Three businesses that received thousands in tax breaks from the City of Cincinnati have not created the number of jobs required by their tax-abatement agreements.

        The city's Tax Incentive Review Council has recommended that City Council terminate the tax breaks for M.E. Heuck, Cincinnati Gilbert Machine Tool Co. and Slush Puppie.

        Tax abatements for six other companies are to be cut or put on a watch list under the review council recommendations. They are Medcut Research, Surgical Appliance, Boston Beer Co., Concord-Renn Co., Springdot and Sun Chemical.

        Pete Gillon, the chairman of the Tax Incentive Review Council, referred questions to Community Development Director Peg Moertl. She could not be reached for comment.

        But Tim O'Melia, the executive vice president of M.E. Heuck, strongly disputed the panel's finding that it only created 41 of the 69 jobs it promised.

        He said the Beekman Street company — the largest maker of kitchen gadgets in the United States — hires contract workers from Goodwill Industries and other non-profit community work programs.

        “They're not on our payroll, but we give these people jobs,” Mr. O'Melia said. “If we're a person or two short, for them to say "Get rid of these guys' is shortsighted on their part. We could move to Butler County to chase a better incentive package, but we don't want to do that.”

        Eva Petry, vice president of Cincinnati Gilbert, did not return phone calls seeking comment. The Beekman Street company created 22 of the 60 jobs it was supposed to, according to the city.

        Slush Puppie, which was required to create 50 jobs, moved out of the city last year.

        City policy is to reduce the duration of tax abatements — typically 10-year deals — in proportion to the amount of investment or number of jobs the company has failed to create.

        The city had 86 tax abatements on the books last year. The three recommended for termination is an improvement over 2001, when a record eight companies had their tax breaks terminated by City Council.

Companies may lose tax breaks
Developer Ackermann bucks trend
Productivity booms in wake of recession
Wendy's buys Baja Fresh for $275M
Calcium deposits Coke in court, courtesy of P&G
Enroner: Firing was a surprise
Investors turning to gold during tense times
Nasdaq dumps Adelphia; now it must pay for bonds
Thinking marriage? First, talk finances
What's next - Phone Tag?
Rate report
Business Digest
Tristate Summary
What's the Buzz?