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Battery co could bring 700 jobs to area

German-based Fortu PowerCell needs tax incentives

Updated: Wednesday, 02 Dec 2009, 11:25 PM EST
Published : Wednesday, 02 Dec 2009, 5:01 PM EST

MUSKEGON, Mich. (WOOD) - If it receives tax incentives, German-based company Fortu PowerCell may put its new technology plant in northern Muskegon Township, bringing about 700 jobs to the area and $650 million in investment to the community over the next few years.

Metro Muskegon remains the only West Michigan area with an unemployment rate higher than the state average of 15.1 percent. The area's official rate sits at 15.7 percent for October, down from 16 percent in September.

"This is a project which the state has slated is in the new direction they want to go down in terms of alternative energy, alternative sources and alternative vehicles," said Edward Garner, president and CEO of Muskegon Area First. "So, this fits right in with the type of companies we want to attract here to be the new economy."

This influx of new technology positions could fill the void of key job losses -- such as, most recently, at the Sappi Paper mill.

Several Muskegon County and township entities have been working closely with Fortu PowerCell to make this project a reality. The company makes batteries for electric and hybrid vehicles.

The state legislature is pushing key tax incentives that would pave the way for Fortu PowerCell. The incentives would be spread over a four-year period.

On Wednesday, officials got one step closer to finalizing the deal when a state Senate committee approved moving forward with a $100 million dollar tax incentive. The House already has passed a similar measure.

The Senate is expected to take a final vote Thursday. Then, the issue would go back before the House and the two would have to combine bills for a final version.

If the incentives are approved, officials say Fortu PowerCell could start production in 2012.

Hiring for the first 300 jobs could start in the next year and a half, and the second phase of hiring for 400 jobs would come in future years.

"More than likely, what the company will do is send an initial team over here and hire a few folks over here just to try and get the process started," Garner said.

Some jobs would pay in the range of $15 to $20 dollars an hour. Most positions will be technical, chemical science jobs, officials told 24 Hour News 8.

The company would operate on industrial land located off Whitehall Road that is owned by Bayer CropScience and use 40 of its 400 acres.

Fortu PowerCell and local officials envision a European-style complex where each company could provide support to one another through projects in related fields.

"Our hope is that this is just the beginning," Garner said. "That this would be one of the anchor tenants for this industrial park area."

Gov. Jennifer Granholm has visited the company in Germany. Other lawmakers weighed in, as well, such as Rep. Mary Valentine, D-Norton Shores, who sent out a news release Wednesday offering her support for the project.

The final decision will be made by the Michigan Strategic Fund Board.

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