PharmaForce Inc., a company that makes sterile injectable generic pharmaceuticals, plans to add 57 more jobs at its Lyman Drive facility by the end of 2014.

PharmaForce Inc., a company that makes sterile injectable generic pharmaceuticals, plans to add 57 more jobs at its Lyman Drive facility by the end of 2014.

Hilliard City Council is expected to pass an ordinance calling for an economic development agreement that would allow the company to expand production.

In return, the city would offer PharmaForce an annual job creation incentive equal to 15 percent of the local payroll withholding taxes paid on the new jobs for seven years.

The incentive may be in the form of a refundable jobs creation tax credit against net profit taxes paid by the company to the city.

If the Ohio Tax Credit Authority does not give PharmaForce the credit, the incentive will be in the form of an identical annual grant.

The ordinance was forwarded to Hilliard City Council by committee on Sept. 12, and had its first reading during the Sept. 26 council meeting.

“What they’re doing with this project is two things,” said economic development director David Meeks. “They’re going to be putting some new equipment into the building (without expanding the building). Then they have an option on the site right behind their building (and) they’re going to have parking for at least 100 new employees. With this project, they’re going to add another shift. But they’re also committed to adding at least 57 jobs by 2014.”

Meeks said the agreement would generate about $277,600 in new withholding taxes.

“Our incentives total $41,640, so over that period we would net out $235,960,” he said.

PharmaForce originally located in Hilliard in 2004, Meeks said, investing $7 million in machinery and equipment at its Lyman Drive plant.

“Right now, they’re between 85 and 100 employees at that facility,” he said.

In 2008, PharmaForce tried to find an additional manufacturing plant for a $30-million expansion in Hilliard.

“They weren’t able to find a site that met their needs,” Meeks said. “A lot of it had to do with vibration, being too close to the railroad tracks because you have some pretty sensitive equipment with what they do, or too close to the freeway.”

Meeks said the city worked to attract PharmaForce’s expansion in Hilliard, despite the company’s acquisition by Leutpold Pharmaceuticals in 2009 and having additional facilities in central Ohio.

“The nice thing about the Hilliard facility is it’s one of very few FDA-approved sterile manufacturing facilities for injectables in the United States,” Meeks said. “The uniqueness of this facility bodes well for a long-term presence here in Hilliard regardless of what happens to PharmaForce as they grow or future acquisitions.”

Officials at PharmaForce did not comment on the agreement with Hilliard by ThisWeek’s press time on Tuesday.

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