Trenton, NJ ― The Board of the New Jersey Economic Development Authority (EDA) on August 9 approved Grow New Jersey (Grow NJ) tax credits to encourage the global pharmaceutical company Allergan Sales, LLC (Allergan).
Allergan is the United States subsidiary of Ireland-based Allergan plc, to remain in New Jersey and combine four existing company locations into a 431,495-square-foot facility in Madison.
Advanced under the New Jersey Economic Opportunity Act (EOA), Grow NJ is the State’s main job creation and retention incentive program.
“Allergan is a significant employer in New Jersey and its presence adds to the State’s leadership in the pharmaceutical sector,” said EDA Chief Executive Officer Melissa Orsen. “Encouraging investment and growth in targeted industries, including life sciences, is one of the primary objectives of the Grow NJ Program.”
Orsen notes that more than 60 percent of tax credits approved to date under Grow NJ are for projects in a defined targeted industry and of those, approximately 20 percent are in the technology and life sciences sector.
Allergan is the United States subsidiary of Ireland-based Allergan plc, to remain in New Jersey and combine four existing company locations into a 431,495-square-foot facility in Madison.
Advanced under the New Jersey Economic Opportunity Act (EOA), Grow NJ is the State’s main job creation and retention incentive program.
“Allergan is a significant employer in New Jersey and its presence adds to the State’s leadership in the pharmaceutical sector,” said EDA Chief Executive Officer Melissa Orsen. “Encouraging investment and growth in targeted industries, including life sciences, is one of the primary objectives of the Grow NJ Program.”
Orsen notes that more than 60 percent of tax credits approved to date under Grow NJ are for projects in a defined targeted industry and of those, approximately 20 percent are in the technology and life sciences sector.
Other targeted sectors under Grow NJ include manufacturing, finance, and logistics.
The Board approved Allergan for Grow NJ tax credits of up to $58.2 million over 10 years based on the expected creation of 300 new, high-paying jobs, the retention of more than 1,000 jobs at risk of leaving the State for Pennsylvania, and private investment of more than $103 million. The project is expected to result in a net benefit to the State of more than $384 million over 20 years.
As a performance-based program, approved Grow NJ projects must first generate new tax revenue, complete capital investments and hire or retain employees to receive approved benefits. The company has certified, as required by legislation, that the approval of tax credits is a material factor in its decision to advance the project in New Jersey.
Allergan subsidiaries Watson Pharmaceuticals, Inc., in Parsippany, and Forest Laboratories Inc., in Jersey City, have existing projects approved under the Business Employment Incentive Program. Those grants will be required to be withdrawn in order for Allergan to qualify for the Madison Grow NJ project, forfeiting more than $15.2 million in future payments.
The Business Action Center (BAC) worked in collaboration with the EDA to help cultivate this project, providing interdepartmental advocacy and ongoing customer support. The EDA and BAC are part of the State’s results-driven Partnership for Action.
Created by Governor Christie and led by Lt. Governor Guadagno, the Partnership is the hub for all economic development activity in New Jersey and is comprised of four interconnected and highly focused organizational elements: BAC, Choose New Jersey, the Office of the Secretary of Higher Education and the EDA.
EDA Board meetings are typically held at 10 a.m. on the second Tuesday of each month at 36 West State Street in Trenton.
The Board meeting schedule, as well as Board agendas and minutes, are available at www.njeda.com.
All Board actions will take effect at the expiration of the statutory period for the Governor’s review and consideration of the meeting minutes.
The Board approved Allergan for Grow NJ tax credits of up to $58.2 million over 10 years based on the expected creation of 300 new, high-paying jobs, the retention of more than 1,000 jobs at risk of leaving the State for Pennsylvania, and private investment of more than $103 million. The project is expected to result in a net benefit to the State of more than $384 million over 20 years.
As a performance-based program, approved Grow NJ projects must first generate new tax revenue, complete capital investments and hire or retain employees to receive approved benefits. The company has certified, as required by legislation, that the approval of tax credits is a material factor in its decision to advance the project in New Jersey.
Allergan subsidiaries Watson Pharmaceuticals, Inc., in Parsippany, and Forest Laboratories Inc., in Jersey City, have existing projects approved under the Business Employment Incentive Program. Those grants will be required to be withdrawn in order for Allergan to qualify for the Madison Grow NJ project, forfeiting more than $15.2 million in future payments.
The Business Action Center (BAC) worked in collaboration with the EDA to help cultivate this project, providing interdepartmental advocacy and ongoing customer support. The EDA and BAC are part of the State’s results-driven Partnership for Action.
Created by Governor Christie and led by Lt. Governor Guadagno, the Partnership is the hub for all economic development activity in New Jersey and is comprised of four interconnected and highly focused organizational elements: BAC, Choose New Jersey, the Office of the Secretary of Higher Education and the EDA.
EDA Board meetings are typically held at 10 a.m. on the second Tuesday of each month at 36 West State Street in Trenton.
The Board meeting schedule, as well as Board agendas and minutes, are available at www.njeda.com.
All Board actions will take effect at the expiration of the statutory period for the Governor’s review and consideration of the meeting minutes.
