Local governments taking back corporate welfare

For starters, it’s clear that they are communists who hate the current business model that gives away money without strings. How dare they make business live up to the terms of their agreement. Can’t they learn from how Bush and then Obama have dealt with failures from business? Give them even more money and don’t ask for any accountability. Heck, ask them to guide the economy because surely they couldn’t ruin it again if given their wish list, could they? That’s what the American public wants more than anything. Who needs accountability?

As the recession drags on, municipalities struggling to fix roads, fund schools and pay bills increasingly are rescinding tax abatements to companies that don’t hire enough workers, lay them off or close up shop. At the same time, they’re sharpening new incentive deals, leaving no doubt what is expected of companies and what will happen if they don’t deliver.

“We will roll out the red carpet as much as we can (but) they are going to honor the contract,” said Brendon Gallagher, an alderman in DeKalb, Ill., where Target Corp. got abatements from the city, county, school district and other taxing bodies after promising at least 500 jobs at a local distribution center.

So when the company came up 66 workers short in 2009, Target got word its next tax bill would be jumping almost $600,000 — more than half of which go to the local school district, where teachers and programs have been cut as coffers dried up.

An American in Paris, France. BA in History & Political Science from Ohio State. Provided consulting services to US software startups, launching new business overseas that have both IPO’d and sold to well-known global software companies. Currently launching a new cloud-based startup. Full bio here.

Share This Post

© 2019 AMERICAblog Media, LLC. All rights reserved. · Entries RSS