Making a surprising move amid the state’s budget crisis, New Jersey officials approved the third-largest economic subsidy in their state’s history on July 10,according to The Star-Ledger. The package of tax credits – worth $260 million over the course of the next 10 years – will go to energy company Holtec International, which plans to move a manufacturing plant to the Camden waterfront.
The terms of the agreement include 395 jobs being added to the area, though 160 of these jobs will be moved from elsewhere in the state, according to the news source. The state Economic Development Authority estimated that New Jersey will realize a net economic benefit of $155,520 over the next 35 years from the project, though the company will only be required to stay in the location for 15 years.
There have been criticisms from both the left and the right regarding the subsidy, which has come at a time during which New Jersey is struggling to pay for schools, hospitals, pension obligations and property tax rebates, The Philadelphia Business Journal explained. Not going without remark is the fact that South Jersey power broker George Norcross, brother of State Sen. Donald Norcross, who co-sponsored the Economic Opportunity Act of 2013, sits on the board of directors for Holtec International. Many also feel that $260 million is too much to pay for the creation of just 235 new jobs, which averages out to just over $110,000 per job, per year.
Holtec International CEO Krishna Singh had narrowed the options for the new plant down to Camden and Charleston, South Carolina, according to the New Jersey Economic Development Authority, the news source reported. Receiving the credit was key to the company’s decision to choose Camden over Charleston, an otherwise lower cost option.
Secured transactions form the backbone of a wide range of business dealings, including business loans, mortgages, and inventory financing. Because the stakes are often high and relatively minor oversights can have drastic consequences, lenders and borrowers should thoroughly understand how to form an enforceable security agreement that protects their legal rights. What Is a Secured […]
Don’t Cash a “Paid in Full” Check Without Understanding the Legal Implications
Cashing a check marked “paid in full” can be a risky endeavor, particularly if you don’t fully understanding the legal implications. If you are owed more than the amount of the check you accept and deposit, you may waive your right to collect the full disputed amount. That is why you should consider either rejecting […]
Changes to Qualified Small Business Stock Will Benefit Startup Founders and Investors
The One Big Beautiful Bill Act of 2025 (OBBBA) significantly impacts federal taxes, credits, and deductions. A key change relating to Qualified Small Business Stock (QSBS) allows greater tax-free gains for investments in startups and other qualifying small businesses. Company founders and other investors should understand how the enhanced tax strategy works or risk missing […]
Corporate Consolidation and Antitrust Issues in Mergers
Corporate consolidation involves two or more businesses merging to become a single larger entity. The result is often a stronger and more competitive company that can better navigate today’s competitive marketplace. What Is Corporate Consolidation? Corporate consolidation closely resembles a basic merger transaction. The primary difference is that a consolidation creates an entirely new business […]
Business law plays a critical role in nearly every aspect of running a successful enterprise, from negotiating a commercial lease to drafting employee policies to fulfilling corporate disclosure obligations. Understanding what is business law and your legal obligations can help your business run smoothly and build productive relationships with clients, business partners, regulators, and others. […]
Corporate Transactions: Best Practices for Successful Deals
Corporate transactions can have significant implications for a corporation and its stakeholders. For deals to be successful, companies must act strategically to maximize value and minimize risk. It is also important to fully understand the legal and financial ramifications of corporate transactions, both in the near and long term. Understanding Corporate Transactions The term “corporate […]
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Sign up to get the latest from our attorneys!
Explore What Matters Most to You.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.
Let`s get in touch!
Sign up to get the latest from the Scarinci Hollenbeck, LLC attorneys!
