State Gives Frito Lay $3 Million Urban Act Grant - NBC Connecticut

State Gives Frito Lay $3 Million Urban Act Grant



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    MIAMI - MARCH 22: In this photo illustration a bag of chips maufactured by PepsiCo's Frito-Lay brand and cans of their Pepsi soda is seen on March 22, 2010 in Miami, Florida. PepsiCo announced plans to cut sugar, fat, and sodium in its products to address health and nutrition concerns. The maker of soft drinks including Pepsi-Cola, Gatorade also makes Frito-Lay brand snacks. (Photo Illustration by Joe Raedle/Getty Images)

    The state is giving Frito Lay a $3 million Urban Act grant for its Killingly operation.

    In a news release issued on Wednesday, Gov. M. Jodi Rell said the funds would help the snack chipmaker expand and improve its operations in Killingly, which will preserve more than 500 jobs.

    “When the state is looking to invest in a company, we take many factors into account – including the depth of the company’s commitment to Connecticut’s people and communities,” Rell said. “Expanding its operations here sustains quality jobs that require ongoing training to keep up with Frito-Lay’s technology improvements and innovations.”

    The $66 million Killingly project will add production and warehouse space and a larger wastewater treatment system for the facility, as well as 100,000 square feet to the plant and require new machinery and equipment.

    Department of Economic and Community Development administers Urban Act funding.

    The state Development Authority Board of Directors also approved a sales and use tax exemption of up to $1.5 million on Wednesday on construction materials for the project.

    The Killingly manufacturing plant is on a 75-acre site and services Connecticut and other Northeast retailers and exports products for the military overseas.

    Last year, the plant went green.