Week in Review: Sept. 8, 2024

INTEL

The Public Utilities Commission of Ohio (PUCO) highlighted Intel's projected 20-year, $20 billion contribution to state economic goals and Ohio Consumers' Counsel (OCC) backing Wednesday in approving discounted electric rates for the company's future semiconductor facilities in Central Ohio. State regulators said Intel expects to generate 7,000 temporary construction jobs, 3,000 permanent plant jobs and 10,000 indirect and support jobs in the state's "Silicon Heartland." That translates to $2.57 billion in economic activity during the building phase and $6.45 billion annually when its fabrication facilities or "fabs" are in operation -- the latter figures confirmed by JobsOhio. American Electric Power (AEP) of Ohio in turn will invest $95.1 million in distribution infrastructure, including a new electric substation, to handle up to 500 megawatts (MW) for semiconductor manufacturing and other operations at the 1,000-acre site.

TECHNOLOGY/AEROSPACE

The DeWine administration announced Thursday that Akron will serve as the state's third innovation hub, receiving $31.25 million in state funds and over $10 million in local investment with a focus on research and development of polymer technology. This follows a July announcement by the Biden administration that around $51 million in CHIPS Act funds would be provided for a Sustainable Polymers Tech Hub there. The Greater Akron Polymer Innovation Hub will be led by over 70 partner agencies making up the "Polymer Industry Cluster." Those include the city of Akron, Summit County, Goodyear Tire & Rubber Company, Bridgestone Americas, Synthomer, the University of Akron (UA) and the Greater Akron Chamber which will lead the Sustainable Polymers Tech Hub effort as well. A "significant portion" of state funds will go to construction of a Polymer Pilot Plant, according to the DeWine administration. That will provide a centralized location where partners will focus on polymer innovations related to health care, mobility, electronics, semiconductors, industrial materials and energy.

WORKERS’ COMPENSATION

Meketa Investment Group is the new general investment consultant for the Ohio Bureau of Workers' Compensation (BWC). The BWC Board of Directors unanimously voted on Friday to enter into a five-year contract with the firm, with options for two one-year renewals. Meketa's contractor retainer fees are $480,000 for the first year, $495,000 for year two, $510,000 for year three, $525,000 for year four, $540,000 for year five, $555,000 for the first one-year renewal and $570,000 for the second one-year renewal, according to a document provided by BWC. The fee for asset liability studies for all trust funds is $90,000. The contract with Meketa began on Sunday, Sept. 1 and runs through Friday, Aug. 31, 2029, BWC Investment Committee Chair Mark Palmer said. In other action, the BWC Board approved a zero percent rate change for public employers for the policy year beginning Jan. 1, 2025.