Spectral nabs development grant

The Empire State Development Corp. (ESDC) has approved grant funding totaling more than $24.9 million, pledging to create 1,010 new jobs ”“ 11 in Dutchess County ”“ and retain 4,130 existing jobs in New York state, 45 of them in Dutchess.

The funding should leverage more than $207 million in investment across the state, ESDC reports.

Spectral Systems L.L.C., a Hopewell Junction manufacturer of equipment to detect contraband and dangerous materials will receive $220,000. No breakdown of leverage activity by county was offered.

In the fiscal year 2010-11 that ended March 31, the ESDC approved projects to 265 companies and organizations totaling some $488 million in grants and loans, which the ESDC claims retained 11,907 jobs and created 5,185 jobs while leveraging more than $2.7 billion in investment.

The new round of money is part of the Restore New York grant program, “targeted toward the revitalization of urban areas and the stabilization of neighborhoods as a means to attract residents and businesses.”

Spectral Systems was established in 1983 as a division of Smiths Detection NA. Smiths is a global technology company that develops threat detection equipment to find and identify contraband or dangerous materials. The company”™s products service transportation, ports and borders, military, emergency responder and critical infrastructure markets.

The grant project involves the divestment of Spectral from Smiths. The ESDC reported executives from within Smiths formed a team to acquire Spectral in a $3.4 million asset purchase scheduled to be completed by the first quarter of 2011.

After the buyout is complete the team will invest an additional $842,000 in construction, machinery and equipment and soft costs at the existing Hopewell Junction site, ESDC said in a statement. The $220,000 granrt is to be used for “asset purchase, subsequent facility improvement and the purchase of machinery and equipment.” Upon completion of the project the company will retain 45 jobs and create 11 jobs within the next three years. The Spectral project”™s total cost, ESDC reports, is $4,437,650.