Subsidy Tracker Individual Entry
corporate headquarters retention and regional relocation
The value and the breakdown of the state-level subsidy package are taken from: Janet H. Cho, "American Greetings to stay in Ohio, with state aid," Cleveland Plain Dealer, March 7, 2011; available online at: http://www.cleveland.com/business/index.ssf/2011/03/american_greetings_t.... The local subsidy package is taken from: Michelle Jarboe, "American Greetings plans to build new headquarters at Crocker Park Westlake," Cleveland Plain Dealer, May 21, 2011.
The $146.1 million subsidy package was assembled to prevent American Greetings from relocating to Illinois. The company agreed to stay in Ohio (retaining 1,750 jobs) but relocated within the Cleveland area. The state level package included up to $75 million ($5 million per year for 15 years) in refundable job retention tax credits; a $15 million low-interest state loan; a $2.5 million state grant to pay for construction costs; and a $1 million grant for infrastructure improvements. Westlake offered to create a 30-year Tax Increment Financing district that would divert 75 percent of property tax revenue growth to pay for about $41 million in infrastructure improvements at the American Greetings site. The city also offered the company tax credits worth about $11.6 million over 15 years. After the deal was made, American Greetings laid off some workers and in November 2012 announced a delay in the construction of the new headquarters. The main Subsidy Tracker data includes the $75 million Job Retention Tax Credit entry and two entries totaling $15 million for the Facilities Establishment Fund.