News and Analysis
News outlets have reported that later today (Friday, Jan. 21) there will be an official announcement that a multi-billion-dollar computer-chip manufacturing facility is coming to Ohio. According to the reports, Intel will build the chip facility in rural Licking County.
Gov. Mike DeWine, Lt. Gov. Jon Husted, and officials from JobsOhio say they plan to make a “historic economic development announcement” in Newark at 2:30 p.m. today. Intel has issued a media alert, saying CEO Pat Gelsinger will take part in a webcast (also at 2:30 p.m.) to share details about the company’s “latest plans for investing in manufacturing leadership.”
A major chip manufacturing facility would be a huge win for Ohio manufacturers and their supply chains, and critical for national security. Currently, just 12% of the world’s chips are made in the U.S., with about 80% made in Asia.
The Statehouse News Bureau reports that the Intel project has been described by sources as “the biggest economic development deal for Ohio since Honda built its 4 million square foot manufacturing plant near Marysville in the early 1980s.” Stay tuned. 1/21/2022
At 10 a.m. Thursday, Jan. 27, the OMA will host a webinar to discuss the rationale for — and implementation considerations of — information automation technologies.
This one-hour learning event, presented by OMA Connections Partner AWH, will focus on mid-market manufacturing companies. It will showcase examples of business automation projects in the areas of cloud technologies, digital commerce, and process automation. Learn more and register. 1/20/2022
Spectrum News recently reported on the activities of OMA Connections Partner MAGNET — the Cleveland-based non-profit that serves as northeast Ohio’s Manufacturing Extension Partnership (MEP). As reported earlier, MAGNET is a finalist for a federal grant of up to $75 million to help increase workforce diversity in manufacturing, while fortifying supply chain resilience. The grant would support several projects planned across northeast Ohio. 1/17/2022
While Ohio’s primary election is set for May 3 — and candidates must file by Feb. 2 — state leaders must first settle the dispute over district boundaries. That’s because the Supreme Court of Ohio last week invalidated the state’s newly redrawn congressional districts, in addition to striking down new maps of Ohio’s House and Senate legislative districts.
As summarized by the OMA’s general counsel Bricker and Eckler, the court said the maps violated the Ohio Constitution’s prohibitions on partisan gerrymandering.
The Ohio Redistricting Commission has until Saturday, Jan. 22 to remap the boundaries for legislative districts. For the congressional map, the General Assembly has until mid-February. If the legislature fails to do this, the redistricting commission will have an additional 30 days to craft a new congressional map. 1/20/2022
This week, state Rep. Emilia Sykes (D-Akron) — who just recently stepped down as Ohio House minority leader — announced she is running for Congress in Ohio’s newly reconfigured 13th Congressional District, even though its boundaries are still uncertain (see story above).
In its current form, the 13th district is represented by retiring U.S. Rep. Anthony Gonzalez (R-Rocky River). Republicans who have already filed for the seat include former congressional aide Shay Hawkins of Broadview Heights and former White House aide Max Miller, who has been endorsed by former President Donald Trump. 1/18/2022
U.S. Rep. Marcy Kaptur (D-Toledo) has announced that $516.2 million in federal infrastructure funds will be spent to improve the Soo Locks in Michigan. Approximately 80 million tons of cargo valued at nearly $6 billion pass through the Soo Locks every year, and the project should help alleviate regional supply chain issues. 1/20/2022
Ohio manufacturing’s economic output has surpassed its previous highwater mark set in the second quarter of last year. According to the U.S. Bureau of Economic Analysis, the Buckeye State’s seasonally adjusted annual manufacturing GDP yielded more than $118.3 billion in Q3 of 2021 — up from $116.9 billion in Q2 of last year and $112.4 billion in Q4 of 2019, before the start of the pandemic.
Meanwhile, Ohio is down about 40,000 manufacturing jobs compared to 2019, in large part due to the labor shortage. (Ohio Means Jobs currently has roughly 25,000 manufacturing-related postings.) 1/13/2022
U.S. Sens. Rob Portman (R-OH) and Sherrod Brown (D-OH) are calling for swift passage of bipartisan legislation to invest in domestic manufacturing and address the global semiconductor shortage.
The senators’ call coincided with media reports that a major computer-chip factory is planned for central Ohio. (Intel CEO Pat Gelsinger has previously said his company plans to build a $100 billion “mega-fab” complex somewhere in the U.S.)
Gov. Mike DeWine has also reiterated his call for Congress to pass the CHIPS For America Act, which would direct $52 billion for domestic semiconductor production. The bill has cleared the U.S. Senate, but is stalled in the House.
Last fall, the OMA — along with other Ohio business groups and JobsOhio — urged the state’s federal delegation and congressional leaders to address the chip supply crisis by boosting support for domestic semiconductor production. 1/12/2022
In its analysis of the decision, OMA Connections Partner Roetzel notes that the court defined how to determine the appropriate Republican to Democrat percentage, siding with Democrats, who argued that only 54% of the districts could lean towards the GOP. The ruling now kicks the maps back to the Ohio Redistricting Commission.
Meanwhile, candidates seeking a seat in the Statehouse face a Feb. 2 deadline to file. A federal lawsuit challenging both the state legislative district maps and the congressional district map has been placed on a 60-day hold by an Akron-based judge. 1/12/2022
This week, Lt. Gov. Jon Husted announced a $3 million grant to The Ohio State University to develop broadband curriculum. This funding is focused on workforce development to help expand broadband service and 5G coverage throughout rural Ohio. 1/11/2022