$352.3 MILLION OF YOUR MONEY … DOWN THE DRAIN
We wrote earlier this week on the latest Orlando, Florida layoffs announced by Nephron Pharmaceuticals … a.k.a. S.C. governor Nikki Haley‘s ongoing crony capitalist debacle.
Nephron has failed miserably to create the 707 high-paying ($70,000 a pop) jobs Haley promised back in 2011 when Nephron got its first round of taxpayer-funded incentives to build a heavily-subsidized facility in West Columbia, S.C.
We’ve written extensively about the failure of this plant …
Now, Nephron is attempting to add employees in South Carolina by cutting them in Florida – 250 employees, to be precise.
And while these 250 new employees – assuming they actually get hired – still wouldn’t bring Nephron anywhere near its promised Palmetto State capacity, it’s worth noting that company officials are touting ongoing tax breaks as part of their reason for shifting these jobs.
Take this report from Alex Keown of BioSpace.com …
The company chose to shift the operations to South Carolina due to tax incentives offered by government officials. South Carolina’s tax package had the potential of $352.3 million in savings, mostly from tax exemptions from property taxes for 30 years.
Wait … what?
That’s right … you read that number correctly: $352.3 million.
Three-hundred-fifty-two million dollars …
Oh, and most of it is coming in the form of property tax breaks, which of course will be passed on in the form of higher property taxes for … well … you.
It would be one thing if Nephron was honoring its promises in exchange for such largesse. But it’s not. In fact Keown’s article confirms our previous reporting about the company, noting that “Nephron initially said it planned on hiring approximately 700 employees for the South Carolina facility, but that has not come to pass.”
This website was suspicious of the Nephron deal from the beginning – and said so. In fact, five years ago we published a detailed story regarding its questionable financials – and we also wrote extensively at the time about pay-to-play allegations involving Nephron and the governor. Not only that, we busted Haley in a lie regarding her prior connections to the company’s founders – Bill Kennedy and his wife, Lou Kennedy (who have contributed thousands of dollars to Haley’s political campaigns and who frequently allowed Haley access to Nephron’s private jet).
Nothing has happened, though …
The company went ahead and built a gleaming government-subsidized facility, and is now prepared to sit back and enjoy tax breaks for decades to come … at your expense. And no one in the state’s left-leaning mainstream media is holding Haley accountable because they are too busy cheerleading for this scam.
Don’t believe us? Check out this June 2014 “news story” published by The (Columbia, S.C.) State newspaper. Seriously, read it. It might as well be an infomercial for these crony capitalist glad-handers.
Don’t worry, though … the newspaper is getting a special tax break, too.
We’ve said it before, we’ll say it again …
Government shouldn’t be in the economic development business … unless of course it is providing broad-based tax relief to all individuals and businesses, not just a select few.