Growth fund$19 Million Worth of Expansions Speak to Strength of Local Economy
Two West Fargo firms are among five regional companies expanding and making long-term investments which total more than $19 million and will add at least 134 jobs to the region within the next three years.
The recent loan activity marks a busy start for the 2013 year for the Growth Initiative Fund, Inc. (GIF). This recent loan activity reflects the healthy regional business climate. These
investments in fixed long-term assets signal increased employer confidence.
"This is good news for our region. Our economy is strong and companies are expanding." said Jim Gartin, GFMEDC President, "These companies have made a decision to invest in our community and that is very exciting. The GIF is proud to support these companies that are vital to our economic health and vitality."
Companies approved for PACE Loans in 2013 include: K&K Construction and Repair and Diversified Welding, both in West Fargo, Horsch Anderson, Mapleton, Office Sign Company Fargo, and Abbiamo Pasta Company, Casselton.
K & K Construction & Repair is a structural steel manufacturing facility with electrical substation steel as their main product line. The $700,000 project will provide an opportunity for process modernization and efficiencies through the purchase of additional equipment.
Diversified Welding specializes in structural steel fabrication. The $1.86 million project includes the construction of a new 21,500 square foot building as well as additional equipment. Diversified Welding expects to create 21 jobs in the first three years.
Horsch Anderson, an ag manufacturer based in Andover, S.D. is building a new, 110,000 square foot facility in the Mapleton Industrial Park. Horsch Anderson produces and distributes world renowned Horsch-branded products in North America including premium agricultural seeding and tillage products. The $12.5 million expansion will create 82 jobs within the next three years.
Office Sign Company produces high quality office signs, badges, banners and name plates. Their $280,000 investment in additional equipment and expanded office space will allow the company to expand their product offerings and grow their business.
Abbiamo Pasta Company, a new company locating in the Casselton Industrial Park, will produce short goods pasta and package it into meals for retail sale. The $3.7 million project to construct and equip a new 31,000 square foot building will create 31 jobs within the next three years.
The Growth Initiative Fund's portion for the five loans totals $379,000. The GIF partners
with the Bank of North Dakota and a participating local bank allowing primary-sector companies to access low interest financing through the PACE loan program. The Bank of North Dakota's PACE program's goal is to assist North Dakota communities in expanding their economic base. The GIF only provides PACE and Flex PACE loans to primary-sector certified companies.
The mission of the Greater Fargo Moorhead Economic Development Corporation (GFMEDC) is to grow the economy of Cass County, N.D. and Clay County, Minn. by attracting, expanding and retaining primary sector businesses. A primary sector business is one that brings new dollars into a community through the sale of its products and services outside the trade area. A primary sector company is a company which can operate anywhere in the country. The primary sector is the foundation of an economy and the principal driver of community growth and
The GIF is a community revolving loan fund managed by the GFMEDC. It was established in 1993 and capitalized by property taxes from Cass County, the City of Fargo and the City of West Fargo over the period of 1993 - 2001. Those funds continue to be reinvested. The purpose of the GIF is to assist the GFMEDC in achieving its mission of retaining and expanding primary-sector employment.