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Jefferson City Moves Ahead with Bond Issue for Local Print Company

Modern-Litho Print Company in Jefferson City expects to add roughly 50 new jobs over a five-year period because of $8 million in industrial development revenue bonds. The Jefferson City City Council passed a resolution Monday that declared the council’s intent to issue the bonds to the company. But first the finance firm Gilmore & Bell will prepare a plan in cooperation with the Jefferson City Area Chamber of Commerce and the print company. The council will then have to approve that plan.

Jeff Davidson, the vice president of corporate strategy for Modern-Litho, said the company is planning to use $6,000,000 to purchase a Heidelberg printing press and $2,000,000 for finishing and converting equipment. He said the printing press will increase the company’s capacity by 50 percent. Modern-Litho also plans to expand the facility beyond that investment.

“We are thrilled and just very grateful and thankful for the local community supporting us in the endeavor,” Davidson said.

He said the printing press will be operational by September, but the company has already begun searching for qualified employees in positions such as printing, folding and binding.

“We feel like we’re gonna provide, you know, meaningful opportunities for the folks in our area. You know, high earning positions, and with benefits, and they can be a part of a company that’s committed to mid-Missouri and committed to grow here,” Davidson said.

City Counselor Drew Hilpert said this job creation will benefit the local economy even if the company hires workers from outside of Jefferson City because new workers will buy local goods and services.

“We hope they live within the city, but even if they live in the county or in the close area, you know, they’re gonna be shopping inside the city, so that’s kind of an economic generator,” Hilpert said.

He said their purchases will also help the government through sales and property tax.

“You want people to have good jobs, be employed, and spend their money, so we can provide them services,” he said.

Hilpert said that revenue bonds are different than general obligation bonds because the city will not be at risk of losing money or credit with revenue bonds. He said the city will sell tax-exempt bonds, and Modern-Litho will buy them and make payments on them through revenue that comes from the new equipment. Hilpert said if the company defaults on the bond payment, the city can take the equipment. The city essentially owns the property until it’s paid off.

Davidson said Modern-Litho Print Co. has been doing business in Jefferson City for nearly 80 years.