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Mar

09

Lack of Utilities Stifles Industrial Growth in South Lake

March 7, 2009, CLERMONT

Sewer and water lines could carry the lifeblood of industrial growth into south Lake, where the county may invest $435,000 with hopes of turning a sleepy country lane into an economic magnet.

But without the investment, the county could lose a business considering a multimillion-dollar expansion.

"We're trying not to move," said James Cohen Jr., vice president of business development for Blue Earth Solutions, which has quickly outgrown its plant on Granville Avenue, south of State Road 50 in Clermont. "But we're cramped in here like sardines."

The recycling company, which established its Lake County site about a year ago, needs municipal water and sewer service to expand its business. Blue Earth Solutions, which recycles polystyrene and Styrofoam products such as coffee cups, packing peanuts and other disposable items, is served by wells and septic tanks.

"We can't grow without utilities," Cohen said.

He said the company has been courted to relocate to Winter Garden, a city that can offer established industrial sites connected to municipal utilities, which are essential if Blue Earth Solutions is to expand.

If Lake agrees to pay for pipes and a sewer-lift station, Granville Avenue could emerge as an attractive industrial park because of its proximity to Florida's Turnpike, said Dottie Keedy, Lake County director of economic growth and redevelopment.

The money the county would use does not come from the general fund. Instead, it would come from money already budgeted for economic growth and redevelopment.

But commissioners aren't sold — yet.

The board delayed a vote this week on the request, pitched by Keedy. Commissioners said they were concerned that Blue Earth Solutions — and other property owners on the road — would reap an economic benefit for their land without offering any employment guarantees.

"I want to be business-friendly," said Commissioner Jimmy Connor, explaining his reluctance. "I want to make sure we are getting a return on our almost half-million dollars of investment. I would like to see a plan for the area as opposed to one business."

In documents submitted to the county, Blue Earth Solutions said it would add another $650,000 machine and a dozen more workers if its plant received municipal water and sewer service from the city of Clermont.

Clermont will review the issue Tuesday.

The city will be asked to kick in $50,000, an amount Councilman Ray Goodgame said the city would find difficult to give away when it has required other new businesses to foot the costs of installing their own water and sewer lines.

"I don't know that we could justify that kind of expense with our budget concerns," he said. "Fifty thousand dollars is an employee's pay for a year."

But if utilities were available, Blue Earth Solutions executives said they would consider also buying other lots on Granville for a future expansion that could top $1.2 million in capital investments and could include as many as 75 full-time manufacturing jobs.

Dolores Key, director of economic development for Winter Garden, confirmed that her city has held discussions with Blue Earth Solutions about relocating there, but she declined to discuss details.

She noted that Winter Garden could offer the company so-called "brownfield" sites — specially designated areas in which state-funded cash incentives are available to businesses that add jobs.

Keedy said municipal water and sewer connections could spur development on Granville and create a "brownfield" site for Lake County, making the lane a more attractive location for industry.

Commissioners directed her to sample opinions of other Granville property owners.

The area, east of Clermont's city limits, south of U.S. 50 and less than two miles from the turnpike, also is home to Senninger Irrigation, a 45-year-old manufacturing company, but most of the other parcels on Granville Avenue are under-utilized. They include a car-repair shop, a warehouse and a vacant lot.

"This isn't just for Blue Earth," Keedy said. "If they expand and add jobs, that would be great. But if, in the end, all we accomplish is creating a new industrial park in our county that becomes a magnet for new business, where's the downside?"

Stephen Hudak can be reached at shudak@orlandosentinel.com or 352-742-5930
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