A Medford-based microelectronics manufacturer is getting $6.7 million in CHIPS Act funding as part of an expansion to Florida, but Rogue Valley Microdevices’ CEO says the foundry still has a bright future in its namesake region.

Jessica Gomez, who also founded the company, said in a phone interview last week that the company’s fabrication lab is staying put, and that it will be upgraded once the company completes its expansion to Palm Bay, Florida.

“That will still be there and operational,” said Gomez.

The company, founded in 2003, specializes in manufacturing microelectromechanical systems, or MEMS, which are electronic systems on a chip such as sensors containing both electrical and mechanical components.

In early July, the U.S. Department of Commerce announced that the company signed a non-binding preliminary agreement using funding from President Joe Biden’s CHIPS and Science Act, which was passed in 2022 with bipartisan support to ensure the United States continues its technological leadership in the semiconductor industry. The funding will triple Rogue Vally Microdevices’ capacity.

The company builds MEMS in Medford using a 200 mm substrate. Gomez described the next-generation fab as capable of accommodating a new pool of customers using the 300 mm wafer size. The expansion will allow it to make MEMS chips manufactured to customers’ specifications in automotive, agricultural, industrial, military and aeronautical industries.

In a July 1 release from the Commerce Department, Gina Raimondo, the commerce secretary, said: “The proposed investment in RVM is another example of how the Biden-Harris Administration is making targeted investments across the semiconductor supply chain to reignite U.S. leadership in semiconductor manufacturing.

“Because of President Biden’s CHIPS and Science Act, we are working to secure U.S.-based companies a stable, domestic supply of MEMS technology when demand is increasing across the globe.”

Although the funding agreement is in an early stage, Gomez said that “it’s been built into the budget.” Construction for its new Florida fab is ongoing and her plan is to have it operational in the first or second quarter of next year.

Palm Bay is the second-largest city in central Florida with a population of roughly 120,000 residents, according to the city’s home page. It is part of Florida’s “Space Coast” region near the Kennedy Space Center and Cape Canaveral, and is home to top engineering and defense contractors such as Raytheon Technologies and Renesas Electronics. In a release, Palm Bay Mayor Rob Medina praised the company.

“We are incredibly proud of Rogue Valley Microdevices for securing this funding to aid in the Palm Bay Expansion project,” Medina said. “Their commitment to innovation, job creation and community support aligns perfectly with our City’s vision for growth and development.”

Gomez’s agreement is linked to a litany of firsts for Biden’s CHIPS and Science Act. For starters, Rogue Valley Microdevices is the first “pure-play MEMS foundry” to apply for the federal funding. Further, the business is the first woman- and minority-owned MEMS business, according to the company. National Economic Advisor Lael Brainard also praised the funding, according to the U.S. Department of Commerce release.