Require Compliance With Program Rules
As our lead editorial notes, tax breaks to provide incentives for companies to create jobs in Ohio seem to have been beneficial, in general. About 91 percent of firms receiving the breaks have kept their job creation and retention promises.
But what about the other 9 percent? According to a published report, the state took 182 “enforcement actions” against non-complying companies in 2009. But in another 100 cases of failure to meet the program’s requirements, no action was taken by the state.
Attorney General Richard Cordray is investigating the program and hopes to have a report on it by the end of the year. We hope Cordray’s probe includes whether any companies that took state help, then didn’t live up to their end of the bargain, were let off the hook.
There are many reasons – some of them acceptable – why a company benefitting from state tax breaks would not be able to meet the program’s requirements.
But if it is learned that some companies were simply allowed to walk away after collecting tax breaks, Ohioans – and their elected representatives – should be furious.