WFHB Bloomington Community Radio
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Last night, the Bloomington Common Council approved a $2.5 million tax break for local bio tech company, Catalent. The tax break is being awarded as Catalent plans a $125 million expansion of its local facilities. Brian Payne, the city’s assistant director of economic and sustainable development, said Catalent’s expansion will come in two phases, and yield 200 new jobs.
Catalent currently has a personal property tax abatement, which the city granted in 2015. Payne emphasized this new tax break will only apply to Catalent’s new property, not to its existing property. According to Payne’s presentation, the amount of the tax break gradually decreases from 100% to 5% over ten years.
City Controller Jeff Underwood said the city will track any new employment created by Catalent. He said the city usually includes “claw back measures” in its tax abatement agreements, so the city has recourse in the event that the company doesn’t fulfill its commitment.
Council members Andy Ruff, Dorothy Granger, and Alison Chopra did not support the tax break for Catalent. Council members Susan Sandberg, Steve Volan, Jim Sims, Dave Rollo, Isabel Piedmont-Smith, and Chris Sturbaum voted in favor of the tax break.
The next meeting of the Bloomington City Council is scheduled for February 20.
