Collaboration retains drug plant

Some collaborative gerrymandering on the part of local politicians has convinced Bayer to upgrade a Berkeley, CA, plant and continue production rather than begin outsourcing a blood-clotting treatment used by hemophiliacs. The goal of the $10 million incentive was to save as many jobs as possible for the 1,400 people employed there, say officials.

The $10 million was enough to convince Bayer to spend $100 million on an upgrade and keep the plant in situ. Officials recognized that creating an enterprise zone in the region surrounding the facility would allow the drug maker to bypass sales tax on equipment to modernize plant, and entitle it to tax credits, reports the San Francisco Chronicle.

To shorten the time required to create an enterprise zone, officials approached contiguous Oakland about expanding an existing designation. Voila ... enterprise zone in a jiffy, thanks to an agreeable neighbor.

- here's the article

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