Economic development: Near the top of almost everyones agenda
BY JIMMY HEIDEL

One thing I've learned over the past few weeks during six regional meetings across Mississippi: economic development is at or near the top of almost everyone's agenda. Over the past eight years, Mississippi has made tremendous strides. Our package of business recruitment incentives is among the most competitive in the country. State dollars have helped fund infrastructure improvements for new projects ranging from shopping malls to chemical companies to large-scale manufacturing operations, both new and existing. Our programs to help jump-start minority and women-owned businesses are gaining national attention. Our tourism and retirement recruitment programs are the envy of the nation. But, as we approach the 1999 session of the state Legislature, we face more intense competitive pressures in economic development because other states are catching onto our successes. Our overall objective must be to remain competitive in recruiting new business and in helping existing business expand. When legislators gather in Jackson in January 1999, I hope economic development is also at the top of their agenda. Here are the major items on our wish list: Major economic impact authority: Amendments are necessary to insure that we are prepared to act on very short notice in order to commit to companies interested in large, capital incentive projects of $300 million or more. We must also protect the confidentiality of these companies during the legislative process. MDECD is proposing bonding authority of $80 million along with creation of a new legislative approval board consisting of the Lt. Governor, Speaker of the House, and Governor. Movie production sales and use tax exemption: Mississippi's growing movie and television production industries - not to mention fishing tournaments - have pumped millions of dollars into local economies. Yet, the state taxes equipment which has to be brought in for movie production purposes, even though it is not generally available in Mississippi. It also taxes prizes in fishing tournaments. We need to encourage movie-making and such events as fishing tournaments, so we're proposing the elimination of sales and use taxes on such projects. Economic development highway act: We need additional bonding authorization for this very successful program which allows MDECD to fund highway improvements which serve projects with an initial capital investment of at least $50 million. Port tax credits: The Port Tax Credit Act, passed in 1994, provides a state income tax credit against certain port charges and has encouraged the use of Mississippi ports by a variety of companies doing international business. MDECD will seek a change in the law to expand the credits for charges associated with the use of state airports, highways and certain railroads. DBJ Jimmy Heidel is Executive Director of the Mississippi Department of Economic and Community Development.

For more Delta Business info, Subscribe Now!

View Archives

../issues/current/articles/index.htm

Site last updated January 10, 1999.