VOL. 128 | NO. 119 | Wednesday, June 19, 2013
Old Dominion Could Bring 188 Jobs
By Amos Maki
Old Dominion Freight Line Inc. and Barnhart Crane and Rigging Co. are considering expanding in Memphis.
The board of the Economic Development Growth Engine for Memphis and Shelby County will vote Wednesday, June 19, on requests by both companies to receive payment-in-lieu-of-tax breaks.
Meanwhile, the Memphis and Shelby County Port Commission has applied for a federal grant to help expand Presidents Island.
Old Dominion is seeking a nine-year PILOT to add 188 new jobs and invest $31.3 million in a building at Airways Boulevard and State Line Road. Old Dominion, a less-than-truck-load carrier, has outgrown its current facility at 3050 Carrier Road.
According to an EDGE staff report, the project will create $7.8 million in new tax revenue for Memphis and Shelby County.
The average salary of the new employees will be $52,111. EDGE staff predicts the deal will produce $1.60 in tax revenue for every $1 in taxes abated.
Barnhart Crane and Rigging Co is also seeking a nine-year PILOT to add 20 new jobs and invest $5.2 million in real and personal property at 2085 Freeman.
Barnhart plans on buying the building for $2.6 million and building a 60,000-square-foot warehouse.
EDGE staff said the project would create $838,043 in new tax revenue for the city and county. The average salary of the new employees will be $64,532. The project will bring in $1.27 of new tax revenue for every $1 abated, according to EDGE.
An EDGE committee will present a report on whether or not to expand Presidents Island, the fourth-largest inland port in the country.
The Port Commission has been exploring using $38 million in funding from multiple sources to expand the railroad infrastructure within the industrial park. Port Commission officials have applied for a $25 million TIGER V grant from the U.S. Department of Transportation.
The TIGER V grant would allow for a 1,500-acre expansion of the existing industrial area.
Presidents Island already has 54 facilities with harbor capabilities, 30,000 annual rail car movements and provides an annual economic impact of $7.1 billion.
“The Presidents Island expansion project continues to move forward,” said Trey Heath, information specialist with EDGE. “We have submitted the TIGER grant on time despite the tight deadline and we are excited about the opportunity for Memphis and Shelby County.”