Kern approves incentive for L’Oreal

Press Release
Kern County

As part of Kern County’s efforts to attract new businesses and grow existing businesses the Board of Supervisor’s approved an economic incentive plan called Advance Kern in 2017 that offers companies a rebate on their property, sales, and use taxes when they create jobs that pay a sustainable wage. District 2 Supervisor Zack Scrivner said, “I am pleased L’Oréal decided to set up shop in Kern County. The jobs created will help diversify our economy and add to our growth. This new business venture is a result of the County’s Advance Kern initiative that helps businesses and our local government come to the best possible agreement for tax incentives and guaranteed job creation.”

L’Oréal is the first business to use the incentive program and the first to have an approved incentive package. “We are pleased and proud that the first participant in the county’s Advance Kern program will be locating at the Tejon Ranch Commerce Center,” said Gregory S. Bielli, president and chief executive officer of Tejon Ranch Co. “Kern County has a reputation for being a good place to locate a business, and that reputation is richly deserved.” With the approval of the incentive package, L’Oréal USA can begin their move to Kern County.

The $2,325,000 incentive package is based on the creation of 155 new jobs that are paid a wage that helps ensure employees will not have to rely on public assistance. In addition to the direct jobs created by L’Oréal’s move to Kern County, the anticipated ripple effect in the local economy will produce approximately 45 jobs that provide supporting services. Those supporting services will generate an additional $2.4 million in compensation and $8 million in sales in the local economy annually. The proposed facility includes $9.8 million in capital investments at the Tejon Ranch Commerce Center and the anticipated property tax is $19,650 annually and $130,000 in sales tax annually.

Kern County economic development staff started conversations with Tejon Ranch Company and their possible tenant, L’Oréal, in mid-July. Kern County was eager to welcome L’Oréal to the community and quickly began the process of creating an incentive package. “It was a pleasure working with county staff,” said Tejon Ranch Co. Executive Vice President of Real Estate, Joseph N. Rentfro. “From the moment we brought them together with L’Oréal, they were organized and responsive. It took only four weeks to go from initial introduction and application to an agreed-upon incentive package.”

Kern County is proud to welcome L’Oréal USA, INC., to our community and we’re very pleased we could offer them an incentive that aided in their decision to locate their business here. “We know they’ll find our communities to be welcoming and our employees to be incredibly loyal and hard working,” said Assistant County Administrative Officer Teresa Hitchcock.