Entry for March 5, 2008
The Loveland City Council voted 7-2 to give Colorado VNet, a local company, $900,000 to move their headquarters within Loveland. In exchange for the money, Colorado Vnet will sign an agreement to bring at least 134 jobs to Loveland by 2012. (see story on LovelandPolitics main page why the 250 jobs being reported in the general press is not accurate).
Councilman Solt offered an amendment to the agreement that would protect city taxpayers by requiring the company pay back Loveland in five years $5,000 for each employee they fail to bring or hire in Loveland or meet the minimum salary level. Instead, the council rejected the amendment to the motion for the plan and instead approved only $2,000 per employee "clawback." The Council voted 7-2 in favor of a plan that includes a clawback provision of only $500,000 meaning the company will keep $400,000 whether they perform under the agreement or not.
The company reported to Council they will move into the WaterPik building with the money. We wish them well and hope the clawback provisions are not necessary in the future.