RMT To Expand, Council Learns
Date posted - May 18, 2016
Sheldon, Iowa — Another major development project in Sheldon has been announced. At Wednesday’s City Council meeting, Sheldon Development Director Curt Strouth told the council that Rosenboom Machine and Tool, Inc. is planning a $16-million expansion project. This facility, which will be built west of Rosenboom’s current location, will include a 46,000-square-foot manufacturing production line.
Larry Rosenboom told the Council that 42 years ago, his family decided that they wanted a better community in which to raise their children, and found Sheldon to offer what they wanted. Now his four sons have also joined the company that operates not only in Sheldon where their corporate headquarters is located, but also Bowling Green, Ohio and Spirit Lake, Iowa.
Rosenboom designs and produces a variety of products including hydraulic cylinders, actuators, accumulators and high pressure gas springs. These products are used in many areas including agriculture, the military, refuse and waste handling, transportation and mining. Many of the materials they require are being purchased from other manufacturers. With the new facility they will have an in-house metal finishing operation that will chrome plate and finish steel tube and bar materials to feed the production requirements of Rosenboom’s current manufacturing facilities.
The City of Sheldon has awarded Rosenboom Machine and Tool a full five-year tax rebate based upon an estimated $2.5 million valuation of the project. Strouth said the project will generate $76,500 per year in taxes. The project is projected to create up to 54 new jobs within three years, many of which will be high-quality jobs adding to their current Sheldon employee base of 260. The average wage for these new jobs will be $40,800 per year and the new annual payroll created after 24 months is estimated to be $1.8 million.
Rosenboom Machine and Tool and the City of Sheldon are working with the Iowa Economic Development Authority for the consideration of additional assistance toward this project.