In contrast to waves of layoffs and folding companies around the nation, Tessy Plastics in Elbridge hopes to complete a warehouse expansion project by the end of May.

The 40,000 square-foot warehouse will cost $3 million and is being constructed in response to an increase in production, said Tessy President and CEO Rolland Beck.

Existing warehouse space was converted recently into useable floor space when production increased for mold-injected medical supplies. As a result, the need increased for additional storage space, Beck said.

The plant has seen an increase in medical assemblies and instruments used for non-invasive surgeries, in spite of the poor economy. The shorter recovery time makes the non-invasive procedures preferable for both patients and insurance companies, Beck pointed out.

“On our end it’s quite an investment, we need all sorts of equipment,” he said, including clean rooms in which to manufacture products that need to be kept sterile.

Local engine

Both Elbridge Town Supervisor Ken Bush, Jr. and Codes Enforcement Officer Robert Herrmann have spoken about the positive impact Tessy has had on local economy, especially in a time when businesses across the board are struggling.

Last week, Herrmann’s monthly report to the Elbridge Town Board counted only one building permit issued in February, and that for a residential porch.

“Permits obviously have been slow, but with this project going on there are hopes it would kind of even the Elbridge economy a little bit,” Elbridge Code Enforcement Officer Robert Herrmann said.

Tessy, which has plants in Lynchburg, Va. and Shanghai, China, employs 570 workers locally and will probably add 30 jobs in the next few months, Beck said.

A second Elbridge-based company, Allred and Associates, has announced an expansion project that would first increase warehouse space and double the jobs at the design, engineering and manufacturing firm.