Johnston County Commissioners on Monday approved an incentives package for 3C Packaging Inc. to expand its operations near Clayton.
The company is considering adding 20 jobs and investing $2 million to $3 million, and the boost from the county will play a big role in that decision, said Chris Johnson, director of Johnston County Economic Development. The capital investment would occur in the next 12-18 months, and the company would add the new jobs in the next three to five years.
Commissioners agreed to return for three years 50 percent of the new personal property and real property taxes the expansion creates. That works out to $7,800 to $12,000 per year, for a total of incentive of $23,400 to $36,000.
Because the incentive is a 50-percent return of new taxes, the county would see an identical increase in its tax rolls over the three-year period, Johnson noted.
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3C Packaging has operated in Clayton since 1983 and currently employs 180 people, Johnson said. The company produces packaging for pharmaceutical products; its customers include local drug makers Grifols and Novo Nordisk. 3C Packaging has room to expand further to keep up with plans Novo Nordisk announced last week to invest $1.85 billion in a new Clayton plant. That facility will create 691 jobs when it opens in five years.
The 3C Packaging expansion goes to show how one company’s growth can lead to even more development in the county, Johnson said.
“These are the ancillary jobs that we talk about bringing to Johnston County to provide more opportunities for our citizens who live here to work here,” he said.
$2-3 Million Investment by 3C Packaging
20 Jobs created in 3-5 years
$23,400-36,000 County incentives over 3 years
The investment number might be much smaller than the dollars announced by Novo Nordisk, but commissioners are no less appreciative of 3C Packaging’s plans to invest in Johnston, said Commissioner Chad Stewart.
“This is big news too because all jobs are important,” he said.
Also on Monday, commissioners gave staff the go-ahead to apply for a state loan to expand sewer service in the McGee’s Crossroads community.
The county has a six-inch force main in McGee’s Crossroads, but that line has reached its capacity, said utilities director Chandra Coats. Staff is proposing upgrades to existing pump stations, she said, and construction of a second six-inch main. The infrastructure would serve future school, commercial and residential development.
Commissioner Cookie Pope said the lack of sewer capacity is the only thing holding back development in the McGee’s Crossroads community.
“This is going to cause that area to explode,” she said.
Staff has fielded multiple inquiries from developers interested in McGee’s Crossroads, Coats said, but the existing infrastructure is insufficient.
“We just want to stay ahead of the game so we can serve what develops there,” she said.