Jan 2, 2018 6 min read

From banking to natural gas production to manufacturing, executives from Washington and Greene counties are expecting 2018 to be a strong year for business. Many cited the construction of Shell’s ethane cracker plant in Beaver County as an impetus for growth here, as well as the new federal tax law that favors corporations. Others looked at strong business performance, particularly in the second half of 2017, as a reason to expect more of the same this year.

Barron P. (Pat) McCune, CEO, CB Financial Services Inc.: The bank holding company for Carmichaels-based Community Bank is looking forward to completing its $49 million acquisition of Wheeling, W.Va.-based First West Virginia Bancorp, the holding company for Progressive Bank. The deal, which was announced in mid-November and expected to close in the second quarter of 2018, will enable CB Financial to extend its reach into the tri-state area.

Mergers aside, McCune sees a lot of optimism for banks and businesses of all sizes in the upcoming year.

“I think 2018 will be an excellent year for the local banking industry,” he said. “The local economy is improving and doing well and has some more room to grow, especially with shale gas and the industry’s poster child, the Shell cracker plant,” which is under construction in Beaver County, he said.

McCune also cited interest rates that are “moving toward normalcy, which should be good for both customers and the banking industry” and “the pro-business philosophy of the current administration that will give the business community the confidence to invest.”

Jeff Kotula, president, Washington County Chamber of Commerce: “We look forward to the continued resurgence of the energy industry, especially in exploration/production, as well as the midstream buildout,” he wrote in an email. “I believe that Washington County is particularly positioned to take full advantage of the Shell cracker plant being built in Beaver County due to our proximity to it and other potential crackers in the region.

“In addition, several of our local companies such as Perryman Co. (titanium), MCC (large-scale, industrial castings) and Ensinger (plastics) have all announced expansions – demonstrating our continued strength in manufacturing.

“Finally, I do not think we can stress enough the importance our hospitals play in our economic growth. We are very fortunate that we have two independent hospital systems – The Washington Health System and Monongahela Valley Hospital – and we intend to support their continued independence and growth into the new year and beyond.”

Don Chappel, executive director, Greene County Industrial Developments Inc.: Chappel said several inquiries from local business people interested in land for expansions toward the end of the year give him reason for optimism for the upcoming year. He also expects the GCID board to discuss the possibility of developing a new industrial park somewhere in Greene County, noting there are only six lots left between the group’s Evergreene and Paisley industrial parks. “It’s not something you can do overnight,” he said, adding he expects the planning process to begin in 2018.

Also on the agenda for the new year is the commitment for the various economic development groups in Greene County to work more closely together to build a “one-stop shop” concept to expedite requests of companies that are looking to locate or expand in the county, he said.

David Spigelmyer, president, Marcellus Shale Coalition: “We remain cautiously optimistic about the year ahead,” Spigelmyer said in a statement. “Market fundamentals are steadily improving, with key regional infrastructure projects nearing completion. We’re seeing greater opportunities for end-use benefits with power generation and manufacturing growth increasingly taking hold across the commonwealth. To ensure we encourage more of these local benefits and job growth, we need to work together to advance competitive policies, especially during what will surely be a politically charged election year.”

Robbie Matesic, director, Greene County Economic Development: Like GCID’s Chappell, Matesic said she’s looking forward to the 2018 launch of the county’s “one-stop shop” concept to help companies looking to locate or expand in the county, an effort that is being led by Greene County’s commissioners and GCID.

The local project that Matesic sees as having a big impact in 2018 is the construction by APV Renaissance of Barnardsville, N.J., of an estimated $700 million gas-fired power plant on the site of the former First Energy Hatfield Ferry coal-fired plant in Monongahela Township.

“At peak construction, it will create 500 trade jobs,” Matesic said, adding the experience should be extremely valuable. “It gives some of our labor force the opportunity to build natural gas power facilities, and that’s important, because I think there will be more” built in the area, she said.

Dan Reitz, executive director, Washington County Council on Economic Development: When WCCED, the developer of Starpointe Business Park, held its annual meeting in late October, the centerpiece of the event was a presentation on the site development for a 507,000-square-foot truck distribution center – the largest single building construction project in Washington County in nearly 50 years – at Starpointe’s Hanover Township site. The project for Indianapolis-based Scannell Corp. will be leased to a third-party operator who, according to information at a Washington County commissioners meeting, would be providing a service connected to the Shell cracker plant.

“The future is indeed very bright for Starpointe and Washington County,” said WCCED President Richard White, noting Starpointe “may be the best positioned park in Washington County” to take advantage of Shell’s plant, just a 20-minute drive from the business park.

Reitz said last week after a slow period in 2016, he’s seeing heightened interest in the 1,200-acre park, including a recent look by a company he said is interested in building “a very large” facility in the region that would take some of the plastic pellets produced by Shell’s plant.

“We’re very optimistic,” Reitz said. “The sales lot is full of people who are looking” at the park as a potential place to build facilities, some of which would be connected to Shell’s operations.

Ron Davis, president, Washington County Manufacturers Association: Davis said last week companies he’s talked with that are part of the 75-member WCMA are expecting a continuation of the strong business activity they experienced in 2017. “Members I’ve talked with have a positive outlook for 2018,” he said, noting many saw a pickup in orders and other business activity in the fourth quarter. “I think there’s a pretty optimistic attitude for the upcoming year,” he said.