South Carolina

South Carolina Approves Film Rebate Bill

The Beaufort Chamber, Carolina Film Alliance (CFA) and other interested stakeholders in South Carolina’s film and television industry breathed a collective sigh of relief after SC Gov. Nikki Haley signed the Film Rebate Bill (S.163).

CBS legal drama Reckless

Reckless (photo – CBS Reckless Extras)

The bill’s future had been in doubt more than once, as it stalled in the state senate and the Governor had indicated ambivalence towards signing it into law even if the legislature approved it.

What finally tipped the scales in favor of its fast-track passage through the legislature and quick signing by the Governor was “Reckless” – a CBS television show about lawyers that is in the works.

The pilot for the legal drama was filmed at Studio Charleston in Charleston, SC, but the producers said they might shift the filming of future episodes to Savannah, Georgia, and were planning to decide on the location by mid-May.

The show needs a historical southern background which can easily be found in both Charleston and Savannah. Filming of the show will generate spending worth $60-$70 million per year.

The bill, sponsored by Rep. Phyllis Henderson in the House and State Senator Paul Campbell in the SC Senate, hikes rebates on supplies purchased from vendors in South Carolina to 30 percent, which is double the earlier 15 percent.

Payroll tax refunds offered to the film companies have similarly been hiked up to 25 percent for South Carolina works, and 20 percent for out of state workers. These incentives are available only to production companies that spend at least a million dollars in the state.

CFA President Richard Futch said that the passage of the bill sends a message to film makers around the world that South Carolina values the millions spent by film companies on local businesses, the jobs they create and their showcasing of the state’s geographic beauty on the big screen for the whole world to see.

He added that the world has already seen the beauty of South Carolina in films such as Forrest Gump and the Patriot, and South Carolinians should now gear up to be excited by more such iconic movies with a Palmetto backdrop.

Univ. of South Carolina to Open Office of Economic Engagement

The University of South Carolina is planning to open a new “Office of Economic Engagement” to consolidate and manage all of their economic development initiatives and activities.

USC news

USC news (photo – sc.edu)

Specifically, the new Office of Economic Engagement (OEE) will be put in charge of managing the university’s Innovista initiative and its physical campus called the Innovation District.

OEE will also coordinate other assets such as the university’s entrepreneurship center and intellectual property office, and help with commercialization of USC research.

OEE will coordinate the university’s contacts with economic development agencies, and will lead a council comprised of representatives from all USC campuses.

The new office will be headed by Bill Kirkland, who is currently leading the USC / Columbia Technology Incubator. BlueCross BlueShield of South Carolina Chairman Ed Sellers will be the head of OEE’s advisory committee.

BlueCross also helped USC in its year-long study of the economic development wings of 77 other educational institutions.

The new office also serves as a kind of reboot for the $114 million Innovista project. Innovista was launched in 2005 with the support of $71 million in state bonds and another $34 million from Richland County and the City of Columbia.

However, their plans to build a complex on 500 acres in downtown Columbia with hi-tech facilities to attract tech companies and create high-paying jobs got sidetracked by the recession.

The university’s research funding increased by $61 million in the six years after Innovista was launched, but it’s hard to say how of that can actually be credited to Innovista. They do, however, take credit for nurturing 14 companies which currently employ a total of 1,000 workers.

Apart from Innovista, USC’s other existing economic development assets include the Center for Entrepreneurial & Technological Innovation (CETi) located at the USC/Columbia Technology Incubator. They also have the FABER Entrepreneurship Center and a Small Business Development Center (SBDC).

As per a recent report, USC’s annual economic impact on the state adds up to more than $4.1 billion, which generates $200 million in state tax revenues. This is much more than what the state provides in annual appropriations, which total up to some $75 million. USC supports more than 53,000 jobs in South Carolina, including more than 6,100 full-time university employees.

Anderson County, SC Snags SMF Inc. Manufacturing Plant

Minonk, Illinois-based metal fabrication company SMF Inc. announced that it will be opening a new manufacturing facility in Anderson County, South Carolina.

SMF Inc.

SMF Inc. (photo – Anderson County, SC)

SMF will invest $5.8 million, and the project is expected to create 146 new jobs in the next five years at average hourly wages of $16.50.

The new plant will be able to begin operations as early as July, since they are setting up the plant in an existing building.

Brian Brown, president of SMF Inc., said South Carolina was an excellent location that would aid in their regional business development plans. He added that the state had a good business environment and the kind of workforce talent they needed. Brown also said they appreciate all the support they got from local and state officials during the process.

The South Carolina Coordinating Council for Economic Development has approved SMF for job development credits. Anderson County, for its part, did a lot of the spadework for this project under the codename of “Project EMB” without revealing the real identity of the employer.

SMF has been offered a 30-year PILOT (payment-in-lieu-of-taxes) deal . They would start by paying $46,487 in 2014, and their adjusted payments over time would add up to more than $504,000 over the next 20 years. Over the course of the next 30 years, SMF is expected to pay Anderson County nearly $700,000.

The county also offered a $50,000 waiver on the permitting fees the company was required to pay. Francis Crowder, chairman of the Anderson County Council, said SMF’s choice of the county was proof of their growing success in attracting quality companies.

This is the second major manufacturing plant jobs announcement by Anderson County in this week. A couple of days ago, they announced that McLaughlin Body Company – the first supplier to follow Caterpillar into South Carolina, would be setting up a new $22 million manufacturing plant in Anderson County that would create 250 new jobs.

South Carolina Secretary of Commerce Bobby Hitt called it part of the state’s “manufacturing renaissance” and added that South Carolinians knew how to make things, and make them well.

South Carolina Plans $120M Incentives For $1B Boeing Expansion

Boeing Co. has told South Carolina officials that it plans to invest $1 billion at its North Charleston 787 facility.

Boeing plant in North Charleston, SC

Boeing plant in North Charleston, SC (photo – boeing.com)

The expansion will create an estimated 2,000 new jobs by 2020. Boeing already has 6,000 employees in North Charleston.

Around half the new jobs created will be IT jobs for a new center of excellence the company plans to set up in North Charleston, while the rest will be production or engineering jobs for the 787.

As per the Post and Courier, SC House Speaker Bobby Harrell plans to introduce legislation to raise $120 million in bonds to provide Boeing with an incentive package for its expansion. State Sen. Hugh Leatherman will be a co-sponsor for the legislation.

Back in 2009, when Boeing chose the North Charleston plant as its first aircraft assembly site outside Washington, they were offered $450 million in incentives by South Carolina. In return, Boeing had agreed that they would be investing at least $750 million and would be creating at least 3,600 jobs.

Boeing broke ground on the 1.2-million-square-foot facility in Nov 2009. Production kicked off in July 2011, and the first 787 Dreamliner rolled out of the plant in April 2012. This plant is one of three sites in the world capable of assembling and delivering twin-aisled commercial airplanes.

The company also has a plant nearby that produces 787 interior parts for the main assembly and delivery facility. The company has already delivered on its part of the agreement by investing over $1 billion in South Carolina since 2009, and now has more than 6,000 workers at the plant.

The 1,000 IT jobs and the new “Center of Excellence” North Charleston is getting is part of an IT consolidation plan by Boeing to move around half of its IT work to three main locations, with North Charleston being one of these three.

The stated reason for the move is that the company is facing increased demand for IT services, and this consolidation helps them meet it without adding more costs.

Boeing has a total of 7,900 IT personnel, and many of the 1,000 IT positions being created in South Carolina are likely to be filled by some of these existing employees.

2013 Corporate Investment and Community Impact Awards

Trade & Industry Development magazine announced the recipients of its 8th Annual CiCi (Corporate Investment & Community Impact) Awards.

CiCi Awards

CiCi Awards (photo – tradeandindustrydev.com)

The 30 corporate recipients of the awards have announced plans for economic development projects that will collectively create and retain more than 35,250 jobs, and result in total corporate investment in excess of $16 billion.

“These major investments provide a clear snapshot of where and in which industries growth is occurring today,” said Scott D. Swoger, the magazine’s publisher and president of its parent company Due North Consulting, Inc. “Each of the investments to be made by Trade & Industry Development’s 8th Annual CiCi Award recipients will be transformational for the communities in which the projects will be located.”

The magazine lists the top 15 largest capital investments for development or expansion, and another 15 projects for the positive impact they will have on a community, regardless of the amount of money invested by the corporation.

The largest project in the corporate investment list is Intel’s $3 billion expansion in Hillsboro, Oregon.  The second and third largest projects were both by CF Industries Inc., which announced $2.1 billion and $1.7 billion expansions of their fertilizer plants in Donaldsonville, Louisiana, and Port Neal, Iowa.

South Carolina had two projects in the top 15 largest corporate investments – a $900 million expansion by BMW at its Spartanburg plant, and another one by Michelin in Anderson County.

“It’s great to see two South Carolina companies recognized out of a list of hundreds for their investments in the last year. I congratulate BMW and Michelin and thank them again for their continued investments in our state,” said South Carolina Secretary of Commerce Bobby Hitt.

As for the top 15 community impact projects listed by Trade & Industry Development magazine, the $6 billion project by Sempra Energy in Louisiana was easily the largest one, creating 740 jobs and retaining another 60 jobs.

Apple’s $304 million expansion in Austin, Texas topped the list in terms of the most number of jobs created (3,600). Amazon’s distribution center projects in Indiana and Kentucky also made the list.

You can see details about each project in both the CiCI Award categories here and here. 

Michelin North America To Invest $200M in Anderson County, SC

Tire maker Michelin North America announced that it will expand its existing rubber production operations in Anderson County, South Carolina.

Michelin

Michelin (photo – Michelin North America, Inc.)

The $200 million investment in the Starr plant is expected to generate 100 new jobs.

“I am proud to say this new expansion at this facility is one of the lynchpins that will allow us to maintain Michelin’s industry leadership in providing customers with the best tires in all categories,” said Pete Selleck, chairman and president of Michelin North America. “Michelin’s continued investment in Anderson County and the state of South Carolina is a testament to our proven, high-quality workforce here.”

This is the second expansion announcement in South Carolina for the company in less than a year. Last April, Michelin announced expansion plans and committed to invest $750 million and create 500 new jobs in Anderson and Lexington counties.

In the last 21 months, the company has announced investments totaling $1.15 billion that will create at least 870 new jobs in South Carolina.

“It’s exciting to see a world-class company like Michelin choose to further expand its footprint in our state. We celebrate Michelin’s decision to invest $200 million and create 100 new jobs in Starr,” said SC Gov. Nikki Haley. “When one of South Carolina’s largest manufacturers chooses to expand here, it helps send the message that the Palmetto State is the right place to do business.”

Since January 2011, South Carolina has recruited more than $5 billion in capital investment and more than 8,000 jobs in the automotive-related sector.

As South Carolina’s largest manufacturing employer, Michelin is responsible for creating and supporting a big chunk of these jobs. Nearly 9,000 of Michelin’s 22,000 employees in North America will be located in South Carolina when all the construction is complete. Nine of Michelin North America’s 18 production facilities are located in the state.

The Starr factory is one of three Michelin rubber production plants in Anderson County. The second is the Earthmover tire plant that is being built and is scheduled to begin producing tires later this year. A third plant in Sandy Springs is the company’s largest rubber-producing plant in the world.

The South Carolina Coordinating Council for Economic Development approved job development credits and a $1.5 million grant for site preparation for the expansion project. Also, Anderson County has agreed to a payment-in-lieu-of taxes (PILOT) deal with Michelin.

This PILOT deal can be requested by any company investing $85 million or more in South Carolina, and provides around 40 percent savings in property taxes. If the company is creating 200 or more jobs with the project, the minimum required investment comes down to $60 million.

“The relationship between Anderson County and Michelin has been long and fruitful,” said Anderson County Council Chairman Francis Crowder. “We are truly blessed and we pledge to continue nurturing this very special relationship now and in the future.”

Google to Invest $600M in Berkeley County, SC Data Center

Google’s Berkeley County, South Carolina Data Center operations manager Eric Wages, SC Governor Nikki Haley and other officials participated in a groundbreaking ceremony announcing that Google will expand its operations at the Mt. Holly Commerce Park in Berkeley County.

Google data center in Berkeley County, SC

Google data center in Berkeley County, SC (photo – google.com)

The additional $600 million investment brings Google’s total investment at the data center site to more than $1.2 billion.

“South Carolina and the Berkeley County community are great places in which to work and grow,” said Data Center Operations Manager Eric Wages. “When Google first announced plans to come to Berkeley County in 2007, we were attracted to not only the energy infrastructure, developable land and available workforce, but also the extraordinary team from the local community that made us feel welcome. Today’s announcement is just a continuation of our investment in the state. Google is proud to call Berkeley County home.”

The data center in Berkeley County houses computer systems and associated components that support services such as Google search, Gmail, Google+ and YouTube. The company is growing capacity to meet demand for Google’s services.

“Today’s announcement is another big win for South Carolina. We celebrate Google’s decision to grow its footprint in Berkeley County with a $600 million investment,” said Governor Nikki Haley. “When a world-class company like Google decides to expand in the Palmetto State, it shows we are providing the sort of business environment that helps foster success.”

The initial $600 million invested on the data center, which is now fully operational, has already created 110 on-site, full-time jobs. In November 2010, Google announced plans to construct a second building at the site, which is now in operation. No word yet on how many jobs this latest $600 million investment is going to help create.

“When our community came together to develop this business park, we wanted to attract leading companies that would establish deep roots and grow,” said state Sen. Paul Campbell. “Google’s expansion is an example of how Berkeley County can serve the needs of the world’s most innovative and dynamic companies. I hope Google’s growth here prompts other growing businesses to put down roots here.”

Google has additionally given more than $885,000 in grants to local schools and nonprofits, and introduced free Wi-Fi to downtown Goose Creek. In June 2012, they also hosted Googlefest in nearby Charleston, SC to help nonprofits, small businesses, and educators use the full range of Google’s tools.

Time Warner Cable to Create 644 Jobs in South Carolina

Time Warner Cable announced plans to expand its operations in Lexington County, South Carolina with a $24 million investment.The investment is expected to generate 644 new jobs over the next year.

Time Warner Cable

Time Warner Cable (photo – timewarnercable.com)

“We are excited to start the year off with today’s job-creating announcement by Time Warner Cable,” said Gov. Nikki Haley. “While we work to bring new companies to South Carolina, it speaks to the strength of our state’s business-friendly climate when existing businesses like Time Warner Cable succeed and grow.”

Time Warner Cable plans to expand its retention center, telesales operations support, and payment services departments at its West Columbia campus.

“Even in a recovering economy, Time Warner Cable continues to grow and is pleased to offer valuable, good paying jobs in Columbia,” said Carol Hevey, executive vice president, Time Warner Cable East. “The addition of 644 jobs, which increases our South Carolina workforce by more than 50 percent, emphasizes our strong commitment to South Carolina.”

Time Warner is currently hiring to fill these positions. A job fair will be held at their Platt Springs office on January 8, 2013 from 1 p.m. to 6 p.m. For more details, visit jobs.timewarnercable.com.

“Time Warner Cable has been an important part of our state’s business community for years and today’s announcement shows they are committed to growing in South Carolina,” said South Carolina Secretary of Commerce Bobby Hitt. “The company’s growth will bring good-paying jobs that will have an impact throughout Lexington County and the Midlands as a whole.”

Time Warner Cable Carolinas provides services to more than 2.1 million residential and business customers, with 7,900 local employees serving customers in more than 400 cities and towns across North and South Carolina.

New York, NY-based Time Warner Cable Inc. (NYSE: TWC) is the largest cable provider in South Carolina and the second largest in the country, with 47,300 employees across 28 states and 31 operating divisions. Time Warner generated operating revenues of $19.675 billion (for 2011), which resulted in a profit of $1.665 billion.

German Automobile Supplier Invests $40M in Chesterfield County, SC

Schaeffler Group USA, an automotive and industrial component supplier, announced that it will expand its operations in the town of Cheraw in Chesterfield County, South Carolina. The $40 million investment is expected to create 190 new jobs.

Schaeffler Group plant in Cheraw, SC

Schaeffler Group plant in Cheraw, SC (photo – schaeffler.com)

Schaeffler Group USA is already one of the largest German manufacturers in South Carolina, employing more than 2,300 workers in the state. The company has two facilities in Chesterfield County, in addition to plants in Fort Mill and Spartanburg.

“Schaeffler Group USA is proud to continue our long standing partnership with the Town of Cheraw, Chesterfield County and the state of South Carolina,” said Bruce Warmbold, president and CEO of Schaeffler Group North America. “We have a skilled team capable of manufacturing high-quality bearings and engine components for our automotive and industrial customers.”

Schaeffler Group USA has been manufacturing bearings for more than 40 years in Cheraw. Both facilities in the county will be expanded to produce bearings and engine components for new automotive applications. The expansion is expected to be completed by 2013.

The project was given priority billing after South Carolina Gov. Nikki Haley and other state officials met with the Schaeffler Group in Germany in 2011 following the Paris Air Show.

“Having a long-time South Carolina manufacturer like Schaeffler Group USA choose to make another substantial new capital investment into its Chesterfield County operations is more excellent news for South Carolina’s economy,” said Gov. Haley.

Chesterfield County Council chairman Matt Rivers said that it was a great day for the town of Cheraw and Chesterfield County. “The expansion announcement by Schaeffler validates that the company has faith in our strong local business climate,” said Rivers.

South Carolina’s Coordinating Council for Economic Development approved job development credits for Schaeffler, which will be available when hiring targets are met. The state will also offer pre-employment training through readySC designed specifically for the Cheraw operations.

“We in Cheraw have had a great business relationship with Schaeffler from day one. We have seen them grow to where they are today and the entire community appreciates their presence here. We are proud to be a part of this announcement and we are glad to offer Schaeffler additional incentives to help this announcement become a reality,” said Cheraw Mayor Andy Ingram.

The Fort Mill, South Carolina-based Schaeffler Group USA is part of the global conglomerate Schaeffler Technologies AG & Co. KG, which is based in Herzogenaurach, Germany. The company has more than 74,000 employees worldwide, of which almost 7,000 are in the U.S.

Haddon House Food Products Adding 100 Jobs in Chester County, SC

Haddon House Food Products Inc., announced plans to increase operations at its Chester County, South Carolina facility.

Haddon House Food Products

Photo – Haddon House Food Products

The $3.1 million investment the company has decided to make in the Richburg plant is expected to generate 100 new jobs.

Haddon House currently has more than 250 existing employees at the location. No details about incentives provided to the company were released.

“South Carolina has provided us with an excellent place to do business and an exceptional workforce,” said Bob Blake, facility manager for Haddon House Food Products. “We appreciate all the support we’ve received from state and local officials.”

Haddon House Food Products is expanding its existing facility, located at 578B L and C Industrial Park in Richburg, to allow for increased volume for the company’s distribution operations.

“Since 1988 Haddon House Food Products has been a strong community member and partner in the economic success of Chester County,” said Chester County supervisor R. Carlisle Roddey. “We are extremely pleased that they made the decision to expand their Richburg operation. Chester County appreciates the company’s investment in our community, and we will continue to work with them and our other existing industrial partners to create the best possible conditions for the growth of business.”

The company expects to begin hiring for the new positions in fall 2013, and the expansion will be complete by 2017.

“We are pleased Haddon House Food Products, a long-time corporate citizen of Chester County, is expanding their operation here,” said Chester Development Association chairman Mike Enoch. “Haddon House Food Product’s capital investment of $3.1 million and the creation of 100 new jobs affirm that Chester County is an excellent location to do business.”

South Carolina Gov. Nikki Haley said it was a big win for one of the state’s rural counties. “It’s great to see another one of our state’s existing businesses build on its presence here,” added Gov. Haley.

Since January 2011, South Carolina’s distribution and logistics sector has raked in more than $322 million in capital investment and more than 2,800 jobs.

The Medford, New Jersey-based Haddon House Food Products, Inc. is a wholesale food distributor, which markets and distributes food products in the U.S.

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