Youngstown council to consider revoking tax break from failed company
YOUNGSTOWN - Youngstown City Council will consider terminating a tax abatement awarded to a company that never delivered on its promises of new jobs before going out of business.
Included on Wednesday’s council agenda is an item that would authorize the board of control to end the tax break given to Allied Consolidated Industries.
The agenda says the company has ceased operations and has not met its job creation commitments outlined in an Enterprise Zone Agreement.
The company’s failure to live up to the agreement was uncovered in a May 12, 2020, Business Journal story that said the steel erecting and dismantling company received an estimated $815,317 to $1,757,288 in tax breaks between 2006 and 2021.
According to the reporting, Allied promised to create 16 jobs but produced none before filing for bankruptcy in 2016.
