Modern Materials Handling, one of the many trade periodicals that shows up in my workplace inbox, was the first to give me this good news:
Intelligrated, a leading American-owned automated materials handling solutions provider, announced yesterday that it has accepted more than $24 million in financial incentives from the state of Ohio. In conjunction with the Ohio Department of Development (ODOD), company executives formally accepted the comprehensive package during Ohio Governor Ted Strickland’s visit to Intelligrated’s manufacturing facility in West Chester, Ohio.
The state’s incentive package accelerates the company’s efforts to integrate the operations of recently acquired FKI Logistex and expand its facilities in West Chester, London and Mason, Ohio. During the three-year period of the project, Intelligrated will retain 537 full-time positions and create 267 new jobs in Ohio.
The Ohio Job Creation Tax Credit Authority also awarded Intelligrated an Ohio Job Creation Tax Credit to support the project in Butler County as well as expansions in Mason and London.
The incentives include low-interest research and development investment loans and Ohio enterprise bond fund loans from Ohio’s DFAC to the Butler County Port Authority to support costs associated with the acquisition of a 282,000-square-foot manufacturing facility in West Chester to be leased to Intelligrated.
While there are millions of people in Ohio (and the rest of the United States) who think that they are the best judges of which companies to support with their paychecks, they are mistaken.
The Ohio Department of Development and Governor Ted Strickland know best. After all, Governor Strickland has a Bachelors degree in history, a Masters Of Divinity from a freakin' seminary, and a doctorate in counseling psychology.
Here's some more advice on how Big Bidness can work hand in hand with Big Government to ensure that you pay your fair share of our $12,000,000,000,000.00 debt. And how companies like Intelligrated can pay as little as possible. This is from the Intelligrated website:
Thanks to the Stimulus Package that was recently approved by the United States President, Senate and Congress, businesses are receiving special tax incentives to invest in new equipment. According to Section 179 of the American Recovery and Reinvestment Act of 2009, businesses are allowed to fully expense up to $250,000 of new equipment acquisitions in 2009. Also, the first year depreciation bonus is boosted to 50%
For example, if a business were to purchase $750,000 in new equipment, they can fully expense $250,000 and then take 50% of the balance (50% of $500,000=$250,000), plus the first year’s MACRS (14% of $250,000=$35,000). This adds up to $535,000 or over 71% of the purchase price. The balance would be depreciated normally on the standard seven–year schedule.
If you were planning a project prior to the recent economic downturn, please speak to your tax or financing professionals about the incentivized options you have in 2009.
This picture of the Intelligrated Logo, with the E Pluribus Unum slogan came from the Intelligrated website. E Pluribus Unum means "Out Of Many, One" - Many revenue streams, and only one that matters.