That “gesture” from the City of Durham to Burt’s Bees is worth $138,750 – all in an effort to try and convince the company to move from Keystone Park in Durham County to downtown. From the News & Observer (emphasis is mine):
Council members unanimously approved on Monday night an incentive package worth up to $138,750 for the maker of natural beauty products, which is currently headquartered in Keystone Park in Durham County. To receive the full incentive package, the company would need to relocate 132 workers downtown and create an additional 51 jobs by May 2012.
Company officials couldn’t be reached for comment on whether the incentives seal the deal.
Councilman Eugene Brown said this morning that he expects the company to make the move.
“They wanted a gesture from the city, and they got it,†Brown said. “Some corporations are like human beings. They want to be needed.â€
So what does throwing money at a company do for you? It allows the company to pit cities and counties against one another, which is one reason why corporate welfare is poor public policy.
The company is looking at other options, including Wake County’s Perimeter Park and expanding within Keystone Park, according to Durham officials.
Kulp declined to say last week that the city council’s approval of the incentives package would finalize the deal.
