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CoreTech remains waiting for QC approval

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A prominent local company that's planning to launch a captive insurance business is still waiting on the Governor's approval of its qualifying certificate. But CoreTech International's bid for tax relief comes at a time when the administration is desperately seeking more tax revenue, and has placed a moratorium on existing QC's.

Governor Calvo issued the Executive order on February 27 saying, "the moratorium will remain until we know where we stand financially, and whether renewing the QCs will help or harm our island's economy."

Senator Dennis Rodriguez, who has pushed to eliminate insurance from the list of eligible QC's, says he's not familiar with the CoreTech application, but he expects that a fair assessment was done by GEDA, and that a level playing field is extended just as other captive insurance companies were afforded.

The program was launched 50 years ago and offers long-term corporate tax rebates to companies from certain industries to spur economic investment.

“With fire and police stations closing, and furloughs on the horizon, unless the financial situation we are in changes, I don’t foresee approving any qualifying certificates,” Governor Calvo said.

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