Cedar Park City Council approved economic development funds to help finish the expansion of a manufacturing warehouse in the city during a Thursday night meeting.

The council unanimously approved a performance-based economic development agreement with ETS-Lindgren. Economic Development Director Phil Brewer said the company, which produces control and monitoring devices for microwaves and radio waves, is adding on 12,000 square feet of warehouse to its facility on Arrow Point Drive. The expansion will provide additional warehouse capacity and is planned to bring back seven employees that are working out of leased space in Hutto.

“Those folks will come back; they will be buying lunch; they will be shopping in Cedar Park,” Brewer said.

He said the company ran into some unexpected infrastructure costs that put the project over budget, and the agreement with the city would not exceed $50,000. The funds would be paid no earlier than Oct. 1, and the city estimates the rate of return to be 45.5 percent.

Along with bringing the jobs back to Cedar Park, Brewer said the expansion will add $2 million in capital investment and $850,000 in taxable inventory that will be added to the city’s tax rolls.

The expansion project is expected to be finished by Dec. 31.