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Here's how the $12M General Motors is required to payback to Lordstown will be used

Lordstown
Posted at 3:53 PM, Jan 14, 2021
and last updated 2021-01-14 15:53:09-05

COLUMBUS, Ohio — On Thursday, Lt. Gov. Jon Husted announced the details of a $12 million investment in the Mahoning Valley through General Motors following its decision to close the assembly plant in Lordstown last year.

After a series of discussions last year following the Lordstown plant closure, the Ohio Tax Credit Authority approved a recommendation from the Ohio Development Services Agency to terminate the job creation and tax credit agreements that GM had.

As part of that recommendation approval, GM was required to invest $12 million in tax credits to the state of Ohio, which have been set to be allocated, Husted said.

Husted announced that $5 million will go to Youngstown State University for a workforce development partnership with Eastern Gateway Community College and the Youngstown State Energy Storage Innovation and Training Center.

The funds will be focused on building a new electric vehicle industry in the Mahoning Valley and a premier education and training center will be a part of those efforts.

Lordstown Motors Corp (LMC), an electric truck manufacturer, took over the shuttered GM Lordstown plant.

Husted also announced that $3 million of the funds will be set aside for Lordstown to construct a water tower to serve the area.

The Eastgate Regional Council of Governments will receive $2.5 million for local infrastructure improvements in order to prepare for the growth of the new industry being developed in the area, while $1.5 will go to the Mahoning Valley Manufacturers Coalition to develop workforce skills in support of the incoming industries.

“GM has a strong history in the Valley and we expect that to continue,” Husted said. “I think that this agreement solidifies that for the future, protects the taxpayer dollars and invests in this new industry, the electric vehicle industry.”

RELATED: GM required to repay $28 million in tax credits after Lordstown Plant closure