Businesses in MO May See New Incentives Program

6 years 2 months 2 weeks ago Friday, August 02 2013 Aug 2, 2013 Friday, August 02, 2013 2:51:00 PM CDT August 02, 2013 in News
By: Yuqing Pan, KOMU 8 Reporter
loading

JEFFERSON CITY - A new comprehensive business incentive program will soon be available in Missouri.

It consolidates four existing programs into one called Missouri Works, which takes effect August 28. Applications and guidelines became available Thursday.

Mike Downing, acting director of the Missouri Department of Economic Development (DED), said the new program would provide a more streamlined incentive for businesses that are adding jobs around the state.

"It will be a simpler process because it provides consistency in definitions, application processes and reporting, so that would be a great benefit we believe to businesses," said Downing.

Missouri Works will be modeled after the current Quality Jobs program, which offers tax breaks to businesses when they add a certain number of jobs at certain wage levels. But the new program will lower the minimum qualification.

Under Missouri works, a company may qualify for tax credit in three separate scenarios:

  • The company creates 10 or more jobs at an average wage of 90 percent or more of the county average wage
  • The company creates two or more new jobs in a rural area at an average wage of 90 percent or more of the county average wage, and the company commits at least $100,000 to new capital investment within two years
  • The company creates two or more jobs in an enhanced enterprise zone with the wage exceeding 80 percent of the country average wage, and a $100,000 capital investment within two years

Under the current Quality Jobs program, businesses in non-rural areas need to add at least 40 jobs to qualify.

The tax credit for Missouri Works will be capped at $106 million during the 2013 fiscal year, that is $22 million less than the current four programs combined.

"That should not be a concern because we have not met the cap on tax credit on these four existing programs, so we don't see that's going to be an issue," Downing said.

A qualified company may retain an amount equal to the withholding tax for new jobs for five years after the jobs are created. And an existing Missouri business can have six years.

"I do believe the new program is good in that it invests in companies that are already here in Missouri, whereas so many times, they are trying to get companies from out of the state, incentives are gone and they move away," said the owner of Gold Crest Distributing, in Mexico, Mo.

Mel Toellner said the DED has already reached out to his company. Recently, the company announced a plan for expansion, which will add about 20 jobs.

"The plan is to add approximately 30,000 square foot to the north side of the existing building." Toellner said.

The expansion would cost about $1.5 million dollars, he said.

"With a little bit help from them, training and some incentives, and help hopefully from the city, that would make this possible to go forward," Toellner said.

Toellner started Gold Crest Distributing in 1995 with one store and the distributing center in his garage. Now the company has about 70 employees.

It distributes products for wild birds and pets, as well as outdoor goods and gifts throughout the U.S. Gold Crest has its own bird supply brand "Songbird Essentials".

The company makes more than 600 of it own products in Missouri and sells them across the U.S., Canada, Europe and the Caribbean, Toellner said.

By expanding his business, he said, he hopes to add more than just distributing jobs.

"We are trying to find more jobs where we make the items, because those type of jobs allows you to continue to pay more," Toellner said.

He said the company had already attracted several college graduates.

"That's our goal, to provide the type of employment to that can let college graduates come back to a small town and that does not often happen," said Toellner.

For more information about Missouri Works, visit the DED website.

More News

Grid
List
ST. LOUIS (AP) — Children in St. Louis have been the victim of homicides at 10 times the national rate... More >>
7 hours ago Saturday, October 19 2019 Oct 19, 2019 Saturday, October 19, 2019 9:34:54 PM CDT October 19, 2019 in News
WASHINGTON (AP) — President Donald Trump says he is reversing his plan to hold the next Group of Seven world... More >>
7 hours ago Saturday, October 19 2019 Oct 19, 2019 Saturday, October 19, 2019 9:19:49 PM CDT October 19, 2019 in News
COLUMBIA - Police were seen searching the area near the scene of a crash Saturday afternoon. Police responded to... More >>
8 hours ago Saturday, October 19 2019 Oct 19, 2019 Saturday, October 19, 2019 8:31:00 PM CDT October 19, 2019 in News
COLUMBIA - Community members came together Saturday for a Walk and Roll-A-Thon in recognition of Disability Employment Awareness Month. ... More >>
11 hours ago Saturday, October 19 2019 Oct 19, 2019 Saturday, October 19, 2019 5:11:00 PM CDT October 19, 2019 in News
COLUMBIA - Demonstrators rallied at Speakers Circle on Saturday for the first ever National Period Day. Organizers said they... More >>
12 hours ago Saturday, October 19 2019 Oct 19, 2019 Saturday, October 19, 2019 3:47:00 PM CDT October 19, 2019 in News
COLUMBIA - Community members got the chance to challenge Columbia police officers in their favorite video games during the department's... More >>
12 hours ago Saturday, October 19 2019 Oct 19, 2019 Saturday, October 19, 2019 3:41:00 PM CDT October 19, 2019 in News
ST. LOUIS (AP) — Grassroots organizations are working across Missouri to persuade gun-related business owners to join efforts to limit... More >>
13 hours ago Saturday, October 19 2019 Oct 19, 2019 Saturday, October 19, 2019 3:37:00 PM CDT October 19, 2019 in News
SALINE COUNTY — Three Saline County children abducted in 2017 were found in Arlington, Texas on Thursday, according to the... More >>
14 hours ago Saturday, October 19 2019 Oct 19, 2019 Saturday, October 19, 2019 2:15:00 PM CDT October 19, 2019 in News
JEFFERSON CITY - One Lincoln man is dead following a crash between a motorcycle and a tractor-trailer Friday night on... More >>
15 hours ago Saturday, October 19 2019 Oct 19, 2019 Saturday, October 19, 2019 1:19:00 PM CDT October 19, 2019 in News
COLUMBIA - The Columbia Water and Light department said it believes all power has been restored in Columbia. About... More >>
18 hours ago Saturday, October 19 2019 Oct 19, 2019 Saturday, October 19, 2019 10:05:00 AM CDT October 19, 2019 in News
MARSHALL - The suspect in a pair of shootings in early October has been caught out of state, police announced... More >>
1 day ago Friday, October 18 2019 Oct 18, 2019 Friday, October 18, 2019 9:10:00 PM CDT October 18, 2019 in News
CALIFORNIA - A man heard his sentence on Friday after killing a 20-year-old three years ago for drunk driving. ... More >>
1 day ago Friday, October 18 2019 Oct 18, 2019 Friday, October 18, 2019 6:31:00 PM CDT October 18, 2019 in News
COLUMBIA - Below are scores from football games around mid-Missouri. Final scores are in bold. ... More >>
1 day ago Friday, October 18 2019 Oct 18, 2019 Friday, October 18, 2019 6:06:00 PM CDT October 18, 2019 in Friday Night Fever
COLUMBIA —The University of Missouri issued a statement Friday that the MU Department of Theatre was "in error" when it... More >>
1 day ago Friday, October 18 2019 Oct 18, 2019 Friday, October 18, 2019 5:52:00 PM CDT October 18, 2019 in News
COLUMBIA - Friday Night Fever’s Week 8 Game of the Week features a dominant Helias (6-1) visited by a surging... More >>
1 day ago Friday, October 18 2019 Oct 18, 2019 Friday, October 18, 2019 5:44:00 PM CDT October 18, 2019 in Friday Night Fever
COLUMBIA — The True False Film Festival and Ragtag Cinema are dissolving their relationship with Columbia church The Crossing. Cinema... More >>
1 day ago Friday, October 18 2019 Oct 18, 2019 Friday, October 18, 2019 5:33:00 PM CDT October 18, 2019 in News
COLUMBIA - Springfield Mayor Ken McClure hosted a group for a strategy session that included Governor Mike Parson in October.... More >>
1 day ago Friday, October 18 2019 Oct 18, 2019 Friday, October 18, 2019 4:18:00 PM CDT October 18, 2019 in News
KANSAS CITY - The extent of Kansas City Chiefs quarterback Patrick Mahomes' leg injury sustained during the team's Thursday night... More >>
1 day ago Friday, October 18 2019 Oct 18, 2019 Friday, October 18, 2019 3:07:00 PM CDT October 18, 2019 in Sports
Columbia, MO
Broken Clouds 47°
5am 47°
6am 46°
7am 46°
8am 48°