Delay on Sherwin-Williams incentives is welcome
Posted April 02, 2020 in Press Releases
But JobsOhio should put off any awards, too
The DeWine Administration has decided to delay action on $70 million in state loans to support the construction of a new headquarters for Sherwin-Williams Co. in downtown Cleveland and a research center in Brecksville. Policy Matters Ohio Research Director issued the following statement on the decision:
“In the middle of a pandemic and with a recession looming, state and local governments need every available resource to keep Ohioans safe, take care of people who are sick, and make sure people who lose their jobs get support. Governor DeWine’s decision to defer action on loans for Sherwin-Williams is welcome news. Policy Matters Ohio said in an earlier statement that the state should reconsider these incentives, given the deteriorating revenue picture. It is also wrong for the state to subsidize the move of jobs from Cleveland and Warrensville Heights to Brecksville. Ohio policymakers should delay action on other loans and tax breaks while the state’s finances remain murky and under what could be severe strain.”
“JobsOhio, the private economic development organization, is still said to be planning to go ahead with its own financial support for the Sherwin-Williams projects. This is inappropriate. Why should valuable resources be used for this purpose when the DeWine administration is deferring action? Indeed, how is that even possible? It should cause state policymakers to reexamine the privatization of Ohio’s economic development function.
“It also creates further doubts about the previous moves by the City of Cleveland and Cuyahoga County officials to provide financial aid to Sherwin-Williams when the state considers it unwise. Local governments will be harmed by the economic downturn. Both entities should reconsider their decisions.”