updated: 10/19/2011 1:18:16 PM
The Northwest Indiana Regional Development Authority says $6 million in funding it has approved "closed the deal" for two companies planning to move work to northwest Indiana. Executive Director Bill Hanna says the funding for Canadian National Railway Co. (NYSE: CNI) and Illinois-based Modern Forge Companies will help bring nearly 500 jobs to the area. He says without the funding, both deals likely would have gone to other states.
The RDA says Canadian National Railway will receive $4 million to move a facility from Illinois to Gary and Modern Forge will receive $2 million for its move to Merrillville.
Hanna says the RDA has budgeted about $6 million per year for "deal-closing" funding. He says when companies look to expand, it's often a competitive process, and offering the money to bridge the gap can be the deciding factor.
Hanna says the RDA is already hearing from companies interested in next year's funding. He says the agency's task is to spend the money "judiciously," and make sure the investments it makes pay off long-term.
Source: Inside INdiana Business