SeaTac Packaging Closes on IDRB Funding
IDRB funding to help SeaTac Packaging expand
It’s in the bag!
Since 1994, SeaTac Packaging has provided its customers with bags for transporting food, animal feed, seeds, cement mix and more. Now, thanks to a $10 million Industrial Development Revenue Bond (IDRB), the Puyallup-based company will expand its operations, implement state-of-the-art processes and bring more jobs to Pierce County.
SeaTac Packaging employs 100 workers, and sells its innovative products across the U.S., Canada and the Americas. In 2014, a boost in growth lead the company to the Economic Development Corporation of Pierce County (EDCPC), staffed by the EDB. The public corporation issues tax-free bonds for projects anywhere in Pierce County. The federal IDRB program offers below-market financing for qualified manufacturing or processing projects. SeaTac Packaging has completed multiple bonds through the EDCPC over the years.
On the EDCPC’s recommendation, the Pierce County Council approved the IDR bond July 2. No public money backs the bond; the borrower is fully liable for repayment and must obtaining private backing.
The bond will be used to finance a portion of SeaTac Packaging’s new 102,000-square-foot, state-of-the-art manufacturing facility slated to open soon in the Frederickson Industrial Area. SeaTac Packaging’s multi-million-dollar investment to fund the expansion created around 100 construction-related jobs and will mean 50 new permanent jobs for the company.
“The IDRB financing makes it possible for us to invest in new capital equipment that will make our operations even more efficient,” said SeaTac Packaging President David Huang. “It will also allow us to begin commercial printing, using water-based, food-safe processes that are safe for the environment.”
Moving the bond funding to fruition truly did take a village. The IDRB funding team included bond attorneys from K&L Gates, representatives from Banner Bank, local elected officials, EDCPC board members, legislative analysts, developers, real estate brokers and fellow economic developers.
For businesses looking to build or expand their manufacturing or processing facilities, IDRB funding may be a good option.
To learn more, contact:
Economic Development Manager