Information tech firm offered incentives
By BRIAN WALKER
Staff Writer
COEUR d'ALENE — Kootenai County commissioners approved a tax exemption of about $33,000 over three years on building and personal property in hopes of luring a Washington information technology manufacturing firm here.
The tax break would be the local match needed for the undisclosed firm's application to the state for the Tax Reimbursement Incentive (TRI) program.
Commissioners approved the match at the request of the economic development agency Jobs Plus.
Gynii Gilliam, Jobs Plus president, said the company is looking to relocate to the 200-acre Big Horn Industrial Park at the northwest corner of Poleline Avenue and Pleasantview Road northwest of Post Falls.
"These are the high-paying jobs that we want to bring the area," Gilliam told commissioners.
According to Jobs Plus, the company's CEO makes $240,000 per year; marketing director, $82,000; warehouse manager, $57,000; and accounting administrator, $37,000, for example.
Gilliam said the company, if it chooses to relocate here, would bring its administration of 24 first. The manufacturing staff, which makes racks and cooling systems for data centers, would likely move later.
Gilliam said the company's move could be a catalyst for other companies to come here due to its contacts and clients in the industry.
"We just connected this company with a local partner that is helping us explore recruiting another IT company," she said, adding Jobs Plus has had requests for information from two data centers in the past month.
The company requested a 50 percent property tax exemption over the next five years, which would have totaled about $100,000. However, commissioners reduced the amount to the three-year plan.
"If we want to be competitive with neighboring states, we have to start somewhere," Commissioner Chris Fillios said. "Companies are facing more regulations today (making incentives commonplace)."
Commissioner Marc Eberlein said incentives have become the standard, so if areas don't offer them they fall behind other states that do.
Gilliam said Boise has outpaced North Idaho when it comes to the information technology industry.
"This (incentive) does not guarantee anything, but it's a step in the right direction to help us get there," she said.
The capital investment for the Washington company would include $400,000 for the land, $1.4 million for the building and $800,000 for machinery and equipment.
Idaho’s TRI features a tax credit of up to 30 percent for up to 15 years on new state tax revenues generated by companies seeking to expand in or relocate to the state by adding new, qualifying jobs.
Gilliam said the Washington company will learn on Oct. 26 whether it is approved for the program.
Local companies that have tapped into the TRI include the Post Falls companies ATC Manufacturing, an aircraft parts supplier, and Orgill, a hardware products distributor.
The interest from the Washington company comes amid a flurry of tech-related initiatives in the area.
A 233-acre Inland Northwest Technology Park is being planned on the west side of Highway 41 north of Post Falls with the intent of attracting technology and aerospace manufacturers.