January 2008: Newton Plant Expansion
The company expands and updates its facility in Newton, Kansas.
CITY GIVES TAX HELP TO NORTRAK FOR SLATED EXPANSION
Business continues to expand in the city as the Newton City Commission approves a tax abatement for VAE Nortrak North America.
The 10 year tiered tax abatement will help the company as it expands and updates the facility in Newton.
A new 50 by 100 square foot building will be constructed, as well as the existing building being refurbished to accommodate more than $2.1 million of new equipment.
"Everything that the train runs on, we build," said Dwayne Williams, plant manager.
The company is at 405 W. First St in the "old Santa Fe rail mill," Williams said. The facility, prior to 2002, had not seen many updates in equipment like CNC and milling machines.
"We're working on putting in a new facility with a new $1 million machine that will put six new employees in that building alone," he said. "Another addition will be a $2.1 million milling machine, which shuold be in place by May."
The Newton Nortrak facility is one of seven plants in the United States. Right now, Williams said it probably is one of the biggest plants receiving the company funds for expansion partly because it is a hub for the Burlington Northern Santa Fe Railroad.
"What's driving that is we're doing a contract wtih BNSF for track panels. Overall, we're looking at a 40 percent growth in revenue in the next year to year and a half."
Excerpts from an article in the Newton Kansan paper as reported on Wednesday, January 9, 2008 by Crystal Hoffman
