A grocery distributor that serves the military could qualify for up to $375,000 in Oklahoma City incentives in return for creating up to 150 jobs.
The Oklahoma City Economic Development Trust voted Tuesday to enter negotiations with Grocery Supply Acquisition Corp. as it prepares to open two food distribution warehouses in south Oklahoma City. The matter goes before the Oklahoma City Council on Aug. 14.
Grocery Supply Acquisition plans to create 140 to 150 jobs by the end of the year with an average annual salary of $34,707. The company spent $28.6 million to buy, rebuild and expand warehouses at 7501 SW 29 and 1301 SE 59.
The company is a subsidiary of publicly traded grocery distributor Nash Finch Co. The city warehouses will be run by Grocery Supply Acquisition's MDV division and include 500,000 square feet of dry and cold storage. MDV also supplies military commissaries and exchanges from warehouses in six other states.
The trust also recommended the council approve incentives with two manufacturers. UE Manufacturing LLC could get $340,000 for creating 170 jobs in an expansion related to hydraulic fracturing in the oil and gas industry, said Brent Bryant, the city's economic development project manager. The average annual salary is estimated at $37,428.
“The significant increase in hydraulic fracturing has brought back renewed demand for major remanufacturing, and UEM is expanding to meet the demand,” a staff memo about the project said.
Also, FMC Technologies plans to add 73 jobs and could qualify for $300,000 in incentives. The jobs are expected to pay an average salary of $41,643. FMC is moving a plant from Houston to Oklahoma City that will make electronic control systems for its surface wellhead division.
The incentives are part of a $75 million deal-closing fund included in the city's 2007 general obligation bond issue.