GLASGOW — Federal Mogul Motorparts in Glasgow held a groundbreaking ceremony Friday for an $8.6 million expansion project that will afford the manufacturing facility the opportunity to make air friction disc brake pads for the commercial vehicle market.
Fred Morgan, plant manager, called the groundbreaking on the expansion project “a momentous occasion.”
“The air disc friction pad … is the newest technology that is available for the commercial vehicle market and we're able to manufacture it in the USA,” he said.
Morgan thanked the plant's employees.
“At the end of the day, you made the difference to get this opportunity, so thank you very much,” he said.
The expansion project received funding on state and local levels, starting with a $100,000 loan from the Glasgow Economic Development Loan Fund that was approved by the Glasgow City Council in January. In February the city council agreed to set aside another $50,000 from GEDL for the project.
The GEDL loan is forgivable at the end of five years provided the company meets the expectation of adding at least 25 new jobs.
The city council also agreed to allow the company to pay only 0.5 percent occupational license fee on wages over a period of five years rather than the typical 1.5 percent.
Local and state dignitaries were on hand for the groundbreaking ceremony, including Glasgow Mayor Dick Doty, who said: “We're grateful to be here today. We're thankful for the opportunity. We are celebrating the recommitment of Federal Mogul to this community.”
Federal Mogul moved to Glasgow 20 years ago and have become the cornerstone of the industrial park.
“This is a tremendous investment. This is a worldwide company (with) plants throughout the world. And this new product line could have gone any number of places, so we are truly grateful that it came to Glasgow,” he said. “For the Federal Mogul people to recognize this, this workforce and this community as the place where they wanted to spend their money, that's pretty impressive, so we are very thankful to you all for that commitment.”
Sen. David Givens, R-Greensburg, said he was unaware of the competition involved in landing the manufacturing of air friction disc brake pads.
“Fred (Morgan) was sharing with me that for an older plant, a 20-year plant to be awarded this took some extra special effort,” he said, adding he thinks what made the Glasgow plant stand out over others was the credibility of the plant's workforce, the Glasgow community and Morgan's credibility.
Rep. Steve Riley, R-Glasgow, was also on hand for the event and pointed out that the state made a $600,000 investment in the expansion project.
“We are awfully proud to see this,” he said. “We're very glad to be able to be involved in that to help expand Federal Mogul.”
Riley reiterated what Givens said regarding the plant's workforce.
“This could not have been possible if we didn't have workers that did the job every day and made sure that this plant operated in a very efficient manner under the leadership of Fred and his leadership team,” he said.
Barren County Judge-Executive Micheal Hale also spoke during the event and said the $8.6 million investment in the project and the creation of the 25 new jobs shows “what can happen when we make it known that Barren County is open for business.”
After the groundbreaking ceremony, Dan Iacconi, executive director of the Barren County Economic Authority, said the expansion project demonstrates that Glasgow-Barren County is a business friendly community.
“We want to monumentally thank Gov. Bevin and his administration for their adoring support during this entire project,” he said. “We are excited. This is a project that has been in the works for about six months. We are looking forward to a long partnership with the Federal Mogul organization.”