Cape Girardeau has received a commitment for a $600,000 community development block grant for water and sewer line improvements at Cape Girardeau Regional Airport.
The preliminary grant award, announced by the Missouri Department of Economic Development Tuesday, will help the city provide water service to the airport and surrounding businesses.
"This was a key decision needed to assure the location of aircraft manufacturer Zenair of Canada Ltd. and Independent Manufacturing and Development Co.," said Mike Miller, Cape Girardeau city manager.
The grant will aid the city in providing public infrastructure improvements to assist in development of the airplane manufacturer, which will create about $2.5 million in private investment.
"This is exciting news," said Miller. "I am pleased that DED is playing a role in making this project a reality."
Airport manager Bruce Loy said, "It was one of the key parts of attracting Zenair here."
"Everything is falling into place," said Mitch Robinson, executive director of the Cape Girardeau Area Industrial Recruitment Association. "The water and sewer improvements will be a boost to the entire area."
Kent Bratton, Cape Girardeau city planner, said plans call for extending 12-inch mains about 9,500 feet, from the South Water Plant to Airport Road.
City officials and planners will meet with DED representatives soon to complete final planning for the project, said Betty LeFeure, DED field representative.
Bratton and Lefeure said the commitment is preliminary and final details will be worked out soon.
Independent Manufacturing President Mathieu Heintz announced earlier this year that his company would build Federal Aviation Administration-type certified CH2000/CH2T aircraft at the airport. Heintz said the company was behind on orders for the single-engine, two-seat training aircraft.
Cape Girardeau officials and the Cape Girardeau Area Industrial Recruitment Association have negotiated with the company for several months.
Heintz emphasized the company would like to start work here as "quickly as possible and accelerate on a fast track."
Zenair has produced aircraft since 1973. The Cape Girardeau plant will provide increased production to meet demand and increase capacity for new aircraft designs.
Zenair has a plant at Mexico, Mo., where it makes experimental aircraft kits. The company employs 12 to 15 workers at Mexico and turns out three or four kits a week. People buy the kits, take them home and build their aircraft.
The company will start assembling the CH2000 in a 6,000-square-foot hangar. Components are currently being produced in Canada.
A 40,000-square-foot plant is in the plans. Once the plant is completed, the planes will be completely manufactured and assembled here.
Three or four potential employees are undergoing training in Canada, said Heintz. He said that when the company starts the assembly process another four or five people will be hired.
When the plant is finished, the company will employ about 50 people. Plans are to expand to more than 100 workers. The manufacturing jobs will pay $10 to $12 an hour to start, with raises to $15 or $16 an hour.
Independent Manufacturing's vice president and plant manager, Dick Reber, said the company has designs for four-passenger and six-passenger planes.
In September, the City Council voted to issue up to $8.5 million in industrial revenue bonds to pay for construction of a building and equipment for the operation. The company would be responsible for paying off the bonds and would own the building and equipment. Zenair would own the building and lease the land from the city.
Connect with the Southeast Missourian Newsroom:
For corrections to this story or other insights for the editor, click here. To submit a letter to the editor, click here. To learn about the Southeast Missourian’s AI Policy, click here.