A WHITEHALL, Wis. — Plans are in the works for a 60,000- to 70,000-square-foot expansion of Ashley Furniture Industries Inc.’s Whitehall plant that isn’t likely to increase employment, city officials said.


They hope the company eventually decides on a second, larger expansion that could add hundreds of jobs.

The Whitehall City Council will vote Tuesday on creating an 800-acre tax incremental financing district to pay for infrastructure improvements for the Ashley plant expansion as well as other future development in the area.

In February, Whitehall officials said Ashley was considering adding more than 200,000 square feet to its 74,000-square-foot Whitehall furniture factory. They said the plant has about 350 employees, and could add 400 employees with the expansion.

Ashley Chairman Ron Wanek told the Tribune in February that expanding the Whitehall plant “is a consideration, but it isn’t a definite expansion plan. We are looking at possibly putting this in North Carolina or South Carolina.” Wanek was traveling last week, and not available for comment.

City Administrator Lynn Johnson said Friday he believes the larger project discussed in February “has been put on the back burner for the time being” for various reasons, such as the economy and foreign competition. He said he hopes Ashley eventually decides to go ahead with that project, and to locate it in Whitehall.

The city planning commission recently was told a smaller expansion is in the works that would not increase employment.

“This is not a totally done deal,” Johnson said Friday of the smaller expansion. “They’re finishing up their plans. We’re working with them.”

The smaller expansion project essentially would “retain the jobs we have,” Johnson said. The project also would include retooling the plant for new product lines, he said.

Assuming the smaller project goes forward, Johnson said, construction could begin this fall and be completed next spring.

“I’d heard rumors the big expansion was not going to take place as soon as was talked about earlier,” state Rep. Barbara Gronemus,

D-Whitehall, said Friday. She added she did not know why. Gronemus said she hopes both the smaller and larger expansions occur.

“I’m willing to help in any way I can” to make sure state assistance is available, she said.

Steve Cahalan can be reached at (608) 791-8229 or cahalan@lacrossetribune.com.