Plastics manufacturer will bring 120 jobs to Dinuba

Arkansas-based Delta Plastics has announced plans to build a new manufacturing facility in the Tulare County town of Dinuba. Photo via Delta Plastics website

published on November 2, 2017 – 1:33 PM

Written by David Castellon

 

The world’s leading manufacturer of irrigation polytube for the agricultural industry has chosen land north of Dinuba as the location for its new manufacturing plant.

“Tulare County was chosen after an extensive search throughout California for the best location for their venture,” according to a press release issued today by the Economic Development Corp. of Tulare County.

The agency reports that Arkansas-based Delta Plastics plans to build a 75,000-square-foot manufacturing plant in an industrial park off Road 68 in the area of Avenue 430 and employ up to 120 people there.

EDC President Paul Saldana said, “120 manufacturing jobs are pretty significant,” adding that he sees a lot of opportunity for Delta plastics to grow its operation in the coming years.

The new plant, operating under Delta’s Revolution Plastics division, will produce polytubes — hollow, high-grade plastic tubes that can be rolled out into fields and have holes punched into them to insert water emitters. The tubes are filled with water and expand, much like a fire hose, except the water shoots out of the emitters, irrigating nearby crops.

The plant also will produce Revolution Bag trash can liners made from recycled polytube material and other plastics that the company plans to collect from agricultural operations throughout the state to process at the Dinuba plant.

Delta Plastics officials couldn’t be reached immediately for comment, but a video on its website states that a portion of the recycled plastics are sold to other manufacturing businesses.

Delta currently has two manufacturing plants in Little Rock, Arkansas and Mesquite, Texas, along with a recycling plant in Stuttgart, Arkansas.

“We look forward to our growth and partnering with the agriculture industry in California as we expand our commitment to waste diversion and recycling throughout the state,” Louis Vasquez, Delta Plastic’s director of corporate development, said in a press release.

“We are excited about Revolution Plastics coming to the Dinuba area and look forward to having their employees live, shop and dine in our community,” Dinuba Mayor Scott Harness said in the same release.

Saldana said EDC representatives spent a long time showing Delta officials developed and undeveloped sites in Tulare County, and he believes that variety of available space helped sway the company to choose the Dinuba area, along with its central location in the state.

Plastics manufacturer will bring 120 jobs to Dinuba

 

State controller: Central Valley could become tech hub for water-saving technology

Central Valley

State controller: Central Valley could become tech hub for water-saving technology

NOVEMBER 3, 2016 4:43 PM
BY BONHIA LEE

California State Controller Betty Yee was in Fresno on Thursday encouraging Central Valley entrepreneurs to build a healthy business community in the Fresno area that would rival other well-known technology and science hubs in the state.

“You don’t need to be Silicon Valley to look for opportunities,” Yee said as the keynote speaker for the Central Valley Venture Forum, an annual conference for businesses and investors that was held at the Clovis Veterans Memorial District.

The event is a collaboration between the Lyles Center for Innovation and Entrepreneurship, the Fresno State Craig School of Business and the Central Valley Fund. It allows entrepreneurs an opportunity to network and learn from angel investors, venture capitalists, business and banking leaders, and elected officials.

Five start-ups also made presentations at the event to a panel of investors in bids for the title of best in show and prospective investments in their businesses.

Yee, whose job is to manage the state’s money and to make sure its bills are paid, shared with attendees a positive report on California’s economic recovery and its future, which is projected to have some job growth, wage increases and increased consumer confidence next year.

But some factors stand in the way of building healthy business communities, she warned, such as the lack of affordable housing in relation to jobs and the lack of access in some communities to the internet, which is considered a tool people need to be successful in the local economy.

The Valley, however, is a desirable place to live because home prices and land prices remain low and the possibility of creating partnerships between businesses, schools and government agencies is high. And the agricultural resources of the region set it apart from the rest of the state, she said.

“I’ve always considered the Central Valley as the heart of the state of California,” Yee said. When you look at “what makes California thrive, there’s so much that comes out of this region, and so much promise that can still come out of this region.”

Yee contends that the Valley could lead the creation of more water-saving technology.

She offered some ways to achieve success. First, is to focus on what Yee calls “our human capital.” That means to “train and attract top talent” for your company. Second is to invest in school science and technology programs and apprenticeships to fill the green jobs of tomorrow.

The Central Valley “has shown to have the guts, the drive and the desire to put in place the structures needed for success.”

Read more HERE

Madera almond processor to break ground on $10 million plant

Madera

Madera almond processor to break ground on $10 million plant

NOVEMBER 7, 2016 12:20 PM

A $10 million almond processing plant is being built in Madera to meet the growing demand for nut processing services in the region.

A groundbreaking ceremony will take place at 11 a.m. Thursday at 2725 Falcon Drive in Madera. The plant will be owned and operated by California Custom Processing.

The owners of the company, Grant Willits and Sonya Trevino, have more than 75 years of experience, collectively, in the fruit and nut processing industry. Span Construction and Engineering will be the general contractor of the 83,000-square-foot building on 8.5 acres.

California Custom Processing has 40 employees and that number is expected to double with the opening of the new plant.

Founded in 2012, the processing company is one of the San Joaquin Valley’s leading almond processors and is a certified organic processor. Earlier this year, the company installed a $1 million cool steam pasteurization system that allows the company to naturally pasteurize 10,000 pounds an hour of almonds and other nuts.

Read more HERE

Rubber recycling plant coming to Stockton

STOCKTON

Rubber recycling plant coming to Stockton

Nov 11, 2016
By Joe Goldeen

STOCKTON — A national producer of crumb rubber made from recycled tires and used for rubberized asphalt and sports fields is in the process of converting its Stockton warehouse into a full-fledged manufacturing facility that eventually could employ 20 workers or more.

Newport Beach-based CRM Rubber credited a $286,000 sales tax exemption made possible by AB199, authored by Assemblywoman Susan Talamantes Eggman, D-Stockton, and signed by the governor in 2015, in part for its choice to expand its presence at the Port of Stockton.

“Assemblymember Eggman’s bill was extremely helpful in bringing our company to the Stockton area. We had been considering an additional tire recycling plant in Northern California for some time and the promise of a sales tax exemption in AB199 was important in that decision,” said Brian Wong, CRM Rubber’s chief financial officer.

Eggman said creating new jobs in the recycling industry “is the point of the whole bill. This has been and will continue to be one of my legislative focuses.”

She said CRM Rubber had been getting ready to go to Canada before the tax exemption was made possible.

“We feel like this program will be pumping $200 million into the local economy. Everybody who applies (for the exemption) must demonstrate that it will be a net gain for the state of California,” Eggman said. To date this year, more than $16 million in tax exemptions has been granted statewide. By the end of the year, that could rise to between $18 and $20 million.

Wong said CRM Rubber’s current Stockton warehouse at 1404 S. Fresno Ave. — site of the former Hormel Foods processing plant — is currently being used as a transit station with three employees. No manufacturing is going on there yet.

Fresno looks to win cosmetics company’s distribution center – and jobs that go with it.

Fresno

Fresno looks to win cosmetics company’s distribution center – and jobs that go with it.

NOVEMBER 15, 2016 3:12 PM
BY TIM SHEEHAN

ULTA Salon, Cosmetics & Fragrance Inc., a major retailer of cosmetics and fragrances, is eying Fresno as the site for a 670,000-square-foot distribution center that could employ as many as 1,300 workers and fulfill internet sales orders throughout the West.

And on Thursday, the Fresno City Council is being asked to approve up to $18 million in economic incentives over the next 30 years to help seal the deal with the Illinois-based company.

A 38-acre patch of vacant land at the northeast corner of East and Central avenues, in southern Fresno’s industrial fringe, is under consideration for the project, said Larry Westerlund, Fresno’s economic development director.

The financial incentives would be in the form of partial rebates of property taxes paid by ULTA Inc. on the improved site, as well as partial rebates of sales taxes on goods sold through the center. But the package is contingent upon ULTA not only developing the site at an estimated $110 million, but also making good on creating new, long-term, full-time jobs for workers at the site.

ULTA Inc. is the division of the company that deals with distribution centers and e-commerce. To qualify for the incentives, ULTA would have to create the equivalent of at least 500 full-time jobs; if the company fails to reach that mark by the end of 2022, ULTA would have to repay whatever rebates it had received to that point.

“The company estimates that their initial workforce would consist of 642 full-time employees with up to 700 part-time employees at peak times of the year,” according to a staff report to the City Council.

ULTA SALON, COSMETICS AND FRAGRANCE INC. IS THE LARGEST BEAUTY RETAILER IN THE NATION WITH MORE THAN 900 STORES IN 48 STATES.

The property is currently just outside the Fresno city limits. But Fresno County’s Local Agency Formation Commission last week approved Fresno’s application to annex the site, clearing the way for the city to offer the economic incentives.

An economic analysis commissioned by the city estimates that even after paying the incentives, Fresno stands to realize $42 million in additional sales and property taxes over the next 25 years.

“The thing that sometimes gets lost in the mix is that currently that property provides very little economic benefit to the county or to the city,” Westerlund said. “It’s an empty field. Everything we’re doing is contingent on having that property built up with a $100 million facility.”

“If we don’t do the project, the amount (of tax revenue) is still almost zero,” he added. “All of this is on a net-gain basis.”

The property is owned by G3 Development Co., which also built the nearby North Pointe Business Park, which was being pitched by the city as the site for Nordstrom to operate a much-sought-after e-commerce fulfillment center. But in June, Nordstrom cited “the pace of change in retail” in delaying its plans for at least four years.

Westerlund said the city has been working with the Parnagian family, owners of G3 Development, on the annexation plans. Earlier this year, the City Council approved “pre-zoning” the site from its agricultural designation under the county’s zoning rules to industrial purposes in anticipation of bringing the property into the city’s jurisdiction.

Consultants for ULTA reached out to the city several months ago to inquire about available sites, but Westerlund said officials didn’t learn who the potential client was until this fall. Of several sites that were examined throughout the western U.S., Fresno has now been deemed ULTA’s preferred site, setting the stage for the company’s request for the incentives.

“We’re first up,” Westerlund said. “If some of the contingencies don’t hit, they could go to a second or third site.” Among those other contingencies are coming to terms on a deal for the property; approval by Pacific Gas & Electric Co. for discounted energy rates for new or expanding businesses; and approval of $8 million in CalCompetes state tax credits by the Governor’s Office of Business and Economic Development. The CalCompetes committee is expected to approve those tax credits at a meeting in Sacramento on Thursday afternoon.

ULTA Salon, Cosmetics and Fragrance Inc. is the largest beauty retailer in the nation with more than 900 stores in 48 states. The company’s stock is publicly traded on Nasdaq under the stock symbol ULTA. Its net sales through the first six months of 2016 were more than $2.1 billion, a 22.8 percent increase from 2015’s first half. ULTA operates distribution centers in Illinois, Arizona, Pennsylvania, Indiana and Texas. Its net profit for the first half of 2016 was $181.9 million, compared to $141.1 million in the first half of 2015.

The company’s second-quarter earnings report also included ULTA’s projected outlook to grow its e-commerce sales by about 40 percent.

“When you look at them, you realize they’re pretty big, and they’re growing like crazy,” Westerlund said. “And one of the big things they’re working on is growing their internet business.”

The company told the city it expected sales through a Fresno e-commerce and distribution center to amount to about $66 million in the first year of operation in 2018, according to a staff report to the City Council.

The ULTA proposal is the first big project to come through the city’s development pipeline since the City Council approved Councilman Lee Brand’s Economic Expansion Act, which includes the tax rebates and other economic incentives for major job-creating projects that are being considered for ULTA.

The $18 million cap on incentives for ULTA shows just how far Fresno has come in the types of inducements it wields for big-time developments that hold the potential for creating hundreds, if not thousa
nds, of jobs.

About 20 years ago, when Fresno was fighting to lure Gap Inc.