Recently, Oklahoma City has been competing with cities in Kansas and Missouri for a new manufacturing facility for a large water bottling company.
Niagara Bottling will bring 45 new full-time positions and a new direct payroll of nearly $2 million. Based on economic factors such as taxes, wages and the capital investment of $57 million, the total economic impact of the project would be $138.6 million during its first six years of operation.
Local and state incentives have been important considerations in Niagara’s decision. Thanks to the citizens’ approval in the 2007 general obligation bond, Oklahoma City has economic tools like the Strategic Investment Program to encourage companies to select Oklahoma City.
Members of the Oklahoma City Economic Development Trust have approved an allocation of up to $225,000 for economic incentives with Niagara, which is a small investment given the economic impact of the project. Due to the SIP and other proven economic tools, we have the opportunity and means to compete for such opportunities.
The program was designed to protect the city’s investment. Facilities must be located in Oklahoma City and create at least 50 new full-time jobs or have a new total payroll of at least $1.75 million annually. Funds are allocated on a pay-for-performance basis, meaning no funds are released until companies prove they have fulfilled job creation requirements.
Read the full article at The Journal Record