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Sacramento County Giving Up $5.1 Million To Lure Macy's

  

01/28/2015 UPDATE: The Sacramento County Board of Supervisors has approved a deal with Macy's that would move the company's online-order processing center to the old Campbell's Soup plant in south Sacramento.

 

Next week, the Sacramento County Board of Supervisors will decide whether to approve a deal with Macy's that would move the company's online-order processing center to the old Campbell's Soup plant in south Sacramento.

The deal would reimburse Macy's half of the local sales tax revenue it generates -up to $5 million - within the next 10 years.

The County would also waive about $113,000 in fees -- more than half of what would normally be owed.

Lori Moss is the County's Community Development Director. She says 100 full time jobs and 75 full-time equivalent positions will be worth it.

"They're able to get some rebates from SMUD just like any other company would. They're also probably going to qualify for some employment training panel reimbursements that come from the state and that would be a job  separate agreement. That would be the same as SETA [Sacramento Employment and Training Agency] -the job-training group in Sacramento."

Macy's would forfeit some benefits if the number of full-time employees falls below a certain level.

The company says 72 of the positions will be filled by employees from its distribution center in West Sacramento, which will close.

Macy's has promised to spend $10.5 million in improvements to the property.

Hackman Capital Partners owns the site and says it will match up to half of that amount.

Sacramento County beat out bids by Texas and Arizona for the distribution center.

 

Bob Moffitt

Sacramento Region Reporter

Bob is the Sacramento Region Reporter. He has been at the forefront of the coverage of the Sacramento Kings' saga and the effort to build a new arena in Sacramento. He also covers education, business, environment, and sports stories.   Read Full Bio