Meat packing plant unlikely to open in Scottsbluff - kotanow.com- Scottsbluff Area News, Sports, and Weather

Meat packing plant unlikely to open in Scottsbluff

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A proposed beef processing plant likely won't be going to Scottsbluff.
 
Mayor Randy Meininger said Thursday at a City Council budget workshop that the Future Food Energy plant developers are looking to locate elsewhere, including nearby Gering.
 
Questions about financing, doubts raised by some city residents and negative reactions from the city Planning Commission and the area's economic development agency were cited for the plant developers' decision.
 
The nonprofit Twin Cities Development Corporation opposes the plant. The corporation board president, Steve Reisig, says Future Food Energy's business plan to focus on the South Korean market is unrealistic.
 
Future Food Energy had offered to buy 43 acres of city land for $10,000 an acre.

This coming the same week where more than 250 workers at the Northern Beef Packers plant in Aberdeen, South Dakota have been laid off.

The American News reports that 260 workers were laid off during a meeting Wednesday morning.

Beef plant officials have not commented on the layoffs.

Jeffery LaCroix, a meat cutter, says employees from the killing floor and fabrication department were let go.

The company filed for Chapter 11 bankruptcy protection on Friday. The slaughter plant laid off 108 of its 420 workers in April because of a lack of working capital.

The plant started up last fall after years of delays that included financial problems, lawsuits and flooding. Officials had hoped to eventually process 1,500 cattle a day from the Dakotas, Nebraska, Iowa and Minnesota.

However, a new meat packing will be coming to the northern panhandle.

A Nebraska meat packing plant is reopening under new management, nearly five years after it was forced to close because of legal and financial problems tied to its sister facility in eastern Iowa.
 
Gordon City Manager Fred Hlava says that officials have approved a deal with Open Range Beef, a company registered in Bellevue, Neb. The company will reopen the plant, which previously operated under the name Local Pride Kosher.
 
The old plant closed its doors in September 2008, shortly after an immigration raid at the Agriprocessors slaughterhouse in Postville, Iowa.

The parent company of both plants declared bankruptcy, and Sholom Rubashkin, a top executive at the Iowa plant, is now serving a 27-year federal prison sentence for financial fraud.

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