News  Dollar General Distribution Center Updates

By CHARLES L. WARNER Staff Writer

Dollar General Stores plans to build a regional distribution center in Union County, providing 600 jobs to this economically-strapped area. A formal announcement is scheduled for Thursday morning at 9:30 at Bogie's on Sardis Road. Secretary of Commerce Bob Faith and Gov. Mark Sanford are scheduled to attend the ceremony.

Work is expected to begin in March on the 1.1 million-square-foot facility, to be located on S.C. 9 north of Jonesville. The company will invest at least $50 million in the facility, whose employees will include 50 salaried positions earning $50,000 a year or more. The rest of the work force will be hourly employees earning $8-$11 an hour.

The last time so many new jobs were announced in Union County was in 1956 when Carlisle Finishing provided 700 jobs . "If you're looking at unemployment in South Carolina our rural areas have been particularly hard hit," said Sanford. "In Union you're at 11 percent unemployment, which is the seventh highest rate in the entire state.

Anytime you can inject the number of jobs Dollar General is bringing into that equation it's obviously a positive thing, but there's a bigger picture out there that this administration is focused on long-term as it relates to our state's rural economic development efforts, he said. Whether it's Union or Walterboro or Charleston or Greenville, we're never going to see the kind of job growth we're capable of having unless we work to improve our underlying business climate. For us, that clearly starts with income tax relief." Dollar General has 6,653 stores in 27 states throughout the South, East, Midwest and northern regions of the country including two in Union County.

The stores are served by seven distribution centers in Alachua, Fla.; Scottsville, Ky.; Indianola, Miss.; Fulton, Mo.; Zanesville, Ohio; Ardmore, Okla.; and South Boston, Va. The Union County facility will be the company's eighth distribution center. The distribution center is welcome news for Union County, which was devastated last year by the announcement of three plant closings and layoffs at two others.

The county's unemployment rate in December stood at 11.2 percent. "Let there be no doubt about why Dollar General chose Union County for this project," said Commerce Secretary Bob Faith. "County officials were 100 percent committed to this project from day one, and it showed in the effort they made to win Dollar General's business. Add to this the fact that our workers are second to none, and it's clear that South Carolina has what it takes to attract the best companies in the world."

The facility will be built on land owned Ruth Free, Helen Free Jolly and Anna Free Brown. Mrs. Brown said the land had been owned by the family for five generations and the decision to sell was difficult. However, we love Union County and we want to see its churches, schools and businesses prosper, she said. For this to happen, we need the kind of secure jobs this company will provide. Our county has been hit hard by the loss of textile jobs.

Mrs. Brown praised the efforts of Union County Supervisor Donnie Betenbaugh, Development Board Director Stanley Vanderford and administrative assistant Julie Jones. These three have worked diligently in the last few months with South Carolina Department of Commerce officials to make this happen for Union County, she said. We are fortunate to have leadership that has the best interest of Union County at heart.

Vanderford declined comment this morning while Betenbaugh and Development Board Chairman J. Carlisle Oxner III could not be reached for comment. The Union County distribution center is part of an ongoing expansion of the Dollar General system. More than half of its stores have opened within the past five years and plans are to open another 675 this year including the first Dollar Generals in Arizona, New Mexico and Wisconsin.

The stores are typically located in communities of less than 25,000 people or in selected locations within larger metropolitan areas. Their clientele have a median income of less than $35,000 and the typical transaction ranges between $8 and $13. Dollar General employs more than 50,000 people and the average store has six to 10 employees, including the store manager.

The stores sell paper products, cleaning supplies, health and beauty aids, foods/snacks, housewares, toys and basic apparel as well as a variety of seasonal items. For the fiscal year ending Jan. 31, 2003, Dollar General generated more than $6.1 billion in sales, a 14.7 percent increase over the previous year. As of that date the company had only 6,113 stores.

By CHARLES L. WARNER Staff Writer

The weather was cold and damp but the crowd was warm and enthusiastic this morning as Dollar General announced its plans to build its newest regional distribution center near Jonesville. When completed, the facility will provide more than 600 jobs and result in an investment of more than $70 million Jeff Sims, vice president for distribution for Dollar General, said, His announcement was met by thunderous applause from those attending the event at Bogey's restaurant.

We expect to begin construction this spring and will begin to receive merchandise early next spring and hopefully will be shipping in May or June of 2005, he said. At full capacity this facility will provide merchandise to over 1,000 Dollar General stores. The 1.1 million-square-foot distribution center will be located on a 177-acre site off S.C. 9 north of Jonesville.

In addition to the jobs created by the distribution center, Dollar General said its third-party transportation provider has indicated it expects to employ approximately 125 people. Dollar General operates more than 6,700 stores including 234 in South Carolina. There are Dollar General stores in Merchants Walk Plaza in Union and on Post Office Drive in Jonesville, as well as one in Whitmire.

Sims praised the hard work of those he said were instrumental in helping us choose Union County. The local and state personnel involved in the process really went out in a competition with 54 locations across four states. That competition ended in Union County's favor for several reasons including the aggressive recruiting effort by local and state personnel; the pro-business climate of both the state and the county; South Carolina's potential for growth; and the quality of Union County's work force.

South Carolina, we believe, is poised for some really tremendous growth (and) we're excited to be part of that growth, Sims said. The people of this community have a tremendous work ethic and a reputation for honesty, integrity and making others feel welcome. Just the look on the faces out here tells me we're welcome.

Gov. Mark Sanford called the distribution center and the jobs it will create a vehicle that will give people a chance to raise their incomes. At the end of the day it is that much bigger theme of raising people's incomes in South Carolina, particularly this part of South Carolina, that'll have a direct consequence with regard to people buying a gift at Valentine's for a wife or loved one, Sanford said. Buying Christmas presents at Christmas time and putting food on the table and paying their mortgage payment and all the basics that go with making up somebody's life, with making up a family. Hopefully that's what today is all about.

Fifty of the jobs at the distribution center will be salaried positions earning $50,000 a year or more. The rest will be hourly employees paid $8-$11 an hour. Sanford added that Union County's unemployment rate was 11.2 percent in December, the seventh-highest in South Carolina. Any time you can inject the number of jobs Dollar General is bringing into that equation it's obviously a positive thing.

Supervisor Donnie Betenbaugh called the distribution center and the jobs it will create a wonderful opportunity for the people of Union County. There have been lots of people in this county that have desired to have employment and not been able to have it, he said. There are still 4,600 people that travel outside Union County each day to gain a paycheck. Our goal is now and will continue to be to have jobs located here in Union County to better develop our community.

The last big announcement in the county was the Disney Direct Marketing Distribution Center in 1997. Located on U.S. 176, the 500,000-square-foot facility employs 170 full-time and 330 part-time workers.

By CHARLES L. WARNER Staff Writer

Tax credits, lower water and sewer rates and more than $7 million in infrastructure improvements are part of the incentive package being provided for the Dollar General distribution center. Daniel Young, director of grants and incentives for the S.C. Department of Commerce, said this morning that Dollar General will be able to benefit from a lot of corporate income tax credits that will reduce their ongoing corporate tax liability. It'll also be able to capitalize on job development credits that were approved by the Coordinating Council.

Young, one of a number of state officials attending the Dollar General announcement at Bogey's this morning, said the state is also providing nearly $7 million in infrastructure improvements. This includes money from the Rural Infrastructure Fund for site preparation and from the Community Development Block Grant program to install water lines and on-site water tanks and widen adjacent roads.

Stanley Vanderford, executive director of the Union County Development Board, said the road work will include a 1,000-foot extension of the turning lane at the intersection of U.S. 176 and Cedar Grove Road; widening Cedar Grove Road from two to four lanes; a traffic signal at the intersection of Cedar Grove Road and S.C. 9; and widening the part of S.C. 9 serving the facility to include turning and acceleration lanes. The Dollar General distribution center will be located on S.C. 9 north of Jonesville.

Union County, the City of Union and the Town of Jonesville are also providing incentives for the distribution center. Union County Council voted unanimously Wednesday to approve a package of incentives for the distribution center and first reading of an ordinance establishing millage rate agreements between the county and the company.

Putting the facility under a multi-county agreement between Union and Spartanburg counties. The agreement will enable Dollar General to receive a $1,500 tax credit for every job it creates.

A 20-year, 6 percent fee-in-lieu of taxes agreement. This will allow the company to pay a 6 percent fee on its property instead of the full property tax levy.

Providing a 50 percent special source revenue credit for 15 years. Supervisor Donnie Betenbaugh said the credit means that for 15 years the county will credit 50 percent of the tax revenue it collects from the distribution center back to Dollar General. He said the company will use those funds to finance things like purchasing and developing the site.

Betenbaugh described the incentives in general and the special source revenue credit in particular as examples of the county's policy of aggressively recruiting new industry. We were not going to take no for an answer, he said. What's most important to us is the bottom line that the people of this county have the opportunity for employment in their own back yard. When local people work in a facility and earn good money they spend it in the community and that community grows and prospers and that's what we expect.

The City of Union is offering Dollar General its interruptible rate for natural gas for the first three years the facility is in operation. The interruptible rate is the city's lowest rate for industrial customers. Also, the city will install a gas line to the site and a meter at no cost to the company. Installation would take approximately 30 days and cost $35,000. The city's always happy and pleased to do whatever it can to promote economic development in Union County, administrator Charles Potts said. We have a long record of cooperating with the development board and the county to promote economic development. We were pleased to do our part to help attract Dollar General to the county.

Potts said that Union City Council will vote on formally approving the incentive Tuesday. The Town of Jonesville is providing an incentive in the form of lower water and sewer rates for the next two years.

Mayor Dean Alexander said the town gave the development board permission to offer the reduced rates to Dollar General to attract the distribution center. The main thing is we wanted to get the industry here, Alexander said. Jonesville has been hit hard in the last 10 years. We've continuously lost business here, but Union County as a whole needs new industry.

By GRAHAM WILLIAMS Managing Editor

Dollar General officials were impressed by the hometown quality of folks in Union County, which led to their decision to locate the company's newest regional distribution center here. The were struck by the hometown quality, the character of the people, Commerce Secretary Bob Faith said this morning. From that minute we had incredible momentum toward making the deal.

The 1.1 million-square-proof facility, to be located on S.C. Highway 9, north of Jonesville, is expected to employ 600 people, including 50 salaried positions earning $50,000 a year or more. The rest will the work force will be hourly employees earning $8 to $11 per hour. "They say everything they wanted to see, Faith said of company officials. It's a real testimony to the people of the community.

The key to the project's success was people doing business with people, Faith said. The people with the company were so impressed with the people in the community. Landing such a facility should have a ripple effect on Union County, Faith said. We all need good news to get the momentum going, he said. This puts Union County on the map from a relocation point of view. It could create a little momentum. People like to be around other successful companies.

Faith said the fact that Walt Disney located its distribution center in Union County probably influenced Dollar General's decision to expand here. It also goes to show how important the quality of life is, he said. That's where Union County excels its hometown values really resonated with companies. Companies like Dollar General are growing, Faith said, and not going where the labor is cheapest. They're not just looking for the lowest cost solution, he said. You can't have a regional distribution center in China.

Mark Brasington/Times Two stores Dollar General Stores has two locations in Union County this one at the Merchants Walk Shopping Center and the other on Post Office Drive in Jonesville.

By CHARLES L. WARNER Staff Writer

LEXINGTON, KY As many as 250 people could be employed in the construction of the new Dollar General Distribution center in Union County. Steve Summers, vice president and business unit manager for Gray Construction Co., said that while the number of workers on-site will vary depending on the stage of construction he believes it will peak at 200-250.

Summers said the site management staff will consist of four or five Gray employees and possibly a couple of locally-hired managers. The rest of the work force will be hired by the subcontractors Gray will hire for the project.

Summers said Gray is looking for local subcontractors for the project and has sent out a questionnaire asking companies for information on their bonding, safety records and volume of work they can handle. He said Gray is looking for subcontractors who can handle a job the size of the distribution center which will require 1.1 million-square-feet of roofing; roughly 3,500 tons of steel; approximately 45 acres of paving; 2 million cubic yards of earth work to be moved; and 45,000 cubic yards of concrete.

Gray is looking for subcontractors for site work, paving, concrete foundation, concrete slabs, concrete tilted wall panels, structural steel, roofing, painting, glass, glazing, installing lockers, etc. Gray is especially interested in subcontractors for site-work since this will have to be done before the rest of the work can start.

The company is finalizing its site drawings and documents and plans to submit them for approval by March 1. Summers said the approval and permitting process is expected to take roughly 30 days allowing the company to begin site work around the first of April. Gray has built six regional distribution centers for Dollar General and has also done expansion work for the company.

Dollar General plans to invest $70 million in the Union County distribution center, which will be located on S.C. 9 north of Jonesville. When completed the center will employ 600 people. Companies interested in bidding are asked to send a fax stating their interest and the area they're interested in.

Gray's fax number is 859-252-5300. Interested parties can also call 859-244-9859 or email jware@jngray.com Anyone with questions for Dollar General about the facility may contact Rodney Carpenter, senior construction manager for distribution centers, at 615-855-4483.

By CHARLES L. WARNER Staff Writer

Now that the Dollar General distribution has been announced for Union County, the next step is building the facility. The firm in charge of construction is looking for qualified local subcontractors for the project. Dollar General has awarded the contract to Gray Construction Co. of Lexington, Ky.

Gray is now looking for local firms to bid on contracts for the various elements of the construction process such as earth moving, paving and concrete. Companies interested in bidding are asked to send a fax stating their interest and what area they're interested in. Gray's fax number is 859-252-5300. Interested parties can also call (859) 244-9859 or e-mail jware@jngray.com

Stanley Vanderford, executive director of the Union County Development Board, said anyone with questions for Dollar General about the facility should contact Rodney Carpenter, senior construction manager for distribution centers, at (615) 855-4483.

Andrea Erwin Turner, media relations manager for Dollar General, could not say how many workers would be needed to build the distribution center, but the project will provide much-needed jobs in Union County. Last year, layoffs took place at two plants and the closing of three others were announced.

By December there were roughly 1,450 people without jobs in Union County, an unemployment rate of 11.2 percent, the seventh-highest in South Carolina. Jim Coles, area director for the S.C. Employment Security Commission, said there may actually be more people without jobs in Union County. He said the unemployment rate includes only those people receiving unemployment benefits. There may be more people without jobs in Union County who have either exhausted their unemployment benefits or have not filed for them for some reason.

Plans call for the new center to begin receiving merchandise in the spring of 2005. Ms. Turner said this means the company will probably start hiring in late winter and early spring. She said that when it begins hiring the company will work through the local and state employment service offices. Coles said Dollar General told him he will be contacted very soon to discuss moving forward to provide jobs for the community. He said that when the hiring process begins, the commission will take applications and screen them according to Dollar General's criteria.

When the company decides who it wants to interview, Coles said the commission will set up those interviews. We'd a whole lot rather be taking job applications than unemployment claims, Coles said. This is a real shot in the arm. The distribution center will employ 600 people, although more could be hired later. We'll start out with a one shift operation and then probably within a few months after that we'll add a second shift operation and then in time a third shift, Jeff Sims, distribution vice president, said. On the first shift we'll probably have 300 and then when we add the second shift we'll get closer to 600 and then it's going to grow from there.

Sims said employees will perform a variety of tasks at the state-of-the-art facility. First, we'll have men and women on the receiving dock that will actually receive the product inbound from our vendors, they'll confirm that it is the right product, the right quantities, Sims said. Then we'll have other men and women that will operate forklift equipment. They'll take the product off the dock and they'll put it in the racks that we'll have that'll go about 38-40 feet high inside the distribution center. Then we'll have men and women we call order pickers. They will actually pick the cartons and put them on high speed sortation conveyors, he said. We'll probably have about six miles of conveyor in this building and it will operate very fast, but men and women are the key to that.

Sims said the distribution center will also employ people in various positions to ensure quality control and inventory accuracy. We'll start out with a one-shift operation and then probably within a few months after that we'll add a second shift operation and then in time a third shift, he said. On the first shift we'll probably have 300 and then when we add the second shift we'll get closer to 600 and then it's going to grow from there.

Dollar General Distribution Facility Photo Gallery

Check back here often to see the progress on construction of the new distribution center for Dollar General.  Photos will be added on a regular basis.  Click on any photo for a larger view.

Groundbreaking Dollar General executives and local and state officials look on as South Carolina First Lady Jenny Sanford welcomes Dollar General to Union County. The new Dollar General Store distribution center will create hundreds of jobs for Union County residents.	Get To Work! State and local officials join Dollar General Store executives with shovels in hand during the official groundbreaking ceremonies for the new Dollar General Store distribution center in Union County.	Dollar General Distribution Center Site Photo taken the first week of May, 2004 of the new Dollar General Distribution Center site in Union County on Highway 176. The distribution center will cost approximately $70 million.	Dollar General Site Another view of the site for the new distribution facility. Dollar General announced the project in mid-February, 2004. When completed, the facility will employ more than 600 workers.	Initial Clearing Work begins in early May on the new distribution center. When completed the facility will cover 1.1 million square feet of space and serve more than 1,000 Dollar General Stores across the Southeast.
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May 21, 2004	May 21, 2004	May 21, 2004	June 11, 2004	June 11, 2004
June 11, 2004	June 18, 2004	June 18, 2004	July 15, 2004	July 15, 2004
Aerial View Aerial view of the Dollar General Store Distribution Site as of August 4, 2004	August 10	August 10	August 27	September 10
Aerial View An aerial view of the Dollar General distribution site taken on September 14, 2004.	October 8, 2004	October 8, 2004	October 15, 2004	October 15, 2004
Nearing Completion Photo of the Dollar General Distribution Center taken November 19, 2004	Almost There January 7, 2005 look as the Dollar General Distribution Center nears completion.	Open for Business The new 1.1 million square foot Dollar General Store is now in operation, employing more than 600 workers.