The Colorado Economic Development Commission approved about $20 million in incentives Thursday to five companies.
The companies span various specializations from satellite imagery, nutrition, battery production, electric motors and putting carbon back into the ground through “bio oil.” Some are seeking to expand into Colorado for the first time or plan to boost their operations within the state.
Here’s a breakdown of all the companies seeking to move to Colorado, from largest to smallest incentives awarded.
A battery company got a large award, Illinois also vying for it
The largest award went to a lithium and sodium-ion battery cell manufacturing company dubbed as “Project Kelly,” as company names are kept private during the competitive bidding process against other states. The EDC approved $6 million in job growth tax incentives and $3.4 million in CHIPS refundable tax credits.
The company is planning to build a battery cell manufacturing plant in Weld County by adapting a 392,000-square-foot vacant industrial building, according to the EDC. The project is set to create 337 jobs.
Daniel Salvetti, semiconductor industry manager of global business development for the Colorado Office of Economic Development and International Trade (OEDIT), said it’s “one of the largest projects that we’ve seen in recent years” — especially for Weld County.
The company is considering Colorado due to its talent pool, quality of life and concentration of industry partners, according to the EDC.
It’s also a very competitive project.
The company is also considering states in the Midwest, including Illinois, which raised questions during the EDC meeting on what a $54 million package awarded by Illinois includes, calling it a “big number.”
Still, Colorado gave Project Kelly less than what it asked for. It wanted a matching refundable tax credit worth $6.1 million, to match its job growth credit. But because it isn’t a semiconductor company — which the refundable tax credit was mainly created for — and isn’t seeking federal funding, OEDIT staff suggested about $3.4 million.
There aren’t any semiconductor companies in the pipeline right now, Salvetti explained, and Project Kelly is eligible.
The CHIPS tax incentive is eligible for semiconductors and advanced manufacturing industries.
“It’s a very high priority project for us, but again, doesn’t meet the [highest-priority] definition,” Salvetti said.
If the company chooses Colorado, it will be hiring for skills such as direct manufacturing, skilled machine operation, quality control, inventory procurement and logistics.
Quick facts:
- Incentives: $9.5 million
- Possible location: Weld County
- Competing states: Midwest states
- Jobs: 337
A big boon for Grand Junction
A manufacturer of nutritional ingredients for food and nutraceutical industries is considering expanding to Mesa County. The EDC awarded “Project Moose” $4.5 million in job growth tax incentives over eight years.
The company is looking to build a manufacturing facility in the western U.S. It’s also considering expanding into Salt Lake City, Utah. Their decision-making process will be based on incentives, tax environment and the supply chain, according to the EDC.
The plant could create more than 400 jobs with an average annual wage of nearly $62,000. If it selects Colorado, it plans to hire engineers, logistics personnel, human resources and management positions.
“That’s a great one for Grand Junction, really huge,” said EDC Chairwoman Carrie Schiff.
Quick facts:
- Incentive: $4.5 million
- Possible location: Mesa County
- Competing states: Utah
- Jobs: 403
Aerospace company expanding in Colorado
An aerospace company under the name “Project Celsius” could receive more than $3.6 million in incentives if it choses Colorado.
The company, which has 50 employees currently, plans to scale its satellite production and is planning a “major” growth phase, according to the EDC. The project would include a new facility to build multiple types of satellites and developing payloads in-house, as well as an office for hundreds of employees.
It’s considering expanding in Broomfield County or L.A.
Project Celsius is considering incentives, talent, quality of life, the research ecosystem, tax environment and the cluster of other industry partners for its expansion, which could bring more than 300 jobs to Colorado with an average annual wage of $182,000.
It’s looking to hire for engineering, supervising, administrative work, finance and production jobs.
Quick facts:
- Incentive: $3.6 million
- Possible location: Broomfield County
- Competing states: California
- Jobs: 302
Boosting bio oil production
The EDC also awarded $1.6 million worth of incentives to a “bio oil” company that uses carbon removal technology to convert biomass into liquid carbon that can be stored underground. The company’s expansion was referred to as “Project Catch.”
The company is seeking to ramp up its bio oil production, according to the EDC.
It plans to hire more people and build more machines that break down biomass. It’s considering Weld County and plans to create about 100 jobs with an average annual wage of $131,000. It already has about 75 employees based in Colorado.
Project Catch is also considering Kansas and California. It’s basing its decisions on talent, community support and cost of doing business.
The expansion would hire managers, engineers, logistics, finance and supply chain jobs.
Quick facts:
- Incentive: $1.6 million
- Possible location: Weld County
- Competing states: Kansas and California
- Jobs: 100
European electric motor company eyes Colorado for U.S. expansion
A manufacturer of electric motors from Europe is considering expanding into Colorado. The EDC awarded it $890,000 in job growth tax incentives as the company dubbed “Project Superdrive” is expanding to the U.S.
It plans to build a manufacturing facility in Weld County and is also considering Phoenix, Ariz. The 70-person company is considering how close its customer base is and the supply chain, according to the EDC.
The expansion could add nearly 70 jobs with an average annual wage of $85,000. It would hire engineers, operators and supervisors.
Quick facts:
- Incentive: $890,000
- Possible location: Weld County
- Competing states: Arizona
- Jobs: 68
Credit: Source link
