CIDFAC Industrial Development Bond (IDB)
Job Retention/Creation Guidelines for IDBs1
Job Creation Points:
Applications will be awarded points for projects that create or retain jobs. The award of points for Job Creation is based on the Borrower�s and/or User�s representation that they will make their best efforts to increase the number of direct, full-time employees at the Project site within two years of Project completion. The job ratio for the purpose of awarding points shall be as follows:
- 10 percent to 20 percent increase in jobs (10 points)
- 21 percent to 30 percent increase in jobs (20 points)
- 31 percent or more increase in jobs (35 points)
To Qualify For Job Retention Points (10 points), Companies Must:
- Provide a letter from the appropriate local government entity verifying that the business is at risk of moving or closing local operations within two years of its application for tax-exempt IDB financing, and that the ongoing operations of the company within the local jurisdiction is important to the local economy and employment Or,
- Submit written evidence from the Borrower and/or User that the company, within two years prior to the submission of an application for tax-exempt IDB financing, engaged a “site selector” to find possible relocation sites outside California; And,
- 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 Small Business Program (SBP) Industrial Development Bonds for CIDFAC approval remain unchanged.