California Industrial Development Financing Advisory Commission
CIDFAC Industrial Development Bond (IDB)
Job Retention/Creation Guidelines for IDBs1
Companies eligible to claim job creation/retention, or a combination of both, are those companies: forced to downsize or retool in order to remain in operation; at risk of closing their local operations; or acquired prior to closing or relocating by new ownership that commits to maintain company operations and retain existing jobs.
Jobs eligible to be claimed are jobs an eligible company demonstrates will be lost, based on the above criteria, if IDB financing is not available.
Applications will be awarded points for projects that create or retain jobs, as defined above.The amount of the allocation requested in the application will be divided by the number of jobs to be created or retained. The lower the job ratio the more points awarded the project. The job ratio for the purpose of awarding points shall be as follows:
- 25 points to projects that retain or create one (1) new job per $35,000 or less of allocation.
- 15 points to projects that retain or create one (1) new job per $35,001 to $50,000 of allocation.
- 5 points to projects that retain or create one (1) new job per $50,001 to $75,000 of allocation.
To Qualify For Job Retention Credit, Companies Must:
- Provide a letter from the appropriate local government entity verifying that the business is at risk of closing local operations, and that the IDB program is an integral part of its plan to maintain its local operations and retain jobs, as defined.
- Certify in the IDB application that they will retain the specified number of jobs for a two-year period after the issuance of Bonds. CIDFAC staff will verify jobs retained through the Employment Development Department (EDD).
1All other components for evaluation and assessing regular and SBP Industrial Development Bonds for CIDFAC approval remain unchanged.