mrplunkey
New member
I won't say which state we are dealing with, or which industry -- other than to say we're doing a project in a renewable, green-friendly energy project in the US. It's an group of very conservative, "mean-spirited" republicans even though it's a highly eco-friendly investment.
So we get marched into a US Senator's office (he's an entrenched Democrat) because he wants us to meet some local union representitives. Here's the offer:
1) They expand their "enterprise zone" to cover our plant. It would yield $30M in tax breaks over time (NPV would be around $21M)
2) They give us $5M of federally-earmarked money to encourage economic development.
3) They expedite all of our EPA permits, perhaps accelerating our air permit 3-4 months (50%+ improvement)
And the catch? We have to agree to use all union labor. It's a $130M project, and they estimated that union labor would "only" increase the cost of the project by 20%. So guess what that comes out to? You guessed it... $26M dollars.
So what's the net result? Our new-found senator friend (again, a democrat) explains that if we'll transfer $26M to unions, they'll make us "whole" using state and federal taxpayer money. Really the only advantage to us is we'll get all our permits in half the time or less.
Sad, isn't it?
So we get marched into a US Senator's office (he's an entrenched Democrat) because he wants us to meet some local union representitives. Here's the offer:
1) They expand their "enterprise zone" to cover our plant. It would yield $30M in tax breaks over time (NPV would be around $21M)
2) They give us $5M of federally-earmarked money to encourage economic development.
3) They expedite all of our EPA permits, perhaps accelerating our air permit 3-4 months (50%+ improvement)
And the catch? We have to agree to use all union labor. It's a $130M project, and they estimated that union labor would "only" increase the cost of the project by 20%. So guess what that comes out to? You guessed it... $26M dollars.
So what's the net result? Our new-found senator friend (again, a democrat) explains that if we'll transfer $26M to unions, they'll make us "whole" using state and federal taxpayer money. Really the only advantage to us is we'll get all our permits in half the time or less.
Sad, isn't it?

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