Commissioners approve Boral expansion

By Karissa Minn

kminn@salisburypost.comThe Rowan County Board of Commissioners unanimously approved an incentive request Monday to help Boral US expand its operations in East Spencer.

Boral US, the parent company of Boral Brick, is establishing a new production division called Boral Composites. The proposed 30,000-square-foot facility for this division would be located on the Boral Bricks property, which the company owns, located at 700 North Long St. in East Spencer.

Brian Below, general manager of Boral Composites, said the project is expected to create 10 jobs by the end of 2011 and a total of 25 new jobs after construction is complete. Another 15 jobs could be added after further expansion.

According to RowanWorks Director Robert Van Geons, an estimated $12.8 million of new investment will be added to Rowan County's tax base, with future growth adding another $4 million to $6 million. This would bring $1 million of new revenue to the county over the next 10 years.

"This is a good project, a good company and a good opportunity for East Spencer and for this county," Van Geons said.

The project meets the criteria for a "Level 1" grant, which is about 75 percent of the value of anticipated property tax revenue. Van Geons said that Boral is only requesting a grant of 70 percent.

The proposed incentives would be paid over five years, starting in fiscal year 2012. It is estimated that for every $1 Rowan County provides, it will be matched by $2.70 of other support from the State of North Carolina and Duke Energy. Requests for funding have not yet been approved.

Van Geons said the project is competitive, and Boral is considering available sites at several of its other existing properties.

Commissioner Tina Hall thanked Boral for coming to Rowan County and asked Below what brought Boral Composites there.

He said there is a strong relationship with the community through Boral Brick, and the existing site has the space and infrastructure needed for the project.

"There's a skilled and able workforce here, and there's training available through your local colleges," Below said. "There's actually quite a few pluses that help put this location at the top of the list for consideration for investment."

Hall asked if being close to a rail system and Interstate 85 was a consideration. Below said it is a benefit that many of the Boral sites share.

"Would you have considered Rowan County without an incentive?" Hall said.

Below replied that incentives are always on the list of factors the company considers.

"You have to take each instance independently and weigh the pros and cons," he said.

After commissioners approved the incentive grant by a 5-0 vote, Chairman Carl Ford said, "Thank you for the jobs."

The East Spencer Town Board of Aldermen and its zoning board of adjustment approved a conditional use permit and variance for the project in May.

In an interview Tuesday, East Spencer Alderman John Noble said he was looking forward to the jobs and investment Boral Composites would bring.

"It's a good thing for the town," Noble said. "I hope people will take advantage of the situation. We do need it."