The state Department of Community and Economic Development has offered close to a $6.44 million funding package to Caterpillar Inc. for the company's York Distribution Center project.

On Monday, Caterpillar announced it will purchase and modernize the 1.1 million square-foot property it has been leasing for 13 years at 600 Memory Lane in Springettsbury Township.

The company announced it was working with state officials to secure help with funding for the process, but said it would wait on the state to provide details.

The state DCED has given Caterpillar a funding offer - totaling $6,438,650 - consisting of two grants and two low-interest loans the company could apply for, said Lyndsay Frank, the state's DCED deputy press secretary.

She said Caterpillar can apply for a Pennsylvania First Grant in the amount of $350,000 and a Guaranteed Free Training Grant in the amount of $88,850.

The Pennsylvania First Grant helps advance increased investment and job creation in the state, while the Guaranteed Free Training Grant helps companies provide basic skills and information technology training to incumbent workers, according to the state's DCED website at

Caterpillar also can apply for a state $2 million industrial authority loan and a $4 million machinery and equipment loan, according to Frank.

She said Caterpillar is still considering these funding options, and there is no set deadline for the offer.


Cat's plans: Caterpillar's multi-year modernization plan includes updating the building's infrastructure, technology and operating systems and equipment.

Caterpillar opened the parts distribution center in 1953. The company now has about 200 employees at the center.

The company had considered closing the center.

-Reach Eyana Adah McMillan at