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Entries for category:   JobsOhio/ODSA

 
Jul 09, 2014

Don’t Miss the OEDA Mid-Year Briefing Featuring JobsOhio and ODSA
 

The Ohio Economic Development Association (OEDA), JobsOhio and its Regional Network Partners, the Ohio Development Services Agency (ODSA) and the Mid-Ohio Development Exchange (MODE) are hosting the Mid-Year Briefing for economic development professionals and elected officials on Thursday, July 17 at the Marriott Columbus Northwest in Dublin, Ohio.

 
The agenda features updates about JobsOhio and ODSA programs, including topics such as strategies for job growth and increasing investment in local communities, and Bricker & Eckler LLP will present an update on economic development legislative activity. The event is open to OEDA members and nonmembers.
 
For more information or to register, click here.


 
Posted by R. McCarthy in  JobsOhio/ODSA   |   Permalink

 

Jun 10, 2014

Ohio Supreme Court Rules Plaintiffs in JobsOhio Suit Lack Standing
 

In a major legal victory for Gov. John Kasich’s signature economic development initiative, the Supreme Court of Ohio today rejected a legal challenge to legislation providing for the creation and operation of JobsOhio. The Court held that plaintiffs ProgressOhio.org, Inc., Michael J. Skindell and Dennis E. Murray, Jr. lacked standing to raise their claims. Standing is a threshold requirement for legal action. Without any direct personal stake in the outcome of the case, the Court explained, the plaintiffs did not have standing and could not proceed. The Court did not reach the merits of the plaintiffs’ claims. Justice Sharon Kennedy concurred in the majority opinion, and Justices Paul Pfeifer and William O’Neill authored dissenting opinions. For more, see the Slip Opinion No. 2014-Ohio-2382.


 
Posted by R. McCarthy in  JobsOhio/ODSA  Legal Developments  State Updates   |   Permalink

 

May 01, 2014

Exploring JobsOhio's role in landing 1,400 GE jobs in Greater Cincinnati
 

The Cincinnati Business Courier recently examined the role of JobsOhio and Ohio Gov. John Kasich in landing the new General Electric center in Greater Cincinnati (See our April 25, 2014, blog post for more information). Although Gov. Kasich did not hold a news conference to announce the landing of 1,400 jobs and new tax revenue in the state, "many of the parties involved" are crediting his administration and JobsOhio. Cincinnati Mayor John Cranley, a Democrat, thanked the governor, saying "I'd love to say we (the city) did it, but we didn't," the article said. For more, read the full story.


 
Posted by R. McCarthy in  JobsOhio/ODSA  Regional Updates  State Updates   |   Permalink

 

Apr 23, 2014

Ohio House committee advances H.B. 492 to ease restrictions on InvestOhio and the distribution of local tax credits
 

The Ohio House of Representatives Ways & Means Committee recently advanced H.B. 492, which would ease restrictions on the InvestOhio program to "spur investment in small businesses," according to the Gongwer Ohio Report. InvestOhio, which "offers a non-refundable 10 percent personal income tax credit for investing up to $10 million in small businesses," was created as part of Gov. John Kasich's previous mid-biennium budget review (MBR). H.B. 294 is part of the governor's current MBR and would reduce from five to two the number of years that investors must hold the investment under the tax credit requirements. Ohio Development Services Agency (DSA) officials told the committee that the five-year requirement limited interest in InvestOhio. H.B. 492 also would "eliminate a provision in the law that allows municipalities to award local job creation and job retention tax credits only when the Ohio Tax Credit Authority approves the state version first," the article said. For more, read the full text of H.B. 492.


 
Posted by R. McCarthy in  Financial Incentives  JobsOhio/ODSA  Legal Developments  Regional Updates  State Updates   |   Permalink

 

Apr 15, 2014

Ohio DSA Director David Goodman discusses the department's new focus in the wake of JobsOhio
 

Now that the nonprofit public-private partnership JobsOhio is handling the state's business attraction and job creation efforts, the Development Services Agency (DSA) is shifting its focus to "small business services, retention of existing businesses, and holding companies accountable for tax breaks," the Dayton Daily News reports. In an interview, Ohio DSA Director David Goodman said that "follow-up on companies receiving tax credits was nonexistent prior to this administration." With more than 70 programs operating out of the DSA, Goodman said that one of his main goals is the implementation of a program called One DSA, which aims to get the department to "function as a singular agency," the article said. For more, read the full story.


 
Posted by R. McCarthy in  JobsOhio/ODSA  State Updates   |   Permalink

 

Apr 08, 2014

Johnna Reeder of Duke Energy named CEO of REDI Cincinnati
 

The Cincinnati USA Partnership was recently re-engineered to become the economic development initiative REDI Cincinnati, the Cincinnati Business Courier reports. Chief executive of this new entity is Johnna Reeder, who is assuming the position after most recently serving as the head of economic development operations at Duke Energy. In its previous incarnation, the economic development entity was part of the Cincinnati USA Regional Chamber (See our Oct 5, 2013, blog post for more information). Last month, executives announced that it would be restructured and rebranded under the new name, Cincinnati.com reports. For more, read the full Cincinnati Business Courier and Cincinnati.com stories.


 
Posted by R. McCarthy in  JobsOhio/ODSA  Regional Updates   |   Permalink

 

Apr 04, 2014

Seeing demonstrated progress, Ohio Controlling Board votes to release funding to Rocket Ventures
 

After agreeing in 2012 to withhold 2014 funding for the Toledo-based venture capital firm Rocket Ventures LLC, the Ohio Controlling Board recently unanimously approved the Ohio Third Frontier Commission's request to release the taxpayer-guaranteed bond money for the entity, The Blade reports. An independent evaluation in 2012 criticized the firm's "success rate in nurturing start-up companies, a perceived inexperience in product commercialization, and a lack of regional collaborators," which led the board to provide $1 million for 2013, but withhold 2014 funding until improvement was demonstrated. Since that time, the Ohio Development Services Agency (DSA) has expressed satisfaction with the entity's direction. In addition to severing its ties with the University of Toledo, Rocket Ventures has also "solidified its partnership with the Regional Growth Partnership as it seeks to demonstrate more of an 18-county northwest Ohio approach," the article said. For more, read the full story.


 
Posted by R. McCarthy in  Financial Incentives  JobsOhio/ODSA  Regional Updates  State Updates   |   Permalink

 

Mar 27, 2014

JobsOhio begins releasing new monthly financial reports on its economic development projects
 

Earlier this month, the private nonprofit corporation JobsOhio published on its website its first monthly report on "full executed projects," The Plain Dealer reports. The first report came after the economic development entity began "making economic distributions of its own, in addition to recommending projects for state approval." As a private entity with a revenue stream coming from the state's wholesale liquor profits, JobsOhio also features several other documents on its website aimed at providing transparency and accountability to its operations, the article said (See our Nov 5, 2013, blog post – "Audit reveals JobsOhio raised $188 million last year leasing the state's wholesale liquor profits"). For more, read the full story.


 
Posted by R. McCarthy in  JobsOhio/ODSA  Regional Updates  State Updates   |   Permalink

 

Mar 21, 2014

Catacel Corp. in Ravenna is proving an economic development success story
 

After receiving two rounds of funding from JumpStart as well as several grants from Ohio's Third Frontier program, Catacel Corp. in Ravenna reported "$2 million in sales in 2012 and $3 million last year" and is "on target to bring in $5 million this year," The Business Journal reports. The facility produces "high-performance, heat-exchanging structured catalysts used in hydrogen production, fuel cell and advanced energy applications." The company grew into a larger facility last September and is planning to increase its workforce of 30 by six this year, the article said. For more, read the full story.


 
Posted by R. McCarthy in  JobsOhio/ODSA  Regional Updates   |   Permalink

 

Mar 18, 2014

JobsOhio releases 2013 annual report
 

JobsOhio's recently released 2013 annual report shows that a "strong fourth quarter of new job commitments and capital investments boosted [the agency's] overall performance last year," The Columbus Dispatch reports. 2013 was the first year that the agency "had control over the state's wholesale liquor-revenue stream for use for development," and the report indicated that the agency finished 2013 with "nearly $179 million in assets and having secured commitments for 17,856 new jobs and $739 million in payroll for the state." For more, read the full story.

 
Posted by R. McCarthy in  JobsOhio/ODSA   |   Permalink

 

Mar 14, 2014

Economic development provisions included in Kasich administration’s second mid-biennium review budget bill
 

On March 11, 2014, Gov. John Kasich’s administration unveiled its second mid-biennium review budget bill (MBR). The bill, introduced as H.B. 472, highlights six major areas of interest for the administration, but includes many new policy and appropriation items. On Wednesday, March 12, Ohio House of Representatives Speaker William Batchelder (R-Medina) indicated that it is the House’s intent to divide the MBR into at least 11 bills, which would then be sent to committees for hearings. Below is a summary of the economic development components of the budget. Read this Bricker & Eckler publication for a comprehensive review of the MBR.


Incentive Requirements and Compliance

The MBR would establish August 1 as the uniform due date for reporting by recipients of state assistance through the Development Services Agency, the Ohio Venture Capital Authority, Third Frontier Commission, and the Ohio Coal Development Office.  Additionally, the MBR would require businesses seeking research and development financial assistance in connection with a relocation to notify local governments that will be affected by their relocation before entering into an agreement with the State for the assistance.  In the event that the recipient of a Research and Development Loan Tax Credit fails to comply with certain requirements related to its state assistance, the MBR would authorize the Development Services Agency to reduce the amount, percentage, and term of the tax credit.  Finally, the MBR would authorize the Development Services Agency to access Department of Taxation information as necessary to verify information provided by incentive recipients and to ensure compliance with tax laws.

JCTC Computations

The MBR would reduce the value of certain job creation tax credits during their first year.  Under continuing law, the value of a tax credit is equal to the income tax base revenue in the year at issue, minus the baseline income tax revenue in the twelve months before the Tax Credit Authority approves the project, multiplied by the tax credit percentage established by the Tax Credit Authority.  The MBR would eliminate a provision in current law providing that the baseline income tax revenue in the first year in the first year of the tax credit is to be reduced in proportion to the number of days in the year prior the tax credit in which the tax credit recipient was not eligible for the tax credit.  By eliminating this provision, the MBR would reduce the value of tax credits in their first year so that they will be based on the growth in income tax revenue for that year.

Municipal Tax Credits

The MBR clarifies that municipalities can offer job-creation tax credits and job-retention tax credits to employers, regardless of whether the employers also receive tax credit assistance from the Development Services Agency.


 
Posted by R. McCarthy in  Financial Incentives  JobsOhio/ODSA  Legal Developments  State Updates   |   Permalink

 

Mar 11, 2014

Dayton Daily News investigation questions the transparency of the publicly funded Dayton Development Coalition
 

A recent Dayton Daily News investigation takes issue with the fact that the nonprofit regional economic development entity the Dayton Development Coalition "does not release its annual budgets, conflict of interest policies or financial statements" despite having received roughly 60 percent of its revenue from public sources since 2004. This totals $64.5 million in local, state and federal tax dollars. The coalition assumed more power and a new source of funding when it was designated as JobsOhio West in 2011. Despite this, the newspaper concludes that the entity "operates in such secrecy that it is virtually impossible to gauge how successful it is in bringing jobs and investment to the region or how wisely it spends the public's money," the article said. Local officials that support the coalition point to several economic development projects that it has helped bring to fruition; however, the newspaper maintains that many of the job-creation statistics associated with such projects are inflated. For more, read the full story.


 
Posted by R. McCarthy in  JobsOhio/ODSA  Regional Updates   |   Permalink

 

Feb 13, 2014

S.B. 134 would limit the ability of local governments in other states to directly finance economic development projects in Ohio
 

The Ohio General Assembly is considering a proposal to limit the ability of other states and their local governments to directly finance economic development projects in Ohio. Under Senate Bill 134, so-called “foreign entities” (i.e., governments outside Ohio) would need to seek the approval of an Ohio local government before providing financing for an Ohio project. The bill follows recent efforts by several port authorities to offer bond financing across state lines.

The bill requires a foreign entity seeking to finance a capital improvement project in Ohio to apply to the port authority, municipal corporation or county in which the proposed project will be located. If the local government determines that it cannot or will not provide financing on similar or better terms, it must approve the foreign entity’s application. If the local government denies the application, the foreign entity can appeal to the Ohio Development Services Agency (ODSA).

If a foreign entity finances a capital improvement project without applying for local approval or after its application has been denied, the local government that could have financed the project or the director of the ODSA can obtain a court order halting the financing. The foreign entity also can be required to repay either 75 percent of the fees it received from the financing or 100 percent of the fees that the local government would have generated by financing the project, whichever is greater. An Ohio government agency that works with a foreign entity in violation of the bill will have its actions voided and can be jointly and severally liable for the fee. For more, read these Bloomberg, Wall Street Journal and Bond Buyer stories.

 
Posted by R. McCarthy in  Financial Incentives  JobsOhio/ODSA  Legal Developments  Regional Updates  State Updates   |   Permalink

 

Jan 29, 2014

Controlling Board approves seven Ohio Third Frontier loan requests totaling more than $7 million
 

Last week, the Controlling Board for the State of Ohio approved seven Third Frontier loan requests totaling more than $7 million, according to the Gongwer Ohio Report. In December, the Ohio Third Frontier Commission "announced $12.8 million worth of awards,” which include the seven projects approved by the board (See our Dec 17, 2013, blog post – "Ohio Third Frontier approves $12.8 million in funding for 16 projects"). For more, read this Ohio Development Services Agency news release.


 
Posted by R. McCarthy in  Financial Incentives  JobsOhio/ODSA   |   Permalink

 

Jan 14, 2014

Global automotive glassmaker to invest $200 million in a former GM plant in Moraine and create 800 jobs
 

Ohio Gov. John Kasich announced on Friday that the Fuyao Glass Industry Group Co. Ltd – the largest automotive glass supplier in China, with 65 percent of the market and 18 percent of the global automotive glass market – will build its first North American automotive facility in Moraine. The project, supported by the efforts of JobsOhio, is expected to create approximately 800 new jobs during the next five years and will involve a $200 million investment in more than one million square feet of the former GM Moraine plant. The facility is expected to be manufacturing glass by the end of 2015. Based on information from the foreign investment tracking organization FDI Markets, the deal will be "the largest Chinese investment ever made east of the Mississippi River and the largest Chinese automotive industry investment ever made in the U.S. since records have been kept." For more, read the full news release.


 
Posted by R. McCarthy in  Financial Incentives  JobsOhio/ODSA  Regional Updates  State Updates   |   Permalink

 

Dec 30, 2013

JobsOhio to publish monthly report itemizing details about incentives, incentive recipients
 

JobsOhio recently announced that, beginning sometime in the first quarter of 2014, it will publish an itemized report "on its website within three business days of the end of each month" detailing which companies receive money, The Columbus Dispatch reports. All financial aid that "has been dispensed thus far" will be accounted for in that first report. The report also will include information about "the name of the company, its location, the amounts of jobs it will create or retain, the amount of capital the company plans to invest in its project and the amount of JobsOhio assistance it will receive," the article said. The type of incentive will also be identified in the report, the article said. For more, read the full story.


 
Posted by R. McCarthy in  Financial Incentives  JobsOhio/ODSA  State Updates   |   Permalink

 

Dec 24, 2013

Constitutional Modernization Commission considers restrictions on public investments in private enterprises
 

As the Ohio Supreme Court continues to review claims challenging the creation of JobsOhio, members of the Ohio Constitutional Modernization Commission's Finance, Taxation & Economic Development Committee have heard several witnesses testify as to whether "restrictions on transferring public funds to private interests" should be removed from the Ohio Constitution, according to the Gongwer Ohio Report. Ohio State University law professor Dale Oesterle, in justifying the restrictions, told the committee "that the constitution was the only way for policymakers to guard against the political pressure that threatens to bog governments down with debt." The committee also has heard testimony from former Ohio Department of Development director Lisa Patt-McDaniel, however, explaining that the "constitution's restrictions on using taxpayer funding for private enterprise" is "an impediment to job creation efforts." Although a 1965 constitutional amendment "alleviated the outright prohibition somewhat by allowing state and political subdivisions to help finance private projects involving construction, equipment and facilities," Patt-McDaniel testified that the limitations relating to the kinds of economic development activities permitted by the Ohio Constitution should be removed so that the General Assembly can serve as the "gatekeeper to determine appropriate job-creating efforts," the article said.


 
Posted by R. McCarthy in  Financial Incentives  JobsOhio/ODSA  State Updates   |   Permalink

 

Dec 20, 2013

AG report highlights importance of economic development incentive compliance
 

Capping a groundbreaking year for economic development incentive compliance in Ohio, the Ohio Attorney General’s office released its 2013 report on incentives offered by the State of Ohio through the Ohio Development Services Agency. The annual report, which is required by Ohio Revised Code Section 125.112, is the fourth of its kind. This year’s report focuses on incentives with 2012 closeout dates. It identifies noncompliance with respect to 120 awards — approximately 45 percent of the awards reviewed.

The report underscores the increasing importance of accountability and transparency in economic development. This year has been packed with milestone events in incentive compliance, including forceful efforts by governmental entities to enforce compliance and unprecedented media scrutiny of incentives. If the ongoing litigation and political spats relating to the accountability and transparency of JobsOhio are any indication, these trends will intensify throughout 2014. For more, click here.


 
Posted by R. McCarthy in  Financial Incentives  JobsOhio/ODSA  State Updates   |   Permalink

 

Dec 19, 2013

Ohio is positioning itself to be a player in the unmanned aircraft industry
 

A study funded by the Ohio Development Services Agency (DSA) and administered by the Dayton Development Coalition aims to determine what the military's needs are with regard to unmanned aircraft or drones, the Dayton Business Journal reports. The central focus of the study, which is expected to be completed early next year, is "to solve military airspace requirements in a way that meets the needs of other airspace users," the article said. The state is attempting to get ahead of what it views as a burgeoning billion-dollar industry and is working with Indiana to obtain from the Federal Aviation Administration a designation that the UAS Center & Test Complex in Springfield will be "one of six sites across the country to test the integration of unmanned systems in the nation's airspace system." For more, read the full story.


 
Posted by R. McCarthy in  JobsOhio/ODSA  Regional Updates  State Updates   |   Permalink

 

Dec 17, 2013

Ohio Third Frontier approves $12.8 million in funding for 16 projects
 

Last Wednesday, the Ohio Third Frontier Commission approved "more than $12.8 million to fund cutting-edge biomedical companies and help entrepreneurs and technology start-up companies get their businesses off the ground," The Business Journal reports. The paper provides a detailed outline of the awards, which are summarized briefly below.


2013 Ohio Third Frontier Commercial Acceleration Loan Fund:

  • Synapse Biomedical in Oberlin will receive $2.4 million loan to help secure regulatory approval for its NeuRx DPS platform.
  • Intellirod Spine in Akron will receive $1.6 million loan to help bring its post-lumbar spine fusion medical device to market.
  • Cleveland Medical Devices in Cleveland will receive $1 million loan to "expand the commercialization of its home sleep apnea testing."
  • Nanofiber Solutions in Columbus will receive a $1.5 million loan to bring new products to market that are made using their "unique tissue engineering scaffolds."


2013 Ohio Third Frontier Incubation Program:

  • Akron Development Corp. of Akron will receive $500,000 for its Akron Global Business Accelerator.
  • BioEnterprise Corp. in Cleveland will receive $350,000 to continue providing business assistance to incubator tenants and to "maintain a quality biomedical research facility for the region."
  • Dayton-Miami Valley Entrepreneurs Center Inc. in Dayton will receive $450,000 to provide business incubation services and leased space at The Entrepreneurs Center.
  • Hamilton County Business Center Inc. in Cincinnati will receive $500,000 to provide space and services to start-ups.
  • Lorain County Community College in Elyria will receive $350,000 to offer entrepreneurial assistance and training through the Great Lakes Innovation and Development Enterprise (GLIDE) Incubator.
  • MAGNET in Cleveland will receive $450,000 to support its incubator and to "provide access to capital to help accelerate commercialization."
  • Mansfield/Richland Incubator Inc. in Mansfield will receive $450,000 to provide business incubation services at the Braintree Business Development Center.
  • Ohio University in Athens will receive $350,000 to provide facilities and technical support services through its Innovation Center.
  • TechColumbus, Inc. in Columbus will receive $600,000 to provide "venture acceleration services, direct investment capital and facilities" as the SpringBox Labs incubator in central Ohio.
  • The University of Toledo in Toledo will receive $450,000 to "provide facilities, business development, access to capital and commercialization expertise to technology-based start-up companies located within an 18-county area of Northwest Ohio" through its Launch Pad Incubation Program.
  • The Youngstown Business Incubator in Youngstown will receive $450,000 to provide entrepreneurial support to start-up companies in the fields of information technology and additive manufacturing.

2013 Ohio Third Frontier Industrial Research and Development Center Program:

  • The Cleveland Clinic was "awarded a cost share commitment of $1.5 million from the Ohio Third Frontier's Industrial Research and Development Center Program" that will complement a National Institute of Health (NIH) grant awarded to the clinic for the establishment of the National Center for Accelerated Innovations.


For more, read the full story and access the presentation for the Dec 11, 2913, Ohio Third Frontier Advisory Board and Commission Meetings.


 
Posted by R. McCarthy in  JobsOhio/ODSA  Regional Updates  State Updates   |   Permalink

 

Dec 10, 2013

Dayton Development Coalition director provides year-end review of economic development projects
 

The Dayton Development Coalition (DDC), a local affiliate of JobsOhio, is working on 29 projects that together "represent more than 4,100 new jobs and $743 million in capital investment," Dayton Business Journal reports. Dave Burrows, DDC's director of economic development programs, provided a year-end review of the coalition's programs and efforts during a meeting of the Chartered Financial Analyst (CFA) Society Dayton last week. As of September, DDC "had attracted more than 2,000 new jobs" to the region, which is "60 percent of its goal of 3,330 jobs," the article said. For more, read the full story.


 
Posted by R. McCarthy in  JobsOhio/ODSA  Regional Updates   |   Permalink

 

Dec 09, 2013

Ohio Tax Credit Authority approves 11 projects
 

The Kasich administration recently announced that the Ohio Tax Credit Authority (TCA) had approved tax credit awards for 11 projects set to create 733 jobs and to retain 310 jobs statewide. These projects are expected to generate more than $35 million in new payroll and $152 million in investments statewide. The approved projects are:

Ride Corporation will receive a 35 percent, six-year Job Creation Tax Credit for a new location project at a location (to be determined) that is expected to create 40 full-time positions and to generate $1 million in additional payroll.

SK Food Group dba SK Food Group NAHQ will receive a 55 percent, 10-year Job Creation Tax Credit for a new location project at a location (to be determined) that is expected to create 253 full-time positions and to generate $7.7 million in additional payroll.

Central Ohio:


Famous Enterprises, Inc. will receive a 40 percent, five-year Job Creation Tax Credit for a new location project in Columbus, Franklin County, that is expected to create 20 full-time positions and to generate $1 million in additional payroll.

Greenville Technology, Inc. dba Moriroku Technology North America will receive a 50 percent, eight-year Job Creation Tax Credit for a new location project in Marysville, Union County, that is expected to create 50 full-time positions, to generate $2.8 million in additional payroll and to retain $1.9 million in existing payroll.

Harris, Mackessy & Brennan, Inc. will receive a 45 percent, seven-year Job Creation Tax Credit for an expansion project in Westerville, Delaware County, that is expected to create 75 full-time positions, to generate $5.6 million in additional payroll and to retain $11.6 million in existing payroll.

Northeast Ohio:

Matalco Inc. will receive a 50 percent, eight-year Job Creation Tax Credit for a new location project in the Village of Lordstown, Trumbull County, that is expected to create 60 full-time positions and to generate $4 million in additional payroll.

Mesnac Americas Co., Ltd. will receive a 40 percent, five-year Job Creation Tax Credit for a new location project in Akron, Summit County, that is expected to create 35 full-time positions and to generate $3.9 million in additional payroll.

Pennex Aluminum Company, LLC will receive a 45 percent, six-year Job Creation Tax Credit for an expansion project in the Village of Leetonia, Columbiana County, that is expected to create 65 full-time positions, to generate $2.3 million in new payroll and to retain $3 million in existing payroll.

Southwest Ohio:

AIM MRO Holdings, Inc. will receive a 40 percent, five-year Job Creation Tax Credit for an expansion project in Miami Township, Clermont County, that is expected to create 50 full-time positions and to generate $3 million in additional payroll.

AlvaEDU will receive a 45 percent, six-year Job Creation Tax Credit for a new location project in Cincinnati, Hamilton County, that is expected to create 50 full-time positions and to generate $3 million in additional payroll.

Tom and Chee Worldwide LLC will receive a 45 percent, seven-year Job Creation Tax Credit for an expansion project in Cincinnati, Hamilton County, that is expected to create 65 full-time positions, to generate $3.5 million in additional payroll and to retain $215,385 in existing payroll.

For more, read the full press release.


 
Posted by R. McCarthy in  Financial Incentives  JobsOhio/ODSA  Regional Updates  State Updates   |   Permalink

 

Dec 03, 2013

Mary Cusick becomes TourismOhio's first director
 

Ohio Development Services Agency (DSA) Director David Goodman announced recently that Mary Cusick, a hospitality and marketing industry leader, was selected to be the first director for TourismOhio, effective Monday. Cusick, who formerly spent several years as the chief marketing officer at Bob Evans Farms, Inc., leaves her position as executive director of the Initiative for Managing Services at the Ohio State University Fisher College of Business to lead TourismOhio. In her new position, Cusick "will work with the TourismOhio Advisory Board to develop a comprehensive marketing strategy for the state as well as ways to increase the number of visitors to Ohio and get them to stay longer." Cusick is the first director of the newly established office, which received funding as a five-year pilot program through Gov. Kasich's biennial budget bill, H.B. 59. For more, read the full press release.
 
Posted by R. McCarthy in  JobsOhio/ODSA  State Updates   |   Permalink

 

Nov 14, 2013

Clean Ohio Council approves more than $6 million in grants in its final meeting
 

During its final meeting, the Clean Ohio Council approved more than $6 million in Clean Ohio Revitalization grants for five projects across the state, the Ohio Development Services Agency (DSA) announced. The program is sun-setting and will be replaced by the JobsOhio Revitalization Program, which will commit up to $43 million annually for revitalization projects and will have an increased focus on job creation (See our Nov 11, 2013, blog post for more information).

The City of Dayton received a $900,000 grant to clean up asbestos at the Kettering Center, which has been closed since the asbestos was discovered in 2007. Wright State University has committed to renovate the building after the cleanup.

The City of Cleveland received a $3 million grant for the Flats East Bank redevelopment project, which will create a 300,000-square-foot retail and office complex as well as 72 residential units.

The Stark County Port Authority received a $1,275,000 grant to clean up the former Alliance Community Hospital in Alliance. The hospital will work with Stark State Community College to construct a 100,000-square-foot facility for a new satellite school that will offer healthcare training.

The City of Columbus received a $1 million grant to clean up the LC RiverSouth property downtown. Upon completion, Lifestyle Communities, Ltd. will develop an eight-story building with 106 residential units, a parking garage and first-floor retail space.

The City of Marion received a $340,589 grant to help demolish and remediate the former Fairfield Engineering site. Carksco Properties LLC plans to develop the property for industrial use after the cleanup.

For more, read the full press release.


 
Posted by R. McCarthy in  Financial Incentives  JobsOhio/ODSA  Regional Updates  State Updates   |   Permalink

 

Nov 11, 2013

JobsOhio launches new Clean Ohio Fund program
 

The Clean Ohio Fund, which has distributed nearly $400 million in grants to encourage the remediation of brownfields across the state since 2002, is being reorganized under JobsOhio, The Columbus Dispatch reports (See our March 01, 2013, blog post for more information). Among other changes, JobsOhio plans to focus on loan support for projects. The new JobsOhio program will commit $43 million a year to cleanup projects across the state that promise to "create businesses and jobs." Housing projects will not be eligible for support under the reorganized program. JobsOhio expects that it will make program funding available on a rolling basis starting in March, the article said. For more, read the full story.


 
Posted by R. McCarthy in  JobsOhio/ODSA  State Updates   |   Permalink

 

Nov 07, 2013

Former JobsOhio leader's private venture capital fund secures a $50 million investment from Ohio State University
 

Drive Capital, the new Columbus-based venture capital fund founded by former JobsOhio head Mark Kvamme, secured a $50 million investment from Ohio State University, The Daily Jeffersonian reports. Media outlets and other interested parties are pressing the university to provide additional details behind the approval process for this deal, the Northeast Ohio Media Group reports (See our Oct 22, 2013, blog post for more information). For more, read the full Daily Jeffersonian story and the Northeast Ohio Media Group story.


 
Posted by R. McCarthy in  JobsOhio/ODSA   |   Permalink

 

Nov 06, 2013

Ohio Tax Credit Authority approves 10 projects
 

Last week, the Kasich administration announced that the Ohio Tax Credit Authority (TCA) had approved tax credit awards for 10 projects set to create 846 jobs and to retain 7,155 jobs statewide. These projects are expected to generate more than $46 million in new payroll and $58 million in investments statewide. The approved projects are:

Bang Printing of Ohio, Inc., dba Hess Print Solutions, will receive a 40 percent, six-year Job Creation Tax Credit for an expansion project in Brimfield Township, Portage County, that is expected to create 100 full-time jobs, to generate $3.5 million in additional payroll and to retain $12.9 million in existing payroll.

Cheryl & Co. will receive a 45 percent, six-year Job Creation Tax Credit for an expansion project in Westerville, Delaware County, that is expected to create 92 full-time jobs, to generate $2.9 million in additional payroll and to retain $6.6 million in existing payroll.

The General Electric Company will receive a 50 percent, 11-year Job Retention Tax Credit for a restructuring plan that is expected to result in the retention of 5,000 full-time positions as well as $140 million in existing payroll.

J-W Measurement Company will receive a 55 percent, seven-year Job Creation Tax Credit for a new location project in Brookfield Township, Trumbull County, that is expected to create 150 full-time jobs and to generate $6.8 million in additional payroll.

Nestle USA, Inc. and Approved Affiliates will receive a 65 percent, 10-year Job Creation Tax Credit for a new location project in Solon, Cuyahoga County, that is expected to create 250 jobs, to generate $21.8 million in additional payroll and to retain $63 million in existing payroll.

Owens Corning and Approved Affiliates will receive a 40 percent, five-year Job Creation Tax Credit for a retention project in Toledo, Lucas County, that is expected to create 50 full-time jobs, to generate $1.8 million in additional payroll and to retain $95.8 million in existing payroll.

PQ Shelters, Inc. will receive a 50 percent, six-year Job Creation Tax Credit for a new location project in Mason, Warren County, that is expected to create 100 full-time positions and to generate $4.2 million in additional payroll.

Quest Specialty Coatings, LLC will receive a 40 percent, six-year Job Creation Tax Credit for an expansion project in Massillon, Stark County, that is expected to create 25 full-time jobs, to generate $895,000 in additional payroll and to retain $5.6 million in existing payroll.

Siemens Medical Solutions USA, Inc. will receive a 50 percent, seven-year Job Creation Tax Credit for a new location project in Cleveland, Cuyahoga County, that is expected to create 20 full-time jobs and to generate $2.6 million in additional payroll.

xperion Energy & Environment USA LLC will receive a 50 percent, seven-year Job Creation Tax Credit for a project in Heath, Licking County, that is expected to create 59 full-time jobs and to generate $2 million in additional payroll.

For more, read the full press release.


 
Posted by R. McCarthy in  Financial Incentives  JobsOhio/ODSA   |   Permalink

 

Nov 05, 2013

Audit reveals JobsOhio raised $188 million last year leasing the state's wholesale liquor profits
 

KPMG recently released a private audit that it conducted with respect to JobsOhio, the state's private economic development organization. The audit found that the agency earned more revenue from leasing the state's wholesale liquor profits than was originally projected, The Columbus Dispatch reports. State officials estimated that the lease would generate about $100 million per year, but the audit found that JobsOhio received nearly $188 million from its $1.4 billion lease of the state's liquor business (See our Feb 04, 2013, blog post for more information). From the time the lease was signed in February until the end of the fiscal year in June, "liquor sales were up 4.5 percent and gallons sold increased 1.6 percent from the same period in 2012." For more, read the full story.


 
Posted by R. McCarthy in  JobsOhio/ODSA   |   Permalink

 

Oct 29, 2013

Toledo Blade investigates compliance in state economic development incentive programs
 

The Toledo Blade has published a three-part series analyzing economic development incentives provided by the Ohio Development Services Agency and its predecessor, the Ohio Department of Development. The series examines compliance by state award recipients as well as efforts by the state to monitor and enforce noncompliance. For more, read part 1, part 2 and part 3.  


 
Posted by R. McCarthy in  Financial Incentives  JobsOhio/ODSA  State Updates   |   Permalink

 

Oct 25, 2013

GROW Licking County community development corporation discusses regional cooperation at recent meeting
 

During a recent GROW Licking County community improvement corporation (CIC) breakfast, local leaders discussed the importance of regional cooperation and the benefits of partnering with the regional economic development group Columbus 2020, the Newark Advocate reports. That partnership initially garnered concerns that the organization could not provide equal representation to each of the 11 counties that it serves. Those at the meeting also discussed the successes of the CIC and how JobsOhio can assist economic development efforts in the region. For more, read the full story.


 
Posted by R. McCarthy in  JobsOhio/ODSA  Regional Updates   |   Permalink

 

Oct 24, 2013

Shale boom drives Carroll County commissioners to create a new assistant economic development director position
 

In response to the oil and gas industry's "significant interest" in Carroll County, the county commissioners recently hired Tana McClelland to fill the newly-created position of assistant economic development director, CantonRep.com reports. McClelland will assist Aaron Dodds, director of Carroll County's Economic Development Department, with marketing the region and working with economic development organizations, including JobsOhio. For more, read the full story.


 
Posted by R. McCarthy in  JobsOhio/ODSA  Regional Updates   |   Permalink

 

Oct 15, 2013

Heads of the Ohio DSA and JobsOhio discuss the state's economic outlook
 

Area Development magazine recently discussed Ohio's economic outlook with two of the state's most important economic development officials – John Minor, president and chief investment officer of JobsOhio, and David Goodman, director of the Ohio Development Services Agency (DSA). In addition to discussing the dynamics of their operations, which formerly operated under the single entity the Ohio Department of Development (ODOD), the two described challenges they are facing, areas where they expect growth, and current initiatives designed to make the state's workforce more appealing to businesses. For more, read the full interview.


 
Posted by R. McCarthy in  JobsOhio/ODSA  State Updates   |   Permalink

 

Oct 08, 2013

Ohio Tax Credit Authority approves 12 projects
 

Last week, the Kasich administration announced that the Ohio Tax Credit Authority (TCA) had approved tax credit awards for 12 projects set to create 1,265 jobs and retain 687 job statewide. These projects are expected to generate more than $66.4 million in new payroll and $187.6 million in investments statewide, WOUB.org reports. The approved projects are:

Clinical Outcomes Management Systems, LLC dba COMS Interactive, will receive a 45 percent, six-year Job Creation Tax Credit for an expansion project at a location (to be determined) that is expected to create 119 full-time positions, generate $8.7 million in additional payroll and retain $1.8 in existing payroll.

Rapid Prototype and Manufacturing LLC will receive a 50 percent, seven-year Job Creation Tax Credit for an expansion project at a location (to be determined) that is expected to create 130 full-time positions, generate $9.5 million in additional payroll and retain $380,000 in existing payroll.

Central Ohio:

American Howa Kentucky, Inc. dba AHK, Ohio will receive a 50 percent, eight-year Job Creation Tax Credit for an expansion project in Delaware, Delaware County, that is expected to create 60 full-time positions, generate $1.8 million in additional payroll and retain $2.4 million in existing payroll.

Northeast Ohio:

Hendrickson USA, LLC dba Hendrickson Trailer Commercial Vehicle Systems, will receive a 40 percent, six-year Job Creation Tax Credit for an expansion project in Canton, Stark County, that is expected to create 40 full-time positions, generate $2.1 million in additional payroll and retain $14.2 million in existing payroll.

OMNOVA Solutions Inc. will receive a 50 percent, five-year Job Creation Tax Credit for an expansion project in Beachwood, Cuyahoga County, that is expected to create 70 full-time positions, generate $4.7 million in additional payroll and retain $18.5 million in existing payroll.

Northwest Ohio:

Edgerton Forge Inc. will receive a 35 percent, seven-year Job Creation Tax Credit for an expansion project in the Village of Edgerton, Williams County, that is expected to create 25 full-time positions, generate $1 million in additional payroll and retain $2 million in existing payroll.

Southwest Ohio:

CE Power Solutions, LLC will receive a 40 percent, six-year Job Creation Tax Credit for an expansion project in Cincinnati, Hamilton County, that is expected to create 24 full-time positions, generate $1.8 million in additional payroll and retain $3.8 million in existing payroll.

iMFLUX Inc. will receive a 60 percent, eight-year Job Creation Tax Credit for a new location in Butler County that is expected to create 221 full-time positions and generate $17.5 million in additional payroll.

MINTH North America Inc. will receive a 70 percent, 12-year Job Creation Tax Credit for a new location in Lebanon, Butler County, that is expected to create 418 full-time positions and generate $12.6 million in additional payroll.

Systecon Inc. will receive a 35 percent, five-year Job Creation Tax Credit for an expansion project in West Chester Twp., Butler County, that is expected to create 18 full-time positions, generate $810,000 in additional payroll and retain $4.3 million in existing payroll.

Western Ohio:


PolyOne Corporation will receive a 50 percent, seven-year Job Creation Tax Credit for an expansion project in Greenville, Drake County, that is expected to create 130 full-time positions, generate $5 million in additional payroll and retain $5 million in existing payroll.

Riverside Computing, Inc. dba Agil IT and Elevation Healthcare will receive a 35 percent, six-year Job Creation Tax Credit for a new location in Butler Twp., Montgomery County, that is expected to create 20 full-time positions, generate $940,000 in additional payroll and retain $2.1 million in existing payroll.

For more, read this full WOUB.org story.


 
Posted by R. McCarthy in  Financial Incentives  JobsOhio/ODSA  Regional Updates  State Updates   |   Permalink

 

Oct 07, 2013

Lawmaker presses the DSA to explain why it rescinded its plan to award $108,000 in tax credits to Pure Romance
 

Last month, JobsOhio and Cincinnati officials initially agreed to award "relationship enhancement" company Pure Romance $108,000 in state tax credits for the company to "move 60 employees from Loveland to a new headquarters in Downtown Cincinnati and create 60 more jobs," Cincinnati Enquirer reports. Ohio Development Service Agency (DSA) officials, however, said the state ultimately "decided not to grant the tax credits because the company's bedroom-related products don't fall under the state's nine target industries." Chris Redfern (D-Catawba Island), who sits on the board that approves the DSA's loans and grants, said that the reasoning was flawed because "headquarters are also a stated priority for the state, no matter what the industry.” For more, read the full story.


 
Posted by R. McCarthy in  Financial Incentives  JobsOhio/ODSA  Regional Updates   |   Permalink

 

Oct 06, 2013

Cincinnati USA Regional Chamber wants its next CEO to fully engage powerful business executives to spur growth
 

The Cincinnati USA Regional Chamber says that while its CEO Ellen van der Horst did an excellent job during her seven years in the position, the group wants to replace her with someone who can help advance its new economic development strategy by fully engaging the region's powerful chief executives, "using his or her clout to recruit new companies and spur growth in high-paying jobs," Cincinnati Enquirer reports (See our Sept 05, 2013, blog post for more information). The economic development landscape of the region has changed, with organizations like the Port of Greater Cincinnati Development Authority, the Cincinnati Center City Development Corp. (3CDC), the Cincinnati Business Committee and the Cincinnati Regional Business Committee (CRBC) having changed their focuses in recent years. For more, read the full story.


 
Posted by R. McCarthy in  JobsOhio/ODSA  Regional Updates   |   Permalink

 

Oct 06, 2013

Gov. Kasich orders the DSA to keep the values of its tax credits public
 

Ohio Gov. John Kasich has ordered the Development Services Agency (DSA) to reverse “its new policy of keeping secret the estimated values of hundreds of millions of dollars' worth of tax credits given to companies each year," The Columbus Dispatch reports. The agency stopped reporting the estimated values of its tax credits temporarily "because the estimates were found to be often wrong" in hindsight. For more, read the full story.


 
Posted by R. McCarthy in  JobsOhio/ODSA  State Updates   |   Permalink

 

Oct 05, 2013

Turnover and low new capital investments ranking may make it difficult for Cincinnati USA Partnership to secure funding
 

WCPO Channel 9 reports that the Cincinnati USA Partnership – the economic development arm of the Cincinnati USA Regional Chamber – may encounter difficulty securing $10.5 million for three years of funding from Tri-State companies. The article lists two concerns these companies will likely consider: as one of six network partners in the statewide JobsOhio system, the partnership "ranked last in Ohio in new capital investment in the 12 months ending April 30." Also, turnover might concern partnership investors as "[Matt] Davis is the fourth person in three years to take the helm and all seven of its business attraction specialists have been with the partnership for less than two years" (See our Sept 03, 2013, blog post for more information). For more, read the full story.


 
Posted by R. McCarthy in  JobsOhio/ODSA  Regional Updates   |   Permalink

 

Oct 01, 2013

Ohio Development Services Agency (DSA) begins accepting applications for the second round of its Incumbent Workforce Training Voucher Program
 

On September 30, the Ohio Development Services Agency (DSA) began accepting applications for round two of the Ohio Incumbent Workforce Training Voucher Program, which provides grant assistance for employers conducting employee training programs (See our September 5, 2013, blog post for more information). The first round, which included $20 million in awards released in January 2013, disappeared in less than 24 hours. Ohio's recently passed budget bill provides up to $30 million for such awards in fiscal year 2014 – $27 million for first-come, first-served grants and $3 million for loans. These awards reimburse employers or employees for up to $4,000 per employee of workforce development efforts.

For more information about the Ohio Incumbent Workforce Training Voucher Program, visit http://development.ohio.gov/bs/bs_wtvp.htm or call Bricker & Eckler attorney Chris Schmenk at 614.227.2323.


 
Posted by R. McCarthy in  Financial Incentives  JobsOhio/ODSA   |   Permalink

 

Sep 24, 2013

Ohio's unemployment rate increased slightly to 7.3 percent in August
 

According to data released by the Ohio Department of Job and Family Services (ODJFS), Ohio's seasonally adjusted unemployment rate for August increased 0.1 percent from its July rate of 7.2 percent. The U.S. unemployment rate dropped from 7.4 percent in July to 7.3 percent in August, which is down from 8.1 percent in August 2012. The number of unemployed workers in Ohio increased 3,000 since July, to 419,000. During that time, the state's nonagricultural wage and salary employment decreased by 8,200. For more, read the full press release and access the Current Civilian Labor Force Estimates.


 
Posted by R. McCarthy in  Federal Updates  JobsOhio/ODSA  State Updates   |   Permalink

 

Sep 20, 2013

Ohio Rep. Michael Stinziano discusses the details of proposed pilot program
 

House Bill 259 is bipartisan legislation that would create a pilot program in the Ohio Development Services Agency (DSA) to "provide technical assistance to eligible businesses to help them expand and hire new employees," according to The Daily Reporter (See our Sept 09, 2013, blog post for more information). Ohio Rep. Michael Stinziano (D-Columbus), who sponsored the bill, said it is based on an economic development model known as economic gardening. Under H.B. 259, $250,000 would be appropriated to the program for fiscal years 2014 and 2015. The program's services would be directed toward entrepreneurial growth companies (EGCs), which are businesses that "have passed the start-up phase and have the potential for additional growth," the article said. For more, read the full story.


 
Posted by R. McCarthy in  JobsOhio/ODSA   |   Permalink

 

Sep 05, 2013

Ohio Development Services Agency announces second round of Incumbent Worker Training Vouchers
 

The Ohio Development Services Agency (DSA) has announced it is making available the second round of Incumbent Worker Training Vouchers. These awards reimburse employers or employees for up to $4,000 per employee of workforce development efforts. The first round, which included $20 million in awards released in January 2013, disappeared in less than 24 hours. Ohio’s recently passed budget bill provides up to $30 million for such awards in the current fiscal year. $27 million will be awarded on a first-come, first-served basis, while the remaining $3 million will be used for loans. Grant program applications will be accepted for review on Sept. 30. Stay tuned to DevelopOhio for more updates about this exciting new opportunity for Ohio businesses.

For more information about the Ohio Incumbent Workforce Training Voucher Program, visit http://development.ohio.gov/bs/bs_wtvp.htm or call Bricker & Eckler attorney Chris Schmenk at 614.227.2323.


 
Posted by R. McCarthy in  Financial Incentives  JobsOhio/ODSA  State Updates   |   Permalink

 

Aug 27, 2013

Ohio's unemployment rate holds steady at 7.2 percent in July
 

According to data released by the Ohio Department of Job and Family Services (ODJFS), Ohio's seasonally adjusted unemployment rate for July was unchanged from its June rate of 7.2 percent. The U.S. unemployment rate dropped from 7.6 percent in June to 7.4 percent in July, which is down from 8.2 percent in July 2012. The number of unemployed workers in Ohio increased 3,000 from June to 416,000. During that time, the state's nonagricultural wage and salary employment increased 5,300. For more, read the full press release and access the Current Civilian Labor Force Estimates.


 
Posted by R. McCarthy in  Federal Updates  JobsOhio/ODSA  State Updates   |   Permalink

 

Aug 25, 2013

Bipartisan legislation introduced to add $100 million to DSA's technology investment program
 

Ohio Sens. Eric Kearney (D-Cincinnati) and Bill Seitz (R-Cincinnati) are cosponsoring S.B. 120 – legislation that would increase the total amount of tax credits awarded under the Technology Investment Tax Credit (TITC) Program from $45 million to $145 million, according to The Daily Reporter. The TITC Program is "designed to offer a variety of benefits to Ohio taxpayers who invest in small, research and development, and technology-oriented firms." The Ohio Development Services Agency, which administers the program, stopped accepting new TITC applications in November 2012 after the program reached its cap of $45 million. DSA officials said a "strong increase in the number of investor applications" was responsible for the program hitting its cap, the article said. For more, read the full story.


 
Posted by R. McCarthy in  Financial Incentives  JobsOhio/ODSA  Legal Developments  State Updates   |   Permalink

 

Jul 10, 2013

Ohio Development Services Agency announces recipients of the fourth round of New Market Tax Credits
 

This week, the Ohio Development Services Agency (DSA) announced the four recipients of the fourth round of Ohio New Market Tax Credits (NMTC), which totaled $10 million, an agency press release announced. The NMTC program helps finance business investments in low-income communities by providing investors with state tax credits in exchange for delivering below-market-rate investment options to Ohio businesses. The following entities are fourth-round recipients:

  • Cincinnati Development Fund, which finances affordable housing development and community revitalization, will receive $3 million in tax credits for a minimum of $7.6 million in investments.
  • Dayton Region New Market Fund, LLC, which helps spur business development in low-income communities, will receive $3 million in tax credits for a minimum of $7.6 million in investments.
  • Development Fund of the Western Reserve, which enables investments that target low-income communities, will receive $2 million in tax credits for a minimum of $5.1 million in investments.
  • Finance Fund, which helps low-income communities realize economic development goals by connecting them with public and private sources of capital, will receive $2 million in tax credits for a minimum of $5.1 million in investments.
For more, read the full press release.


 
Posted by R. McCarthy in  JobsOhio/ODSA   |   Permalink

 

Jul 04, 2013

Ohio Third Frontier creates three new programs to bolster the state's tech-based economy
 

Last week, Ohio Third Frontier announced the creation of three programs to create jobs and strengthen Ohio's tech-based economy. The Technology Commercialization Center will offer up to $25 million to help commercialize technology that is developed from research from universities, medical centers and nonprofit institutions. Additionally, the Commercial Acceleration Loan Fund will provide loans ranging from $500,000 to $2.5 million to assist companies having difficulty securing funding due to "risks associated with developing technologies." Finally, the Technology Asset Grant will offer $5 million for up to three years to support infrastructure projects such as facilities or equipment that at least "two Ohio companies or a federal procurement agency [support as] critical to commercialize technology." For more, read the full press release.


 
Posted by R. McCarthy in  Financial Incentives  JobsOhio/ODSA  State Updates   |   Permalink

 

Jun 28, 2013

Ohio Tax Credit Authority to assist 15 economic development projects that are expected to create 831 new jobs
 

This week, Governor John Kasich announced that the Ohio Tax Credit Authority (TCA) approved 15 projects brought to it by JobsOhio and its regional partners that should "create 831 jobs and retain 1,903 jobs statewide." The projects are expected to spur $379 million in investment and $120 million in new payroll. Three projects are in central Ohio, five are in northeast Ohio, two are in southwest Ohio, one is in western Ohio and four will be in locations that have not yet been determined. For more, including a description of each project, read the full press release.


 
Posted by R. McCarthy in  JobsOhio/ODSA  Regional Updates  State Updates   |   Permalink

 

Jun 17, 2013

Ohio Third Frontier awards $20.5 million to technology start-ups and student internship programs
 

On Wednesday, the Ohio Third Frontier Commission approved a dozen recipients for its 2013 Technology Validation and Start-Up Fund awards.  It also announced funding for eight agencies that will administer the Ohio Third Frontier Internship Program, the Ohio Development Services Agency announced. The Commission’s $20.5 million investment will support technology-based industries and innovation and prepare Ohio students for high-tech jobs created as a result of that investment. For more, including details about each recipient, read the full press release.


 
Posted by R. McCarthy in  JobsOhio/ODSA  Regional Updates   |   Permalink

 

Jun 13, 2013

Ohio Development Services Agency announces six new appointments to its leadership team
 

This week, Ohio Development Services Agency (ODSA) Director David Goodman announced six appointments to the agency's leadership team. Ryan Burgess, senior vice president of Fifth Third Bank, will serve as assistant director. Jacqueline Williams, executive director of the Liquor Control Commission of Ohio, is now chief of the Minority Business Division. Ezra Escudero, a banker with JP Morgan Chase, will serve as both deputy chief of the Office of Business Assistance and director of the Ohio Small Business Development Centers (Ohio SBDC). Former teacher and state senator Joy Padgett will serve as deputy director of the Governor's Office of Appalachia. Kenyatta Chandler, a former business manager from the Office of Budget and Management, is ODSA's new revenue and loan officer. Rebecca Ruan-O’Shaughnessy was promoted from assistant deputy chief to deputy chief of the Office of Strategic Business Investments. For more, read the full press release.


 
Posted by R. McCarthy in  JobsOhio/ODSA   |   Permalink

 

Jun 11, 2013

JobsOhio helps six companies bring 528 jobs to Wilmington
 

Six companies are bringing 528 jobs and $18.7 million in new payroll to the Wilmington Airpark, JobsOhio has announced. Just four years after the shuttering of DHL's freight hub in Wilmington took more than 8,000 jobs from the area, Air Transport International, Custom Molded Products, Polaris Industries, Praxair, DealerTrack Inc. and TimberTech have accepted state incentives and training support and agreed to locate facilities to Ohio. Air Transport International, for example, said that without the 50 percent, seven-year tax credit and JobsOhio’s training support, the company probably would have relocated "somewhere else," an article by WLWT reported. For more, read the full WLWT story and the full Columbus Dispatch story


 
Posted by R. McCarthy in  JobsOhio/ODSA  Regional Updates   |   Permalink

 

Mar 29, 2013

8th Annual Ohio Business Matchmaker Conference connects small businesses with government customers
 

In an effort to "help small businesses establish themselves with government customers," the Ohio Development Services Agency hosted the 8th Annual Ohio Business Matchmaker Conference from March 28-29, 2013, at the Dayton Convention Center, Dayton Business Journal reports. Suppliers and buyers scheduled one-on-one,10-minute matchmaking meetings to "discuss one another's specific projects and capabilities," the conference website said. In addition to these meetings, the conference featured training for small businesses "on topics such as securing business with federal government prime contractors, expanding sales through exporting, opportunities for veterans and other business opportunities," a press release from the DSA said. For more, read the full Dayton Business Journal story and DSA press release, and visit the conference's website.


 
Posted by R. McCarthy in  JobsOhio/ODSA   |   Permalink

 

Mar 15, 2013

Gov. Kasich announces new director of DSA
 

David Goodman, the current director of the Ohio Department of Commerce, will take over the Ohio Development Services Agency (DSA) on March 18, 2013, according to a press release from Gov. Kasich’s office. Director Goodman, a former state senator and a familiar face to many Columbus business leaders, replaces Christiane Schmenk, who is leaving the state economic development agency. Director Goodman will be charged with leading the organization as the state continues the complicated transfer of its economic development portfolio to JobsOhio. For more, read the full press release.


 
Posted by P. Finley in  JobsOhio/ODSA  State Updates   |   Permalink

 

Mar 14, 2013

Ohio Development Services Agency partners with APEG to offer assistance to manufacturers in southeastern Ohio
 

The Ohio Development Services Agency is coordinating with the Appalachian Partnership for Economic Growth (APEG) of Nelsonville to offer Manufacturing Extension Partnership (MEP) services to 28 counties in southeastern Ohio, Perry County Tribune reports. The Innovation Center at Ohio University, as well the Muskingum County Business Incubator in Zanesville and the Manufacturing and Technology Small Business Development Center at The Ohio State University South Center in Piketon, will serve as satellite partners providing “products, services, and assistance vital to the health of manufacturing businesses with fewer than 50 employees” in designated counties. APEG will provide MEG services directly to “manufacturers with 50 or more employees throughout the entire 28 county region,” the article said. For more, read the full story.


 
Posted by Q. Harris in  Financial Incentives  JobsOhio/ODSA  Regional Updates   |   Permalink

 

Mar 13, 2013

Clean Ohio streamlines approval process for brownfield project
 

Last week, the Clean Ohio Council announced that it has “streamlined its brownfield incentive programs” in an effort to provide funding “quicker to encourage redevelopment of sites with environmental issues,” Columbus Business First reports. The new streamlined program, co-managed by JobsOhio, the Ohio Development Services Agency and the Clean Ohio Council, will “operate on rolling cycles” rather than competitive funding rounds used since the inception of the Clean Ohio Revitalization Fund and Clean Ohio Assistance Fund programs. Projects seeking funding through JobsOhio and its regional network partners can qualify for grants up to $200,000 for testing, down from $750,000, “while grants for actual cleanup remains capped at $3 million,” the article said. For more, read the full story.


 
Posted by Q. Harris in  Financial Incentives  JobsOhio/ODSA  State Updates   |   Permalink

 

Mar 11, 2013

Ohio Historic Preservation Tax Credit program now accepting applications for Round 10
 

The Ohio Development Services Agency (DSA) recently announced that the application period for Round 10 of the Ohio Historic Preservation Tax Credit program is now underway and a total of “$30 million in tax credit allocation is currently available for Round 10 applicants,” according to a press release from the agency. The program — which is administered by the DSA’s Office of Redevelopment and the Ohio Historic Preservation Office — provides a tax credit of 25 percent for historic rehabilitation projects. Applications must be submitted to the Office of Redevelopment by 5 p.m. on Tuesday, April 2, 2013. Prior to submission, all applicants must “schedule pre-application meetings” with both the Ohio Historic Preservation Office and the Ohio Development Services Agency. For more, read the full press release.


 
Posted by Q. Harris in  Financial Incentives  JobsOhio/ODSA  State Updates   |   Permalink

 

Mar 07, 2013

Site Selection magazine ranks Ohio second in 2012 Governor's Cup race; ranks 21 Ohio cities for new and expansion projects
 

Site Selection magazine recently announced that Texas eclipsed Ohio for a first-place finish in the new and expanded 2012 facilities race to claim the Governor’s Cup. Annually, Site Selection magazine compiles data to measure how states and cities rank against each other based on economic-development metrics. Ohio was ranked second in the nation in 2012 after a first-place finish in 2011. Texas posted 761 projects while Ohio came in second with 491 projects, just seven fewer projects than last year’s total of 498. Rounding out the top 5 and providing a strong Midwestern showing in job creation and retention in 2012, Pennsylvania was ranked third with 430 projects, Michigan was ranked fourth with 337 projects and Illinois was ranked fifth with 322 projects.

The Columbus Dispatch reported that Site Selection magazine also announced seven Ohio cities making it into its rankings in the following categories:

  • Metropolitan areas with a population of at least 1 million: Cincinnati came in eighth and Columbus finished 10th.
  • Metropolitan areas with a population of 200,000 to 1 million: Dayton came in first for the third time in the past five years; Akron finished eighth.
  • Micropolitan areas (the smallest population category): Findlay, Wooster and Ashtabula all finished in the top 10.

Fourteen other Ohio cities were ranked as top micropolitan areas by number of projects, putting a total of 17 Ohio cities — more than any other state — on the magazine’s list: East Liverpool-Salem (T13), Greenville (T13), New Philadelphia-Dover (T13), Sidney (T13), Defiance (T23), Bellefontaine (T30), Tiffin-Fostoria (T30), Wapakoneta (T30), Cambridge (T45), Fremont (T45), Ashland (T86), Bucyrus (T86), Celina (T86) and Zanesville (T86).

For more, read the 2013 edition of Site Selection magazine and The Columbus Dispatch story.


 
Posted by Q. Harris in  Financial Incentives  JobsOhio/ODSA  Regional Updates  State Updates   |   Permalink

 

Mar 06, 2013

JobsOhio created and retained fewer jobs in 2012 than in 2011
 

According to JobsOhio’s 2012 Annual Report, the economic development entity created and retained fewer jobs in 2012 than in 2011, which a spokeswoman attributed to “political uncertainty at the federal level,” Columbus Business First reports (See out March 05, 2013, blog post for more information). Despite the job retention drop (from 61,686 in 2011 to 54,633 in 2012) and job creation drop (from 21,099 in 2011 to 20,979 in 2012), the “sum of economic development projects and capital investments tied to them rose.” Payroll commitments, however, dropped 27 percent ($1.3 billion) between 2011 and 2012, the article said. For more, read the full story.


 
Posted by Q. Harris in  Financial Incentives  JobsOhio/ODSA  State Updates   |   Permalink

 

Mar 01, 2013

JobsOhio President John Minor discusses job creation at economic development meeting in Wooster
 

During the Wayne Economic Development Council's annual meeting in Wooster last week, JobsOhio President John Minor discussed recent successes and ongoing challenges with regard to job creation in Ohio, The Daily Record reports. Echoing many of the points Gov. Kasich made in his State of the State speech last week, Minor said that Ohio was first in the Midwest and fourth in the nation for job creation, and he also shared the anecdote that CEOs were seeking out Gov. Kasich at the World Economic Forum in Switzerland recently to figure out "what Ohio was doing differently" to achieve such success. Minor then argued in favor of JobsOhio, which he said is changing how the state does business "from a transaction- and project-based mindset to one of developing relationships with businesses," the article said. For more, read the full story.


 
Posted by Q. Harris in  JobsOhio/ODSA  Regional Updates   |   Permalink

 

Mar 01, 2013

JobsOhio’s economic development strategy looks beyond financial incentives
 

A recent change of strategy for the Kasich administration’s economic development efforts will reduce the number of large-scale incentive packages offered to retain, expand or attract businesses in favor of a greater emphasis on “broader issues” that involve investing in the state’s competitive assets, including “infrastructure, talent and technology,” Crain’s Cleveland Business reports (see our January 29, 2013, blog post for more information). This new return-on-investment approach is not without its critics, as some have noted that altering the Clean Ohio revitalization fund program to require end-users before communities receive funds will cause cities to have difficulty competing to attract businesses because companies “don’t want to commit to a move if they must wait a year or more for an environmental cleanup before they can begin construction or renovation,” the article said (see our February 22, 2013, blog post for more information). For more, read the full story.


 
Posted by Q. Harris in  Financial Incentives  JobsOhio/ODSA  State Updates   |   Permalink

 

Feb 04, 2013

Transaction complete: Ohio’s wholesale liquor franchise transferred to JobsOhio
 

According to Gongwer, “[t]he transfer of the state’s wholesale liquor enterprise to JobsOhio was finalized Friday [February 1, 2013], along with the sale of $1.57 billion in bonds” even though the Ohio Supreme Court has agreed to hear the JobsOhio case (see our January 31, 2013, blog post for more information). The “enterprise transfer includes the previously executed Franchise and Transfer Agreement, and the Operation Services Agreement between JobsOhio, the Ohio Office of Budget and Management, and Ohio Department of Commerce,” according to a press release from JobsOhio. According to the offering circular, “[o]nly about $125 million in bond revenue will go to JobsOhio as ‘working capital’ for job-creation efforts,” through its agreement to lease the liquor franchise for 25 years, Gongwer reports. For more, read the JobsOhio press release.


 
Posted by Q. Harris in  Financial Incentives  JobsOhio/ODSA  Legal Developments  State Updates   |   Permalink

 

Jan 31, 2013

Despite pending litigation, JobsOhio moved forward with its bond sale, expects to clear $125 million from liquor bond sale
 

Just days after the Ohio Supreme Court agreed to hear the JobsOhio case (see our January 25, 2013, blog post for more information), the State of Ohio and JobsOhio moved forward with its plan to sell bonds to finance a 25-year lease of the state’s liquor distribution system, The Bond Buyer reported. “Ohio on Monday and Tuesday priced $1.56 billion of liquor-profit backed bonds,” of which $410 million was tax-exempt revenue bonds and $1.1 billion was in taxable bonds. “The agency (JobsOhio) will give $1.43 billion of the proceeds to the state as a cash payment for the lease and to defease outstanding liquor-backed bonds. Another $5 million will be used for capitalized interest and $9.2 million for issuance costs. The private, non-profit group will use the remaining $125 million to fund economic development projects across the state,” the article said. Moreover, the lease is “in addition to an estimated $100 million annually from liquor sales,” JobsOhio will receive as a result of this transaction an article in Columbus Business First reported. For more, read the full story.


 
Posted by Q. Harris in  JobsOhio/ODSA  Legal Developments  State Updates   |   Permalink

 

Jan 29, 2013

Gov. Kasich will not readily use tax incentives to retain and attract businesses
 

Having faced some criticism for his use of tax incentives to retain businesses in Ohio that did not create any new jobs, Gov. John Kasich said during a year-end press conference with reporters late last month that he is not interested in offering copious incentive packages to companies that “come to him with threats of moving out of state,” Stow Sentry reports (see our December 10, 2012, blog post for more information). Gov. Kasich said that instead of engaging in bidding wars with other states, he now touts Ohio’s great higher education and workforce training, great location and stable politics to attract and retain businesses, the article said. For more, read the Stow Sentry story and this Dayton Daily News story.


 
Posted by Q. Harris in  Financial Incentives  JobsOhio/ODSA  State Updates   |   Permalink

 

Jan 29, 2013

January 2013 Ohio Tax Credit Authority and Ohio Controlling Board overview
 

The Ohio Tax Credit Authority approved state assistance Monday for 11 projects expected to create 410 new jobs and retain 874 existing jobs in Ohio, generate $20 million in new payroll, and prompt $51 million in other investments over the next several years, according to Gongwer and The Hannah Report. For more information on the companies and an overview of their projects, see the press release from Governor Kasich’s office. 

In other development news Monday, the Ohio Controlling Board approved the Development Services Agency’s expenditure of $9.2 million in Ohio Third Frontier funding for five different organizations through JobsOhio, according to The Columbus Dispatch. The organizations approved to receive funding are the Appalachian Partnership for Economic Growth, receiving $800,000; Regional Growth Partnership Inc., of Toledo, receiving $1.1 million; Development Projects Inc., of Dayton, receiving $1.2 million;  Columbus 2020, receiving $1.8 million; and Team NEO in Cleveland, receiving $2.8 million. The money represents the second round — the first $14 million having been awarded in August 2011 — the article said.

Gongwer and The Hannah Report also reported that the Ohio Controlling Board approved several additional requests, most notably:

  • Funding for multiple economic development projects in the sum of $873,000.
  • A $1 million request by the Ohio Department of Transportation to assess private-public partnerships.

 
Posted by Q. Harris in  Financial Incentives  JobsOhio/ODSA  Regional Updates  State Updates   |   Permalink

 

Jan 25, 2013

Ohio Supreme Court agrees to hear JobsOhio case; agency delays $1.5 billion bond deal as a result
 

On Wednesday, the Ohio Supreme Court agreed to consider whether ProgressOhio “has standing to challenge the constitutionality” of JobsOhio, The Columbus Dispatch reports. The Supreme Court, however, will not rule on the merits of ProgressOhio’s question of the legality of JobsOhio using state liquor profits as a funding stream; only “whether ProgressOhio has standing to file the legal challenge.” The Franklin County Common Pleas Court and the 10th District Court of Appeals both dismissed the lawsuit on the standing question (see our October 11, 2012, blog post for more information).

In response to the Supreme Court announcement, JobsOhio is delaying the $1.5 billion sale of taxable and tax-exempt bonds that would be backed by the profits of the state’s liquor franchise, Bond Buyer reports (see our January 10, 2013, blog post for more information). For more, read The Columbus Dispatch story, the Bond Buyer story (subscription required) and The Supreme Court of Ohio Case Announcements.


 
Posted by Q. Harris in  JobsOhio/ODSA   |   Permalink

 

Jan 23, 2013

22 higher education institutions to receive $11 million in funding for co-op/internship programs
 

Last week, State Sen. Bill Beagle (R-Tipp City) announced that the State Controlling Board approved “nearly $11 million in funding for the Choose Ohio First Co-op/Internship Program,” Dayton Business Journal reports. Twenty-two higher education institutions throughout Ohio will receive funding for the administration and development of internship and co-op programs. “The goal of the program is to better align the skills, knowledge and experience of Ohio’s workforce with the jobs that need to be filled in the workplace,” the article said. For more, read the full story.


 
Posted by Q. Harris in  Financial Incentives  JobsOhio/ODSA  State Updates   |   Permalink

 

Jan 22, 2013

AEP’s $2 million donation to JobsOhio reveals details about entity’s financial structure
 

With pending legal challenges delaying the execution of the $1.5 billion lease of the state’s liquor franchise to JobsOhio, which is anticipated to generate approximately $100 million annually to fund the JobsOhio’s economic development efforts (see our January 10, 2013, blog post for more information), the entity has been functioning with money from the former Ohio Department of Development (now the Development Services Agency) in the amount of $1 million, as well as from private donations, such as the $2 million it received from American Electric Power (AEP), The Columbus Dispatch reports.

Filings with the Securities and Exchange Commission reveal that AEP’s donation went to the Ohio Business Development Coalition, which was renamed the JobsOhio Beverage System (JOBS) within days of JobsOhio’s opening in 2011. As a separate, nonprofit organization, the JobsOhio Beverage System is currently handling all of JobsOhio’s donations and will be used later to “house the leased liquor profits from the state once the lease is complete,” the article said.

The article also said that JobsOhio “would not disclose the identities” of its donors, but John Minor, JobsOhio’s chief investment officer, stated, “I don’t think we would seek private donations any longer” once the lease of the state’s liquor franchise was executed, “although he wouldn’t rule them out.” For more, read the full story.


 
Posted by Q. Harris in  JobsOhio/ODSA  Legal Developments   |   Permalink

 

Jan 11, 2013

Ohio Incumbent Workforce Training Voucher Program receives $21.4 million in funding requests
 

The Ohio Incumbent Workforce Training Voucher Program, which “reimburses businesses for eligible employee training expenses” in an effort to enhance the skill set of Ohio workers and help Ohio companies become more competitive, has already received voucher requests totaling $21.4 million despite having only $20 million available, Cincinnati Business Courier reports. Although applications are accepted on a first-come, first-served basis, interested individuals are still encouraged to apply as some applicants may not be qualified to receive program funding, the article said. For more, read the full story and visit the program’s webpage.


 
Posted by Q. Harris in  Financial Incentives  JobsOhio/ODSA   |   Permalink

 

Jan 10, 2013

JobsOhio receives high ratings on bonds to be used to lease Ohio’s liquor business
 

On Tuesday, Standard & Poor’s applied an “AA” rating and Moody’s Investors Service Inc. applied an “A2” rating for bonds that JobsOhio intends to issue this year to finance the lease of “the state’s liquor business for 25 years in return for an up-front payment of $1.2 billion to the state,” Columbus Business First and a press release from JobsOhio report. Although this moves the entity one step closer toward acquiring its funding stream, it may still face delays as the group ProgressOhio continues to challenge the legal standing of JobsOhio, asking the Ohio Supreme Court to hear its arguments, Columbus Business First reports. For more, read the full story and the press release.


 
Posted by Q. Harris in  Financial Incentives  JobsOhio/ODSA  Legal Developments   |   Permalink

 

Jan 07, 2013

Tech Belt Energy Innovation Center joins the JumpStart Entrepreneurial Network
 

The Warren-based Tech Belt Energy Innovation Center (TBEIC), a federally-funded center intended to help the development and commercialization of early stage clean technologies, has officially joined the Cleveland-based JumpStart Entrepreneurial Network, a connected group of entrepreneurial support organizations, to help startups “best assess their opportunities” and to “groom them for investors,” The Business Journal reports. Under a five-year commitment that will run through 2016, TBEIC will “coach, mentor and help energy entrepreneurs in preparing investor presentations and identifying markets, connections to key partners and access to alternative sources of funding” free of charge, the article said. For more, read the full story.


 
Posted by Q. Harris in  Financial Incentives  JobsOhio/ODSA  Regional Updates   |   Permalink

 

Jan 07, 2013

New $6 million venture fund aims to help launch a dozen startups in three years
 

Case Western Reserve University, University Hospitals and the Ohio Third Frontier program are pooling $6 million to create the Case Technology and University Hospitals Ventures Fund, which aims to launch “a dozen companies over the next three years,” Crain’s Cleveland Business reports. Case Western contributed $2 million, Third Frontier contributed $3 million and UH Case Medical Center contributed $1 million for the fund, with the goal helping “advance the rate at which discoveries are commercialized in areas such as medical technology related to imaging, surgical equipment, implant devices, regenerative medicine, health care and business software and others,” the article said. For more, read the full story.


 
Posted by Q. Harris in  Financial Incentives  JobsOhio/ODSA  Regional Updates   |   Permalink

 

Dec 28, 2012

Ed Looman leaves Progress Alliance to become project manager for the Appalachian Partnership for Economic Growth
 

Last month, Ed Looman tendered his resignation as executive director of Progress Alliance to take a job with the Appalachian Partnership for Economic Growth (APEG) — a regional economic development organization created as part of the JobsOhio Network that serves 25 counties in southeast Ohio, The Herald-Star and WTOV9 report. At APEG, Looman is now the project manager for Jefferson and seven other counties in eastern Ohio, the articles said. For more, read The Herald-Star story and WTOV9 story.


 
Posted by Q. Harris in  JobsOhio/ODSA  Regional Updates   |   Permalink

 

Dec 26, 2012

$35.9 million in Ohio Historic Tax Credits awarded to 23 recipients in round nine
 

Last week, the Ohio Development Services Agency announced the details for round nine of the Ohio Historic Preservation Tax Credit Awards: $35.9 million was awarded to 23 owners and applicants for the rehabilitation of 45 historic buildings across the state, according to a press release from the agency. The projects are located in nine communities across Ohio and are expected to "leverage more than $252 million in private investments." For more, including a list of all round nine Ohio Historic Preservation Tax Credit recipients, read the full press release.


 
Posted by Q. Harris in  Financial Incentives  JobsOhio/ODSA  Regional Updates  State Updates   |   Permalink

 

Dec 19, 2012

Ohio Attorney General Mike DeWine releases the 2012 Economic Development Accountability Report
 

The 2012 Economic Development Accountability Report from Ohio Attorney General Mike DeWine’s office, titled Award Recipient Compliance with State Awards for Economic Development, reports that of the 255 economic-development contracts with a performance period ending in calendar year 2011, 162 award recipients “substantially complied (met at least 90 percent of the commitments) with the terms and conditions of their state awards,” while 93 awards did not comply — representing an overall compliance rate of 63.5 percent. This is an increase from last year’s 59.1 percent compliance rate (see our March 5 blog post for more information).

According to The Columbus Dispatch, the award recipients received a total of $114 million worth of benefits in the form of loans, tax credits or grants in exchange for “employee training or hiring or maintaining certain wage levels.” Award contracts were divided into the following categories:

  • Employee-training aid worth $7 million: 80 of 89 companies complied.
  • Hiring tied to grants worth $35 million: 36 of 74 companies complied.
  • Hiring or wage levels tied to tax credits worth $7 million: 25 of 42 companies complied.
  • Hiring tied to loans worth $65 million: 21 of 50 companies complied.

For more, read The Columbus Dispatch story and the Ohio Attorney General’s 2012 Economic Development Accountability Report.


 
Posted by Q. Harris in  Financial Incentives  JobsOhio/ODSA  Legal Developments   |   Permalink

 

Dec 18, 2012

Ohio Third Frontier recommends funding for three economic development programs
 

Last week, the Ohio Third Frontier recommended that the Controlling Board approve more than $9.1 million in funding for the JobsOhio Network Program, which works with six regionally-based economic development groups to aggressively pursue job and wealth creation through the “retention, expansion and recruitment of businesses”; more than $610,000 for the Technology and Validation Start-Up Fund (TVSF), which helps to “commercialize technologies developed by Ohio institutions of higher education and other Ohio not-for-profit research institutions”; and $24 million for the Pre-Seed Fund Capitalization Program (PFCP), which provides early-stage risk capital investment to promising start-up technology companies, a press release from Ohio Third Frontier announced. For more, including details about each award recipient, read the full press release.


 
Posted by Q. Harris in  Financial Incentives  JobsOhio/ODSA  Regional Updates   |   Permalink

 

Dec 11, 2012

Ohio Development Services Agency director discusses organizational changes
 

Christiane Schmenk, director of the Ohio Development Services Agency, discussed the functional differences between the agency and its former self, the Ohio Department of Development. Whereas the department worked to attract companies into the state and help major expansions, the agency’s role now is “to help service the incentives or engagements negotiated by JobsOhio, as well as to oversee what JobsOhio is doing,” Business Courier reports. In addition to discussing the agency’s relationship with JobsOhio, Schmenk explained how internal processes have been streamlined to not only help established businesses move into Ohio, but also to help small businesses get assistance, the article said. For more, read the full story


 
Posted by Q. Harris in  JobsOhio/ODSA  State Updates   |   Permalink

 

Dec 06, 2012

Northeast Ohio is expecting job growth in more highly skilled vocations
 

Despite an 8.6 percent growth projection of 169,000 jobs in Northeast Ohio over the next eight years and the fact that there are currently “fewer than 150,000 unemployed people in the region,” economic development agency Team Northeast Ohio (Team NEO) predicts that many in the region will still struggle to find work because the growth will occur in more highly skilled vocations, The Plain Dealer reports. Industries expected to add the most jobs to the area are health care, scientific and technical fields, construction and finance, while increased production efficiency in the region’s manufacturing sector will be responsible for less job growth in that once dominant sector, the article said. For more, read the full story and the Team NEO third quarterly 2012 economic review.


 
Posted by Q. Harris in  JobsOhio/ODSA  Regional Updates   |   Permalink

 

Nov 29, 2012

JobsOhio launches ad campaign to tout state’s economic strengths
 

With Ohio’s unemployment rate having fallen below 7 percent last month for the first time since the summer of 2008, the state’s private, nonprofit economic development entity JobsOhio is launching a national advertising campaign to promote the state’s economic successes in an effort to recruit out-of-state companies and talented workers, Columbus Business First and The Columbus Dispatch report. The $1.4 million “Thrive in Ohio” campaign will feature online and print ads in national publications as well as television commercials. Workers and business owners alike are encouraged to share their stories at www.ThriveInOhio.com. For more, read the Columbus Business First story and The Columbus Dispatch story.


 
Posted by Q. Harris in  JobsOhio/ODSA  State Updates   |   Permalink

 

Nov 19, 2012

Governor's Cup submission deadline quickly approaching
 

JobsOhio and its network partners are currently in the process of compiling Ohio’s list of sites and buildings that qualify for Site Selection magazine's Governor's Cup award, which ranks states throughout the country based on the number of new (qualifying) capital investments. Please forward your community’s eligible 2012 projects to JobsOhio or your regional network partner no later than November 29, 2012. If you are not sure who to contact, please visit the JobsOhio website to identify the appropriate contact. For more information on the qualifying criteria for new and expanded business and industrial facilities or to access the new facilities reporting form, click here.
 
Posted by Q. Harris in  JobsOhio/ODSA  State Updates   |   Permalink

 

Nov 14, 2012

Mark Kvamme starts venture capital firm to bring investments to Ohio and Midwest
 

In recent comments to Columbus Business First, Mark Kvamme, who stepped down as the top executive at JobsOhio on November 1, revealed that he has started a venture capital firm that he hopes will “raise at least $250 million for investments in Midwest businesses, with the majority to be in Ohio.” Kvamme, who prior to JobsOhio was a Silicon Valley venture capitalist, plans to utilize this new venture to address the region’s lack of access to capital, which he sees as “one of the main obstacles to growing Ohio’s economy,” the article said. With only 7 percent of the nation’s venture capital invested in the Midwest, expanding access to capital, both in Ohio and the wider Midwest region, is crucial to expanding economic growth, according to Kvamme. For more, read the full story.


 
Posted by Q. Harris in  JobsOhio/ODSA   |   Permalink

 

Nov 09, 2012

Third quarter JobsOhio report: 5,000 new jobs and $1 billion in capital investments
 

According to a new report from JobsOhio, the private nonprofit corporation and its economic development partners “received commitments on 5,788 new jobs and $228 million in annual payroll during the third quarter,” Dayton Business Journal reports. These figures represent $1 billion of capital investments by 87 companies, the article said. Of the new jobs committed, “4,626 were created through expansion projects by existing Ohio companies and 1,162 were created through attraction of new companies to Ohio,” the report said. For more, read the full story and JobsOhio’s third quarter report.


 
Posted by Q. Harris in  JobsOhio/ODSA   |   Permalink

 

Nov 09, 2012

JobsOhio NW and SE regional network partners announce new staff hires
 

The Regional Growth Partnership (RGP), Northwest Ohio’s JobsOhio network partner, recently announced two new hires to support their activities, according to a press release from RGP. Brian Bilger, a former economic development manager with Lucas County who has more than 11 years of economic development experience, was hired to be a regional project manager. Kyle Dodd, a recent graduate of Ohio University who interned with RGP, was hired as a regional program coordinator.

Meanwhile, the Appalachian Partnership for Economic Growth (APEG) — a subsidiary of the Ohio Appalachian Business Council — hired Marty Walsh, the former business services manager at the Columbus Chamber of Commerce, to be vice president of programs; Katy Farber, the former president of the Highland Chamber of Commerce, was selected to be a regional project manager; and Dorinda Byers, a former Appalachian Ohio regional sales manager for TechSolve in Cincinnati, was brought on as a project manager and program coordinator for the partnership’s Manufacturing Extension Partnership program, according to a press release from APEG. For more, read the RGP press release and the APEG press release.


 
Posted by Q. Harris in  JobsOhio/ODSA   |   Permalink

 

Nov 01, 2012

Ohio Third Frontier Commission announces 2013 budget and program changes
 

At the Ohio Third Frontier Commission meeting on October 23, 2012, the commission authorized the approval of a $236 million budget for the program’s 2013 fiscal year. The budget will allocate program resources as follows:

  • Capital & Talent – $43 million
  • Innovation – $50.1 million
  • Commercialization – $77 million
  • Research – $8 million
  • Marketing – $1 million
  • Reserve – $56.9 million

Agreeing to switch to a calendar year budget cycle, the commission will carry-over $61 million from the FY 2012 budget into the FY 2013 budget, Columbus Business First reports. The Growth Fund and Micro Loan Fund programs will be eliminated, while two new programs, Technology Commercialization Centers and Technology Asset Grants, were created.

For more, read the Columbus Business First story and view the Third Frontier Commission meeting presentation.


 
Posted by Q. Harris in  Financial Incentives  JobsOhio/ODSA  State Updates   |   Permalink

 

Oct 11, 2012

Ohio Supreme Court declines to rule on the constitutionality of JobsOhio
 

Last month, the Ohio Supreme Court declined to rule on the constitutionality of JobsOhio, the newly created private, nonprofit economic development organization designed to leverage the state’s liquor operations as a funding stream to promote economic development and job creation. The Columbus Dispatch reported that in a letter to Mark Kvamme, interim president and chief investment officer of JobsOhio, Department of Commerce Director David Goodman voiced concern over “lingering constitutional issues” regarding the transaction, including “whether JobsOhio violates the prohibition of the General Assembly from conferring corporate powers via special act; and whether the transfer improperly allows the state to lend credit to a private corporation.” Therefore, JobsOhio put the Kasich administration “in the unusual position of challenging itself in court” when it responded to Goodman’s refusal to sign the agreement to transfer the state’s liquor operations by “asking the Ohio Supreme Court to settle the matter,” an editorial from the Akron Beacon Journal reported. For more information, read our August 17, 2012, blog post.

In a 4-2 ruling, the Supreme Court stated that although on the surface the complaint seeks to compel Director Goodman to comply with the transfer of the state’s liquor operations to the agency, it is actually trying to get “an expedited ruling” from the court declaring the agency constitutional so as to “preclude any further challenges,” Gongwer reports. Moreover, the justices said the court is “powerless to grant” a declaratory judgment and dismissed the action because “parties who seek an advisory declaratory judgment” have “adequate remedies in the ordinary court of law,” namely the lower courts, that must be exhausted before proceeding to the high court, the article said.

For more, read this Columbus Dispatch story.


 
Posted by Q. Harris in  JobsOhio/ODSA  State Updates   |   Permalink

 

Oct 02, 2012

Mark Kvamme to step down as director of JobsOhio; John Minor to assume post in November
 

Mark Kvamme, the California venture capitalist who was recruited by Gov. John Kasich to be the first president of his private economic development entity JobsOhio, will resign his position on November 1, 2012, during JobsOhio’s quarterly board meeting, Gongwer reports. John Minor, a managing director for JobsOhio, will take over for Kvamme at that time. Kvamme, who “helped more than 400 companies locate or expand in Ohio, adding about 31,300 new jobs and $6.1 billion in capital investment,” will remain in Ohio to pursue private sector economic development opportunities.


 
Posted by Q. Harris in  JobsOhio/ODSA   |   Permalink

 

Sep 28, 2012

Ohio will award $11 million to business and education partnerships that create co-ops and internships
 

The Ohio Board of Regents recently announced that it is seeking proposals from business and education partnerships that create co-ops and internships within JobsOhio’s key industries — biohealth, energy, automotive, advanced manufacturing, polymers, aerospace and aviation, food processing, financial services, information technology and consumer products — so that it can award grants to help these programs align the skills and knowledge of Ohio’s workforce with the needs of the state’s businesses, Dayton Business Journal reports. The board will award $11 million total and each awarded grant must be matched 100 percent for undergraduate programs and 150 percent for graduate programs. Proposals are due October 12, 2012. For more, read the full story and the request for proposals release.


 
Posted by Q. Harris in  Financial Incentives  JobsOhio/ODSA  State Updates   |   Permalink

 

Sep 26, 2012

Ohio State University president reappointed to JobsOhio board until 2016
 

Governor John Kasich announced last week that Dr. E. Gordon Gee, the president of Ohio State University, will be reappointed to the nine-member JobsOhio board of directors, the Columbus Dispatch reports. According to a press release from the governor’s office, Gee’s new term began on September 17, 2012, and will end on July 5, 2016. For more, read the full story and the press release


 
Posted by Q. Harris in  JobsOhio/ODSA   |   Permalink

 

Sep 24, 2012

Clean Ohio proposes changes in an effort to streamline funding for brownfield projects
 

Recently, the Clean Ohio Council proposed a major program overhaul to the Clean Ohio Fund. The proposal would combine Clean Ohio’s Revitalization Fund and Assistance Fund into a single incentive program with the intention of streamlining the “process for funding brownfield projects,” according to a press release from the Ohio Department of Development (ODOD). Clean Ohio, which provides funding to help brownfield projects acquire property, demolish structures, conduct environmental cleanup and improve infrastructure, will manage the single brownfield incentive program in collaboration with JobsOhio and the Ohio Department of Development’s Office of Redevelopment, the release said.

If the proposal is passed, JobsOhio and its regional network partners would initially accept all funding requests and would evaluate a project’s economic benefit for funding. If the project meets the evaluation criteria, JobsOhio would refer a Clean Ohio grant recommendation to the director of development or to the Clean Ohio Council for review and potential approval, the release said. “Up to $1 million would be available per project for cleanup activities and $200,000 per project would be available for environmental assessment activities,” the release said. Additional funding would also be available through ODOD’s Brownfield Loan Program. The council is also proposing doing away with specific grant funding rounds and instead allowing these funds to be available on a rolling basis. For more on the proposed Clean Ohio Fund program changes, read the press release.


 
Posted by Q. Harris in  Financial Incentives  JobsOhio/ODSA  State Updates   |   Permalink

 

Sep 12, 2012

JobsOhio and Democrats ask the Ohio Supreme Court to dismiss JobsOhio’s lawsuit
 

JobsOhio filed a lawsuit in the Ohio Supreme Court last month to “compel the Ohio Department of Commerce to sign a state contract to transfer its wholesale liquor operation to JobsOhio for 25 years” after the commerce department’s director, David Goodman, declined to sign the agreement due to lingering constitutional concerns, Hannah reports (see our August 17 blog post for more information). On August 24, ProgressOhio, Sen. Mike Skindell (D-Lakewood) and Rep. Dennis Murray (D-Sandusky) filed motions asking the Court to “dismiss the JobsOhio lawsuit for lack of jurisdiction” and allow Ohio courts to “decide the constitutionality of JobsOhio,” the article said. These opponents regard the lawsuit as “sham litigation” because both sides already agree that JobsOhio is constitutional and “any judgment arising from such collusion would be tainted” because there are no “parties in true opposition” present, the article said. Visit our DevelopOhio Resource Center for more information about JobsOhio.


 
Posted by Q. Harris in  Financial Incentives  JobsOhio/ODSA  Legal Developments   |   Permalink

 

Aug 23, 2012

Langner returns to Ohio Department of Development
 

Bruce Langner, former director of development and planning for the city of Bexley, returned to the Ohio Department of Development in July as a business services coordinator in the agency’s Office of Strategic Business Investments, Columbus Business First reports. In his new role, Langner will “manage disbursement and compliance on economic development loans for projects around the state,” the article said. He previously worked at the department for 15 years as a loan officer and business development specialist, the article said. For more, read the full story.


 
Posted by Q. Harris in  JobsOhio/ODSA  State Updates   |   Permalink

 

Aug 22, 2012

Columbus region gains 7,600 jobs during the second quarter of 2012
 

In its second quarter economic development report, Columbus 2020, the Central Ohio JobsOhio network partner led by the Columbus Chamber of Commerce and the Columbus Partnership, announced that “employment in the Columbus region rose 0.8 percent,” or by 7,600 jobs, for the quarter ended June 30, 2012, Columbus Business First reports. State and national “job growth rates were 0.7 percent and 0.2 percent” respectively during the same period, the article said. For more, read the full story and Columbus 2020’s quarterly economic update.


 
Posted by Q. Harris in  JobsOhio/ODSA  Regional Updates   |   Permalink

 

Aug 17, 2012

Proponents and opponents alike want the Ohio Supreme Court to settle JobsOhio disputes
 

As the Ohio Supreme Court weighs whether to hear ProgressOhio and the 1851 Center for Constitutional Law’s joint appeal regarding the constitutionality of JobsOhio, proponents and opponents of the new private job-creation agency hope the high court will settle the issue once and for all (see our August 3 blog post for more information). The Columbus Dispatch reports that the budget and commerce department has agreed to transfer to JobsOhio “rights to the state liquor business” and use of the profits to promote economic development, but Ohio Department of Commerce Director David Goodman declined to sign the agreement because “constitutional concerns raised about the entity and the transfer deal haven’t been addressed by the Ohio Supreme Court.” In a letter to Mark Kvamme, interim president and chief investment officer for JobsOhio, Director Goodman voiced concern over “lingering constitutional issues” regarding the transaction, including “whether JobsOhio violates the prohibition of the General Assembly from conferring corporate powers via special act; and whether the transfer improperly allows the state to lend credit to a private corporation.” JobsOhio views this as an opportunity “for the Supreme Court to address lingering legal questions, though Kvamme said he is confident that nothing about JobsOhio’s operation is unconstitutional.”

JobsOhio put the Kasich administration “in the unusual position of challenging itself in court” when it responded to Goodman’s refusal to sign the agreement by “asking the Ohio Supreme Court to settle the matter,” an editorial from the Akron Beacon Journal reports.

For more, read The Columbus Dispatch story and the Akron Beacon Journal story.


 
Posted by Q. Harris in  JobsOhio/ODSA  Legal Developments   |   Permalink

 

Aug 10, 2012

JobsOhio chief favors CincyTech over the other five Entrepreneurial Signature Program nonprofits
 

As the Ohio Third Frontier Commission re-evaluates the Entrepreneurial Signature Program (ESP), Mark Kvamme — president of JobsOhio and an Ohio Third Frontier Commission member — said that of the six nonprofits funded by ESP,  CincyTech has “by far the best portfolio,” Crain’s Cleveland Business reports. Although some believe Kvamme’s affinity for CincyTech will result in a push for the other five organizations — JumpStart, TechColumbus, Rocket Ventures of Toledo, the Dayton Development Coalition and TechGrowth of Athens – to adopt some of CincyTech’s traits, others are of the opinion that a “cookie cutter model” to which all six of the core ESP nonprofits would have to conform fails to consider regional market diversity, the article said. For more, read the full story (subscription required).


 
Posted by Q. Harris in  JobsOhio/ODSA  Regional Updates  State Updates   |   Permalink

 

Aug 09, 2012

Team NEO announces new vice president of business attraction and research associate
 

Team NEO, the nonprofit organization dedicated to advancing economic development interests in Northeast Ohio's 18-county region, announced that Paul Boulier, formerly the chief marketing officer of A. Schulman Inc., is the new vice president of business attraction, Crain's Cleveland Business reports. Also, Michael Lalich, a master's degree student in urban planning, design and development at Cleveland State University, was hired as the organization's new research associate, the article said. For more, read the full story (subscription required).


 
Posted by Q. Harris in  JobsOhio/ODSA  Regional Updates   |   Permalink

 

Aug 03, 2012

Conservative group backs the appeal of JobsOhio’s constitutionality to the Ohio Supreme Court
 

ProgressOhio has found an unlikely ally — the conservative group 1851 Center for Constitutional Law — in its appeal of the recent ruling in favor of JobsOhio to the Ohio Supreme Court, Gongwer reports. The 1851 Center is providing “in-kind contributions of labor” after determining that the 10th District Court of Appeals ruling, which “upheld Franklin County Court of Common Pleas Judge Laurel Beatty's finding that ProgressOhio and the lawmakers were unable to demonstrate injury as a result of JobsOhio and overruled plaintiffs' argument that the issue is one of great public interest and importance warranting the judges' attention,” to be “abysmal,” Gongwer reports. The 1851 Center has taken particular issue with the finding that ProgressOhio lacks standing, stating that such a ruling “is akin to determining no Ohio taxpayer has a stake in controlling its government ‘when it’s out of control’ in terms of spending, indebtedness and taxation,” the article said. For more information on the court of appeals decision, read our June 15 blog post.

With the court of appeals ruling, JobsOhio was finally positioned to finalize the financing of the long-term lease of the Ohio Liquor Enterprise and access its dedicated funding stream of approximately $100 million per year to meet its job creation and retention mandates. However this appeal to the Ohio Supreme Court will likely put the financing transaction on hold…again.  

Visit our DevelopOhio Resource Center for more information about JobsOhio.


 
Posted by Q. Harris in  JobsOhio/ODSA  Legal Developments   |   Permalink

 

Jul 16, 2012

Op-ed critical of administration’s handling of Third Frontier program
 

A recent op-ed in the Plain Dealer points out that “the pace of Third Frontier grant-making has slowed to a walk” since Governor John Kasich took office. Since its inception in 2002, the program has successfully leveraged billions in private investment funding to support high-tech industries. However, barely a quarter of the program’s $191 million budget had been allocated when the state’s fiscal year ended on June 30, 2012. Although the op-ed acknowledges that the slowed pace of grant-making can be partially attributed to the review and restructuring of the program initiated by the new administration, it also opines that the delays in allocating funding “are unacceptable and in themselves threaten the integrity of the process.” For more, read the full op-ed.  


 
Posted by Q. Harris in  Financial Incentives  JobsOhio/ODSA  State Updates   |   Permalink

 

Jul 12, 2012

Ohio Third Frontier delays ESP funding
 

Dissatisfied with data from the six regional organizations applying for Entrepreneurial Signature Program (ESP) funding, the Third Frontier Commission voted in its last meeting to maintain the commission’s existing funding levels through the end of the year in order to gather more data for final funding decisions, The Columbus Dispatch reports. According to Christiane Schmenk, director of the Ohio Department of Development and chairwoman of the Third Frontier Commission, the commission is aiming “to be thorough before using public funds for programs that are good, but we need to be able to show results,” the article said. Invantage Group, an analyst hired to review the ESP, concluded that four of the six regional organizations should be approved for funding. Based on a variety of concerns, requests from the Dayton and Toledo regions were not recommended for funding, the article said. For more, read the full story.


 
Posted by Q. Harris in  Financial Incentives  JobsOhio/ODSA  Regional Updates  State Updates   |   Permalink

 

Jun 15, 2012

JobsOhio appeal denied; Kasich administration to move forward
 

On June 14, the Franklin County Court of Appeals affirmed a decision by the Franklin County Court of Common Pleas that the plaintiffs seeking to challenge the constitutionality of JobsOhio have no standing to bring suit (read our May 30 blog post for more information). The appeal, brought by State Senator Michael Skindell, State Representative Dennis Murray and ProgressOhio, was rejected by a vote of 3-0. The opinion of the court, written by Judge Gary Tyack and concurred by Judges Lisa L. Sadler and Julia L. Dorrian, stated that the lack of standing by the appellants effectively barred their consideration of the issues raised at the trial court level. 

With economic development legislation recently passed by the Ohio House and Senate headed for the governor's desk and this ruling by the court, JobsOhio is well on its way to being fully operational. Moreover, the conclusion of this lawsuit will allow JobsOhio to finalize the financing of the long-term lease of the Ohio Liquor Enterprise and access its dedicated funding stream of approximately $100 million per year to meet its job creation and retention mandates. 


 
Posted by Q. Harris in  JobsOhio/ODSA  Legal Developments   |   Permalink

 

Jun 04, 2012

Appalachian Partnership for Economic Growth hires its first CEO
 

The Appalachian Partnership for Economic Growth (APEG) has announced the selection of John Molinaro as president and CEO of the Nelsonville-based economic development organization, according to a press release from the Foundation for Appalachian Ohio. A subsidiary of the Ohio Appalachian Business Council, APEG was created by the council to serve as the JobsOhio Network partner and works with 25 counties in southeast Ohio, including Athens, Meigs, Hocking, Vinton, Jackson, Perry, Morgan and Washington.

Molinaro, who will begin his role at APEG on July 1, currently serves as co-director of the Community Strategies Group at The Aspen Institute in Washington, D.C., helping communities across the nation with economic development efforts. Molinaro stated that his “first priority will be to build APEG’s partnerships with local economic development professionals and the region’s businesses,” the press release said.


 
Posted by Q. Harris in  JobsOhio/ODSA  Regional Updates   |   Permalink

 

Jun 01, 2012

Team NEO details 1Q results as JobsOhio regional partner
 

Following the release of the JobsOhio 1Q report (see our May 23 blog post), Team NEO, the Northeast Ohio regional partner of JobsOhio, reported that it has gained commitments from 26 companies to create 2,270 new jobs throughout the region in the first quarter of 2012, Crain’s Cleveland Business reports. 

The companies will be making capital investments of $291 million, with approximately $270 million coming from 22 companies expanding in the region, the article said. The largest new investment to the region will come from Exterran Energy Solutions, which plans on building a $12.5 million facility in Youngstown that will employ 103 workers. For more, read the full story (subscription required). 


 
Posted by Q. Harris in  JobsOhio/ODSA  Regional Updates   |   Permalink

 

May 30, 2012

Lawsuit challenging constitutionality of JobsOhio continues
 

While JobsOhio is up and running, its funding stream from Ohio's liquor enterprise has not yet to begun to flow. The private, nonprofit entity has agreed to pay $1.4 billion upfront to the state of Ohio for a 25-year lease of the liquor enterprise, covering those costs through bonds, plus a potential share of future profits. The long-term lease of the state’s liquor operations will provide a dedicated funding source of approximately a $100 million dollars per year for JobsOhio, The Columbus Dispatch reported. Those funds will be used to cover administrative costs, to maintain a contract with the Department of Commerce to continue performing most of its regulatory liquor control and enforcement functions on behalf of JobsOhio, and to develop new programs to complement existing state programs (grants, loans and funds to train workers).

Governor Kasich and JobsOhio announced the parameters of the liquor enterprise lease agreement in January, with the expectation that the deal be completed sometime in the first quarter. However, a court challenge of the constitutionality of the organization’s relationship to the state is still pending and extending the timeline for execution of the transaction. The lawsuit, filed by State Senator Michael Skindell, State Representative Dennis Murray and ProgressOhio, was most recently dismissed on December 2, 2011, by Franklin County Court of Common Pleas Judge Laurel Beatty, who ruled that the plaintiffs lacked standing to bring the action. That issue is now before the Franklin County Court of Appeals, and a ruling is expected sometime this year.

In the interim, with a $1 million allocation from lawmakers to cover startup costs and private donations, JobsOhio established an office in downtown Columbus and has hired approximately 25 employees to meet its job creation and retention mandates, the article said. For more, read the full article.


 
Posted by Q. Harris in  JobsOhio/ODSA  Legal Developments   |   Permalink

 

May 23, 2012

JobsOhio 1Q report: $2B in capital investment commitments
 

At the JobsOhio board of directors meeting in Cleveland earlier this month, data was released stating that, during the first quarter, the group worked on 70 projects that resulted in $2 billion in capital investment commitments. They also had a hand in attracting more than 5,500 new jobs and retaining 11,800 others in Ohio, Columbus Business First reports
 
Last year, JobsOhio helped create or retain more than 82,000 jobs and brought $3.3 billion in capital investment, the article said.


 
Posted by Q. Harris in  JobsOhio/ODSA  State Updates   |   Permalink

 

Apr 30, 2012

Latest update on the public records provision of the JobsOhio II legislation
 

As briefly discussed in our April 27, 2012 DevelopOhio blog post, Ohio Attorney General Mike DeWine has raised concerns about the proposed JobsOhio II legislation regarding public record restrictions of JobsOhio information as it relates to the lack of transparency and what might happen should another agency get involved and handle business records. Specifically, the broadly worded provision in HB 489 that says records created or received by the nonprofit JobsOhio are not public "regardless of who may have custody of the records." DeWine believes that this provision could shield documents from public view that state agencies share with JobsOhio, the Tribune Chronicle reports.

However, Gongwer reported on Friday, April 27 that DeWine and Governor Kasich’s office worked out a solution to make a minor revision to the pending legislation that could prevent major problems with Ohio’s public records law upon passage. DeWine stated that “we have language now that just makes it very clear that’s not going to happen.” Essentially, the proposed amendment would remove language specifying that any documents “received by” JobsOhio are not subject to Ohio’s public records law, Mr. DeWine said. DeWine believes the issue is resolved, and the bill including the revision is now headed to the Senate.


 
Posted by Q. Harris in  JobsOhio/ODSA  Legal Developments  State Updates   |   Permalink

 

Apr 27, 2012

JobsOhio II legislation passed the House and heads to the Senate; outlines duties for JobsOhio and the Development Services Agency
 

With JobsOhio established to primarily handle Ohio's economic development efforts, legislators and the Kasich administration are restructuring what’s left of the Ohio Department of Development (ODOD). This week, the Ohio House voted 91-5 to send the Senate a proposal designed to reorganize the ODOD.  The new department will be known as the Development Services Agency (DSA) and legislative leaders hope to pass the bill by the end of May.

As cited in our March 27, 2012 DevelopOhio blog post, in addition to renaming the ODOD, the bill would allow the development director to expedite approval of tax credits; create a pilot program called TourismOhio to provide a dedicated funding source for tourism marketing throughout the state; eliminate the Development Financing Advisory Council (DFAC), a panel that decides whether to recommend approval of low-interest loans for companies to expand or relocate in Ohio; and increase financing opportunities for minority-owned businesses.

The plan is for JobsOhio to handle low-interest loans, grants, tax credits, and “close-the-deal” discretionary funds. The DSA will oversee JobsOhio in executing those loans and tax credits and will provide an additional range of services such as technology assistance, workforce training, and revitalizing abandoned industrial sites. The proposed legislation also includes another public record restriction related to JobsOhio. Some critics, including Ohio Attorney General Mike DeWine, have raised concerns about the lack of transparency of JobsOhio and what might happen should another agency get involved and handle business records. For more, read The Columbus Dispatch article


 
Posted by Q. Harris in  JobsOhio/ODSA  Legal Developments   |   Permalink

 

Apr 27, 2012

JobsOhio first quarter progress report to be released
 

Last year, Governor Kasich’s administration and JobsOhio asserted that the entity has aided in the creation or retention of approximately 80,000 jobs, The Columbus Dispatch reports. JobsOhio is expected to release its Productivity Report for the first quarter to the public on May 1, 2012.  Stay tuned…


 
Posted by Q. Harris in  JobsOhio/ODSA   |   Permalink

 

Apr 27, 2012

OEDA Annual Legislative Event
 

The Ohio Economic Development Association (OEDA) will host its 8th Annual Legislative Event in Columbus on May, 2, 2012, to relay its message and agenda to the state's elected officials and to serve as an opportunity for attendees to network with colleagues and state legislators, according to a press release from the organization. During the event, Sen. John Carey (R-OH) will be honored with an OEDA Award for Service "for his efforts in supporting economic development in Ohio," the release said.

For more information about the 2012 Annual Legislative Event and OEDA’s 2012 legislative priorities, click here and select the Advocacy link in the top left corner of the page.


 
Posted by Q. Harris in  JobsOhio/ODSA  Professional Associations   |   Permalink

 

Apr 24, 2012

Study gives Ohio mixed reviews for tax incentive evaluation and implementation
 

In a Pew Research Center study, Ohio received mixed reviews for the way it evaluates and implements tax incentives used to attract businesses and create jobs. Researchers found that Ohio has begun to more closely scrutinize whether the millions of dollars in tax credits, deductions and exemptions it offers to lure businesses to the state are the most cost-effective ways to stimulate economic development. The study said Ohio did a good job of assessing the cost of each tax expenditure but needs to measure the economic benefit. Pew's research was based on 2009 statistics.
 
Since then, the Ohio Department of Development has been more efficient in their data gathering and reporting. Moreover, Gov. Kasich has realigned Ohio's economic development efforts under the private, nonprofit entity, JobsOhio.  For more, read the full story from the Dayton Daily News


 
Posted by Q. Harris in  Financial Incentives  JobsOhio/ODSA  State Updates   |   Permalink

 

Apr 13, 2012

Cincinnati USA Partnership attracts jobs and business investments
 

The Cincinnati USA Regional Partnership, a JobsOhio regional organization and the economic development arm of the Cincinnati USA Regional Chamber, reported at its annual meeting that its economic development efforts brought 1,967 new jobs and $43.7 million in business investment to the Greater Cincinnati area in 2011, The Columbus Dispatch reports. The Partnership hopes that a new marketing campaign known as "Cincinnati, the BrandHUB," which aims to "capitalize on the region's existing strengths among consumer marketing and brand-design businesses," will be a catalyst along with five other high growth industry sectors to attract more jobs and investment in 2012, the article said. For more, read the full story here.


 
Posted by Q. Harris in  JobsOhio/ODSA  Regional Updates   |   Permalink

 

Mar 27, 2012

JobsOhio II bill debuts in the Ohio House and Senate
 

JobsOhio II, legislation that aims to solidify JobsOhio as the primary independent entity in charge of economic development in Ohio, was introduced in both the Ohio House of Representatives (Rep. Mike Dovilla (R-Berea) and Rep. Christina Hagan (R-Uniontown) introduced HB 489) and the Ohio Senate (Sen. Mark Wagoner (R-Toledo) introduced SB 314) this past Thursday, Gongwer reports. JobsOhio II follows HB 1, which was enacted in February 2011 and created JobsOhio. The legislature plans to have the JobsOhio II legislation passed and enacted prior to the 2012 summer recess. 

Besides providing further definition to the JobsOhio structure, the JobsOhio II bill language also provides for a number of related changes to the state’s economic development landscape. This non-inclusive list includes:

  • The renaming and transfer of all responsibilities currently in the Department of Development to the “Development Services Agency” (DSA). 
  • An appropriation to the DSA for fiscal year 2013. The budget bill (HB 153) had set aside a lump sum — $1.2 billion to DSA for FY ‘13, including $117.79 million from the General Revenue Fund — for the entity, but the new bill would formally appropriate the dollars to DSA. House sponsors said DSA’s role going forward would be to provide “essential services” to JobsOhio including the administration and oversight of loans and tax credits that will further create and expand Ohio businesses. The bill also clarifies the contracts between DSA and JobsOhio.
  • The Tax Credit Authority would be reconfigured to include the director of the DSA, the chief investment officer of JobsOhio, and five members: the Senate president; the House speaker; an economic development specialist, a specialist in the development of new technology, and a specialist in taxation, each appointed by the governor.
  • The bill would reconfigure the Ohio Third Frontier Commission, which would consist of 11 members, including the director of the DSA, the chief investment officer of JobsOhio, the chancellor of the Ohio Board of Regents, the governor's science and technology advisor, and seven others appointed by the governor with the advice and consent of the Senate.
  • The bill clarifies that any JobsOhio documents that are not public records do not become public records when someone else possesses them. This type of language was a significant point of contention with the initial JobsOhio legislation, which deemed certain documents were not subject to public records requests — this provision may meet a similar level of scrutiny.
  • The Development Finance Advisory Council (DFAC), the entity which currently approves economic development financing programs, will be phased out. The State Controlling Board will continue to review and authorize such loans.
  • The Water and Sewer Commission, which has not met or taken action since 2007, will be eliminated.
  • The Office of TourismOhio will be created within the DSA. TourismOhio, which will be funded through a five-year pilot program, will link funding for the office to the growth in sales tax revenues of tourism-related industries around the state. The bill will also create the TourismOhio Advisory Board, which will include industry experts to provide guidance and support efforts to promote Ohio tourism.
  • The chief investment officer of JobsOhio would be appointed to the TourismOhio Advisory Board.

For more, read SB 314 and HB 489.


 
Posted by Q. Harris in  Financial Incentives  JobsOhio/ODSA  Legal Developments  State Updates   |   Permalink

 

Mar 06, 2012

Site Selection magazine ranks Ohio first in 2011 business expansions
 

It has been announced that Site Selection magazine awarded Ohio its 2011 Site Selection Governor's Cup for being the state with the most "new and expanded corporate facilities," SiteSelection.com reports. Ohio also won this prestigious economic development ranking in 2006, 2007, 2008, and 2009. During the last year, the state saw a 32.5 percent increase in projects that involved a capital investment of at least $1 million, created at least 50 jobs, or added at least 20,000 square feet of new floor area. For more, read the full story here.
 
In other 2011 Site Selection news, in the category of metro areas with a population over 1 million, the Cincinnati/Middletown MSA ranked 6th in the nation in projects secured. In the category of metro areas with a population of 200,000 to 1 million, the Dayton MSA tied for 2nd with Tulsa, while Akron ranked 6th and Toledo tied for 7th. In the category of metro areas with a population less than 200,000, Springfield ranked 2nd and the Wheeling W.V./Ohio MSA leveraged a 4-way tie for 4th place with communities in Louisiana, Pennsylvania, and Virginia.  For more information, read here.
 
Finally, Wooster, Ohio, with 21 projects, finished 2nd in the top micropolitan area in the country category to Statesville-Mooresville, N.C., with 28 projects. The U.S. Census Bureau defines a micropolitan area as a rural county whose largest city does not exceed a population of 50,000. For more information, read here.
 
Congratulations to the state of Ohio, all of the winning communities, public and private sector market participants, and most importantly, to all of the economic development officials that had valuable roles in securing these wins!


 
Posted by Q. Harris in  JobsOhio/ODSA  Regional Updates  State Updates   |   Permalink

 

Feb 01, 2012

State Controlling Board approves JobsOhio liquor operation agreement
 

News outlets around Ohio are reporting on action taken on Monday, January 30, 2012, by the Ohio State Controlling Board related to the grant of the franchise for the sale of liquor to JobsOhio.  The Controlling Board approved a contract that set out certain agreements between the DOD and JobsOhio to administer certain economic development/job creation programs for the DOD as well as certain services to be provided by the Division of Liquor Control in connection with the operation of the liquor franchise.  For more information, read The Vindicator story here, the Tribune Chronicle story here and the Toledo Blade story here.


 
Posted by S. Martin in  JobsOhio/ODSA   |   Permalink

 

Jan 19, 2012

JobsOhio regional office appoints Stephanie Mercado
 

The new business development director for the Northeast Ohio regional office of JobsOhio is Stephanie Mercado, who was formerly the executive director of the Northeast Ohio Hispanic Chamber of Commerce, according to an article in Crain's Cleveland Business. For more read the full story here.
 
Posted by Q. Harris in  JobsOhio/ODSA   |   Permalink

 

Dec 06, 2011

The constitutionality of JobsOhio revisited and concluded…maybe
 

On December 2, 2011, Common Pleas Judge Laurel Beatty dismissed the court case filed by State Senator Michael Skindell (D–Lakewood), State Representative Dennis Murray (D–Sandusky), and ProgressOhio.org.  The case challenged the constitutionality of the JobsOhio legislation, House Bill 1 (H.B. 1). enacted earlier this year by the Ohio General Assembly (previously discussed on a September 1 DevelopOhio  post).  According to The Columbus Dispatch, the dismissal was granted by Judge Beatty on technical grounds, not on the merits of the constitutional claims, declaring that the filing parties did not have the legal standing to file the lawsuit because the legislation creating JobsOhio requires any challenge to be filed within 90 days of its creation.

ProgressOhio.org, Sen. Skindell, and Rep. Murray initially filed the suit in the Ohio Supreme Court, challenging several portions of H.B. 1; however, on August 19, the Ohio Supreme Court dismissed the case on jurisdictional grounds, and ruled that it must be filed in a lower court.  Therefore, the Petitioners re-filed their compliant. They claim that the legislation creating JobsOhio is unconstitutional because it confers corporate powers and allows Ohio to take an equity stake in a private corporation, both of which they argue are explicitly prohibited by Ohio's constitution.

Mark Kvamme, president and interim chief investment officer for JobsOhio, said in a statement, “We are very pleased with the judge's decision. Now we can focus 100 percent of our energy on job No. 1: creating jobs in Ohio.”

ProgressOhio.org’s Brian Rothenberg said, “He would consult with his co-plaintiffs, before deciding whether to appeal.”  Rothenberg also said, “The good thing for citizens out of this process is that out of seven issues that we alleged were unconstitutional, six have been reversed by the Supreme Court or the administration itself has changed.”

The Columbus Dispatch notes that  the  remaining issue involves whether state funding of JobsOhio — Gov. Kasich’s privatized economic development agency — is allowed by the state constitution.  It also notes that the legality of restricting lawsuits to the 90-day period has also been questioned as a result of the ruling.


 
Posted by Q. Harris in  JobsOhio/ODSA  Legal Developments   |   Permalink

 

Nov 07, 2011

Team NEO seeking regional assistance on policy and program development
 

Last week, The News-Herald reported that Team NEO, one of the state’s six JobsOhio Network entities, is soliciting economic enhancement plans from its 18 regional partners in Northeast Ohio.  The goal of the RFP is to develop plans for the area’s future that would create more jobs, increase capital investment, and boost some of the region’s competitive strengths. 

The Cleveland-based economic development entity plans to utilize the $4.1 million Ohio Third Frontier grant and establish a regional JobsOhio office.  Additionally, a large portion of the grant award will assist in funding various economic development initiatives throughout the region that reinforce the scope of work soon to be provided by JobsOhio.

Tom Waltermire, CEO of Team NEO, said “favorable consideration will be given to proposals that aid in the expansion of existing companies and programs across the region, as well as plans that leverage existing resources and identify sources of funding for long-term sustainability.” For more information, click here to read the full article.
 
 

 
Posted by Q. Harris in  JobsOhio/ODSA  Regional Updates   |   Permalink

 

Nov 03, 2011

Reflections and important takeaways from OEDA's 2011 Annual Summit
 

Last week, I attended the Ohio Economic Development Association’s (OEDA) 2011 Annual Summit in Columbus, themed "Ohio in Change."  We heard from a number of speakers regarding relevant economic development topics facing Ohio today.  Some discussions included the current status of JobsOhio and the Ohio Department of Development (ODOD), workforce development issues and programs, and a variety of project financing options.  We also heard about the Ohio Department of Transportation's (ODOT) commitment to retain its status as a sustaining partner in economic development.

Although a substantial amount of valuable and informative data was shared with the conference attendees, I obtained four significant, substantive takeaways from the Summit that I believe are important to know.  If you didn’t have an opportunity to attend the conference and want to know "What did I miss ?," the takeaways are as follows:

1)      Mark Kvamme, CIO of JobsOhio, spoke to the group on the first day of the Summit and said that the State (JobsOhio and the Ohio Department of Development) is a big believer in metrics.  Through the preferred metric, "net new jobs," the State will track success and will not cite job numbers or take credit for any job creation in which JobsOhio did not taken part.  Moreover, Kvamme articulated that measuring return on investment (ROI) over a short period of time, in his experience, is critical in gauging success and will be a major factor in granting incentives going forward.

2)      Later that morning, Director of the Ohio Department of Development Christiane Schmenk  discussed how ODOD has started, and will continue to restructure its agency operations as well as its development team as the department will soon be known as the Ohio Development Services Agency.  One of the stark changes that she noted (and probably the most substantial takeaway of all these points) was that new positions to be created by a company located in or relocating to Ohio, for purposes of the job creation tax credit (JCTC), will be calculated from the date of the State’s offer letter and not from the date of Tax Credit Authority/final departmental approval. 

This policy shift will provide several improvements.  It will clarify the State's incentive process and reduce the administrative timetable from one to two months down to days or weeks.  More importantly, it will reduce the need to "rush" projects through the approval process, and allow the appropriate amount of time for due diligence from the staff without affecting the projects timetable or the State's ability to land the project. 

3)      The governor's assistant policy director for workforce development, Rich Frederick, stated that workforce development is a priority for the State, but that the current model is too fragmented to effectively serve those in need of assistance -- 77 programs in 13 agencies -- and must be revamped.  Frederick assured the group that he is currently working through this process and developments are forthcoming in this area.
 
4)      Finally, Ohio Department of Transportation Director Jerry Wray announced the creation of the Office of Jobs & Commerce within ODOT which will be led by Deputy Director Glenda Bumgarner.  This office was established to provide direct assistance to economic development professionals working on projects that have transportation barriers needing immediate assistance. 

The staff of this office, which will have a representative assigned to each ODOD region of the State, will assess the transportation infrastructure requirements of the project and provide feedback and potential financial and/or regulatory assistance where practicable.  This model had similar components in the Strickland administration, and is evolving under Director Wray, as evidenced by the creation of a designated office and additional staff support.

Although there were other valuable takeaways, these were my substantive reflections of OEDA’s Annual Summit.  I hope that you have the opportunity to share your conference experiences with others as well.  Next year's conference will be held in Dublin, Ohio, at the Columbus Marriott Northwest.


 
Posted by Q. Harris in  JobsOhio/ODSA  State Updates   |   Permalink

 

Nov 01, 2011

Temporary injunction filed to block implementation of JobsOhio
 

On October 25, 2011, the policy group ProgressOhio and two Democratic legislators (State Rep. Dennis Murray, D-Sandusky and Sen. Michael Skindell, D-Lakewood), who are suing the Kasich Administration over JobsOhio's constitutionality, filed a motion in the Franklin County Common Pleas Court (Case Number 11CVH 08 10807) seeking a temporary injunction that would suspend funding and operations for JobsOhio as well as any related activity by the State of Ohio until the lawsuit has been resolved.  View the DevelopOhio.com post from September 1, 2011 for additional background.  

The filing for temporary injunction was partially precipitated when JobsOhio received an appropriation from the legislature for $1 million in start-up funding.  Also, the Third Frontier approved a one-year grant, totaling $14.85 million, to implement and support six regional economic development organizations, known as the JobsOhio Network, in taking a more significant role in job attraction and retention efforts throughout the state.  Click the September 30, 2011 DevelopOhio.com post for additional background.

The matter is currently with the court and a decision has yet to be rendered.  


 
Posted by Q. Harris in  JobsOhio/ODSA  Legal Developments   |   Permalink

 

Oct 28, 2011

Funding JobsOhio with liquor proceeds: Controlling Board approves $1.48 million for legal assistance
 

The Controlling Board approved "$1.48 million for outside legal work in determining how existing liquor sales will fund JobsOhio, the new privatized arm for the state's economic development initiatives," according to a recent Gongwer & Hannah Report (subscription required).

Waiving competitive selection, the panel gave permission for the attorney general's office to contract with McDonald Hopkins law firm in Cleveland at a rate of $891,000 for fiscal year 2012 to structure the deal. 

The deal consists of three significant components: transfer of the liquor enterprise from the state to JobsOhio; retirement of existing bonds supported by the state's liquor profits; and the development of a service contract for the Department of Commerce to continue performing most of its regulatory liquor control and enforcement functions on behalf of JobsOhio.

A separate action by the Controlling Board "approved an increased appropriation request of about $594,000 for the Ohio Department of Commerce for related outside counsel."


 
Posted by Q. Harris in  JobsOhio/ODSA  State Updates   |   Permalink

 

Sep 30, 2011

$15 Million Grant Approved for JobsOhio Regional Partners
 

The Columbus Dispatch recently reported the state Controlling Board's approval of approximately $15 million in funding for JobsOhio's regional partners.  

At last month's Ohio Third Frontier Advisory Board and Commission meeting, the commission voted to award a one year grant, totaling $14.85 million, to implement and support six regional economic development organizations, now known as the JobsOhio Network, in taking a more significant role in job attraction and retention efforts throughout the state.
Organizations in the network will work with businesses in their respective regions on behalf of JobsOhio to expand the tax base, as well as execute attraction efforts to bring new businesses to the state. JobsOhio is a nonprofit economic development organization the state created to take on many economic development duties traditionally assigned to the Ohio Department of Development.

State officials told The Columbus Dispatch they based their funding decisions on activity in each region including the number of significant business-attraction or expansion projects, as measured by Site Selection magazine. Team Northeast Ohio was the highest award recipient of the six groups involved, receiving $4.15 million. The Cincinnati USA Regional Chamber received $2.63 million, Columbus2020 received $2.26 million, Toledo’s Regional Growth Partnership received $2.12 million, the Dayton Development Coalition Inc. received $2.03 million, and the Appalachian Business Council received $1.66 million.


 
Posted by Q. Harris in  JobsOhio/ODSA  State Updates   |   Permalink

 

Sep 27, 2011

Job Tax Credit introduced in the Ohio House of Representatives
 

On September 20, 2011 the Job Tax Credit bill (H.B. 327) was introduced in the Ohio House of Representatives by Representative Anne Gonzales. 

If enacted as introduced, the credit would provide for a six-year trial period in which employers may receive a job creation or job retention tax credit for the employment of home-based employees.  A home-based employee is currently being defined as an employee whose services are performed primarily from the employee’s Ohio residence.  To qualify for the program, the minimum wage threshold would be $9.50 per hour.  The legislation would place administration of the program within the Ohio Department of Development and the credit would require Ohio Tax Credit Authority approval. 

At the end of the six-year period, the Director of Development would be required to issue a report gauging the effectiveness of the program and to provide a recommendation, if any, for extension of the program.  For more information on the proposed program, read the full text of H.B. 327.


 
Posted by Q. Harris in  Financial Incentives  JobsOhio/ODSA  Regional Updates   |   Permalink

 

Sep 22, 2011

ODOD announces new assistant director
 

Kevin Potter was announced as the assistant director of the Ohio Department of Development today.  His responsibilities will focus on improving customer service efficiencies associated with Ohio's business and community development efforts.
 
According to a news release from the ODOD, Potter previously served as Government National Account Manager for HD Supply Facilities Maintenance, an international wholesale distributor.  He also served as a senior staff member and Director of Government Relations and Public Affairs at the eTech Ohio Commission; a special assistant for Education and Workforce in the Office of Governor Bob Taft; and as a legislative aide to State Representative David R. Evans from Newark, Ohio.

Potter earned his MBA from Ohio University and a Bachelor of Arts in International Relations and Comparative Politics from the University of Akron.


 
Posted by Q. Harris in  JobsOhio/ODSA  State Updates   |   Permalink

 

Sep 21, 2011

Springfield chamber's David Zak to lead ODOD Business Services Division
 

A Dayton Business Journal article reports the Ohio Department of Development will be gaining a new chief for its Business Services Division.  After four years of service as vice president of economic development, David Zak will leave the Greater Springfield Chamber of Commerce and join the state in October. 

The Springfield market ranks fifth in the country this year for job growth and has twice ranked in the nation's top five for its role in developing projects resulting in 5,000 new jobs and nearly $1 billion in investment.


 
Posted by S. Martin in  JobsOhio/ODSA  Regional Updates   |   Permalink

 

Sep 21, 2011

JobsOhio to be featured at Ohio GFOA Annual Conference
 

The Ohio Government Finance Officers Association is holding its 24th Annual Conference and Membership Meeting from September 21 through September 23 at the Cleveland Renaissance Hotel in downtown Cleveland.

This annual meeting is an important gathering of finance officers from across the State of Ohio as members meet for an in-depth look at issues facing the industry.

The conference will concentrate on economic development issues with regard to State and local communities, including an overview of JobsOhio and what it means for local governments.  Additional topics include the identification and review of economic development resources and techniques.  

Several members of Bricker & Eckler's economic development team will be attending the conference as participants and presenters.  Our topics include design build construction practices and other risk management alternatives, and case studies of successful, and not so successful, tax increment financings.  We look forward to seeing you there!

More information about the Ohio GFOA can be found at www.ohgfoa.com


 
Posted by J. Burkart in  JobsOhio/ODSA  Professional Associations   |   Permalink

 

Sep 13, 2011

State of Ohio reviewing their international office network; canceling three global trade office contracts immediately
 

The State of Ohio, the eighth-largest exporting state in the United States, announced it will immediately cancel three of its 11 contracts with its network of international trade offices and evaluate the remaining contracts for their return on investment.  The state will end business relationships with South Africa, Chile and Brazil by October 31, largely because those foreign trade offices only focused on export promotions with Ohio.

Although the majority of the contracts with the remaining offices (six of the eight) are set to expire June 30, 2012 or later, the state has given each of the eight offices a 60-day notice that the state will determine if business relationships will be discontinued or revamped.

The move comes as Gov. John Kasich's JobsOhio, the newly-created private non-profit agency created to take over the State’s economic development efforts, begins its transition from the Ohio Department of Development.  The announcement resonated throughout the economic development community as Ohio has consistently ranked as one of the top ten exporting states in the nation since 2001. 

Ohio exported $41.4 billion in 2010, a 21.5 percent increase from 2009.  Moreover, 3,363 foreign-based corporations from 41 countries are operating in the state of Ohio employing more than 194,000 individuals.  Over the past month, the Department of Development's global markets division has let go of several key staff members and reduced staffing as some operations move over to JobsOhio. 

At a JobsOhio Network meeting in Cincinnati on August 25, Christiane Schmenk, Director of the Ohio Department of Development, stated that a current evaluation of Ohio's global trade office network was being conducted for efficiencies and to assess the credentials of the contracted entities and associated staff in those countries.
 
Thus, it seems possible that under JobsOhio, some of the global trade offices may reopen with new (or old) entities and contacts assisting with the export and procurement of foreign direct investment with the state.

The remaining foreign trade offices that may be affected within the next year include Canada, Mexico, Belgium, Israel, Southeast Asia, China, Japan, and India.

Stay tuned...


 
Posted by Q. Harris in  JobsOhio/ODSA   |   Permalink

 

Sep 08, 2011

Final member of JobsOhio board appointed
 

Gov. John Kasich appointed Lawrence J. Kidd to the ninth and final position on the JobsOhio board today. As reported in the Columbus Dispatch, Kidd is from Jackson County, serving as the only board member from Ohio’s Appalachian region. He is the president and chief executive officer of Reliable Staffing Services and RSS Professional, LLC.


 
Posted by Q. Harris in  JobsOhio/ODSA   |   Permalink

 

Sep 07, 2011

JobsOhio announces new general manager
 

This morning at the Columbus 2020! Economic Development Dialogue event, JobsOhio Chief Investment Officer Mark Kvamme announced the appointment of David Mustine as the general manager for the energy sector at JobsOhio.

David Mustine, formerly the director of the Ohio Department of Natural Resources, has been hired as the general manager for energy. Prior to taking the helm at ODNR, Mustine was a 16 year veteran with American Electric Power.

JobsOhio has identified nine "targeted industries" that general managers will be focused on helping to attract, retain and expand in the state. These are: (1) aerospace and aviation; (2) automotive; (3) banking and insurance; (4) biohealth; (5) consumer goods; (6) energy; (7) food processing; (8) information services and software; and (9) polymers. CIO Kvamme has indicated that he does not anticipate the appointment of nine separate general managers to address these targeted industries, but there could be as many as six.

These general managers are meant to interact between JobsOhio and the six regional network partners to ensure that the nine targeted industries are properly served and to act as industry experts when questions arise.

Previously, CIO Kvamme has introduced two other general managers: John Minor, who formerly worked on Wall Street with now-bankrupt Lehman Brothers, will lead banking and insurance initiatives, and Mark Patton, who will focus on logistics, distribution and information technology. Patton, who was hired into the Ohio Department of Development in January before transitioning to JobsOhio, has a background in sales and marketing at several firms and started his career in the mid-1980s at Procter & Gamble.


 
Posted by P. Finley in  JobsOhio/ODSA   |   Permalink

 

Sep 06, 2011

Policy shift - no equity investments will be made by JobsOhio
 

Last week, JobsOhio Chief Investment Officer Mark Kvamme revealed during a meeting with Crain's Cleveland Business (subscription to view article required) that the newly created private economic development organization was setting aside its highly touted plan to invest JobsOhio's funds directly in growing businesses to retain them in the state.

The initial plan positioned JobsOhio as the entity that would provide companies with equity, in addition to the state’s traditional loan and grant programs. This method would establish a different type of relationship between the state and the businesses the state wanted to attract and retain.

An earlier article (subscription required) in Crain’s Cleveland Business stated that one of JobsOhio's key selling points was having the state take an equity position in a small, growing business. Instead of issuing a loan, taking a financial stake in the company would have ultimately given the state the chance to share in the success of the businesses it helped fund. This, in turn, would have allowed the state to use its investment gains to expand JobsOhio's incentive programs.

Instead, it now appears that JobsOhio will rely predominately on the existing loan, grant and tax credit programs to encourage business development and growth in Ohio.

Kvamme cited the inherent legal difficulties that could arise in creating an investment vehicle that would allow state money particularly the liquor profits that will fund JobsOhio to be used for equity investing. According to the 1851 Ohio constitution, the state is expressly prohibited from investing public money in private corporations. However, Kvamme believes JobsOhio can find others who will make the equity investments that some young companies need.


 
Posted by Q. Harris in  Financial Incentives  JobsOhio/ODSA   |   Permalink

 

Sep 01, 2011

Introducing DevelopOhio
 

With economic development in Ohio changing quickly, the purpose of this blog is to share knowledge of existing and new programs, important events, and other topics of the day at both the state and local levels. At the center of these discussions will be the critical redesign and proposed restructuring of the Ohio Department of Development (soon to be the reconfigured Ohio Development Services Agency) and the newly created private, nonprofit group JobsOhio.

We hope you will find the DevelopOhio blog to be a valuable resource and applicable to your daily practices as an economic development practitioner, business person, site selector or public official.

Please feel free to contact me at qharris@bricker.com if you have any questions or would like more information.


 
Posted by Q. Harris in  JobsOhio/ODSA   |   Permalink

 

Sep 01, 2011

The Constitutionality of JobsOhio Revisited
 

On August 30, 2011, State Senator Michael Skindell (D–Lakewood), State Representative Dennis Murray (D–Sandusky), and ProgressOhio.org re-filed a lawsuit in the Franklin County Court of Common Pleas. The suit challenges the constitutionality of the JobsOhio legislation, House Bill 1 (H.B. 1), enacted earlier this year by the Ohio General Assembly.

A provision in the Act declares the Ohio Supreme Court to be the exclusive court in which to challenge JobsOhio’s constitutional validity. However, on August 19, the Ohio Supreme Court dismissed the case on jurisdictional grounds, finding that the Ohio Constitution expressly limited the Supreme Court’s "original jurisdiction" to seven specific types of cases.

A lawsuit seeking declaratory and injunctive relief to invalidate H.B. 1 does not fall under any of these types of cases. And, because an act of the legislature cannot override the Ohio Constitution, the Supreme Court held that it lacked jurisdiction to decide the Petitioners’ lawsuit, thus not addressing the other constitutional challenges that were made by the Petitioners.

ProgressOhio.org, Sen. Skindell, and Rep. Murray initially filed the suit earlier this year challenging eight portions of H.B. 1. In the time since that lawsuit was filed, the legislature, at the behest of Gov. Kasich’s administration, included a provision in H.B. 153, the state budget bill, to address some of the aspects of the first lawsuit, including removing the governor from the JobsOhio Board. However, not all of the Petitioners’ challenges were addressed in the budget bill.

Therefore, the Petitioners re-filed their compliant. They claim that the legislation creating JobsOhio is unconstitutional because it confers corporate powers and allows Ohio to take an equity stake in a private corporation, both of which they argue are explicitly prohibited by Ohio's constitution. Rep. Murray said the ban on investing public money in private corporations was passed 160 years ago, in the Constitution of 1851, to prohibit state dollars from being invested in railroads and canals, and needs to continue to be upheld.

The Petitioners said they also intend to ask Court of Common Pleas Judge Laurel Beatty, who will preside over this matter, to issue a temporary restraining order to keep JobsOhio from operating until the lawsuit is resolved. Sen. Skindell said the lawsuit challenges the organization of JobsOhio and its operation, not its financing plan through the lease of the state’s liquor monopoly.


 
Posted by Q. Harris in  JobsOhio/ODSA  Legal Developments   |   Permalink

 

 

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