Report: Many County Businesses That Receive Incentives Don't Stay
City's Economic Development Director: Gaithersburg is not having retention problems.
oloreport2013-2 by Jennifer Peebles
Montgomery County is struggling to retain businesses that receive economic incentives, The Washington Examiner reported Tuesday.
Nearly 40 percent of businesses receiving those incentives have left Montgomery County or have closed, the report—requested by the Montgomery County Council and compiled by the county's Office of Legislative Oversight—said.
The report was briefly discussed by the County Council Tuesday and is scheduled to be fully examined by the council's Planning, Housing and Economic Development Committee on March 7, according to The Washington Examiner.
Despite the low retention rate, The Washington Examiner highlighted the following statistics from the report:
- Incentive awards provided a $1.24 billion return in private investment
- Incentive awards provided $38 million in annual net economic benefit
- Incentive awards created about 26,775 jobs as of December
Social & Scientific Systems, Inc., a public health research business, received $1 million in loan and grant funds from the state and county to keep its headquarters in Silver Spring last November.
