Butler company adding 50 jobs
By Jeff Jones jeffj@kpcnews.net
Wednesday, October 19, 2011, 1:00am
BUTLER — A Butler industry received a10-year tax abatement on manufacturing equipment worth $5.6 million at Monday’s City Council meeting.
With the equipment, Multimatic Indiana Inc. will bring approximately 50 jobs to Butler as part of up to 200 jobs possible in the new few years, according to general manager Rick Nofziger.
The company, which as recently as late 2009 was considering leaving Butler, has instead chosen to grow in the community.
Multimatic has seen business growth with General Motors.
“It’s a big win for us,” Nofziger said of the GM growth. “We’re excited to go forward with it.”
Currently, the company employs about 85 people and recently added 10 positions. It uses between 30 and 40 percent of its facility at 201 R.E. Jones Rd. When the latest project takes off in 2012, Nofziger expects plant use to approach 60 percent.
“We have a lot of room to grow,” he said.
Of the 50 jobs, 30 are classified as general labor. Multimatic considers another 15 jobs to be skilled labor, and could involve maintenance or shipping and receiving as examples. Another five jobs will be salaried positions and may include engineering, program management or finance.
Equipment is slated to begin arriving around the first of the year, Nofziger said.
Butler’s Economic Development Commission met in September and recommended the abatement.
Ken McCrory, director of the DeKalb County Economic Development Partnership, supported the commission’s action.
“We’re going to keep a company, and more importantly, we’re going to grow that company,” he said.
Mayor Ron Walter reflected on a 2009 meeting with Multimatic officials, who at the time, felt their Butler building was more than they needed and were considering relocating.
“It was either a grow or go situation for them,” Walter said. “I’m pleased that it is a grow situation.”
Councilman Eric Johnson asked if a 10-year abatement was possible on equipment. City attorney Gerald McNerney said laws have changed to permit 10 years. Nofziger said the equipment will be new and should be in use beyond 10 years.
Walter reminded council members the equipment is abated 100 percent for the first year only. Each subsequent year, the company’s taxes will increase.
In other business, the City Council approved appropriating $4,012 from the riverboat fund and $46,412 from the rainy day fund as a local match to acquire tornado sirens. Earlier this year, Butler received a U.S. Department of Agriculture grant that pays 15 percent of the cost.
Questions arose about siren maintenance and who would sound the sirens. Several options for sounding the sirens were discussed.
“It’s something the community has needed for a long time, so we’re going to move forward,” Walter said.