Palmyra - New YorkState Senator andGovernor George E. Pataki today announced that Garlock Sealing Technologies, which has operated in Wayne County for more than 100 years, will spend between $30 and $35 million to rebuild and re-equip its Palmyra manufacturing facilities, helping to retain at least 450 jobs.
"Garlock Sealing Technologies is one of Wayne County largest employers, and their decision to remain in Palmyra is tremendous news for the local economy," Governor Pataki said. "Facing serious concerns with an aging manufacturing facility, the facility was in jeopardy of closing. But our economic development team, working together with Senator Nozzolio, Assemblyman Oaks and local officials, helped to address the company's concerns and protect at least 450 jobs.
"Now, instead of closing their Palmyra facility, the company is investing at least $30 million over the next five years to upgrade it, buy new equipment and clean up the property," Governor Pataki added. "Garlock's participation in our Brownfield Cleanup Tax Incentive program was a key component in our efforts to keep the company in Wayne County, and it is a wonderful example of how our Brownfields program is helping to improve the economy while also enhancing the environment."
Senator Michael F. Nozzolio said, "Once again Governor Pataki has delivered for the people of Wayne County. Garlock's decision to stay based in Wayne County is the latest evidence that the Governor's policy of lower taxes makes a difference in keeping and creating jobs. I am proud to have worked with the Governor to help protect nearly 450 jobs in Wayne County."
Garlock Sealing Technologies, a leading manufacturer of industrial gaskets and sealing systems, is a subsidiary of North Carolina-based EnPro Industries, which has 29 manufacturing facilities around the world. Garlock's original facility was originally constructed 100 years ago and has had many different additions to it since then.
The facility was deemed by EnPro to put Garlock at a competitive disadvantage and the parent company began to examine other options for the location of the Palmyra facilities. After considering several alternative sites outside New York State, EnPro approved Garlock Sealing Technology's bid to demolish and rebuild at the company's original location in Palmyra.
Ernie Schaub, President and Chief Executive Officer of EnPro said, "The facilities in Palmyra were built for another era, under another set of competitive conditions. Garlock's ability to thrive in Palmyra was limited by these facilities, but Garlock is a core EnPro business, and its success is critical to us. Our goal was to establish a world-class manufacturing facility for Garlock that will make it competitive in today's markets. We are pleased to be able to do so on a site that contains so much history for this great company."
Paul Baldetti, Division President, Garlock Sealing Technologies, said, "We appreciate the support we've received from local and state agencies. The incentives they have provided make possible an investment that will allow Garlock to maintain its position as the world's leading manufacturer of industrial seals and will ensure that we are part of Palmyra and Wayne County for many years to come."
A critical component of the State's offer of help to Garlock was admittance into the New York State Department of Environmental Conservation's (DEC) Brownfield Cleanup Tax Incentive Program. Garlock's application to the DEC is currently in house, and once approved, will allow for Garlock to recoup a portion of its anticipated environmental cleanup costs in the form of refundable tax credits.
Garlock's plan is to demolish much of its existing campus and to rebuild new, more efficient facilities. They will ultimately construct new buildings and refurbish others that together will total 350,000 square feet. The demolition and potential environmental cleanup will be spread out over a five-year period. The project will retain 450 jobs that were in jeopardy of leaving New York.
In consideration of its commitment to retain at least 450 jobs and invest more than $30 million, Garlock Sealing Technologies is eligible to apply to Empire State Development for a $2.1 million capital grant and a $1 million Empire Opportunity Fund grant. As part of the arrangement with the state and Wayne County, the company also will be eligible for sales tax savings on new construction and real property tax abatement. The company is eligible for a package of state and local package of incentives, including Brownfield Cleanup Tax Credits that will total nearly $8 million.