Electric Connection

Anderson Precision, BPU Reach Agreement

From left standing, Trenton Lutes, Jamestown Board of Public Utilities accountants payable; Matt Satterfield, Anderson Precision engineer; and Brian Zampogna, Anderson Precision supply chain manager; from left sitting, Gregory Rabb, BPU board chairman; Sam Teresi, Jamestown mayor and BPU board president; David Archer, Anderson Precision sales vice president; and David Leathers, BPU general manager; during the signing of the new flex-rate agreement between Anderson Precision and the BPU. P-J photo by Dennis Phillips

The Jamestown Board of Public Utilities has resigned another local manufacturer to an agreement to offer lower electric rates for investment in the community.

On Sept. 28, officials from both the BPU and Anderson Precision gathered to sign the new flex-rate contract. The BPU’s flex-rate agreement program was developed to enhance and preserve the community’s economy by offering lower electric rates to large industrial and manufacturing companies located in the BPU’s electric territory, which agree to continue to invest in their facilities and workforce.

The flex-rate tariff was developed by the BPU and approved by the state Public Service Commission to help the Jamestown area attract new industry, and to support existing commercial and industrial customers. Participating manufacturers commit to retaining a certain number of jobs and to continue to invest in their facilities in exchange for reduced energy costs. The program is designed with the objectives of local economic preservation and development.

The BPU’s flex-rate program weighs the manufacturers’ commitments to refurbish or add on to a facility, to expand product or production lines, to invest in technological advances in system processes and/or to invest in other projects deemed significant and appropriate by the utility.

The BPU also has flex-rate agreements with Hope’s Custom Crafted Windows & Doors, Monofrax, SKF Aeroengine, TitanX and Truck-Lite Co.

The new flex-rate plan, also known as a Service Class-6 agreement, with Anderson Precision takes effect on Nov. 1 and extends through Oct. 31, 2022.

“Established in 1891, Anderson Precision Inc. is now owned by President Steven Godfrey and his partner, Vice President of Sales David Archer, who together work to oversee day-to-day operations of the company,” said David Leathers, BPU general manager. “Anderson is a major BPU electric customer and we strive to do what we can to maintain its stability in our region.”

Anderson Precision was awarded the Jamestown Community Chamber of Commerce “Manufacturer of the Year” award this year. Additionally, the company was runner-up this year in the MVP voting for the Gathering of the Games hosted by the Great Game of Business.

“Both our ownership and our management team are local residents with a vested interest in advancing the reputation of Jamestown and the greater Chautauqua County area as great places to live, work and conduct business,” Godfrey said. “The SC-6 rate will allow Anderson Precision to better compete with both domestic and foreign businesses.”

“The nature of our business requires us to compete on a global basis, so it is exciting and necessary to get this type of support from the BPU and the community,” added Archer.

Anderson Precision actively engages in the manufacturing of precision, turned metal components for use in the automotive, heavy truck, firearm and electric motor businesses.

The company currently provides full-time employment with full benefits and wages above the county average to a monthly employee count of 110 people. This was an increase of 10 people during the past three-year SC-6 contract.

Anderson Precision officials noted that they are committed to keeping highly skilled people employed and living in the local area to increase the overall economy and to encourage other manufacturers to locate operations in the community. Anderson Precision expects to increase its average monthly headcount in the coming year by three full-time employees.

Anderson Precision operates three shifts with most people working on first shift. Second shift is a small crew of 20 people. Third shift is a swing shift consisting of an average of three people. The company operates 24 hours per day, five days a week.

Anderson Precision has demonstrated a strong record of annual capital investments. During the past three-year term of their initial SC-6 contract, the company has added three eight-spindle Euroturn machines, new Star CNC machine, Two Accu-bore diamond-boring machines and an automated pressing assembly and inspection machine as well as a state-of-the-art Retina Multi-station inspection machine. The facility has also been relamped with T8 LED lamps.

In an effort to be a good neighbor, Anderson Precision has purchased foreclosed lots across the street from the plant and transformed them from overgrown, neighborhood blight to a well-maintained greenspace that enhances community value.

“We believe that reducing energy costs through our inclusion in the BPU SC-6 rate program will enable us to continue to compete and bring work from outside Chautauqua County to Jamestown,” Godfrey said. “The flex-rate program contributes to the long run benefit of job creation which grows the residential tax base and makes Jamestown a more vibrant community in which to live.”

“We are grateful that Anderson Precision has re-invested in their local facility and local workforce,” said Sam Teresi, Jamestown mayor and BPU board president. “We take pride in Anderson Precision’s ability to bring business to Jamestown and to serve as a community leader that cares about our City and residents.”

“The Jamestown BPU depends upon the success of manufacturers such as Anderson Precision,” said Gregory P. Rabb, BPU board chairman. “We are encouraged by Anderson Precision’s achievements and we are pleased to offer options such as the flex-rate program to assist our corporate customers.”