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CommutAir adding 81 jobs in North Olmsted

By JEFF GALLATIN

NORTH OLMSTED – A regional commuter airline that covers the eastern United States is getting a 10-year partial income tax rebate job creation grant from North Olmsted as it creates 81 new jobs by the end of 2019 and expands its administrative headquarters.

Officials from CommutAir, operating as United Express, has been based in Vermont, but officials said the corporate headquarters will be based in North Olmsted as a result of the move. Currently the company has 136 jobs in its offices in the Great Northern Corporate Center, with the 81 new jobs being added in North Olmsted by the end of 2019, company officials said. Earlier this year, CommutAir and United reached an agreement to have the regional firm operate an additional 21 ERJ-145 regional jets for United, in addition to the 40 CommutAir already operates for United.

“CommutAir is rapidly expanding to fly its new jet contract for United Airlines – hiring pilots, mechanics and other employees throughout our network,” said Subodh Karnik, CommutAir President and CEO. “North Olmsted has worked closely with us to provide an attractive environment and infrastructure to consolidate our corporate headquarters and administrative functions. We plan to create new headquarters jobs here to support our growth.”

North Olmsted Mayor Kevin Kennedy said he was thrilled that CommutAir will expand here.

“We have a major corporate headquarters (Moen) just down the street,” he said. “Now this second corporate headquarters will create new jobs and many additional benefits to our local economy.”

North Olmsted Planning and Development Director Kim Lieber said the job creation grant rebates an average of 42 cents of every new tax dollar created for a period of 10 years. She said the grant is contingent on the company retaining the existing jobs as well as creating the new ones.

Lieber said the existing 136 jobs already have $112,000 annually in retained income taxes with an estimated $5.6 million in annual payroll, with the 81 new jobs expected to create an additional $132,000 in annual income tax collected from $6.6 million in associated payroll. Taking the job creation grant into account, Lieber said the total will be $188,560 net annually for the grant years. In addition, the company has also applied to receive an Ohio Job Creation Tax Credit from the state which will be considered by the Ohio Tax Credit Authority Company officials.

CommutAir officials said the company expects to require additional office space beyond the 18,000 square feet it currently leases at 24950 Country Club Blvd. to accommodate the additional workers and is working with the city to find the best location. The company was established in 1989.

 

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