WESTFIELD – The City Council sent a resolution submitted by Mayor Daniel M. Knapik seeking to establish an economic opportunity area for a local company with plans to construct a new building on Lockhouse Road. The council voted Thursday night to send the resolution to its Legislative & Ordinance Committee for further review.
The creation of the economic opportunity area would allow the city to provide Utility Service New England, Inc., with a tax incentive financing (TIF) agreement as part of the package to construct a new building housing the firm which is currently in a building which is about 6,000 square feet, at 4 Coleman Ave., off East Silver Street.
USNE is seeking to relocate to 7,200-square-foot general service building and a 3,600 accessory building that will be used for storage of electrical supply materials on the 2.4 acre site. The company now has a fleet of six trucks, including bucket and auger trucks, as well as cable trailers. The general service building will have several bays for truck access and a loading dock at the southwest corner of the structure.
City Advancement Officer Jeff Daley the city has negotiated a five-year TIF agreement, which will provide relief of 50 percent of taxes owned by the company the first year of the agreement. The relief drops by 10 percent a year over its five-year life.
“This is an $800,000 investment in the facility and equipment that will keep the company in Westfield, retain the existing five jobs and create four additional jobs over the five-year agreement,” Daley said. “Another exciting aspect of this agreement is that USNE does 25 percent of its business out of state, in Connecticut and other states, so it brings out-of-state revenue into the city.”
The Planning Board voted to approve permits to allow construction of buildings at 310 Lockhouse Road that will house an electrical contractor, approving a special permit, site plan and stormwater management plan for the project.
USNE is moving to a 10,800-square foot space. The new facility will also be more efficient with nine overhead doors and bays to load materials onto the truck. The current facility on Coleman Avenue building has one door, so it is a scheduling issue to get all the trucks in and out.
Daley said the new building is already under construction on property owned by 310 Lockhouse Road LLC. Company officials said at the Planning Board hearing that the new facility will be completed this fall and that the company plans to be doing business out of the Lockhouse Road buildings by Oct. 1, 2012.
To see video of the August 17 City Council meeting, click here.
