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LIGONIER — Two Ligonier factories announced plans to add a total of 50 new jobs this week, giving hope to city officials that the economy is starting to recover.
Silgan Plastics and Guardian Automotive Industries both came to the Ligonier City Council meeting Monday, asking for tax abatements for the installation of new industrial equipment that will create jobs.
Silgan Plastics is putting in $5.5 million in equipment, with most of that coming from a plant that was recently closed by the company in Ohio. About 24 new jobs are being created with that expansion, and the possibility exists that more jobs could come to Silgan during the coming year, according to Bob Rose, plant manager.
The company produces more than 1 million plastic containers at its plant on Gerber Street in the city’s industrial park.
Guardian Automotive, which produces glass products for vehicles, recently signed on Volkswagen of America as a new customer, and will be supplying windshields and other glass panels for that company’s plant in Tennessee.
Plant manager Jim Recob said the new line will allow Guardian to hire about 24 people.
The company asked for, and received, a five-year abatement on $1.1 million in new equipment.
Guardian currently has 168 employees. That’s still down quite a bit from its peak of about 300 employees five years ago. But Recob said the possibility also exists at Guardian that more jobs could be added in the coming year.
Ligonier Mayor Patti Fisel complimented both companies. “We appreciate your being proactive and being willing to diversify in order to add more jobs,” she said.
The news from Guardian and Silgan comes on the heel of an announcement earlier this year from Tenneco that it plans to add 98 new jobs in the coming year. The company was given a $93,750 grant from the Ligonier Redevelopment Commission, and Monday night the city council gave its formal approval to that grant.
The Noble County Economic Development Corp. added about $13,000 to the grant to Tenneco to make improvements to its building in the industrial park.
In other business at Monday’s meeting:
• Council members were told by Fisel that $25,000 still needs to be cut from the city’s 2010 budget. She said department heads are working on a plan to reduce costs.
• A proposal to amend the city’s salary ordinance, to increase longevity bonus pay to employees, was passed on its first and second reading but stalled out on the third reading. The bonus pay totals $30,000 for the year and is based on the number of years an employees has with the city.
Council member Nate Lowe voted no on the motion to pass the bonus plan on a second reading, and a motion for a third and final reading of the amendment died for a lack of second.
• Fisel said the city is applying for a state of Indiana Disaster Recovery 2 Grant (DR-2) of $900,000 to help with storm water issues. The city was turned down for the same grant last year, but Fisel said the city’s chances are better this year.
There are issues that could hurt the city’s chances, she said, that relate to having the necessary financial records the state requires with the application. Fisel said she didn’t think the city could meet the state’s April 30 deadline to have those records available.
In addition, the state will give Ligonier favor if the city can come up with $30,000 in matching funds. Fisel said has been told by the city’s outside accounting firm that the $30,000 would be available from the wastewater treatment plant fund.
• Fisel reminded residents that of the city’s codes and laws have been put into a computer database that will allow the public to read and research the rules. More details will be on the city’s official Web site: ligonier-in.org
• The spring clean-up day will be Saturday, April 17.
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