The Utah Governor’s Office of Economic Development (GOED) is pleased to announce a corporate headquarters in Salt Lake for Breeze Aviation, a new company with plans to create 369 jobs in the next five years.
“Breeze Aviation’s headquarters operation will be a welcome addition to Utah’s growing aerospace industry,” said Val Hale, GOED executive director. “We’re excited to partner with an experienced team with such an outstanding track record.”
Breeze Aviation is founded by David Neeleman, who previously co-founded Morris Air (later sold to Southwest), WestJet, JetBlue, and Azul Brazilian Airlines. Neeleman has been one of the most successful entrepreneurs in the airline business. Breeze Aviation plans to unveil an as-yet-unnamed low-cost carrier in the new year which will provide flyers with convenient non-stop service from secondary airports.
“We’re excited to announce our investment to make Utah our headquarters,” said David Neeleman, CEO of Breeze Aviation. “Utah’s exceptional workforce and business environment will ensure that we have all the support needed to provide exceptional customer service for our new startup.”
Breeze Aviation may earn up to 20% of the new state taxes it will pay over the five-year life of the agreement in the form of a Utah Legislature-authorized Economic Development Tax Increment Finance (EDTIF) tax credit. The GOED Board has approved a post-performance tax credit not to exceed $1,082,000. Each year the company meets the criteria in its contract with the state, it will earn a portion of the total tax credit.
“We have long recognized the potential our regional airports hold for economic growth,” said Theresa A. Foxley, president and CEO of EDCUtah. “We welcome Breeze Aviation to consider service to any of the many great airports that the state of Utah offers.”
State of Utah Tax Credit Projections by the Numbers
|Capital Investment||$3.2 million|
About Utah Corporate Incentives
The Utah Legislature has authorized economic development incentives in the form of post-performance tax credits. Eligible companies work with the Utah Governor’s Office of Economic Development to outline specific performance criteria. Once GOED confirms those criteria have been met, according to statute (U.C.A. 63N-2-106(2)), companies can receive a refund of up to 30% of the state taxes they paid for up to 20 years. The contract with the state is post-performance; it only provides a state tax credit if the company meets its obligations.