West Virginia

By Don Hampton

West Virginia hasn’t cornered the market on wood products—yet. But the state is becoming a popular choice for some of the industry’s mostrecognizable names such as Bruce Hardwood Floors, Coastal Lumber, Georgia-Pacific, States Industries, Trus Joist MacMillan, Westvaco, American Woodmark, Columbia Forest Products, Jeld-Wen, Weyerhaeuser and numerous others. With an eye-catching combination of raw materials, infrastructure and an outstanding workforce, rural West Virginia is an excellent location choice for value-added wood products companies.

Just the right combination
Approximately 14 percent of all manufacturing jobs in West Virginia are
related to the wood industry. This is not surprising, as the state contains more than 11.6 million acres of forested land (75 percent of the state’s land area). The average board feet of timber on an acre of land has increased steadily from 1711 feet in 1949 to 6496 feet in 1995 (an increase of 366 percent).

But the growth of this industry in West Virginia is not just about numbers. For companies like JELD-WEN, the state is a gateway to the world. “Part of JELD-WEN’s vision was to have facilities in strategic locations, so we could be in a better position to meet the needs of a growing worldwide market. West Virginia is located exactly where we need to be to serve these markets,” said Richard L. Wendt, chairman of the board for JELD-WEN.

JELD-WEN is one of the world’s largest manufacturers of doors, windows
and specialty wood products. The company chose rural West Virginia to construct an 80,000 square-foot manufacturing facility, which now employs 80.

Vote of confidence
The growth of the wood products industry in West Virginia also is a
direct result of the influence of the state’s ranking official. Governor Cecil H. Underwood is a true believer in the state’s ability to be a leading force in the industry— and in the industry’s ability to change the face of his state. “I believe wholeheartedly in the potential of West Virginia’s wood products industry and the promise value-added manufacturing holds for us,” he said.

Underwood’s commitment to the industry paid off with the announcement
that Structural Systems Inc. was investing $1.1 million to open a manufacturing facility in the Western Greenbrier Industrial Park in rural Rainelle, West Virginia (Greenbrier County). “I am pleased that Structural Systems Inc. has made a commitment to work with other companies to foster its (the wood products industry’s) growth.”

“Everything West Virginia has to offer—its workers, its quality of life and its wood dovetails perfectly with our corporate mission: to provide better support from top to bottom. We look forward to a long relationship with West Virginia,” said Bruce Gordon, owner of Structural Systems Inc.

Another significant development came in 1999, when the Mingo Wood Products Industrial Park was announced. The park provides up to 680 acres of property for industrial development, specifically for value-added wood products manufacturers.

”This project represents an important investment in the future of southern West Virginia and a major step toward the diversification of the region’s economy,” Underwood said.

A stand-out example
Randolph County, in the heart of West Virginia’s abundant timber resources, has been particularly attractive to the wood industry. After recognizing in the mid-80’s that most of its wood was being exported out of state, the area took aggressive steps to market itself to value added facilities. As a result of several key wood-product company announcements, the unemployment rate has dropped from 22 percent to 5 percent.

A large chapter in this county’s success story is industry-leader Bruce Hardwood Flooring, which located in 1988 and is now the nation’s largest and most productive wood flooring plant. According to Plant Manager Darl Bolyard, the company chose West Virginia because it offered the right combination of timber and work force. The company is able to draw the entire 1.7 million square feet of oak it requires each week from a 300-mile radius around the plant. The company has also been able to draw quality workers. Even in a rural county of 29,000, Bruce has had no problem recruiting its workforce of 713, according to Bolyard. Other decision factors for Bruce included quality work force training programs, reasonable electric costs and low interest loans available from the state.

Moving mountains
West Virginia’s commitment to the wood products industry goes beyond mere recruitment. Randolph County is also home to the West Virginia Wood Technology Center and new business incubator. The center provides three key advantages to West Virginia wood products companies: training people in wood products technology, providing an incubator to startup or expand business, and training artisans on the latest in wood design and technology.

“When we built the training center in 1992, Randolph County had $1200 in the bank and some property. With the help of grants and loans, we were able to build a $2.2 million facility that is now debt-free. The center is a significant resource for wood products companies,” said Denver Barnett, executive director of Randolph County Development Authority.

In 1999, the state announced that a new public/private partnership would work to provide a trained workforce for the industry. The West Virginia Wood Industry Training Assistance Consortium serves as a “one-stop shop and clearinghouse” for training and technical assistance for “all forestry and wood product companies” in the state.

With the presence of the Wood Technology Center and creation of the consortium, West Virginia workers are being specifically trained for the wood products industry. Companies in the state have immediate access to training for either new operations or to increase worker skills.
Access and affordability

West Virginia offers companies what they need to succeed.
Six interstate routes provide access to all the major metro areas of the Northeast, Southeast and Midwest. The state offers employers the lowest crime rate in the country for over 23 consecutive years, health care costs 20 percent below the national average and very affordable real estate.

In addition, companies have access to the Governor’s Guaranteed Work Force program, which provides funding for training new employees and improving and expanding the skills of existing employees. West Virginia’s low cost of living also helps employers keep costs down.

Further, businesses locating in West Virginia can take advantage of some excellent incentive programs, including the business investment and jobs expansion tax credit. This credit provides tax savings for companies that create jobs.

West Virginia is a state that offers companies and employees an environment in which to succeed. The state’s workforce of nearly 800,000 represents a low level of unionization, a diverse educational and
occupational background and a wealth of experience.

Changing an industry
West Virginia is committed to being a leader in the value-added wood products industry. With ample natural resources, a skilled and diverse workforce, low cost of living and plenty of support from the state government, West Virginia offers tremendous advantages.

Rural West Virginia establishes itself as a national leader in the value-added wood products industry