Elanco strengthens its commitment to FD | News, Sports, Jobs
For more than 50 years, the vaccines and drugs veterinarians depend on have been produced in a plant northwest of Fort Dodge. This manufacturing tradition is about to continue.
Executives at Elanco Animal Health have reaffirmed their commitment to this sprawling Fort Dodge campus following the company’s recent acquisition of Bayer’s animal health business.
This purchase resulted in a thorough review of all of the company’s factories and three of them were sold. But the company decided to keep the Fort Dodge one and pledged to invest $ 106 million there over the next six years.
It will also create 26 other jobs and keep the current 441 jobs there.
“We are delighted to continue our work serving farmers, veterinarians and pet owners through our manufacturing and R&D operations in Fort Dodge,” David Evans, executive director and site manager for Fort Dodge – Elanco, said in a written statement.
The company is expected to receive millions of dollars in aid from state, county and city governments, as well as job training assistance from Iowa Central Community College. “The collaboration and support from the state, county, city, Iowa Central Community College and the leadership of the Growth Alliance has been excellent and we look forward to continuing to build an animal health business of leading thanks to our operations in Iowa ” Evans said.
Elanco bought the plant from Boehringer Ingelheim Vetmedica in 2017 for a contract of $ 885 million.
The factory was built by Fort Dodge Laboratories, and some longtime residents may still refer to the site as ” Laboratories “. The company name was later changed to Fort Dodge Animal Health.
The site was later owned by Pfizer Inc. and Boehnringer Ingelheim Vetmedica.
It has research and development facilities as well as manufacturing capacity. Vaccines for dogs, cats, cattle and pigs are produced there.
The plant contributes more than 40 percent of Webster County’s regional gross manufacturing product, according to the Greater Fort Dodge Growth Alliance.
“We are happy to see Elanco stay within our community”, Webster County Supervisor Mark Campbell said.
“Keeping this plant is good not only for Webster County, but also for the region,” he added. “About 50 percent of Elanco employees commute between out of the county and the factory.”
Several levels of government have come together to develop an incentive program for Elanco.
“All parties have come together to create a unit that would be competitive with the other locations envisaged”, said Dennis Plautz, president and CEO of the Greater Fort Dodge Growth Alliance. “It’s one of the most creative incentive packages I’ve seen in my years of economic development. “
The Iowa Economic Development Authority is preparing to offer $ 2.2 million in direct incentives and $ 3.8 million in indirect funding and tax credits.
Webster County will provide a grant of $ 500,000.
Iowa Central Community College will offer a skills training grant of $ 330,000.
The city government of Fort Dodge will offer a rebate funding tax increase of 80 percent of the increase in revenue, estimated at $ 480,000.
The city will also offer an 80 percent rebate of the increased assessed value of the site due to the planned redevelopment.
The city will also annex the plant within its corporate boundaries. The facility at 800 Fifth St. NW appears to be on a city street, but is actually just outside of the city limits. Because it is outside the city limits, the company pays a higher rate for water and sanitary sewer service. Being in the city will entitle him to lower rates, saving the company over $ 360,000 per year for the first five years.
“One of my goals as mayor has been to annex the facility to the city because of its proximity and the municipal services we already provide” Mayor Matt Bemrich said. “We have worked with the various owners of the facility over the years on many projects, but this was the perfect project to create a win-win situation for Elanco and the city.”