OSCODA - Hoping to create hundreds of new jobs, state Rep. Joel Sheltrown wants Oscoda's Kalitta Air first in line for funding under a $1 billion jobs package nearing approval by the Legislature.
The Ypsilanti-based jet freight carrier wants to expand its aircraft repair and maintenance facility at the former Wurtsmith Air Force Base, where it currently employs more than 500 people.
"We've got plenty of work, it's just having the buildings to do it," said Don Nolan, general manager of Kalitta Air's Oscoda operations.
Sheltrown, D-West Branch, is lobbying everyone from other state representatives to the governor's office in hopes of securing up to $25 million for Kalitta Air under the new jobs-bill package.
The legislation uses some of the state's tobacco settlement money to create a $1 billion fund available to spur job growth.
Sheltrown said the $25 million would pay for construction of two enormous hangars at Wurtsmith that Kalitta Air could use to service its fleet of 747 jumbo jets, as well as the aircraft of other companies.
Kalitta Air would then lease the hangars, eventually repaying the money provided by the state, Sheltrown said. The buildings would be the property of the Oscoda Airport Authority, he said.
Nolan said Kalitta Air could provide between 200 and 300 new jobs for each hangar, based on the company's need to overhaul aircraft. Currently, some of that work is being done in Asia, where there is available space to enclose large planes, he said.
And Pete Sanderlin, vice president of Kalitta Air, said the company won't invest its own money in Wurtsmith facilities because contamination issues prevent private ownership of property at the airport.
Today, Sheltrown was expected to tour Kalitta's Oscoda facilities with Sanderlin and state representatives Matthew Gillard, D-Alpena, and Rep. Andy Dillon, D-Redford Township. Sheltrown said Dillon is an instrumental player in the jobs-bill legislation.
Sheltrown said he also hopes to convince Gov. Jennifer Granholm to visit Wurtsmith in the near future. Sheltrown represents Michigan's 103rd District, which includes Iosco County.
"I just think it's an incredible opportunity and I think we need to push for this as quickly as possible," Sheltrown said Wednesday.
"This proposal gives us a chance to create jobs today, not something eight to 10 years down the road. And they are highly skilled jobs," he said.
But it may take until next summer before the state begins considering projects for funding under the $1 billion plan. The Legislature is likely to approve the bills by the end of next week, Sheltrown said.
Kalitta Air is based at Willow Run Airport and is owned by former drag-racing star Conrad Kalitta.
Kalitta Air began using Wurtsmith for jet maintenance in 1993, when the U.S. Air Force dropped it as a military base. The company was known then as American International Airways Inc.
American International grew to employ more than 700 people at Wurtsmith. Kalitta then merged the company with Dallas-based Kitty Hawk Inc., which later spun off the Oscoda operation and sold it to Triad International Maintenance Co.
In 2001, Triad laid off nearly all of its work force at Wurtsmith, numbering about 400 people, due to the sagging economy and airline industry.
Kalitta reformed his air freight company in 2000 under the name Kalitta Air and returned to Wurtsmith, where the company uses hangars once occupied by Air Force jets.