Corporate Welfare Weekly - January 25, 2010 – Issue 34

 

Recent Announcements…

 

$5,560,000 in total possible incentives has been granted to Celgard LLC to expand its Charlotte campus into Concord. The Charlotte-based company develops and produces the specialty membranes used in lithium batteries. The incentives include $4.6 million in potential tax benefits from the Job Development Investment Fund (JDIG) and $955,000 from the state’s One North Carolina Fund. If that wasn’t enough, the company was also selected to receive a $49 million grant from the U.S. Department of Energy for the expansion. The state grant is contingent upon the approval of local incentives.

                ~ Salisbury Post, January 19, 2010

 

A recent Triangle Business Journal article written by Ken Elkins claims the total incentives could reach as high as $18.6 million when it is all said and done.

 

$1,000,000 has been granted to Reser’s Fine Foods from the state’s One North Carolina Fund. The Oregon-based company will be expanding its current food production plant in Halifax County. The company makes potato salads, mashed potatoes, and other prepared foods. Local incentives will follow.

                ~ David Bracken, News & Observer, January 20, 2010

 

The Durham City Council has approved $70,000 in local incentives for ACW Technology, a British contract manufacturing company for international commercial, aerospace and defense customers. ACW wants to build a domestic factory to be closer to their U.S. suppliers and clients. The company has not yet confirmed they will build in Durham County. They are considering sites in Maryland and Virginia, and are also being courted by North Carolina’s Wake and Franklin counties. The N.C. Commerce Department has declined to comment whether the state will pitch in any additional incentives.

                ~ Jim Wise, News & Observer, January 21, 2010

 

$164,807 in total incentives has been approved by Rockingham County officials and the town of Reidsville for Commonwealth Brands, a local tobacco manufacturer. The company is eligible to receive $83,207 in incentives from the city of Reidsville and $81,600 from Rockingham County.

                ~ Journal Staff, Winston Salem Journal, January 13, 2010

 

$796,280 in combined incentives has been approved for SANS Technical Fibers to expand its Stoneville plant. The synthetic nylon filament and yarn manufacturer will receive $625,000 in state grants to the city for sewer and water improvements, $41,960 from Rockingham County, $39,320 from the city of Stoneville, a $60,000 grant from the state’s One North Carolina Fund, and a $30,000 grant from Duke Energy Corp.

                ~ Journal Staff, Winston Salem Journal, January 13, 2010

 

Quote of the Week…

“We’re fed up with dishonesty; we’re fed up with backroom dealing. We’re tired of business as usual.”

~ Governor Perdue, as quoted by the Charlotte Observer, speaking to a Charlotte Chamber audience about her new initiatives for small business and education.

 

 Aren’t most of the governor’s incentives deals exactly what she is “fed up” with… “backroom dealing” and “business as usual?”

 

Wake County decides no carrots for ConAgra

 

The News & Observer reported in a January 23 article written by Sarah Nagem that Wake County has officially decided not to offer ConAgra Foods incentives to keep its Garner plant open.

 

“Wake County leaders will not offer ConAgra Foods tax breaks or other incentives to help persuade the company to keep its Slim Jim plant open in Garner.

 

The commissioners decided this week not to change their rules on financial incentives to join the state and Garner in offering ConAgra aid. …

 

Officials have been working to put together an incentives package for ConAgra.

 

But the company did not meet the county policy’s threshold for investment or wages to quality for incentives from Wake, County Manager David Cooke said. …

 

Garner Mayor Ronnie Williams asked county leaders to consider pitching in to help ConAgra. Williams said the company could get $450,000 from the One North Carolina Fund through the state Commerce Department, and the town could match that amount in the form of tax breaks.”

 

Small business owners provide wish lists for the Governor

 

The Winston-Salem Journal reported in a January 22 article written by Richard Craver that Governor Perdue is considering small business incentives, but may wait until May for her plan to be presented to the General Assembly. Some suggestions:

 

“Tax credits for group health-insurance costs.

 

Grants or low-interest loans for buying equipment and leasing office space.

 

New subsidies for new hires.

 

Triad small-business owners, entrepreneurs and their advocates are eager to provide wish lists for state incentives to Gov. Bev Perdue.

  

However, they will probably have to wait until May before Perdue presents her plan to the General Assembly for promoting small-business growth.”

 

Read the full article here.

 

This could be a good thing if every business has access to these credits.

 

ALERT!!

 

The Corporate Welfare Weekly is launching an effort to identify ANY company doing businesses in North Carolina who plans to expand, relocate within the state, or simply create new jobs – but ISN’T getting any incentive from the state or local government.

 

Email Shelley Gonzales at gonzales@ncicl.org