EDC chips away at local job losses

By: Todd S. Bergmann, Valders Journal

The Economic Development Corporation of Manitowoc County helped create 224 jobs with a payroll of $6.9 million last year, facts unveiled in its 2009 annual report.

The EDC also discussed some details about three businesses it helped in 2009, during a luncheon meeting in Manitowoc on Friday.

Despite the corporation’s efforts, however, employment in Manitowoc County decreased by more than 900 from November 2008 to November 2009 while the unemployment rate soared from 5.4 percent to 9.1 percent.

Total employment dropped from 42,439 in November 2008 to 41, 522 in November 2009, according to the Wisconsin Bureau of labor Statistics.

The EDC said it retained 215 existing jobs and helped obtain $9 million in capital investment and $1.8 million in financial incentives.

The organization helps provide funds for three to five projects a year, Executive Director Kenneth Stubbe said.

“Once in a while, we get somebody who has what they think is a great idea for a new business, but they need money” he said. “We look at and see if we think it’s a great idea…and if it will benefit Manitowoc County,”

Then, organization will help these companies, as well as existing retail business, get capital.

The organization also provided extensive data top 16 site consultants in 2009. Stubbe said.

“Most of these site consultants are referred to us from the State of Wisconsin,” he said. “We also have some people who find us on their own. It is usually blind. We don’t have any idea who it is.”

The EDC helped Dermatology Associates get financing to build a new five-story, 35,000-square foot building at Eighth and York streets in Manitowoc, said Tim Schneider, president of Investors Community Bank.

“They have tremendous growth plans,” he said. “It’ decent-paying jobs that will be located in downtown Manitowoc ad help some of the revitalization of the downtown.”

Dermatology Associates will get $560,000 in state income tax credits and $75, 000 in tax incremental financing from the city, Schneider said. He said the project will create 120 new jobs after construction starts in February.

The EDC is involved in helping Formrite companies of Two Rivers find a new owner or new investors, John Zimmer of J.J. Stangel said.

Members of the corporation talked to potential investors as well as Two Rivers city officials, he said.

“They’re going to come to the party,” Zimmer said. “They’re negotiating right now potential investment in the company.”

About 60 employees at Formrite produce solid tubes for heavy equipment.

In another example, Patrick and Deanne Weier said they got help from the E-Seed Entrepreneurs' Course.

“It would not have been possible without the assistance that we received and continue to receive form the Economic Development Corporation,” Deane Weier said. “It has been incredibly beneficial to have a support system.

The two took a class on starting a business that the organization offers.

“I can’t imagine starting a business without that class,” Patrick Weier said. “I know there are some that do and make it. But I don’t think we would have been one of the them.

The Weiers work part time at PDJ, which has no non-family employees.

Deanne Weier said she started the business with the hope of doing work for manufacturers, but is instead doing custom art and decorative cuttings for individuals.

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