House Speaker Roger Hanshaw has confirmed that state officials are likely to announce a major economic development deal this week with a large company.
“I’m certainly prepared to confirm that there will probably be a major announcement of the same magnitude as the one you just made, around $ 2.7 billion,” Hanshaw, R-Clay, said on “Talkline” of MetroNews today.
“We’re here to review the terms of a deal that would potentially be the biggest economic announcement ever made, certainly in recent West Virginia history – something in the order of 800 full-time jobs, something in the order of a thousand construction jobs lasting more than a few years.
No one, including Hanshaw, has yet publicly named the company. But it’s widely believed to be Nucor Steel from Charlotte, NC
“We’re talking about a heavy industry company,” Hanshaw said, “and when we talk about heavy industry, it’s been a long time since we’ve had this kind of development in West Virginia. We certainly want jobs of all kinds here in our state; we want to recruit economic activities from almost all walks of life.
“Here now we have the opportunity to recruit an investment in heavy industrial manufacturing in our state and provide the kind of jobs that we haven’t advertised in West Virginia for some time. “
A special session opens today to discuss one or more bills based on tax incentives based on certain investments. @SpeakerHanshaw joined @HoppyKercheval to provide more information on this special session. WATCH: https://t.co/yCFQ3nDJuy pic.twitter.com/1By2hO6KeK
– MetroNews (@WVMetroNews) January 10, 2022
Gov. Jim Justice on several occasions hinted strongly at a booming economic development announcement during his state of state address Wednesday night – “because there are going to be other major announcements going to be there. state of the state and more goodness to come to the state of West Virginia.
On Saturday evening, Justice called a special session for today to consider several interrelated economic development bills. “Stay tuned for announcements of potential investments next week,” he said in the last line.
Both houses of the Legislature opened the special session at 11 a.m. today, with finance committees scheduled to consider the bills later this afternoon.
“That is to say, you are absolutely right, the purpose of our being here in session two days before the start of the regular session,” Hanshaw said on “Talkline”.
The appeal of the special session of justice generally describes a “policy to provide certain tax incentives, based on certain thresholds of investment and employment, in order to promote the development and expansion of a new heavy industry in very labor and capital intensive in this state “.
“The company needs to make substantial investments, nine-figure investments before any of the West Virginia state contribution or equity funds are actually triggered,” Hanshaw said today.
Five other policies that lawmakers should consider are supplementary supply bills. Several appear to be federal relief or stimulus money transfers to state agencies. Another transfers money to the state’s Ministry of Economic Development.
The governor’s office said that a credit to the Economic Development Department would capitalize on significant state revenues “to secure jobs and good for generations to come” and “to secure huge private investments throughout the world. ‘State.
“These credits will mark the largest investment in economic development in the history of this state and pay untold dividends in recruiting businesses, their employees and families, and other private investments in West Virginia.” “
A large steel company, Nucor Steel of Charlotte, NC, recently acknowledged evaluating locations in West Virginia.
In September, the company specifically described the appraisal of a property in West Virginia, Ohio and Pennsylvania for a new state-of-the-art 3 million tonne plate mill.
The new plate plant is expected to cost around $ 2.7 billion. The rolling mill has been described as producing hot rolled sheet with downstream processing comprising a tandem cold rolling mill, annealing capabilities and initially two galvanizing lines.
Nucor noted that once state and local incentives, permits and other regulatory approvals are received, construction is expected to take two years.
Nucor is known as the largest steel producer in the United States, as well as the largest “mini-steel” steelmaker. It is a small-scale steel plant that uses scrap metal as the starting material. Nucor is also the largest recycler of scrap metal in North America.
The company also announced a month ago that it was looking for a site to build a rebar micro-factory budgeted at $ 350 million. The company’s announcement indicated that it was looking for a site in the South Atlantic region.
“We recently successfully launched two micro rebar mills and believe the east coast market will need additional rebar supply in the years to come, especially with the recent adoption. of the infrastructure spending bill, ”said Leon Topalian, president and CEO of Nucor.
The other two micro-factories are in Florida and Missouri.
Rebar is mainly used in the construction of roads, buildings, sidewalks and other structures. Due to the variety of its end uses, rebar has experienced resilient demand characteristics over the past 20 years, and the company believes the rebar market is expected to continue to strengthen.
“Rebar has been at the heart of Nucor’s business since we entered the steel industry and this project will allow us to maintain our leadership position in the rebar market,” Topalian said.