Mayor Walsh says his administration and Vertex have negotiated a roughly 25% cut in a property-tax deal for Vertex because the company did not bring as many jobs to the South Boston waterfront as it had originally said it would.
In a filing with the City Council, Walsh says Vertex will now get $9 million off its property-tax bill through 2019, rather than the $12.1 million originally negotiated in 2011.
While the project helped spur the development of the waterfront area, the original deal was based on Vertex bringing roughly 1,750 jobs to its $1-billion, two-building headquarters. In fact, Walsh writes, the company is only employing 1,311 people there.
While Vertex believes it will meet its job commitment in future years, it nonetheless acknowledges that it has fallen short of the benchmark required under the agreement.