OKC Council OKs almost $2M in Paycom pact
By Brian Brus
The Journal Record
Tuesday, March 23, 2010

OKLAHOMA CITY – City Council members approved nearly $2 million in economic incentives for the promise of almost 500 new payroll service company jobs in less than five years Tuesday.

Paycom Payroll LLC, which has been based at 4005 Northwest Expressway for 12 years, has already been adding 10 to 15 new employees per month for the last year in a strong growth trend, Chief Executive Chad Richison said. In order to keep up with its projections, Paycom needs more space for a new data center, so a deal was worked out with the city’s Economic Development Trust to develop the property, primarily with water and sewer utilities.

Funding will be provided through general obligation, or GO, limited tax bond proceeds, which were established as the economic development portion of the 2007 city bond election. That item allows Oklahoma City to provide performance-based economic incentives for companies that relocate or expand in the city.

Paycom’s principal products and services involve payroll, human resource, and time and attendance systems. Its Oklahoma City offices focus on software engineering and research, data processing and executive offices. Paycom has sales offices across the country, including Atlanta, Chicago, Dallas, Phoenix and Tulsa.

Richison said the new jobs will pay in the range of $30,000 to $120,000 annually, with most near $40,000. They will be primarily customer service positions to help new clients, in addition to administration, taxes, and software development. Richison said the metro area’s work force has two main characteristics the company seeks: a college degree and that they care.

The Greater Oklahoma City Chamber and city officials have been working with the company periodically since 2006, City Manager Jim Couch said in a memo to City Council members. The total estimated economic impact of the project is $100 million of the first three years, based on building, wages, and state and local taxes. The local sales tax and property tax revenue alone is expected to be $2.3 million over the first four years and $861,000 annually after that.

The contract also calls for Paycom to make a minimum capital investment of $15 million on the development of the company site within 30 days.