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Tuesday, 10 April 2012 20:39

White Motors plans expansion

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White Motors is planning an expansion that will create 10 new jobs.

Tonight city council approved a resolution for a $250,000 Community Development Block Grant application under the Small Business and Entrepreneurial Grant Program.

The city will be the administrator of the grant if it is approved, said Cathy Scott, Halifax County economic development director. The city will not, however, have to put up any matching funds, she said. “There is no city money at all. It comes from the state and private investment.”

Scott told council at its meeting wages for the 10 new jobs would be above the area average.

Securing the grant would mean $1.5 million in private investment for the expansion, Scott said.

She said $25,000 of the money, if approved, would be for administrative costs. The grant application is worded so the car dealership would have to pay back the grant if it does not meet the 10-job threshold. It also puts in other measures to hold the company liable should it not create the 10 jobs.

Scott said the 10 permanent fulltime jobs would have to be created within 30 months of receiving the grant. The dealership, however, has indicated the jobs would likely be created within 18 months.

With Mayor Emery Doughtie and Councilman Greg Lawson absent, Councilwoman Carol Cowen cast the motion to move forward with the resolution and Ernest Bobbitt cast the second.

The project description says the company is planning an expansion of its automotive sales and service facilities on Old Farm Road.

The dealership plans to construct a new service facility and renovate existing buildings on the property to accommodate future growth plans.

The company currently employs 41 people with an average weekly wage of $808.91. “As a result of the expansion project, White’s Auto (and related companies) will retain its existing workforce of 41 employees and create an additional 10 jobs related to sales, technicians and transportation.”

The new jobs should be created by December 31 of next year and it plans to complete the project over the next 18 months in two phases, the new construction first and then the renovation. “The total project, including building construction, building renovations and equipment purchases represents a $1.725 million total investment by the company.”

Mayor Pro-tem Carl Ferebee said council was pleased to help the dealership. “Any time the city can be a part of creating jobs we want to be a part of it.”

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