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Drugmaker to open 11th facility in Hauppauge, add 40 people to workforce of 1,325

Contract Pharmacal Corp., one of Long Island's largest

Contract Pharmacal Corp., one of Long Island's largest drugmakers, plans to open an 11th facility, also in Hauppauge. Credit: Jeremy Bales

One of Long Island’s largest drugmakers plans to open an 11th local facility and add 40 people to its payroll in the next two years, officials said.

Contract Pharmacal Corp., which employs 1,325 people, will rent about 60% of 150 Engineers Rd., in Hauppauge. Executives said the 73,000-square-foot space will be converted into a factory, with two bottling lines, and a warehouse.

The manufacturer of generic prescription drugs, over-the-counter medicine and vitamins is "busting at the seams and needs more and more space," its real estate attorney Garrett L. Gray told a meeting of the Suffolk County Industrial Development Agency. The company's other 10 local facilities, including its headquarters, are all in Hauppauge, he said.

The IDA board gave preliminary approval last week for $425,120 in tax breaks to support CPC’s latest expansion, including a $385,440 reduction in property taxes, or a 27.5% savings over 10 years. The tax deal still must win final approval from the IDA after a public hearing.

The $3.6 million project on Engineers Road is the sixth to receive tax breaks. Aid from the county and New York State a decade ago was instrumental in CPC’s decision to remain on Long Island rather than move to Florida, home to some of its owners.

"The Suffolk IDA and Contract Pharmacal have worked together several times and in each instance, job-creation expectations have been substantially exceeded," said IDA executive Anthony J. Catapano. The company is "a continuing example of the need and value of IDAs as they would have taken their jobs, economic benefit and overall success to another state years ago if not for our engagement," he said.

Records show CPC had 450 employees when it first sought help from the county and state in 2010 and 900 two years later, or 275 more jobs than the company had promised.

Employees earn, on average, $43,700 per year, the records show. Some are represented by a union.

CPC president and co-owner Mark Wolf said, "We are grateful for the continued support of the IDA and look forward to sustained growth and job creation right here in Suffolk County."

Besides producing over-the-counter medicine, CPC introduced a line of hemp supplements sold under the Uleva brand last year. The company purchased a Florida seller of prescription drugs in 2019 and has an operation in India.

CPC is a major player in the local pharmaceuticals industry, which has a total workforce of about 10,000. Pharma is the Island's largest manufacturing sector, with double the number of employees as the second-largest sector, instruments, according to a report by the Suffolk IDA and the Workforce Development Institute in Albany.

AT A GLANCE

Company: Contract Pharmacal Corp.

What they do: manufacturer of generic drugs and vitamins

HQ: Hauppauge

Number of LI facilities: 10 with plans for an 11th; all in Hauppauge

Number of LI employees: 1,325

Owners: Mark and Matthew Wolf, Robyn Wolf-Eagle

History: Started in 1971

SOURCES: Contract Pharmacal Corp., Suffolk County Industrial Development Agency

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