A local company plans to expand their workforce and relocate with the help of about $136,000 in state grants.

The family-owned Hermance Machine Company, which specializes in machines to aid in woodworking and manufacturing, are working to hire 20 new full-time employees and integrate modern technology, said Joseph Stouse, co-owner.

“Recently we have grown back into manufacturing and value added process integration with robotics,” he said. “These new growth areas require more space that we currently don’t have in our current facility.”

Since 1903, the company has operated out of 178 Campbell St. but has outgrown its current land-locked location. The 100-year-old sewer system has also made it uneconomical, he said.

“Our business has been very strong and growing over the past few years,” Stouse said. “We have been expanding our sales beyond our traditional Mid-Atlantic region to a national level into some of the country’s largest industrial woodworking companies.”

For these reasons Stouse said he sought assistance.

“Applying for grants and assistance can be a chore but the Innovative Manufacturers Center has made this process a breeze for us,” he said. “We would have been hard pressed to complete our appeal to the Governor’s Action Team without Brenda Holdren from the IMC doing the heavy lifting and having the backing and support from Russ Lawrence.”

The funding will go towards adding two new product lines, improving their online store, and increased showroom, demo and inventory space.

Being born and raised in the city, as well as once being chairman of the chamber of commerce and of the Industrial Properties Corporation, has instilled a strong sense of community, he said.

“Together these and other factors give me strong ties to the area and a desire to provide stable and family sustaining jobs to as many employees as I can,” he said.

Hermance Machine company received an $80,000 Pennsylvania First grant, $40,000 in job creation tax credits and a $16,200 workforce development grant in a funding proposal from the state Department of Community and Economic Development.

Additionally, the company pledged $3.16 million towards the project.

“I am pleased that Hermance Machine Company has decided to expand its operations in the city where it began,” said Governor Tom Wolf, in a press release. “I look forward to the continued investments and opportunities that Hermance will bring to Lycoming County residents for years to come.”