Closing of Johnson Controls facility could affect WEDC tax credits

Johnson Controls, Inc recently reported they will close its Milwaukee Business Center, laying off 277 employees.

But recently, there's been some controversy over a tax credit the company was set to receive for that facility.

The Wisconsin Economic Development Corporation known as WEDC, awarded Johnson Controls $1 million dollars in state tax credits. The goal of the award was to create 266 jobs in that location on North Lydell Avenue.

Fraser Engerman, Director of Global Media Relations at Johnson Controls told CBS 58 via email that the company has not used any of the WEDC credits they were awarded.

WDEC confirms that statement, adding that even though Johnson Controls was eligible for the tax credit, they did not claim them. It is unclear what will happen with the credits now that the facility is closing.

"We are scheduling a meeting to discuss the existing contracts and JCI’s future plans for its Wisconsin facilities," said Steven Michels, Public Affairs and Communications at WEDC.

Johnson Controls plans to begin layoffs January 2016. The company says its closing the facility in Milwaukee to improve its processes and reduce its annual expenses.