TWINSBURG-- Twinsburg City Council unanimously approved June 13 a tax incentive agreement with AVA Direct Custom Computers under the Twinsburg Occupancy Program.
The agreement, said Councilman Bill Furey (at-large) will "allow a slight reduction in income tax to bring in additional salaries and jobs in the city to buildings that are not in use right now."
The proposal was made to help encourage the business to establish a permanent home at 2045 Midway Drive, which had currently been owned by WebMD, which moved to Hudson. The company is currently negotiating to purchase the Midway Drive property. The company is leasing space at 1750 Highland Road in Twinsburg Township.
Currently, AVA Direct has 20 full-time and five part-time employees, with $858,000 in wages paid annually. With the move, 10 full-time and five part-time jobs would be created, adding $250,000 to the payroll.
In return, the five-year agreement would provide "an annual grant payment equal to 33 percent of the payroll withholding taxes collected from employees" between Jan. 1, 2018 and Dec. 31, 2022.
"It's basically a grant equivalent to 33 percent of what the employees are paid in the prior year," said Larry Finch, director of planning and community development. "It's an incentive to help offset the cost of moving into the city." Often, buildings may need repair or upgrades, and this program "allows them to do that and brings jobs into the city."
AVA Direct, which specializes in custom computer systems, plans to move in either September or October, said Alex Sonis, CEO of AVA Direct, adding he was "really really excited" about the opportunity. The sale was finalized June 1, Sonis said.
"I personally live in Twinsburg, and we are really happy to be moving to Twinsburg," Sonis said.