COVINGTON - The state is offering Baxter International $78 million in tax incentives to locate in Stanton Springs, according to a spokeswoman with the Georgia Department of Economic Development.
Gov. Nathan Deal announced Thursday that Baxter will locate a new bio-pharmaceutical manufacturing facility in Stanton Springs, the four-county mixed use park located at the intersection of U.S. Highway 278 and Interstate 20.
The company will employ approximately 1,500 people across the state. Total investment by the company will exceed $1 billion.
The company is eligible for $63.6 million in state statutory incentives to be awarded over a 10-year period, based on the number of jobs it will create, said Alison Tyrer, director of communications for the Georgia Department of Economic Development.
Those incentives include a quality job tax credit of $28,104,000. Companies that pay higher-than-average wages are eligible for quality job tax credits. The credit is available to companies creating at least 50 jobs in a 12-month period if those companies pay wages at least 10 percent higher than the county average, according to the Georgia Department of Economic Development's website.
Baxter's average wage will be about $60,000, according to Roger Harrison, senior vice president for economic development with the Covington/Newton County Chamber of Commerce.
Baxter is also eligible for a $4.7 million job tax credit. Job credits provide as much as $4,000 in annual tax savings per job for up to five years.
Finally, Baxter is eligible for a $31,479,008 sales tax exemption on machinery and equipment and construction materials.
In addition to the statutory incentives, OneGeorgia gave a discretionary incentive of $13,750,000 to the Joint Development Authority, the owner of Stanton Springs, to pass along for site acquisition, infrastructure improvements including road development and a wastewater pre-treatment facility, and manufacturing equipment, Tyrer said.
All told, the state's incentives total $78,033,452.