Mayor Rob Duncan called the impending loss of EPIC Technologies "devastating" at Tuesday night's city council meeting.
Duncan took a few moments to talk to council about the eventual loss of the company, which will cost 85 employees their jobs.
Duncan said EPIC officials indicated the closure would take place by the end of the second quarter of 2014.
He added that due to the closure of Janesville Acoustics, officials were in better position to form a Rapid Response team.
"We will see some jobs come here," Duncan said as he closed his remarks.
The meeting started with a 40-minute executive session for economic development purposes.
Afterward, Duncan said he couldn't provide many details about the closed session but did say "this is something we've been looking at for a while.
"We've got to be proactive in terms of incentive packages," the mayor added.
In other business, Josh Snyder, public works director, said it appears a compromise has been reached in regards to the paving of West Water Street.
At last week's meeting, apartment complex owner and city firefighter Jeff Phillips requested West Water be paved, since, in his words, the street washed away in the flood of 2006 and was never repaired.
Snyder and Phillips revisited the site recently.
Snyder said the city will pave a 4- to 6-foot wide section of the road this year at a cost of $1,500 to $2,000.
"That will address the worst area and minimally affect the larger project to come," he said.
Snyder was resistant to do a full resurfacing of West Water because the road will be torn up again in two years for a major sewer project.
Finally, council is reviewing legislation regarding the parking of recreational vehicles, watercraft and trailers.