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Panasonic qualifies for a $102.4 million Urban Transit Hub tax if it brings at least 250 jobs to Newark by 2016
Let me get my math straight. The state of NJ is granting Panasonic over $408,000.00 for each job tranfered 7 miles from Secaucus to Newark. Great job negotiating. I have a dead tree in the backyard that I'll sell u for 900,000. If you won't buy it i'll move it to Delaware.
Panasonic qualifies for a $102.4 million Urban Transit Hub tax if it brings at least 250 jobs to Newark by 2016
Let me get my math straight. The state of NJ is granting Panasonic over $408,000.00 for each job tranfered 7 miles from Secaucus to Newark. Great job negotiating. I have a dead tree in the backyard that I'll sell u for 900,000. If you won't buy it i'll move it to Delaware.
You are leaving out MOST of the picture:
Quote:
"The official announcement to relocate its 800 employees to Newark is expected to be made today at a news conference with Booker, Lt. Gov. Kim Guadagno, Panasonic North America CEO Joseph M. Taylor and other officials.
The move comes after a debate over whether state incentives were appropriate for a company that threatened to leave New Jersey but ultimately chose to stay. Panasonic had said it was eyeing space in Brooklyn, Atlanta, Chicago and California after its current lease expires in March 2013.
Panasonic qualifies for a $102.4 million Urban Transit Hub tax if it brings at least 250 jobs to Newark by 2016 and creates an additional 200 jobs within 10 years, according to an EDA memo. If no new jobs are created, Panasonic will only qualify for 80 percent of the tax credit. But the company has said the 800 jobs it has in Secaucus were "at risk" if Panasonic moved out of state. The authority concluded those jobs can be considered new jobs, the memo said. "
They are moving 800 jobs to Newark.
And then adding another 200 over the next 10 years.
On top of that, they were threatening to leave the state for better accommodations, and taking those original 800 jobs away with them.
On top of that, the article says the building will cost $190 Million PLUS another $228 Million will be payed to Newark in taxes and construction costs.
It sounds like it was the right thing to do. Especially if it kept 800 jobs from leaving the state.
Also this was in the article about companies shaking down the state with moves in the state.
Plus, the Panasonic case will encourage other corporations to seek lucrative incentives for intra-state moves, said Allen Magrini, senior vice president with Hartz Mountain.
"We compete for tenants all the time, and you win some, you lose some," Magrini said. "But to have the state subsidize another developer or to move a tenant within the state for $102 million, it’s unacceptable and creates an uneven playing field."
Also this was in the article about companies shaking down the state with moves in the state.
Plus, the Panasonic case will encourage other corporations to seek lucrative incentives for intra-state moves, said Allen Magrini, senior vice president with Hartz Mountain.
"We compete for tenants all the time, and you win some, you lose some," Magrini said. "But to have the state subsidize another developer or to move a tenant within the state for $102 million, it’s unacceptable and creates an uneven playing field."
But here is the conundrum, corporations do what is in the best interest of themselves. This is as certain as death and taxes. So if large corporations "shake down" the state, is it better for the state to hold firm and lose the jobs, along with the income tax that the workers are paying. Or is it better for them to cave in, allow NJ citizens to put food on the table, and the state can continue collecting income tax from the workers?
But here is the conundrum, corporations do what is in the best interest of themselves. This is as certain as death and taxes. So if large corporations "shake down" the state, is it better for the state to hold firm and lose the jobs, along with the income tax that the workers are paying. Or is it better for them to cave in, allow NJ citizens to put food on the table, and the state can continue collecting income tax from the workers?
U got a valid point Doc. But it's a shame that the State has to cave in to move a company 7 miles with a 102 mill grant. Newark has to buckle in for an undisclosed mucho mill also. So we will have a 200,000 sq. ft warehouse in Secaucus unoccupied and possibly defaulting why we subsidize them moving down the road. We're damned if we do and damned if we don't.
U got a valid point Doc. But it's a shame that the State has to cave in to move a company 7 miles with a 102 mill grant. Newark has to buckle in for an undisclosed mucho mill also. So we will have a 200,000 sq. ft warehouse in Secaucus unoccupied and possibly defaulting why we subsidize them moving down the road. We're damned if we do and damned if we don't.
There is that. Maybe they could turn it into condos, or lofts or something.
They are moving 800 jobs to Newark.
And then adding another 200 over the next 10 years.
On top of that, they were threatening to leave the state for better accommodations, and taking those original 800 jobs away with them.
On top of that, the article says the building will cost $190 Million PLUS another $228 Million will be payed to Newark in taxes and construction costs.
It sounds like it was the right thing to do. Especially if it kept 800 jobs from leaving the state.
I disagree. 100 million in taxpayer dollars is worth 1,000 jobs? Each job is worth $100,000 in taxpayer money to keep? (provided they would actually deal with the hassle of moving out of state, or to NYC).
NJ got strong armed here. I dont see how anyone could say this is a positive
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