KEDC and Merritt Tool enter into economic development agreement
By KATHRYN MARTINEZ news1@kilgorenewsherald.com

Kilgore Economic Development Corporation voted yesterday to cover half of costs associated with removal of high placticity soil and the replacement of other soil in association with the construction of the Phase II Shell Building at Synergy Park.

Amanda Nobles, KEDC executive director, said the foundation for the second building cannot be poured where there is an abundance of red clay.

"This could cause the foundation to crack," she said.

As a partner with Kilgore Synergy Ventures, KEDC will pay half, up to $35,000, for the project to move forward.

Roger Gault and Stephen Hundley, of Kilgore Synergy Ventures, supplied Nobles with a preliminary estimate of $62,000 for the required dirt work.

KEDC Board of Directors approved a figure $4,000 higher than half to avoid a future meeting to increase the corporation's half of participation costs.

In other business an executive session yielded another economic development agreement between KEDC and Merritt Tool.

Merritt Tool has agreed to add $2.2 million in machinery and equipment to improve its production speed.

KEDC will contribute $50,000 to Merritt Tool for this investment.

Merritt Tool will not be adding any jobs at this time. Noble said the company will retain the 105 employees it already has.

A spin off from Pak-Sher, TC Manufacturing Company, dba Highpoint Manufacturing, is slated to begin production of giftwrap in Kilgore at the former Hydroseal Building owned by Texas Office Leasing.

The new company intends to invest $1million in machinery and equipment for a KEDC contribution of $25,ooo and create 10 new jobs for a KEDC contribution of $35,000 over a three-year period.

Bill Mishkind abstained from the otherwise unanimous vote because of a conflict of interest.