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Trinity Packaging Corp. of Cheektowaga, New York, Plans $6.5 Million Plant Expansion

Area Development Online News Desk (03/27/2014)
Trinity Packaging Corp. of Cheektowaga, New York, plans a $6.5 million expansion of its manufacturing plant, with a commitment to create 21 jobs and retain 129 positions at its facility in the western part of the Empire State.

Trinity’s current initiative includes relocation of inventory and the acquisition of new manufacturing equipment designed to increase flexible packaging production by 25 percent.

As a major incentive, New York Power Authority Board of Trustees approved an allocation of low-cost hydropower to the firm, Governor Andrew Cuomo’s Office said. Erie County Executive Mark C. Poloncarz said, “It is good news that Trinity Packaging is not only choosing to stay in Erie County but to grow their operations there as well, bringing new jobs with a major expansion. Using New York Power Authority power to fuel this growth is a good example of a public-private partnership that is bearing fruit locally and is using our unique hydropower resources to drive that growth.”

Headquartered in Armonk, New York, Trinity Packaging manufactures flexible packaging products for various industries. In 2012, the company acquired Cello-Pack, a Cheektowaga-based manufacturer that has been in operation since 1948. While planning an expansion of its operation, Trinity’s management considered expanding a sister facility in Virginia but instead chose to grow in Erie County, the Governor’s Office noted.

“One of Western New York's top resources, clean, low-cost hydropower, is a key element in reinvigorating the region's economy,” Governor Cuomo explained. “This is yet another example of a public-private partnership in which both parties work together to meet the needs of businesses that choose to grow and invest in New York State, our families, and communities."

The power allocation will be drawn from a block of hydropower, known as Replacement Power, from NYPA’s Niagara Power Project. It is one of two large portions of power from the plant, with the other is called Expansion Power, that are directly linked to tens of thousands of Western New York jobs. About 40 megawatts of the total 695 MW provided for under the Replacement Power and Expansion Power programs remain available for allocations to qualifying businesses, where one MW is enough electricity to power 800 to 1,000 typical homes. Under state law, this power is reserved for job-producing businesses within a 30-mile radius of the Niagara project.

Other economic development incentives for Trinity's proposed expansion include up to about $550,000 in Excelsior Jobs Program support from Empire State Development, up to $400,000 from New York State Electric and Gas for electric infrastructure upgrades and approximately $73,500 in sales tax savings from the Erie County Industrial Development Agency.

President/CEO of NYPA Gil C. Quinones said, “The manufacturing sector anchors Western New York’s industrial base and is critical to the state’s economy. The Power Authority’s low-cost hydropower will help Trinity Packaging to expand its operations, create jobs and invest millions in the region.”

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