Durham County backs up to $5.5 million in incentives for Novartis expansion promising about 280 jobs

Durham County commissioners voted unanimously Dec. 8 to authorize a performance-based award of up to $5,500,000 for Novartis Gene Therapies to support two local manufacturing projects referred to as Projects Arrowwood and Red Cedar.

Economic Development Manager Matthew Filter said the projects would create approximately 280 jobs and a total private investment of about $540 million over five years; he told the board the county would monitor performance measures for 10 years and could reduce award funding if milestones were not met. Novartis representatives emphasized local workforce and life-sciences partnerships: Matthew Evans said Novartis was expanding “due to the workforce in Durham and the foundation of Life Sciences in the area,” and John Hohenworter thanked county staff for their partnership in the expansion effort. Durham Public Schools and community partners described workforce pathways tied to the project.

The board held a required public hearing before the vote. No formal opposition was recorded in the public record; the board’s motion to approve the award and authorize the county manager to negotiate and execute a performance agreement passed unanimously (5-0). County Manager Claudia Hager confirmed staff authority to reduce award funding if performance measures are not met.

Why it matters: The requested award is notable for its size relative to typical county incentives and for the project’s stated potential to add hundreds of jobs and substantial private capital investment. Economic Development staff will track performance and compliance for the period described in the proposal.

What happens next: The board authorized the County Manager to negotiate and execute a performance agreement; Economic Development staff will monitor the agreement and report on compliance with performance measurements over the contract term.