The Governor’s Office of Economic Development (GOED) met today and has extended an incentive offer to The Goldman Sachs Group Inc., in consideration for the company’s plan to create up to 350 additional jobs over the next 20 years.
“It goes without saying that part of the economic success Utah has experienced over the last decade can be credited to Goldman Sachs investing in Utah,” said Governor Gary R. Herbert. “The continued growth of Utah’s vibrant financial industry and this internationally respected company in Utah speaks volumes about the business friendly environment the state has created.”
Goldman Sachs Group, Inc. is a leading financial services firm providing investment banking, securities and investment management services to a substantial and diversified client base that includes corporations, financial institutions, governments and high-net-worth individuals. Founded in 1869, the firm maintains offices in all major financial centers around the world. Goldman Sachs is now approaching 14 years of presence in and partnership with Salt Lake City and Utah.
“Goldman Sachs’ growth in Utah is reflective of the quality of our people and our robust business environment,” said Jeff Edwards, president and CEO of Economic Development Corporation of Utah. “We appreciate Goldman’s continued commitment to grow their business in the state.”
Goldman Sachs has indicated that they plan to create up to 350 new jobs over the next 20 years. The total wages, including medical benefits, in aggregate are expected to exceed 125 percent of the county average wage. The projected new state wages over the life of the agreement are expected to be up to $1.1 billion. Projected new state tax revenues, as a result of corporate, payroll and sales taxes, are estimated to be up to $43.5 million over 20 years.
As part of a contract with Goldman Sachs, the GOED Board of Directors has approved up to a maximum tax credit of $13,057,377 in the form of a post-performance Economic Development Tax Increment Finance (EDTIF) incentive, which is 30 percent of the new state taxes Goldman Sachs will pay over the 20-year life of the agreement. Each year as Goldman Sachs meets the criteria in its contract with the state, it will earn a portion of the tax credit incentive.