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North-Central Indiana update: the region's top business stories.


by Mayer, Kathy
Indiana Business Magazine • August, 2008 • REGIONAL REPORT NORTH CENTRAL

NORTH-CENTRAL Indiana's 10 counties are enjoying growth in virtually every sector, and improving transportation routes are expected to further that.

Hoosier Heartland. The $500 million Hoosier Heartland Corridor, covering 100 miles from Lafayette to Fort Wayne, is about to get its final four-lane leg, with completion of the final portion from Lafayette to Logansport targeted for 2013.

"That will really help us," says Jim Tidd, executive director of the Miami County Economic Development Authority, reflecting the sentiment of many "So will the bypass around Kokomo. They'll give us quicker access via four-lane highways and improved accessibility to the interstate highway system."

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Energy. Energy alternatives remain on the area's front burner.

Green Fuels LLC is planning a Fulton County refinery, to produce 10 million gallons of biodiesel annually, reports Shane Blair, executive director of Fulton Economic Development Corp.

In southwestern White County, the resource is wind, as Texas-headquartered Horizon Wind Energy plans to begin construction next spring in a 100,000-acre area, says Connie Neininger, executive director of White County Economic Development Organization.

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North Manchester is welcoming South Dakota-based POET, a dry-mill ethanol producer, now building a $130 million facility It will use 21 million bushels of corn annually, producing 65 million gallons of ethanol and 178,000 tons of distillers products. "Two things that we do really well in Wabash County are agriculture and manufacturing," says William Konya, president and chief executive officer of the Economic Development Group of Wabash County "Any opportunity that enables us to take locally grown crops and add value through processing is a win-win." Hiring is underway; the plant comes online later this year.

The Andersons in Cass County is increasing ethanol production from 110 million to 130 million gallons annually It employs 80.

Renewable aviation fuel would be the product in Delphi if plans by Swift Enterprises materialize, says Daryl Smith, executive director of the Carroll County Economic Development Corp. The West-Lafayette startup is launching SwiftFuel, made of synthetic hydrocarbons derived from biomass. It hopes to build a plant to produce 2,000 gallons a day

Medical. Three new hospitals and related developments are under construction in the area.

In Monticello, the $25.5 million White County Memorial Hospital and an adjacent, 55,000-square-foot medical office building opens in October.

In Lafayette, about $410 million in new medical construction is underway Clarian Arnett Medical Center opens its $210 million, 350,000-square-foot hospital this fall, with 109 beds. St. Elizabeth Regional Health is building St. Elizabeth East, opening in 2009. The $192 million, 410,000-square-foot hospital will have 150 private rooms.

Manufacturing. Sports drinks, snacks and pork products are roiling off new and expanded production lines.

Michigan-based Living Essentials this summer opened a 5-hour Energy Drink plant in Wabash, which employs 42 and could reach 150. The company invested $6 million in a 145,000-square-foot vacant facility.

Snack-maker Frito Lay in Frankfort and pork-processor Indiana Packers in Delphi have expanded. Frito Lay spent $80 million to add a Sun Chips line, says Gina Sheets, director of Clinton County Economic Development. It also added 50 employees, for a workforce of 1,400. Indiana Packers, employing 1,500, finished a $112 million expansion. "This completes five years of upgrades that have allowed Indiana Packers to increase capacity by 52 percent since 2003," Smith says.

Construction continues on the $530 million GETRAG/Chrysler Group plant in Tipton that will employ 1,170 making 700,000 transmissions annually, beginning June 2009. "The walls are going up," reports Debbie Gillam, executive assistant at Tipton County Economic Development Corp.

Ball Corp. in Monticello is investing $43 millions for a new line--aluminum sports bottles with twist caps; it employs 225.

In Lafayette, TRW Commercial Steering Systems is investing $29 million in equipment at its plant and $7.4 million for a second facility, reports Jody Hamilton, director of business development at Lafayette-West Lafayette Development Corp. By 2010, TRW will boost employment from 349 to 549.

At Caterpillar Inc., which makes diesel and natural gas engines, employment increased by 300 to 1,900. Fairfield Manufacturing opened a research and development test center and increased employment by 250 to 1,165; it makes gears, shafts and drives. And Kirby Risk Service Center, making wiring harnesses, added a second, 100,000-square-foot facility; it now employs 200. Employment at Subaru of Indiana Automotive Inc. has reached 3,330; it makes Subaru and Toyota vehicles, with 2008 projected production of 195,000.

"Companies here keep investing in their facilities, personal property and training for their employees," Hamilton reports. "We just choose not to participate in any slowdown."

In Logansport, Myers Spring Co. Inc., which employs 45, spent $1 million for equipment, reports Nolan "Skip" Kuker, president of Logansport/Cass County Economic Development Foundation. "It makes all kinds of springs. They're a good, growing little company."

Among other expansions:

NTK, Frankfort, spent $8.8 million on a 60,000-square-foot addition, increasing employment from 106 to 152 making constant velocity joints for automobiles.

Haynes International in Kokomo, which makes alloys used in aerospace, chemical processing and gas turbine industries, increased employment by 100 to 900 and is boosting cold-rolled flat production from 9 million pounds a year to 14 million, reports Cathy Irick, project specialist at Kokomo/ Howard County Development Corp.

Four manufacturers are ceasing production. Furniture-maker Chromcraft Revington Inc. in Delphi cut 150 jobs. About 125 lost jobs at Modine in Logansport, which made auto HVAC systems. Kokomo Sanitary Pottery in Howard County, which made plumbing products, closed, idling 250. In Tipton, Acraline Products Inc. dosed; it employed 82 making combustion components for gas turbines.

Life-science, high-tech. EDS opened a national software solution center in West Lafayette's Purdue Research Park, with plans to employ 200 by 2010. Long-time park occupant MED Institute moved across the street to the former Great Lakes Chemical building, doubling its space; it plans to increase jobs from 175 to 250 by 2011.

Also in the park, a third incubator to house 20 to 30 startups is underway, Hamilton reports. "With research coming out of Purdue University, new products and developments are continually emerging."

Education, Ivy Tech Community College is expanding in two counties. It's remodeling an office building in Monticello for its first permanent location, opening this month and offering nursing, science, computer and advanced manufacturing classes. In Lafayette, it's teaming up with the YMCA to build a campus facility and childcare center.

Purdue University is constructing its first green building--a $33 million addition to the Mechanical Engineering Building. Projects also include a $99.5 million addition at Mackey Basketball Arena, $30 million animal disease diagnostic lab and $20 million electrical and computer engineering building. Last fall it opened the $53 million Nell Armstrong Hall of Engineering.


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