From Deseret News archives:
Tie 'twixt Stephens and grant reviewed
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No one can promise jobs before they actually arrive, adds Lampropoulos. "What if I change my mind" about who goes into the new Merit building? "We could move this work to Ireland" where Merit has production facilities. "There we pay a 10 percent tax; here our effective tax rate is around 37 percent. How can I justify" to stockholders and employees "paying 27 percent more out of our bottom line" by moving jobs to Utah? He can, he said, with the grant's financial help.
"Merit Medical is a fabulous firm," said Zimonja. It has been listed by national business publications as one of America's best and fastest-growing high-tech, medical manufacturing firms. "It means a lot to us" and the state was glad to help get more jobs here, she said. -->
Lampropoulos, who as a gubernatorial candidate campaigned that he would require IAF funds go to in-state firms, said that businesses seeking state financial aid often play one state against another to get the best deal, and Utah should do more to help competing local businesses create jobs.
"The real winners are the developers and business owners, in this case Mr. Lampropoulos," she said. "And the taxpayers are the losers especially if the jobs were going to be created in Utah anyway."
Mark Renda, director of the state's incentives programs, told the Deseret Morning News last week that to get all of the $1 million grant, Merit will pay 600 new employees higher-than-average wages and thus generate in payroll, income, corporate and sales taxes around $7.4 million. So there is a net benefit to the state.
Stephens, R-Farr West, went to work for Lampropoulos well after Merit's IAF grant was under consideration. Stephens, who will retire in January from the House after a dozen-year career and six years as speaker, said he considered contacting economic development board members this summer to lobby on Merit's behalf. "But I decided not to, and didn't," he said.
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