INCENTIVE NEGOTIATIONS
WDG Consulting, often
in tandem with one of our strategic alliance partners (Biggins,
Lacy, Shapiro & Company), can
assist corporations in obtaining
government incentives for job
retention, existing location expansion, and new facility job
creation/investment. It should be emphasized that as part of WDGC's location selection services, a preliminary incentive package is
secured. In one or more finalist locations, WDGC and its
alliance partner BLS can
then negotiate a final package. During negotiations, we work
closely with the company's finance, legal, business operations,
and corporate affairs representatives.
Government
incentives fall into two categories. They are statutory
(on the books and available to all qualifying companies) and
discretionary (customized to a specific project).
Preliminary packages usually are comprised mainly of statutory
offerings. Final negotiations typically produce
discretionary incentives. These important final negotiations are
provided at attractive fee levels as the effort begins from the
preliminary package that WDGC secured as part of the location
study.
Incentives
negotiation involves the following:
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Quantification of
the project's parameters
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Real estate
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Capital
investment |
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Employment
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Payroll
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Letter to
appropriate state and local economic development agencies to
request a formal incentives package |
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Review of the
initial package offered |
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Examination of
recent incentives offered to new/expanding (or returning)
companies |
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Meetings with
economic development and other government agencies to
enhance the initial offer |
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Request for a
final and best offer |
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Quantification of
the package
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Individual
component |
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Qualifying
criteria |
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Restrictions
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Recapture or
clawback provisions |
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Ability of
company to use the incentive |
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Estimated
savings |
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First year
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Future years
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Review of the
package by the company's project team
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Meeting with the
company and issuing agencies to hammer out final details
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Completion of all
requisite forms |
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Signing of the
package |
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Trigger dates
identified for future continuation of individual incentives
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Preparation of a
public announcement |
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Formal
announcement delivered |
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