(Springfield, IL) – January 28, 2011. GOP Wisconsin Governor Scott Walker kissed good-bye to a $7.5 million investment by American Aluminum Extrusion Co, based in Beloit, Wisconsin, which will open a new manufacturing facility in Roscoe, Illinois.
“American Aluminum’s decision to grow in Illinois shows that our workforce and business climate are second to none,” said Governor Pat Quinn, who made the announcement yesterday. “Today’s announcement underscores my continued commitment to creating jobs and growing Illinois’ economy.”
The announcement comes on the heels of Illinois’ recent income tax increase and of Walker’s invitation to Illinois businesses to move to the ‘tax haven’ of Wisconsin.
What Walker has failed to note in his invitation is that his state’s corporate income tax rate is 7.9% compared with the new, temporary 7% Illinois rate. Additionally, Wisconsin has a top personal income rate of 7.75%–the 11th highest in the nation—compared to Illinois’ new, temporary 5% rate.
The State of Illinois is providing a business investment package to American Aluminum which will support the creation of 130 new jobs.
The Illinois Department of Commerce and Economic Opportunity is administering the state’s $748,000 business investment package, consisting of Economic Development for a Growing Economy tax credits based on job creation and Employer Training Investment Program job training funds that will help enhance the skills of the company’s workforce.
“Illinois is the top business destination in the Midwest, and companies recognize the value of being located here as they look to take their business to the next level,” said DCEO Director Warren Ribley.
American Aluminum’s decision relied heavily upon Governor Quinn’s recent signing of legislation extending the Illinois Jobs Recovery Law which will, with local governmental approval, provide the company with the tax increment financing necessary to make the move possible.
The firm manufactures custom aluminum extrusions for customers in the transportation, consumer durable and building and construction markets that are located within a 500 mile radius of the company’s headquarters in Beloit.
“We appreciate all the hard work that all parties have put into this project over the last fifteen months to make this possible and we look forward to growing our business here in the community,” said Sam Popa, President of American Aluminum Extrusion.
Popa will also appreciate having no state property tax to pay, unlike Wisconsin.
Quinn is eating Walker’s lunch.