNESDAY, OCTOBER 14, 2009

CONTACT: Bill Shreck, MDOT Director of Communications, 517-335-3084

The Granholm Administration today announced that nine Michigan counties will soon benefit from more than $5 million in federal Transportation Enhancement (TE) funding. The funding will bring about the widening or improving of 24 miles of bike paths and paved shoulders across the state, the restoration of a historic brick street in Jackson, streetscape improvements in Big Rapids and Elberta, and a project to beautify the Saginaw Valley gateway area at I-75 and Birch Run. Work on the projects is expected to be completed during the 2010 construction season.
“These transportation improvements provide more bike paths and trails and beautify our streets and roadsides,” said Gov. Jennifer M. Granholm. “The results benefit our communities and local businesses, and are enjoyed by residents and visitors alike.”
Under federal law, 10 percent of federal surface transportation funds are set aside for TE projects. TE funds cannot be used to build or repair roads. Administered by MDOT, TE grants enable communities to invest in landscapes, streetscapes, and bike path development. These grants provide a maximum of 80 percent of the money required for each project, with the remainder coming from state and local government and the private sector.
“The TE program is a great way for MDOT to partner with cities, townships, villages and county road commissions to bring much needed improvements to various areas of the state,” said State Transportation Director Kirk T. Steudle.

The following projects are listed by county:

Benzie County
MDOT, in partnership with the city of Elberta will streetscape Frankfort Avenue (M-168) from M-22 north and west to the entrance of the Elberta Waterfront Park. The project will include decorative sidewalks, street lights, street trees, benches and trash receptacles and will be done in conjunction with a MDOT road reconstruction project. The total project budget is $452,938, including $362,350 in federal transportation enhancement funds and $90,588 in match from MDOT. 

Ingham County
MDOT, in partnership with the city of East Lansing, will construct 1.4 miles of bike paths along the I-69 Business Loop (BL) (Saginaw Street). The path will be built along the north side of the I-69 BL from Harrison Road to Stonegate Street, and along the south side of the I-69 BL from Audubon to Alton streets. The total project budget is $1,722,083, including $1,153,666 in federal TE funds, $344,417 in match from MDOT, and $224,000 in match from the city.

Jackson County
The City of Jackson will develop a nonmotorized pedestrian pathway to connect its central business district with the Cool City Neighborhood-designated Armory Arts area.  The Grand River ArtsWalk will begin near the downtown farmers’ market at Glick Highway, following along Mechanic Street using existing bike lanes and sidewalk through the Armory Arts Project to North Street. The trail will then follow the Grand River to Monroe Street, including a short spur and bridge crossing the Grand River to Lion’s Park. At Monroe Street, the trail will extend west to Blackstone Street and east to the railroad tracks to connect with local neighborhoods. Mechanic Street is an historic brick street that will be rehabilitated and beautified. The trail will include both bituminous and concrete bike paths, ADA ramps, street lights, crosswalks, benches, trash receptacles, a pedestrian bridge and landscape improvements. The project budget is $1,581,617, including $986,202 in federal TE funds, $300,000 from a Michigan Department of Environmental Quality Clean Michigan Initiative ($150,000 funded by The Jackson County Brownfield Redevelopment Authority), and $295,415 from the city.

Iron County
MDOT, in partnership with Crystal Falls Township and the city of Crystal Falls, will construct a 2.3 mile bike path along US-2 from Park Street in Crystal Falls to the Iron County Medical Care Facility in Crystal Falls Township, planting a number of trees along the route. The new path will connect to a future proposed pathway to Bewabic State Park and eventually with the city of Iron River. The bike path will be constructed in conjunction with a road project. The total project cost is $742,799, including $542,689 in federal TE funds and $200,110 in local matching funds with $148,560 from MDOT, $45,088 from the township and $6,462 from the city.

Kent County
The city of Walker will construct a 4.1-mile nonmotorized path that will start at Millennium Park and end at the Walker City Central Park and City Complex. The Frederik Meijer Standale Trail will create the first major north-south nonmotorized trail route in the city and will ultimately create a link between the Frederik Meijer 4 Mile Trail, the Muskatawa Trail, the Grandwalk Greenway, and the Millennium Park/Kent Trails system. The total project cost is $1,700,000, including $850,000 in federal TE funds, $690,000 from the West Michigan Trails and Greenways Coalition, and $160,000 from the Standale Downtown Development Authority.

Leelanau County
MDOT will expand the M-22 Heritage Route nonmotorized system by expanding the existing 3-foot shoulders to 5-foot-wide shoulders from the Benzie County line north to the southern village limits of Empire. The total project cost is $322,692, including $258,154 in federal TE funds and $64,538 in match from MDOT.

Manistee County
The Manistee County Road Commission will pave 4-foot-wide shoulders on Red Apple Road from Cherry Street to West Fox Farm Road to further develop the nonmotorized system just south of the city of Manistee. The total project cost is $186,928, including $136,928 in federal TE funds, $30,000 in match funds from the road commission and $20,000 in match from Filer Charter Township. 

Mecosta County
The city of Big Rapids will streetscape Michigan Avenue from Linden Street to Pine Street. The project elements include new energy-efficient LED street level lights, decorative sidewalks, ornamental plantings, benches and trash receptacles. This project is being done in conjunction with a Michigan Avenue road project, drainage improvements, new curb and gutter, architectural facade enhancements to buildings, building rehabilitation, and signs to direct pedestrians. The total project cost is $894,792, including $400,000 in federal TE funds, $262,000 from a Michigan State Housing Development Authority Vibrant Small Cities Initiative grant, and $232,792 from the city. 

Saginaw County
MDOT will landscape the embankment of Exit 136 on northbound I-75 at Birch Run Road in Saginaw County. The landscaping will include evergreen trees, deciduous trees, shrubs, perennials and lighting. All landscape elements will be designed around a “Welcome to the Saginaw Valley” sign that is being paid for with private funds. The total project cost is $188,409, including $106,302 in federal TE funds, $37,683 in match from MDOT, and $44,424 in match from private sources.

Sanilac County
MDOT will widen paved shoulders of M-25 for nonmotorized use from 5 feet to 8 feet from 0.5 mile north of Walker Road to the north village limits of Lexington. The work will be done in conjunction with a road surface overlay project. When this project is complete, users will enjoy a trail that extends from the Sanilac/St. Clair county line, around the Thumb, to the Huron/Tuscola county line. The total project cost is $701,000, including $560,800 in federal TE funds and $140,200 in match from MDOT. 

MDOT Working to improve our state roads and bridges.

Jackson County Board of Commissioners vote to designate county a Recovery Zone

By Holly Klaft
Jackson Citizen Patriot
Wednesday, August 19, 2009

About $28.7 million in federal bonds will be available to businesses and public entities looking to launch expansion or improvement projects throughout Jackson County.

The county Board of Commissioners on Tuesday unanimously approved designating the entire county as a Recovery Zone to make all local businesses and governments eligible for financing through the Recovery Zone Bond Program. That will allow for the issuance of about $17.2 million in tax-exempt Facility bonds and $11.5 million in Economic Development bonds.

The bonds will be available until the end of the year and can be issued through The Economic Development Corp. of Jackson County, which is an arm of county government that is run by The Enterprise Group.

Facility bonds will provide loans to private businesses for projects that could create jobs, while the Economic Development bonds would help public entities, such as schools or governments, pay for public improvements.

The entire county qualifies as a Recovery Zone — generally considered to be an area that has significant poverty, unemployment and home foreclosure rates — because of the state of the economy, Enterprise Group CEO Scott Fleming said.

Oakland County has already been designated as a Recovery Zone.

The bonds will help businesses secure financing and could spur development, area leaders said.

County board Chairman Steve Shotwell said officials are looking into whether the bonds can be used to tear down dilapidated structures.

Fleming said the economic development agency has projects in mind that could benefit from the bonds, including one that could potentially bring as much as $45 million in investment to the county. He would not provide details on the project.

Recovery Zone designation could help Jackson County businesses and local governments

By Holly Klaft | Jackson Citizen Patriot
Friday August 07, 2009

Hard-to-find financing for major expansion or improvement projects could be within reach soon for local governments or businesses throughout Jackson County.

Economic development and county officials are considering naming the entire county as a Recovery Zone to make all area businesses and public entities eligible for about $28.7 million in federal bonds through the Recovery Zone Bond Program.

The bond program, which is part of the federal stimulus plan, will allow for the issuance of about $17.2 million in Facility bonds and $11.5 million in Economic Development bonds.

Tax-exempt Facility bonds would provide loans to both longtime businesses or start-up companies for projects that could create jobs. Economic Development bonds would help public entities, such as schools or governments, finance public improvement efforts. Municipalities also can use the bonds for job training and educational programs.

Recovery Zones are generally considered areas that have significant poverty, unemployment, home foreclosure rates and general distress. Oakland County also has been designated as a Recovery Zone.

The Jackson County Board of Commissioner’s Agencies Committee will discuss making the entire county a Recovery Zone during its meeting at 10 a.m. Monday at the Jackson County Tower Building, 120 W. Michigan Ave. The county board would have to approve making Jackson County a Recovery Zone.

Scott Fleming, CEO of The Enterprise Group, said the county economic development agency already has projects in mind that could benefit from the financing.

Fleming said there were many businesses that would like to get loans for new projects but had a hard time securing financing.

“These Recovery Zone bonds will definitely help out,” Fleming said. “We want to make sure we have every tool possible to bring economic development.”

The bonds will be available until the end of 2010.

Article about Armory Arts Village appears in Michigan Municipal League magazine

By Keith Roberts
Jackson Citizen Patriot
Saturday July 18, 2009, 12:17 AM

Jackson is getting more good publicity for Armory Arts Village and trying to dispel bad publicity about its budget.

An article on Armory Arts Village by Councilman Daniel Greer appears in the July/August issue of The Review, the Michigan Municipal League’s magazine, and on the league’s Web site, www.mml.org.

Greer, regional secretary of the league, said he was asked to write “Transforming a Prison into an Artists’ Village,” because the current issue of The Review focuses on arts and culture, and league members have been asking about Armory Arts Village since it won the league’s Community Excellence Award in 2008.

Greer wrote that the project took six years, and there were “many challenges, obstacles and setbacks” but “Jackson has taken the 16-acre site of the original state penitentiary and is redeveloping it and re-identifying our history and heritage.”

Greer said despite the publicity, Armory Arts Village remains a hidden jewel, and he hopes league members accept an invitation to discover it for themselves at next week’s Fourth Friday Art Walk.

“It will be a great opportunity for them to see ... some of the positive stuff,” Greer said.

As for the negative stuff, this year the Michigan Department of Treasury put Jackson on a list of cities at risk for fiscal distress because, it said, Jackson’s projected fund balance was less than 5 percent of its expenditures in 2007.

The Treasury Department said Jackson had a fund balance, commonly referred to as a rainy day fund, of $1.6 million.

In a letter to the department, City Manager William Ross said the city had an additional fund balance of $1.6 million, for a total of $3.2 million or about 12 percent of expenditures, and that’s what the city’s bond rating agencies use in analyzing the city’s financial position.

Ross said while he has concerns about the city’s budget, it’s not as bad as the list makes it out to be. He said he wrote the letter in June and is waiting for a response.

“We don’t want to stick our heads in the sand, but I’m not sure I necessarily agree we’re in danger,” Ross said.

Albion’s Caster Concepts secures contract to produce casters and wheels for Ford

By Caitlin Schneider
Jackson Citizen Patriot
Thursday July 23, 2009, 2:22 PM

Some Ford employees will soon experience a little more peace and quiet on the job thanks to products made in Albion.

Caster Concepts was selected by Ford to produce casters and wheels for delivery carts at an assembly plant in Cuautitlan, Mexico.

The contract is worth just under $250,000.

The CasterShoX line boasts a quieter performance and easy handling. The newly equipped carts are expected to reduce cart noise in the plant by 15 decibels, which is “very significant,” said Dr. Elmer Lee, the project manager for CasterShoX.

“OSHA (U.S. Occupational Safety & Health Administration) says 3 decibels is significant, and we’re doing five times that,” he said.

Lee said the CasterShoX casters improve ergonomic pull tests on the carts by 20 percent, reducing strain for the workers moving them.

He said manufacturers often attempt to achieve shock absorption with a softer wheel, but those are harder to pull. CasterShoX products, Lee said, are unique because the offer shock absorption while retaining qualities that make for easy mobility. They will be on carts used in every station in the plant.

Ford Cuautitlan Assembly Plant, located near Mexico City, will produce the Ford Fiesta. The new model will appear in the U.S. in 2010.

Caster Concepts has worked with the automaker before, and has also produced for Honda, Toyota and The Boeing Co.

Demolition of Acme complex in Jackson supported by speakers at public hearing

By Keith Roberts
Jackson Citizen Patriot
Wednesday July 22, 2009, 11:16 PM

Acme Industries occupies a place in Jackson’s history, but the buildings that remain aren’t worth saving.

That was the consensus of opinion Wednesday at a public hearing on the proposed demolition of the complex.

The buildings, 600 to 626 N. Mechanic St., were part of a prison factory system that played a key role in Jackson’s industrial development and continued to operate into the 1980s.

The complex was to be the home of Armory Arts Village, and efforts were made to list it on the National Register of Historic Places. But after extensive soil contamination was found, the artist community moved to the former National Guard Armory and state prison down the street.

The State Historic Preservation Office has acknowledged the need to demolish the buildings. Wednesday’s hearing at City Hall was held because the federal Advisory Council of Historic Preservation asked for additional public input.

Tenants of Art 634 and residents of Armory Arts Village said demolishing the complex would improve the neighborhood.

“It will be wonderful for Art 634 to have a clear view,” said Margaret Riggle, manager of Art 634.

Judy Gail Krasnow, a resident of Armory Arts Village, said she is all for saving history, but the buildings are “beyond development.”

Jackson City Manager William Ross paraphrased the book of Ecclesiastes in the Bible in support of demolition.

“This building had its time. It served its purpose,” Ross said.

The buildings are owned by The Enterprise Group of Jackson, which has secured about $750,000 for the demolition with the help of the city, U.S. Rep. Mark Schauer and the Jackson County Brownfield Redevelopment Authority.

“We need to capitalize on the funding while we have it available,” said Amy Torres, director of economic development for The Enterprise Group.

The Enterprise Group hopes to have the buildings torn down over the winter to clear the way for construction of the Grand River ArtsWalk in the spring.

Senator Stabenow visits Jackson’s Armory Arts Village

July 13, 2009
Legal News Photo by Mary Steinmetz

Senator Debbie Stabenow recently visited the Jackson Armory Arts Village to honor the project for its economic development recovery efforts. Pictured l-r, are Amy Torres, Director of Economic Development with the Enterprise Group of Jackson; Senator Debbie Stabenow; Cassandra Kramer, intern at the Enterprise Group and Jackson County 2009 Rose Queen.

Jackson area officials hope businesses can benefit from apprentice program

By Caitlin Schneider
Jackson Citizen Patriot
Tuesday July 07, 2009, 3:48 PM

If the old saying about teaching a man to fish is true, Jackson’s workforce might be on its way to a more bountiful era.

Late last month, the Michigan Department of Energy, Labor and Economic Growth announced the creation of the Michigan Registered Apprenticeship Pilot program. The push for apprenticeships by the state supplements some already under way locally.

The apprentice program operates through Michigan Works agencies. South Central Michigan Works spokeswoman Sarah Hartzler said their office has created a new position solely for the management of apprenticeship programs.

A different apprentice program running through SCMW targets 16- to-24-year-olds in low-income families or those with a disability. About $1.9 million in federal stimulus money restarted the program this year after a two-year absence.

The apprentice program is funded by $1 million of the federal stimulus package.

Set to launch next month, it offers a $1,000 incentive for employers who sponsor U.S. Department of Labor registered apprenticeships. The money can be put toward wages or technical related instruction.

Bill Rayl, executive director of the Jackson Area Manufacturers Association said JAMA is partnering with SCMW to help bring some of the MRAP program’s money to Jackson.

“We’re going to go after every dollar we can get,” he said.

Rayl said apprenticeships are “one of the best” models for training new staff and said a variety of industries including machining trades, constructions, the medical field and information technology could stand to benefit from the program.

Employers interested in learning more can contact the DELEG Bureau of Workforce Transformation or South Central Michigan Works.

“Money is available for companies in Michigan, they just need to get in line,” Rayl said.

UPDATE: City of Jackson, Enterprise Group get word that demolition of Acme building may proceed

By Jackson Citizen Patriot
Wednesday July 08, 2009, 12:37 PM

Jackson isn’t getting many new buildings these days, but at least it’s getting rid of an old, ugly one on contaminated soil.

Officials got word Wednesday that demolition of the former Acme Industries complex, which has been blocking the view of Art 634 and Armory Arts Village, can proceed.

“More than anything I think it will take care of an eyesore,” said state Rep. Martin Griffin, D-Jackson. “It will really open the area up.”

The Acme building at Ganson and Mechanic streets was the proposed site for Armory Arts. After soil contamination was found, the location was changed to the former National Guard Armory/state prison down the street.

Murals of local artists are still posted on the Ganson Street side of the building, but the windows are broken or boarded over and graffiti has been spray painted on the walls.

Jackson Mayor Jerry Ludwig said visitors to the city have told him the building looks “war torn” and he will be happy to get rid of it.

“The sight line will be improved 100 percent,” Ludwig said.

The Enterprise Group of Jackson, which owns the building, and the city of Jackson received funding earlier this year to tear down the building.

In February U.S. Rep. Mark Schauer helped The Enterprise Group secure $332,500 from the Department of Housing and Urban Development Appropriations Act. In April the city was notified it would receive $1.7 million in federal Neighborhood Stabilization Program funds and agreed to set aside $375,000 for the demolition.

The Jackson County Brownfield Development Authority also agreed to contribute up to $50,000.

But the state Historic Preservation Office wanted more information before it would allow demolition to proceed.

Amy Torres, director of economic development for The Enterprise Group, said when the building was being considered as the site for the art community, efforts were made to get it listed on the National Register of Historic Places so the office had to make sure procedure was being followed.

Torres said the office moved quickly after it got the information and while the economic development organization and the office still have to sign a memorandum of understanding, the office agreed on the need for the demolition Wednesday.

“I’m thrilled,” Torres said. “It’s one more obstacle that we have overcome in getting that building down.”

Because of the soil contamination, the site will most like become a parking lot. An environmental review still needs to be conducted and the demolition needs to be rebid. Bids taken in 2005 ranged from $500,000 to $750,000.

Torres said The Enterprise Group hopes to have the building torn down over the winter so it won’t interfere with the construction of the Grand River Arts Walk in the spring.

Firms seek government work

Contracts can help companies diversify

Monday, July 06, 2009
By Caitlin Schneider
cschneider@citpat.com—768-4923

Government contracts are one way local businesses are looking to bridge the revenue gap in a down economy. It’s an avenue that has proved worthwhile for many: Since the beginning of 2007, close to $7 million has come to Jackson via state and federal deals.

Businesses with experience pursuing government contracts and those just starting to get involved often look to the Procurement Technical Assistance Center of South Central Michigan, a part of the Enterprise Group of Jackson. The PTAC helps local businesses secure government contracts by matching them with state and federal contracts looking for bidders.

Pennie Southwell, program director for the PTAC, said demand for the service has been up as a result of the economy.

More than $2 million in government contracts have gone to Jackson businesses as of June 24 this year.

Scott Fleming, CEO of the Enterprise Group of Jackson, said local manufacturers are trying to recoup losses from the ailing auto industry. In sink-or-swim times, businesses look for ways to diversify, he said.

“If they’re not diversifying right now, then they’ll be closing soon,” he said.

Southwell agreed.

“Government contracting is a good way to diversify. It’s not like a commercial company because the government’s never going to go away,” she said.

With the PTAC’s assistance, Garcia Clinical Laboratory, 2195 Spring Arbor Road, recently garnered a three-year, $250,000 service contract with the Louisiana National Guard.

Owner Mary Garcia said Garcia Lab, which specializes in laboratory medicine, has been working with the PTAC about 6 years.

Garcia said the PTAC helps identify contracts within the scope of the Garcia Lab as well as answer questions related to bidding.

Fleming said successfully bidding on government contracts is a process. The first contract a business secures often is small, and the size and scope of jobs often increase with each project.

Another high-profile government contract was awarded to a Jackson business last year when RTD Manufacturing Inc., 1150 S. Elm St., penned an $800,000 deal with the military to partner with inventor Ken Henes of Dexter. RTD’s involvement in developing a high-pressure water delivery system with Henes was part of a shift from an auto industry focus to a high-tech industry focus.

Southwell said President Obama’s election has impacted the industry slightly.

“The contracts are going down a bit. That tends to happen with a new administration because a new president means a new budget,” she said.

Southwell said many of the contracts the PTAC assists on come from the Department of Defense, which recently underwent a budget cut. In her experience, Southwell said, the contracts start going up again about six months into a new president’s term. 

Sen. Stabenow glad to see progress at Armory Arts

Tuesday, June 30, 2009
By Chris Gautz
cgautz@citpat.com--768-4926

U.S. Sen. Debbie Stabenow toured the Armory Arts Village on Monday afternoon to meet with artists and see the result of a project for which she helped secure federal funds.

“It’s all that I would hope it to be,” she said.

Her tour was led by Armory resident Judy Gail Krasnow who explained some of the history of the building, which was a former prison and now houses a variety of artists and their work.

Armory resident Jason Caldwell presented Michigan’s junior Democratic senator with a portrait of herself, with an American flag in the background, while she toured his studio space.

After her tour, Stabenow spoke to a small group of community leaders about the importance of the arts, education and her efforts in Washington to bring jobs to the state.

“Somebody needs to make something. Whether it’s beautiful art or beautiful advanced manufacturing,” Stabenow said. “That’s what we do in Michigan. We make things, we create things, we engineer things ... and we do it better than anybody else.”

Stabenow, who sits on the Senate Energy Committee, said the American Clean Energy and Security Act which the House approved Friday is moving in the right direction, but has some concerns as it moves to the Senate.

She said she wants to make sure Michigan and other manufacturing states get their fair share of the funds generated by the cap and trade bill.

She also wants to see enough funds coming back for technology manufacturing as businesses look to create parts for clean energy products.

During the weekend, President Barack Obama made it clear he does not want to see what he called the “protectionist” measures in the final version.

The measures would put trade penalties on countries that do not limit their pollution levels, which Obama said could hurt international trade.

Stabenow disagrees.

“I absolutely want to keep those in,” Stabenow said. “I have been fighting to make sure that our manufacturers are not disadvantaged because we’re doing the right thing and other countries aren’t.”

Financing woes stall redevelopment of former Kaneka facility in Blackman Township

By Holly Klaft
Jackson Citizen Patriot
Friday June 26, 2009, 12:24 AM

Harsh economic conditions are hampering a company’s plans to redevelop the former Kaneka Texas Corp. facility in Blackman Township, officials said.Kaneka officials told local economic development leaders Thursday that they will give Maverick Industries more time to secure financing to buy the plant at 4335 County Farm Road.

However, the Japanese company will make changes to staffing at the facility, sometimes leaving just one employee there to maintain it, said William Abbott, a Jackson attorney who represents Kaneka.

Kaneka left three employees at the plant after it shut down operations there last year.The employees were maintaining the facility and helping Maverick President Thomas Grace show the building to potential investors.

Maverick Industries has been working to purchase the 82,000-square-foot plant since October, but the sour economy has made it difficult to secure the financing needed to buy the building, Grace said.

On Wednesday, Grace worried the company might pull its remaining employees from the plant and sell the equipment inside, effectively extinguishing his plans to start his business there.

“The economy is dire and the banks won’t open up the accounts,” Grace said. “What are we supposed to do?”

Grace could not be reached for comment Thursday.

Abbott said Kaneka intends to keep the equipment inside the building and still is willing to work with Maverick on a purchasing agreement.

“They’re still ready to go forward,” Abbott said. “Kaneka has been patient on this transaction, but they would like to move forward one way or the other.”

Kaneka wants to begin marketing the building to other individuals or companies if Maverick does not move to purchase it, Abbott said.

Kaneka will return to re-evaluate the status of a purchasing deal with Maverick in September, said Scott Fleming, president and CEO of The Enterprise Group, Jackson County’s economic-development organization.Kaneka has been waiting for Maverick to put about a $75,000 deposit on the building before it solidifies a purchase agreement, officials said.Fleming said he and other local officials have been working hard to ensure the plant reopens with new work.

In February, Maverick — which would design and produce packaging solutions for a variety of industries — was awarded state tax credits valued at $1.2 million. Blackman Township also approved a seven-year tax abatement.

The company was expected to hire 90 people, including some who had worked at Kaneka, within five years.

“We did everything possible,” Fleming said. “Financing is a problem. In these hard economic times it’s almost impossible and it takes a long time. If there’s anyone to blame here, it’s the economy.”

Kaneka spent eight years at the Blackman Township plant making energy absorbers — the foam between the plastic and metal bumper pieces — for the automotive industry.

It transferred its automobile bumper business to the Indianapolis-based Createc Corp.

Stakes high in race to build horse park in Jackson

By Jackson Citizen Patriot
Tuesday June 23, 2009, 8:57 AM

It appears more and more likely that equestrian enthusiasts in Jackson will have only a short drive to a world-class horse farm within a few years.

Folks who are not horse lovers should be interested for another reason: This could mean increased tourism and more local jobs.

Groups in Springport and Albion, plus the economic-development agency The Enterprise Group, all submitted proposals by June 1 to build a multimillion-dollar park in the region. The winner will be chosen from these by the Michigan Equine Partnership, the group that has explored this park idea. No one aside from these three applied.

If boosters are right, the park could create as many as 100 jobs. Even if the number is half as much, it would be a boost to a local economy that certainly needs one. And there is little doubt this facility would draw people to the area from several states away.

In hindsight, it would have made more sense for these three local groups to work together on one or two proposals. Still, the hope now is that the Equine Partnership at least finds one of these to be strong enough to receive its backing.

Our best wishes to these applicants. If any one of them can bring their horse across the finish line, we all will have reason to cheer.

County projects could get aid from stimulus program

Wednesday, June 24, 2009
By Keith Roberts
kroberts@citpat.com—768-4922

A new federal stimulus program could make it easier for governments and businesses in Jackson County to get financing for projects that would boost the economy. The Recovery Zone Bond Program, part of the American Recovery and Reinvestment Act, allows the issuance of $17 million in Recovery Zone Facility Bonds and $11.5 million in Recovery Zone Economic Development Bonds in Jackson County.

Facility Bonds would help businesses finance projects that would create jobs. Economic Development Bonds would help local governments finance public improvements by reducing their borrowing costs. Recovery Zones are areas that have significant poverty, unemployment, home foreclosure rates or general distress.

Scott Fleming, CEO of The Enterprise Group of Jackson, said the facility bonds could be issued for startups as well as longtime companies that are struggling and need to upgrade or expand to remain competitive. Fleming said banks are making sure businesses that ask for loans, particularly those in manufacturing or auto-related industries, have strong financial backing.

``We’re looking at this to kind of replace the subordinate funding businesses need to survive,’’ Fleming said.

The federal government will subsidize up to 45 percent of the interest payable on the Economic Development Bonds. Local governments can use the bonds to finance capital projects, infrastructure improvements, job training and educational programs.

Jackson City Manager William Ross said he is looking at options, but before any bonds could be issued the city would have to determine how they would be repaid, either through taxes or revenues from services such as water and sewer.

``The key is you need a revenue stream,’’ Ross said.

Jackson County Deputy Administrator Adam Brown said the program would give the county a line of credit, but it doesn’t need one.

``It’s not helpful to us right now,’’ Brown said.

3 plans submitted for big horse park

3 plans submitted for big horse park

Saturday, June 13, 2009
By Heidi Fenton
hfenton@citpat.com-- 768-4945

Officials from the Michigan Equine Partnership are reviewing proposals from three Jackson-area groups vying to construct a multimillion-dollar horse park. The Springport Township Equine Partners, The Enterprise Group of Jackson, and a third group backed by Albion Economic Development Corp. and Albion College met a June 1 deadline to submit site plans. Officials from the partnership will schedule in-person presentations for each group and make site visits in July, Executive Director Val Vail-Shirey said. A decision on the selected location will come in September.

The Lansing-based partnership, which promotes the horse industry, received a grant from the U.S. Department of Agriculture in 2007 to determine the feasibility of a multiuse equine facility in southern Michigan. Officials affirmed the project’s feasibility and recently collected site proposals.

``What we’re looking at in the goal to build, is a facility that does not exist in the United States. This will be a premiere and sought-after facility that folks will want to contract with for their events,’’ Vail-Shirey said.

General plans call for a minimum of 600 acres of open land that has easy access to highways, restaurants and hotels. The facility could include a convention center, stalls for 2,000 horses or other livestock, campgrounds and show arenas. Vail-Shirey expects local contractors would do a large portion of the construction work.

``This is a Michigan project for Michigan businesses and Michigan job creation,’’ she said.

Scott Fleming, president and CEO of The Enterprise Group, said his proposal includes two possible sites in Columbia Township, one in Grass Lake, and another that borders Blackman and Leoni townships. Whether a Jackson site is chosen or one in Springport or Albion, the whole area could see an economic boost. Fleming projected the facility’s outreach to be at least a 100-mile radius.

``People that go to a lot of the horse parks and events spend a lot of dollars on their animals and equipment and all of the other things that go with it,’’ he said.

Officials say the park will be open year-round and will be large enough to hold circuses, tractor pulls and rodeos. Once the Michigan Equine Partnership selects a site, Vail-Shirey said, it will apply for state and national grants along with the developing group.

Bill Russell, chairman of the Springport Township Equine Partners, is confident financial support will come through. A large portion of funding, he said, likely will come from private investors. Russell has made presentations in Eaton Rapids and Charlotte. He said both communities are on board with the plan.

``We have a huge portfolio of support letters,’’ he said. ``I’m confident the funding could be generated.’’

Business owners could get free loans

Small-business owners in Jackson County may qualify for interest-free loans
by Chris Gautz
Wednesday June 17, 2009

Small businesses strapped for cash and facing immediate financial hardship may be able to qualify for interest-free loans funded by the stimulus bill.

If the business is deemed viable by the Small Business Administration, it could be eligible for up to $35,000 to pay down existing debt. This would allow a business owner to reinvest in his or her company, rather than make loan payments.

“This program couldn’t come at a better time to help Michigan’s struggling small businesses,” U.S. Rep. Mark Schauer, D-Battle Creek, said in a statement. “These loans will help entrepreneurs cover operating expenses, retain employees and keep their doors open during this time of economic uncertainty.”

The new program called “America’s Recovery Capital” also allows businesses to pay no interest on the loans and gives owners one year before they have to repay them. They then have five years to repay the loan. It could take up to six months for the funds to be disbursed.

The loans can be used to make payments on principal and interest payments on credit cards, mortgages, lines of credit, and balances due to suppliers, vendors and utilities, according to Schauer’s office.

“It’s a way to catch your breath and get back on your feet,” said Zack Pohl, Schauer’s press secretary.

The loans are available until Sept. 30, unless funds run out before then.

They will be made by SBA-approved small-business lenders. Non-SBA-approved lenders can participate in the ARC program but must contact the local SBA district office.

The program will give banks that have been hesitant to lend to small businesses in this economic climate reduced risk and guaranteed interest on the loans, paid by the SBA.

“This should loosen things up,” said Roni Weaver, director of the Small Business & Technology Development Center of The Enterprise Group.

In the coming weeks, Schauer plans to host a series of workshops with small businesses to help them learn about the program and other avenues of assistance from the stimulus bill.

For more details about the loans, visit www.sba.gov/recovery/arcloanprogram/index.html.

Two Jackson doctors get creative with sculpting class at Armory Arts Village

By Monetta Harr
Jackson Citizen Patriot
Wednesday April 29, 2009

In the operating room, Dr. Pramit S. Malhotra is limited by his patients’ tissues, muscles and bone structure.

But in the sculpting studio at Armory Arts Village, Malhotra has complete freedom to create a face out of clay.

“I’m learning different notions of beauty. How should curves in the face meet? What makes one curve more beautiful than another?” said Malhotra, a Jackson plastic surgeon. “This class is helpful even more than I thought because I’m learning a softer, more natural way of working with a face.”

While it sounds unusual, the concept of doctors using art to make themselves better at their day jobs is a popular trend. Medical schools at Harvard and Yale both require medical students to take an art class. Early studies show it improves observation skills, which can help in coming up with accurate diagnoses.

Malhotra and Eric Schonhard, a Jackson chiropractor, have been working with sculptor Brandon Irish on Thursday evenings since fall.

“This is an escape for me,” Schonhard said.

Schonhard likes to make things out of galvanized fence wire. For instance, he created several spinal columns in this manner that are displayed in his Jackson office.

“I take spooled wire, and it takes human forms. I started with the nervous system, and it evolved from there,” he said.

Schonhard and Malhotra both say they were looking to expand their interests, and sculpture seemed a good fit.

“I was looking for something outside science, and sculpting reinforces what I do,” Malhotra said. He added that it is becoming more popular for plastic surgeons to sculpt, since much of their training is two-dimensional and not three-dimensional.

“The hardest at first was getting the dimensions right, between the eyes, side to side. Without hair you realize how much of the cranium is back here,” Malhotra said while rubbing one hand over the back of the clay head.

At a recent class, Malhotra is stumped because he thinks his clay face looks too masculine, and the class uses a live model, a young woman.

Irish takes a tool with loops at either end and slices paper-thin layers of clay off one cheek, like he’s using a cheese cutter. Then he pinches a thumb and forefinger to remove some clay from below and above one eye, making it more feminine.

“It helps getting down and looking up to get a 3-D look,” Irish said as he and Malhotra crouched beneath the clay face, then stepped away as the plastic surgeon turned to duplicate Irish’s work on the other side of the face.

Irish, a 26-year-old Hillsdale College graduate, moved into the Armory Arts Village in December 2007. He studied anatomy in college because sculptors have to define the muscles, bones and other intricacies of the human body.

“The study of anatomy and form is secondary to the study of life, hence the importance of a live model,” he said. “A sculptor captures the essence and spirit of life.”

County gets $1 million brownfield cleanup grant

By Holly Klaft and Brad Flory
Jackson Citizen Patriot
Saturday May 09, 2009

Jackson County on Friday landed a $1 million grant to clean up contaminated sites and potentially create jobs down the road.

The grant was announced by the federal Environmental Protection Agency and came as a pleasant surprise to local officials.

Money will go into a loan fund to clean up some of the 245 brownfield sites identified in Jackson County. Emphasis will be on 34 sites in a target area along W. Michigan Avenue in Blackman Township.

Loans will be given by the Jackson County Brownfield Redevelopment Authority to companies involved in cleanup efforts. When companies repay the loans, the money can be used to finance more brownfield cleanups.

“We don’t have a project lined up yet,” said James “Steve” Shotwell, chairman of the Jackson County Board of Commissioners. “They (EPA officials) know we have some places that need to be cleaned up.”

Brownfield sites are properties where development is hindered by known or potential contamination. Clean-up funds are intended to help the economy as well as the environment.

“This positions us to assist with financing for redevelopment efforts,” said James Dunn, Summit Township supervisor and chairman of the brownfield authority.

Jackson County received one of the largest of 20 brownfield grants awarded to Michigan communities. Only a downriver coalition of Wayne and Monroe counties received more, $2.5 million. Oakland and Saginaw counties also received $1 million.

The county can offer low interest rates on loans not restricted to the W. Michigan Avenue target area, said Amy Torres, director of economic development at the Enterprise Group.

“The target area is a good place to use these funds, but we can use them anywhere in the county,” Torres said.

One year ago, the EPA awarded a similar $1 million grant for brownfield loans within the city of Jackson.

Some local officials doubted the county had much chance for another million dollars so soon, but the odds were improved by the federal recovery package passed by Congress to stimulate the economy.

Jackson County was one of seven Michigan communities to receive brownfield grants with stimulus money.

“Putting Recovery Act dollars to work quickly to clean up brownfield sites will help lay the groundwork for future economic growth,” U.S. Rep. Mark Schauer said in a written statement.

The Albion Brownfield Redevelopment Authority also received a grant for $200,000.

Albion will use the money to prioritize brownfield sites and make 18 site assessments.

Enterprise Group targets China

Monday, May 04, 2009
By Chris Gautz
cgautz@citpat.com
768-4926

The Enterprise Group is taking a unique approach to business attraction with a new brochure touting the area’s amenities—in Chinese.

``To integrate ourselves in the global marketplace, we have to do that,’’ said Scott Fleming, president and CEO of the EG, the county’s economic-development agency.

Fleming said Chinese companies are interested in Michigan but do not want to locate in Detroit. The brochure helps to make the case that Jackson has a lower cost of living than other communities such as Ann Arbor, has highly skilled workers and is business-friendly.

The EG had the six-page brochure and an 86-page Jackson Area Manufacturers Association member list translated in China—a process that took two weeks—and then printed in Jackson.

Fleming took the translated documents most recently to the Society of Automotive Engineers show in Detroit.

Having information about Jackson in other languages is a great conversation starter and shows potential business partners the county is sincere about attracting new development from China, he said.

Ben Wu, a Novi attorney and a volunteer with the Detroit Chinese Business Association, assisted Fleming with the project.

``The Chinese see Michigan as an opportunity,’’ Wu said.

Wu said Jackson is the only county in the state he knows of that has thought to do this, so Jackson will have a leg up on bringing investment in from China.

``I suspect the other counties are going to follow,’’ he said. ``There’s been a lot of interest already.’’

The materials will be given out at various trade shows and conferences, and they also will be on display at the Michigan Economic Development Corp. office in China, Wu said.

Fleming said the next language the EG will translate materials into will be Italian, to capitalize on the partnership of Chrysler and Fiat.

``We want to get some of their suppliers here,’’ he said.

Jackson City Council puts Phase 2 of Armory Arts Village on hold

By Fredricka Paul
Jackson Citizen Patriot
Wednesday April 22, 2009

Ruth Ojeda clutched old marketing material promoting the Armory Arts Village as she addressed the Jackson City Council on Tuesday.

“It was all a lie,” Ojeda, a resident of the artisan community, told the council.

Residents voiced concerns about no heat in the main gallery and an increasing number of nonartists living in the community. They stressed they would like to see the entire vision of the project fulfilled, but they cannot see Phase 2 succeeding with Phase 1 incomplete.

Ojeda’s frustrations, and those of several other residents, helped convince the council to vote 5-2 to delay moving forward with the second phase of the Armory Arts Village. Councilmen Daniel Greer and John Polaczyk cast the dissenting votes.

“Artists are not moving there to live in low-income housing,” resident Judy Gail Krasnow said.

The planned unit development district for Phase 2 of the project would consist of 49 housing units for people 55 and older. A second part would consist of 39 more units to be built within five years.

The second phase also includes an outdoor common area, commercial retail space and an additional gallery.

Scott Fleming, president and CEO of The Enterprise Group, the county’s economic-development agency, has said no language is included about the complex being an artisan community in a Phase 1 agreement between The Enterprise Group and project developer Excel Realty of Shaker Heights, Ohio.

He was going to ensure that would not happen in Phase 2, during which Excel plans to invest $6.5 million.

On Tuesday, Fleming said he has been negotiating with Excel Realty and could spend about $46,000 to install a new heating system. He called the heating issue a “boondoggle.”

Polaczyk said the city is “just stalling the process,” because residents’ biggest issue was heating, which Fleming made clear was being addressed.

“The answer is not to do nothing,” Greer said.

Mayor Jerry Ludwig said he agreed with Polaczyk but voted for delaying the decision because he needs reassurance that the issues will be addressed.

Krasnow said the council’s action brought tears to her eyes because before Tuesday, many residents felt they had not been heard.

“We are the voice of the Armory Arts Village,” Krasnow said. “We have been silenced in more ways than one. Thank God we are finally being heard.”

Blackman DDA to review bids for road work near new Holiday Inn

Tuesday, April 21, 2009
By Keith Roberts
kroberts@citpat.com
768-4922

The future of Northpointe Town Center may be uncertain, but the hotel that would be next door to the upscale, open-air mall is still set to open in July.

On Wednesday, the Blackman Township Downtown Development Authority will review bids to extend a road and a water main to the Holiday Inn. The project estimate was $302,000. Engineer Jack Ripstra said the township received six bids and the lowest was about $245,000.

The contract calls for completion of the work by July 1. Bhogi Patel, owner of the Holiday Inn, said he plans to open the hotel in July and hopes the road work is done early.

``We’re going to have a lot of people coming in with deliveries,’’ Patel said. ``I would like to have it done sooner—not on the day before.’’

Ripstra said the road to the hotel would extend about 1,000 feet from the east end of the Meijer parking lot. The road there now is dirt and gravel.

The four-story hotel looks like it’s nearly completed when viewed from the freeway, but the entrance is still under construction, and while the siding is up on the front of the building, only about half is up on the rear.

The 99-room hotel will have the franchise’s new look and decor as well as a pool, banquet room and restaurant. It will also be the only Holiday Inn around since the old one off U.S. 127 changed its name last year.

Patel, who also owns the nearby Country Inn & Suites, said hotel occupancy rates have fallen during the recession. He said he would like to see Northpointe Town Center go in, but he’s not depending on it.

``I did not plan according to their project. I was going to do it anyway,’’ Patel said. ``But it would definitely help.’’

Plans for the mall surfaced in 2006. Northpointe developer Ramco-Gershenson, which also owns Jackson Crossing and Jackson Crossing West, got a one-year extension a year ago.

The Jackson County Board of Commissioners today will consider giving Ramco-Gershenson another 18 months to finalize a purchase agreement for the land.

Ripstra said Blackman Township is still planning to extend a road to the mall but won’t undertake any major expenses until the project moves forward.

Shopping center developer gets year extension

Posted by Kristin Longley
Jackson Citizen Patriot
April 22, 2008

The developer of a new shopping center slated for Blackman Township has asked for up to a one-year extension to cut through necessary red tape.

A finalized land purchase agreement for the Northpointe Town Center is dependent on several issues that haven’t been resolved, “through no fault” of the developer or Jackson County government.

Developer Ramco-Gershenson in a memo to the Board of Commissioners said it needs up to an additional 365 days to satisfy the conditions and secure necessary third-party consents. The agreement was to be finalized next month.

For more on this story, visit mlive.com/citpat Wednesday or pick up Wednesday’s Citizen Patriot.

Officials eye spruced-up Cooper

Plans to place Cooper Street ‘Welcome Mat’ to downtown Jackson moving forward
By Keith Roberts
Jackson Citizen Patriot
Tuesday, February 17, 2009

Support is growing for Project Welcome Mat, an effort to improve Jackson’s gateway on Cooper Street.
“I think people are really taking it as a serious venture,” said Scott Fleming, president and CEO of The Enterprise Group, Jackson County’s economic development agency.

State Rep. Mike Simpson, D, Blackman Township, is working with the Michigan Department of Transportation to get Cooper Street exit sign along I-94 changed to emphasize the new Jackson and get away from state prison inferences.

Simpson said he would like to review the wording and placement of all signs that direct motorists to Jackson-area attractions including Michigan International Speedway and the Waterloo Recreation Area, but he said the downtown Jackson sign is at the top on the list.

The Jackson Area Association of Realtors plans to clean up the Cooper Street interchange as its Earth Day activity in April, and it is considering adopting the interchange through a new MDOT program.

Realtor Phil Morgan said the interchange is well-graded and has some nice trees but is overgrown with vegetation and littered with trash. Morgan said he hopes to get 15 to 20 volunteers to clean up the intersection April 18, but even a group that size won’t be able to do it all. “It’s more than a one-day job,” Morgan said.

Last month Fleming told downtown merchants he wants to make several improvements along Cooper Street from 1-94 to downtown to give visitors a better first impression of the city.

“I’ve been planting the seeds and talking about it,” Fleming said. “We’re building momentum.”

Project Welcome Mat includes:

• Making the cell tower at the Cooper Street exit look like a clock tower and putting an LCD sign on it to tell passers-by about downtown events.

• Changing the sign at the exit by putting “Downtown Jackson” in big letters at the top and “Cooper Street,” which many people outside of Jackson associate with the prisons, in smaller letters.

• Enlisting community support for landscaping and home improvements along the corridor.

Fleming said he has talked to several service clubs about Project Welcome Mat and a lot of people still think N. West Avenue, not Cooper Street, is the gateway to downtown.

Fleming said the problem with motorists taking the N. West Avenue exit is they may think they are downtown before they’ve arrived there.

Two Jackson County groups among five vying for multimillion-dollar horse park

by Chris Gautz and Steven Hepker
Jackson Citizen Patriot
Monday February 09, 2009

Two groups from Jackson County are among five in southern Michigan vying to pursue a multimillion-dollar horse park.

The Springport Township Equine Partners and The Enterprise Group in Jackson have submitted letters of intent to submit proposals to the Michigan Equine Partnership.

The Lansing-based partnership received a $60,000 grant from the U.S. Department of Agriculture in 2007 to determine if a multi-use equine facility is feasible in southern Michigan.

The group concluded it is feasible. The next step is to field proposals by June 1, then pick one that seems most promising, Executive Director Val Vail-Shirley said.

“Our deadline for proposals is June 1, then we will move forward to partner with areas that are feasible,” Vail-Shirley said.

Michigan Equine Partnership, which promotes all phases of the horse industry, has received letters of intent from five groups in Jackson, Livingston, Oakland and Calhoun counties, she said. Another one might come from Detroit, she said.

General plans call for 600 to 1,000 acres of open land and access to major highways in southern Michigan. The facility could include a convention center, stalls for 2,000 horses or other livestock, campgrounds and show arenas. It must be a year-round facility with room for everything from rodeos and horse shows to RV and sports shows, officials said.

No current facility, including Michigan State University’s exposition center, is large enough to handle international, national or state horse shows, Vail-Shirley said.

The Springport group claims the best potential locations for the park.

“We will offer a very viable presentation to build here,” Chairman Bill Russell said Friday. “What better place for a horse park than in a rural setting, a farm community whose FFA program is nationally recognized?”

The Enterprise Group wants the Equine Partnership to consider a horse park closer to Jackson, possibly on Department of Corrections or other state property. It has several potential sites in mind.

“Right now, no idea is a bad one,” said Roni Weaver, director of the Small Business & Technology Development Center of The Enterprise Group.

Scott Fleming, chairman and CEO of the Enterprise Group, said a horse park would have considerable economic impact on the region.

Fleming said a horse park would hire up to 20 full-time employees and generate $6.4 million in a typical three-day horse show.

Steering committees will spend the next few months gathering information on potential sites, finances, potential backers and other planning details.

Resident artists taking the lead at Armory Arts Village

by Bill Chapin
Jackson Citizen Patriot
Sunday, February 8, 2009

Residents of Armory Arts Village are developing an association and bylaws to govern themselves. Those leading the effort say progress is being made to address concerns that arose in December after the resignation of Director Jane Robinson.

These residents said they intend to keep the project’s vision arts-focused, and they have the full backing of The Enterprise Group.

A closer look
Regular, winter hours for the Armory Arts Village are noon to 5 p.m. Thursday through Sunday.
The next Fourth Friday Open Studio Night will be 4:30 to 8:30 p.m. Feb. 27.
Guided tours may be made by appointment, day or evening, any day of the week except Monday.
For more information on classes, tours, events or other activities, call Armory Arts Village spokeswoman Judy Gail Krasnow at 795-2112.

The economic development agency has formed its own task force to make sure that happens. It includes board members, representatives from other arts community groups and Neeta Delaney, who was director of the project from 2002 to 2006.

“The energy and number of people and dedication and determination to see this succeed is alive and well,” resident Judy Gail Krasnow said. “All these things take time, and they are being worked on and we are open.”

New rules for use of the complex’s studios have already been agreed on by residents. Security has been improved by installation of a new locking mechanism for the building’s main entrance.

Significantly, artists now are being given preference when there are open apartments in the building. That was made possible by changes to the federal tax code that went into effect in September, though uncertainty over how the new law applied to Armory Arts Village persisted into December.

The Enterprise Group President and CEO Scott Fleming said there is now agreement among project developer Excel Realty Group, the investor who purchased tax credits to fund the project and property management company KMG Prestige that applicants who identify themselves as artists can be approved for an apartment even if there are nonartists higher on the building’s waiting list.

How to determine who counts as an artist remains under consideration.

“Someone can lie their way into getting an apartment,” resident Matthew Tate said.

The other major sticking point is the building’s main gallery, which is not being heated this winter.

Krasnow said The Enterprise Group is negotiating with Excel Realty Group to find a way to cover utility costs.

“They are truly hoping this situation will be settled and solved so next year we’ll be open full time,” she said.

Residents including Krasnow, Hector Trujillo and Jean Weir approached Fleming about forming a self-governing board because they felt coordinating all the building’s arts activities was too much for one person. They are working on developing a business plan with input from EG board members and others with business experience.

Not every resident is convinced that the artists should be taking over what had been Robinson’s duties.

“Our job (is) to provide the art that goes into the gallery, and not to be gallery administrators,” potter Kay Howard said.

She also said she wants to see an agreement in writing to heat the gallery year-round before the Jackson City Council approves tax breaks for the second phase of the project, a mixed-use senior housing development. The City Planning Commission this week approved designs for the development.

“I’m not saying things aren’t moving in the right direction,” Howard said. “I’m waiting to see.”

Krasnow and other artists said public visitation to the building has been down since a Citizen Patriot story on the Armory Arts Village ran in December. There were rumors circulating that the project had ceased all its arts activities.

They also said the building remains in good condition and praised the dedication of maintenance technician Don Allen.

While public hours have been scaled back for the winter, art is still on display, residents are teaching classes and tours are available.

“It’s far from dead,” Tate said.

“There’s lots of people in there working hard to get it going.”

EG leader gets high marks

Thursday, February 05, 2009
By Chris Gautz
cgautz@citpat.com
768-4926

A year ago this week, Scott Fleming walked into the offices of The Enterprise Group as the new president and CEO of Jackson County’s economic development agency.

Almost immediately, he was tasked with saving 200 manufacturing jobs at Production Engineering, which decided to stay and expand. He bookended his first year on the job Tuesday, when he helped secure state tax incentives for a high-tech packaging company after months of behind-the-scenes effort to bring the jobs to Jackson County.

``This whole deal would never have come about if it hadn’t been for him,’’ said Thomas Grace, president of the new company, Maverick Industries.

``He has gone out of his way to get this place up and running,’’ Grace said. ``He’s probably one of the best things that has ever happened to Jackson.’’

Said former Enterprise Group Board Chairman Ric Walton: ``He’s opened a lot of doors for us and given us a lot of opportunities.’’

Being the county’s top salesman in tough economic times has not been easy, nor has it been easy rebuilding the EG’s reputation.

``When I first came here, restoring credibility and confidence were major issues,’’ Fleming said. ``I think I’ve achieved that.’’

Jackson County officials were so dissatisfied with the EG before Fleming arrived that they were close to pulling the county’s annual $80,000 contribution. Later, after Fleming had made a positive impression, the county ended up increasing the amount to $100,000.

``I think he has done a fantastic job,’’ said Randy Treacher, county administrator and EG board member. ``I think Scott has not just brought a breath of fresh air, but a whole new atmosphere and set of goals.’’

Enterprise Group Board Chairwoman Sandy Petykiewicz said the board is pleased with Fleming’s work.

``I give him very high marks,’’ the Citizen Patriot publisher said. ``He has accomplished a lot, given the tough economy and the troubles getting financing these days.’’

Fleming was instrumental in securing the county’s SmartZone designation, which holds promise in attracting jobs. He has also worked to heal relationships and form partnerships with the Greater Jackson Chamber of Commerce and the Jackson Citizens for Economic Growth.

Fleming now sits on the boards of both groups. The chamber and JCEG both have representation on the EG board.

``There’s a real spirit of cooperation in the community,’’ Petykiewicz said.

Amy Torres, economic development director for the EG, praised Fleming for his role in creating an award-winning Web site, marketing materials and a brand for the organization.

``He has elevated the Enterprise Group’s organization, and its employees’ stature and respect in the community,’’ she said. ``Through his ability to bring diverse interests together in collaboration, he has opened doors which had been closed; removed obstacles which had been constructed, and provided transparency to opaque perceptions.’’

High-tech packaging company to open in former Kaneka Texas plant

By Chris Gautz
Jackson Citizen Patriot
Tuesday, February 3, 2009

A high-tech packaging company plans to open next month in the former Kaneka Texas plant. Maverick Industries plans to hire about 90 people within five years, including some who previously worked at the facility at 4335 County Farm Road.

“We want these people back,” Maverick President Thomas Grace said.

Grace said his company will be one of the largest steam chest molding facilities in North America, designing and producing packaging solutions for a variety of high-growth industries.

The Michigan Economic Growth Authority board today was expected to approve a seven-year, $1.2 million high-technology employment tax credit for up to 90 new employees.

Michigan Economic Development Corp. spokeswoman Bridget Beckman said the company was considered for the credit “because of the number of well-paying jobs it will create, the benefits they will provide and the tremendous support of Blackman Township.”

Grace said once the tax credit is approved with state and local authorities he will work in earnest on the financing of the project and on finalizing deals with potential investors.

The company could be up and running in as little as six weeks, he said, and could initially employ about 30. Grace said customers are already lined up and waiting for him to open.

“We already have products we can start producing now,” he said.

Blackman Township Supervisor Robert Rando said he was excited about the jobs the company is bringing to the township. Rando said the township board will do whatever it takes to help the company and will approve the tax abatement as soon as its financing is in order.

The 90 jobs will have an average weekly wage of $806 and will offer health-care benefits.

Employees from Kaneka are preferred because they will be operating on many of the same machines they used when the automotive supplier occupied the building. Grace said they won’t be producing the same products as Kaneka, which made energy absorbers, the foam between the plastic and metal bumper pieces, for the automotive industry.

Maverick will specialize in using advanced materials not currently used in the packaging industry that are lightweight to reduce shipping costs, but stronger and completely recyclable.

The products will be used in a number of industries and markets including construction, agriculture, defense, biomedical, precision machine parts and automotive.

Grace, a member of the Jackson Citizen for Economic Growth, worked for 41 years at General Motors as a technology integration engineer. When Kaneka shut down operations last August, he was asked by the Enterprise Group, the county’s economic-development agency, to assist in finding an outside company to buy the building.

After looking at the facility and its potential, Grace said he decided to start his own company and buy the building.

“I thought, ‘Someone from Jackson could do this,’ “ he said.

Kaneka opened in Blackman Township in 2000. It closed last year due to the overall decline in the auto industry and the fact that the cost of the principal ingredient in the energy absorbers — petroleum — was soaring last summer.

Last April, the Japanese-based company employed about 50 and was down to about 25 shortly before it closed.

Grace said he is excited about the potential and to keep jobs in the area.

“It’s a shot in the arm. It’s been one step forward, and two steps back in Jackson for too long,” Grace said. “I want to reverse that.”

— Staff writer Keith Roberts contributed to this report.

Artist’s Obama piece displayed in Washington

Jason Caldwell is a graduate of the City’s Incubator, which was managed by The Enterprise Group of Jackson and the Small Business & Technology Development Center. Jason is also a tenant at the Armory Arts Village

Friday, January 23, 2009
By Chris Gautzcgautz@citpat.com—768-4926

Jason Caldwell is hoping that a painting he created at the Armory Arts Village will someday hang in the White House.

The Jackson artist was recently commissioned by a recording artist to do a painting of Barack Obama, his family and those who inspired the new president.

``I felt honored to be hired to do it, to be a small part of history,’’ he said.

Sending his airbrushed painting to Washington for the inauguration, he said, was his way to be able to participate in the historic event.

``I wanted to contribute however I could,’’ he said. ``If it gets to Barack that would be great.’’

Caldwell said the recording artist, whom he declined to identify, was in the process of setting up the ability to present the painting to Obama.

Caldwell, 31, was told the painting was set up near the red carpet leading into Convention Hall for a concert that took place this past weekend.

``He got a lot of good feedback from other celebrities,’’ Caldwell said.

He has previously done paintings for other celebrities from television, sports and music, and is hopeful having such a large audience for the Obama painting may lead to other work.

His company, Jason Caldwell Studios Art & Design, does custom paintings, T-shirts, murals and graphic design.

The painting was done on canvas and stands 6 feet by 8 feet.

It contains images of Obama, his immediate family, his parents, grandparents and historical figures such as Martin Luther King Jr. and Nelson Mandela.

Caldwell said he spent about three weeks researching whom to include and how they should look.

Once he started painting, it took him about a week to complete.

The Jackson High School graduate said he has been painting professionally for 13 years.

``I’ve been drawing all my life,’’ he said.

A series of his paintings will be on display from Feb. 6 through March 2 at the Potter Center at Jackson Community College for Black History Month.

For more information, visit www.jasoncaldwellstudios.com.

ARMORY ARTS - Fleming: Artists are more involved

Enterprise Group leader says artists getting more involved at Armory Arts Village
By Keith Roberts
Jackson Citizen Patriot
Thursday, January 22, 2009

Artists at the Armory Arts Village are becoming more involved in decision-making at the community, along with the developer, Excel Realty Group, and The Enterprise Group of Jackson, EG President and CEO Scott Fleming told the Midtown Association on Wednesday.

After concerns arose last month about the direction of the project, Fleming assured business leaders things were on track. He said the artists are meeting with a business consultant, writing a business plan and getting a new Web site to sell their work online.

Midtown members said they wished the artists were more a part of the community, especially downtown.

Wendy Clifton, co-owner of A Frame Above, said an open-air art fair in downtown Jackson would be good for the artists and business people.

Kathryn Keersmaekers, a Midtown board member, said she was pleased to hear about the new Web site and hopes it helps the artists reach a wider audience.

Armory Arts Village opened about a year ago. The second phase calls for 49 units of housing for artists who are senior citizens, an art gallery, a restaurant and a coffee shop. The Grand River Arts Walk will pass through it.

Last month, artists voiced concerns the developer was losing interest in the project and would just as soon rent to non-artists.

Fleming said only a few artists have such concerns. He said legislation enacted last year gave artists preference in such things as the renting of affordable apartments and that’s what his organization intends to do.

Project Welcome Mat - Cooper Street’s unwelcoming signs eyed

By Keith Roberts
Citizen Patriot
Thursday, January 22, 2009

The sign for downtown Jackson at the Cooper Street exit on I-94 doesn’t say “State Prison, next right,” but in the eyes of some business leaders it might as well.

Wednesday at the Midtown Morning Breakfast, Scott Fleming, president and CEO of The Enterprise Group of Jackson, said the sign gives that impression because “Cooper Street,” which people outside of Jackson associate with the prison, is more prominently displayed on the sign than “Downtown.”

Fleming wants to change the sign and make a host of other improvements along the Cooper Street corridor as part of what he calls Project Welcome Mat.

Fleming said it’s baffling the community is willing to spend time, effort and money on development, but it doesn’t have a decent sign.

“We don’t welcome people into this community,” Fleming said. “I think that’s why we have trouble downtown.”

Several business people, including Wendy Clifton, co-owner of A Frame Above, agreed with Fleming about the sign.

“Can we say, ‘Not just a prison community’?” Clifton said.

Jim Vance of the Walton Agency suggested changing the name of Cooper Street to something with better connotations.

As part of Project Welcome Mat, Fleming wants to make the cell tower at the exit look like a clock tower and put an LCD sign on it to tell passers-by about downtown events.

He also told business people he would like to see landscaping and home improvements made along the corridor and welcomes their help.

Goodbye to 2008

Difficult year had its high points, too

Our Voice
Jackson Citizen Patriot
Wednesday, December 31, 2008

This year was filled with disappointments.

Front pages overflowed with news of foreclosures, bailouts and job losses.

Even some of our sports teams — the Lions, the Tigers, University of Michigan football — stumbled badly.

Not every piece of news was a downer. The Detroit Red Wings won the Stanley Cup, after all! So let’s end 2008 remembering the high points:

1. Economic development’s fresh face— Scott Fleming has not yet recruited the business that could hire hundreds of people at once, but the head of the Enterprise Group is trying.

He brought representatives of Chinese businesses to Jackson, made a pitch for a Volkswagen plant and brought new life to the local economic-development effort. Fleming ultimately will be judged by his role in helping to create jobs; for now, the energy he brings is enough.

2. Government grows up — County commissioners earned their gold stars in 2007 for revamping the stale Road Commission. In 2008, they showed their new maturity in handling the hiccups that came with a new animal shelter, plus hiring a deputy county administrator to be groomed for the top job.

Sound management for the county is a good sign, particularly if it can encourage some other local government boards to think progressively. Many of our communities deserve better than caretaker governments.

3. Yes, we care! — Without commenting on the outcomes, the November elections revealed a deep commitment to the future of our country.

Put it in numbers: More than 75,000 Jackson County residents voted. So did more than 120 million people nationally. The roughly 60 percent turnout nationally was not much higher than four years ago, but the last two presidential elections signal a surge of interest in politics. Maybe that will translate into a surge in its quality, too.

4. Yes, we care! (part two) — It is easy to take all the charity that goes on in Jackson County for granted, but it is abundant.

Benefit dinners, walkers on a mission, tireless volunteers and donors (high-profile and anonymous) create a tapestry of goodwill. The lean economy has hurt some fundraising, but many people still give. Just-ended seasonal efforts like the Salvation Army’s kettle drive, Toys for Tots and Warm the Children reported strong participation.

5. Healthy, green, artistic — This community is beginning to look quite different, in no small part due to the changes that took place this year. Thousands of people flocked to the Falling Waters Trail, lending credence to efforts to develop trails in Clark Lake, Jackson and elsewhere.

People at least are talking up environmental causes. The strongest evidence that those causes are taking root can be seen in the development of the Dahlem Conservancy and the MacCready Preserve in Liberty Township.

Artists moved in this year to Armory Arts Village, too. And while that project has suffered from infighting, it has brought attention to a growing local artistic community. That includes the musical community, represented through the Jackson Symphony Orchestra.

We would rather not go through another year as difficult as 2008, but people’s actions showed that it was not a bust. Pass the champagne (drink responsibly!) and here’s to the year ahead!

EG on its way to $2 million goal

by Chris Gautz
Jackson Citizen Patriot
Monday December 29, 2008

Three months into a two-year capital campaign, The Enterprise Group is more than halfway to its goal of raising $2 million.

Given the state of the economy, EG chairman Ric Walton is surprised the county’s economic-development agency has done so well.

“We think we’re going to be in pretty good shape,” he said.

It has been five years since the last campaign, and the funds raised are for economic-development activities and to fund continuing operations.

Unlike a chamber of commerce, which typically generates revenue from fees it charges members, The Enterprise Group subsists on donations from individuals, business and governmental entities, and grants and fees for services it provides.

In September, the Jackson County Board of Commissioners voted to pledge a one-time $100,000 contribution to the group’s capital campaign and raised the county’s annual contribution by $20,000.

Last month, the city of Jackson pledged $100,000 to the campaign; in previous years it has allocated $10,000.

“It’s very encouraging with what the county and city have done, along with the townships and a number of businesses,” Walton said.

Walton said Baker College, Jackson Community College and Spring Arbor University have also made pledges.

Since the arrival earlier this year of Scott Fleming, president and CEO, the organization has increased efforts to lure companies and make them aware of what the community has to offer.

“This is not the time to stop our marketing, it’s time to step up our marketing,” Walton said.

EG gets boost in funding

Thursday, November 20, 2008
By Fredricka Paul
fpaul@citpat.com—768-4927

The city of Jackson has added an extra zero to its annual contribution to The Enterprise Group by pledging $100,000 toward the group’s capital campaign.

In previous years, the city has allocated $10,000 to the countywide economic development agency, City Manager William Ross said.

“If you want to have strong economic development, you have to have resources to make it happen,’’ Ross said. “It doesn’t just fall into your lap.’’

Councilman Carl L. Breeding disagreed with the allocation. He was the only council member to vote against the funding this week.

When the city is making cuts in programs such as leaf pickup, Breeding said, it should not be “bailing out’’ agencies such as The Enterprise Group.

The money could be better spent hiring an assistant city manager for economic development, he said, and using the rest of the money on city services or fixing roads.

Ross said there will be less money for city services if the economic base declines.

The city will give $50,000 to the agency now and the remainder when the group reaches its $2 million capital campaign goal.

“Any new business we bring into town will definitely pay for the amount of money they are giving us,’’ said Scott Fleming, CEO of The Enterprise Group.

With the city’s commitment, the agency has about $762,000 toward its goal, which Fleming said he hopes to achieve next year.

Jackson County previously voted to donate $100,000 a year. Future contributions will require council consideration each year.

The Enterprise Group is amending its bylaws to add Jackson’s mayor or a council member to its board of directors. The city manager already serves on the board.

Armory Arts Village resident creates and teaches art

Sunday, November 09, 2008
By Rene RosencrantzFor the Citizen Patriot

One day might find Armory Arts resident Mary Jean Westerlund, 62, working on a portrait, another creating music and on some days she might be sitting at the computer writing.
Westerlund acknowledges, when it comes to the humanities, she’s not satisfied with just one. She likes the personal growth that comes with exploring all her options.

``I’ve never been able to land on one creative art and be happy,’’ she said. ``There’s times I’m a songwriter and times I’m an artist. I just decided I’m going to do it all.’’

Though she grew up in Jackson and attended Vandercook Lake High School, Westerlund moved to Los Angeles to pursue a career as a musician when she was 19.

``I was fortunate to be in L.A. in a time when music was just wonderful, and I met musicians like Simon and Garfunkel, Mama Cass and others. I lived vicariously through them,’’ Westerlund said.

Like many creative types, Westerlund had to find a job to pay the bills and ended up putting her writing skills to good use in the corporate world through many avenues, including public relations.

Back in Jackson since 1996, Westerlund calls her involvement at the Armory Arts Village a ``happy accident.’’

Years in the making, the Armory Arts Village is a former prison and National Guard Armory that was renovated into apartments and studios. It opened a little less than a year ago and is home to a variety of creative types.

``Living here has been a dream,’’ Westerlund said. ``It gives you a chance to make `Art your day job,’ as they say here.’’

Making art her day job has meant teaching her skills to others, something Westerlund really enjoys.

``I hope to help people discover their creative side,’’ she said. ``I think that there are so many addictions out there that I think would be helped if people were about to use their creativity. Creativity isn’t just drawing and painting.’’

Westerlund, who has a master’s degree in Human Development, has taught classes at the Jackson School of the Arts, the Ella Sharp Museum and at the Armory.

``She has such a soft-spoken, gentle nature with the children,’’ said Kim Hastings, the executive director of Jackson School of the Arts, where Westerlund has taught drawing classes.

The school is located in the Art 634 building, located next door to the Armory Arts Village.

As a professional artist, Westerlund is best known for her Pointillism works, where she uses tiny dots of ink to create realistic portraits and drawings.

``Fundamental drawing is definitely not something kids are getting in school so she’s really able to start with the basics and build from there,’’ Hastings said. ``We look forward to having her teach more classes with us. It’s great to have her so close by.’’

Westerlund is also teaching classes for adults through her business, ``Yes I Can!’’ including a class called ``Creativity, A Personal Experience II’’, which is designed to help adults work past the roadblocks that are keeping them from experiencing their own creativity.

``I think her genuineness gives her a real ability to teach,’’ said Jane Robinson, the director of the Armory Arts Village. ``Everything she does, she does it with a real passion. She’s really the whole package. Some people are really talented, but can’t really teach, but she can do both. She’s walked the walk and wants to pass on what she’s learned to others.’’

Closing incubator good for business

By Jackson Citizen Patriot

Sunday November 09, 2008

The following is a Jackson Citizen Patriot editorial:

It may have been painful for a few companies, but the Enterprise Group’s move last week to close a downtown incubator for manufacturers is the right step for a community that is serious about creating jobs.

Officials with this community’s economic-development group were wise to confront some realities about the incubator in its current form:

-It was housed in a building that is in poor shape.

-It was not helping businesses start up and get out on their own quickly enough.

-There is a better alternative.

First, the current situation: The incubator houses about 10 businesses in an aging building at 414 N. Jackson that is physically unattractive. It needs an investment of around $100,000.

There is a legitimate question as to whether this operation is “incubating” anything. While a dozen companies have set out on their own since the incubator started 12 years ago, some of its current tenants have been there for years.

There is a value in helping these small businesses to survive, but this is supposed to be a springboard for companies to head out on their own. That is not happening.

The final push out the door at this location is the likelihood of a better approach. Enterprise Group officials have been working with representatives from Jackson Community College, Spring Arbor University and Baker College to develop a “virtual” incubator.

Budding entrepreneurs and their new companies’ employees would take online courses and receive mentoring help for up to two years. The new incubator would have a small physical presence in Blackman Township’s new Smart-Zone and focus on developing of high-tech companies.

Compare that with the incubator’s present form, and there is really no question which is better.

For a community whose leaders talk frequently about “new,” high-tech industry, there is not much locally that encourages such businesses. This refashioned incubator would push start-up firms to develop, nurture them and then put them in a position to thrive without outside help.

Significant, too, is the prominent and cooperative role that the three colleges will play. JCC, Baker and Spring Arbor have not always worked in harmony, but their leaders appear to grasp that they should be a part of the local economy’s growth. They bring unique resources to economic development.

The new incubator likely will not open for two years, and that much of a wait is unfortunate. We wish it could happen faster. Beyond that, taking the incubator in a drastically new direction makes total sense.

The Enterprise Group should cut ties with the incubator’s deteriorating and expensive-to-repair building. The time has come for an approach that should create jobs for Jackson County more aggressively.

— Jackson Citizen Patriot

EG plans virtual incubator

Saturday, November 01, 2008
By Chris Gautz
cgautz@citpat.com—768-4926

As Jackson’s business incubator prepares to close, officials at The Enterprise Group are well into the planning for a virtual incubator that will be incorporated into the county’s new SmartZone.

After concerns about the aging state of the building and its lack of profitability, officials at the EG, the county’s economic-development agency, decided to close the building at 414 N. Jackson St. by the end of the year.

The proposed virtual incubator will allow those interested in starting a business and their employees to take online courses and earn a business degree. Upon graduation, they will be assigned local mentors for two years to guide them through the early years of their business.

“It isn’t going to be anything like the incubator now,’’ said Tom Grace, who has been heading a committee examining the issue for the EG.

Grace said the new program will be more modernized and computer-based.

“We’re going to have to start changing the face and the way of Jackson,’’ Grace said. “We can’t rely on automotive anymore.’’

While anyone interested in starting a business has the ability to take part, they will be focusing the businesses into several of the top industries, including high-tech manufacturing electronics and life sciences.

“We’re establishing clusters of technology that we will need in the future that we can build incubators around,’’ Grace said.

Rather than have one building to use as an incubator like the EG has now, companies already in the county in a particular cluster may open up a portion of unused space in their facilities to a startup business in their field.

In some cases the startup might be a supplier of the existing county business, Grace said.

Grace said the new incubator is about two years away from becoming a reality. He said it will take about a year for Jackson County’s three higher-education institutions, Baker College, Jackson Community College and Spring Arbor University, to put together this virtual classroom plan.

They will also need to build a physical space to house the computer network and have a place for the professors to broadcast lessons.

According to the SmartZone application filed with the state in June, it could be housed in a future expansion project at Baker College, which resides in the SmartZone.

It will be helpful to the students because they can focus on their business, while taking all of their classes online, Grace said. The class work will involve problems about their own businesses, not hypothetical scenarios, he said. If the assignment is on how to create a payroll system, the students will use their own payroll information.

Ron Griffith, Spring Arbor University’s executive director of external relations, said the three institutions are working on ways to adapt to the changing needs of those looking to start a business.

“We want to be the facilitators for innovation and entrepreneurs in Jackson,’’ Griffith said. “That way a person with an idea doesn’t get shuffled around. We want it to be done as collaboratively as possible.’’

Armory Arts and Westwinds raise money with 24-hour event

By Will Keeler
October 26, 2008

Art of many mediums came alive Friday evening and Saturday at the Armory Arts Village, where dozens of artists worked overnight creating pieces that were auctioned to benefit the local art community.

Concord resident Heidi Rhodes was one of about 25 featured artists in the 24-hour event creatively dubbed AP(art) or Art Apart.

“I wouldn’t have missed this opportunity to show some of my work during this exhibit,” said Rhodes a recent Spring Arbor University graduate.

Artists who work in sculpture, textiles, glass, jewelry, voice and paper were invited to create a piece of art within the 24-hour period. Visitors roamed while the artists worked, passing through hallways and open galleries to eye unusual and colorful pieces.

Proceeds from a silent auction will go toward scholarships and grants for underprivileged art students in the Jackson area. With a few bids still coming in Saturday evening, more than $1,000 had been raised.

“When I moved here to Jackson a few years ago from California, I wanted to bring a spark of artistic energy to Jackson, like seeing Jackson breathe again,” said event organizer John Voelz.

It was from this thought that AP(art) was created.

Rhodes, armed with her easel and large pieces of charcoal and chalk, set up her station in a long, narrow hallway. She worked throughout Friday evening on a charcoal and chalk abstract of a human vertebrae.

“I really enjoy working with charcoal, it’s very organic. It’s messy but it’s also very beautiful,” she said.

Leaders plotting development of SmartZone

Thursday, October 16, 2008
By Chris Gautz
cgautz@citpat.com
-- 768-4926

Fresh off the success of securing a coveted SmartZone designation in Blackman Township, local leaders are wasting no time.

Roadwork plans will begin soon, and the first tenant—an unnamed high-tech company that works for the military—could be named within the month.

``This is only the start,’’ said Dr. Salah Huwais, executive director of the Jackson Citizens for Economic Growth, a grassroots organization that lobbied for the designation.

The 1,100-acre parcel in Blackman Township was one of three SmartZones named by the state Wednesday. This SmartZone is designed to attract, retain and expand businesses focused on alternative energy, life sciences and advanced manufacturing. The other two SmartZones are in Macomb County and Sault Ste. Marie.

Local officials plan to partner with Spring Arbor University, Jackson Community College and Baker College in this endeavor, which they believe could generate dozens of new businesses and thousands of jobs.

Township Supervisor Ray Snell said the Local Development Financing Authority board will meet Friday to lay the groundwork for a new road to be called Technology Drive inside an 80-acre site on County Farm Road, adjacent to TAC Manufacturing. In the next month, it hopes to have a purchase agreement on another 181 acres inside the SmartZone.

The 80-acre site has room for seven new businesses, including the unnamed military company, which Snell said is an existing Jackson County business that needs to expand.

The announcement made Wednesday by Michigan Economic Development Corp. President and CEO James Epolito was met by thunderous applause. Officials have waited seven years for the news, after being passed over for a SmartZone designation in 2001.

``We’ve done a lot of work over the last seven years to get to this point,’’ Snell said.

That included bringing Epolito to Jackson in January to speak at a Jackson Citizens for Economic Growth meeting, where about 175 people gathered to make the point that the community was unified behind the SmartZone idea. Many of the same faces were among the 80 in attendance for Wednesday’s announcement on the 11th floor of One Jackson Square.

``This allows us to attract more business to the community,’’ said Scott Fleming, president and CEO of The Enterprise Group, the county’s economic-development agency. ``That’s what this is all about.’’

The Enterprise Group filed the SmartZone application in June on behalf of Blackman Township.

Many politicians and community leaders stressed the collaborative and bipartisan spirit behind the effort.

``It was one of the most community-oriented projects I’ve ever been involved in,’’ said state Sen. Randy Richardville, R-Monroe, who drafted the bills along with state Rep. Mike Simpson, D-Blackman Township, that allowed the creation of three additional SmartZones.

State Sen. Mark Schauer, D-Battle Creek said the community now has to take the next step and work to make the area a success.

Blackman a SmartZone

Township earns designation that could spur economic growth

Wednesday, October 15, 2008
By Chris Gautz
cgautz@citpat.com
768-4926

Blackman Township is now one of 15 SmartZone technology clusters around the state. Word of the sought-after designation was set to be announced this morning by Michigan Economic Development Corp. President and CEO James Epolito at a meeting at The Enterprise Group offices in downtown Jackson.

SmartZones allow local governments to capture taxes generated by new businesses and use the money to provide infrastructure—such as roads, utilities and fiber optics. That infrastructure could help draw potential developers. There are 12 SmartZones in the state.

Last year, the community rallied behind the effort, encouraged by the grassroots organization Jackson Citizens for Economic Growth, and pushed lawmakers to draw up legislation creating three more SmartZones.

The bills to allow for the creation were sponsored by state Sen. Randy Richardville, R-Monroe, and state Rep. Mike Simpson, D-Blackman Township.

Richardville said he was invited to attend this morning’s reception by the MEDC.

``I’m pretty excited to be there,’’ he said.

Simpson said he was glad he could play a part in getting the SmartZone approved and applauded the bipartisan effort involved.

``I’m excited to see this come to fruition,’’ he said.

The Enterprise Group, the county’s economic development agency, filed the SmartZone application in June on behalf of Blackman Township.

Jackson County’s proposed SmartZone in Blackman Township is 1,100 acres of mostly county-owned property and privately owned farmland.

The intent is to attract, retain and expand businesses focused on alternative energy, life sciences and advanced manufacturing. Partners include Spring Arbor University, Baker College and Jackson Community College.

``This is incredible news and provides incredible momentum for Jackson County’s economic development efforts,’’ said state Sen. Mark Schauer, D-Battle Creek, who worked with local and state leaders early on in the process.

Four other communities—Macomb County, Wayne County, Saginaw and Sault Ste. Marie—were competing with Jackson for as many as three SmartZone designations around the state. There was no word which, if any, other communities were also awarded the designation.

Since the start of the program in 2002, more than 845 businesses have started or expanded in these zones, and that has led to the creation of more than 16,000 jobs and more than $1 billion in private investment in the state, according to the MEDC.

Artist community wins state award

By Fredricka Paul
Jackson Citizen Patriot
October 08, 2008

Armory Arts Village has been named the 2008 Community Excellence Award winner by the Michigan Municipal League. The state group honors communities that push for changes to make better communities, according to its Web site. Projects must have an innovative local success story, have a positive impact on the community and have potential to be achieved in other communities. Located at a former state prison and armory, the Armory Arts apartment complex off N. Mechanic Street is now home to 59 artists and their families, Project Manager Jane Robinson said. During a presentation about the award at Tuesday’s Jackson City Council meeting, Councilman Dan Greer said he hopes the project will rid Jackson of the stigma of being a prison town. “When you have something like this, you have to get out and tell your story,” Greer said. After the presentation, Police Chief Matt Heins presented a traveling trophy for the Community Excellence Award to Mayor Jerry Ludwig and the council. The presentation was the same one made at a conference last week to more than 650 delegates from around the state, Greer said. Robinson said Jackson quickly became the buzz of the conference, with many people talking about traveling to see Jackson. “We took an old empty shell and turned it into something incredible,” she said of the former prison. Later this month, the artisan community will find out if it is the recipient of an award from the National Association of Housing and Redevelopment in Boston. About $12 million has been invested in the Armory Arts project, with future phases of retail, residential and community space to come, City Manager William Ross said. To win the Michigan Municipal League award, Jackson topped Au Gres, Houghton and Hancock, Elk Rapids, Oak Park, Marysville and Leland.

Big project could mean 1,200 new jobs

Posted by Chris Gautz | Citizen Patriot October 03, 2008 09:01AM
Categories: Top Stories
A small machine shop in Jackson has been tapped to produce a classified device for the military that could lead to 1,200 new jobs in four years.

RTD Manufacturing Inc., 1150 S. Elm St., will partner with Dexter-based inventor Ken Henes, who has spent the last five years developing the “Wolverine,” a high-pressure water delivery system. Potential uses include fighting forest fires and various military and homeland-security applications.

“It is very unique,” Henes said.

The deal was announced Thursday and includes an $800,000 federal appropriation for RTD and Henes to develop a prototype.

“This funding enables the outstanding management and workforce at RTD Manufacturing to expand its product line and contribute to our military,” U.S. Rep Tim Walberg said in a statement. “The funding also provides new opportunities for RTD to grow and expand in Jackson.”

Officials say another $1.5 million is needed to fully complete the prototype.

RTD has been working to make the transition from the struggling automotive industry into a high-tech service center.

“I’m just excited for the future,” said Bryant Ramsey, president of RTD.

The company was one of about 10 that Henes approached during his search for someone with the capabilities to produce his design.

Henes said RTD and area officials have been extremely supportive.

“The Jackson area wooed me,” he said.

Henes would not go into great detail about the Wolverine because of the competitive and proprietary nature of potential applications for the military and the Department of Homeland Security. However, he did say the device is 22 feet long and weighs 70,000 pounds when fully loaded with liquid or foam.

It could be used at impromptu checkpoints in Iraq, for crowd control and IED exposures, he said. Employees at RTD will likely manufacture one of three components of the Wolverine and also assemble the finished product, Ramsey said. Henes estimated 30 to 40 other businesses, ranging from steel companies to electronics firms, will be able to assist.

“This is just the beginning,” said Scott Fleming, president and CEO of The Enterprise Group, the county’s economic-development agency.

State Sen. Mark Schauer and State Rep. Martin Griffin have been involved in several meetings with company officials to help lay the groundwork.

“Seeing the work come to Jackson is a great thing,” Griffin said.

Schauer said the Wolverine will be a great asset to the military.

“It will save lives and save money,” Schauer said.

Fleming said Pennie Southwell, program director for the Procurement Technical Assistance Center, a service provided by the EG, was also instrumental in working with Henes in securing the federal funds.

“Government contracts are sustaining our economy,” Fleming said.

RTD Quality Manager Stephen Artz said they may begin hiring in three to four months, and have already contacted South Central Michigan Works to help facilitate that.

Ramsey said improvements to the company’s 123,000-square-foot facility will be necessary as it moves toward production and adds jobs. The company employs 27, about half of what it had two years ago.

RTD was started by Ramsey’s father, the late William “Bill” Ramsey, in his garage in 1985.

“I wish he was here to see this,” Ramsey said. “This was his vision.”

About the firm
• What does it do? RTD is a full-service job shop, from machining high-tolerance details to replacement parts and fixtures.

• How many work there? 27

• How did it get started? The late William Ramsey started the company out of his garage in 1985. Now it is located in a 123,000-square-foot facility at 1150 S. Elm St. Ramsey’s sons have run the company since his death in 2005.

• For more information: visit www.rtdtool.com.

Enterprise Group widens focus

Sunday, September 14, 2008
By Chris Gautz
cgautz@citpat.com
768-4926

Quantum. Windmill. Cookie.

Those names that don’t mean anything to anyone outside local economic-development circles represent Jackson County’s efforts to attract hundreds of jobs and millions in investment.

For years, The Enterprise Group focused on retaining jobs in a county that has been hemorrhaging them. Now the agency is broadening its focus to attract new businesses.

Enterprise Group President and CEO Scott Fleming said after he arrived on the job in February, he asked business and community leaders what they wanted.

``What everyone told me was we need new businesses here to inject more dollars into our economy,’’ he said.

To help track that, he presents a scorecard each month to the EG board, which contains a list of the attraction activities he and his staff are engaged in.

The August scorecard contains 12 potential and confidential projects that represent a potential total investment of more than $300,000 and 1,000 jobs. Each project has a code name.

Among the others are Global Solutions, MMC, International and Greenwood.

Fleming said aside from manufacturing and high-tech companies, the EG are also looking to Hollywood.

``Much like the rest of the state, we’re trying to attract some of the movie industry to the area, because of the large tax incentives the state now offers,’’ he said.

Fleming knows that every pitch won’t be successful, but he said you need to juggle 10 to 20 potential projects in hopes that one of them will come through.

``One home run is all we need,’’ he said.

If a large company moves to Jackson, it will need suppliers and those suppliers will need support facilities, he said. This means more jobs in the community.

When he started with the EG, Fleming said he found that Jackson County wasn’t on the Michigan Economic Development Corp.’s radar, because there had been too much infighting and power struggles over the years in the county.

So Fleming met with those in charge, many of whom he has known from past jobs, and said now the state is sending word of projects to him.

``I think he has put Jackson back on the map with the MEDC,’’ said Allan Hooper, economic development operations director for Jackson-based Consumers Energy.

Enterprise Group Chairman Ric Walton, who is pleased with the focus on attracting jobs to the area, said Fleming’s connections have enhanced Jackson’s position.

``We’re not just sitting here waiting for something to come,’’ said Walton, who added that the EG will be even more aggressive as time goes on.

Bringing in potential leads is a necessity, because the percentages for success can be low.

``But if we don’t get up to the plate, we’re not going to get anything,’’ Walton said.

Some of the targets have come from the MEDC and others from Fleming’s connections.

When the MEDC sends a lead, it doesn’t tell local officials what company it is. It only supplies a code name and a brief list of the needs the company would have in terms of infrastructure, energy, acreage and square footage.

This spring, when German automaker Volkswagen was considering Michigan as a site for an assembly plant, the MEDC assigned the project the code name ``Polar Bear.’’

``We didn’t even know Polar Bear was VW,’’ Fleming said.

Part of the reason for doing this is the fear of price gouging if a property owner finds out what is being considered, and is also a way to protect the company.

Amy Torres, economic development director for the EG, said she has been busier since Fleming came on board.

``It is extremely exciting to be involved in all of this,’’ Torres said. ``There’s just so much going on.’’

She said the focus on attracting new employers to the county has almost been like adding a new division to the organization.

The task of retaining and growing jobs at companies already here remains a priority.

They are learning how to balance the two, which is made easier by the new systems Fleming has brought with him to help manage all of the project leads coming in, she said.

And Fleming is using his network of consultants to spread the word about Jackson as a desirable place to do business.

``That’s really paying dividends now,’’ Hooper said.

Horse park still possible in county

Saturday, August 30, 2008
By Steven Hepker
shepker@citpat.com—768-4923

Jackson County remains in the running for a 1,000-acre horse park that would feature trails, an exhibition facility, campgrounds and stalls for 2,000 horses.

``We are in the race for the roses for the horse park,’’ Scott Fleming, president and CEO for The Enterprise Group, said Friday.

Officials said a potential site for a horse park in Jackson County would be Springport Township. Marshall, Albion and Grand Rapids are among other top contenders, officials said.

Elected officials and representatives of farm, economic development and community groups will hear a report Wednesday on a feasibility study. The public is invited to the meeting from 6 to 8 p.m. in the Jackson County Commission chambers in the County Tower Building, 120 W. Michigan Ave.

``This is still in the study stage, but we want to inform the community and build some momentum and enthusiasm,’’ Fleming said.

The Michigan Equine Partnership has studied the feasibility of building a horse park capable of generating a regional market and attracting national and state horse shows.

The group received a $60,000 study grant from the U.S. Department of Agriculture in early 2007.

Larry Julian, a spokesman for the Michigan Equine Partnership, said the study has determined a horse park is feasible in southern Michigan.

``The part that is not done is how if would be financed, whether it would be private or a state partnership, and where it would be,’’ he said Friday.

Fleming and Julian said the horse park would be modeled after the Kentucky Horse Park, which is a major tourist spot and horse show venue.

Fleming said a horse park would hire up to 20 full-time employees and generate $6.4 million in a typical three-day horse show.

Washtenaw, Oakland and Jackson counties have the top horse populations in Michigan.

Julian said leaders in Jackson and at Albion College, which has an equestrian center, have been especially enthusiastic about the prospect of hosting a horse park.

IMPORTANT BRIEFING - HORSE PARK FEASIBILITY STUDY

In early 2007 the Michigan Equine Partnership (MEP) commissioned Public Sector Consultants to conduct a demand and feasibility study to determine whether support exists in Michigan for the development of an equine park.  The results of that study are scheduled to be released on September 9, 2008.  Jackson is one of the top recommended possible sites.

An information briefing will be held for all local, state and federal elected officials and staffs, as well as the directors of The Enterprise Group of Jackson, Greater Jackson Chamber of Commerce, Jackson County Convention and Visitors Bureau, Jackson County Agriculture Council and Jackson Citizens for Economic Growth.  This meeting will be held in the County Commission Chambers from 6:00 - 8:00 p.m. on Wednesday, September 3, 2008.

General information will be shared, including potential economic impact and tourism growth, as well as job creation.  The feasibility study suggests that up to $6.4 million in economic impact can be realized with a typical two-day event.  The community needs to coalesce a wide group of supporters for having this facility in Jackson County, so feel free to bring along anyone who might be interested.

The meeting will be open to the public and anyone with an interest in supporting Jackson as the best location for such a facility is welcome to attend.

We will reserve some seats for local elected officials, so please RSVP to The Greater Jackson Chamber of Commerce at 517-782-8221 if you plan to attend.

County grant spells progress for the EG

Posted by Jackson Citizen Patriot
August 26, 2008 07:19AM
Categories: Editorial

If we were Scott Fleming, executive director of the Enterprise Group, we would not spend that $100,000 semi-pledge from Jackson County officials quite yet. But it sure feels good to know the tide has turned, that the EG has regained the respect of county officials.

Last week Randy Treacher, county administrator and an EG Board member, said the county might increase its $80,000 annual contribution to the EG by $100,000 next month. He explained, “In years past there was a dissatisfaction with the EG ... and with the direction the EG was going. That has quickly changed with the direction of Scott, and they do need some financial assistance.”

That “might-give” depends on a vote by Jackson County commissioners at their Sept. 23 meeting. There are other pressing budget concerns, including tentative plans to cut about 33 positions from the county payroll as a budget-balancing measure. However, Treacher reasons that there is room in the budget for a one-time $100,000 contribution. His reasons make good sense.

Local government and the EG have long had a difficult relationship. As the county’s premiere economic-development agency, the EG serves interests of various stakeholders. It is a private-sector organization with voluntary links to some local governments that contribute funding for the benefits of development. Those local governments usually have a seat on the EG board, but from time to time may be pleased — or not — with the leadership and direction of the EG.

County officials had come to the point several years ago where they let their contributions spell out their unhappiness. Specifically, they cut their normal $100,000 annual contributions to $80,000. Treacher said the proposed $100,000 one-time contribution would bring this year’s total to $180,000 and also make whole the EG for cuts in the county’s annual contributions over the past five years. He also hopes to get greater representation by the county on the EG Board.

We’ll add our two cents’ worth to the matter by encouraging commissioners to follow through on this pledge. Even with the county’s long-term budget concerns, it makes sense to invest in the EG’s valuable work on behalf of the county and its residents. The county’s contribution will be a timely boost, since the EG is on the threshhold of a new capital campaign.

But if the contribution makes good sense for the county, the same applies to the city of Jackson. City officials have, over the years, had their own issues with the EG and have chosen a more independent course, with more tightly defined economic-development goals through city staff. The city contributes to the EG, but only $10,000 annually — far less than the county or Blackman Township.

The EG’s efforts benefit the city, whether directly or indirectly. Therefore city officials — both elected and appointed — should revisit the city’s contribution level. We can’t say what it should be, only that $10,000 is an under-investment for a city that is the centerpiece of a community desperately in need of economic development.

— Jackson Citizen Patriot

Enterprise Group markets Kaneka facility

Posted by Chris Gautz
Citizen Patriot
August 24, 2008 00:08AM
Categories: Business

The Enterprise Group is taking a bold approach to ensure a once-promising facility now set to close finds a new inhabitant before the current one turns out the light

Scott Fleming, president and CEO of The Enterprise Group, the county’s economic-development agency, said Kaneka Texas Corp. has agreed to let the agency market the property while a dwindling number of employees finish up their work.

“It’s smart,” said Jerry Wood, a business consultant with GGW & Associates in Jackson. “That’s an aggressive idea and I applaud it. I think they’re doing the right thing.”

Kaneka opened in Blackman Township in 2000.

The company made energy absorbers, the foam between the plastic and metal bumper pieces, for the automotive industry.

But the business struggled due to the overall decline in the industry and the fact that the cost of the principal ingredient in the energy absorbers — petroleum —is soaring.

Kaneka had been unable to make a profit on its automobile bumper business, which was to be transferred to Createc Corp., based in Indianapolis.

Last year, the parent company wrote off the building, machinery, equipment and other assets of the Blackman Township plant as a loss based on grim future projections. The company had been injecting capital into the plant to keep it open, but losses were mounting.

In April, the Japanese-based company employed about 50 and now is down to about 25.

Fleming said he and Blackman Township Supervisor Ray Snell met with company officials earlier this year and got them to agree to let the Enterprise Group become the listing agent for the property before it closed for good.

“Once they shut it down, it makes it more difficult to start it back up,” he said.

Fleming has a real estate license and has prior experience selling commercial properties.

Fleming said he was given about a 90-day window by the company, which means he must try to sell the property by Oct. 1.

“Hopefully I can do it before then,” he said.

He has shown five or six clients the building since then, he said, and several are seriously considering it.

“We have a verbal offer in the works,” Fleming said.

There is about $16 million worth of machinery and personal property inside that comes with the 140,000-square-foot building and the property, which is 92 acres.

The best-case scenario, Fleming said, is to get a company in the injection molding business to come into the building and be ready to start up right away.

“I think that’s a bonus,” Wood said. “It’s like turning over a house fully furnished.”

The asking price is $4 million. “I see it as a bargain,” Fleming said.

What also should make the property attractive is that it is only 8 years old and is right off I-94, at 4335 County Farm Road.

“If that one right buyer is there, it could go quick,” Wood said. “If not, you could have a building sitting there for a long time.”

Snell said the Enterprise Group will not collect a commission if it sells the property. Instead, the money will either be used as an incentive to a buyer or as a fee to another real estate agent working with a prospective buyer.

“It’s one of the best buildings on the market in Jackson County,” Snell said. “This was just a great way to work with the company. Kaneka really feels bad about what is going on. The economy really took a toll on them. They’ve been very cooperative in working with us.”

Fleming said there are also several smaller local companies that have expressed interest in the building because they would be able to expand operations, Fleming said. They would not need the equipment inside and would likely either sell it or scrap it.

“I think he’s a got a great price and a great property, the question is, can he match it up with the right buyer?” Wood said.

County mulls $100K for EG

Friday, August 15, 2008
By Chris Gautz
cgautz@citpat.com
—768-4926

Jackson County might shell out an additional $100,000 to the county’s economic-development agency next month.

County officials have been more than pleased with Scott Fleming’s job performance since he took over as chief of the Enterprise Group in February.

``In years past there was a dissatisfaction with the EG. There was clearly no happiness with the direction the EG was going,’’ said Randy Treacher, county administrator and Enterprise Group board member. ``That has quickly changed with the direction of Scott, and they do need some financial assistance.’’

The county needs cash, too, with revenues continuing to fall as operating costs rise. Last week, commissioners announced they were looking at plans that could lead to the elimination of the equivalent of 331/2 positions by the end of 2010.

But Treacher said there is room in the budget this year for the one-time $100,000 donation.

``If one of the county’s goals is economic development and it leads to additional jobs, then frankly it needs to be a priority of ours,’’ he said.

The figure represents the total amount the county had cut from its annual donation to the Enterprise Group over the past five years.

The county has given the Enterprise Group $80,000 each year, so the additional $100,000 this year would bring this year’s total to $180,000. Treacher said as part of the proposal he will ask commissioners to increase the annual donation back to its previous level of $100,000.

In exchange for the donation, the county will ask for another seat on the Enterprise Group board. Treacher is the only member from the county administration on the board.

``If the county is going to be contributing the kind of money they are, they want a seat,’’ Treacher said.

Enterprise Group Board Chairman Ric Walton said the donation would coincide with the kickoff of the organization’s capital campaign.

``We’re very appreciative of their wanting to partner with us and financially help us out,’’ Walton said.

The Enterprise Group is hoping to raise $2 million in the next three years to finance its operations.

It has been five years since the last campaign, Walton said.

``It’s time to go out and raise money again,’’ he said.

Unlike a chamber of commerce, which typically generates revenue from fees it charges its members, the Enterprise Group subsists on donations from individuals, business and governmental entities, and grants and fees for services it provides.

Fleming—who took over for Steve Czarnecki, who led the organization since its inception a decade ago—said the group will be stepping up its marketing and attraction efforts.

Toward the end of Czarnecki’s tenure, county commissioners grew increasingly more vocal in their displeasure with his leadership, saying he wasn’t doing enough to attract businesses to the area.

When Fleming took over, he had to ask for a marketing budget, because the Enterprise Group didn’t have brochures touting the area’s attractions and potential.

``It costs more to attract businesses than it does to retain them,’’ Fleming said.

The county’s funding proposal will come up for a vote at the Sept. 23 county board meeting, Treacher said.

Great Lakes Industry to expand

Posted by Keith Roberts
Jackson Citizen Patriot
August 01, 2008 09:25AM

Great Lakes Industry is planning to create 15 jobs and buy nearly $2.5 million in new machinery and equipment.

Great Lakes President Larry Schultz told Blackman Township Board members Thursday the company is making the investment so it can further diversify and reach new markets. Such an approach is “the way manufacturers can survive and thrive” in the global economy, Schultz said.

Great Lakes Industry, 1927 Wildwood Ave., is an engineering and manufacturing company with 60 employees. It specializes in engineered belt drive systems, gears, sprockets, pulleys and drive train assemblies. The new equipment will allow the company to make more precise products, Schultz said.

The company is seeking a tax abatement on the investment that would save it $215,544 in property taxes over 12 years. The township board will vote on the request at its regular meeting at 7 p.m. Wednesday at the Blackman Township Hall, 1990 W. Parnall Road.

At a work session Thursday, township Clerk Mike Thomas said he was all for helping Great Lakes create jobs. “We’ll take all we can get,” Thomas said.

The board also has a new procedure for reviewing companies that receive tax abatements. Amy Torres, director of economic development for The Enterprise Group of Jackson, will meet with company officials every two years to make sure they have created the jobs they said they would create.

Torres recently completed her first review and reported the results to the township board. The company, which is identified not by name but by a number to ensure confidentiality, said it was going to create 10 jobs in two years and did so.

“This is all we’ve been asking for,” Thomas said.

“You’ve got it,” Torres said.

Torres said she also discussed the review procedure with Great Lakes officials and they shared several ideas for improving it. She also commended the company for its expansion plans.

“Fifteen jobs is a lot of jobs in this era,” Torres said.

Jackson, four others fight for 3 SmartZones

Sunday, July 27, 2008
By Chris Gautz
cgautz@citpat.com—768-4926

After Jackson was denied a SmartZone designation in 2001, community leaders successfully lobbied state officials to create more, then applied again in June.

The idea was to show lawmakers and the Michigan Economic Development Corp. that Jackson was serious and had a plan that could flourish if the designation was awarded.

And since Jackson’s efforts led to the creation of three more SmartZone’s across the state, and the time frame to complete the application was short, community leaders here felt confident 2008 was their year.

But four other communities acted quickly, and are now competing with Jackson for as many as three SmartZone designations.

Macomb County, Wayne County, Saginaw and Sault Ste. Marie all submitted applications before the July 1 deadline, according to documents obtained by the Citizen Patriot under the Michigan Freedom of Information Act.

MEDC spokeswoman Bridget Beckman said a decision on awarding the designations will be made by an internal MEDC committee.

``It’s still being discussed,’’ she said.

Beckman said the winners will likely be announced before Nov. 1.

Local leaders said they are surprised that so many communities applied, but remain confident in Jackson’s chances.

``I don’t think anyone can doubt the community support and interest in it. We’re really sincere about getting this done,’’ Blackman Township Supervisor Ray Snell said. ``I’m hopeful we’ll receive one of the three.’’

SmartZones allow local governments to capture taxes generated by new businesses and use the money to provide infrastructure—such as roads, utilities and fiber optics. That infrastructure could help draw potential developers. There are 12 SmartZones in the state.

The Enterprise Group, the county’s economic-development agency, filed the SmartZone application in June on behalf of Blackman Township.

Last year, the community began to rally behind the effort and pushed lawmakers to create legislation creating three more SmartZones. In April, Gov. Jennifer Granholm signed the bill into law that gave Jackson a chance. As she did so, she was surrounded in her ceremonial office by more than 30 members of the Jackson Citizens for Economic Growth.

That grassroots organization—created a little more than a year ago—has pushed hard for the SmartZone, one of its top goals.

``I’m sure if we didn’t get it, JCEG would be at our legislators’ doors the next day asking for three more SmartZones,’’ said Scott Fleming, President and CEO of The Enterprise Group.

``And I would support that. There is a tenacity for this. Jackson won’t stop.’’

All five of the applications contain letters and signatures of support from area businesses, governmental and educational leaders. Jackson’s application had the most, with 35 people signing their names in support.

The MEDC initially declined to disclose which communities submitted applications until a decision was made, but did so after the Citizen Patriot FOIA request.

Jackson County’s proposed SmartZone in Blackman Township is 1,100 acres of mostly county-owned property and privately owned farmland cobbled together.

Its mission is to attract, retain and expand businesses focused on alternative energy, life sciences and advanced manufacturing. It will partner with Spring Arbor University, Baker College and Jackson Community College.

One thing that should help improve Jackson’s chances is that Blackman Township already has a Local Development Financing Authority established.

You can’t have a SmartZone without an LDFA, so if the other communities who are competing were to win a designation, they would have to establish an LDFA.

Snell said he thinks the fact that Jackson pushed for the SmartZone legislation could help assure that it wins one of the three designations.

``At the end of the day I think it will be a factor,’’ he said.

If Jackson is not awarded the designation, plans will still proceed with growing the LDFA and attempting to bring in new businesses, Snell said.

The SmartZone application will be used as a business plan for the county, he said.

Also, Fleming said his organization has a tentative agreement ready to be signed naming Jackson as a satellite SmartZone of the Wayne County Pinnacle Aeropark SmartZone. This could go forward regardless of whether Jackson receives its own SmartZone.

``That was guaranteed,’’ Fleming said.

Snell said people in Jackson shouldn’t be discouraged that there are more competing for the designation than they had anticipated

``It makes it exciting,’’ Snell said. ``Who is going to be crowned the winner? I think Jackson deserves one of those crowns.’’

Fleming: Jackson faces tough competition

Sunday, July 27, 2008
By Chris Gautz
cgautz@citpat.com—768-4926

Scott Fleming says Jackson has some tough competition in its quest to be designated as a SmartZone.

Four other communities—Macomb County, Wayne County, Saginaw and Sault Ste. Marie—all submitted SmartZone applications before the July 1 deadline, according to documents obtained by the Citizen Patriot.

After briefly reviewing the applications Friday, Fleming, President and CEO of The Enterprise Group, the county’s economic-development agency, said Saginaw and Macomb’s stood out as very strong.

``They are all legitimate applications,’’ he said.

The five areas are now competing for as many as three SmartZone designations.

Odail Thorns, director of development for the city of Saginaw, said the Saginaw Valley SmartZone would be a real opportunity to add to their medical industry.

``We want to have ourselves positioned to grow in that area,’’ Thorns said.

Thorns said they do not have an Local Development Financing Authority established, and would work to create one in the city on 400 acres along the Saginaw River.

``It enhances our ability to work with our universities,’’ he said.

He said the idea of the SmartZone and its potential is not well known in the community, but he believes it could be great, and they have already had meetings with investors.

The Macomb Technology Advancement SmartZone would focus on two key areas; defense and advanced manufacturing.

By 2010, it expects to create 12 new companies and employee 129 people. It would be teaming with Oakland University.

A representative from the area could not be reached for comment.

Chip Snider, township manager for the Charter Township of Northville, said they hope a Western Wayne County SmartZone will help attract businesses offering high-paying jobs in the defense and advanced manufacturing sectors.

``We’ve already created three new high-tech automotive businesses in the last year,’’ Snider said.

They do not have an LDFA established, and the SmartZone would be comprised of five, non-contiguous areas in Canton, Plymouth, Northville, and Redford Townships, and the city of Westland.

Snider said the proposed area in Northville township is 200 acres. Schoolcraft College, he said, is purchasing 36 acres in the area to build a police and fire academy.

Snider said they would use the taxes captured to fund infrastructure improvements, including roads, and sewer and water.

The Sault Ste. Marie SmartZone is projected to create a minimum of 230 direct jobs and would partner with Lake Superior State University.

It would focus on the ``design for manufacturing’’ stage to carry a prototype to sufficient detail that will enable mass production, according to its application.

A representative from the area could not be reached for comment.

Machine shop may hire 20

Friday, July 25, 2008
By Chris Gautz
cgautz@citpat.com
768-4926

A small, family-owned manufacturing business is looking to triple its work force by this time next year.

Scott Owen, president of D.W. Machine Inc., said he is planning a $200,000 investment that will nearly double the size of his small machine shop at 2501 Precision St. near Wildwood and Laurence avenues.

The 10 employees at D.W. Machine now do general machining, heat treating and machine building. The 16-year-old company makes components as small as a dime, up to parts that weigh 7,000 pounds, he said.

Within a year, Owen said he plans to hire about 20 people.

The expansion and additional employees are needed because of a new contract Owen secured recently to become the East Coast supplier of Nature’s Comfort wood boilers.

He drove out to visit with representatives from the Wisconsin company, and by the time he got back to his office, there was a purchase order waiting for him in his e-mail.

``He needs them right now,’’ Owen said.

Owen said the initial order is to produce 100 a month.

The outdoor boilers pump heat into a home or business, and Owen said it can create savings on energy bills.

Their popularity is growing, he said. In Michigan, Owen said more wood boilers were purchased last year than in the past 13 years combined.

They are not allowed for use in most cities, but many homes in the country use them, he said.

Owen said he learned of the new business opportunity and began inquiring about the expansion within the past two weeks.

Owen said he has been impressed with how quickly his questions have been answered and how much help he has received from The Enterprise Group, Blackman Township and state Rep. Mike Simpson.

``It’s so quick,’’ he said. ``It’s different from the past.’’

Amy Torres, economic development director for The Enterprise Group, the county’s economic development agency, is set to meet with Owen today about the options available to him, including financing for the project and seeking real and personal property tax abatements from the township.

``He’s excited about this prospect,’’ she said. ``That’s what we want to do is help businesses grow.’’

The company needs a variance from the township’s Zoning Board of Appeals because the addition will increase the percentage of buildings on the property beyond what is allowed by about 10 percent.

If approved, the addition would be completed in November, but Owen said he would hire six to eight new employees before that so they can begin building some of the boilers in the space they have.

His expansion plans include construction of a 2,160-square- foot building between his current 5,500-square-foot machine shop and his pole barn.

Blackman developing site

Tuesday, July 01, 2008
By Chris Gautz
cgautz@citpat.com—768-4926

Regardless of whether the state approves Jackson County’s SmartZone application, Blackman Township is moving forward with development plans to bring jobs to the area.

Blackman Township Supervisor Raymond Snell, who also chairs the township’s Local Development Financing Authority, said the township will be building a road, to be known as Technology Drive, inside an 80-acre site on County Farm Road, adjacent to TAC Manufacturing.

The site, within the 1,100-acre proposed SmartZone along I-94 and M-60, could be home to the SmartZone’s first new tenant.

``We’ll be finalizing the deal this week,’’ Snell said.

The unnamed manufacturing company, which is currently leasing space in the county, plans to build on four acres, he said. It would create a minimum of 10 jobs in five years, according to the SmartZone application.

Snell said the company hopes to be open by the end of the year. He also hopes companies inside the proposed SmartZone boundaries will choose to stay and expand.

Today is the Michigan Economic Development Corp.’s deadline for submitting applications. The MEDC is not releasing how many communities have submitted applications until a decision is made, according to spokeswoman Bridget Beckman.

Scott Fleming, president and CEO of The Enterprise Group, the county’s economic-development agency, delivered the county’s application for the SmartZone to the MEDC on Friday.

SmartZones allow local governments to capture business and school taxes generated by new businesses and use the money to provide infrastructure—such as roads, utilities and fiber optics—to support economic development and job growth.

Fleming said he is proud of the final product and doesn’t think other communities could put together a proposal with so much support between governmental entities and the community.

It contains a signature from a representative of every municipality in the county, members of the private sector and a letter of support from the county’s three higher-education institutions.

``We’re showing that we work together,’’ Fleming said.

The EG was paid $10,000 by the Blackman LDFA to write the 30-page SmartZone proposal, Snell said.

It also contains a detailed financial plan and describes its mission as attracting, retaining and expanding businesses focused on alternative energy, life sciences and advanced manufacturing.

Snell said the LDFA board also plans to allocate another $50,000 to the EG to market the SmartZone area.

Bruce Inosencio, a member of Jackson Citizens for Economic Growth, which helped push for the legislation that allowed three new SmartZones across the state, said he is pleased with the results.

``It will certainly benefit the community in the long run,’’ he said.

Business plan is given to state

Monday, June 30, 2008
By Chris Gautz
cgautz@citpat.com—768-4926

Scott Fleming hand-delivered a high-tech pen Friday morning to officials at the Michigan Economic Development Corp. The computerized file inside the pen contained the blueprint to Jackson County’s economic future, the county’s Smart-Zone application, said Fleming, President and CEO of The Enterprise Group, the county’s economic-development agency.

``This is a business plan for the whole community,’’ he said. Tuesday is the MEDC’s deadline for submitting applications, and Fleming said he believes Jackson may be one of the only communities to submit one. If that’s the case, he said officials might hear soon if the application is granted.

In April, Gov. Jennifer Gran-holm signed legislation that allowed three new SmartZones across the state, which was pushed for by the Jackson Citizens for Economic Growth. SmartZones allow local governments to capture business and school taxes generated by new businesses and use the money to provide infrastructure—such as roads, utilities and fiber optics—to support economic development and job growth.

More than 30 members of JCEG and its Youth Task Force were there to see Granholm sign the bill, and drive home the message that Jackson County wants a Smart-Zone. The SmartZone area is a large portion of Blackman Township’s Local Development Financing Authority, consisting of about 1,100 acres along I-94 and M-60.

The 30-page proposal contains a detailed financial plan and describes its mission as attracting, retaining and expanding businesses focused on alternative energy, life sciences and advanced manufacturing. It also contains a signature from a representative of every municipality in the county, members of the private sector and a letter of support from the county’s three higher education institutions. Ron Griffith, Spring Arbor University’s executive director of corporate and community relations and a JCEG member, said because of that, he thinks Jackson has a good chance of having it approved.

``We feel very confident that what we put together is a sound plan and benefits all aspects of the community,’’ he said. Griffith and Fleming said it was important for all groups in the community to have input on the plan, which made it harder to put together, but all the more worth it.

``It was one of the best efforts and evidence of a collaborative venture of so many entities that I’ve ever seen in all my years in Jackson,’’ Griffith said.

``It will demonstrate to outside investors that we have unity in the community.’’

SmartZone is one step closer

On behalf of the community and the Blackman Township Local Development Finance Authority (LDFA), The Enterprise Group of Jackson, Inc. submitted the Jackson Technology Park Smart Zone (JTPSZ) application to the Michigan Economic Development Corporation in Lansing on June 27. A SmartZone allows a community to capture taxes from an LDFA to create infrastructure improvements to attract high technology companies.

The proposed Jackson SmartZone encompasses a majority of the Blackman LDFA property. The Blackman LDFA, chaired by Raymond Snell, has been positioning itself to incorporate a high technology park over the years by expanding its boundaries and amending plans to place road and utility infrastructure into the 80-acre LDFA-owned property. 

Capitalizing on the area’s best assets, the Smart Zone will serve as the catalyst to launch a technology cluster, targeting the same key industries that the State of Michigan targets. The entire Jackson community is committed and motivated to diversify its current economy, and is ready to embrace and become the home to the critical industries of tomorrow.

We are hopeful the community will receive a Smart Zone designation, said Scott Fleming, President & CEO of The Enterprise Group of Jackson. It would make our community much more attractive to potential new businesses.

The application process was a collaborative effort involving The Enterprise Group of Jackson, Jackson Citizens for Economic Growth, Baker College, Jackson Community College, Spring Arbor University, Greater Jackson Chamber of Commerce, State Representatives Griffin and Simpson, State Senators Richardville and Schauer; and was endorsed by all local units of government.

The Enterprise Group of Jackson, Inc. (EG) was established in 1997 to lead business recruitment and retention in Jackson County. Their goal is to streamline the economic development process. The EG is comprised of Jackson’s leading business organizations: Jackson Area Manufacturers Association, Academy for Manufacturing Careers, Jackson Small Business & Technology Development Center, Procurement Technical Assistance Center of South Central Michigan, Armory Arts Village and the Economic Development Division - former Jackson Alliance for Business Development. For more information, visit The EG’s website at www.enterprisegroup.org.

Production Engineerings expansion plans bring new jobs to Jackson community

JACKSON, MICH.  Production Engineering Inc., a manufacturer of precision machined components for specialty truck and construction equipment axles, has announced plans to relocate to the 440,000-square-foot former Goodyear warehouse in the City of Jackson and invest over $11 million to revamp the building. This move will create and retain 234 jobs, and potentially generate an additional 202 indirect jobs in the Jackson community. 

The Enterprise Group of Jackson, Inc., in partnership with the Michigan Economic Development Corporation, has been working with Production Engineering for the past year to find a location and financial package that meets their growing needs.

We are thrilled that Production Engineering has chosen to continue their position as a valuable asset to the Jackson community, said Scott Fleming, president and CEO of The Enterprise Group of Jackson, Inc.

Production Engineerings refurbishing plans include new electrical service enhancements, compressed air systems, lighting, water system, overhead cranes, offices and manufacturing support facilities.

Based on the MEDCs recommendation, the Michigan Economic Growth Authority approved a state tax credit valued at $3.4 million over 10 years. To support the project, the City of Jackson has proposed a 20-year personal property tax abatement and Renaissance Zone designation for a combined value of over $3.4 million.
The Enterprise Group of Jackson, Inc (EG) was established in 1997 to lead business recruitment and retention in Jackson County, Michigan. The EG is a private/public partnership organized to promote and coordinate economic development initiatives and create wealth within Jackson County. The EG is comprised of Jacksons leading business organizations. Visit The EG Web site at www.enterprisegroup.org

Jackson Area Manufacturers Association and The Academy for Manufacturing Careers Celebrates Certific

The Jackson Area Manufacturers Associations (JAMA) Academy for Manufacturing Careers is proud to announce the graduation of our students who have completed a Certificate Program.  Graduates will be presented their certificates in a special ceremony and reception at 7:00 p.m. on Monday, June 30, 2008 at the Lenawee Economic Development Corporation (5285 West US Hwy 223, Suite A, Adrian, MI 49221- Lower Level of the Greenstone Farm Credit Services Building).

Graduation is a collaborative effort between JAMA, The Academy and South Central Michigan Works!  (SCMW!).  The Graduates include students who have completed 256 hours earning 16 college credits in the Welding Certificate Program, students who have completed 208 hours in the Screw Machine Certificate Program and students who have completed 224 hours earning 14 college credits in the CNC Certificate Program. 

Manufacturers looking to hire skilled workers or anyone interested in learning more about The Academy for Manufacturing Careers are invited to attend the June 30th ceremony.  To attend, please RSVP to Susan Soltis at susan@enterprisegroup.org or by phone at 517-782-8268 x 101.

Founded in 1937, the Jackson Area Manufacturers Association (JAMA) is a not-for-profit association with members throughout South Central Michigan.  Through The Academy for Manufacturing Careers, JAMA offers skilled trades training designed by manufacturers to meet the needs of manufacturers while providing employees and potential employees the skills to be productive, highly qualified workers.  For more information, please contact Annette Norris, The Academy’s Program Director by phone at (517) 782-8268, by fax at (517) 782-0061 or by email at anorris@enterprisegroup.org For information about JAMA you can visit www.jacksonjama.org on the Web.

Artists’ complex is more than half full

Wednesday, June 11, 2008
By Fredricka Paul
fpaul@citpat.com—768-4927

Jane Robinson thinks of herself as a proud mother to the artists who live in the Armory Arts Village.

Since opening in December, 45 of the 62 apartments have been leased and artists are making use of the studio and gallery space, said Robinson, director of the complex located near Cooper and Ganson streets.

Robinson said she hoped that the income-restricted community would be full by now, but was pleased occupancy is above projections that it would be half-filled by now. She expects it will be full before January.

``We are way ahead of schedule, so I am not concerned,’’ she said.

Resident Brandon Irish, 25, a music and art graduate of Hillsdale College, said the studio and gallery space are among the things that attracted him to Armory Arts. He also loves the huge windows that brighten his apartment.

Irish, a sculptor, decorated his apartment with driftwood he has collected from family trips to the Great Lakes. Each piece has a different memory, he said. He even turned one large piece into a pot rack attached to the ceiling of his kitchen.

He hopes to live in Europe someday.

Robinson said there are only a few residents who are not full-time artists. Because of fair-housing laws, the community is open to all who meet the requirements, but its amenities, such as the gallery and studio, appeal primarily to artists.

Painters, graphic designers, poets and musicians are among the artists who live in the complex, she said.

Residents are helping Robinson promote the village by spreading the word on blogs and online forums.

The residents have become part of the Jackson community by having their work displayed around town and teaching classes to area youth. Some of the residents have also started giving private lessons, she said.

Residents are also taking business classes once a week, Robinson said.

LOCAL GOVERNMENTAL UNITS MUST ACT IMMEDIATELY TO RECOVER LOST TAX REVENUE

The Michigan Townships Association announced that Local Tax Capture Authorities Have Until JUNE 15 to Recover Lost Tax Revenue

Legislation that allows local tax capture authorities to receive compensation for revenues that were lost due to the exemption of certain personal property from taxation was signed into law on Thursday, creating Public Acts 154-157 of 2008. Last Fall, the Legislature exempted industrial personal property from both the 6 mill State Education Tax and the 18 mill school operating tax. They also exempted commercial personal property from 12 mills of the school sperating tax. Generally, this impacted school operating revenue. However, in certain situations, those revenues are captured for economic development programs such as Downtown Development Authorities (DDA), Tax Increment Finance Authorities (TIFA), Local Development Finance Authorities (LDFA) and Brownfield Redevelopment Authorities (BRA). The Department of Treasury has created an application form--4650 Request for State Reimbursement of Tax Increment Revenue Decreases--for local tax capture authorities to seek reimbursement for revenue loss caused by the change in the tax law.  DDAs, TIFAs, LDFAs and Brownfield Authorities which capture school taxes have until JUNE 15 to file the form seeking approval for compensation for this year’s revenue loss.  The new law requires pre-approval by the state before locals can be compensated. All applications must be filed online.  The form can be found at http://www.michigan.gov/treasury/0,1607,7-121-1751---,00.html.

Helpful links:
www.michigan.gov/treasury
www.michigantownships.org

Pharmaceutical support firm already planning expansion

Tuesday, May 20, 2008
By Keith Roberts
kroberts@citpat.com—768-4922

At most ribbon-cutting ceremonies for new companies, officials say how happy they are to be in business.

Dan Ross, president of TransPharm Preclinical Solutions, said it’s been exhilarating to start his own business and he’s excited about the prospects of making money. But his focus isn’t on opening the business. It’s on growing it.

After Monday’s ribbon-cutting ceremony for the company’s 6,200-square-foot facility in Napoleon Township, Ross said he plans to lease space to other companies for use during off hours, add more office space for his employees and expand the facility for other companies interested in moving there.

TransPharm Preclinical Solutions opened in mid-April at 7190 S. Brooklyn Road and has five employees. All of them, including Ross, are former employees of Pfizer in Ann Arbor.

Ross said he learned of Pfizer’s closing in January 2007, and unlike some of his colleagues there who considered taking jobs with other companies, he was determined to start his own business.

So by the time he left Pfizer in July, he was well on his way to starting TransPharm.

``I think the advantage for me was this was Plan A from the beginning,’’ Ross said.

TransPharm, whose motto is ``Working with us is contagious,’’ does infectious-disease studies for pharmaceutical companies.

About 70 people attended the ceremony Monday, including numerous state and local representatives and leaders of the Jackson Citizens for Economic Growth and the Brooklyn, Napoleon and Greater Jackson chambers of commerce.

State Sen. Mark Schauer, D-Battle Creek, who helped TransPharm get a $400,000 loan from a special fund within the Michigan Economic Development Corp.’s 21st Century Jobs Fund, said the turnout showed how much the community cares about jobs in times like these.

``This is not only a success story. It’s a signal to folks in the community and from outside the community this is fertile ground for entrepreneurial activity and high-tech job creation,’’ Schauer said.

Valerie Hoag, director of the 21st Century Jobs Fund, said she was glad to help TransPharm.

``I think it’s great for Jackson,’’ Hoag said. ``I hope they grow fast and create a lot of jobs.’’

Ross plans to seek another loan to help pay for the expansion.

Hoag said she couldn’t say what TransPharm’s chance of getting it is, but judging from what she already knows about the company, its application should be competitive.

Tom Grace, director of Jackson Citizens for Economic Growth, said TransPharm might be small now, but it has a lot of potential to grow and help bring other companies here to grow with it.

``Each little company is going to create its own little satellite,’’ Grace said. ``I think this is only the beginning.’’

City has a say in effort to keep company in county

Monday, April 21, 2008

By Fredricka Paul
fpaul@citpat.com—768-4927

Keeping Production Engineering in the county is now in the hands of the Jackson City Council.

The city and Blackman Township are in negotiations about a proposed revenue-sharing agreement that would allow 15 acres—planned for Production Engineering’s new plant—to be designated as a Renaissance Zone and qualify for a tax abatement.

City officials hope to meet with township officials soon to discuss the package.

``For the most part we are pretty comfortable with it,’’ Councilman Andrew Frounfelker said.

Production Engineering, 2330 Brooklyn Road in Summit Township, has outgrown its plant and has said it may move to northern Indiana. It employs 130.

The township board Thursday approved an agreement in concept that would help keep the company here.

The next step involves getting approval from the City Council for the Renaissance Zone, and getting the Michigan Economic Development Corp. to approve a tax incentive package.

If the deal goes through, Production Engineering would buy the 15 acres from the Blackman Township Local Development Finance Authority for $100,000. The company would invest $12.75 million in a new plant and equipment. It would add 25 workers the first year and 15 workers a year for several more years.

There is legislation in place that allows Jackson five Renaissance Zones; one would be used in Blackman for the project, City Manager William Ross said.

Councilman John Polaczyk said it would be ideal for Production Engineering to utilize brownfield space within the city. However, he would be happy to see the company stay within the county.

``We need to do everything we can to keep them here,’’ Polaczyk said.

Tax break eyed to keep plant

Tuesday, April 15, 2008
By Keith Roberts
kroberts@citpat.com—768-4922

Production Engineering has outgrown its Summit Township plant and could move to Indiana.

But Blackman Township and Jackson officials are considering an agreement to give the company a tax break to keep the plant—and its 300 jobs—here.

Production Engineering’s 65,000-square-foot plant at 2330 Brooklyn Road was built in 1982, expanded in 1989 and 1994, and can’t be expanded any more, said Jim Jansen, president and co-owner of the company.

``We have to look at our best viable options,’’ Jansen said Monday. ``We have to find or build a larger facility.’’

Jansen said the company is looking at an existing building in northern Indiana but would rather build a new, 100,000-square-foot building on 15 acres on County Farm Road owned by the Blackman Township Local Development Finance Authority, a move proposed by the Michigan Economic Development Corp. The Blackman land is next to TAC Manufacturing.

Production Engineering, a family-owned business started in 1974, makes precision-machined parts—primarily drive train and steering components for heavy trucks, construction equipment and materials-handling industries.

The company has about 130 employees and expects to add 15 to 20 jobs per year if it can expand. ``We do expect continued growth,’’ Jansen said.

The Blackman Township Board has called a special meeting for 6 p.m. Thursday to discuss an agreement with the Jackson City Council to facilitate the move.

Jansen said he is optimistic the township board will approve the agreement.

``You never know the results of the vote, but I think it’s in the best interest of Jackson County and the best interest of Production Engineering if we have a positive vote,’’ he said.

Blackman Township Supervisor Raymond Snell was cautious but said the board is always looking to do what it can to promote economic development.

``It’s easier to keep what you have than try to recruit new (businesses),’’ Snell said. ``That’s what the board is considering.’’

Snell said even though the property is in the township, only the city can designate it as a Renaissance Zone and make it eligible for property tax abatement for up to 20 years, so the township needs the City Council’s help.

``This all depends on everything working together,’’ Snell said.

Under the agreement, the township would transfer jurisdiction of the property to the city for tax purposes, but the city would have limited authority over it.

Snell said he didn’t have an estimate of the property tax savings for the company, but it would be substantial. Jansen said he didn’t have an estimate either and the tax savings aren’t as important as having room to grow.

If the township approves the agreement, the city would consider it. City Manager William Ross said the company has roots in the community and no one wants it to leave because it doesn’t have room to grow.

``Certainly in today’s economic times you don’t want to be losing those jobs in the community if you can help it,’’ Ross said.

But Ross said while he has discussed the agreement with Snell, City Council members haven’t had a chance to discuss it with their counterparts on the township board.

``There needs to be some discussion of issues so this can move forward,’’ Ross said.

Summit Township Supervisor James Dunn said he doesn’t want to lose Production Engineering, but the company looked for other locations in Summit Township and didn’t find any, and he would much rather see it go to Blackman Township than Indiana.

``We need to make sure we are supportive of businesses that want to be in the Jackson area whether it’s Summit Township or not,’’ Dunn said.

County, city awarded a combined $1.4 million to clean up brownfields

Wednesday, April 09, 2008
By Kristin Longley
klongley@citpat.com—768-4917

The county and city of Jackson have won a combined $1.4 million in grants from the federal government to deal with potentially hazardous sites that could be redeveloped, officials announced Tuesday.

The U.S. Environmental Protection Agency awarded the Jackson Brownfield Redevelopment Authority $1 million for cleanup and the county Brownfield Redevelopment Authority two $200,000 grants—one for hazardous substance testing and one for petroleum testing.

``This is a big deal for the city and county,’’ said Deborah Stuart, the city’s economic development project manager. ``There’s a lot of money from the federal government being funneled into Jackson County.’’

When manufacturing companies leave an area, they often leave potentially hazardous substances lurking beneath vacant buildings that were once thriving industrial sites. Cleaning up the leftovers is expensive, but the grants help attract developers.

Brownfield programs such as the city’s and county’s allow developers to assess and clean up those properties, known as brownfields. The goal is to sustainably reuse the old sites and minimize neighborhood blight.

The city brownfield authority would like to focus its grant funds along the Grand River and at its former manufacturing sites, Stuart said.

There were 60 applicants nationwide for the cleanup funds, and the city was one of 12 that was awarded the grants.

The county authority is focusing on the Wildwood Avenue corridor where the former Plastigage factory and TRW Automotive sites were located, and at the former Michigan Industrial Holdings Inc. site on Leroy Street, said Amy Torres, executive director.

The grant application said widespread groundwater problems exist near the former TRW plant and near the former landfills on airport property.

The brownfield authorities plan to promote all those sites—along with the new cleanup and assessment grants—at the National Brownfields Conference in May in Detroit with the hope that a developer will take interest, she said.

The grant money is crucial to Jackson County’s economic development because of its rich automotive and industrial history, Torres said. There are more than 100 brownfield properties in the area.

``This is a great economic tool for us,’’ she said. ``We’re really lucky to have access to these funds.’’

EG’s work is praised

Tuesday, April 08, 2008
By Kristin Longley
klongley@citpat.com—768-4917

One year ago this week, Jackson County commissioners slammed The Enterprise Group during its biannual progress report, calling the economic development agency disconnected and slow-moving.

This spring’s report was a far cry from that scene, from the information presented—Chinese business representatives were to be in town today—to the man in the hot seat.

Instead of offering criticism, commissioners listened quietly Monday as new Enterprise Group CEO Scott Fleming described his tactics for retaining businesses, training the local work force and attracting new companies to Jackson County.

Lending credibility to his plans, Fleming said The Enterprise Group was to meet with the Chinese officials to discuss local opportunities for them. The meeting was to take place this morning at Bella Notte Ristorante, he said.

Local business owners from a variety of fields will meet with the Chinese. Businesspeople from the two countries will get to know each other and give them a chance to possibly locate their businesses in the Jackson area.

Chinese representatives from six or more businesses will be given gifts from The Enterprise Group and a Michigan-shaped basket filled with products made in Jackson, courtesy of the Greater Jackson Chamber of Commerce and the Jackson County Convention and Visitors Bureau.

Fleming also said he is talking with a technology firm from out West about local development. He referred to the company using the code name ``Global Solutions’’ to protect its anonymity.

Along with Enterprise Group Economic Development Director Amy Torres, Fleming announced the agency’s new Web site, www.enterprisegroup.org, which also can be accessed from www.selectjackson.com.

Their report to commissioners came in the form of an ``Economic Development Scorecard’’ that Fleming pledged to deliver periodically. Categories include business-attraction activity, business retention calls and events and seminars. Future categories are planned for businesses that are threatening to leave, of which there are a few, and businesses that are growing and asking for assistance, he said.

``There’s more accountability going on at the EG than there was before,’’ Fleming said. ``There are other projects we’re looking at for increasing the credibility of The Enterprise Group.’’

This time last year, The Enterprise Group’s then-CEO Steve Czarnecki contended that luring businesses away from other counties was unethical and basically ``stealing.’’ Instead, Czarnecki, who is now retired, said he preferred to let other companies know that Jackson County was ``open for business,’’ which was unacceptable to some commissioners.

The Enterprise Group’s agreement with the county says it will ``market and sell Jackson County to companies outside the county and structure deals to bring them to the county.’’

Commissioners praised Fleming and Torres for their approach.

``This is the most impressive and optimistic presentation The Enterprise Group has made in the years I’ve been a county commissioner,’’ Commissioner Philip Duckham said.

Commissioner Mike Brown added: ``It is so good to hear you’re going to use money to market Jackson.’’

-- Staff writer Chris Gautz contributed to this story.

Real World Fixes for Small Manufacturers

Through the Jackson Area Manufacturers Association (JAMA), The Michigan Manufacturing Technology Center (MMTC), an Michigan Economic Development Corporation (MEDC) partner, brings leading-edge solutions to small manufacturers that typically are available only to much larger scale enterprises. For Rives Manufacturing in Rives Junction, MMTC training helped the company’s 50 employees adopt Lean Manufacturing practices that have cut lead times by 66%, to eight days, resolved customer quality issues and shown initial savings of $20,000. “MMTC’s training was very realistic,” said Becki Job, a quality engineer and MMTC-trained Lean Champion. “Unlike other seminar, the training took very little effort to apply to real life issues on the job.”

Trans Pharm Settling Into Jackson

Trans Pharm received the first 200,000 draw from the state a couple weeks ago.  All of the lab equipment is being moved back into the lab and yesterday their first hire started. The second hire will be here Feb. 4th and the entire company will be here for a photo shoot for our website and brochures. Trans Pharm is the first life science company in Jackson County.  Today is the 1 year anniversary of the announcement of the Ann Arbor Pfizer facility.  On paper we are officially open today, but we are a couple of weeks away from running in house validation experiments.

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