Tag: jobs

Monroe County gives first OK for high-tech tax break: $152M investment to bring 250 jobs averaging $100K+

NHanced Semiconductors says it wants to make a $152-million investment in the now mostly vacant Cook Medical property at 301 N. Curry Pike west of Bloomington, so that it can establish a microelectronics manufacturing and packaging facility there.

By 2029, NHanced says that the company’s planned investments will be mostly completed. The company’s anticipated growth would mean 250 new jobs, paying an average of better than $100,000 a year, according to NHanced.

All that depends on a requested tax abatement from the Monroe County government.

For each of the next 10 years, NHanced is asking for 100-percent abatement of the taxes associated with the personal property investments at its planned facility. NHanced is not asking for any abatement of the taxes on the real property improvements that it makes.

Personal property refers to movable assets like equipment, while real property means immovable assets, like land and buildings.

Winning easy approval from all three Monroe County commissioners on Wednesday morning was the approval of a statement of benefits in support of the tax abatement for NHanced Semiconductors.

That was the first of two steps for the semiconductor company to receive its requested tax abatement. The second and final step for the abatement could come next Tuesday, Dec. 12. That’s when the tax abatement for NHanced Semiconductors is expected to appear on the meeting agenda for the Monroe County council, which is Monroe County government’s fiscal body. Continue reading “Monroe County gives first OK for high-tech tax break: $152M investment to bring 250 jobs averaging $100K+” →

Company email: Catalent’s Bloomington operation to cut 400 jobs

In a Wednesday morning email sent site-wide on behalf of Andrew Espejo, who is general manager of Catalent’s manufacturing facility in Bloomington, the pharmaceutical manufacturing company has announced a reduction of its Bloomington workforce by 400 jobs.

The email indicates that employees—which include full-time and temporary employees, mostly within the operations team—will be notified between Wednesday and Friday to “discuss the next steps, review available support, and address any questions the impacted employees may have.”

Wednesday’s email message states: “Those who are not contacted by Human Resources should report to work as scheduled.”

The message also says, “[W]e’re committed to operating in a transparent manner to ensure every employee impacted by these changes has the information and support they need, severance pay, benefits continuation, and outplacement assistance.”

The email states that “every colleague on this team has performed admirably,” and adds that the workforce reduction is in “no way a reflection of the quality of the work we’ve done.” Continue reading “Company email: Catalent’s Bloomington operation to cut 400 jobs” →

Catalent tax abatement OK’d in first of two Bloomington city council votes: 9–0

Bloomington’s city council voted 9–0 on Wednesday night to approve a tax abatement for Catalent in exchange for a capital investment of $350 million and 1,000 new jobs.

Final approval will require a confirmatory vote on March 2, after a public hearing.

The additional jobs would grow the pharmaceutical company’s local workforce by about one-third.

Catalent is looking to spend about $10 million on development of real property, possibly by buying more land. The other $340 million would be invested in personal property, which includes all the non-permanent fixtures inside a building, like manufacturing equipment.

The investment by the pharmaceutical company would be contingent on a tax abatement on the additional value for both real and personal property. Real property would be abated at a rate of 50 percent a year for 10 years, making a total of $826,760 in additional paid property taxes and $826,760 in abatement.

The bigger break comes for the personal property, which is 90 percent for 20 years, and totals an estimated $43,450,785 in abated taxes, which is calculated to have a net present value of about $28.4 million.

Because tax increment finance (TIF) capture is calculated on real property but not personal property, the impact of the abatement on TIF revenue would not be significant.

In the state of Indiana, the tax abatements don’t have an impact on the tax levy, that is, the amount of taxes collected by local governments. But an abatement does have an impact on how the tax burden is distributed across different taxpayers.

Councilmember Ron Smith was sanguine about the tax abatement. “I just think this is a fantastic opportunity,” Smith said.

Some councilmembers said they were voting yes Wednesday night, but seemed to leave open the possibility of voting no two weeks from now. Their concerns included: some skepticism about the “but for” criterion for tax abatements; the ability of Bloomington’s market to absorb the demand for additional housing; and the diminished income tax benefit of the new jobs due to out-of-county location of workers. Continue reading “Catalent tax abatement OK’d in first of two Bloomington city council votes: 9–0” →

Monroe County tax abatement is $240K of enthusiasm for company that brings attention to curb

Georgia-based Proveli, LLC now has final approval for a tax abatement from Monroe County that’s worth an estimated $240,000 over a 10-year period.

The tax abatement is for both real and personal property at the site west of Bloomington on Vernal Pike, where the road jogs north for about a half mile. Continue reading “Monroe County tax abatement is $240K of enthusiasm for company that brings attention to curb” →