Business incentive bundle approved

The state Board of Business and Economic Development is hoping that $1 million in incentives will ultimately bring nearly 600 jobs to Utah.

The board on Friday approved funding a pair of incentive packages aimed at job growth: up to $312,000 for Denver-based Qwest Communications International Inc. and up to $667,600 for a health informatics company.

The latter company, whose name was not revealed by the board because of a confidentiality agreement, has asked for an incentive package of $905,500. The board approved Industrial Assistance Fund money totaling $667,600 for 440 new full-time jobs.

If the company creates the jobs, it would get $1,200 for jobs with a salary between 100 percent and 200 percent of the county median where the jobs are located and $4,000 for jobs with salaries over 200 percent of that median.

A total of $286,000 has been committed from the Health Informatics Initiative Fund to help lure the operations to Utah.

The board's action also included $50,000 more in IAF funds to place up to 50 jobs in rural Utah — money that would be added to $50,000 more from the health informatics fund. The company must commit to having the rural jobs within two years to get that incentive.

The medical informatics industry includes a wide range of jobs that encompass medical billing services, transcription, claims processing and other medical accounting services.

Mark Renda, in charge of Utah's incentive programs, said the approvals represent a chance for Utah to get a division headquarters of the unnamed company.

Barbara Zimonja, chairman of the business board's IAF committee, described it as "a very solid company" that is looking to consolidate two operations into one. Utah, she said, is competing with several other states for the jobs.

Board chairman David Simmons said the rural aspect was not part of the company's original business plan. "We're trying to hold a carrot out to them, to say, 'We'd really like to see you do that,' " he said.

Board members said the approved money for Qwest will help Utah compete with Oregon, Arizona and Idaho for 156 new full-time jobs at a technical repair call handling center to support Qwest customers on DSL connections, networking, Internet issues for Qwest and volume Internet providers such as America Online and MSN.

"I believe with the incentives we've put out there, this puts us on an even footing where we're competing for these new jobs," said board vice chairman Dell Loy Hansen.

Qwest has about 3,000 employees in Utah. The board approval calls for the company to get $2,000 per new job that pays at least 125 percent of the Salt Lake County median wage.

Qwest said Wednesday it will add 500 customer service and sales jobs in 11 states.

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