Two steel companies could partner to add as much as $1.2 million in payroll at the Port of Indiana-Jeffersonville, according to a news release jointly issued by the city of Jeffersonville and One Southern Indiana on Wednesday.
The Diez Group, which is a member of the Delaco Steel family of companies, and Steel Technologies, have partnered to expand operations at the former Kasle Metal Processing facility at the port. The new business, Delaco Kasle Processing Indiana LLC, will process aluminum and steel coils and blanks for the automotive, appliance and agricultural industries.
“This is our second joint venture with Steel Technologies, and we believe this venture brings more value to our existing and new customers by combining our strengths in the south,” said April Diez, chairman of the Diez Group.
If tax abatements for the expansion are approved by the Jeffersonville City Council, the Diez Group and Steel Technologies could potentially invest up to $14.28 million to upgrade and expand the existing 120,000 square-foot facility at the port to 226,000 square feet, according to the release, and add 34 new jobs to the existing 71 that would be retained.
Through the coordination of 1si, officials representing the new joint venture will appear before the Jeffersonville Redevelopment Commission tonight to determine the proposal’s eligibility to receive tax incentives at a city council meeting June 2.
“I want to thank the Diez Group and Steel Technologies for having confidence in our city,” said Jeffersonville Mayor Mike Moore. “Jeffersonville has become the destination place for growing businesses. The Diez Group’s and Steel Technologies’ partnership with Delaco Kasle Processing Indiana is further proof our business-friendly approach continues to pay dividends for our community.”
The Indiana Economic Development Corp. offered Delaco Steel Corp. up to $750,000 in conditional tax credits and up to $100,000 in training grants based on the company’s job creation plans, which call for the new venture to add $1.2 million in payroll by 2017. These IEDC tax credits are performance based, according to the release.