John Kartch

How the Trump Republican Tax Cuts Are Helping Nevada

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Posted by John Kartch on Thursday, July 2nd, 2020, 4:55 PM PERMALINK

Nevada is benefiting greatly from the Tax Cuts and Jobs Act enacted by congressional Republicans and President Trump:

228,870 Nevada households are benefiting from the TCJA’s doubling of the child tax credit.

Every income group in every Nevada congressional district received a tax cut. Nationwide, a typical family of four received a $2,000 annual tax cut and a single parent with one child received a $1,300 annual tax cut.

1,040,450 Nevada households are benefiting from the TCJA’s doubling of the standard deduction. Thanks to the tax cuts, nine out of ten households take the standard deduction which provides tax relief and simplifies the tax filing process.

52,130 Nevada households are benefiting from the TCJA’s elimination of the Obamacare individual mandate tax. Most households hit with this tax made less than $50,000 per year.

Lower utility bills: As a direct result of the TCJA’s corporate tax rate cut, Nevada residents are saving money on utility bills. Lower electric, water, and gas bills help households and small businesses operating on tight margins. Nevada utilities that have passed along tax savings include -- but are not limited to -- Southwest Gas and Nevada Energy (see below.)

Thanks to the tax cuts, Nevada businesses of all sizes are hiring, expanding, raising pay and increasing employee benefits:

Universal Plumbing & Heating Co. (Las Vegas, Nevada) – Hiring new employees, purchasing new equipment, giving employee bonuses:

President Donald Trump added some Sin City flavor to a Rose Garden event Thursday to highlight the impact of his tax cut on small businesses and working families: a pair of Las Vegas plumbers.

Kerzetski said the tax cuts paid for purchases of “much-needed trucks, tools and office equipment.” Then there were “bonuses of $500 and $1,000 to all our employees.” And his firm hired several new employees, he said. – April 13, 2018 Las Vegas Review-Journal

Junk King (Reno, Nevada) -- Purchase of additional truck; increased hiring:

These provisions allow job creators to save money on a new oven, delivery vehicles or added storefronts the moment they buy them. Perhaps more importantly, small business owners are left with more resources for new hiring, wage increases and bonuses.

For my own business, an environmentally friendly debris, clutter and junk removal franchise in Reno, tax savings will translate to hiring more workers and investing in another truck to keep up with demand.

If there’s one thing I’ve learned since opening Junk King three years ago, it’s that success in my business is also indicative of the economic health of the Greater Reno area. When homes and commercial property are sold, or families and businesses decide to upgrade their spaces, they need junk removal services. Just as the 2018 tax cuts will allow me to invest in more employees and new equipment, they also give American families the leg up to finance the projects they had once put off under harder economic times. -- Jan. 26, 2018 Nevada Independent op-ed excerpt by Brian Cassidy, owner of Junk King

Kalb Industries of Nevada, Ltd. (Las Vegas, Nevada) – Pay raises for employees who have been with the company three months or longer:

We received a tax cut from the bill that Congress passed last night and as part of our family, we would like to pass along some of that savings to you all. On your next payroll check, all employees that have been here more than three months will receive a raise on their next check. Again thank you all for all the hard work, and dedication this year. – Dec. 20, 2017 note to employees

HBM Technology Partners (Reno, Nevada) – Tax reform bonuses for employees.

Prospector Hotel & Gambling Hall (Ely, Nevada) - $500 bonuses and increase base wage to $12 per hour. 

South Point Hotel, Casino and Spa (Las Vegas, Nevada) - Doubling of bonuses for 2,300 employees.

Following the passing of the 2018 Trump Tax Reform Bill, South Point Hotel Owner Michael Gaughan will distribute more than $1 million among the property's employees. As part of the contribution, Gaughan will double all the employees' 2017 bonuses in addition to rescinding the price increase for employee health insurance. 

"Las Vegas has experience a significant amount of growth over the past two years, and this tax reform will continue to drive the economy of the city," said Gaughan. "The new bill will have a monumental effect on our economy and, in turn, our property. We want to be sure that our extended family is taken of." -- April 1, 2018 South Point Hotel, Casino and Spa press release excerpt

Fontainebleau (2755 Las Vegas Boulevard, Las Vegas, Nevada): Plans to resume the resort project which had previously committed to creating over 10,000 jobs.

Nevada Energy (Las Vegas, Nevada) – The utility is passing tax reform savings to customers:

Effective April 1, 2018, we are passing on to you a monthly savings as a result of federal tax reform – Excerpt from NVEnergy’s Energy Pricing Plans

AT&T -- $1,000 bonuses to 1,102 Nevada employees; Nationwide, $1 billion increase in capital expenditures:

Today, Congress approved legislation representing the first comprehensive tax reform in a generation. The President is expected to sign the bill in the coming days.

Once tax reform is signed into law, AT&T* plans to invest an additional $1 billion in the United States in 2018 and pay a special $1,000 bonus to more than 200,000 AT&T U.S. employees — all union-represented, non-management and front-line managers. If the President signs the bill before Christmas, employees will receive the bonus over the holidays.

“Congress, working closely with the President, took a monumental step to bring taxes paid by U.S. businesses in line with the rest of the industrialized world,” said Randall Stephenson, AT&T chairman and CEO. “This tax reform will drive economic growth and create good-paying jobs. In fact, we will increase our U.S. investment and pay a special bonus to our U.S. employees.”

Since 2012, AT&T has invested more in the United States than any other public company. Every $1 billion in capital invested in the telecom industry creates about 7,000 jobs for American workers, research shows. -- Dec. 20, 2017 AT&T Inc. press release

Taco John’s (Reno, Nevada): All full-time and part-time crew members received a $200 after-tax bonus:

Taco John’s International, Inc. announced today that in response to the 2018 Tax Cut and Jobs Act, the company gave part of its projected tax savings to its restaurant crews, general managers, corporate staff and CORE (Children of Restaurant Employees).

On Friday, Feb. 23, Taco John’s International, Inc.’s employees received a one-time bonus, as follows:

  • Every restaurant crew member - full-time and part-time - received $200 (after taxes);
  • General managers and employees at the Taco John’s Franchisee Support Center in Cheyenne received $1,000 each; and,
  • The Executive Council of Taco John’s International, Inc. (Vice Presidents and above) donated their $1,000 bonuses (a total of $10,000) to CORE, a national not-for-profit organization that grants support to children of food and beverage service employees who are navigating life-altering circumstances.
     

“At Taco John’s International, our team is our family, so sharing the financial benefits that were a result of the recent tax reform legislation only makes sense,” said Jim Creel, CEO of Taco John’s International, Inc. “We encourage other restaurant brands to follow our example and give a portion of their savings to the people that are at the heart of what we do and to great organizations like CORE that support our crew. One hundred percent of CORE’s funds directly benefit children of restaurant employees who have been afflicted with life-threating conditions.”

“We are so grateful to the Taco John’s team for their generous donation to our CORE family members,” said Lauren LaViola, executive director of CORE. “Donations like theirs help us provide for our food and beverage service families experiencing loss, illness and other life-changing circumstances, and help us get closer to our goal of helping even more families across all 50 states in 2018.”

The total amount that Taco John’s International, Inc. gave exceeded $150,000.00. – Feb. 28, 2018 Taco John’s International, Inc. press release

Southwest Gas (Las Vegas, Nevada) – The utility will pass along tax cut savings to customers:

Southwest Gas said its rate request incorporates reduced tax liability associated with the 2017 federal tax overhaul, which cut the corporate tax rate to 21%, among other changes. The tax cuts partially offset the rate increase the utility is requesting, the company said. June 1, 2018 SNL Financial article excerpt

Walmart – Nevadans employed at 42 Walmart stores received tax reform bonuses, wage increases, and expanded maternity and parental leave. Walmart employees who adopt children will be given $5,000 to help cover expenses.

Apple (Four Apple store locations in Las Vegas and one in Reno) -- $2,500 employee bonuses in the form of restricted stock units; Nationwide, $30 billion in additional capital expenditures over five years; 20,000 new employees will be hired; increased support of coding education and science, technology, engineering, arts and math; increased support for U.S. manufacturing. 

Home Depot -- 21 locations in Nevada, bonuses for all hourly employees, up to $1,000:

"This incremental investment in our associates was made possible by the new tax reform bill." -- Jan. 25, 2018 Home Depot press release

Best Buy -- Thirteen locations in Nevada; $1,000 bonuses for full-time employees; $500 bonuses for part-time employees.

CarMax (Locations in Reno and Las Vegas) – $250-$1,500 bonuses depending on length of service:

“The nation’s largest retailer of used cars, announced plans to provide one-time bonuses to most hourly and commissioned full-time and part-time associates as a result of the recently passed Tax Cuts and Jobs Act of 2017. Bonus amounts will vary from $200 up to $1,500 based on length of service with the company.” – Feb 23. 2018, EPR Retail News article excerpt

Ryder (Four locations in Nevada) -- Tax reform bonuses for employees.

Lowes -- 2,000 employees at 17 stores in Nevada; bonuses of up to $1,000 based on length of service; expanded benefits and maternity/parental leave; $5,000 of adoption assistance. 

Starbucks Coffee Company (253 locations in Nevada) – $500 stock grants for all retail employees, $2,000 stock grants for store managers, and varying plan and support center employee stock grants. Nationally, 8,000 new retail jobs; an additional wage increase this year, totaling approximately $120 million in wage increases, increased sick time benefits and parental leave. 

U-Haul (Multiple locations in Nevada) – $1,200 bonuses for full-time employees, $500 for part-time employees.

T.J. Maxx – (9 locations in Nevada) – Tax reform bonuses, retirement plan contributions, parental leave, enhanced vacation benefits, and increased charitable donations:

The 2017 Tax Act benefited the Company in the fourth quarter and full year Fiscal 2018. The Company expects to continue to benefit from the 2017 Tax Act going forward, primarily due to the lower U.S. corporate income tax rate. As a result of the estimated cash benefit related to the 2017 Tax Act, the Company is taking the following actions:

Associates

  • A one-time, discretionary bonus to eligible, non-bonus-plan Associates, globally
  • An incremental contribution to the Company’s defined contribution retirement plans for eligible Associates in the U.S. and internationally
  • Instituting paid parental leave for eligible Associates in the U.S.
  • Enhancing vacation benefits for certain U.S. Associates

Communities

Made meaningful contributions to TJX’s charitable foundations around the world to further support TJX’s charitable giving – Feb. 28, 2018 The TJX Companies Inc. press release excerpt

Cintas (Multiple locations in Nevada) -- $1,000 bonuses for employees of at least a year, $500 for employees of less than a year.

Comcast (Multiple locations in Nevada) -- $1,000 bonuses; nationally, at least $50 billion investment in infrastructure in next five years.

Chipotle Mexican Grill (Multiple locations in Nevada) – Bonuses ranging from $250 to $1,000; increased employee benefits; nationally, $50 million investment in existing restaurants.

McDonald’s (150+ locations in Nevada) – Increased tuition investments which will provide educational program access for 400,000 U.S. employees. $2,500 per year (up from $700) for crew working 15 hours a week, $3,000 (up from $1,050) for managers, and more:

McDonald’s Corporation today announced it will allocate $150 million over five years to its global Archways to Opportunity education program. This investment will provide almost 400,000 U.S. restaurant employees with accessibility to the program as the company will also lower eligibility requirements from nine months to 90 days of employment and drop weekly shift minimums from 20 hours to 15 hours. Additionally, McDonald’s will also extend some education benefits to restaurant employees’ family members. These enhancements underscore McDonald’s and its independent franchisees’ commitment to providing jobs that fit around the lives of restaurant employees so they may pursue their education and career ambitions.

The Archways to Opportunity program provides eligible U.S. employees an opportunity to earn a high school diploma, receive upfront college tuition assistance, access free education advising services and learn English as a second language.  

“Our commitment to education reinforces our ongoing support of the people who play a crucial role in our journey to build a better McDonald’s,” said Steve Easterbrook, McDonald’s President and CEO. “By offering restaurant employees more opportunities to further their education and pursue their career aspirations, we are helping them find their full potential, whether that’s at McDonald’s or elsewhere.”

Accelerated by changes in the U.S. tax law, McDonald’s increased investment in the Archways to Opportunity Program includes:

  • Increased Tuition Investment:
    • Crew: Eligible crew will have access to $2,500/year, up from $700/year.
    • Managers: Eligible Managers will have access to $3,000/year, up from $1,050.
    • Participants have a choice for how they apply this funding – whether it be to a community college, four year university or trade school. There is no lifetime cap on tuition assistance – restaurant employees will be able to pursue their education and career passions at their own pace. The new tuition assistance is effective May 1, 2018 and retroactive to January 1, 2018.
  • Lowered Eligibility Requirements: Increase access to the program by lowering eligibility requirements from nine months to 90 days of employment. In addition, dropping from 20 hours minimum to 15 hours minimum (roughly two full time shifts) per week to enable restaurant employees more time to focus on studies.
  • Extended Services to Families: Extension of Career Online High School and College Advisory services to restaurant employees’ family members through existing educational partners Cengage and Council for Adult and Experiential Learning (CAEL).
  • Additional Resources: Career exploration resources for eligible restaurant employees to be available later this year.
  • Creation of an International Education Fund: Grants to provide local initiatives and incentives in global markets to further education advancement programs.
     

“Since its inception, Archways to Opportunity was meant to match the ambition and drive of restaurant crew with the means and network to help them find success on their own terms,” said David Fairhurst, McDonald’s Chief People Officer. “By tripling tuition assistance, adding education benefits for family members and lowering eligibility requirements to the equivalent of a summer job, we are sending a signal that if you come work at your local McDonald’s, we’ll invest in your future.”

After launching in the U.S. in 2015, Archways to Opportunity has increased access to education for over 24,000 people and awarded over $21 million in high school and college tuition assistance. Graduates have received college degrees in Business Administration, Human Resources, Communications, Accounting, Microbiology and more. – March 29, 2018 McDonald’s Corporation press release excerpt

Western Alliance Bancorporation (16 branch locations in Nevada) – Base pay raise of 7.5 percent for the lowest-paid 50% of employees; increased bonuses; increased 401(k) match; etc.

Western Alliance, which has $20 billion in assets, plans to increase the base pay of the lowest-paid 50% of employees by 7.5% once the bill becomes law, the bank’s chief executive Robert Sarver said in an interview Wednesday. Bonuses will also go up, bringing the total pay increase for this group of employees to around 10%. These employees generally make $75,000 or less.

Western Alliance, which operates units including Bank of Nevada and Torrey Pines Bank, also plans to increase its 401(k) match from 50% of an employee’s contribution up to 6% of pay to 75% of an employee’s contribution up to that same level. The bank, which has about 1,700 total employees, also plans to improve maternity leave benefits, though Mr. Sarver declined to detail those changes. – Wall Street Journal article excerpt

Bank of America (66 locations in Nevada) -- $1,000 bonuses for non-executive employees.

Wynn Resorts (Las Vegas, Nevada) -- Employee bonuses.

Wells Fargo – 181 bank locations in Nevada; raised base wage from $13.50 to $15.00 per hour; nationally, $400 million in charitable donations for 2018; $100 million increased capital investment over the next three years.

Note: If you know of other Nevada examples, please email John Kartch at jkartch@atr.org

The running nationwide list of companies can be found at www.atr.org/list

More from Americans for Tax Reform


Pence Calls Out Biden Threats to Raise Taxes

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Posted by John Kartch on Thursday, July 2nd, 2020, 4:16 PM PERMALINK

Today on CNBC's Squawk on the Street Vice President Mike Pence noted that Joe Biden's plan to raise taxes and increase regulations are a major long-term threat to the economy:

"I think the only long-term threat to a vibrant, American economy is the kind of policies that Joe Biden and the democrats are advocating. where you have a president who built this economy on a foundation of tax cuts and rolling back red tape and unleashing American energy Joe Biden you've got -- even this week in the midst of a challenging times in the life of our economy, Joe Biden said he's going to raise taxes in America."

Pence is absolutely right. Joe Biden has promised that if he is elected, he will repeal the Trump tax cuts. Such repeal which will raise taxes on most Americans.

"Guess what, if you elect me, your taxes are going to be raised, not cut," Biden told an individual who benefited from the Tax Cuts and Jobs Act during a rally in South Carolina.

If Biden repeals the TCJA, as he has said countless times, Americans will be stuck paying significantly higher taxes:

  • Every household claiming the child tax credit will see their child tax credit cut in half.
  • A family of four earning the median income of $73,000 would see a $2,000 tax increase each year.
  • A single parent (with one child) making $41,000 would see a $1,300 tax increase each year.
  • Under Biden the USA would have the highest corporate income tax rate in the developed world, higher than China (25 percent), the United Kingdom (19 percent), Canada (26.8 percent), and Ireland (12.5 percent). 
  • Millions of low and middle-income households would be stuck paying the Obamacare individual mandate tax.
  • Small employers will face tax increases due to the increase in marginal income tax rates and the repeal of the TCJA 20% deduction for small business income.
  • Taxes would rise in every state and every congressional district.
  • The Death Tax would ensnare more families and businesses.
  • Utility bills would go up in all 50 states as a direct result of the corporate income tax increase. 
  • Every household claiming the standard deduction will see their standard deduction cut in half, adding to their tax complexity as they are forced to itemize their deductions and deal with the shoebox full of receipts on top of the refrigerator.
     

Even left-leaning media outlets have acknowledged the fact that the Trump tax cuts have helped middle income households:


On tax policy, Biden has a history of lying to the American people. He lied when he ran for Vice President in 2008 when he repeatedly said he would not support any form of any tax that imposed even “one single penny” of tax increase on anyone making less than $250,000. Biden shattered that promise upon taking office.

To stay up-to-date on Biden's tax hikes, visit ATR.Org/HighTaxJoe


How the Trump Republican Tax Cuts Are Helping Idaho

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Posted by John Kartch on Thursday, July 2nd, 2020, 4:10 PM PERMALINK

Idaho is benefiting greatly from the Tax Cuts and Jobs Act enacted by congressional Republicans and President Trump:

140,670 Idaho households are benefiting from the TCJA’s doubling of the child tax credit.

Every income group in every Idaho congressional district received a tax cut. Nationwide, a typical family of four received a $2,000 annual tax cut and a single parent with one child received a $1,300 annual tax cut.

539,500 Idaho households are benefiting from the TCJA’s doubling of the standard deduction. Thanks to the tax cuts, nine out of ten households take the standard deduction which provides tax relief and simplifies the tax filing process.

31,460 Idaho households are benefiting from the TCJA’s elimination of the Obamacare individual mandate tax. Most households hit with this tax made less than $50,000 per year.

Lower utility bills: As a direct result of the TCJA’s corporate tax rate cut, Idaho residents are saving money on utility bills. Lower electric, water, and gas bills help households and small businesses operating on tight margins. For example, Idaho Power, Intermountain Gas, Suez Water Idaho Inc., and Avista (see below) all passed along tax reform savings to their customers.

Thanks to the tax cuts, Idaho businesses of all sizes are hiring, expanding, raising pay and increasing employee benefits:

Telaya Winery (Boise, Idaho) -- The winery hired more employees and improved its marketing because of the Tax Cuts and Jobs Act.

At Boise’s Telaya Winery, grapes are sorted by hand onto a conveyor belt heading to the destemmer. Owner Earl Sullivan said the big bunches of fruit need to be pulled apart or they can explode in the machine.

“It’s a product of the freeze we just had a couple days ago,” he said, “We’re just having to work a little bit harder to make sure the fruit is as clean as we want it.”

 Sullivan is also the chair of the Idaho Wine Commission Board. Today’s grapes are processed and barreled for aging, but won’t be bottled and taxed as wine for two years. That delay can make tax law changes difficult to prepare for. 

 “We spend several hundred thousand dollars per year on production for two years down the road, so the most likely impact in the short term would be a reduction in production,” Sullivan said. He also noted the winery has beefed up its hiring and marketing in the last two years while the tax rates have been lower. -- Oct. 22, 2019 Boise State Public Radio

Melaleuca (Idaho Falls, Idaho) – All 2,000 employees received a $100 bonus for each year they have worked at the company:

“We’re going to be able to have quite a few substantial dollars after taxes,”[CEO Frank] VanderSloot said. “I suspect we’re one of the largest taxpayers in the state, so we’re going to have some more dollars to spread around. That money should go to the people who built the company.” – Dec. 21, 2017 Associated Press article excerpt

Colling Pest Solutions (Idaho Falls) -- Tax reform bonuses for employees:

Representatives from an Idaho Falls-based pest control and lawn care company are traveling to Washington, D.C., this week to meet with President Donald Trump after the company gave its employees bonuses after Congress enacted tax cuts.

Colling Pest Solutions is sending six employees, including its owner, to the “American Workers for Tax Reform” event scheduled for Thursday afternoon at the White House.

The event recognizes small businesses throughout the country that have used tax cuts to benefit employees, whether through salary hikes or additional benefits. The company is paying for the employee’s travel to the event.

Over the past year, employees at Colling Pest Solutions have seen an 8 percent quarterly bonus due to anticipated benefits from recent tax cut legislation. Eligible employees also can receive child care assistance, where the company will pay 50 percent of costs for parents at a local child care center.

Tim Colling, owner of Colling Pest Solutions, believes it is his duty as an employer to pay added income from the business forward to his employees in order to maintain a competitive workforce. And he proposes other small businesses follow his company’s lead. -- April 9, 2018 Post-Register article excerpt

Ball Ventures (Idaho Falls, Idaho) - $100 bonuses for every year of employment.

DePatco, Inc. (St. Anthony, Idaho) - Tax reform bonuses for employees.

Mother Earth Brewing Company (Nampa, Idaho) -- The Tax Cuts and Jobs Act allowed the brewery to almost double their production, buy new equipment, and hire new employees:

Even the largest Idaho craft brewery has a fraction of that productivity. Mother Earth's Idaho brewery (the company has a second location in California) produced 10,000 barrels in 2018, the first year of the tax cut. This year, the brewery expects to produce 18,000 barrels, according to owner Daniel Love.

 ….

Mother Earth hired two new employees and bought two Unitanks, stainless steel fermenters, with the tax savings. -- Oct. 19, 2019 Idaho Press Article

Wigle Distillery (Pittsburgh, Pennsylvania) -- The distillery was able to save houndreds of thousands of dollars because of the Tax Cuts and Jobs Act, and was also able to hire three new distillers:

The Craft Beverage Modernization and Tax Reform Act reduced the excise tax rate on distilled spirits from $13.50 to $2.70 for the first 100,000 proof gallons per year, with smaller cuts to taxes on beer and wine.

“The tax relief, it’s well into the six figures for us,” said Meredith Meyer Grelli, co-owner at Wigle Distillery and Threadbare Cider & Mead in Pittsburgh. “Every dollar goes back into the business. And I think every small-business owner in the world can relate to that.”

Pittsburgh’s Wigle Whiskey Distillery produces a variety of small-batch whiskeys at its Strip District distillery. The 2017 tax relief allowed the business to immediately hire three distillers, Grelli said.

“It takes a year to train a new distiller, for them to be fully independent, safely operating a still,” she said. “So for every new distiller we bring on, we’re investing a year into them. If this tax relief went away and our taxes did go up 400%, we couldn’t grow our labor force in the same way. And we’d have to be much more careful about how we hired, because it is such a risk.” -- February 1, 2020 Pittsburgh Tribune-Review article

Idaho Power (Boise, Idaho) – The utility requested to pass along tax reform savings to customers:

Idaho Power has filed a settlement agreement with the Idaho Public Utilities Commission (IPUC) that, if approved, will result in reduced rates for customers within the company’s Idaho service area in 2018 stemming from recent federal and Idaho state tax rate changes.

According to an agreement between Idaho Power, IPUC Staff and the Industrial Customers of Idaho Power, customers will see a total benefit associated with reduced tax expense of $33.9 million, provided through: 1) a base rate reduction of approximately $18.7 million, 2) an additional $7.8 million decrease that will be provided through the 2018 Power Cost Adjustment mechanism, and 3) a non-cash annual benefit of $7.4 million in the form of an offset to other deferred costs.

If the proposal is approved by the IPUC as filed, the typical Idaho residential customer using 950 kilowatt-hours (kWh) of energy per month will see a monthly bill decrease of $2.15, beginning June 1. – April 13, 2018, Idaho Power Press Release

Intermountain Gas (Idaho Falls, Idaho) - The utility will pass along tax cut savings to customers:

State regulators have approved a rate decrease for customers of Intermountain Gas Company, to reflect the benefits of federal and state tax cuts.

The decision returns approximately $5.1 million to customers.

That is a 2.62-percent decrease for residential customers. It took effect June 1. - June 22, 2018 East Idaho News Excerpt

Suez Water Idaho Inc. (Boise, Idaho) - The utility will pass along tax cut savings to customers:

“A main feature of the tax law that took effect Jan. 1 was to reduce the federal corporate tax rate from 35 percent to 21 percent,” noted one such release, from the Idaho Public Utilities Commission. “Soon after the federal law took effect, Idaho Governor C.L. ‘Butch’ Otter signed into law House Bill 463, reducing the state’s corporate tax rate from 7.4 percent to 6.925 percent. Since a utility’s tax expenses are a factor in determining customer rates, the Commission directed all regulated utilities in the state with more than 200 customers to report the financial benefits of the law and how it planned to pass those benefits along to customers.”

Utility rate reductions are as follows:

Avista – 5.3 percent for electricity and 6.1 percent for natural gas

Idaho Power – 7.06 percent

Intermountain Gas – 2.62 percent

Rocky Mountain Power – 1 percent

Suez Water Idaho Inc. – 5.6 percent - June 19, 2018 Idaho Business Review Excerpt

AT&T -- $1,000 bonuses for 937 Idaho employees. Nationwide, $1 billion increase in capital expenditures:

Today, Congress approved legislation representing the first comprehensive tax reform in a generation. The President is expected to sign the bill in the coming days.

Once tax reform is signed into law, AT&T* plans to invest an additional $1 billion in the United States in 2018 and pay a special $1,000 bonus to more than 200,000 AT&T U.S. employees — all union-represented, non-management and front-line managers. If the President signs the bill before Christmas, employees will receive the bonus over the holidays.

“Congress, working closely with the President, took a monumental step to bring taxes paid by U.S. businesses in line with the rest of the industrialized world,” said Randall Stephenson, AT&T chairman and CEO. “This tax reform will drive economic growth and create good-paying jobs. In fact, we will increase our U.S. investment and pay a special bonus to our U.S. employees.”

Since 2012, AT&T has invested more in the United States than any other public company. Every $1 billion in capital invested in the telecom industry creates about 7,000 jobs for American workers, research shows. -- Dec. 20, 2017 AT&T Inc. press release

Avista – The utility will pass federal tax reform savings to customers:

Avista customers could collectively see a $50 million to $60 million annual benefit from federal tax reform, utility officials said Wednesday.

The savings on individual customers’ bills, however, won’t be known until later this year.

Corporate tax rates for the Spokane-based utility dropped from 35 percent to 21 percent effective Jan. 1. Savings from the lower taxes will get passed on to Avista’s utility customers in Washington, Idaho and Oregon, said Mark Thies, senior vice president and chief financial officer.

--

The anticipated $50 million to $60 million in annual savings is the result of the lower federal tax rate and changes to Avista's deferred tax liability related to depreciation costs. As the result of the depreciation changes, about $442 million will be returned to Avista customers over 35 years, Thies said. Feb. 21 2018, The Spokesman Review article excerpt

Walmart – Idaho employees at 26 Walmart stores received tax reform bonuses, wage increases, and expanded maternity and parental leave. Walmart employees who adopt children will be given $5,000 to help cover expenses.

Home Depot -- 11 locations in Idaho: Idaho Falls, Meridian, Chubbock, Twin Falls, Coeur d'Alene, Eagle, Lewiston, Nampa, Ponderay, and two in Boise -- Bonuses for all hourly employees, up to $1,000.

Lowe's --1,000+ employees at eight store locations in Idaho: Idaho Falls, Boise, Coeur d'Alene, Twin Falls, Nampa, Pocatello, and two in Meridian -- Employees will receive bonuses of up to $1,000 based on length of service, for 260,000 employees; expanded benefits and maternity/parental leave; $5,000 of adoption assistance.

Ryder (Boise, Idaho) – Tax reform bonuses for employees.

Best Buy -- Six locations in Idaho: Nampa, Idaho Falls, Twin Falls, Coeur d'Alene, and two in Boise -- $1,000 bonuses for full-time employees; $500 bonuses for part-time employees. 

Cintas (Locations in Twin Falls and Nampa) -- $1,000 bonuses for employees of at least a year, $500 for employees of less than a year.

Taco John’s (Grangeville, Lewiston, Meridian, Mountain Home, Twin Falls): All full-time and part-time crew members received a $200 after-tax bonus:

Taco John’s International, Inc. announced today that in response to the 2018 Tax Cut and Jobs Act, the company gave part of its projected tax savings to its restaurant crews, general managers, corporate staff and CORE (Children of Restaurant Employees).

On Friday, Feb. 23, Taco John’s International, Inc.’s employees received a one-time bonus, as follows:

  • Every restaurant crew member - full-time and part-time - received $200 (after taxes);
  • General managers and employees at the Taco John’s Franchisee Support Center in Cheyenne received $1,000 each; and,
  • The Executive Council of Taco John’s International, Inc. (Vice Presidents and above) donated their $1,000 bonuses (a total of $10,000) to CORE, a national not-for-profit organization that grants support to children of food and beverage service employees who are navigating life-altering circumstances.
     

“At Taco John’s International, our team is our family, so sharing the financial benefits that were a result of the recent tax reform legislation only makes sense,” said Jim Creel, CEO of Taco John’s International, Inc. “We encourage other restaurant brands to follow our example and give a portion of their savings to the people that are at the heart of what we do and to great organizations like CORE that support our crew. One hundred percent of CORE’s funds directly benefit children of restaurant employees who have been afflicted with life-threating conditions.”

“We are so grateful to the Taco John’s team for their generous donation to our CORE family members,” said Lauren LaViola, executive director of CORE. “Donations like theirs help us provide for our food and beverage service families experiencing loss, illness and other life-changing circumstances, and help us get closer to our goal of helping even more families across all 50 states in 2018.”

The total amount that Taco John’s International, Inc. gave exceeded $150,000.00. – Feb. 28, 2018 Taco John’s International, Inc. press release

Waste Management Inc. (Multiple locations in Idaho) -- $2,000 bonuses:

In light of the meaningful contributions of its employees and the new U.S. corporate tax structure, the company will distribute US $2,000 in 2018 to every North American employee not on a bonus or sales incentive plan; that includes hourly and other employees.

“We are about to get a tax benefit as our U.S. corporate tax rate goes from 35 percent to 21 percent. In considering how to best spend that, we wanted to find a way to help grow our economy, which in turn, will help grow our business, and give some of the tax savings back to those hardworking employees who do not get the opportunity to participate in our salaried incentive plans,” said Jim Fish, president and chief executive officer, Waste Management.

“So, we are offering each North American hourly full-time employee and salaried employee who does not participate in any sales incentive or bonus plan during 2018, a cash bonus of US $2,000 to show our appreciation to so many of our valued employees while growing our business and returning a good portion of the tax savings directly to the overall economy,” he continued. – Jan. 10 2018, Waste Management Inc. press release excerpt

Chipotle Mexican Grill (Chubbock, Nampa, Meridian, Twin Falls, Coeur d'Alene, and three in Boise) – Bonuses ranging from $250 to $1,000; increased employee benefits; $50 million investment in existing restaurants.

Comcast (Multiple locations in Idaho) -- $1,000 bonuses; nationwide, at least $50 billion investment in infrastructure in next five years.

Starbucks Coffee Company (67 locations in Idaho) – $500 stock grants for all retail employees, $2,000 stock grants for store managers, and varying plan and support center employee stock grants. Nationally, 8,000 new retail jobs; an additional wage increase this year, totaling approximately $120 million in wage increases, increased sick time benefits and parental leave.

T.J. Maxx – (Seven locations in Idaho: Boise, Coeur d'Alene, Idaho Falls, Lewiston, Nampa, Pocatello, Twin Falls) – Tax reform bonuses, retirement plan contributions, parental leave, enhanced vacation benefits, and increased charitable donations:

The 2017 Tax Act benefited the Company in the fourth quarter and full year Fiscal 2018. The Company expects to continue to benefit from the 2017 Tax Act going forward, primarily due to the lower U.S. corporate income tax rate. As a result of the estimated cash benefit related to the 2017 Tax Act, the Company is taking the following actions:

Associates

  • A one-time, discretionary bonus to eligible, non-bonus-plan Associates, globally
  • An incremental contribution to the Company’s defined contribution retirement plans for eligible Associates in the U.S. and internationally
  • Instituting paid parental leave for eligible Associates in the U.S.
  • Enhancing vacation benefits for certain U.S. Associates

Communities

Made meaningful contributions to TJX’s charitable foundations around the world to further support TJX’s charitable giving – Feb. 28, 2018 The TJX Companies Inc. press release excerpt

U-Haul (Multiple locations in Idaho) – $1,200 bonuses for full-time employees, $500 for part-time employees.

Dollar Tree, Inc. (Blackfoot, Boise, Burley, Caldwell, Chubbock, Coeur d'Alene, Eagle, Emmett, Idaho Falls, Jerome, Kuna, Lewiston, Meridian, Moscow, Mountain Home, Nampa, Oldtown, Payette, Pocatello, Ponderay, Post Falls, Rathdrum, Rexburg, Twin Falls) -- Increased base wages, enhanced benefits including maternity leave for qualifying employees and employee training, totaling $100 million nationwide.

Bank of America (Post Falls and Coeur d'Alene) -- $1,000 bonuses.

FedEx (Multiple locations in Idaho) – Accelerated and increased compensation; pension plan contributions:

FedEx Corporation is announcing three major programs today following the recently enacted U.S. Tax Cuts and Jobs Act:

  • Over $200 million in increased compensation, about two-thirds of which will go to hourly team members by advancing 2018 annual pay increases by six months to April 1st from the normal October date. The remainder will fund increases in performance- based incentive plans for salaried personnel.
  • A voluntary contribution of $1.5 billion to the FedEx pension plan to ensure it remains one of the best funded retirement programs in the country.
  • Investing $1.5 billion to significantly expand the FedEx Express Indianapolis hub over the next seven years. The Memphis SuperHub will also be modernized and enlarged in a major program the details of which will be announced later this spring.

FedEx believes the Tax Cuts and Jobs Act will likely increase GDP and investment in the United States. -- Jan. 26 2018, FedEx press release

Gardner Company (Boise, Idaho) - Tax reform bonuses for employees.

GetFoundFirst.com (Idaho) - Tax reform bonuses for employees.

EastIdahoNews.com (Idaho Falls, Idaho) - Tax reform bonuses for employees.

Elite Roofing Systems (Idaho Falls, Idaho) - Tax reform bonuses for employees.

InUnison Inc. (Idaho Falls, Idaho) - Tax reform bonuses for employees. 

Elite Clinical Trials, Inc. (Blackfoot, Idaho) - Tax reform bonuses for employees.

Willow Creek Woodworks (Idaho Falls, Idaho) - Tax reform bonuses for employees.

Eagle Ridge Ranch (Island Park, Idaho) - Tax reform bonuses for employees.

McDonald’s (60+ locations in Idaho) – Increased tuition investments which will provide educational program access for 400,000 U.S. employees. $2,500 per year (up from $700) for crew working 15 hours a week, $3,000 (up from $1,050) for managers, and more:

McDonald’s Corporation today announced it will allocate $150 million over five years to its global Archways to Opportunity education program. This investment will provide almost 400,000 U.S. restaurant employees with accessibility to the program as the company will also lower eligibility requirements from nine months to 90 days of employment and drop weekly shift minimums from 20 hours to 15 hours. Additionally, McDonald’s will also extend some education benefits to restaurant employees’ family members. These enhancements underscore McDonald’s and its independent franchisees’ commitment to providing jobs that fit around the lives of restaurant employees so they may pursue their education and career ambitions.

The Archways to Opportunity program provides eligible U.S. employees an opportunity to earn a high school diploma, receive upfront college tuition assistance, access free education advising services and learn English as a second language.  

“Our commitment to education reinforces our ongoing support of the people who play a crucial role in our journey to build a better McDonald’s,” said Steve Easterbrook, McDonald’s President and CEO. “By offering restaurant employees more opportunities to further their education and pursue their career aspirations, we are helping them find their full potential, whether that’s at McDonald’s or elsewhere.”

Accelerated by changes in the U.S. tax law, McDonald’s increased investment in the Archways to Opportunity Program includes:

  • Increased Tuition Investment:
    • Crew: Eligible crew will have access to $2,500/year, up from $700/year.
    • Managers: Eligible Managers will have access to $3,000/year, up from $1,050.
    • Participants have a choice for how they apply this funding – whether it be to a community college, four year university or trade school. There is no lifetime cap on tuition assistance – restaurant employees will be able to pursue their education and career passions at their own pace. The new tuition assistance is effective May 1, 2018 and retroactive to January 1, 2018.
  • Lowered Eligibility Requirements: Increase access to the program by lowering eligibility requirements from nine months to 90 days of employment. In addition, dropping from 20 hours minimum to 15 hours minimum (roughly two full time shifts) per week to enable restaurant employees more time to focus on studies.
  • Extended Services to Families: Extension of Career Online High School and College Advisory services to restaurant employees’ family members through existing educational partners Cengage and Council for Adult and Experiential Learning (CAEL).
  • Additional Resources: Career exploration resources for eligible restaurant employees to be available later this year.
  • Creation of an International Education Fund: Grants to provide local initiatives and incentives in global markets to further education advancement programs.
     

“Since its inception, Archways to Opportunity was meant to match the ambition and drive of restaurant crew with the means and network to help them find success on their own terms,” said David Fairhurst, McDonald’s Chief People Officer. “By tripling tuition assistance, adding education benefits for family members and lowering eligibility requirements to the equivalent of a summer job, we are sending a signal that if you come work at your local McDonald’s, we’ll invest in your future.”

After launching in the U.S. in 2015, Archways to Opportunity has increased access to education for over 24,000 people and awarded over $21 million in high school and college tuition assistance. Graduates have received college degrees in Business Administration, Human Resources, Communications, Accounting, Microbiology and more. – March 29, 2018 McDonald’s Corporation press release excerpt 

Wells Fargo (76 locations in Idaho) - Raised base wage from $13.50 to $15.00 per hour; $400 million in charitable donations for 2018; $100 million increased capital investment over the next three years.

Note: If you know of other Idaho examples, please email John Kartch at jkartch@atr.org

The running nationwide list of companies can be found at www.atr.org/list

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How the Trump Republican Tax Cuts Are Helping South Dakota

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Posted by John Kartch on Thursday, July 2nd, 2020, 2:30 PM PERMALINK

South Dakota is benefiting greatly from the Tax Cuts and Jobs Act enacted by congressional Republicans and President Trump:

68,150 South Dakota households are benefiting from the TCJA’s doubling of the child tax credit.

Every income group in every South Dakota congressional district received a tax cut. Nationwide, a typical family of four received a $2,000 annual tax cut and a single parent with one child received a $1,300 annual tax cut.

342,900 South Dakota households are benefiting from the TCJA’s doubling of the standard deduction. Thanks to the tax cuts, nine out of ten households take the standard deduction which provides tax relief and simplifies the tax filing process.

11,190 South Dakota households are benefiting from the TCJA’s elimination of the Obamacare individual mandate tax. Most households hit with this tax made less than $50,000 per year.

Lower utility bills: As a direct result of the TCJA’s corporate tax rate cut, South Dakota residents are saving money on utility bills. Lower electric, water, and gas bills help households and small businesses operating on tight margins. For example, Black Hills Energy (see below) passed along tax reform savings to its customers.

Thanks to the tax cuts, South Dakota businesses of all sizes are hiring, expanding, raising pay and increasing employee benefits:

AaLadin Industries, Inc. (Elk Point, South Dakota) – Bonuses of $250 - $1,000 based on length of service; base wage raised; increased capital expenditures:

This 38 year old family owned manufacturer of high pressure cleaning equipment (AaLadin Cleaning Systems), accessories for the cleaning industry (Steel Eagle Inc.), and hunting and towing products (Rugged Gear, LLC) is giving its 80 plus employees bonuses ranging from $250 to $1000 based on time served at the company.  They are also going to be implementing a new starting wage policy effective March 1, 2018.  They are planning on spending somewhere between 1 and 2 million dollars on new equipment to enhance their 125,000 square foot facility.  Thank you President Trump for your vision for the future! – Jan. 31, 2018 statement of CEO/COB Patrick Wingen

Black Hills Energy (Rapid City, South Dakota) – The utility will pass along tax savings to customers:

"Black Hills Energy is currently reviewing the recently approved Tax Cuts and Jobs Act of 2017," spokeswoman Brandy Johnson said in an email. "We will work with utility regulators to develop a plan to provide customers the benefit of the corporate tax rate reduction."  –  Jan. 13, 2018 Lincoln Journal Star article excerpt

Great Western Bancorp, Inc. (Headquarters in Sioux Falls and 35+ branch locations in South Dakota) – base wage raised to $15; $500 or wage increase for 70% of workforce; doubling of grants to community investment program

Great Western Bancorp, Inc. (NYSE: GWB) the parent company of Great Western Bank (www.greatwesternbank.com), announced investments today in its employees and community reinvestment as a result of the tax reform package. The investments include:

  • Raising the minimum wage to $15;
  • A special one-time $500 bonus or wage increase for nearly 70% of its workforce;
  • Enhancements to employees’ health care offerings effective for the 2018 enrollment period; and
  • The doubling of its annual contribution to its Making Life Great Grants community reinvestment program.

“We want to kick off 2018 by investing in our people and communities,” said Ken Karels, Chairman, President and CEO of Great Western Bancorp, Inc.“We are proud of our people and their commitment to our mission to Make Life Great. We felt it was important to reward their hard work and dedication with this special bonus, the minimum wage hike and the health care enhancements.”

In addition to making investments in its people, Karels said the Company is planning to double its annual contribution to its hallmark community reinvestment program – Making Life Great Grants.

“The doubling of our commitment to our Making Life Great Grants program reflects a long-term expansion in our ability to invest in and revitalize our communities for years to come,” Karels continued. Giving back to the communities where we work and live is part of our culture and aligns with our mission to Make Life Great. It’s the right thing to do.”

The investments in people and community will take effect over the next several months. Jan. 10, 2018 Great Western Bancorp, Inc. press release

AT&T -- $1,000 bonuses to 195 South Dakota employeesNationwide, $1,000 bonuses for 200,000 employees and a $1 billion increase in capital expenditures:

Today, Congress approved legislation representing the first comprehensive tax reform in a generation. The President is expected to sign the bill in the coming days.

Once tax reform is signed into law, AT&T* plans to invest an additional $1 billion in the United States in 2018 and pay a special $1,000 bonus to more than 200,000 AT&T U.S. employees — all union-represented, non-management and front-line managers. If the President signs the bill before Christmas, employees will receive the bonus over the holidays.

“Congress, working closely with the President, took a monumental step to bring taxes paid by U.S. businesses in line with the rest of the industrialized world,” said Randall Stephenson, AT&T chairman and CEO. “This tax reform will drive economic growth and create good-paying jobs. In fact, we will increase our U.S. investment and pay a special bonus to our U.S. employees.”

Since 2012, AT&T has invested more in the United States than any other public company. Every $1 billion in capital invested in the telecom industry creates about 7,000 jobs for American workers, research shows. -- Dec. 20, 2017 AT&T Inc. press release

Walmart – South Dakota employees at 15 Walmart stores received tax reform bonuses, wage increases, and expanded maternity and parental leave. Walmart employees who adopt children will be given $5,000 to help cover expenses.

Home Depot -- Sioux Falls, South Dakota - Bonuses for all hourly employees, up to $1,000.

Lowe's -- 400 employees at three stores in South Dakota. Employees will receive bonuses of up to $1,000 based on length of service, for 260,000 employees; expanded benefits and maternity/parental leave; $5,000 of adoption assistance.

Ryder (Sioux Falls and Rapid City) – Tax reform bonuses to employees.

Best Buy -- Three locations in South Dakota; $1,000 bonuses for full-time employees; $500 bonuses for part-time employees. 

Cintas (Sioux Falls, South Dakota) -- $1,000 bonuses for employees of at least a year, $500 for employees of less than a year.

Taco John’s (36 locations in South Dakota): All full-time and part-time crew members received a $200 after-tax bonus:

Taco John’s International, Inc. announced today that in response to the 2018 Tax Cut and Jobs Act, the company gave part of its projected tax savings to its restaurant crews, general managers, corporate staff and CORE (Children of Restaurant Employees).

On Friday, Feb. 23, Taco John’s International, Inc.’s employees received a one-time bonus, as follows:

  • Every restaurant crew member - full-time and part-time - received $200 (after taxes);
  • General managers and employees at the Taco John’s Franchisee Support Center in Cheyenne received $1,000 each; and,
  • The Executive Council of Taco John’s International, Inc. (Vice Presidents and above) donated their $1,000 bonuses (a total of $10,000) to CORE, a national not-for-profit organization that grants support to children of food and beverage service employees who are navigating life-altering circumstances.
     

“At Taco John’s International, our team is our family, so sharing the financial benefits that were a result of the recent tax reform legislation only makes sense,” said Jim Creel, CEO of Taco John’s International, Inc. “We encourage other restaurant brands to follow our example and give a portion of their savings to the people that are at the heart of what we do and to great organizations like CORE that support our crew. One hundred percent of CORE’s funds directly benefit children of restaurant employees who have been afflicted with life-threating conditions.”

“We are so grateful to the Taco John’s team for their generous donation to our CORE family members,” said Lauren LaViola, executive director of CORE. “Donations like theirs help us provide for our food and beverage service families experiencing loss, illness and other life-changing circumstances, and help us get closer to our goal of helping even more families across all 50 states in 2018.”

The total amount that Taco John’s International, Inc. gave exceeded $150,000.00. – Feb. 28, 2018 Taco John’s International, Inc. press release

Chipotle Mexican Grill (Multiple locations in South Dakota) – Bonuses ranging from $250 to $1,000; increased employee benefits; $50 million investment in existing restaurants.

Comcast (Multiple locations in South Dakota) -- $1,000 bonuses; nationwide, at least $50 billion investment in infrastructure in next five years.

Starbucks Coffee Company (25 locations in South Dakota) –$500 stock grants for all retail employees, $2,000 stock grants for store managers, and varying plan and support center employee stock grants. Nationally, 8,000 new retail jobs; an additional wage increase this year, totaling approximately $120 million in wage increases, increased sick time benefits and parental leave.

T.J. Maxx – (Locations in Sioux Falls and Rapid City) – Tax reform bonuses, retirement plan contributions, parental leave, enhanced vacation benefits, and increased charitable donations:

The 2017 Tax Act benefited the Company in the fourth quarter and full year Fiscal 2018. The Company expects to continue to benefit from the 2017 Tax Act going forward, primarily due to the lower U.S. corporate income tax rate. As a result of the estimated cash benefit related to the 2017 Tax Act, the Company is taking the following actions:

Associates

  • A one-time, discretionary bonus to eligible, non-bonus-plan Associates, globally
  • An incremental contribution to the Company’s defined contribution retirement plans for eligible Associates in the U.S. and internationally
  • Instituting paid parental leave for eligible Associates in the U.S.
  • Enhancing vacation benefits for certain U.S. Associates

Communities

Made meaningful contributions to TJX’s charitable foundations around the world to further support TJX’s charitable giving – Feb. 28, 2018 The TJX Companies Inc. press release excerpt

U-Haul (Multiple locations in South Dakota) – $1,200 bonuses for full-time employees, $500 for part-time employees.

FedEx (Multiple locations in South Dakota) – Accelerated and increased compensation; pension plan contributions:

FedEx Corporation is announcing three major programs today following the recently enacted U.S. Tax Cuts and Jobs Act:

  • Over $200 million in increased compensation, about two-thirds of which will go to hourly team members by advancing 2018 annual pay increases by six months to April 1st from the normal October date. The remainder will fund increases in performance- based incentive plans for salaried personnel.
  • A voluntary contribution of $1.5 billion to the FedEx pension plan to ensure it remains one of the best funded retirement programs in the country.
  • Investing $1.5 billion to significantly expand the FedEx Express Indianapolis hub over the next seven years. The Memphis SuperHub will also be modernized and enlarged in a major program the details of which will be announced later this spring.

FedEx believes the Tax Cuts and Jobs Act will likely increase GDP and investment in the United States. -- Jan. 26 2018, FedEx press release

Waste Management Inc. (Multiple locations in South Dakota) -- $2,000 bonuses:

In light of the meaningful contributions of its employees and the new U.S. corporate tax structure, the company will distribute US $2,000 in 2018 to every North American employee not on a bonus or sales incentive plan; that includes hourly and other employees.

“We are about to get a tax benefit as our U.S. corporate tax rate goes from 35 percent to 21 percent. In considering how to best spend that, we wanted to find a way to help grow our economy, which in turn, will help grow our business, and give some of the tax savings back to those hardworking employees who do not get the opportunity to participate in our salaried incentive plans,” said Jim Fish, president and chief executive officer, Waste Management.

“So, we are offering each North American hourly full-time employee and salaried employee who does not participate in any sales incentive or bonus plan during 2018, a cash bonus of US $2,000 to show our appreciation to so many of our valued employees while growing our business and returning a good portion of the tax savings directly to the overall economy,” he continued. – Jan. 10 2018, Waste Management Inc. press release excerpt

McDonald’s (35+ locations in South Dakota) – Increased tuition investments which will provide educational program access for 400,000 U.S. employees. $2,500 per year (up from $700) for crew working 15 hours a week, $3,000 (up from $1,050) for managers, and more:

McDonald’s Corporation today announced it will allocate $150 million over five years to its global Archways to Opportunity education program. This investment will provide almost 400,000 U.S. restaurant employees with accessibility to the program as the company will also lower eligibility requirements from nine months to 90 days of employment and drop weekly shift minimums from 20 hours to 15 hours. Additionally, McDonald’s will also extend some education benefits to restaurant employees’ family members. These enhancements underscore McDonald’s and its independent franchisees’ commitment to providing jobs that fit around the lives of restaurant employees so they may pursue their education and career ambitions.

The Archways to Opportunity program provides eligible U.S. employees an opportunity to earn a high school diploma, receive upfront college tuition assistance, access free education advising services and learn English as a second language.  

“Our commitment to education reinforces our ongoing support of the people who play a crucial role in our journey to build a better McDonald’s,” said Steve Easterbrook, McDonald’s President and CEO. “By offering restaurant employees more opportunities to further their education and pursue their career aspirations, we are helping them find their full potential, whether that’s at McDonald’s or elsewhere.”

Accelerated by changes in the U.S. tax law, McDonald’s increased investment in the Archways to Opportunity Program includes:

  • Increased Tuition Investment:
    • Crew: Eligible crew will have access to $2,500/year, up from $700/year.
    • Managers: Eligible Managers will have access to $3,000/year, up from $1,050.
    • Participants have a choice for how they apply this funding – whether it be to a community college, four year university or trade school. There is no lifetime cap on tuition assistance – restaurant employees will be able to pursue their education and career passions at their own pace. The new tuition assistance is effective May 1, 2018 and retroactive to January 1, 2018.
  • Lowered Eligibility Requirements: Increase access to the program by lowering eligibility requirements from nine months to 90 days of employment. In addition, dropping from 20 hours minimum to 15 hours minimum (roughly two full time shifts) per week to enable restaurant employees more time to focus on studies.
  • Extended Services to Families: Extension of Career Online High School and College Advisory services to restaurant employees’ family members through existing educational partners Cengage and Council for Adult and Experiential Learning (CAEL).
  • Additional Resources: Career exploration resources for eligible restaurant employees to be available later this year.
  • Creation of an International Education Fund: Grants to provide local initiatives and incentives in global markets to further education advancement programs.
     

“Since its inception, Archways to Opportunity was meant to match the ambition and drive of restaurant crew with the means and network to help them find success on their own terms,” said David Fairhurst, McDonald’s Chief People Officer. “By tripling tuition assistance, adding education benefits for family members and lowering eligibility requirements to the equivalent of a summer job, we are sending a signal that if you come work at your local McDonald’s, we’ll invest in your future.”

After launching in the U.S. in 2015, Archways to Opportunity has increased access to education for over 24,000 people and awarded over $21 million in high school and college tuition assistance. Graduates have received college degrees in Business Administration, Human Resources, Communications, Accounting, Microbiology and more. – March 29, 2018 McDonald’s Corporation press release excerpt 

Wells Fargo (41 locations in South Dakota) - Raised base wage from $13.50 to $15.00 per hour; $400 million in charitable donations for 2018; $100 million increased capital investment over the next three years.

Note: If you know of other South Dakota examples, please email John Kartch at jkartch@atr.org

The running nationwide list of companies can be found at www.atr.org/list

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How the Trump Republican Tax Cuts Are Helping Massachusetts

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Posted by John Kartch on Thursday, July 2nd, 2020, 12:30 PM PERMALINK

Massachusetts is benefiting greatly from the Tax Cuts and Jobs Act enacted by congressional Republicans and President Trump:

397,860 Massachusetts households are benefiting from the TCJA’s doubling of the child tax credit.

Every income group in every Massachusetts congressional district received a tax cut. Nationwide, a typical family of four received a $2,000 annual tax cut and a single parent with one child received a $1,300 annual tax cut.

2,150,760 Massachusetts households are benefiting from the TCJA’s doubling of the standard deduction. Thanks to the tax cuts, nine out of ten households take the standard deduction which provides tax relief and simplifies the tax filing process.

89,050 Massachusetts households are benefiting from the TCJA’s elimination of the Obamacare individual mandate tax. Most households hit with this tax made less than $50,000 per year.

Lower utility bills: As a direct result of the TCJA’s corporate tax rate cut, Massachusetts residents are saving money on utility bills. Lower electric, water, and gas bills help households and small businesses operating on tight margins. For example, Unitil, National Grid, and Eversource Energy (see below) all passed along tax reform savings to their customers. 

Thanks to the tax cuts, Massachusetts businesses of all sizes are hiring, expanding, raising pay and increasing employee benefits:

Pan Am Systems, Inc. (North Billerica, Massachusetts) -- $1,100 tax reform bonuses for 719 employees.

Pan Am Systems, Inc. is a diversified holding company. Its subsidiaries include Pan Am Railways – the nation’s largest regional rail carrier by mileage operating in five states; Perma Treat Corporation – a wood products manufacturer, including railroad ties, and Pan Am Brands, a trademark licensing company.

In an effort to highlight the benefits of the landmark Tax Cuts and Jobs Act (“TCJA”), Pan Am Systems, Inc. is pleased to announce that it will be issuing a one-time bonus of $1,100.00 to each employee of the company and its subsidiaries, effective today. This bonus is intended to; (a) acknowledge the importance of our employees; and (b) provide those employees with additional compensation to use as they elect.

As noted by the President, the TCJA is intended to make resources available for investment by businesses that will have downstream effects of expanding and creating wealth among all citizens. Pan Am shares this goal and is committed to future capital investment to foster growth of the company. Pan Am strongly believes that programs such as the TCJA and the 45G tax credit, supported by continued reduction in overly burdensome regulations, provide substantial incentives for investment in America’s growth. – May 23, 2018 Pan Am Systems, Inc. press release

Pentucket Bank (Haverhill, Massachusetts) – $500 bonuses, increased base wages, increased additional educational opportunities through a University of Pentucket Bank program.

Suffolk Construction (Boston, Massachusetts) - Investing in new technology and data analytics:

Boston’s Suffolk Construction Co. will take much of the savings from the tax cuts and invest it in the company’s technology and data analytics, a growing area of focus for the $3.5 billion business, CEO John Fish said. The firm is one of the largest privately owned companies in Massachusetts. As of last year, it had nearly 1,000 employees in the state. On the topic of one-time bonuses for employees, Fish told the Business Journal that “to give a $1,000 bonus, that’s a traditional response to a nontraditional opportunity. We have an opportunity now to invest in our future.” - January 22, 2018, Boston Business Journal article excerpt

1A Auto, Inc. (Westford, Massachusetts) -- Bonuses for all full-time employees:

Massachusetts based online auto parts retailer 1A Auto announced across the board cash bonuses for all full-time employees. CEO Rick Green says that the decision was based on recent changes to tax policy. In a company meeting Wednesday, Green told employees, "Ultimately the tax savings will be passed to our customers in the form of lower prices, but we want to also share some of the savings with you, our hard-working employees." -- Jan. 25, 2018 1A Auto, Inc. press release

 

Thermo Fisher Scientific (Waltham, Massachusetts) -- $500 bonuses for 68,000 non-executive employees; increased charitable donations:

Thermo Fisher Scientific Inc. (NYSE: TMO), the world leader in serving science, will make additional investments totaling $50 million as a result of the benefit of recently enacted Federal tax reform legislation in the U.S. This investment includes:

$34 million for a one-time bonus of $500 to be paid to each of the company's approximately 68,000 eligible non-executive employees globally.

$16 million to accelerate key breakthrough R&D programs and also to increase the impact of the company's sustainability initiatives and philanthropic activities in support of STEM (Science, Technology, Engineering and Math) education.

"Thermo Fisher will benefit from tax reform, so we chose to use this unique opportunity to recognize the commitment of our colleagues who work hard every day to fulfill our Mission – to enable our customers to make the world healthier, cleaner and safer," said Marc N. Casper, president and chief executive officer, Thermo Fisher Scientific. "We also plan to use the benefit to fuel important programs that will strengthen our ability to serve our customers and the communities where we live and work." -- Jan. 31, 2018 Thermo Fisher Scientific press release

Unitil (Fitchburg, Massachusetts) - The utility will pass along tax cut savings to customers:

Unitil, which serves about 45,000 electric and gas customers in Massachusetts, said it expects to rebate customers about $1.6 million in tax savings. The company, which owns Fitchburg Gas and Electric Light Company, is one of the few utilities that isn’t seeking a rate increase this year. - June 30, 2018, The Daily News article excerpt

Cooperstown Environmental (Andover, Massachusetts) - Doubled the company-paid retirement contribution for all employees.

Pilgrim Bank (Cohasset, Massachusetts) - Base wage raised to $15 per hour; additional 401(k) contribution; increased charitable donations. 

State Street (Boston, Massachusetts) – Enhanced employee retirement benefits and investment in training and community grant programs:

State Street will use this year's proceeds from the US tax overhaul measure to improve    employees' retirement benefits and training and community grant programs, the              company's chairman and chief executive said. – Jan. 23 Dow Jones Newswires report

 

Sinatra & Co. (Amherst, Massachusetts) -- The company is building apartments and new retail space in an Opportunity Zone created by the Tax Cuts and Jobs Act:

Nick Sinatra said he plans to retain much of the Boulevard Mall as he and his partners redevelop the 64-acre site they agreed to buy on Wednesday for $24 million.

The founder of Sinatra & Co. Real Estate said the mall will continue to operate as normal as they focus initially on construction of apartments and new retail and restaurant space on land along the street, beginning with the corner of Niagara Falls Boulevard and Maple Road.

Sinatra said he's been talking to Town of Amherst officials for a year or so about reusing the region's oldest enclosed shopping center. The site's inclusion in a federal Opportunity Zone program that promises tax credits to investors solidified his interest.

“We're going to turn the mall inside out," he said Thursday. “You want to create a walkable village for people."

Here are highlights of Sinatra's interview with The Buffalo News less than 24 hours after he won the bidding for the Boulevard Mall property, and reaction from industry observers:

Ownership group: Sinatra said his partners on this project include investors he has worked with for years on developments throughout this region and outside Western New York, including the Pritzker family in Chicago. They will buy the property through an Opportunity Zone fund that pulls together contributions from investors seeking the tax benefits of the federal program, he said. -- April 5, 2019 Buffalo News article

The TJX Companies Inc. -- Holding company for TJ Maxx, Marshalls, HomeGoods, Sierra Trading Post, Homesense -- (Headquarters in Framingham, Massachusetts, with many retail locations across the state) – the companies gave tax reform bonuses to employees, increased retirement fund contributions, paid parental leave and increased charitable contributions:

The 2017 Tax Act benefited the Company in the fourth quarter and full year Fiscal 2018. The Company expects to continue to benefit from the 2017 Tax Act going forward, primarily due to the lower U.S. corporate income tax rate. As a result of the estimated cash benefit related to the 2017 Tax Act, the Company is taking the following actions:

Associates:

-A one-time, discretionary bonus to eligible, non-bonus-plan Associates, globally

-An incremental contribution to the Company’s defined contribution retirement plans for eligible Associates in the U.S. and internationally

-Instituting paid parental leave for eligible Associates in the U.S.

-Enhancing vacation benefits for certain U.S. Associates

Communities:

Made meaningful contributions to TJX’s charitable foundations around the world to further support TJX’s charitable giving. – Feb. 28, 2018 The TJX Companies Inc. press release excerpt

The Stowaway (Mattapoisett); Speedwell Tavern (Plymouth); Gateway Tavern (Wareham); Sail Loft (Dartmouth) and Duck Inn Pub (Hyannis) -- $500 bonuses for full-time employees; $200 bonuses for part-time employees. Altogether at these affiliated restaurants, bonuses went to 93 employees:

All of the partners expressed the same reasoning for the bonuses, according to the release. They were happy to be able to share the tax savings by investing in their workforce. They recognize their people as their most important asset. They viewed the payouts as a way of giving back to their staffs, thanking them for everything they contribute to their organization’s success. The thought process was that the bonus checks will also benefit the local communities through employees spending more, boosting the area economically, according to the release. – Feb. 16, 2018 Wicked Marion Local article excerpt

STERIS Corporation (Northborough, Massachusetts) -- $1,000 bonuses:

Like many companies, the recent tax reform in the U.S. will result in significant additional earnings for STERIS to strategically grow our business and return value to Customers, employees and shareholders.  One of our first actions on that front will be a one-time special discretionary bonus of $1,000 to all U.S. employees other than senior executives. -- Feb. 7, 2018 STERIS press release

National Grid (Waltham, Massachusetts) – The utility will pass along tax savings to customers:

On the heels of expansive federal tax reform, National Grid will request a reduction in its pending natural gas distribution rate proposal with the Massachusetts Department of Public Utilities.

When federal tax reform legislation was signed into law in late December, the company began assessing how reductions in corporate tax rates could benefit customers. The company announced today it will update its rate proposal with the DPU for natural gas rates that will go into effect in October 2018: reducing the original $87 million request to an estimated $51 million.

“We are committed to ensuring that the tax savings of the legislation are fully realized and are used to help our customers in their energy bills,” said Cordi O’Hara, president and COO of National Grid in Massachusetts. “We’ll continue to seek opportunities to provide this benefit to all of our customers.” – Jan. 11, 2018 National Grid press release

Eversource Energy (Boston, Massachusetts) – The utility will pass along tax savings to customers:

The newly passed federal tax law reduces the amount of taxes Eversource will be paying by millions of dollars and today the energy company has informed the Department of Public Utilities of its decision to voluntarily pass those savings along to customers.

“We believe it’s important that our customers reap the benefit of a lower tax rate,” said Eversource Massachusetts Electric Operations President Craig Hallstrom. “As a regulated power company our rates are based on our costs, including federal taxes, so if taxes are reduced ultimately costs are reduced and that benefits our customers.”

For example, customers in the company’s Eastern Massachusetts service territory will see a reduction in taxes of $47.6 million. This will cause a rate reduction of approximately $35.4 million, rather than the approved increase of $12.2 million (per the rate case decision Nov 30th). For Western Massachusetts, customers will benefit from a reduction in taxes of $8.3 million, reducing the approved increase of approximately $24.8 million to $16.5 million. -- Jan. 4, 2018 Eversource Energy press release

Blue Hills Bancorp Inc. (Norwood, Massachusetts) – $1,000 employee bonuses; total bonuses $70,000:

In addition, and as a result of the Tax Act, the Company recorded an expense of $70,000 in the fourth quarter of 2017 related to awarding a $1,000 bonus to each employee with a functional title below the Assistant Vice President level. The Company also took action to raise the hourly pay rate to $15 for a small number of hourly employees not already at that pay level. – Jan. 29, 2018 Blue Hill BanCorp Inc. press release

Dyer Capital Management, Inc. (Marion, Massachusetts) – Base wage raised 3.5% to $22 per hour; hourly employees also received a special one-time bonus:

In keeping with the economic prospects of the Tax Cuts & Jobs Act of 2017, Dyer Capital Management Inc. (DCM) has announced a special one-time bonus payable this month to each of its hourly employees. Also, the company is increasing the minimum hourly rate 3.5% to $22 an hour. President Timothy H. Dyer said: “In the spirit of shared success, we are pleased to reward our hourly workers with this good news now, as we anticipate brighter, future conditions for our economy and our country.” – Dyer Capital Management, Inc. press release

AT&T -- $1,000 bonuses for 874 Massachusetts-based employeesNationwide, $1,000 bonuses for 200,000 employees, and a $1 billion increase in capital expenditures:

Today, Congress approved legislation representing the first comprehensive tax reform in a generation. The President is expected to sign the bill in the coming days.

Once tax reform is signed into law, AT&T* plans to invest an additional $1 billion in the United States in 2018 and pay a special $1,000 bonus to more than 200,000 AT&T U.S. employees — all union-represented, non-management and front-line managers. If the President signs the bill before Christmas, employees will receive the bonus over the holidays.

“Congress, working closely with the President, took a monumental step to bring taxes paid by U.S. businesses in line with the rest of the industrialized world,” said Randall Stephenson, AT&T chairman and CEO. “This tax reform will drive economic growth and create good-paying jobs. In fact, we will increase our U.S. investment and pay a special bonus to our U.S. employees.”

Since 2012, AT&T has invested more in the United States than any other public company. Every $1 billion in capital invested in the telecom industry creates about 7,000 jobs for American workers, research shows. -- Dec. 20, 2017 AT&T Inc. press release

Fidelity Bank (Leominster, Massachusetts) – Base wage raised to $14.25 and to $15 by 2020; increased community contributions through LifeDesign Community Dividend, hiring of new employees, investment in new technology tools and equipment, and new facility projects:

Fidelity Bank headquartered in Leominster with 10 full-service offices in central Massachusetts, is sharing the benefits it receives from the corporate rate going from 35 percent to 21 percent with its employees, clients, and community. In doing so, Fidelity Bank is leading the way for smaller, local community banks in Central Massachusetts to use tax savings in positive ways.

“We see tax reform as an opportunity to show our deep commitment to our three key constituencies –our valued employees, our community, and our clients” says Edward F. Manzi, Jr. Chairman and CEO of Fidelity Bank. 

The local community bank will give all staff below the Vice President level a bonus of $500. Officials have decided to increase the minimum wage at Fidelity Bank to $14.25 per hour with a commitment to reach $15 per hour by 2020. Fidelity Bank is also allocating additional funds to its annual LifeDesign Community Dividend, investing the additional money in specific causes that support their community and the markets in which they operate. Examples include mental and physical health care; affordable housing; children’s education and support; and cultural organizations. Further, the bank’s 2018 plan includes investing in the hiring of new employees, new technology tools and equipment, and several facility projects including new LifeDesign Banking locations in downtown Worcester and Gardner – all to bring the value of the LifeDesign promise more effectively to more current and future clients.” – Feb. 14, 2018 Fidelity Bank press release excerpt

HarborOne Bank (Brockton, Massachusetts) – $500 bonuses to 600 bank employees; base wage raised to $15 per hour:

“The immediate outcome of this legislation will be tax savings for HarborOne, which has a direct impact on our bottom line,” CEO James Blake said. “It’s only fitting that this financial gain be shared with our employees.” – Dec. 28, 2017 Boston Herald article excerpt

Meridian Bancorp, Inc. (Boston, Massachusetts) – Base wage raised to $15 per hour; additional 20% will be added to existing bonuses; increased capital spending including building six new branch locations; additional charitable contributions:

Meridian Bancorp, Inc. (the "Company" or "Meridian") (NASDAQ:EBSB), the holding company for East Boston Savings Bank (the "Bank"), following the new tax law being passed by Congress and signed by the President on December 22, 2017, announced the following enhanced commitments to the Bank's employees, infrastructure investment and charitable giving which will benefit its customers and the communities it serves:

  • The minimum wage for all employees will increase to $15 per hour
  • An additional 20% will be added to the 2017 bonus as part of the Bank's Incentive Compensation Plan that will be paid to the Bank's 500+ employees in January 2018
  • An increase to the Capital Spending Budget as a result of plans to build six new branch locations in 2018
  • An increase in charitable giving by targeting $1 million in donations to community and non-profit organizations in 2018 – Jan. 3, 2018 Meridian Bancorp, Inc. press release excerpt

Apple (Apple store locations in Boston, Braintree, Burlington, Cambridge, Chestnut Hill, Dedham, Hingham, Holyoke, Lynnfield, Marlborough, Natick) - $2,500 employee bonuses in the form of restricted stock units; Nationwide, $30 billion in additional capital expenditures over five years; 20,000 new employees will be hired; increased support of coding education and science, technology, engineering, arts, and math; increased support for U.S. manufacturing.

Berkshire Hills Bancorp Inc. (Pittsfield, Massachusetts) – Base wage raised to $15 per hour; $1,000 bonuses to over 1,000 employees; investments in employee development and training; $2 million in additional charitable giving:

Berkshire Hills Bancorp, Inc. (NYSE: BHLB), the parent of Berkshire Bank, today announced additional investments in its employees and communities following the recent passage of federal tax reform legislation. 

            These investments include:

  • Raising Berkshire's minimum wage to $15 per hour.
  • Providing a special, one-time bonus of $1000 to over 1000 employees. This grant benefits all full-time employees below a certain compensation threshold, covering over 70% of the Bank's workforce, and augments the special $500 holiday bonus these colleagues received in the fourth quarter.
  • Enhancing Berkshire's investment in employee development and training programs to benefit our employees and bolster our current offering at AMEBU – American's Most Exciting Bank University.
  • Contributing $2 million to the Berkshire Bank Charitable Foundation which supports charitable organizations, scholarships, and volunteerism across Berkshire's local communities. This will bolster the foundation's endowment and allow for increased local giving. Last year we provided over $2 million to our local communities, complementing our employee volunteer program which helps our employees contribute over 40,000 hours of volunteer service each year. -- Jan. 4, 2018 Berkshire Hills Bancorp Inc. press release


Adams Community Bank (Adams, Massachusetts) -- $1,000 bonuses for full-time employees; $500 bonuses for part-time employees; base wage raised to $13.25 per hour; other wage increases; increased charitable contributions, increased capital expenditures, and more:

Adams Community Bank today announced investments in its employees, customers, and the Berkshire community following the recent passage of federal tax reform legislation.

These investments include:

  • Paying a special one-time bonus of $1,000 to full time employees, and $500 to part time employees. This initiative is focused on those employees making below a certain compensation threshold.
  • Increasing base pay by $1 per hour for regular non-officer employees making below a certain compensation threshold.
  • Raising our minimum wage to $13.25.
  • Reducing the employee’s share of medical and dental insurance premiums from 30% to 20%, for all bank employees who are not officers.
  • Increasing interest rates on customer deposit products beginning in January.

In addition, during 2018 Adams Community Bank will be upgrading our website, ATM’s and streamlining account-opening processes.

Finally, the Bank anticipates having more money to use for our long-standing goal of donating 10% of net income each year to local charitable and non-profit initiatives.

“The recent change to the Federal tax law offered a unique opportunity to assess how we can use this savings to improve our community,” said Charles O’Brien, President and CEO. “The bank will benefit from the lowering of corporate tax rates and as a true community bank headquartered in the Berkshires we would like to pass along these savings right here at home by investing in our staff, our customers, and the local community. These initiatives will put more money into the pockets of our employees, our customers, and the local non-profit community which will serve to benefit the Berkshire economy. We are thrilled that more than 80% of our staff will be positively impacted by these changes. In addition we are planning to add to our staff during 2018 by hiring several employees to better serve our growing customer base.”

O’Brien also noted “these compensation changes are in addition to the full complement of benefits the bank offers including an existing incentive plan for all staff, our pension and 401(K) plans, life insurance, tuition reimbursement, employee wellness, and more. Some banks have eliminated or scaled back on some of these benefits but we strive to attract the most talented staff. Our entire salary and benefit package is the most competitive offered by any community bank within Berkshire County.” -- Jan. 25, 2018 Adams Community Bank press release 

Waste Management, Inc. (Multiple locations in Massachusetts) –  $2,000 bonuses:

Waste Management, Inc. (NYSE: WM) announced today that, in light of the meaningful contributions of its employees and the new U.S. corporate tax structure, the company will distribute US $2,000 in 2018 to every North American employee non on a bonus or sales incentive plan; that includes hourly and other employees. 

"We are about to get a tax benefit as our U.S. corporate tax rate goes from 35 percent to 21 percent. In considering how to best spend that, we wanted to find a way to help grow our economy, which in turn, will help grow our business, and give some of the tax savings back to those hardworking employees who do not get the opportunity to participate in our salaried incentive plans," said Jim Fish, president and chief executive officer, Waste Management.

“So, we are offering each North American hourly full-time employee and salaried employee who does not participate in any sales incentive or bonus plan during 2018, a cash bonus of US $2,000 to show our appreciation to so many of our valued employees while growing our business and returning a good portion of the tax savings directly to the overall economy," he continued. 

Approximately 34,000 qualified Waste Management employees could receive this special bonus. – Jan. 10, 2018 Waste Management, Inc. press release

Walmart –  Massachusetts employees at 49 Walmart stores received tax reform bonuses, wage increases, and expanded maternity and parental leave. Walmart employees who adopt children will be given $5,000 to help cover expenses.

T.J. Maxx – 52 stores in Massachusetts – Tax reform bonuses, retirement plan contributions, parental leave, enhanced vacation benefits, and increased charitable donations.

Home Depot -- 45 locations in Massachusetts, bonuses for all hourly employees, up to $1,000.

Lowe's --3,000+ employees at 27 stores and one distribution facility in Massachusets. Employees will receive bonuses of up to $1,000 based on length of service, for 260,000 employees; expanded benefits and maternity/parental leave; $5,000 of adoption assistance.

CarMax (Four locations in Massachusetts) – $250-$1,500 bonuses depending on length of service:

The nation’s largest retailer of used cars, announced plans to provide one-time bonuses to most hourly and commissioned full-time and part-time associates as a result of the recently passed Tax Cuts and Jobs Act of 2017. Bonus amounts will vary from $200 up to $1,500 based on length of service with the company. – Feb. 23, 2018 EPR Retail News article excerpt

Rollstone Bank & Trust (Leominster, Massachusetts) -- Increased charitable contributions:

“As a bank invested in our communities, RBT takes great pride in supporting local organizations that make a positive impact on so many people. The United Way of North Central Massachusetts is one of those organizations,” said Martin F. Connors Jr., president and CEO of Rollstone Bank & Trust. “We are fortunate to have such great health care in our area, and are pleased we can help them continue their mission.”

Connors added that recently implemented reductions in the corporate tax rate will allow RBT to give back to an even greater extent than it has in the past.

“The tax cut provides us the opportunity to continue and even expand our investments in our region, customers, and employees,” he said. - May 17, 2018 Leominster Champion article excerpt

Ryder (15 locations in Massachusetts) – Tax reform bonuses for employees.

Cintas (Multiple locations in Massachusetts) -- $1,000 bonuses for employees of at least a year, $500 for employees of less than a year.

Chipotle Mexican Grill (Multiple locations in Massachusetts) – Bonuses ranging from $250 to $1,000; increased employee benefits; $50 million investment in existing restaurants.

Comcast (Multiple locations in Massachusetts) -- $1,000 bonuses; nationwide, at least $50 billion investment in infrastructure in next five years.

Starbucks Coffee Company (Multiple locations in Massachusetts) –$500 stock grants for all retail employees, $2,000 stock grants for store managers, and varying plan and support center employee stock grants. Nationally, 8,000 new retail jobs; an additional wage increase this year, totaling approximately $120 million in wage increases, increased sick time benefits and parental leave.

U-Haul (Multiple locations in Massachusetts) – $1,200 bonuses for full-time employees, $500 for part-time employees.

FedEx (Multiple locations in Massachusetts) – Accelerated and increased compensation; pension plan contributions:

“FedEx Corporation is announcing three major programs today following the recently enacted U.S. Tax Cuts and Jobs Act:

  • Over $200 million in increased compensation, about two-thirds of which will go to hourly team members by advancing 2018 annual pay increases by six months to April 1st from the normal October date. The remainder will fund increases in performance- based incentive plans for salaried personnel.
  • A voluntary contribution of $1.5 billion to the FedEx pension plan to ensure it remains one of the best funded retirement programs in the country.
  • Investing $1.5 billion to significantly expand the FedEx Express Indianapolis hub over the next seven years. The Memphis SuperHub will also be modernized and enlarged in a major program the details of which will be announced later this spring.

FedEx believes the Tax Cuts and Jobs Act will likely increase GDP and investment in the United States. – Jan. 26, 2018 FedEx press release

McDonald’s (250+ locations in Massachusetts) – Increased tuition investments which will provide educational program access for 400,000 U.S. employees. $2,500 per year (up from $700) for crew working 15 hours a week, $3,000 (up from $1,050) for managers, and more:

McDonald’s Corporation today announced it will allocate $150 million over five years to its global Archways to Opportunity education program. This investment will provide almost 400,000 U.S. restaurant employees with accessibility to the program as the company will also lower eligibility requirements from nine months to 90 days of employment and drop weekly shift minimums from 20 hours to 15 hours. Additionally, McDonald’s will also extend some education benefits to restaurant employees’ family members. These enhancements underscore McDonald’s and its independent franchisees’ commitment to providing jobs that fit around the lives of restaurant employees so they may pursue their education and career ambitions.

The Archways to Opportunity program provides eligible U.S. employees an opportunity to earn a high school diploma, receive upfront college tuition assistance, access free education advising services and learn English as a second language.  

“Our commitment to education reinforces our ongoing support of the people who play a crucial role in our journey to build a better McDonald’s,” said Steve Easterbrook, McDonald’s President and CEO. “By offering restaurant employees more opportunities to further their education and pursue their career aspirations, we are helping them find their full potential, whether that’s at McDonald’s or elsewhere.”

Accelerated by changes in the U.S. tax law, McDonald’s increased investment in the Archways to Opportunity Program includes:

  • Increased Tuition Investment:
    • Crew: Eligible crew will have access to $2,500/year, up from $700/year.
    • Managers: Eligible Managers will have access to $3,000/year, up from $1,050.
    • Participants have a choice for how they apply this funding – whether it be to a community college, four year university or trade school. There is no lifetime cap on tuition assistance – restaurant employees will be able to pursue their education and career passions at their own pace. The new tuition assistance is effective May 1, 2018 and retroactive to January 1, 2018.
  • Lowered Eligibility Requirements: Increase access to the program by lowering eligibility requirements from nine months to 90 days of employment. In addition, dropping from 20 hours minimum to 15 hours minimum (roughly two full time shifts) per week to enable restaurant employees more time to focus on studies.
  • Extended Services to Families: Extension of Career Online High School and College Advisory services to restaurant employees’ family members through existing educational partners Cengage and Council for Adult and Experiential Learning (CAEL).
  • Additional Resources: Career exploration resources for eligible restaurant employees to be available later this year.
  • Creation of an International Education Fund: Grants to provide local initiatives and incentives in global markets to further education advancement programs.

“Since its inception, Archways to Opportunity was meant to match the ambition and drive of restaurant crew with the means and network to help them find success on their own terms,” said David Fairhurst, McDonald’s Chief People Officer. “By tripling tuition assistance, adding education benefits for family members and lowering eligibility requirements to the equivalent of a summer job, we are sending a signal that if you come work at your local McDonald’s, we’ll invest in your future.”

After launching in the U.S. in 2015, Archways to Opportunity has increased access to education for over 24,000 people and awarded over $21 million in high school and college tuition assistance. Graduates have received college degrees in Business Administration, Human Resources, Communications, Accounting, Microbiology and more. – March 29, 2018 McDonald’s Corporation press release excerpt

Note: If you know of other Massachusetts examples, please email John Kartch at jkartch@atr.org

The running nationwide list of companies can be found at www.atr.org/list

More from Americans for Tax Reform


How the Trump Republican Tax Cuts Are Helping Delaware

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Posted by John Kartch on Thursday, July 2nd, 2020, 12:15 PM PERMALINK

Delaware is benefiting greatly from the Tax Cuts and Jobs Act enacted by congressional Republicans and President Trump:

65,680 Delaware households are benefiting from the TCJA’s doubling of the child tax credit.

Every income group in every Delaware congressional district received a tax cut. Nationwide, a typical family of four received a $2,000 annual tax cut and a single parent with one child received a $1,300 annual tax cut.

311,370 Delaware households are benefiting from the TCJA’s doubling of the standard deduction. Thanks to the tax cuts, nine out of ten households take the standard deduction which provides tax relief and simplifies the tax filing process.

11,230 Delaware households are benefiting from the TCJA’s elimination of the Obamacare individual mandate tax. Most households hit with this tax made less than $50,000 per year.

Lower utility bills: As a direct result of the TCJA’s corporate tax rate cut, Delaware residents are saving money on utility bills. Lower electric, water, and gas bills help households and small businesses operating on tight margins. For example, Delmarva Power (see below) passed along tax reform savings to its customers by reducing its power rate increase request in Delaware by $26 million.

Thanks to the tax cuts, Delaware businesses of all sizes are hiring, expanding, raising pay and increasing employee benefits:

Green Recovery Technologies, LLC (New Castle, Delaware) — $1,000 bonuses for all seven employees:

"We are a startup waste-to-value biochemical company of seven that believes in the direction the country is going and that our best days are ahead of us. These tax reductions benefit our workers by providing an instant no cost wage hike. Paying the bonuses in a low tax environment was an easy decision for GRT since we know that this low cost capital is being invested in the local community where it will be spent on goods and services as well as being by employees into their retirement savings accounts.” — Kenneth Laubsch, President and CEO, Green Recovery Technologies, LLC

Delaware Supermarkets Inc. (Wilmington, Delaware) -- $150 extra bonuses to 1,000 non-management personnel.

“Our ability to provide bonuses and training to our employees demonstrates the far-reaching implications of this tax reform. We have a renewed optimism for the local and the national economy, and this important legislation better positions us for future growth.” – Christopher Kenny, CEO

 “This legislation benefits those of who count on Main Street budgets for our livelihoods, and it’s a privilege to share the benefits with the men and women who work so hard at ShopRite. It makes it possible to succeed in a very competitive industry.” -- Melissa Kenny, director of sales and marketing

Navient (Wilmington, Delaware) – 98% of Navient’s 6,700 employees will receive a $1,000 bonus (approx. 6,566 bonus-eligible employees):

Crediting the new corporate tax rate recently approved by Congress, approximately 98 percent of Navient employees across the country received a $1,000 bonus just before the holidays.

Navient has approximately 6,700 employees nationwide, including more than 900 in Hanover Township, company officials say.

According to a memo from Jack Remondi, Navient president and CEO, the firm announced it will pay a $1,000 bonus to all non-officer employees.

--

Colleen Hughes, an instructional design specialist — she works behind the scenes in the training department — said co-workers “cheered and hollered” when they read their emails.

“And it came right before the holidays,” said Hughes, 33, of Dupont. “I literally started to cry. I was shocked. I have a 3-year-old and I overspent for the holidays. This really helped me out.”

As news of the $1,000 bonuses made its way through Navient, Hughes said people became emotional.

“I know I feel I’m valued that we were even considered,” Hughes said. “We all feel valued by the company — that we all are a valuable asset to the company. So much so that they recognize our talent and dedication.” -- Jan. 2, 2018 Wilkes-Barre Times Leader article excerpts

 

Farmers Insurance of Salem (Wilmington, Delaware) -- An insurance company is moving their offices from New Jersey to Wilmington, Delaware to a location in an Opportunity Zone created by the Tax Cuts and Jobs Act:

A New Jersey insurance company is moving its offices to Wilmington and with it more than 50 jobs.

Delaware's privately run economic development agency announced this week it had negotiated a $400,000-taxpayer grant package for Farmers of Salem. In a press release, it said the company plans to spend $5.6 million to purchase and renovate an existing office building in Wilmington's "central business district."

But the company's grant application, released Friday, states that Farmers of Salem's plans instead are to move to a building along the Wilmington Riverfront. Today, the 3-story brick building, located at 1 Avenue of the Arts, houses two companies, Mitchell Associates and Blue Rock Financial Group.

The once-industrial redeveloped structure sits along the banks of the Christina River next to the Riverfront Market. It has been for sale since at least 2018. Three months ago, its listed price was reduced by $300,000 to $4.5 million. It is unclear what Farmers of Salem's final negotiated price might be, as neither the company, nor its broker returned a call. The building's seller declined to comment. Also unclear is whether either of the building's existing tenants will move out following Farmers' purchase. Currently, 6,000 square feet on the third floor sits vacant.

Farmer of Salem's move into Wilmington likely will boost the city's commercial real estate market. While owners of office buildings in Delaware's largest city still struggle to fill large amounts of empty offices, momentum might be shifting. Farmers of Salem is the latest in a string of out-of-state buyers of commercial properties in a market that has long been dominated by a single owner, the Buccini/Pollin Group.

The insurance company told Delaware officials that it is seeking "a more vibrant and robust community." It said its decision to relocate to Wilmington came amid overall company growth and the taxpayer "incentives do help."

Other organizations that have recently considered relocating to Wilmington include Widener University's Delaware Law School. Its dean, Rodney Smolla, said the school ultimately decided against a move, yet plans to open a "satellite location" remain.

CSC, the state's largest and most politically influential registered agent company, recently purchased a building next to the Wilmington train station.

Based on its $120,000 real estate transfer tax payment, The News Journal estimates the sale price for the 112 S. French St. property at $4.8 million, or about $110 per square foot.

The number is significantly less than the asking price of $184 per square foot for the nearby 1 Avenue of the Arts building, which Farmers intends to buy.

Highlighted on a sale brochure for 1 Avenue of the Arts is that two floors of the building currently is leased as well as a proclamation that the property sits within a Delaware Opportunity Zone.

Gov. John Carney recently named much of downtown Wilmington and the Riverfront as Opportunity Zones. Investors who direct money to such "economically distressed" areas can avoid or delay paying federal taxes. Not included on the state's Opportunity Zone list are Wilmington's low-income neighborhoods of Hedgeville and Hilltop. -- February 1, 2020 Delaware News Journal article

Second Chance Farm (Wilmington, Delaware) -- A company focused on helping formerly incarcerated citizens get back into the workforce will be headed to Delaware and will be located in an Opportunity Zone created by the Tax Cuts and Jobs Act:

First, you need to understand the Opportunity Zone Program, which was enacted as part of the 2017 Tax Cuts and Jobs Act.

It’s an economic development program where census tracts are designated as eligible for tax breaks for private investors through a program called Opportunity Funds. The goal is to help under-resourced communities become more economically stable by creating jobs for the people who live there — or, as the IRS puts it in its FAQ: “Opportunity Zones are designed to spur economic development by providing tax benefits to investors.”

Opportunity Zones are basically an incentive for people to invest in areas that need it — something that, historically, has led to gentrification and displacement of the under-resourced people who were theoretically meant to benefit. (See a map of Delaware’s zones here.)

That’s why Second Chances Farm, an LLC founded by entrepreneur and TEDxWilmington organizer Ajit George, is an interesting concept — one that combines farming, jobs for local returning citizens and ultimately entrepreneurship opportunities that require neither capital nor credit.

“We call them ‘green collar” jobs,” said George in an interview with Technical.ly. “Green because it’s organic, it’s pesticide free, and it’s herbicide free. And it’s about growing food locally. This is not a hobby, this not a corner garden in the summer, it’s about growing food year round, on a production scale.”

So, how did the concept of Opportunity Zones, urban farming and ex-offenders come together? It was the result of two very different 2016 TEDxWilmington talks — one about reentry and recidivism, the other about farming of the future.

Employees — virtually all of whom will be formerly incarcerated — will run the farms with a starting pay of $15 an hour. As the company grows, the plan is for employees to eventually acquire farms of their own and become business owners (or “compassionate capitalists,” as Second Chances Farm calls them).

In contrast to downstate’s traditional outdoor crops, Second Chances Farm will be an indoor, LED-lit, vertical hydroponic farm that will operate year-round; the first farm’s location is yet to be determined

“There’s no soil, it’s all grown in continuously flowing water,” said George.

Vertical hydroponic farming has become increasingly popular over the last few years across the country — even Jeff Bezos has backed a hydroponic farming venture. Second Chances will likely be the first one in Delaware.

The for-profit venture is projected to have its first indoor farm up and running by the fall, pending a final clearance with the IRS. It’s already won a few awards and startup grants.

If placing a farm inside the city seems strange, consider the challenges the average ex-offender faces when trying to get to get a job — and how much easier it would be if $15-an-hour jobs were available right in the neighborhood.

In order to qualify to be placed in a job at Second Chance, inmates heading toward reentry will work with the behavior health and wellness program Connections during the final six months of their sentences.

“We are working with Connections, who currently have an exclusive contract with the Delaware Department of Corrections with regards to people re-entering society from Delaware’s Prisons,” said George. “Issues like anger management are beyond the scope of what we can do. They offer more social work, so it just made sense for us to work with them.”

Connections also has a transportation group that can help Second Chances Farm employees get to and from work, an issue for many looking for work after reentry, as drivers licenses are sometimes still suspended and getting car insurance can be a challenge.

The organic, hyperlocal vegetable crops will be sold to restaurants, organic farm stands and to cancer patients avoiding even the minimal amount of pesticides allowed in traditional organic mass farming.

“Delaware used to be known for three things — chicken, credit cards and cars,” said George. “What we’re really talking about is adding a new industry, which is organic hydroponic crops. And with that comes my notion, which is ‘compassionate capitalism,’ which is really providing opportunities for people.” -- February 27, 2019 Technical.ly article

Mountaire Corporation (Millsboro, Delaware) – $1,000 or $500 bonuses based on length of service; increased 401(k) matches:

Mountaire had an amazing year in 2017. We are blessed with great people and great opportunities. Our performance is outstanding and the blessings of Jesus Christ are all around us to enjoy.

I am very encouraged that the President of the United States and the Republican Congress have reduced taxes for businesses and individuals for 2018. I am extremely excited about what this new change means to our company and all Mountaire employees.

Very soon you should see the impact of the new lower tax rate in your paychecks.

Additionally, because of this new tax reduction, I am pleased to announce that on February 2, 2018, Mountaire is going to pay a one-time discretionary bonus to hourly employees. This bonus will be subject to normal taxes and distributed to all full-time Mountaire hourly and piece rate employees as follows:

  1. $1,000 for all active full-time hourly and piece rate Mountaire employees with more than 180 days of employment as of January 27, 2018.
  2. $500 for all active full-time hourly and piece rate Mountaire employees with between 91 and 179 days of employment as of January 27, 2018.
  3. $500 for all active full-time hourly and piece rate Mountaire employees with between 1 and 90 days of employment as of January 27, 2018. This group of employees will receive their bonus money as soon as they have completed their first 90 days of employment.
     

I have also decided to make significant improvements to our 401k savings plan. Effective November 1, 2018, Mountaire’s 401k match will be increased to 100% of the first 3% invested, and 50% of the next 2% invested. And also, effective November 1, 2018 you will be given immediate vesting on 401k matching monies.

All these improvements are being done because of the Tax Reform and Tax Cut passed by the Republicans in Congress and signed into law by our President.

I am very optimistic about our performance and the future of Mountaire and our country.

May God continue bless us and guide us! -- Jan. 26, 2018 letter to employees from Ronald M. Cameron, Chairman

Delmarva Power (Newark, Delaware) – the utility will pass along tax reform savings to customers:

Tax cuts passed by Congress in December have effectively caused Delmarva Power to reduce its power rate increase request in Delaware by $26 million, the company announced on Friday. – February 9, 2018 Delaware Online excerpt

Harvard Business Services, Inc. (Lewes, Delaware) – $1,000 bonuses for all full-time employees:

“Harvard Business Services, Inc., located in Lewes, Delaware, has just announced it will join many companies nationwide and award all full-time employees with an immediate $1,000 bonus in their next pay check in order to augment their tax savings.

Mike Bell, Vice President and Director of Marketing, announced the bonus, saying, “We appreciate the great job you do, and the dedication you show our clients every day. Keep up the good work.” – Jan. 26 2018, Harvard Business Services, Inc. press release

T.J. Maxx – 3 stores in Delaware – tax reform bonuses, retirement plan contributions, parental leave, enhanced vacation benefits, and charitable donations:

The 2017 Tax Act benefited the Company in the fourth quarter and full year Fiscal 2018. The Company expects to continue to benefit from the 2017 Tax Act going forward, primarily due to the lower U.S. corporate income tax rate. As a result of the estimated cash benefit related to the 2017 Tax Act, the Company is taking the following actions:

  • Associates

A one-time, discretionary bonus to eligible, non-bonus-plan Associates, globally

An incremental contribution to the Company’s defined contribution retirement plans for eligible Associates in the U.S. and internationally

Instituting paid parental leave for eligible Associates in the U.S.

Enhancing vacation benefits for certain U.S. Associates

  • Communities

Made meaningful contributions to TJX’s charitable foundations around the world to further support TJX’s charitable giving. – Feb. 28, 2018 The TJX Companies Inc. press release excerpt

Home Depot -- 9 locations in Delaware, bonuses for all hourly employees, up to $1,000.

Lowe's -- 1,000 employees at 10 stores in Delaware. Employees will receive bonuses of up to $1,000 based on length of service; expanded benefits and maternity/parental leave; $5,000 of adoption assistance.

AT&T -- $1,000 bonuses to 124 Delaware employees; Nationwide, $1 billion increase in capital expenditures.

Cintas Corporation (Seaford, Delaware) -- Bonuses for 38,000 employees; $1,000 bonuses for employees of at least a year, $500 for employees of less than a year.

Comcast (Multiple locations in Delaware) -- $1,000 bonuses; nationally, at least $50 billion investment in infrastructure in next five years.

Chipotle Mexican Grill (Multiple locations in Delaware) – Bonuses ranging from $250 to $1,000; increased employee benefits; nationally, $50 million investment in existing restaurants.

Ryder (Delaware location: Wilmington) -- Tax reform bonuses for employees.

Starbucks Coffee Company (Multiple locations in Delaware) – $500 stock grants for all retail employees, $2,000 stock grants for store managers, and varying plan and support center employee stock grants. Nationally, 8,000 new retail jobs; an additional wage increase this year, totaling approximately $120 million in wage increases, increased sick time benefits and parental leave. 

U-Haul (Multiple locations in Delaware) – $1,200 bonuses for full-time employees, $500 for part-time employees; nationally, over 28,000 workers will receive a bonus.

Wal-Mart – 9 locations in Delaware -- Walmart employees are receiving tax reform bonuses. Nationally, base wage increase for all hourly employees to $11; bonuses of up to $1,000; expanded maternity and parental leave; $5,000 for adoption expenses.

Wells Fargo – 18 bank locations in Delaware; raised base wage from $13.50 to $15.00 per hour; nationally, $400 million in charitable donations for 2018; $100 million increased capital investment over the next three years.

Bank of America (Multiple locations in Delaware) -- Delaware-based employees of Bank of America will receive $1,000 bonuses.

Apple (Apple store in Newark, Delaware) -- $2,500 employee bonuses in the form of restricted stock units; nationwide, $30 billion in additional capital expenditures over five years; 20,000 new employees will be hired; increased support of coding education and science, technology, engineering, arts, and math; increased support for U.S. manufacturing:

     Bonuses:

Apple Inc. told employees Wednesday that it’s issuing a bonus of $2,500 worth of restricted stock units, following the introduction of the new U.S. tax law, according to people familiar with the matter.

The iPhone maker will begin issuing stock grants to most employees worldwide in the coming months, said the people, who asked not to be identified because they weren’t authorized to speak publicly. The move comes on the same day Apple said it would bring back most of its cash from overseas and spend $30 billion in the U.S. over the next five years, funding an additional technical support campus, data centers and 20,000 new employees.

Apple confirmed the bonuses in response to a Bloomberg inquiry Wednesday. – Jan. 17 2018, Bloomberg News article excerpt

     Capital expenditures, etc:

Apple expects to invest over $30 billion in capital expenditures in the US over the next five years and create over 20,000 new jobs through hiring at existing campuses and opening a new one.

Building on the initial success of the Advanced Manufacturing Fund announced last spring, Apple is increasing the size of the fund from $1 billion to $5 billion. The fund was established to support innovation among American manufacturers and help others establish a presence in the US. It is already backing projects with leading manufacturers in Kentucky and rural Texas.

Apple works with over 9,000 American suppliers — large and small businesses in all 50 states — and each of Apple’s core products relies on parts or materials made in the US or provided by US-based suppliers.

Apple, which has a 40-year history in education, also plans to accelerate its efforts across the US in support of coding education as well as programs focused on Science, Technology, Engineering, Arts and Math (STEAM). – Jan. 17, 2018 Apple press release excerpts

Note: If you know of other Delaware examples, please email John Kartch at jkartch@atr.org

The running nationwide list of companies can be found at www.atr.org/list

More from Americans for Tax Reform


How the Trump Republican Tax Cuts Are Helping Vermont

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Posted by John Kartch on Thursday, July 2nd, 2020, 12:00 PM PERMALINK

Vermont is benefiting greatly from the Tax Cuts and Jobs Act enacted by congressional Republicans and President Trump:

41,570 Vermont households are benefiting from the TCJA’s doubling of the child tax credit.

Every income group in every Vermont congressional district received a tax cut. Nationwide, a typical family of four received a $2,000 annual tax cut and a single parent with one child received a $1,300 annual tax cut.

236,900 Vermont households are benefiting from the TCJA’s doubling of the standard deduction. Thanks to the tax cuts, nine out of ten households take the standard deduction which provides tax relief and simplifies the tax filing process.

10,920 Vermont households are benefiting from the TCJA’s elimination of the Obamacare individual mandate tax. Most households hit with this tax made less than $50,000 per year.

Lower utility bills: As a direct result of the TCJA’s corporate tax rate cut, Vermont residents are saving money on utility bills. Lower electric, water, and gas bills help households and small businesses operating on tight margins. For example, Green Mountain Power and Vermont Gas Systems, Inc. both passed along tax reform savings to their customers in the form of lower rates. 

Thanks to the tax cuts, Vermont businesses of all sizes are hiring, expanding, raising pay and increasing employee benefits:

Mack Molding (Arlington, Vermont) - Major facility upgrades:

Mack Molding, an injection molder and contract manufacturer based in Vermont, announced this week that it is investing $5.4 million to upgrade two existing facilities in response to “favorable tax changes” and a surging economy. - July 16, 2018 National Association of Manufacturers article excerpt

Green Mountain Power (Colchester, Vermont) – The utility will pass along tax savings to customers:

In a filing today with the Vermont Public Utility Commission, Green Mountain Power is seeking to lower bills for customers by $6 million. The benefit comes from federal tax law changes that reduce GMP's corporate tax rate from 35 percent to 21 percent. This change will be retroactive and take effect January 1, 2018 at the start of GMP’s new rate year. The reduction will be applied starting in the February bill cycle and will be returned monthly throughout 2018 as a bill credit.

"After the federal tax plan passed, GMP pledged to return 100% of the tax benefit to customers, and today's letter sets in motion our plan to reduce rates to provide those savings to our customers immediately," said President and CEO Mary Powell. “Keeping energy costs low and stable is a key focus at GMP and this decrease will help offset increased cost pressures in other areas outside of our control such as regional transmission costs.”

This rate reduction will help offset the recent rate increase that took effect in January. GMP customers will continue to see the benefits of the new, lower tax rate for as long as these rates are in effect because they will be reflected in future proposed energy rates. GMP is set to file its next rate case in April. – Jan. 23, 2018 Green Mountain Power press release

DJ's Tree Service (Colchester, Vermont) -- Used provisions in the tax cut to buy new equipment:

"One truck, a chainsaw and a few hand tools is all Jim Myers and his former business partner had when they started their tree service business.

"Our first customer said he wouldn't hire us unless we were insured. We told him 'of course, we're insured, but we need a deposit before we get started.' We took the deposit and bought insurance," said Myers smiling as he retold the story.

......

"A recently added service from the company is creating and selling mulch. When removing a client's tree, they would run into the challenge of proper disposal. So as a solution to the problem, the Myers purchased a Bandit Beast recycler. The recycler is capable of processing large unusable waste wood, to create high-quality mulch, which is then sold to residential or commercial clients. This machine can process tree/land clearing debris right down to the stump as well as processing construction debris. To assist in the operation of the recycler and sell the mulch, DJ's Tree Service hired a few new employees. The purchase of the recycler allowed the company to take advantage of the Tax Cuts and Jobs Act of 2017. Part of the act made changes to Section 179 of the IRS Code, which allows small businesses to deduct the entire price of new machinery and equipment during the year of the purchase. Prior to the Tax Cuts and Jobs Act, businesses could only deduct a portion of the price of the equipment each year." -- July 4, 2019 Vermontbiz.com

Vermont Gas Systems, Inc. (South Burlington, Vermont) – The utility will pass savings from tax reform to customers:

Vermont Gas announced today that it will reduce 2018 customer costs by $2.4 million, the full benefit of December's federal tax law changes.

Vermont Gas has filed a notice with the Vermont Public Utility Commission to give customers a monthly credit on 2018 bills, starting February 1st and continuing through October 2018. Each of Vermont Gas’ 51,000 customers will receive a credit on their heating bill, based on usage, over the next eight months. For families, this bill credit will total almost $40 over the year; businesses could see even more.

“Our commitment to our customers is to maintain affordable and competitive rates, while offering top-rate customer service. We are so pleased to return the full benefit of this new federal tax reduction to every family and business this year,” said Don Rendall, President and CEO of Vermont Gas. “Our customers will start to see a reduction in their heating bills next month and with the recent bitterly cold weather we’ve been experiencing, this money will be a welcomed relief.”

While each customer’s total savings will vary depending on their actual usage, the average residential customer’s annual bill will be almost $40 lower because of this change. Businesses could receive hundreds, or thousands of dollars credited over the course of the year, depending on usage.

“As a Vermont Gas customer at my home and for my downtown hair salon, I’m always looking for ways to save money,” said Glenn Brown, Burlington resident and owner of Chop Shop Hair Design. “I’m excited that Vermont Gas is passing along the tax credit to customers – every little bit helps this time of year.”

 “We’re pleased to return this money to customers because we know how important it is for everyone to keep costs in check, especially during the winter months,” Rendall continued. “Natural gas is already the cleanest and most affordable heating choice for over 51,000 families and businesses and we know these savings will help.” – Jan. 23 2018, Vermont Gas Systems, Inc. press release excerpt

Brattleboro Development Credit Corp (Brattleboro, Vermont) -- Opportunity Zones helped encourage investment in Brattleboro:

The EDA said the grant will be going to "a designated Opportunity Zone, created by President Donald J. Trump's Tax Cuts and Jobs Act of 2017 to spur economic development by giving tax incentives to investors in economically-distressed communities nationwide."

"Congratulations to the town of Brattleboro on its recent award from the EDA to make infrastructure improvements at the Exit One Industrial Park and Delta Business Campus," Gov. Phil Scott said in a statement. "I'm pleased to see the town and the Brattleboro Development Credit Corp. working together to make economic expansion a reality in southern Vermont. These partners have set the table for economic growth by positioning prime developable land to anchor industrial sites that host more jobs in both traditional and new or expanding industries. I also want to thank our federal partners and Vermont's congressional delegation for supporting funding for the EDA. I hope this region's Opportunity Zone designation continues to drive interest in public and private investment in the coming years." -- August 12, 2019 Brattleboro Reformer

 

Voi Inc. (Springfield, Vermont) -- The artificial intelligence company was able to open a location because of a grant that was made possible by the TCJA Opportunity Zones:

SPRINGFIELD, Vt. — The Black River Innovation Campus (BRIC) will be getting a new manufacturing neighbor dedicated to artificial intelligence behavioral technology inside the former Park Street School.

With the help of a grant from the Center on Rural Innovation, Voi Incorporated will be located adjacent to the Black River Innovation Campus.

..

"According to Calvelli, the Center on Rural Innovation Fund seeks to fund economic growth in rural communities while making connections with technology based companies to provide jobs for economically depressed areas.

"The Center on Rural Innovation Fund invests in growth businesses located in qualified Opportunity Zones in the United States to enhance economic growth and job creation in small communities. The fund seeks to find attractive technology-enabled operating businesses in rural geographies, which are under-served by traditional venture capital institutions," Calvelli said. "The Center on Rural Innovation Fund identifies, funds, and supports the best tech entrepreneurs American small towns have to offer." -- February 28, 2020 Argus-Champion.

 

Opportunity Zone in Springfield, Vermont: Two residential properties were purchased because of tax savings through the Opportunity Zone program, bringing jobs and business to the town:

SPRINGFIELD, Vt. — The town of Springfield became a center of machine tool manufacturing in the 20th century. But as the industry began to wane, this industrial town on the Connecticut River, once an economic powerhouse, fell on hard times and has struggled to reinvent itself.

Local boosters say a new federal program that gives wealthy people incentives to invest in low-income communities could be the key to reviving Springfield's economy.

The so-called “Opportunity Zone" program has brought new investors to this storied factory town.

The tax break incentive has proved to be “an extremely attractive tool" for economic development, according to Bob Flint, the executive director of the Springfield Regional Development Corp.

“It's stimulated really interesting projects," Flint said.

Two multi-unit residential properties in Springfield have already been purchased through the Opportunity Zone program. -- September 8, 2019 Valley News Article.

Lakemont Retirement Community (Newport City, Vermont) -- A developer was able to build a new retirement community by taking advantage of the TCJA Opportunity Zone program:

NEWPORT CITY — Developer Heidi Eichenberger wants to build a $22 million housing development called Lakemont Retirement Community on Lakemont Road featuring nearly 200 apartments and a full range of services.

She hopes to tap into a newly created "opportunity zone" in Newport City that would allow people who sell property to invest and defer capital gains taxes into the future and also reduce the tax burden over time.

If all goes well with investments and permitting, construction could begin on Lakemont Retirement Community in the spring and be completed in October, said Eichenberger this week.

It's a unique development for Vermont that has support from Newport City Mayor Paul Monette, Jon Freeman, president of Northern Community Investment Corp., and others working in the accounting, construction and banking industries.

"I look at this as ideal," Monette said Thursday when some of the supporters and people working with Eichenberger on the project gathered at her office at the Hearing Center of Vermont on the Derby Road.

......

And it is the first large project to be proposed for one of Vermont's 25 "opportunity zones." There are thousands nationwide but the law that created these zones is new. There are two other zones in the Northeast Kingdom in Lyndonvile and St. Johnsbury.

Eichenberger said she initially looked at developing the project in Derby but switched to Newport City when she learned about the opportunity zone here. She created Lakemont Investment LLC to take advantage of this special zone.

The zone allows investors who sell property to invest their capital gains into the project and defer capital gains taxes for years and also see some tax breaks on the investment, according to Stephen Trenholm, certified public accountant with Gallagher, Flynn & Company. -- February 15, 2019 The Caledonian-Record article.

AT&T -- $1,000 bonuses for 73 Vermont employees. Nationwide, $1 billion increase in capital expenditures:

Today, Congress approved legislation representing the first comprehensive tax reform in a generation. The President is expected to sign the bill in the coming days.

Once tax reform is signed into law, AT&T* plans to invest an additional $1 billion in the United States in 2018 and pay a special $1,000 bonus to more than 200,000 AT&T U.S. employees — all union-represented, non-management and front-line managers. If the President signs the bill before Christmas, employees will receive the bonus over the holidays.

“Congress, working closely with the President, took a monumental step to bring taxes paid by U.S. businesses in line with the rest of the industrialized world,” said Randall Stephenson, AT&T chairman and CEO. “This tax reform will drive economic growth and create good-paying jobs. In fact, we will increase our U.S. investment and pay a special bonus to our U.S. employees.”

Since 2012, AT&T has invested more in the United States than any other public company. Every $1 billion in capital invested in the telecom industry creates about 7,000 jobs for American workers, research shows. -- Dec. 20, 2017 AT&T Inc. press release

Walmart – Vermont employees at 6 Walmart stores received tax reform bonuses, wage increases, and expanded maternity and parental leave. Walmart employees who adopt children will be given $5,000 to help cover expenses.

Home Depot -- 3 locations in Vermont; Bennington, Williston, Rutland -- Bonuses for all hourly employees, up to $1,000.

Lowe's --200+ employees at two stores in Vermont; Burlington and Essex Junction-- Employees will receive bonuses of up to $1,000 based on length of service, for 260,000 employees; expanded benefits and maternity/parental leave; $5,000 of adoption assistance.

Ryder (Two locations in Vermont; White River Junction and Williston) – Tax reform bonuses for employees.

Starbucks Coffee Company (8 locations in Vermont) - $500 stock grants for all retail employees, $2,000 stock grants for store managers, and varying plant and support center employee stock grants. Nationally, 8,000 new retail jobs; an additional wage increase this year, totaling approximately $120 million in wage increases, increased sick time benefits and parental leave.

Best Buy -- (Williston, Vermont) -- $1,000 bonuses for full-time employees; $500 bonuses for part-time employees. 

Cintas (Multiple locations in Vermont) -- $1,000 bonuses for employees of at least a year, $500 for employees of less than a year.

Chipotle Mexican Grill (Burlington, Vermont) – Bonuses ranging from $250 to $1,000; increased employee benefits; $50 million investment in existing restaurants.

Comcast (Three locations in Vermont: Newport, Rutland, South Burlington) -- $1,000 bonuses; nationwide, at least $50 billion investment in infrastructure in next five years.

T.J. Maxx – (Five locations in Vermont; Barre, Burlington, Middlebury, Rutland, St Albans) – Tax reform bonuses, retirement plan contributions, parental leave, enhanced vacation benefits, and increased charitable donations:

The 2017 Tax Act benefited the Company in the fourth quarter and full year Fiscal 2018. The Company expects to continue to benefit from the 2017 Tax Act going forward, primarily due to the lower U.S. corporate income tax rate. As a result of the estimated cash benefit related to the 2017 Tax Act, the Company is taking the following actions:

Associates

  • A one-time, discretionary bonus to eligible, non-bonus-plan Associates, globally
  • An incremental contribution to the Company’s defined contribution retirement plans for eligible Associates in the U.S. and internationally
  • Instituting paid parental leave for eligible Associates in the U.S.
  • Enhancing vacation benefits for certain U.S. Associates

Communities

Made meaningful contributions to TJX’s charitable foundations around the world to further support TJX’s charitable giving – Feb. 28, 2018 The TJX Companies Inc. press release excerpt

U-Haul (Multiple locations in Vermont) – $1,200 bonuses for full-time employees, $500 for part-time employees.

Dollar Tree, Inc. (Multiple locations in Vermont) -- Increased base wages, enhanced benefits including maternity leave for qualifying employees and employee training, totaling $100 million nationwide.

FedEx (Multiple locations in Vermont) – Accelerated and increased compensation; pension plan contributions:

FedEx Corporation is announcing three major programs today following the recently enacted U.S. Tax Cuts and Jobs Act:

  • Over $200 million in increased compensation, about two-thirds of which will go to hourly team members by advancing 2018 annual pay increases by six months to April 1st from the normal October date. The remainder will fund increases in performance- based incentive plans for salaried personnel.
  • A voluntary contribution of $1.5 billion to the FedEx pension plan to ensure it remains one of the best funded retirement programs in the country.
  • Investing $1.5 billion to significantly expand the FedEx Express Indianapolis hub over the next seven years. The Memphis SuperHub will also be modernized and enlarged in a major program the details of which will be announced later this spring.

FedEx believes the Tax Cuts and Jobs Act will likely increase GDP and investment in the United States-- Jan. 26 2018, FedEx press release

McDonald’s (25+ locations in Vermont) – Increased tuition investments which will provide educational program access for 400,000 U.S. employees. $2,500 per year (up from $700) for crew working 15 hours a week, $3,000 (up from $1,050) for managers, and more:

McDonald’s Corporation today announced it will allocate $150 million over five years to its global Archways to Opportunity education program. This investment will provide almost 400,000 U.S. restaurant employees with accessibility to the program as the company will also lower eligibility requirements from nine months to 90 days of employment and drop weekly shift minimums from 20 hours to 15 hours. Additionally, McDonald’s will also extend some education benefits to restaurant employees’ family members. These enhancements underscore McDonald’s and its independent franchisees’ commitment to providing jobs that fit around the lives of restaurant employees so they may pursue their education and career ambitions.

The Archways to Opportunity program provides eligible U.S. employees an opportunity to earn a high school diploma, receive upfront college tuition assistance, access free education advising services and learn English as a second language.  

“Our commitment to education reinforces our ongoing support of the people who play a crucial role in our journey to build a better McDonald’s,” said Steve Easterbrook, McDonald’s President and CEO. “By offering restaurant employees more opportunities to further their education and pursue their career aspirations, we are helping them find their full potential, whether that’s at McDonald’s or elsewhere.”

Accelerated by changes in the U.S. tax law, McDonald’s increased investment in the Archways to Opportunity Program includes:

    • Increased Tuition Investment:
      • Crew: Eligible crew will have access to $2,500/year, up from $700/year.
      • Managers: Eligible Managers will have access to $3,000/year, up from $1,050.
      • Participants have a choice for how they apply this funding – whether it be to a community college, four year university or trade school. There is no lifetime cap on tuition assistance – restaurant employees will be able to pursue their education and career passions at their own pace. The new tuition assistance is effective May 1, 2018 and retroactive to January 1, 2018.
    • Lowered Eligibility Requirements: Increase access to the program by lowering eligibility requirements from nine months to 90 days of employment. In addition, dropping from 20 hours minimum to 15 hours minimum (roughly two full time shifts) per week to enable restaurant employees more time to focus on studies.
    • Extended Services to Families: Extension of Career Online High School and College Advisory services to restaurant employees’ family members through existing educational partners Cengage and Council for Adult and Experiential Learning (CAEL).
    • Additional Resources: Career exploration resources for eligible restaurant employees to be available later this year.
    • Creation of an International Education Fund: Grants to provide local initiatives and incentives in global markets to further education advancement programs.
       

“Since its inception, Archways to Opportunity was meant to match the ambition and drive of restaurant crew with the means and network to help them find success on their own terms,” said David Fairhurst, McDonald’s Chief People Officer. “By tripling tuition assistance, adding education benefits for family members and lowering eligibility requirements to the equivalent of a summer job, we are sending a signal that if you come work at your local McDonald’s, we’ll invest in your future.”

After launching in the U.S. in 2015, Archways to Opportunity has increased access to education for over 24,000 people and awarded over $21 million in high school and college tuition assistance. Graduates have received college degrees in Business Administration, Human Resources, Communications, Accounting, Microbiology and more. – March 29, 2018 McDonald’s Corporation press release excerpt 

Note: If you know of other Vermont examples, please email John Kartch at jkartch@atr.org

The running nationwide list of companies can be found at www.atr.org/list

More from Americans for Tax Reform


How the Trump Republican Tax Cuts Are Helping Alaska

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Posted by John Kartch on Thursday, July 2nd, 2020, 11:30 AM PERMALINK

Alaska is benefiting greatly from the Tax Cuts and Jobs Act enacted by congressional Republicans and President Trump:

60,550 Alaska households are benefiting from the TCJA’s doubling of the child tax credit.

Every income group in every Alaska congressional district received a tax cut. Nationwide, a typical family of four received a $2,000 annual tax cut and a single parent with one child received a $1,300 annual tax cut.

268,720 Alaska households are benefiting from the TCJA’s doubling of the standard deduction. Thanks to the tax cuts, nine out of ten households take the standard deduction which provides tax relief and simplifies the tax filing process.

13,370 Alaska households are benefiting from the TCJA’s elimination of the Obamacare individual mandate tax. Most households hit with this tax made less than $50,000 per year.

Lower utility bills: As a direct result of the TCJA’s corporate tax rate cut, Alaska residents are saving money on utility bills. Lower electric, water, and gas bills help households and small businesses operating on tight margins. For example, Enstar Natural Gas Company, Alaska Electric Light and Power, Golden Heart Utilities, and College Utilities (see below) all passed their tax savings on to their customers. 

Thanks to the tax cuts, Alaska businesses of all sizes are hiring, expanding, raising pay and increasing employee benefits:

Enstar Natural Gas Company (Anchorage, Alaska) – The utility will pass tax reform savings to customers.

Alaska Electric Light and Power (Juneau, Alaska) – The utility will pass tax reform savings to customers.

Golden Heart Utilities (Fairbanks, Alaska) – The utility will pass tax cut savings along to customers:

In December, Congress passed new tax law that included a major cut to the corporate tax rate — to 21 percent from 35 percent. That will likely mean major savings for the small number of Alaska utilities that aren't cooperatives or municipally owned.

Those utilities include Enstar Natural Gas, which serves Anchorage, the Kenai Peninsula and Mat-Su; Alaska Electric Light and Power (AEL&P) in Juneau; and Golden Heart Utilities and College Utilities, water and sewer utilities in Fairbanks.– March 7, 2018 Anchorage Daily News article excerpt

College Utilities (Fairbanks, Alaska) – The utility will pass tax cut savings along to customers:

In December, Congress passed new tax law that included a major cut to the corporate tax rate — to 21 percent from 35 percent. That will likely mean major savings for the small number of Alaska utilities that aren't cooperatives or municipally owned.

Those utilities include Enstar Natural Gas, which serves Anchorage, the Kenai Peninsula and Mat-Su; Alaska Electric Light and Power (AEL&P) in Juneau; and Golden Heart Utilities and College Utilities, water and sewer utilities in Fairbanks. – March 7, 2018 Anchorage Daily News article excerpt

Walmart –Alaskans employed at all nine Alaska Walmart stores received tax reform bonuses, wage increases, and expanded maternity and parental leave. Walmart employees who adopt children will be given $5,000 to help cover expenses.

AT&T -- $1,000 bonuses to 455 Alaska employeesNationwide, $1 billion increase in capital expenditures:

Today, Congress approved legislation representing the first comprehensive tax reform in a generation. The President is expected to sign the bill in the coming days.

Once tax reform is signed into law, AT&T* plans to invest an additional $1 billion in the United States in 2018 and pay a special $1,000 bonus to more than 200,000 AT&T U.S. employees — all union-represented, non-management and front-line managers. If the President signs the bill before Christmas, employees will receive the bonus over the holidays.

“Congress, working closely with the President, took a monumental step to bring taxes paid by U.S. businesses in line with the rest of the industrialized world,” said Randall Stephenson, AT&T chairman and CEO. “This tax reform will drive economic growth and create good-paying jobs. In fact, we will increase our U.S. investment and pay a special bonus to our U.S. employees.”

Since 2012, AT&T has invested more in the United States than any other public company. Every $1 billion in capital invested in the telecom industry creates about 7,000 jobs for American workers, research shows. -- Dec. 20, 2017 AT&T Inc. press release

Apple (Apple store in Anchorage) -- $2,500 employee bonuses in the form of restricted stock unitsNationally, $30 billion in additional capital expenditures.

Home Depot - Seven locations in Alaska, bonuses for all hourly employees, up to $1,000.

U-Haul (Multiple locations in Alaska) – $1,200 bonuses for full-time employees, $500 for part-time employees.

Lowe's -- 800 employees in five stores in Alaska. Employees will receive bonuses of up to $1,000 based on length of service; expanded benefits and maternity/paternal leave; $5,000 of adoption assistance. 

Ryder (Anchorage, Alaska) -- Tax reform bonuses for employees.

Dollar Tree, Inc. (Anchorage, Alaska) - Nationwide, $100 million investment in raising base wages, enhanced benefits including maternity leave for qualifying employees, and employee training.  

Starbucks Coffee Company (49 locations in Alaska) – $500 stock grants for all retail employees, $2,000 stock grants for store managers, and varying plan and support center employee stock grants. Nationally, 8,000 new retail jobs; an additional wage increase this year, totaling approximately $120 million in wage increases, increased sick time benefits and parental leave.

FedEx (Multiple locations in Alaska) – Accelerated and increased compensation; pension plan contributions:

FedEx Corporation is announcing three major programs today following the recently enacted U.S. Tax Cuts and Jobs Act:

  • Over $200 million in increased compensation, about two-thirds of which will go to hourly team members by advancing 2018 annual pay increases by six months to April 1st from the normal October date. The remainder will fund increases in performance- based incentive plans for salaried personnel.
  • A voluntary contribution of $1.5 billion to the FedEx pension plan to ensure it remains one of the best funded retirement programs in the country.
  • Investing $1.5 billion to significantly expand the FedEx Express Indianapolis hub over the next seven years. The Memphis SuperHub will also be modernized and enlarged in a major program the details of which will be announced later this spring.

FedEx believes the Tax Cuts and Jobs Act will likely increase GDP and investment in the United States. – Jan. 26 2018, FedEx press release

McDonald’s (20+ locations in Alaska) – Increased tuition investments which will provide educational program access for 400,000 U.S. employees. $2,500 per year (up from $700) for crew working 15 hours a week, $3,000 (up from $1,050) for managers, and more:

McDonald’s Corporation today announced it will allocate $150 million over five years to its global Archways to Opportunity education program. This investment will provide almost 400,000 U.S. restaurant employees with accessibility to the program as the company will also lower eligibility requirements from nine months to 90 days of employment and drop weekly shift minimums from 20 hours to 15 hours. Additionally, McDonald’s will also extend some education benefits to restaurant employees’ family members. These enhancements underscore McDonald’s and its independent franchisees’ commitment to providing jobs that fit around the lives of restaurant employees so they may pursue their education and career ambitions.

The Archways to Opportunity program provides eligible U.S. employees an opportunity to earn a high school diploma, receive upfront college tuition assistance, access free education advising services and learn English as a second language.  

“Our commitment to education reinforces our ongoing support of the people who play a crucial role in our journey to build a better McDonald’s,” said Steve Easterbrook, McDonald’s President and CEO. “By offering restaurant employees more opportunities to further their education and pursue their career aspirations, we are helping them find their full potential, whether that’s at McDonald’s or elsewhere.”

Accelerated by changes in the U.S. tax law, McDonald’s increased investment in the Archways to Opportunity Program includes:

  • Increased Tuition Investment:
    • Crew: Eligible crew will have access to $2,500/year, up from $700/year.
    • Managers: Eligible Managers will have access to $3,000/year, up from $1,050.
    • Participants have a choice for how they apply this funding – whether it be to a community college, four year university or trade school. There is no lifetime cap on tuition assistance – restaurant employees will be able to pursue their education and career passions at their own pace. The new tuition assistance is effective May 1, 2018 and retroactive to January 1, 2018.
  • Lowered Eligibility Requirements: Increase access to the program by lowering eligibility requirements from nine months to 90 days of employment. In addition, dropping from 20 hours minimum to 15 hours minimum (roughly two full time shifts) per week to enable restaurant employees more time to focus on studies.
  • Extended Services to Families: Extension of Career Online High School and College Advisory services to restaurant employees’ family members through existing educational partners Cengage and Council for Adult and Experiential Learning (CAEL).
  • Additional Resources: Career exploration resources for eligible restaurant employees to be available later this year.
  • Creation of an International Education Fund: Grants to provide local initiatives and incentives in global markets to further education advancement programs.
     

“Since its inception, Archways to Opportunity was meant to match the ambition and drive of restaurant crew with the means and network to help them find success on their own terms,” said David Fairhurst, McDonald’s Chief People Officer. “By tripling tuition assistance, adding education benefits for family members and lowering eligibility requirements to the equivalent of a summer job, we are sending a signal that if you come work at your local McDonald’s, we’ll invest in your future.”

After launching in the U.S. in 2015, Archways to Opportunity has increased access to education for over 24,000 people and awarded over $21 million in high school and college tuition assistance. Graduates have received college degrees in Business Administration, Human Resources, Communications, Accounting, Microbiology and more. – March 29, 2018 McDonald’s Corporation press release excerpt

Comcast (Locations in Alaska) -- $1,000 bonuses; nationally, at least $50 billion investment in infrastructure in next five years.

Wells Fargo - 45 banks in Alaska, raised base wage from $13.50 to $15.00 per hour; nationally, $400 million in charitable donations for 2018; $100 million increased capital investment over the next three years.

Note: If you know of other Alaska examples, please email John Kartch at jkartch@atr.org

The running nationwide list of companies can be found at www.atr.org/list

More from Americans for Tax Reform


How the Trump Republican Tax Cuts Are Helping California

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Posted by John Kartch on Thursday, July 2nd, 2020, 12:15 AM PERMALINK

California is benefiting greatly from the Tax Cuts and Jobs Act enacted by congressional Republicans and President Trump:

2,649,200 California households are benefiting from the TCJA’s doubling of the child tax credit.

Every income group in every California congressional district received a tax cutNationwide, a typical family of four received a $2,000 annual tax cut and a single parent with one child received a $1,300 annual tax cut.

11,633,710 California households are benefiting from the TCJA’s doubling of the standard deduction. Thanks to the tax cuts, nine out of ten households take the standard deduction which provides tax relief and simplifies the tax filing process.

553,000 California households are benefiting from the TCJA’s elimination of the Obamacare individual mandate tax. Most households hit with this tax made less than $50,000 per year.

Lower utility bills: As a direct result of the TCJA’s corporate tax rate cut, California residents are saving money on utility bills. Lower electric, water, and gas bills help households and small businesses operating on tight margins. California utilities that have passed along tax savings include -- but are not limited to -- California Water Service and Pacific Gas and Electric Company (see below.)

Thanks to the tax cuts, California businesses of all sizes are hiring, expanding, raising pay and increasing employee benefits:

Mission Produce (Oxnard, California) -- $1,000 bonuses; investment in new facilities and technology:

Mission Produce, an avocado distributor based in Oxnard, is rewarding employees in response to the recent federal tax cut.

“We are giving all our U.S.-based employees a $1,000 bonus,” President and CEO Steve Barnard said at a recent company meeting. “We applaud President Trump for spearheading the action needed to pass tax reform. The Tax Cuts and Jobs Act of 2017 created a meaningful impact on Mission’s business. We plan to invest the tax savings in new facilities and technology to create opportunities for the company and for our employees. It’s only fair that we share the benefits that tax reform will have on our business with our valued employees.” — Feb. 22 2018, Reno Gazette Journal excerpt

Footwork International Inc. (Torrance, California) – Was able to create new jobs and increase wages because of the Tax Cuts and Jobs Act:

“Tax Reform allows my business options to exercise many small business struggles with high tax rate,” said Jim Wang, owner of Footwork International Inc. in Torrance, California. “By allowing higher retaining income rate, this enables us to exercise growth options such as staffing, wage increase, purchasing power to keep our business competitive both domestically and globally.”– March 23, 2018, NFIB article.

360 REIT (North Hollywood, California) -- The company is building a 190-lot manufactured home community in an Opportunity Zone created by the Tax Cuts and Jobs Act.:

Located in an Opportunity Zone at 8250 Lankershim Boulevard in North Hollywood, California, Hollywood Backlot Homes will be operated as a detached multifamily rental community. The redevelopment program will involve the sponsor designing and installing nearly 140 manufactured homes. The master-planned community environment will provide renters with the comforts of class A multifamily amenities, including an outdoor pool, clubhouse, gym, billiards and gaming center, dog runs, barbeque and outdoor lounging area and gated entry. The community's attainable price points will allow renters otherwise looking for an apartment to enjoy the privacy and extra space of a detached single-family home.

Mauricio Oberfeld, Co-Founder of Multi-Opp, LLC, said, "When we discovered the Hollywood Backlot Homes property, we immediately realized it would be the perfect property to launch our detached multifamily rental concept, where renters can enjoy all the benefits of a class A multifamily asset while living in a detached residential environment with attainable rents. We believe this project embodies the true goal of the Opportunity Zone legislation, to encourage investment, housing and job creation in designated Opportunity Zones, in addition to providing an affordable option for individuals who may need extra physical space for protection against COVID-19. We are thrilled to have closed the acquisition with financing from 3650 REIT, who understood our vision and was able to navigate an incredibly complex transaction in less than 30 days." -- June 17, 2020 press release

Ralphs (Los Angeles, California) – The supermarket is hiring over 600 positions in partnership with their sister store, Food 4 Less, because of the Tax Cuts and Jobs Act:

Need a job? Supermarket partners Ralphs and Food 4 Less are now hiring to fill more than 600 open positions in their Southern California supermarkets.

"We have a variety of part-time positions that we need to fill in every Ralphs and Food 4 Less store in Southern California," said Kendra Doyel, senior director of human resources for Ralphs and Food 4 Less. "Positions are available to friendly and engaging people in most every department including front end, deli, meat, bakery and grocery."

Positions are also available at select stores in support of Ralphs' online ordering service, ClickList.

The positions for which Ralphs and Food 4 Less are hiring offer competitive wages, flexible schedules, benefits and room for advancement.

Job seekers interested in applying for a position at their local Ralphs supermarket should apply online at jobs.ralphs.com. Those applying for a position at a Food4 Less store are asked to apply at jobs.food4less.com.  

"Ralphs and Food 4 Less are great places to work where you can come for a job and stay for a career," Doyel added. "We are committed to creating great entry-level jobs and investing in our associates so they can reach their full potential. We are looking forward to adding many great people to our teams at Ralphs and Food 4 Less." – April 12, 2018, Ralphs and Food 4 Less press release.

Urban Catalyst and Urban Community (San Jose, California) -- The companies are building a mixed-use space in an Opportunity Zone created by the Tax Cuts and Jobs Act:

The site of the former Lido night club in downtown San Jose is headed for a major facelift that would preserve the property's key historic elements and add offices, retail, a restaurant and a new fountain, according to preliminary documents on file with city officials.

Fountain Alley Building is the working title for the project that would rise on South First Street in downtown San Jose and bring a mix of office, retail and dining spaces to the site, which is next to another historic building, the Bank of Italy office tower.

The six-story development is expected to total at least 50,000 square feet, according to planning documents and project builders.

"The new building will be predominantly retail and restaurant on the ground level and office on levels two through six," according to public documents submitted by the developers and Studio Current, which has designed the project.

The project has emerged as a joint effort by two San Jose-based real estate and investment companies: Urban Catalyst, headed by developer Erik Hayden, and Urban Community, led by developer Gary Dillabough.

"The corner of the building at South First and Fountain Alley will have a water fountain to identify it as the Fountain Alley Building," stated the documents on file with the city.

The 36 S. First St. structure is officially known as the Knox Goodrich Building and was constructed by Sarah Knox-Goodrich in 1889, according to a marker outside the building that described it as a "charming commercial structure."

She was "a strong advocate of women's rights and organized San Jose's first Woman Suffrage Association in 1869," the marker states. Her first husband, William Knox, was co-founder of San Jose's first bank. Her second husband, Levi Goodrich, was the architect of old county courthouses in San Jose, Monterey and San Diego.

The developers intend to upgrade and preserve the historic Knox Goodrich building so it can become the primary lobby entrance for the new office building, according to the planning documents.

"Special care will be given to maintain the entire 1889 building and the historic facade while renovating the entry lobby," the developers said in the city files.

Dillabough has begun wide-ranging renovations and revivals of multiple historic or older buildings in downtown San Jose, notably the Bank of Italy office tower.

The renovation of the old Lido Club property is made possible, in part, because it's located in an opportunity zone. In numerous communities in the United States, opportunity zones have been enabled by President Donald Trump's tax-cut initiative.

Urban Catalyst, Hayden's firm, was formed to create an opportunity fund that would provide development expertise and cash for selected properties in Bay Area districts that have been designated as opportunity zones. Large sections of downtown San Jose, as well as parts of Oakland and San Francisco, are in opportunity zones.

Potentially the first project in the San Jose opportunity zone would be the redevelopment of the Lido Club site. -- April 4, 2019 San Jose Mercury article

New York Life Real Estate (Oakland, California) -- The company is building an apartment complex in an Opportunity Zone created by the Tax Cuts and Jobs Act:

While downtown Oakland has lured major investments from big-name investors, West Oakland was largely overlooked — until now.

New York Life Real Estate Investors is among the first institutional investors to place a bet on West Oakland. The firm plans to invest $18 million into The Union, a 110-unit apartment building at 532 Union St.

Holliday Development plans to build out most of the project at Factory OS, its modular construction facility in Vallejo.

“This investment legitimizes the location and Factory OS,” said Brett Mlinarich, vice president with Highland Realty Capital Inc., who arranged the investment. “New York Life saw the opportunity to be the first.”

The Union, designed by David Baker Architects, will cost about $46 million to develop and will be one of first residential projects in Oakland built using modules. That type of construction involves producing building components made in a factory that are later stacked onsite to create a new structure.

The project site, formerly owned by Caltrans, is three blocks from the West Oakland BART Station.

“West Oakland has really become something special and it’s in an Opportunity Zone,” Mlinarich said, referring to a tax credit program that encourages long-term investment in designated low-income urban and rural areas. -- October 30, 2019 San Francisco Business Times

EJF Capital - Oakland (Oakland, California) -- A hotel is being built in an Opportunity Zone created by the Tax Cuts and Jobs Act:

The Moxy Hotel in Uptown Oakland will break ground within 60 days, joining the West Elm Hotel that started construction in January just two blocks away.

Both hotels are within a few blocks of Uptown Station, the renovated office property where San Francisco-based Square Inc. recently leased all 356,000 square feet. Other developers are building housing and retail in the area.

A $7.3 billion East Coast hedge fund and a private equity firm are leading a group investing $50 million into the Moxy. Hedge fund EJF Capital, along with partners Tidewater Capital and Graves Hospitality, will lead the development of the seven-story Marriott International Moxy hotel at 2225 Telegraph Ave. EJF Capital said in a statement that one reason it's investing in the Moxy is because it's in a federal "opportunity zone," which brings potential tax benefits with it.

The 173-room hotel is expected to open in 2021, according to Tidewater Capital Managing Principal Craig Young.

“We were attracted to Uptown just given the eclectic nature of the submarket there, and the mix of restaurants and entertainment,” Young said. He also pointed to the local arts scene and proximity of the site to the monthly First Fridays event.

The hotel will be 72,615 square feet with the bottom floor designed to feature a bar, restaurant and lounge, and perhaps a stage, all part of the Moxy brand's focus on millennial travelers.

Tidewater Capital is a San Francisco-based real estate investor and developer that will manage construction for the project, while Graves Hospitality, which will manage the hotel, is a Minnesota-based developer approved by the Marriott for the Moxy brand. The architects on the project are RSP Architects and Lowney Architecture.

Tidewater Capital is busy elsewhere in the Bay Area. It's working with Warhorse LLC on 186 units at 1028 Market St. and a separate project of 141 homes at 430 Main St., both in San Francisco.

Lead investor EJF Capital is headquartered just outside of Washington, D.C. Neither EJF nor Tidewater would disclose how much of the $50 million each company is investing.

Other developers have hotel projects outside of Uptown in the Oakland pipeline, including a 121-room Hampton Inn opening this August. Former Oakland A’s owner Lew Wolff has approvals to build a 276-room hotel at 1431 Jefferson St.

Visit Oakland President and CEO Mark Everton sees the Moxy development as one of several vital projects to boost the hospitality market in both Uptown and Oakland.

“There really aren’t any hotels in the Uptown area,” Everton said. “This is a great step. Oakland has for the last three years had the fastest-growing average daily rate of any major metropolitan area in the country.”

From 2016 to 2018, Oakland's average daily rate (ADR) rose from $137.95 to $155.79 for growth of 12.9 percent, according to an Oakland STR report. The national ADR rose from $120.01 to $129.83 during that same period, growing 8.2 percent.

To Everton, the new Moxy hotel “is not cookie-cutter. It’s unique, boutique branding that adds to the whole Oakland vibe.”

“It’s already a pretty amazing neighborhood,” Young said of Uptown. “It’s a dynamic place we feel lucky to be a part of.” -- March 21, 2019 San Francisco Times article

Starwood Capital and Holland Partner (Los Angeles, California) -- The company is building an apartment complex in an Opportunity Zone created by the Tax Cuts and Jobs Act:

An affiliate of real estate-focused private investment firm Starwood Capital Group has announced it has formed a joint venture with Holland Partner Group to acquire and develop a Class A multifamily project in Los Angeles, the company said.

Starwood and Holland expect to complete the Opportunity Zone development in the Spring of 2020.

The property will consist of 375 units in a seven-story, podium-style community with 37 studios, 177 one-bedroom units, 139 two-bedroom units, 20 three-bedroom units and 2 four-bedroom units.

Starwood Capital announced the formation of its Opportunity Zone business on Jan. 30, 2019, to ensure the success of its ongoing investments in Opportunity Zones, which were created by the 2017 Tax Cuts and Jobs Act to offer investors certain tax advantages for developing and operating assets in designated Opportunity Zones.

Starwood Capital Group maintains 13 offices in five countries around the world, and currently has approximately 4,000 employees. Since its inception in 1991, Starwood Capital Group has raised USD 45 billion of equity capital, and currently has in excess of USD 60 billion of assets under management.

Holland Partner Group, based in Vancouver, Washington, is a fully integrated real estate investment company with investments in multi-family development, redevelopment and mixed-use assets. -- May 17, 2020 press release

Russian River Brewing Co. (Windsor, California) – Because of the Tax Cuts and Jobs Act, the owner is planning on using the savings to buy "a freakin' generator."

Russian River Brewing Co. in Windsor would save about $140,000 next year from the federal excise tax break if it produces up to 40,000 barrels, co-owner Natalie Cilurzo said.

“Guess what we will probably spend that on? A freakin’ generator,” Cilurzo said in a text, referencing backup costs incurred from the October PG&E power shut-offs and the possibility the brewery will buy instead of rent a generator for next year’s wildfire season. – Dec. 18, 2019, Sonoma News article.

Food 4 Less (Los Angeles, California) – The supermarket is hiring over 600 positions in partnership with their sister store, Food 4 Less, because of the Tax Cuts and Jobs Act:

Need a job? Supermarket partners Ralphs and Food 4 Less are now hiring to fill more than 600 open positions in their Southern California supermarkets.

"We have a variety of part-time positions that we need to fill in every Ralphs and Food 4 Less store in Southern California," said Kendra Doyel, senior director of human resources for Ralphs and Food 4 Less. "Positions are available to friendly and engaging people in most every department including front end, deli, meat, bakery and grocery."

Positions are also available at select stores in support of Ralphs' online ordering service, ClickList.

The positions for which Ralphs and Food 4 Less are hiring offer competitive wages, flexible schedules, benefits and room for advancement.

Job seekers interested in applying for a position at their local Ralphs supermarket should apply online at jobs.ralphs.com. Those applying for a position at a Food4 Less store are asked to apply at jobs.food4less.com.  

"Ralphs and Food 4 Less are great places to work where you can come for a job and stay for a career," Doyel added. "We are committed to creating great entry-level jobs and investing in our associates so they can reach their full potential. We are looking forward to adding many great people to our teams at Ralphs and Food 4 Less." – April 12, 2018, Ralphs and Food 4 Less press release.

Canopy by Hilton (Sacramento, California) -- A Hilton is being built in an Opportunity Zone created by the Tax Cuts and Jobs Act:

Downtown Sacramento is slated for a new 14-story, 275-room Hilton hotel, with construction scheduled to get underway as soon as next year.

The hotel site would be on what’s now the location of a vacant building and parking filling a quarter block on the northwest corner of Ninth and L streets. The existing building, which dates to 1965 but hasn’t been occupied in over a decade, would be demolished as part of the project.

If the project moves forward on schedule, Hill said, she’d like to open it in 2022. She estimated the project cost at about $150 million. A limited liability corporation affiliated with Venture Oaks bought 831 L St. nearly three years ago for $5 million.

“This site is situated between the arena and the convention center, and is very close to the state Capitol,” Hill said. “Those are all excellent drivers for a hotel, and Sacramento is short on hotel rooms.”

Because of its location, the project can qualify as an opportunity zone investment, Hill said. Opportunity zones are areas considered economically distressed, where investments may receive favorable tax treatment under the 2017 federal tax reform.  --December 23, 2019 Sacramento Business Journal article

Realm Group, LLC (Los Angeles, California) -- The company is building an apartment complex in an Opportunity Zone created by the Tax Cuts and Jobs Act:

Realm Group, LLC a joint venture between Realm Real Estate, LLC of Newport Beach, California and The Bascom Group, LLC of Irvine, California, has closed on a 1.5-acre site located in Downtown Los Angeles at 675 South Bixel Street. Realm Group entitled the site for the development of a 36-story, 422-unit mixed-use high-rise multifamily building, to be built as one of the premier residential towers in Downtown Los Angeles. HFF's capital team, led by Charles Halladay, Jamie Kline, Nicholas Lench and Samuel Godfrey facilitated the land financing. Starwood Property Trust provided the debt financing for the land purchase.

The international modern, concrete, steel and glass tower has a loft style design and will feature a rooftop sky lounge providing striking views of the city's skyline along with an expansive 40,000 sq. ft. amenity deck on the 5(th) floor with an inviting pool terrace, market leading amenities including a spacious dog park, making it one of the largest amenity decks in Downtown Los Angeles.

The project is located within walking distance to a robust variety of employment, transportation, retail, restaurant/bar and grocery options. Grocery Outlet, Whole Foods, Target, Teragram Ballroom and Starbucks are a few of the notable nearby retailers. The well-located project boasts a Transit Score of 100 and a Walk Score of 95.

Darrin Olson, principal of Realm Group, commented, "Bixel Tower represents an important component to Downtown Los Angeles' ongoing successful revitalization as the city is facing a severe housing shortage. The development will be a premier asset in Downtown Los Angeles with best in class amenities. The quality conveyed in Bixel Tower will appeal to a broad spectrum of renters." Todd Cadwell, Development Manager of Realm Group, adds, "We are excited to successfully obtain the city entitlements, close on the site and begin the next phase of development."

Bixel Tower represents Realm Group's second high-rise development project in Downtown Los Angeles. Realm's original high-rise development project is located in the Fashion District and is designated as an Opportunity Zone. The Fashion District Tower will consist of a 33-story, 452-unit mixed-use multifamily community. Realm Group entitled the project and subsequently closed on the land in July 2018 with plans to commence construction in 2020. -- June 12, 2020 Realm Group LLC press release

Midas Hospitality (Los Angeles, California) -- The hospitality chain is building a hotel in Los Angeles in an Opportunity Zone created by the Tax Cuts and Jobs Act:

Midas Hospitality has been tapped to develop a hotel in the Los Angeles area, marking a shift in strategy from the company's focus on underserved markets.

Midas will co-develop a $25 million, 107-room Residence Inn in Lancaster, California, after the brand's parent, Marriott, referred Midas to the local developer, InSite Development. The project is currently in the pre-development stage, but Midas will manage the hotel once complete, co-founder J.T. Norville said.

The Maryland Heights-based company developed a niche building and managing hotels in underserved markets like Kentucky, Ohio and the Carolinas, which helped to push Midas to one of St. Louis' largest privately held companies with $124.8 million in revenue last year. And Norville had said in 2018 that "you're not going to see us in Manhattan or Chicago."

But Norville said the Lancaster project was appealing because it was a Residence Inn, one of the strongest brands in Midas' portfolio; the area is home to a major aeronautics market with companies like Northrup Grumman and Boeing, as well as Edwards Air Force Base; and its location within an "opportunity zone," which allow investors to reinvest capital gains in federally designated economically disadvantaged areas.

"It's a good investment opportunity for our investors," Norville said.

Midas is launching an opportunity zone fund and is aiming to raise $12 million for the Lancaster project. Its first OZ fund in Midtown raised $35 million in four months.

With any of its markets, Midas will seek out more opportunities.

"Whether third-party management or continued ownership, we will want to scale out in the greater Los Angeles area," Norville said. -- June 25, 2019 St. Louis Business Journal article

Linc Housing (Long Beach, California) -- The company is building an apartment complex for people who have experienced homelessness, in an Opportunity Zone created by the Tax Cuts and Jobs Act:

Linc Housing has announced the start of construction on Bloom at Magnolia, an all-new, 40-unit apartment community in Long Beach for people who have experienced homelessness.

Located in the South Wrigley neighborhood in central Long Beach, Bloom at Magnolia is aligned with key concepts in the City's proposed General Plan Update by incorporating smart growth principles to develop a thriving and livable community that promotes healthy living, education, opportunity and neighborhood engagement. The 37,900-square-foot site was purchased from the City of Long Beach's nonprofit affiliate, the Long Beach Community Investment Company (LBCIC), following a competitive bidding process.

....

Funding for the development comes from a variety of sources including $8.5 million from the Los Angeles County Development Authority (general funds, Mental Health Housing Program Funds, and Measure H Funds), $2 million in gap financing from the Long Beach Community Investment Company (LBCIC), a conventional loan from the California Community Reinvestment Corporation, a construction loan from Union Bank, tax credit equity from Raymond James Tax Credit Funds, Inc., and Affordable Housing Program funds from the Federal Home Loan Bank. The California Endowment provided predevelopment support. Bloom at Magnolia also benefits from the federal Opportunity Zone incentive program intended to spur economic development and job creation in distressed communities. -- April 29, 2020 Market Line News article

Carmel Partners Inc. (Los Angeles, California) -- The company is converting the building into an apartment complex with 1,210 residential units, located in an Opportunity Zone created by the Tax Cuts and Jobs Act:


On the edge of West Adams, Cumulus is rising. Developer Carmel Partners Inc.'s project sits on 11 acres at the corner of Jefferson and La Cienega boulevards near the Expo Line.
 
Cumulus is slated to have a 31-story high-rise and a seven-story mid-rise building, with a combined 1,210 residential units.
 
The property is the former site of a Cumulus Media Inc. radio station.
 
"There's a nod to that history," said Dan Garibaldi, Carmel Partners' managing partner of development and construction, citing the project and buildings' names, as well as an on-site recording studio.
 
The 31-story ARQ tower, designed by Solomon Cordwell Buenz & Associates Inc., is scheduled to start leasing this summer, with residents able to start moving in this September.
 
The seven-story VOX building, designed by TCA Architects, is expected to open in spring 2021.
 
Garibaldi said the location was a huge plus.
 
"It's at the crossroads of Culver City and West Adams. It's surrounded by the Hayden Tract and the Culver City Arts District. There's a lot of fast-growing tech, media and entertainment, but there's not a lot of housing there, and the Cumulus provides a lot of housing," he said.
 
Garibaldi said he anticipates that Cumulus will help create a greater sense of community in the area.
 
The amenity-rich project will have coworking spaces, a recording studio, spas and pools.
 
The development's 100,000 square feet of retail will be anchored by a Whole Foods store, which is expected to open in fall 2021.
 
Garibaldi said the project was "in the middle of the lease up process" and would be curating fast-casual to higher-end dining options, coffee shops, fitness centers and retailers.
 
Active West Adams
 
West Adams is home to a plethora of developments. CIM Group has filed plans for a large number of projects in the area, including a mixed-use site with 69 residential units and 6,000 square feet of retail at 5109 W. Adams Blvd.
 
CIM owns at least 40 sites in the area, said Jeff Gerlach, a vice president at CBRE Group Inc.
 
"They, over the last couple of years, have been buying up small sites here and there, and are now in the stages of building everything out," he said. "CIM really is controlling this whole project and this whole area. Their master plan and their vision is to create an Abbot Kinney- or a Highland Park-esque retail destination."
 
Gerlach added that there was high demand for office space in the area, too.
 
"The reason we're seeing this is largely because of the Westside office dynamic," he said. "There's very high rental rates and very limited amounts of space. West Adams has become this outlet for this demand for space and companies looking for space that's a little bit more affordable and still centrally located. It's on everybody's radar now. In the last 12 months, it's gone through some pretty significant changes."
 
Jones Lang LaSalle Inc. Vice President Christian Kasparian agreed.
 
"Between Culver City, the Westside and downtown L.A., prices in terms of office space, retail space, everything continues to go up. West Adams has been an affordable pocket for the time being. You have housing which is one of the more affordable locations within L.A., making this area very attractive to employers and employees," he said.
 
Public transit in the area is also attractive, market observers say, with the Expo Line and the upcoming Crenshaw Line.
 
"Developers are trying to take advantage of being a transit-oriented area and all the incentives," Kasparian said.
 
Part of the reason development is happening so quickly is that West Adams is in an opportunity zone. The zones aim to increase development in economically distressed areas by allowing investors to defer taxes on capital gains. -- March 23, 2020 Los Angeles Business Journal article

Crown Royal Developers (Van Nuys, California) -- The developer is building an apartment complex for extremely low-income residents located in an Opportunity Zone created by the Tax Cuts and Jobs Act:

Local firm Crown Royal Developers has filed plans for a 71-unit apartment complex in Van Nuys, with eight units set aside for extremely low-income residents.

The Beverly Hills-based company wants to build the 78-foot complex at 14518-14526 Erwin Street, just west of Van Nuys Boulevard, according to plans filed with the Los Angeles City Planning Department. The site is located in a federal Opportunity Zone, which provides tax incentives for long-term investors who pour money into projects in distressed areas. The Treasury Department just opened an investigation into the program, following media stories that raised questions about who was benefiting from the program.

Crown filed its plans with Santa Monica-based architecture firm Minarc through an LLC. The signatory is Asaf Glazer, president of Crown Royal Developers.

Van Nuys has seen some activity in the affordable housing arena lately. In September, prolific affordable housing developer Skid Row Housing Trust announced plans to expand into Van Nuys, with a 64-unit apartment building for low-income or very low-income tenants.

California and L.A. in particular continue to grapple with the lack of affordable housing. Gov. Gavin Newson recently threatened to withhold state transportation funds from municipalities if they fail to meet new housing production targets. -- January 16, 2020 The Real Deal article

US-Offsite (Anderson, California) -- The modular construction manufacturer is building a new plant and will create 100 jobs in an Opportunity Zone created by the Tax Cuts and Jobs Act:

A modular construction manufacturer has picked Anderson to build its first plant, and the company vows to hire approximately 100 people when it opens early next year.

US-Offsite is a volumetric building company that will make prefabricated cubes for multi-family and commercial projects, such as apartments, hotels and student housing. The cubes will be built in Anderson and then shipped to project sites from Seattle to San Diego, company co-founder Dan Ferreira said.

"We are taking an entire multi-family structure up to five stories, we slice the structure into cubes, we fully build the cubes in the plant down to finishes, paint, fixtures and then we ship the cubes to the site where they are assembled like Legos," said Ferreira, who envisions his company helping California's housing shortage.

Building this way can cut in half the time for vertical construction, and there also is a cost savings, he said. Moreover, the developer or contractor doesn't have to worry about supply chain issues, which Ferreira said is more critical amid the coronavirus crisis.

...

The Industry Road site also is in an opportunity zone, a program that is part of the 2018 federal tax overhaul. The zones are meant to create tax benefits in designated areas to spur economic development and create jobs. -- May 3, 2020, Record Searchlight article

Staley Point Capital (Los Angeles, California) -- The company is creating a self-storage facility in an Opportunity Zone created by the Tax Cuts and Jobs Act:

For its first project, Staley Point Capital wants to demolish a 21,000-square-foot South Los Angeles light manufacturing complex it acquired last month and replace it with a sprawling “state of the art” self-storage facility, according to records filed with the Los Angeles City Planning Department.

Century City-based Staley Point is a new venture formed by Kevin Staley — who co-founded the Magellan Group — and his son, Eric, who recently left Blackstone Group, Eric Staley said.

In December, the investment firm paid $7.35 million for the site located at West 25th Street and Broadway. It plans to replace the existing structures with a 109,000-square-foot storage facility featuring 24-hour digital surveillance and controlled access.

This site is located in a federal Opportunity Zone. Over 8,700 such zones have been created across the country. Developers who undertake projects in them can realize significant tax benefits by investing their capital gains in the designated  census tracts. -- January 16, 2020 The Real Deal article

Alexander Valley Vineyards (Healdsburg, California) – The vineyard was able to create new jobs, buy new equipment, and remodel their tasting rooms because of the Tax Cuts and Jobs Act:

“The craft beverage bill has been an incredible boost for our industry and this extension allows us to continue investing in our wineries by buying new equipment, remodeling tasting rooms, hiring new employees and more,” said Hank Wetzel, founder and family partner of Alexander Valley Vineyards and Chairman of Wine Institute. “All of this benefits local communities in the form of jobs, tax revenue and support for the hospitality industry.” – Dec. 20, 2019, Southeast Farm Press article.

Visa (Foster City, California) – significantly increased permanent contributions to employee 401(k) accounts:

The recent passage of tax reform legislation here in the U.S. will generate substantial benefit to businesses with U.S.-based headquarters, including Visa, through a reduction in the overall corporate tax rate. This action will allow us to increase investment in our long-term growth, and most importantly in all of you who are so integral to Visa’s success.

We are in the very early stages of determining the extent and timing of the investments that we might make. As we explore the range of potential options, taking actions in support of our employees around the world is high on our list.

As an initial step, and recognizing that the change in tax is focused on the U.S., we have looked first at improving our benefits for U.S.-based employees by significantly enriching our company contributions to the 401(k) program:

Today Visa matches 200% of eligible employee contributions up to 3% of base salary for a total maximum contribution of 6% of eligible pay.

Visa will now increase the match to 200% of employee contributions, up to 5% of base salary, for a Visa total maximum contribution of 10% of eligible pay. 

This enhanced benefit will be available to all U.S. employees, with the exception of Executive Committee members, and will take effect in late February. To encourage use of the program, we will be changing the default employee pre-tax contribution from 3% to 5% for employees who currently contribute less than 5%.

We are also exploring a range of talent, education and technology investments designed to provide sustained enhanced benefits to all employees around the world, consistent with the role everyone will play in building our business for years to come. We look forward to sharing more specifics with you in the coming months. – Excerpt from Jan. 3 internal announcement to Visa’s U.S. employees

Apple (Headquarters in Cupertino plus Apple Store locations in Bakersfield, Berkeley, Brea, Berlingame, Canoga Park, Carlsbad, Cerritos, Chula Vista, Corte Madera, Costa Mesa, Cupertino, Emeryville, Escondido, Fresno, Glendale, Irvine, Los Angeles, Los Gatos, Manhattan Beach, Mission Viejo, Modesto, Monterey, Newport Beach, Northridge, Palm Desert, Palo Alto, Pasadena, Pleasanton, Rancho Cucamonga, Roseville, Sacramento, San Diego, San Francisco, San Jose, San Luis Obispo, San Mateo, Santa Barbara, Santa Clara, Santa Monica, Santa Rosa, Sherman Oaks, Temecula, Thousand Oaks, Valencia, and Walnut Creek)

$2,500 employee bonuses in the form of restricted stock units; $30 billion in additional capital expenditures over five years; 20,000 new employees will be hired; increased support of coding education and science, technology, engineering, arts, and math; increased support for U.S. manufacturing:

     Bonuses:

Apple Inc. told employees Wednesday that it’s issuing a bonus of $2,500 worth of restricted stock units, following the introduction of the new U.S. tax law, according to people familiar with the matter.

The iPhone maker will begin issuing stock grants to most employees worldwide in the coming months, said the people, who asked not to be identified because they weren’t authorized to speak publicly. The move comes on the same day Apple said it would bring back most of its cash from overseas and spend $30 billion in the U.S. over the next five years, funding an additional technical support campus, data centers and 20,000 new employees.

Apple confirmed the bonuses in response to a Bloomberg inquiry Wednesday. – Jan. 17 2018, Bloomberg News article excerpt

     Capital expenditures, etc:

Apple expects to invest over $30 billion in capital expenditures in the US over the next five years and create over 20,000 new jobs through hiring at existing campuses and opening a new one.

Building on the initial success of the Advanced Manufacturing Fund announced last spring, Apple is increasing the size of the fund from $1 billion to $5 billion. The fund was established to support innovation among American manufacturers and help others establish a presence in the US. It is already backing projects with leading manufacturers in Kentucky and rural Texas.

Apple works with over 9,000 American suppliers — large and small businesses in all 50 states — and each of Apple’s core products relies on parts or materials made in the US or provided by US-based suppliers.

Apple, which has a 40-year history in education, also plans to accelerate its efforts across the US in support of coding education as well as programs focused on Science, Technology, Engineering, Arts and Math (STEAM). – Jan. 17, 2018 Apple press release excerpts

MEC Arial Work Platforms (Kerman, California) – $1,000 bonuses:

Company owner David White says the tax cut legislation deserves some of the credit for a boost in sales and hiring.
"Its more of an indirect effect, and as the economy has improved, and as there are more new construction starts, and our products are used in that new construction, they are used in industrial construction, and upgrades. So that has resulted in increased production, increased sales volume, which has directly affected us of course."

White says sales are way up and he's given each of the 130 employees a $1,000 bonus. May 2, 2018, ABC 30 Actions News.com article excerpt

ecUtopia (San Diego, California) – Tax reform bonuses to employees:

ecUtopia, the largest provider of EDI services within the Home Furnishings Industry, announced today bonuses for all its employees. The employee bonus is attributed to the new tax law. Under the new tax bill, corporate tax rate will drop from 35% to 21%.

Phil Kenney, CEO & President of ecUtopia, explains “we had great news from our accountants and wanted to pass that to our employees.” – May 3 2018, Furniture Today article excerpt

Simulations Plus, Inc (Lancaster, California) – $1,000 bonuses:

The premier provider of simulation and modeling software and consulting services for all stages of pharmaceutical discovery and development, today announced that it will be distributing a one-time $1,000 discretionary cash bonus to each of its employees.

Walt Woltosz, chairman and chief executive officer of Simulations Plus, said, “As we announced on April 9, 2018, when we reported record financial results for our second fiscal quarter of 2018, with the effects of the Tax Cuts and Jobs Act of 2017, we posted a deferred tax benefit of approximately $1.5 million in our second fiscal quarter, as well as lower income tax rates for January and February. – April 24, 2018 Simulations Plus, Inc press release excerpt

Pacific Gas and Electric Company (San Francisco, California) - the utility is passing along tax cut savings to customers:

PG&E is taking action to pass along approximately $450 million in annual tax savings to its customers. As a first step, today PG&E made three separate filings requesting to pass along approximately $325 million per year in federal tax savings from the  federal Tax Cuts and Jobs Act for 2018 and 2019. PG&E has proposed to the CPUC that the benefits of the federal tax savings be used to offset expected rate increases. - March 30, 2018, PG&E Press Release

California Water Service (San Jose, California) – The utility is passing along tax cut savings to customers:

California Water Service (Cal Water) submitted a filing with the California Public Utilities Commission (CPUC) yesterday to decrease revenue needed in its service areas by almost $18 million, due to changes in federal tax laws and CPUC-authorized capital equity and debt financing costs. If approved as submitted, new rates reflecting the lower tax rates and financing costs will be effective July 1, 2018. – May 30, 2018 GlobeNewsWire article excerpt

PodcastOne (Los Angeles, California) – $1,000 bonuses for all full-time employees:

PodcastOne Founder and Executive Chairman Norman Pattiz announced today that the podcast company will award all full-time employees a $1,000 cash bonus.

 Pattiz said, “There’s no question that cutting the corporate Federal Tax Rate to 21% will have a positive effect on business, ours included. We want our employees  to feel the direct benefit of these cuts, especially since because of their efforts we are coming off another record year in 2017. So we say, ‘Thank you to our dedicated staff and job well done.’”

PodcastOne is the nation’s largest advertiser-supported podcast network. – Jan. 30 2018, PodcastOne press release

Kramerica Properties (Merced, California) – This small family-owned company gave each of the six employees a $2,000 tax reform bonus:

My employer Kramerica Properties, a small family owned company gave each employee $2,000 once this tax bill was signed by our President. In fact, on election day, the owners gave us the day off and once Trump won the election, we got the whole weekend off and paid for. Only having 6 people employed, it is much easier and fun to celebrate these "small crumbs". 

I would also like to add that instead of the office listening to music station, we only listen to KMJNOW conservative radio, & the best part is all employees are Hispanic & love calling to the radio station. Hispanics for Trump. – M. Alcaraz, Kramerica Properties

JimRinehart.com State Farm agent (Seaside, California) – Pay raises for employees:

I am a self-employed Insurance Agent for State Farm Insurance with 3 full time employees in my office in Seaside, CA.  Because of President’s  tax reform I gave all of my staff a pay raise starting Jan 1 2018. – Jim Rinehart, State Farm Agent

Alpha Omega Winery (St. Helena, California) -- The winery used savings from the Tax Cuts and Jobs Act to invest in employee raises and new equipment:

"It was unbelievably timely because we were just coming off those fires of 2017," said Robin Baggett, who owns Alpha Omega winery in California’s Napa Valley. He used the tax savings to invest in equipment and employee raises.

“The cuts had two major parts—decreases on the amount taxed per gallon and an adjustment on the amount taxed on wines of differing alcohol levels. Before the bill, wine over 14 percent in alcohol (very common in California) fell into in a higher tax bracket, and Baggett said this led to people consciously making wine just under that threshold to avoid it. "We don't have to fiddle around with our wine [anymore]," he said.” -- Nov. 8, 2019 Wine Spectator article

Amgen (Thousand Oaks, California) – Construction of a new $300 million U.S. manufacturing plant which will employ up to 300 at the facility; $300 million investment in biotechnology ventures; $3.5 billion in capital expenditures; $100 million investment in Amgen Scholars and Amgen Biotech Experience programs; $100 million in charitable donations, and more:

  • Amgen will build a new “Next Generation” manufacturing plant in the U.S. (location TBD by Q2) – a $300 Million investment to implement Amgen’s next-generation biomanufacturing capabilities, and manufacture products for the U.S. and export markets. The construction and validation work is expected to add 220 jobs to the local economy.  In addition, Amgen expects this new facility to employ up to 300 highly skilled full-time employees.
  • We will make product in the U.S. and export it to cover 85% of our international sales. 
  • An investment up to $300 Million of growth capital for early-stage, innovative biotechnology companies in the U.S. through the Amgen Ventures fund.
  • We expect to invest ~$3.5 Billion in capital expenditures in the U.S. over the next 5 years.   
  • We’ll also grow our already substantial commitment to our communities with plans for the Amgen Foundation’s investments in the proven Amgen Scholars and Amgen Biotech Experience programs which we expect to reach $100 Million of commitment within 4 years.  We have engaged some 600,000 college and high school students in person through these programs and consider this our commitment to helping to build a pipeline of talented scientists and biologists in the U.S. and beyond. 
  • Through our Foundation’s philanthropic giving we expect to deploy $100 Million over the next 5 years in the communities where we work and live. 
  • We estimate that lower personal tax rates combined with investments we are making in enhancing base wages for these staff will create literally thousands of dollars of improvement in the average take-home pay for our typical U.S. non-executive staff member. 
  • Tax Reform provides us with more flexibility for capital deployment.  Since 2011, we have invested more than $42 Billion in research and development, innovation-based acquisitions, and long-term oriented capital expenditures.  We expect to continue making such long-term investments now while also being able to return excess capital to our shareholders in the form of growing dividends and share buybacks. 
  • Based on our confidence in the long-term outlook for the business, which was enhanced by the benefits of tax reform, we have increased our share repurchase authorization by $10 Billion. -- Amgen CEO Bob Bradway, Amgen 4th quarter 2017 earnings call
     

The Charles Schwab Corporation (San Francisco, California) – $1,000 bonus for about 9,000 non-executive employees:

President and CEO, Walt Bettinger commented, “In 2017, anticipating the tax law change and in response to the company’s strong financial performance and our employees’ unwavering commitment to clients, Schwab provided a special $1,000 bonus for about 9,000 non-executive employees. Based on the favorable environment, we also continued hiring staff across the firm’s geographic locations, adding over 1,200 net new employees, and we allocated part of our 11% overall spending increase to support client service efforts and continue to build out new business centers in Austin and Dallas that will allow us to house over 4,000 new employees in the next two years. Additionally, we expanded parental leave benefits for all Schwab employees and increased the annual corporate contribution to philanthropy to benefit our local communities.” – Jan. 25 2018, The Charles Schwab Corporation press release

Bank of the West (San Francisco, California) – Base wage increase to $15 per hour:

Bank of the West announced it will increase the company's minimum wage across the business to $15 per hour. The change will impact one-quarter of hourly team members, primarily in the Bank's branches and call centers.

The permanent increase will take effect on April 1 and is part of our long-standing commitment to reward our team members and attract the industry's best talent. At more than double the federal minimum wage, the Bank's new minimum wage is the result of a thorough internal review of the Bank's business stemming from the federal tax reform recently completed by the U.S. Congress. – Feb. 8 2018, Bank of the West press release

T.J. Maxx 118 stores in California – tax reform bonuses, increased retirement plan contributions, parental leave, enhanced vacation benefits, and charitable donations:

The 2017 Tax Act benefited the Company in the fourth quarter and full year Fiscal 2018. The Company expects to continue to benefit from the 2017 Tax Act going forward, primarily due to the lower U.S. corporate income tax rate. As a result of the estimated cash benefit related to the 2017 Tax Act, the Company is taking the following actions:

Associates

  • A one-time, discretionary bonus to eligible, non-bonus-plan Associates, globally
  • An incremental contribution to the Company’s defined contribution retirement plans for eligible Associates in the U.S. and internationally
  • Instituting paid parental leave for eligible Associates in the U.S.
  • Enhancing vacation benefits for certain U.S. Associates

Communities

Made meaningful contributions to TJX’s charitable foundations around the world to further support TJX’s charitable giving. – Feb. 28, 2018 The TJX Companies Inc. press release excerpt

Saban Capital Group Inc. (Los Angeles, California): $1,000 bonuses:

Media mogul Haim Saban on Friday became the latest to dole out $1,000 bonuses to employees in celebration of tax reform.

According to a letter to staffers at Saban Capital Group, which invests in entertainment and communications companies, Haim and his wife, Cheryl, were inspired by Disney's decision to award bonuses to its employees.

Before Disney, several companies including Comcast and Starbucks said they'd be handing out bonus checks (and Apple gave out stock bonuses) because of tax reform championed by President Donald Trump that reduces the rate paid by corporations to a maximum of 21 percent, down from 35 percent previously.

AT&T, which is trying to purchase Time Warner, was one of the first companies to announce $1,000 bonuses for 200,000 U.S. employees.

Unlike some other companies, though, the Sabans stipulate that the bonuses will amount to $1,000 after taxes. – Feb. 2 2018, The Hollywood Reporter news article excerpt

International Offset Corporation (Los Angeles, California) -- $1,000 bonuses to all employees and 1099 subcontracting partners. 

First Northern Community Bancorp (Dixon, California) -- Base pay raised by $2 per hours; $1,000 bonuses for all non-executive employees; increased charitable donations. 

Jordan Winery (Healdsburg, California) -- $1,000 bonuses for each of its 85 employees:

In response to the tax cut bill that passed this week, John Jordan, owner of Jordan Winery in Sonoma County, California, announces that he will give all eligible winery employees a $1,000 bonus as a result of the passage of the 2017 tax reform bill.Dec. 22, 2017 Jordan Winery press release

Summit State Bank (Santa Rosa, California) -- $2,000 bonuses for non-executive employees.

Wells Fargo (San Francisco, California) – Raised base wage from $13.50 to $15.00 per hour; $400 million in charitable donations for 2018; $100 million increased capital investment over next three years:

“Our announcement was directly related to the passage of tax reform.” -- Arati Sontakay Randolph, Wells Fargo senior vice president

Willis Lease Finance Corporation (Novato, California) -- $1,000 bonuses for all non-executive employees:

Willis Lease Finance Corporation (NASDAQ:WLFC) today announced that it has given all non-executive employees a one-time bonus of $1,000 as a result of the tax laws recently passed by the United States Congress and signed into law by President Donald Trump.

"We believe the new tax laws will help stimulate growth in our industry and our business specifically," said Charles F. Willis, Chairman and CEO. "We have therefore decided to return some of that benefit to our employees who work incredibly hard and are an important part of the American and global economy." – Jan. 19 2018, Willis Lease Finance Corporation press release

Walt Disney Company (Burbank, California) -- $1,000 bonuses for 125,000 employees; $50 million investment in employee educational programs:

Disney announced Tuesday it will pay over 125,000 employees a one-time cash bonus of $1,000, as well as make a new $50 million investment into education program for employees.

"We are directing approximately $125 million to our cast members and employees across the country and making higher education more accessible with the launch of this new program," CEO Bob Iger said in a statement.

Disney says both initiatives are due to recent tax reform. Some of the biggest companies in the United States have been giving out bonuses to employees, often citing the recently-passed tax bill as the motive. Boeing, AT&T, Wells Fargo, Comcast, Bank of America, and Walmart are just a few of those distributing new tax benefits to workers.

The bonus applies any full-time and part-time employees who have been working for Disney since before January 1. Those eligible will receive the bonus in two parts, with one in March and the other in September. Executive level employees are exempt.

Disney's education initiative will be available to nearly 88,000 hourly employees in the U.S.  -- Jan. 23 2018, CNBC article excerpt

AT&T -- $1,000 bonuses to 32,247 California employees; Nationwide, $1 billion increase in capital expenditures:

Today, Congress approved legislation representing the first comprehensive tax reform in a generation. The President is expected to sign the bill in the coming days.

Once tax reform is signed into law, AT&T* plans to invest an additional $1 billion in the United States in 2018 and pay a special $1,000 bonus to more than 200,000 AT&T U.S. employees — all union-represented, non-management and front-line managers. If the President signs the bill before Christmas, employees will receive the bonus over the holidays.

“Congress, working closely with the President, took a monumental step to bring taxes paid by U.S. businesses in line with the rest of the industrialized world,” said Randall Stephenson, AT&T chairman and CEO. “This tax reform will drive economic growth and create good-paying jobs. In fact, we will increase our U.S. investment and pay a special bonus to our U.S. employees.”

Since 2012, AT&T has invested more in the United States than any other public company. Every $1 billion in capital invested in the telecom industry creates about 7,000 jobs for American workers, research shows. -- Dec. 20, 2017 AT&T Inc. press release

Community Valley Bank (El Centro, California) – $500 bonus for all employees; increased charitable donations:

In consideration of the expected benefit from the corporate tax reduction, the bank awarded each employee a $500 bonus. The bank has also enhanced employee education and training opportunities for 2018 and expanded its community contribution budget toward local non-profit services. — Jan. 29 2018, Community Valley Bank press release

Lowe's (In California -- 17,000 employees at 111 stores and four distribution facilities) --  Employees will receive bonuses of up to $1,000 based on length of service; expanded benefits and maternity.parental leave; $5,000 of adoption assistance.

Home Depot (232 locations in California) -- bonuses for all hourly employees, up to $1,000.

Walmart (304 retail locations in California) -- Pay raises, bonuses of up to $1,000, expanded maternity and parental leave, and $5,000 for adoption expenses:

Today, more than 890,000 Walmart U.S. associates, including more than 136,000 in California, are receiving a share of more than $560 million total cash bonuses, including:

  • More than $160 million in cash bonuses based on their stores’ Q4 performance, and
  • More than $400 million in one-time cash bonuses tied to recent changes in tax law.
  • In California, Walmart associates are receiving approximately $34 million in combined bonuses.
     

The bonuses, along with an annual pay raise for our hourly field associates, are included in their March 8 paycheck. Between Q4 performance bonuses, tenure-based bonuses, pay increases and recent paid time off (PTO) cash outs, more than $1 billion flowed to U.S. hourly associates during the months of February and March.

In January, Walmart announced plans to increase the starting wage for all hourly associates in the U.S. to at least $11, expand maternity and parental leave benefits, and provide a one-time cash bonus for eligible associates of up to $1,000. A new adoption assistance benefit of $5,000 per child – announced in conjunction with the other changes – went into effect on February 1. -- March 8, 2018 Walmart press release

Chipotle Mexican Grill (408 locations in California) – Bonuses ranging from $250 to $1,000; increased employee benefits; nationally, $50 million investment in existing restaurants.

Ryder (35 locations in California) -- Tax reform bonuses for employees.

Starbucks Coffee Company (Over 2,000 locations in California) – $500 stock grants for all retail employees, $2,000 stock grants for store managers, and varying plan and support center employee stock grants. Nationally, 8,000 new retail jobs; an additional wage increase this year, totaling approximately $120 million in wage increases, increased sick time benefits and parental leave.

STERIS Corp. (California locations in Costa Mesa, Hayward, Ontario, Petaluma, Point Richmond, San Diego, Santa Clara, Temecula, and Tustin) -- $1,000 bonuses for non-executive U.S. -based employees:

"Like many companies, the recent tax reform in the U.S. will result in significant additional earnings for STERIS to strategically grow our business and return value to Customers, employees and shareholders.  One of our first actions on that front will be a one-time special discretionary bonus of $1,000 to all U.S. employees other than senior executives." -- Feb. 7, 2018 STERIS plc press release

FedEx (Multiple locations in California) – Accelerated and increased compensation; pension plan contributions:

“FedEx Corporation is announcing three major programs today following the recently enacted U.S. Tax Cuts and Jobs Act:

  • Over $200 million in increased compensation, about two-thirds of which will go to hourly team members by advancing 2018 annual pay increases by six months to April 1st from the normal October date. The remainder will fund increases in performance- based incentive plans for salaried personnel.
  • A voluntary contribution of $1.5 billion to the FedEx pension plan to ensure it remains one of the best funded retirement programs in the country.
  • Investing $1.5 billion to significantly expand the FedEx Express Indianapolis hub over the next seven years. The Memphis SuperHub will also be modernized and enlarged in a major program the details of which will be announced later this spring.

FedEx believes the Tax Cuts and Jobs Act will likely increase GDP and investment in the United States. – Jan. 26 2018, FedEx press release

Bank of America (Over 800 California locations) -- $1,000 bonuses for non-executive employees.

Cintas Corporation (Multiple locations in California) -- $1,000 bonuses for employees of at least a year, $500 for employees of less than a year.

Comcast (Multiple locations in California) -- $1,000 bonuses; nationally, at least $50 billion investment in infrastructure in next five years.

Note: If you know of other California examples, please email John Kartch at jkartch@atr.org

The running nationwide list of companies can be found at www.atr.org/list

 


How the Trump Republican Tax Cuts Are Helping New York

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Posted by John Kartch on Thursday, July 2nd, 2020, 12:00 AM PERMALINK

New York is benefiting greatly from the Tax Cuts and Jobs Act enacted by congressional Republicans and President Trump:

1,139,260 New York households are benefiting from the TCJA’s doubling of the child tax credit.

Every income group in every New York congressional district received a tax cutNationwide, a typical family of four received a $2,000 annual tax cut and a single parent with one child received a $1,300 annual tax cut.

6,266,750 New York households are benefiting from the TCJA’s doubling of the standard deduction. Thanks to the tax cuts, nine out of ten households take the standard deduction which provides tax relief and simplifies the tax filing process.

260,660 New York households are benefiting from the TCJA’s elimination of the Obamacare individual mandate tax. Most households hit with this tax made less than $50,000 per year.

Lower utility bills: As a direct result of the TCJA’s corporate tax rate cut, New York residents are saving money on utility bills. Lower electric, water, and gas bills help households and small businesses operating on tight margins. New York utilities that have passed along tax savings include -- but are not limited to -- Consolidated Edison Company of New York, New York State Electric and Gas Corporation, Rochester Gas & Electric Company, National Fuel Gas Distribution Corporation, National Fuel Gas Distribution Corporation, Corning Natural Gas Corporation, St. Lawrence Gas Company, Inc., (see below.)

Thanks to the tax cuts, New York businesses of all sizes are hiring, expanding, raising pay and increasing employee benefits:

Lupo’s Meat Plant (Endicott, New York) - Increased wages, ability to maintain healthcare coverage:

Company President Sam Lupo says recent tax cuts have allowed the business to raise wages and maintain healthcare.

He says maintaining a small business all comes down to building strong employees.

"Our long-term employees see that, they feel it, they've taken ownership, so then when we have new employees come in, they're taking those employees under their arm, and they're saying, 'hey, we're more than just a spiedie company, we're involved in our community," said Sam Lupo, Sam A. Lupo & Sons President.

The plant has been in businesses for more than 60 years and currently has 45 employees. - May 4, 2018, Spectrum News Article Excerpt

Fox Run Vineyards (Peter Yan, New York) -- The owner used savings from the Tax Cuts and Jobs act to pay the bills as well as buy new equipment, including two “falcon kites” that are meant to scare away birds.

"It's given us a little more money to pay bills and buy new equipment," said Scott Osborn, owner of Fox Run Vineyards in the Finger Lakes. He bought two "falcon kites" that are used to scare birds away in the vineyards, which has made a discernible difference. "We're not getting bird damage, and our vineyard manager figures we save a ton of grapes," he said.  -- Nov. 8, 2019 Wine Spectator article

Paychex, Inc. (Rochester, New York) — Increased investments; acceleration of technology projects; increased investments in employees:

On December 21st, 2017, the tax cuts and jobs act or tax reform was enacted. And it's the most comprehensive tax reform legislation in more than two decades. Paychex, as a corporate tax payer is a significant beneficiary of tax reform. Efrain will discuss the financial impacts in more detail. However, I want to mention that as a result of the significant income tax reduction, we plan to utilize some of this opportunistic benefit to make various investments in our business. These investments include accelerating certain technology projects for the continued evolution of our customer experience, increasing our spend in marketing demand generation and sales and service strategy enhancements, as well as investment in our employees. — March 26, 2018 Paychex, Inc. Q3 2018 Earnings Conference Call Transcript

Wood Boat Brewery (Clayton, New York) - Hiring new employees, expanding production:

Similarly, small producers of beer and liquor seem to be well positioned to take advantage of tax savings given the large cut to the federal excise charge across the industry.  Mix in a lower overall tax rate and the savings start to add up. Some are using the proceeds to hire and reinvest. For example, in Watertown, NY, the Wood Boat Brewery started posting ads for full-time help after the law passed.

Owner Michael J. Hazelwood told the Watertown Daily Times in December that he’d likely expand production and hire staff with savings realized from the reduced excise tax. Now, like the Klavers of SALUS, it appears he has. - April 18, 2018, Capital One blog post excerpt

Clayton Distillery (Clayton, New York) - facility upgrades:

Mr. Aubertine, who co-owns the Clayton Distillery, pays about $40,500 in excise taxes annually for the 3,000 gallons of spirits he produces at $13.50 per proof gallon. The tax reform, however, will reduce his expense to about $8,100 when it takes effect in 2018, which encouraged him to install upgrades to his facility at 40164 Route 12.

“We’re basically investing back into the business,” he said. “The tax plan — it also lets us write off some of the supplies a little bit differently.” - December 28, 2018, Watertown Daily Times article excerpt

Middle Ages Brewing (Syracuse, New York) – The Tax Cuts and Jobs Act allowed the company to reinvest in employees and equipment:

"For us it completely went back into the business or reinvested into employees or equipment,” said Isaac Rubenstein, the director of production at Middle Ages Brewing. “It was huge."

Newer breweries have been saving a few thousand dollars a year. Middle Ages has been saving about $20,000, so they're on edge about losing the tax relief.

"It would be devastating,” said Rubenstein. “Plans for next year might have to change, redo the budget a little bit. Some equipment that's on the list might get crossed off. It might be a part time employee. It would be really bad." – Dec. 18, 2019, Spectrum News article.

Shorewood Real Estate Group and Bridge Investment Group (Queens, New York) -- The companies are building an apartment complex in an Opportunity Zone created by the Tax Cuts and Jobs Act:

Shorewood Real Estate Group announced today that in partnership with Bridge Investment Group, the firms closed on an $88 million loan to finance the construction of 1 Archer Avenue Apartments in Jamaica, Queens. The construction facility was provided by East West Bank and a syndicate of lenders to construct the first development financed with Opportunity Zone Capital from Bridge and Shorewood.

Shorewood's Opportunity Zone Fund was created shortly after the 2017 tax reform created Opportunity Zones, tracts of land across the United States that meet certain federal criteria to be considered "distressed communities." Investment in Opportunity Zones is encouraged--and rewarded with significant tax benefits. The intent was to incentivize investment in areas in need of revitalization.

The Archer Avenue site is within a Qualified Opportunity Zone. The full site, located at 160-05 Archer Avenue, will be a 320,000 square foot mixed-use development that will include a 23-story building with ground floor retail, below grade parking, and 315 residential units. Under the Affordable Housing New York Program and in adherence to the Inclusionary Housing Program, 30 percent of the units will be reserved for affordable housing. Anticipated rents for those units will be well below market value. According to Shorewood CEO S. Lawrence Davis, the affordability component was a critical consideration to the overall project.

"We are committed to quality development that serves our investors, and also the communities in which we build," said Davis. "Jamaica, Queens has a rich history and unique character and our project is being developed to enhance the neighborhood."

According to Davis, Opportunity Zones were designed to bring needed capital into communities just like Jamaica. -- June 22, 2020 press release

Quadrant Biosciences (Syracuse, New York) – Because of the Tax Cuts and Jobs Act, the company is planning to create new jobs and invest in research activities"

“That money that will go directly into our research activities. And that translates into more jobs,” Uhlig said. “We’ll be hiring more neuroscientists, [and] we’ll be hiring more programmers to help facilitate their quality research.” – Feb. 27, 2018, PBS News article.

Kris-Tech Wire (Rome, New York) - Expanding operations, purchasing new equipment:

On the tour, Graham Brodock the President and CEO informed Rep. Tenney that Kris-Tech Wire has reinvested in the company as a result of the Tax Cuts and Jobs Act. Kris-Tech is building an addition and acquiring new equipment-thanks to the newly created ability to write off equipment charges. Kris-Tech has over 400 employees and a deep commitment to continuing to invest in the facility and employees here in Rome. - August 2, 2018, Rep. Claudia Tenney press release excerpt

J Car Development (Albany, New York) -- The company is redeveloping a building into a data center which is located on a Opportunity Zone created by the Tax Cuts and Jobs Act:

If Jason Benedict got nothing else in his introduction to Albany politics, he got a show.

The Chicago developer, who sat through the Albany City Commission's meeting Tuesday to find out if his J Car Development team would get a $3 million loan from the city's Job Enhancement Fund — one of the final pieces of the financial puzzle Benedict needed to move forward with his $13.5 million development plan for the old Gordon Hotel/Water Gas & Light Building at 207 Pine Ave. — had a front-row seat for the sometimes tragicomedy that is an Albany Commission meeting.

After being questioned about the structure of the building, getting a history lesson from Ward VI Commissioner Tommie Postell, who operated elevators at the old Gordon when he was a youngster, having to sit through a rehash of the process that led to the redevelopment plan, and then hearing a citizen, William Wright, insist that the loan approval be put off for 30 days and follow up with pontification on how "hotel jobs" are not good jobs because members of his family had worked at hotels, Benedict got his loan and said work will start on the 207 Pine building "in the next few days."

The developer said his company would begin work on the data center that is part of the development with plans to have it operating within 90 days. His team, he told commissioners, will manage the data center.

"It's a business that we're doing elsewhere right now, but we plan to consolidate it here," Benedict said. "We've had a pilot program going for the last four months, and it's worked really well."

Benedict said the second floor of the 207 Pine building will be used for the data center.

"There's a fair amount of infrastructure work that has to be done before we move in," he said. "We're going to put advanced cooling technology in there and get a new server in place. Once we take care of those things, we'll move pretty quickly."

Ward V Commissioner Bob Langstaff, noting that a significant amount of the funding plan for the development comes from EB-5 funding, asked Benedict if he had a contingency plan if that funding source fell through.

"We feel like we're in a high priority position for that funding," Benedict said of the government fund that is paid by employers who bring foreign workers into the country. "It's about creating local jobs, and not only will we be doing that, we'll be training students at Albany State University for technology jobs that will keep them here in the community."

The developer said, though, that if that particular funding source, estimated at $5 million of the project cost, doesn't come through, he has a contingency plan in place.

"We, essentially, have four funds that we're working with that are looking for projects like these," he said. "We're not concerned that funding will be an issue."

Benedict said he sees no reason why development of the project cannot move according to the schedule presented in the project plan. That schedule calls for the data center to begin operations in July, closing on the property in August, permitting approvals in October or November, a groundbreaking and construction commencement in December or January, and a grand opening in January 2021.

"Things look good; we're excited about this project," he said. "It looks like we're squarely in the sweet spot for opportunity zone investment. Our team is ready to begin the day-to-day work on the project; in fact, one of the lead team members will be moving to Albany real soon." -- April 10, 2019 Albany Herald article

BrightFarms (Greene County, New York) -- The company is building a greenhouse in an Opportunity Zone created by the Tax Cuts and Jobs Act:

BrightFarms Inc. is looking at sites in Greene County and surrounding areas to build a 280,000-square-foot greenhouse, enabling the company to supply supermarkets in the Albany region and Hudson Valley with its packaged lettuce, baby spinach and other produce.

The goal is to break ground by the end of this year and open in the second or third quarter of 2020.

The $21 million greenhouse would employ 55 people and mark the latest expansion for BrightFarms, a Westchester County firm with four greenhouses in four states.

The strategy is to build hydroponic greenhouses outside large metropolitan areas, where land is relatively affordable and nearby cities are easily reached by highways.

BrightFarms is able to get its produce to markets faster than larger growers who ship from southern California, Arizona and Mexico. The system extends the shelf life and provides a fresher alternative, said Paul Lightfoot, founder and CEO.

"We are essentially bringing local produce to supermarkets in a commercial scale," Lightfoot said. "People want to know where their food comes from."

BrightFarms products are sold at large chains such as Walmart, Kroger and Albertsons.

BrightFarms doesn't disclose revenues but last August it made the Inc. 5000 list of fastest-growing private companies, the only produce company on the list.

Two years ago the startup raised $30.1 million in Series C funding to expand.

BrightFarms talked to the Greene County Industrial Development Agency about building a greenhouse south of the village of Catskill between the Hudson River and Route 9W, according to the minutes of the last IDA meeting.

The location is in an Opportunity Zone, making investments there eligible for lucrative federal tax credits, but there are "significant issues" due to the topography, access and railway, according to the minutes.

An alternative site was suggested but wasn't disclosed in the minutes. Rene VanSchaack, executive director of the IDA, declined to comment because the discussions are "very preliminary at this point."

Lightfoot didn't specify the locations but said BrightFarms is exploring "multiple counties in the area and still open-minded to proposals."

He wants to find municipalities "that want us and hopefully provide some incentives, and where we feel we can operate in an economically favorable climate." -- March 8, 2019 Albany Business Review article

Empire Recycling (Utica, New York) - Employee quarterly bonuses increased by 50%:

Congresswoman Claudia Tenney (NY-22) toured Empire Recycling to see firsthand the important work Empire Recycling has done for our community over the past 100 years. On the tour, the Kowalsky brothers informed Rep. Tenney that as a direct result of the Tax Cuts and Jobs Act, Empire Recycling’s quarterly bonus given to their employees increased by 50%.  - May 2, 2018, Rep. Tenney press release 

RXR Realty (Brooklyn, New York)-- Launched a fund to invest money in Opportunity Zones:

“The fundraising efforts could help fund the company’s existing developments in designated census areas, like its $170M project in New Rochelle or redevelopment efforts in the Brooklyn Navy Yard.” -- October 24th, 2018, Opportunity Zones Database

Starwood Capital and AB Capstone (New York City, New York) -- The partnership is building a mixed-use property that will host a charter school and a 992-unit affordable housing development that is located in an Opportunity Zone created by the Tax Cuts and Jobs Act:

Starwood Capital and AB Capstone have landed a $51 million construction loan for the development of 425 Westchester Avenue in the Bronx, Commercial Observer has learned.

Centennial Bank provided the debt in a deal arranged by  Newmark Knight Frank’s Dustin Stolly, Jordan Roeschlaub, Nick Scribani, Chris Kramer and Drew Ahlers.

The 10-story, mixed-use property will be anchored by a charter school that’s operated by Zeta Charter Schools. The building sits directly opposite La Central, a 992-unit affordable housing development owned by Related Companies and Hudson Companies.

The rest of the building will house office and ground-floor retail space. Starwood and AB Capstone are currently negotiating with a non-profit organization interested in leasing the office space in its entirety.

The property is Starwood’s first Opportunity Zone investment, as reported by The Real Deal last year. -- April 2, 2020, Commercial Observer Article.

Lionsgate (New York City, New York) -- The movie production company is building a new movie studio in an Opportunity Zone created by the Tax Cuts and Jobs Act:

Real estate development firm National Resources of Connecticut and U.K.-based asset management firm Great Point Capital Management have secured financing for the first phase of the studio complex, estimated to cost $60 million.
 
Construction of the complex will consist of a $100 million investment across two phases. It's expected to create up to 420 new jobs in Yonkers, according to National Resources.
 
Plans for the development call for the construction of 70,000 square feet of studio space and 38,600 square feet of additional space next to the former Otis Elevator Co. building in Yonkers' iPark Hudson in Getty Square.
 
Lionsgate's studio will be located near the former Yonkers Herald Statesman building and the recently completed Avalon Yonkers apartment complex on Alexander Street.
 
IPark Hudson is owned by National Resources. CIT Bank has provided a $40 million construction loan to fund the first phase of the project.
 
Robert Halmi, the founder of Hallmark Channel and manager of Great Point Capital, said the loan closed on March 31. Financing for the first phase of the project includes $10 million in federal Opportunity Zone financing and an additional $10 million in equity financing.
 
"We are hoping to break ground in four weeks," Halmi said. "But if we have to delay another two weeks from there or another four weeks from there, we will add crew and work overtime to make sure the first phase still opens around the end of this year." -- April 13, 2020 The Journal News article

Golf Technology (Buffalo, New York) -- The company announced they will be building a golf entertainment complex in an Opportunity Zone created by the Tax Cuts and Jobs Act:

It's tee time on the riverfront in downtown Buffalo – on Noah's Ark.

The group planning a new entertainment complex on Ganson Street, not far from Buffalo RiverWorks, unveiled details Friday of the $30 million golf-focused project, which the developers – including OnCore Golf Technology CEO Keith Blakely and RiverWorks co-founder Doug Swift – hope will set a new standard for such facilities worldwide.

Designed to fit on a small urban space, officials said the new OnCore Buffalo facility is envisioned as a year-round sports and hospitality venue, aimed at golfers and others, of all ages and demographics.

The OnCore Buffalo project is the latest in a string of developments along Buffalo's waterfront, particularly along the once-polluted Buffalo River, where environmentalists and city officials have worked to both restore the natural habitat and make Ohio Street more attractive for investment.

Starting with RiverWorks on Ganson several years ago, followed by a pair of new apartment buildings on Ohio, and more recently the additional spinoff projects on neighboring streets, the area is rapidly becoming a destination for sports, recreation, entertainment and dining, alongside the growing residential presence.

“It's a natural next step for the trajectory that Buffalo is on, and for where the Buffalo River is going," Swift said. “These kinds of projects are going to keep coming. It's the wave of the future."

At a time of declining interest in golf nationally, the new venture is intended to lure new people to the sport, and is also geared to attract corporate meetings, private parties and other events. At $40 to rent a bay for one hour, for up to six people, it's also meant to be affordable.

It will feature a long driving range with 72 stacked hitting bays on a four-story structure, topped by a six-story hotel with at least 120 rooms, a sports bar and restaurant, and meeting space. The artificial turf range, with 11 bright-red target greens, will be enclosed by a giant wall of tensile fabric and polyester mesh netting across a lightweight steel frame to keep the balls inside, and to shield golfers from the elements. The building will be heated, but the range will not be completely covered.

The entire ship-shaped complex – a tribute to Buffalo's maritime history – will be supported on piers above a level of covered parking underneath, for 225 vehicles. Pedestrians in the parking area will be able to look up through the ceiling to see the balls coming onto the greens. Additional surface parking will also be available for another 125 spaces.

The project will encompass about 4 acres of a 7-acre brownfield parcel, leaving plenty of additional room for future development, including along the Buffalo River and a 550-foot concrete wharf.

The project is fully funded, and Blakely and Swift hope to start construction next year, with an opening in 2021 after 12 to 16 months of work. It will likely qualify for state brownfield tax credits, and is located in a qualified opportunity zone, but the team is not seeking other public funding. -- September 21, 2019 Buffalo News article

Dayton T. Brown Inc. (Bohemia, New York) -- $400 bonuses for each of the 210 employees:

A small Bohemia company is following the lead of large corporations that are passing on some expected savings from tax reform to employees in the form of bonuses.

Dayton T. Brown Inc., an engineering and testing company, is giving each of its roughly 210 employees a $400 bonus, Steve Marini, chief financial officer, said Friday.

President Donald Trump signed the tax overhaul bill into law Friday. The bill lowers the corporate tax rate in 2018 to 21 percent from 35 percent.

All of Dayton T. Brown’s full- and part-time employees will receive the bonuses, likely in January, Marini said.

“We’re going to save a significant amount of money on this new tax law and . . . certainly, we’re nothing without our employees,” Marini said.

The inspiration for the bonus was AT&T’s announcement Wednesday that it was giving its employees $1,000 bonuses, Marini said.

Dayton T. Brown, founded in 1950, is a private company that primarily serves the aerospace and defense industry. Its largest customers are the U.S. Navy, Sikorsky Aircraft Corp. and Northrop Grumman.

It has 170 employees in Bohemia. The rest work in Shelton, Connecticut, and Lexington Park, Maryland. -- Dec. 22, 2017 Newsday article excerpt

Finger Lakes Distilling (Burdett, New York) -- Used new savings from the Tax Cuts and Jobs act to hire more employees. 

"It's meant tens, if not hundreds of thousands of dollars to our business over the last couple of years," said Brian McKenzie, president of Finger Lakes Distilling, who makes various spirits and also has a winery license for his vermouth brand. McKenzie chose to put the extra cash into hiring people in sales and marketing. He added staff, and reports that his sales were up 25 percent this year. "All of a sudden we've invested in those jobs, and it's helped our business considerably," he said. -- November 8, 2019 Wine Spectator article

Environmental Construction Group, Inc. (Albion, New York) -- $500 bonuses for 50+ employees:

Environmental Construction Group, Inc. a small company from Albion, NY gave every one of their 50+ employees a $500.00 bonus. Employees were notified of this bonus the Friday before Christmas and bonuses where paid the Friday before New Years. ECG appreciates the work this administration has done to promote such a positive outlook on this nation, and will try just as hard to continue to help our employees. Robert Gibbs, Environmental Construction Group, Inc.   

Brookfield Property Partners (Bronx, New York) -- The company made a $165 million purchase to create affordable housing:

“They plan to build about 1,300 residential units across seven buildings on the property, 30 percent of which would be affordable.” -- September 11th, 2018, The Real Deal

LiDestri Food and Drink (Rochester, New York) – Double-paycheck bonuses:

The Rochester based producer of food, beverages and spirits gave all of their 1,200 employees at each of their five U.S. facilities an extra full paycheck.

They were notified on Wednesday that their mid-month paycheck had been doubled, because of strong company performance and the recently approved federal tax legislation.

“When we learned that the recent tax cuts would provide the company with some unaccounted-for funds, we immediately thought it should be shared with our workforce,” said Co-President Stefani LiDestri. “It just so happened that it came together on Valentine’s Day, the perfect time to let our employees know how much they mean to us.”

She said that the recent federal tax cuts will provide some unaccounted for funds, and the company thought it should be shared with the workforce.

Locally, LiDestri has facilities in Fairport and at the Eastman Business Park. – Feb. 15, 2018 WXXI news article.

Suit-Kote Corporation (Cortland, New York) – Pay raises for 800 employees; increased 401(k) contributions:

Paul Walts is getting a raise this year, thanks to the GOP tax plan. So is Louis Morgan. So are about 800 other employees at Suit-Kote Corporation.

The Cortland paving company is doling out raises and retirement bonuses using money saved from the new Republican-led tax plan.

Walts, a dispatcher who's been with the company 14 years, has three kids in college. He plans to put money aside to help pay for their education.

Morgan, too, said he's going to save more and possibly take a vacation.

"You hear it's in the pipeline and you hope it's going to happen, but you don't know how much it's going to be," Morgan said regarding the raises. "I'm definitely looking forward to it."

Walts, Morgan and a few dozen other employees watched Thursday as President and CEO Frank Suits Jr. announced the wage hikes to media alongside U.S. Rep. Claudia Tenney.

The average raise, Suits said, will be about $1,400. The company also increased its 401K contributions by about $1 million. – Feb. 22, 2018 The Post-Standard article excerpt

Sun Community News and Printing (Elizabethtown, New York) – Raises for all employees averaging $1,000 each; restoration of 2% match on employee IRAs; software and equipment upgrades:

“Sun Community News and Printing a small rural, free weekly newspaper serving the Adirondack Region of New York State is proud to announce as a result of the recent tax cuts and the uptick in the economy we have announced raises for all employees averaging approximately $1,000 each and will now be in a position to resume our 2% match to employees IRA accounts.

The combination of these two announcements will total approximately $75,000 for our 50 employees.

We will also now be in a position to invest in some long overdue software and equipment upgrades to smooth out production flow and further support our customers and employees.

It feels good to get our economic engine running again and create a winning attitude for our small firm.” – Dan Alexander, President and Publisher, Sun Community News and Printing

Starwood Capital Group and AB Capstone (Bronx, New York) -- The firm is developing a mixed-use facility within a Bronx Opportunity Zone:

“... the 10-story development will be anchored by a pre-K through eighth grade school, run by Zeta Charter Schools. The building will include office space for a non-profit and ground-floor retail….

The facility will have modern finishes, state-of-the-art classrooms, a double-height gym, floor-to-ceiling windows, open plan offices and more than 11,000 square feet of outdoor space...

“The Bronx is New York City’s fastest growing borough and we see continued opportunity to help bring new investment in the services, schools, office space and retail that have long contributed to the Bronx being such a vibrant community,” says Anthony Balestrieri, SVP and leader of Starwood Capital Group’s Opportunity Zone investment strategy.” -- May 10th, 2019, Globe St. 

Lok-N-Logs, Inc., I Wood Care, and Webb Properties (Sherburne, New York) –  Employees working for a year or more received a double paycheck; those working less than a year also received a bonus.

Northco Products, Inc. (Albany, New York) – This small business was able to hire one new employee, give all employees bonuses ranging from $100 - $971 after taxes; the company is also investing in a new building: 

The opportunity to do better for our employees and business was an exciting event. We took a leap of faith that congress would pass the historic tax reform. In doing so, we were able to hire one new employee, and give all of our employees bonuses including our intern, who is involved in a local high school’s program for students with autism. These bonuses varied from $100 to $971 (after tax based on the duration of their employment with us. On top of  this, we decided to invest in a new building and name for the business. The building we chose is the former headquarters of our family business. Moving into this new building will provide our employees with more space and higher quality work environment and location. The name we chose also ties in with our roots as a successful and respected family business. The Historic Tax Reform presents us with the opportunity to rebuild a once-great family-focused business, Standard Copy. -- AJ Crandall, President, Northco Products, Inc.

Henry Schein, Inc. (Melville, New York) -- $1,000 bonuses:

Taking into account changes to the federal statutory tax rate under the new U.S. tax legislation and its effects on state taxes and other permanent items, the Company expects its effective tax rate in 2018 to be in the 24% range. In recognition of our team members, following the recent U.S. Tax Cuts & Jobs Act, Henry Schein plans to distribute  up to a $1,000 one-time cash bonus to certain designated staff members in the U.S. with one full year of service as of January 1, 2018. – Feb. 20, 2018 Henry Schein, Inc. statement

JetBlue (New York, New York) – $1,000 bonuses for all 21,000 employees:

Today the JetBlue (NASDAQ: JBLU) Senior Leadership Team shared the following note regarding the airline’s plan to distribute $1,000 to all of its 21,000 crewmembers, excluding CEO and executive vice presidents, following recent tax reform legislation:

Dear Crewmembers,

You’ve likely seen the news about U.S. tax reform. We believe these tax changes will be positive for our company, and provide us the opportunity to do good things for our Crewmembers, Customers and shareholders.

When tax reform looked like a real possibility late last year, we formed a team to think through what it could mean for each of these important groups. Many ideas are on the table but we believe our Crewmembers should be the first to benefit. With that in mind, we are excited to announce we will be paying every Crewmember employed as of December 31, 2017, a $1,000 bonus by the end of February! excerpt from Jan. 4, 2018 JetBlue letter to employees

Small Business Development Center at York College (Southeast Queens, New York) -- has given $30M in loans to opportunity zone businesses in Southeast Queens.

“Although most of the discussed EOZ development has been on real estate, there are some investors interested in opportunity zone businesses.

Harry Wells, Regional Director of the Small Business Development Center at York College/CUNY and Demond Wilkerson, Asset Management Consultant for SBDC highlighted the importance of leveraging the local institutions to build business capacity while planning for sustainability.

“Our SBDC center has done $30M in loans to businesses in Southeast Queens,” Wells said.” -- June 28th, 2019, NY State Senator James Sanders Jr. Page, ‘Economic Opportunity Zones Highlighted at Sanders' Community Clergy Breakfast’

BNB Bank (Bridgehampton, New York) – Base wage raised from $13 to $15; additional pay raises:

Separately, Bridgehampton-based BNB Bank said it was increasing its minimum wage from $13 to $15 in light of the lower corporate tax rate. The bank added that it was also increasing wages for employees in the tier above that. About 100 employees, or 20 percent of the bank's workforce, will see an increase, BNB said. – Jan. 30, 2018 Newsday article excerpt

Broadridge Financial Solutions (Lake Success, New York) – Base wage raised to $15 per hour; $1,750 bonuses to non-management employees, additional vacation days, expansion of paternal leave benefits:

Broadridge Financial Solutions on Wednesday said it was boosting workers’ pay, delivering bonuses and expanding employee benefits as a result of strong company growth and the recent federal tax law changes.

Lake Success-based Broadridge said its minimum hourly wage will increase to $15 per hour. It will also pay a $1,750 bonus to hourly, nonmanagement associates.

Broadridge added that it was enhancing employee benefits, including adding vacation days for employees who have been at the firm at least five years. It was also expanding paternal leave benefits.

Daly said about 1,000 employees on Long Island would earn the bonus. He said about 50 employees in the region would see a pay increase because of the higher minimum.

“The vast majority on Long Island already are over $15,” Daly said, adding that the company’s minimum “had been as low as $12 in some places.”

The bonuses will be paid around midyear while other benefits will be phased in throughout the year, the company said.

Broadridge has more than 10,000 employees in 16 countries, including about 1,800 in Lake Success and Edgewood. – Feb. 7 2018, Newsday article excerpt

Dime Community Bancshares, Inc. (New York, New York) -- $1,000 bonuses for non-executive employees.

Empire National Bank (Islandia, New York) – salary increases; 401(k) match increases; $1,000 bonuses for non-executive employees:

Empire National Bank is increasing salaries by 5 percent, upping its 401(k) match program and giving all nonexecutive employees $1,000 bonuses as a result of the benefits derived from the recent federal tax overhaul. – Jan. 30, 2018 Newsday article excerpt

Atlas Air Worldwide (Purchase, New York) -- $1,000 bonuses to 3,100 employees

“In appreciation of your significant efforts, the Company will be providing a special one-time bonus payment to all full-time flight and ground staff employees below the officer level. We are pleased to offer this bonus to our flight crew employees as the Union is in agreement. This bonus will be funded by a tax refund that the Company expects as a result of the newly enacted U.S. tax law.

The $1,000 bonus will be provided in early January and is subject to applicable federal, state and local withholding taxes.” – Atlas Air Worldwide CEO William J. Flynn in a letter to employees

National Fuel Gas Distribution Corporation  (Williamsville, New York) -- The utility is passing along tax cut savings to customers:

On December 29, 2017, the Commission issued an Order Instituting Proceeding to address utility rate effects of the tax law changes required by the Tax Cuts and Jobs act od 2017 (Tax Act), which was enacted on December 2017. The Tax Act made significant changes to the federal income tax structure that materially impact the tax liabilities of New York's utilities, including a 40% reduction of the corporate income tax rate from 35% to 21%. The 2017 Order expressed the Commission's intent that ratepayers should receive the net benefit of the Tax Act's changes, and established a process to ensure that outcome." -- August 9, 2018, New York Public Service Commission Meeting

Everett J. Prescott Inc. (New York locations in Buffalo, Round Lake, and Syracuse) – $1,000 bonuses for employees with more than a year of service, $250 for employees with less than a year:

A Maine company says 300 employees will receive bonuses following changes to the federal tax code enacted at the end of 2017.

Everett J. Prescott Inc., a Gardiner-based waterworks materials company, says the bonuses will arrive Monday. The Kennebec Journal reports CEO Peter Prescott said Friday that many employees will receive a $1,000 bonus.

He says employees with less than a year of service will still receive a $250 bonus.

The family-owned company employs about 300 people across 26 locations in New England, New York, Ohio and Indiana. Prescott says the average tenure of an employee is 20 years. – March 5 2018, WABI article excerpt

ES Bancshares, Inc. (Newburgh, New York) -- $500 bonuses to non-executive full-time employees; $250 bonuses to part-time employees; creation of at least ten new jobs; further business expansion:

ES Bancshares., Inc the parent company of Empire State Bank, announced December 21, 2017 that due to the signing into law the tax reform legislation which provides a reduction of corporate tax rates from 35% to 21% , it will be investing into its most valuable asset, its employees. Empire State Bank has provided a one-time bonus of $ 500.00 to its full time and $ 250.00 to its part time employees. Executive management was excluded.

'We are happy to share the benefit with our employees who continue to provide outstanding service to our customers, as well as our shareholders who will see this benefit fuel the continued growth and bottom line results,' said Philip Guarnieri, CEO. 'We will be adding at least 10 new jobs and expanding our footprint in the Staten Island and Brooklyn communities,' said Thomas Sperzel, President and COO. – Jan. 2 2018, ES Bancshares, Inc. press release  

Flushing Financial Corporation (Uniondale, New York) -- $1,000 bonuses for full-time employees; $500 bonuses for part-time employees:

Flushing Financial Corporation (the "Company") (NASDAQ:FFIC), the parent holding company for Flushing Bank (the "Bank"), announced that the Company's Board of Directors approved a plan to increase the dividend in 2018 by two cents per share per quarter and provide each full-time and part-time employee with a one-time bonus, of $1,000 and $500 respectively, as a result of the benefits derived from the recent tax reform. – Jan. 22, 2018 Flushing Financial Corporation press release

Financial Institutions, Inc. (Warsaw, New York) – $500 bonuses:

“Recent tax reform will reduce our federal income tax rate in 2018 and provide opportunities to strengthen relationships with our most valued partners our employees, our customers and the communities in which we operate. The first action taken was a one-time award of $500 to employees not covered by certain incentive programs. Approximately 70% of our employees will receive this award, and they will also be eligible to participate in a new profit-sharing program to be based on the Company’s 2018 performance.” – Jan. 29, 2018 Financial Institutions, Inc. filing

Corning Natural Gas Corporation (Corning, New York) -- The utility is passing along tax cut savings to customers: 

On December 29, 2017, the Commission issued an Order Instituting Proceeding to address utility rate effects of the tax law changes required by the Tax Cuts and Jobs act od 2017 (Tax Act), which was enacted on December 2017. The Tax Act made significant changes to the federal income tax structure that materially impact the tax liabilities of New York's utilities, including a 40% reduction of the corporate income tax rate from 35% to 21%. The 2017 Order expressed the Commission's intent that ratepayers should receive the net benefit of the Tax Act's changes, and established a process to ensure that outcome." -- August 9, 2018, New York Public Service Commission Meeting

JPMorgan Chase & Co. (New York, New York) -- Base wage raised for 22,000 employees, to a range of $15 to $18 per hour; 4,000 new jobs added; 400 new branches; increased charitable donations; increased small business lending: 

JPMorgan Chase today announced a $20 billion, five-year comprehensive  investment to help its employees, and support job and local economic growth in the United States. The firm has always believed that the highest and best use of its capital is to support employees and local communities and businesses by doing what a bank is supposed to do: lending and investing. This long-term investment, which both increases and accelerates the firm’s current growth, is made possible by the firm’s strong and sustained business performance, recent changes to the U.S. corporate tax system and a more constructive regulatory and business environment.

Through this new investment, the firm will develop hundreds of new branches in several new U.S. markets, increase wages and benefits for hourly U.S. employees, make increased small business and mortgage lending commitments, add 4,000 jobs throughout the country and increase philanthropic investment.

The investment brings together the best of the firm’s business and philanthropic efforts to drive inclusive economic growth and help create opportunity for more Americans.

The $20 billion investment will focus on the following key areas:

  1. Investing in employees with further increases to wages and benefits. Wages will increase 10 percent on average—ranging from between $15 and $18/hour—for 22,000 employees.
  2. Expanding the branch network into new U.S. markets, leading to increased small business lending and philanthropic investments, and further support for local low-and moderate-income communities.
  3. Increasing community-based philanthropic investments by 40 percent to $1.75 billion over five years.
  4. Increasing small business lending by $4 billion.
  5. Accelerating affordable housing lending by (a) increasing mortgage lending in low-and moderate-income communities and (b) accelerating commercial lending to build affordable housing. – Jan. 23, 2018 JPMorgan Chase & Co. press release
     

M&T Bank Corporation (Buffalo, New York) – Base wage raised to $14 to $16 per hour based on location, a $25 million investment; employees receive 40 hours of paid time annually for volunteer/charitable/employee resource group activities:

M&T Bank Corporation (NYSE: MTB) ("M&T") today announced a series of investments to perpetuate its legacy of support for its employees and the communities the bank serves. M&T is making these investments in anticipation of the improvement in after-tax income it expects to recognize as a result of federal tax reform.

M&T is committed to the following actions:

  • The company will increase wages for hourly paid employees. Their rate of pay will begin at $14 to $16 per hour, based on geography. This increase will represent an investment in employees of $25 million, once fully implemented. This is part of the company's thoughtfully considered and ongoing commitment to provide sustainable career paths and professional growth opportunities for all of its employees.
  • All employees will be granted 40 hours of paid time each year to participate in volunteer and/or employee resource group activities of their choice.
  • Over the past 31 years, The M&T Charitable Foundation has consistently invested in a diverse range of civic, cultural, health and human services organizations that strengthen M&T communities. To sustain that commitment, M&T contributed $50 million to The M&T Charitable Foundation during 2017—the largest amount in the company's history. By comparison, a total of $178.7 million was contributed by M&T to The M&T Charitable Foundation over the past 10 years. – Jan. 17, 2018 M&T Bank Corporation press release

Marsh & McLennan Companies, Inc. (New York, New York) – Base wage raised to $16 per hour; $1,000 bonuses for employees earning less than $55,000:

Marsh & McLennan Cos., the world's largest insurance brokerage, said it will increase its minimum wage to $16 per hour after the U.S. cut corporate tax rates.

U.S. colleagues earning $55,000 or less will get one-time $1,000 payment

The wage hike will benefit about 780 employees, while about 5,000 employees will get the one-time bonus, according to a memo sent to employees

"The bulk of the tax savings will drop into earnings and improved free cash flow. However, we will make two adjustments for colleagues in the U.S. who are at the lower end of our pay scale," CEO Dan Glaser said Thursday on a conference call with analysts. -- Feb. 1, 2018 Bloomberg News article excerpt

Consolidated Edison Company of New York, Inc. (New York, New York) -- The utility is passing  along tax cut savings to customers:

"On December 29, 2017, the Commission issued an Order Instituting Proceeding to address utility rate effects of the tax law changes required by the Tax Cuts and Jobs act od 2017 (Tax Act), which was enacted on December 2017. The Tax Act made significant changes to the federal income tax structure that materially impact the tax liabilities of New York's utilities, including a 40% reduction of the corporate income tax rate from 35% to 21%. The 2017 Order expressed the Commission's intent that ratepayers should receive the net benefit of the Tax Act's changes, and established a process to ensure that outcome." -- August 9, 2018, New York Public Service Commission Meeting.

Maspeth Federal Savings (Maspeth, New York) – $1,000 bonuses for all full-time employees below the AVP officer level, $500 bonuses for all part-time employees; base wage raised to $15 per hour.

Mastercard Inc. (Purchase, New York) – increasing employer match for 401(k) plans to 10%:

“Mastercard Inc., Purchase, N.Y., is increasing the cap on the employer match in its 401(k) plan to 10% of an employee's salary, a spokesman confirmed.

Previously, the company match was 125% of employee contributions up to 6% of salary.

Michael Fraccaro, chief human resources officer, announced the change in a LinkedIn post last week. He cited recent U.S. tax reform as the impetus for the change.” - Feb. 5, 2018 Pensions and Investments article excerpt

Bank of New York Mellon Corp. (New York, New York) -- Base wage raised to $15 per hour; upgrades to dozens of technology programs.

New York State Electric & Gas Corporation (Liberty, New York) -- The utility is passing along tax cut savings to customers:

"On December 29, 2017, the Commission issued an Order Instituting Proceeding to address utility rate effects of the tax law changes required by the Tax Cuts and Jobs act od 2017 (Tax Act), which was enacted on December 2017. The Tax Act made significant changes to the federal income tax structure that materially impact the tax liabilities of New York's utilities, including a 40% reduction of the corporate income tax rate from 35% to 21%. The 2017 Order expressed the Commission's intent that ratepayers should receive the net benefit of the Tax Act's changes, and established a process to ensure that outcome." -- August 9, 2018, New York Public Service Commission Meeting.

  1. St. Lawrence Gas Company, Inc. (Massena, New York) -- The utility is passing along tax cut savings to customers: 

On December 29, 2017, the Commission issued an Order Instituting Proceeding to address utility rate effects of the tax law changes required by the Tax Cuts and Jobs act od 2017 (Tax Act), which was enacted on December 2017. The Tax Act made significant changes to the federal income tax structure that materially impact the tax liabilities of New York's utilities, including a 40% reduction of the corporate income tax rate from 35% to 21%. The 2017 Order expressed the Commission's intent that ratepayers should receive the net benefit of the Tax Act's changes, and established a process to ensure that outcome." -- August 9, 2018, New York Public Service Commission Meeting

Rochester Gas & Electric Corporation (Rochester, New York) -- The utility is passing along tax cut savings to customers:

"On December 29, 2017, the Commission issued an Order Instituting Proceeding to address utility rate effects of the tax law changes required by the Tax Cuts and Jobs act od 2017 (Tax Act), which was enacted on December 2017. The Tax Act made significant changes to the federal income tax structure that materially impact the tax liabilities of New York's utilities, including a 40% reduction of the corporate income tax rate from 35% to 21%. The 2017 Order expressed the Commission's intent that ratepayers should receive the net benefit of the Tax Act's changes, and established a process to ensure that outcome." -- August 9, 2018, New York Public Service Commission Meeting.

MetLife Inc. (New York, New York) – Base wage raised to $15 per hour; creation of a $10 million skills development fund; establishment of a minimum group life insurance benefit, enhanced 401(k) plan:

“As a result of tax reform, we are making a significant investment in our employees. We are enhancing pay and benefit programs and helping them develop skills that will make them more valuable members of our team,” said Chairman, President and CEO Steven A. Kandarian. “We are investing in their future and strengthening their long-term financial security with structural improvements that will endure. We are also channeling most of the benefits to employees at the lower end of the compensation spectrum.”

To help the company’s global workforce identify and acquire the skills needed to compete in the 21st century digital workplace, MetLife is establishing a Workforce of the Future Development Fund. The company will invest $10 million to accelerate a culture of learning and innovation.

For all eligible U.S. employees, MetLife’s enhanced programs include:

•Establishing a company minimum wage of $15 an hour, well above the federal minimum wage of $7.25 an hour.

•Establishing a minimum MetLife-provided group life insurance benefit of $75,000, regardless of the employee’s pay. Previously, the benefit was set at one times annual pay.

•Introducing a $300 minimum monthly credit for the cash-balance formula of the company’s defined benefit pension plan, also regardless of the employee’s pay. MetLife is one of a limited number of Fortune 50 companies that continues to provide its employees with both a defined benefit pension plan and a defined contribution plan to help them build secure retirements.

•Enhancing the 401(k) plan design by moving to auto-enrollment for employee contributions and immediate eligibility for, and vesting in, employer matching contributions. This is scheduled to take effect in 2019.

•Extending company-paid group legal services offered through MetLife’s Hyatt Legal Plans. Currently approximately one third of MetLife employees in the United States are enrolled in this voluntary benefit. With this change, legal services will be provided to MetLife’s 18,000 employees in the United States at the company’s expense.” – Feb. 12 2018, MetLife Inc. press release excerpt

NBT Bancorp Inc. (Norwich, New York) – Base wage raised to $11 to $15 per hour; minimum 5% salary increases for employees making less than $50,000; increased capital expenditures:

The Company will realize a reduction in tax expense beginning in 2018 due to Tax Reform decreasing the federal rate for corporations from 35% to 21%. As a result, the Company is raising the starting hourly pay rate of $11 to $15 per hour and employees earning $50,000 or less will receive a permanent minimum increase of 5%. This will positively impact over 61% of the Company’s workforce. Moreover, in 2018 the Company will be increasing both its investment in infrastructure to enhance customer-facing technology and contributions to nonprofit organizations in its footprint. – Jan. 23 2018, NBT Bancorp Inc. press release

American Express (New York, New York) -- $200 million additional investments for customer-facing growth initiatives; increased contributions to employee profit-sharing plans:

“Overall, we believe the Tax Act will be a positive development for both the U.S. economy and American Express. Given the momentum in the business and the anticipated benefit of a lower tax rate, we now expect to invest up to $200 million more in 2018 than we originally planned for customer-facing growth initiatives. We’ve also made an incremental contribution to our employee profit-sharing plans to support the long-term financial well-being of our employees. And, for shareholders, we expect to use the remaining anticipated benefits to build capital and support earnings growth in 2018. -- Jan. 18 2018, American Express press release

Pfizer Inc. (New York, New York) -- $100 million in tax reform bonuses for non-executive employees:

"The company also has allocated approximately $100 million for a special, one-time bonus to be paid to all non-executive Pfizer colleagues in first-quarter 2018." -- Jan. 29, 2018 Pfizer Inc. press release

Pioneer Credit Recovery (Arcade, New York) -- $1,000 bonuses for 800 employees.

PepsiCo, Inc. (Purchase, New York) -- $1,000 bonuses to full-time front-line U.S. employees:

For 2018, we will be aided by the financial benefits provided by the recent U.S. tax reform, which will allow us to make incremental investments to further fortify our business. For example, in 2018, we will provide a bonus of up to $1,000 to full-time front-line U.S.-based associates to reward and recognize their dedication and contribution to making our business better and stronger. And we will invest in training our global associates to arm them with the skills to succeed in tomorrow’s workplace. – Feb. 13, 2018 PepsiCo, Inc. Earnings Call Transcript

Verizon (New York, New York) -- Non-executive employees will receive 50 shares of restricted stock.

Evans Bancorp Inc. (Hamburg, New York) -- $1,000 bonuses to non-senior level employees; increased charitable donations:

Evans Bancorp, Inc. (the “Company”) (NYSE American: EVBN), a community financial services company serving Western New York since 1920, today announced a number of investments, continuing a pattern of support for its employees and the communities it has served and invested in for almost a century. These investments are being made in conjunction with expected improvements in after-tax income as a result of Federal tax reform in the Tax Cuts and Jobs Act.

Aligned with Evans Core Principles is Valuing Others, which leads the Company to commit to the following initiatives:

▪Evans will provide all of its non-senior level associates a $1,000 bonus in recognition of their superior efforts on behalf of the Company and as part of an ongoing focus on providing excellent career opportunities and top-tier employment.

▪The Company recently made a $300,000 contribution to its Foundation, the largest such contribution in its history. Disbursements from the Foundation are invested in not-for-profit entities to enhance the quality of life within Western New York.

▪Benefits provided by tax reform will also allow the Company to increase its returns to shareholders and provide additional investment in our community. Evans is currently researching initiatives that will be impactful and make a difference in the fabric of the community that is responsible for our success.

“With a nearly 100-year record of serving our communities, employees, customers and shareholders, these actions will expand our efforts even further,” stated David J. Nasca, President and CEO of Evans Bancorp. “As we will be directly benefiting from the tax reform, we believe that it is our obligation to share it with all of our stakeholders for the advancement of Western New York.”—Jan. 31 2018, New York Business Journal article excerpt

T.J. Maxx – 79 stores in New York – tax reform bonuses, retirement plan contributions, parental leave, enhanced vacation benefits, and charitable donations:

The 2017 Tax Act benefited the Company in the fourth quarter and full year Fiscal 2018. The Company expects to continue to benefit from the 2017 Tax Act going forward, primarily due to the lower U.S. corporate income tax rate. As a result of the estimated cash benefit related to the 2017 Tax Act, the Company is taking the following actions:

Associates

  • A one-time, discretionary bonus to eligible, non-bonus-plan Associates, globally

  • An incremental contribution to the Company’s defined contribution retirement plans for eligible Associates in the U.S. and internationally

  • Instituting paid parental leave for eligible Associates in the U.S.

  • Enhancing vacation benefits for certain U.S. Associates

Communities

Made meaningful contributions to TJX’s charitable foundations around the world to further support TJX’s charitable giving. – Feb. 28, 2018 The TJX Companies Inc. press release excerpt

Walmart – 100 locations in New York -- Base wage increased; pay raises; bonuses of up to $1,000. The company also expanded maternity and parental leave and now provides $5,000 for adoption expenses.

Cintas -- (multiple locations in New York) -- $1,000 bonuses for employees of at least a year; $500 for employees of less than a year.

AT&T --  $1,000 bonuses to 3,149 New York-based employees; Nationwide, the company has announced a $1 billion increase in capital expenditures thanks to tax reform:

Today, Congress approved legislation representing the first comprehensive tax reform in a generation. The President is expected to sign the bill in the coming days.

Once tax reform is signed into law, AT&T* plans to invest an additional $1 billion in the United States in 2018 and pay a special $1,000 bonus to more than 200,000 AT&T U.S. employees — all union-represented, non-management and front-line managers. If the President signs the bill before Christmas, employees will receive the bonus over the holidays.

“Congress, working closely with the President, took a monumental step to bring taxes paid by U.S. businesses in line with the rest of the industrialized world,” said Randall Stephenson, AT&T chairman and CEO. “This tax reform will drive economic growth and create good-paying jobs. In fact, we will increase our U.S. investment and pay a special bonus to our U.S. employees.”

Since 2012, AT&T has invested more in the United States than any other public company. Every $1 billion in capital invested in the telecom industry creates about 7,000 jobs for American workers, research shows. -- Dec. 20, 2017 AT&T Inc. press release

Apple (Apple store locations in Albany, Brooklyn, Buffalo, Elmhurst, Garden City, Huntington Station, Lake Grove, Manhasset, Nanuet, New York, Syracuse, Victor, White Plains, Yonkers) -- $2,500 employee bonuses in the form of restricted stock units; Nationwide, $30 billion in additional capital expenditures over five years; 20,000 new employees will be hired; increased support of coding education and science, technology, engineering, arts, and math; increased support for U.S. manufacturing.

Home Depot 100 locations in New York, bonuses for all hourly employees, up to $1,000.

Comcast (Multiple locations in New York) -- $1,000 bonuses for frontline and non-executive employees. Nationwide, the company will invest an additional $50 billion-plus in infrastructure in next five years.

Chipotle Mexican Grill (138 New York locations) – Bonuses ranging from $250 to $1,000; increased employee benefits; nationally, $50 million investment in existing restaurants.

Lowe's -- 10,000 employees at 70 stores and one distribution facility in New York. Employees will receive bonuses of up to $1,000 based on length of service; expanded benefits and maternity/paternal leave; $5,000 of adoption assistance. 

Ryder (Twenty-two locations in New York) -- Tax reform bonuses for employees.

Starbucks Coffee Company (Multiple locations in New York) – $500 stock grants for all retail employees, $2,000 stock grants for store managers, and varying plan and support center employee stock grants. Nationally, 8,000 new retail jobs; an additional wage increase this year, totaling approximately $120 million in wage increases, increased sick time benefits and parental leave. 

U-Haul (Multiple locations in New York) – $1,200 bonuses for full-time employees, $500 for part-time employees.

FedEx (Multiple locations in New York) – Accelerated and increased compensation; pension plan contributions:

“FedEx Corporation is announcing three major programs today following the recently enacted U.S. Tax Cuts and Jobs Act:

  • Over $200 million in increased compensation, about two-thirds of which will go to hourly team members by advancing 2018 annual pay increases by six months to April 1st from the normal October date. The remainder will fund increases in performance- based incentive plans for salaried personnel.
  • A voluntary contribution of $1.5 billion to the FedEx pension plan to ensure it remains one of the best funded retirement programs in the country.
  • Investing $1.5 billion to significantly expand the FedEx Express Indianapolis hub over the next seven years. The Memphis SuperHub will also be modernized and enlarged in a major program the details of which will be announced later this spring.

FedEx believes the Tax Cuts and Jobs Act will likely increase GDP and investment in the United States. – Jan. 26 2018, FedEx press release

Taco John’s (New York locations in Jamaica and Lindenhurst): All full-time and part-time crew members received a $200 after-tax bonus:

Taco John’s International, Inc. announced today that in response to the 2018 Tax Cut and Jobs Act, the company gave part of its projected tax savings to its restaurant crews, general managers, corporate staff and CORE (Children of Restaurant Employees).

On Friday, Feb. 23, Taco John’s International, Inc.’s employees received a one-time bonus, as follows:

  • Every restaurant crew member - full-time and part-time - received $200 (after taxes);
  • General managers and employees at the Taco John’s Franchisee Support Center in Cheyenne received $1,000 each; and,
  • The Executive Council of Taco John’s International, Inc. (Vice Presidents and above) donated their $1,000 bonuses (a total of $10,000) to CORE, a national not-for-profit organization that grants support to children of food and beverage service employees who are navigating life-altering circumstances.
     

“At Taco John’s International, our team is our family, so sharing the financial benefits that were a result of the recent tax reform legislation only makes sense,” said Jim Creel, CEO of Taco John’s International, Inc. “We encourage other restaurant brands to follow our example and give a portion of their savings to the people that are at the heart of what we do and to great organizations like CORE that support our crew. One hundred percent of CORE’s funds directly benefit children of restaurant employees who have been afflicted with life-threating conditions.”

“We are so grateful to the Taco John’s team for their generous donation to our CORE family members,” said Lauren LaViola, executive director of CORE. “Donations like theirs help us provide for our food and beverage service families experiencing loss, illness and other life-changing circumstances, and help us get closer to our goal of helping even more families across all 50 states in 2018.”

The total amount that Taco John’s International, Inc. gave exceeded $150,000.00. – Feb. 28, 2018 Taco John’s International, Inc. press release

Loud & Clear Communications (New York, New York) -- Tax reform bonuses for employees.

Note: If you know of other New York examples, please email John Kartch at jkartch@atr.org

The running nationwide list of companies can be found at www.atr.org/list

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