PepsiCo’s subsidiary, SVC Manufacturing, Inc., which produces Gatorade, will invest $30 million to expand and upgrade its production plant in Osceola County, Florida.
According to Positively Osceola, this project will install a new manufacturing line which is expected to begin operations in mid-2021 and will result in the creation of 40 additional jobs, bringing the total of full-time positions at the plant to nearly 200. The plant is located near the Sun Rail line.
“We are committed to increasing employment opportunities in Central Florida, which is the home to our PepsiCo North America Beverages South Division headquarters,” said Derek Lewis, President, PepsiCo Beverages North America – South Division. “This investment of an additional Gatorade manufacturing line will not only assist the local community with additional jobs but will be key in our path to support our customers’ business growth, as well as our growth in Florida and beyond.”
Osceola County offered the company a $3,000 per Job Creation Incentive and an annual Economic Development Ad Valorem Tax Refund of 50% of the incremental County Ad Valorem Taxes paid on the new equipment between 2022 through 2026.
It is estimated the total Tax Refund is valued at over $300,000. For Gatorade to benefit from these incentives, the capital investment of $30 million must be made by December 31, 2021, while the 40 new full-time positions must be created by January 1, 2022 and maintained until January 1, 2027.
According to the Kissimmee and Osceola News, the incentive package was unanimously approved by the Osceola County Commission. The Commission included provisions in the Agreement that would ensure the Company invests $30 million, along with creating and maintaining the required new positions. Any positions rescinded before January 1, 2027, would require a refund of the Job Creation Incentive. Furthermore, in any year that the Company fails to meet the Job Requirements, the Tax Refund for that year(s) of non-compliance, will not be granted.
“Gatorade is a great corporate community partner and this expansion is a fantastic return on investment for the county, about a 60:1 ratio. It also aligns with our adopted Strategic Plan’s goal to “Grow and Diversify” the economy by expanding an existing targeted industry. With the highest unemployment rate in the state sparked by the Coronavirus pandemic, these 40 new jobs could be a game-changer for hard-working residents desperate to save their homes and their lifestyles,” said Viviana Janer, Chairwoman, Osceola County Commission.