Tuesday, October 17, 2006
Michael Shore, MEDC
Chemical Manufacturer Investing Over $100 Million to Move from Wisconsin
Governor Jennifer M. Granholm today announced that BASF Corporation plans to invest in excess of $100 million to relocate the R&D, administrative and manufacturing operations of recently acquired Johnson Polymer to Wyandotte from Wisconsin. The new facility is expected to create 648 new Michigan jobs, including as many as 175 permanent jobs directly by the company. Assistance offered through the Michigan Economic Development Corporation helped BASF select Wyandotte rather than other sites for this relocation.
The MEDC approved an employment Single Business Tax credit valued at more than $5.5 million over 10 years to win the project. An additional $15 million brownfield Single Business Tax credit was offered to help BASF decontaminate and prepare the property for construction of the new facility. The city of Wyandotte is also considering local tax abatements totaling approximately $35 million over 20 years to support the project.
An economic analysis conducted by the MEDC estimates that increased economic activity created by the expansion will result in an additional 473 indirect Michigan jobs, in addition to the 175 created directly by the company. The project is expected to generate more than $497 million in personal income for Michigan workers over the life of the tax credit.
The expansion is one of 14 economic development projects the Governor announced today. In all, they are expected to create and retain a total of 8,572 Michigan jobs.
(All estimates in 2006 dollars)
|TOTAL JOBS CREATED|
|NET POSITIVE STATE REVENUE IMPACT|
|Average Weekly Wage|
# # #