LORDSTOWN, Ohio (WYTV) – The Ohio Development Services Agency reached an agreement with General Motors on the company’s $12 million investment in the Valley.
Community investments are required as part of GM’s repayment of its Job Creation and Retention Tax Credit incentives. The company also has to pay back $28 million in tax credits.
The agreement comes after GM decided to close its Lordstown plant in March 2019.
“This agreement provides investment in workforce, education and infrastructure that will build on the Mahoning Valley’s strong manufacturing heritage,” said Governor Mike DeWine. “This investment will position the region for economic growth in the automotive industry and beyond.”
GM committed $5 million to Youngstown State University and Eastern Gateway Community College for workforce development.
The funds will also help create the YSU Energy Storage Innovation and Training Center.
The village of Lordstown will get $3 million to help design and build a new water tower.
Eastgate Regional Council of Governments will get $2.5 million for local infrastructure improvements and the Mahoning Valley Manufacturers Coalition will get $1.5 million for community workforce development.
“The partnerships with Youngstown State and the Mahoning Valley Manufacturers Coalition will help develop the workforce for the electric vehicle and battery markets,” said Lt. Governor Jon Husted. “The future of energy technology is being developed right here in Ohio, and our ongoing relationship with General Motors will accelerate this innovation while providing jobs in the Mahoning Valley.”
“These projects were identified locally, will leverage additional outside funding, and have a measurable impact on the community,” said Lydia Mihalik, Director of the Ohio Development Services Agency. “The investments will help attract new companies to the region and create an environment for business growth and success in the Mahoning Valley.”
YSU and EGCC will focus on recruitment, training and retention. The partnership will help build up a skilled workforce for area companies like Ultium Cells, Lordstown Motors and TJX.
“We are certainly appreciative of the investment by General Motors and the confidence placed in our Valley by Governor DeWine, Lt. Governor Husted and Lydia Mihalik of the Ohio Development Services Agency,” said Jim Tressel, President of Youngstown State University. “YSU and our many partners are committed to playing a major role in training, research, innovation, infrastructure, and workforce development services in order to help transform the economic engine of our region.”
GM will be required to complete the $12 million investment by the end of 2022, along with refunding $28 million in tax credits.