Custom Molding Services to acquire former VOM warehouse
The City Council on Monday gave a resounding “Yes” to a request from the Bartlesville Development Authority — the economic development arm of the City — to allocate economic development sales tax funds to help a local company acquire a larger facility to meet a growing demand for their products.
“Custom Molding Services, acquired by Bill and Cathie Johnson in 2012, is a successful, small manufacturer operating largely below the radar in a modest and wholly inadequate facility at 3509 Minnesota,” said BDA President David Wood.
Wood said Custom Molding Services has historically done contract molding or plastic components for other companies and produced parts for industrial applications but are now developing a growing line of their own products, including dog kennels, whelping nests and a line of coolers designed to fit Harley Davidson motorcycles.
He said BDA officials began working with the company more than a year ago, when CMS recognized “they would not be able to meet anticipated demand in their existing facilities once their new products hit the market.”
He said the BDA first looked at relocating the company to the Bartlesville Industrial Park. However, due to the substantial electrical requirements for plastic molding, costs for that facility were projected to exceed $2 million.
“Ultimately, it just proved too much,” Wood said.
Though disappointed at the time, “it turned out to be the very best for all concerned,” he said.
“Had we (opted for that location) we would not have had the resources to support Phillips Precision Machine with their new facility. And CMS would have missed the opportunity to acquire a great, underutilized facility on the west side, the former Voice of the Martyrs warehouse on Adeline.”
Wood said the new facility is available immediately and is far more affordable than new construction. Also, it “amazingly” is already equipped with the needed electrical service.
“Not only is this a better solution for CMS, the lower cost allowed for a substantially reduced level of BDA assistance,” Wood said.
CMS expects to hire 15 new employees within the first year of occupancy at an average production wage of $15 per hour. BDA trustees approved a 10-year, zero interest forgivable loan of $150,000, which received final approval from the City Council on Monday.
“This is one of those things that took a little longer than I think everyone had hoped but actually worked out for the best,” said Mayor Dale Copeland. “To have a local company go in and build their business and hire more people is — it’s what the BDA does.”
Copeland commended Wood and the BDA on its work in the community, pointing out that often the public is unaware of the work that goes into recruiting new business and assisting local companies with opportunities for growth.
“A lot of work is done that may not be evident on the surface, but tonight it’s a wonderful thing to consider this and look at getting another company on a growth pattern — along with PPM, which is another success, I believe,” Copeland said.
The council voted unanimously to approve the request for funding.