To get ahead of the impending impact Delaware is expected
to experience because of the Dow-DuPont merger, officials in New Castle County
unanimously approved setting aside $7.5 million to pay the nearly 200-year-old
company.
The Tuesday vote green lights the creation of a new
strategic economic development fund, which will have taxpayer money placed into
it over the next five years, The News Journal reports.
The
contribution is an effort to retain the company that has been the foundation of
Delaware's economy for a century. County Council members said the locally
unprecedented series of payments is necessary to keep the chemical giant from
decimating the local tax base by vacating.
The local officers were concerned the local school system
would take a huge hit to its funding and more job cuts would slam the area as
the merged companies finalize the setup of its three spin-off companies – two
will be headquartered in the First State.
The News Journal says the money is "part of a larger
package of cash payments and tax incentives from state government" that
contributed to the merged companies' decision to keep a presence in Delaware.
Source: Philadelphia
Business Journal
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