The Michigan Economic Development Corporation (MEDC) announced today that AW Tech Center, R.L. Polk & Co. and Plastech will be expanding and creating up to a total of 996 new jobs for southeast Michigan workers as a result of MEDC assistance.
“These three companies continue a very successful trend that has made Michigan number one in the nation for new business expansions five years in a row,” said Doug Rothwell, president and CEO of the Michigan Economic Development Corporation.“We welcome the expansions, we welcome the new jobs for Michigan workers, and we welcome more good news for our state’s economy.”
The three projects will provide a total of more than $65.2 million in revenue to the state over the life of the Single Business Tax credits, resulting in a net positive gain for the state of more than $47.5 million after the tax credit.The projects are expected to generate more than $815 million in personal income during that time.
Plastech plans to construct a new facility in Romulus to manufacture injection molded and blow molded automotive parts.Construction is expected to be completed and production begun in December 2002. The company plans to hire 400 new workers, including 250 workers at initial startup.
A MEDC incentive package, including a Single Business Tax credit valued at $2.8 million over the next 10 years, convinced Plastech to locate the new facility in Michigan.The company was also considering a location in South Carolina where it has another facility.
Until now R.L. Polk & Co.’s U.S. Data Operations have been split between Cincinnati, Ohio and Southfield, Michigan, but an incentive package from the MEDC convinced the company to consolidate the operations in Southfield. The incentive offer to R.L. Polk & Co. included a Single Business Tax Credit worth $14 million over a 19-year period.
As a result, R.L. Polk is planning to hire up to 300 new workers in Michigan. The company is a premiere provider of automotive information solution services to corporations worldwide.
A.W. Technical Center U.S.A., Inc. has chosen to expand automatic transmission and navigational systems research and development at its Ann Arbor facility, rather than at a company affiliate in North Carolina.A.W. Technical Center chose to expand in Michigan and add 45 new jobs after being offered a Single Business Tax credit worth $767,000 over a 10-year period.
The Michigan Economic Development Corporation, a partnership between the state and local communities, promotes smart economic growth by developing strategies and providing services to create and retain good jobs and a high quality of life.
Southeast Michigan Projects
Combined Economic Analysis
(All estimates in 2002 dollars)
TOTAL JOBS CREATED
|NET POSITIVE STATE REVENUE IMPACT||$ 47,575,000|
|Revenue Foregone||$ 17,626,000|
|Revenue Gain||$ 65,201,000|
|Average Wage Range||$480 - $944/wk|
|Personal Income Generated Over|
|Life of the Tax Credit Agreement||$ 815,043,000|