Welcome to the Business Journal Archives
Search for articles below, or continue to the all new BusinessJournalDaily.com now.
Search
Pa. Governor Brings $12 Million for Mercer County Projects
By Hal JohnsonSHARON, Pa. -- The mayor of Mercer County's largest city, David Ryan, quipped he hopes Gov. Ed Rendell comes back to town with more good news. For the governor, it was all in a day's political work as he stopped in Sharon and five other western Pennsylvania cities Saturday to announce nearly $30 million in economic development loans and grants.Rendell told an audience of 80 gathered at Winner Steel that he was making good on a campaign promise to invest in mid-size communities. The governor announced $12 million in funding for Mercer County projects with the largest amount -- $10 million from the state's Redevelopment Assistance Capital Program -- earmarked to expand production at Winner Steel and complete the renovation of Westinghouse Electric Transformer Division's former manufacturing facility in Sharon. The one-million-square-foot building houses Winner Steel and its 230 employees. The next phase of its redevelopment is designed to secure more manufacturing tenants, the governor said."Back in 2001, I said [to local Democrats], "If you help me get elected, I can bring mid-size communities back to vitality," Rendell reminded his audience. The $10 million economic development grant awarded Winner Steel and the Westinghouse project marks a turning point after two decades of idled industrial space, the governor continued. "This is turning it full circle to make it a success," Rendell remarked. Winner Steel, a steel-coil galvanizing facility, obtained the grant through the Sharon City Industrial Development Authority. Funds will be used to equip a third production line that begins operations next month. The expansion will bring 100 new jobs to Winner Steel, said Jay Kremm, Winner Steel director of engineering.The nonprofit Valley Economic Development Corp. will oversee use of the funds earmarked for the renovation and environmental cleanup of 850,000 square feet of the former Westinghouse plant, said Steven Koller, senior vice president of Winner International. The VSEDC will lease the one million square feet to Winner Steel and to small industrial tenants. James E. Winner Jr., chairman of Winner Steel, recalled growing up on a farm, serving in the Korean Conflict, and returning to spend two years in a business college before working at Westinghouse Electric Transformer Division. In those days, he said, workers filled their production quotas and called it a day. Today, with technology and properly motivated workers, Winner Steel can continue grow, he said. Last month Winner Steel set a production record just shy of 51,000 tons, he noted. When the third line reaches full production, he said, the company will exceed 600,000 tons of galvanized steel a year. Winner advised the governor to concentrate the state's economic development efforts on homegrown industries, rather than inducing oversee companies to locate in Pennsylvania.Four yearsago, Pennsylvania ranked47th of the 50 states in job growth, the governor noted. "After 45 months of job losses, we have just had three months of job growth," said Dennis Yablonski, secretary of the Pennsylvania Department of Community and Economic Development.Yablonski announced a $340,000 aid package in grants, low-interest loans, and tax breaks for Technical Precision Inc. of Hadley, Pa., a tool-and-tie maker for the powder-metals industry. Greg Carone, company president, said the financial help will subsidize a 5,000-square foot plant expansion and the installation of new production equipment. Technical Precision will retain 23 jobs and create 30 more, he said.State Sen. Robert D. Robbins, a Republican from Greenville, said Rendell, a Democrat, is building on the brownfield aid effort begun by late Gov. Robert P. Casey."While we could have waved the white flag, saying no way can we can bring back industry, we will, we do, and we will make it better, and better, and better," Rendell said.The governor also announced a $1.5 million in Capital Redevelopment Assistance grantfor the revitalization of the Shenango Avenue corridor in downtown Sharon, and a $250,000 Elm Street grant to be used to upgrade the West Hill residential area of Sharon. The grants are part of a $10 million downtown revitalization project that includes a foot bridge between the Shenango Valley Campus of Penn State and the downtown, decorative street lamps, brick sidewalks, and trees and shrubbery. Mayor Ryan said the project has begun with the demolition of buildings for use as parking lots. A renovation ofSharon Community Library is scheduled to begin this week, he added.The state funding is being matched with $9 million of in-kind services from Penn State, in the midst of an extensive renovation and building program at the Shenango campus.Rendell and Yablonski also visited New Castle Saturday to announce $2.1 million in state financial assistance for four downtown redevelopment projects including creation of a river-walk park along the Neshannock River. READ STORYAlso announced were state loans and grants for the creation of business parks in Warren and in Clarion, Venango and Butler counties. One of the Butler County projects involves a joint effort with Slippery Rock University. "