The taxpayers didn't escape unscathed in the Mitsubishi deal, although the final taxpayer cost isn't quite clear.
Mitsubishi has decided to “mothball” its Fort Smith wind-turbine manufacturing that was expected to employ 400 at full production....To date, the Fort Smith chamber has paid a little more than $240,000 of a $585,000 incentive package used to recruit Mitsubishi. The chamber incentives have four components. They are: • Mitsubishi is paid $166,667 upon groundbreaking; • Mitsubishi is paid $166,667 when the plant opens; • Mitsubishi is paid $166,666 upon hiring 300 employees; and, It was initially estimated that Mitsubishi would receive $85,000 for support of temporary office space for “key employees to begin typical start-up activities,” temporary housing for key employees for re-location and a corporate Hardscrabble County Club membership for one year....In addition to the chamber incentives, federal stimulus funds were planned to be used to support $3.7 million in tax-exempt bonds as part of the Mitsubishi incentive package. The bonds, issued by the state, will be paid back by Mitsubishi but at a lower interest rate than traditional bond proceeds. The city of Fort Smith spent about $1.6 million in road and water/sewer infrastructure support for the plant.
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