The St. George-based defense and aerospace innovator will invest over $19.5 million to lease and equip a new manufacturing facility.
From Patrick Fitzgibbon, Utah Governor’s Office of Economic Development
The Utah Governor’s Office of Economic Development (GOED) announced today that Baxter Aerospace, Inc. has been awarded a post-performance tax incentive to expand its engineering, precision manufacturing, and systems integration operations in Southern Utah.
As part of the expansion, Baxter Aerospace expects to create 90 high-paying jobs over the next five years and invest more than $19.5 million in total capital.
“When we look at where the global economy is heading, we recognize that advanced manufacturing infrastructure is imperative,” said Jefferson Moss, GOED commissioner. “Baxter Aerospace’s investment signals to the world that Utah’s economic future is fueled by frontier innovation in every corner of the state.”
Founded by brothers Jeff and Michael Baxter following a severe Oregon wildfire, Baxter Aerospace builds unmanned vertical takeoff and landing (VTOL) aircraft — such as the BA-1 Dragonfly — deployable low Earth orbit (LEO) satellite communications kits, and components for nuclear fusion and fission research.
The GOED Board approved a five-year Rural Economic Development Tax Increment Financing (REDTIF) post-performance tax credit for Baxter Aerospace not to exceed $456,939, representing a 30% rebate on new state revenues generated over the term. The project is expected to generate nearly $20.8 million in new state wages and $1.52 million in new state tax revenue over five years.
The expanded facility will feature high-capacity electrical utilities, secure engineering and program spaces, specialized testing areas, and cybersecurity infrastructure, creating new roles in mechanical engineering, avionics, CNC programming, electrical engineering, embedded software, and supply chain management.