Steel worker on CNC plasma cutter machine

Grants for Ohio Manufacturers

On June 2, Ohio Lieutenant Governor John Husted announced the creation of the Ohio PPE Retooling and Reshoring Grant Program. The Ohio Development Services Agency will award a total of $20 million dollars in grants, up to $500,000 per facility, to businesses to retool their facilities to make personal protective equipment (PPE) or reshore their overseas PPE production to Ohio. Applicants must be:
  • A small business as defined by SBA guidelines, or a registered nonprofit organization
  • In good standing with the Ohio Department of Taxation and Ohio Environmental Protection Agency
  • Registered with the Ohio Secretary of State
  • Able to produce eligible PPE at an Ohio facility that is wholly owned and operated by the applicant
  • Agreeable to a best effort to sell the PPE made via the grant in Ohio before selling to out-of-state buyers
  • One of the following:
    • A for-profit manufacturer that either has retooled or is planning to retool or otherwise change its operation to produce at least one form of eligible PPE
    • A new for-profit manufacturer being established to produce at least one type of eligible PPE
    • A nonprofit organization that has or will manufacture at least one type of eligible PPE
  Eligible PPE includes gloves, surgical masks, gowns, community masks, thermometers, face shields, hand sanitizer, and cleaning and sanitizing products. Other PPE items may be approved at the discretion of the Agency. Costs eligible for reimbursement must be incurred after March 21, 2020, for acquiring equipment to make PPE, retooling or constructing PPE facilities in Ohio, or applicable technological upgrades. Eligible costs are those incurred within 12 months of the date the manufacturer is approved for the grant. Half of the recipient’s grant funds will be disbursed when the agreement with the Agency is executed. For full reimbursement, recipients are required to submit documentation—including invoices and proof of payment, and proof that the PPE identified in the application was manufactured—within three months after an expense is incurred. Applicants are also required to submit a report within a year after the start of the project, which will include PPE manufactured, jobs created, and other information the Agency may request. The applicants will also be required to certify that they are still making PPE at the project location. For more information about Ohio PPE Retooling and Reshoring Grant Program or to apply, visit https://development.ohio.gov/bs/bs_ppe-rrgpg.htm. We’re here to help. If you have questions or concerns, contact a member of the HBK Manufacturing Solutions Group at 330-758-8613 or mail to:manufacturing@hbkcpa.com.
About the Author(s)
Amy Reynallt is a Manager with the HBK Manufacturing Solutions Group in the Youngstown, Ohio office of HBK CPAs & Consultants. She joined the firm in 2019 following 13 years in the manufacturing industry. Amy is experienced in navigating the strategic and financial matters associated with manufacturing and works closely with manufacturers to help them plan, execute, and meet their short- and long-term financial goals.
Hill, Barth & King LLC has prepared this material for informational purposes only. Any tax advice contained in this communication (including any attachments) is not intended or written to be used, and cannot be used, for the purpose of (i) avoiding penalties under the Internal Revenue Code or under any state or local tax law or (ii) promoting, marketing or recommending to another party any transaction or matter addressed herein. Please do not hesitate to contact us if you have any questions regarding the matter.

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