Rand Machine Products is looking to turn a shuttered mattress factory in Ellicott into its next manufacturing hub, with plans to retain 115 existing jobs and add 31 new full-time positions over the next three years. The company intends to keep operating its current Falconer facility at the same time, running two sites rather than consolidating into one.
The expansion centers on the former Serta Simmons Bedding building at 2375 Parkway Drive, which Rand is acquiring to support growth tied to its defense programs, according to post-journal.com. The outlet reports the company would continue with two separate locations rather than shutting down its existing operation at 2072 Allen Street Extension in Falconer. Rand plans electrical and HVAC upgrades at the Parkway Drive site along with installing new machinery and equipment, and the newspaper puts the overall project cost at around $5.7 million.
Rand describes itself as a supplier of precision-engineered components and systems for the U.S. defense and aerospace industries, according to JBK Manufacturing & Development Company. That reputation got a boost last year when the company was awarded $39.9 million as the first order of a five-year U.S. Department of War contract valued at up to $330 million, with the announcement framing the award as support for high-skilled manufacturing jobs and continued investment in advanced production capabilities.
Why Rand Says It Needs More Room
Rand's push for added capacity comes down to demand outpacing what its Falconer footprint can handle. Growing customer demand is expected to require additional manufacturing capacity within the next 12 to 18 months, even as the Falconer site keeps running at full capacity, the post-journal.com report notes. Rand President Dan McKenrick has framed the moment as a generational change in the industry, particularly in defense and aerospace, calling it an opportunity to capture and secure future business.
The Buffalo News reports Rand is headquartered in Falconer, New York.
A Tax Break Fight With Conflicting Numbers
Getting the Ellicott expansion off the ground will likely hinge on incentives from the Chautauqua County Industrial Development Agency. The post-journal.com account states plainly that Rand is looking for a 20-year Payment In Lieu Of Taxes agreement.
What is clear is the process the request still has to go through. The CCIDA board has passed what post-journal.com describes as a due-diligence resolution, which allows agency staff to explore the specifics of any tax incentives and likely hold a public hearing. The board will still need a second vote to finalize any PILOT agreement, the outlet notes, meaning nothing is locked in yet.
Under the Chautauqua County Industrial Development Agency's own Uniform Tax Exemption Policy and Guidelines, the standard real-property-tax abatement period for qualified projects is 10 years, with abatements ranging from 90% in years one and two down to 50% in years nine and ten. The policy also specifies that projects receiving an abatement are generally required to enter a PILOT agreement.
For now, the Ellicott expansion remains in the review stage rather than finalized, with the IDA's due-diligence process, a possible public hearing, and a second board vote all still ahead before any incentive package becomes official.
