Nov. 08–Palestine is close to persuading a Minnesota-based trucking company to open a plant here, city officials told the Herald-Press on Tuesday. The company would hire about 30 full-time employees. The city’s deal with Erickson Trucks-n-Parts would call for company incentives of up to $150,000, as well as its commitment to hire local residents first.
Erickson, which is looking for a suitable location in Palestine, will likely move its headquarters from Minnesota to Palestine, Interim Palestine Economic Development Corporation Director Greg Laudadio said.
The PEDC also agreed to provide cash incentives to encourage Erickson to moves its headquarters to Palestine.
The city council last month resolved to permit the PEDC to attempt to attract the trucking company into the city by offering incentives exceeding $10,000, through the Economic Development Incentive Performance Agreement.
Erickson sells pre-owned trucks, trailers, construction equipment, hard-to-find speciality equipment, and medium-to-heavy-duty truck parts. It also provides mechanical service to truck parts.
Erickson is the largest dealer of quality new and used transportation equipment and parts in Minnesota and Wisconsin.
The incentive package stipulates the company, whenever possible, must hire local residents. Laudadio did not know the salary range Erickson would pay its employees.
The PEDC, with council’s approval, has agreed to make a cash incentive grant through a forgivable loan to cover a portion of costs and expenses needed to locate and operate the company’s new plant.
Erickson will receive a cash incentive of $100,000 from the city, after providing the PEDC with a certificate of occupancy. After the company moves it headquarters to Palestine, it will receive another $50,000 when all marketing materials and its website promote Palestine by listing the city as its base of operations.
If Erickson fails to operate its plant, maintain a workforce of at least 30 full-time employees, sells or leases its headquarters, fails to operate the headquarters, the company would lose the cash incentive.
The company has found a site that it won’t disclose while negotiating for the property.
Laudadio expects the city’s deal with Erickson to wrap up by the end of the year, but he did not know when the headquarters and plant would open.
At last month’s city council meeting, council members praised the PEDC for bringing new jobs to the community.
(c)2017 the Palestine Herald-Press (Palestine, Texas)
Visit the Palestine Herald-Press (Palestine, Texas) at www.palestineherald.com
Distributed by Tribune Content Agency, LLC.