Sonoco to add $1M in payroll

Sonoco Products will build a new manufacturing plant in Hartselle, which will bring at least 28 new jobs with a payroll of just over $1 million.
Tuesday night, the Hartselle City Council approved a tax abatement for Sonoco Products to help the company build a new manufacturing facility next to its wood reels plant in the Hartselle-Morgan County Industrial Park.
Randy Lusk, director of manufacturing for Sonoco Products in Hartselle, said this facility will replace one that burned in Bastrop, La., and will produce molded wood plugs.
“We are planning to start work immediately on the plant,” Lusk told the council Tuesday night. “We are currently unable to produce these plugs because our facility was destroyed in Bastrop, La. Paper companies rely on these plugs for shipping large rolls of paper.”
Lusk added that the wood reels plant’s byproduct is the raw material for the plugs.
The plant will cost about $4.6 million to build. The city council approved abating all of the sales taxes for construction and property taxes for the next 10 years except for the portion that is dedicated for education.
Jeremy Nails, director of the Morgan County Economic Development Alliance, said the city will lose $4,494 in property taxes annually and $35,000 in sales taxes. However, schools will receive $4,464 in sales tax revenue and $10,000 annually from property taxes.
“We’re fortunate that in today’s economic times that we’re able to bring this before you,” Nails said.
Mayor Dwight Tankersley and other council members thanked Sonoco for building this plant here.