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Steel Company Gets $1 million to Build Facility in Youngstown
COLUMBUS, Ohio -- The state has released a $1 million loan to assist the construction of a new facility for a steel service center in Youngstown, officials reported late yesterday.Genmak Steel LLC intends to construct a 74,000 square-foot building on 10 acres at the Ohio Works Industrial Park. The facility will be a steel service center specializing in the manufacturing of carbon-steel sheet and sheared-to-size blanks. Steel blanks are a section of sheet metal that has the same outer dimensions -- such as a car door or hood -- but are not stamped. State Rep. Sylvester Patton (D-Youngstown) and state Sen. Robert Hagan (D-Youngstown) announced the release of the loan Monday afternoon."It is my heartfelt desire to keep Mahoning County residences working," says Patton.The project will create 41 new jobs and retain 14 full-time jobs, he notes. The steel-service blank business has grown in popularity over the past two decades, Patton says. it is estimated that the market potential within a 300-mile radius of Youngstown area is $160 million, excluding customers in the automotive industry, he adds."The potential for job growth at this new site is enormous.Our state and local public/private investment strategies are starting to pay off for the Mahoning Valley and our job market is beginning to grow," Hagan says. The $1 million loan was another incentive in the financial assistance package approved by Youngstown City Council last year. In August, council awarded Genmak a 75% tax abatement on personal and real property over 10 years provided the company invest $7.7 million to construct and operate the facility.In addition, the city approved a $20,000 development grant to assist the project.In return, Genmak promised to bring 32 jobs to the city and create 22 more over a three-year period.Genmak is moving its operations from New Castle, Pa., to Youngstown. Development agencies in western Pennsylvania were in competition for the project. "