States Retract Their Incentives to Businesses

Saturday, 23 Apr 2011 01:10 PM

Share:
  Comment  |
   Contact Us  |
  Print  
|  A   A  
  Copy Shortlink
States want money back from businesses that got tax breaks or cash to open shop locally but didn’t create enough jobs to satisfy politicians, the Wall Street Journal reports. In Ohio, for example, Economic development,tax breaks,reconsidered,incentives,state spending,clawbacks,retractions,businesses,revenue,recession,hiring,job creation,Ohio,New York,John Kasich,Andrew Cuomo,Wall Street JournalRepublican Gov. John Kasich has signed off on several “clawback” orders demanding repayment of development grants and other incentives to companies that haven’t met hiring goals.

Cash-strapped states insist they need the money because revenues have not yet recovered from the economic recession. Businesses say the recession is what slowed their expansion plans in the first place and made hiring more workers impossible.

“For crying out loud we’re doing out darndest,” said Chris Fairchild of YUSA Corp., an Ohio-based auto parts supplier that just received a $15,915 clawback bill from the state. “While other local businesses have gone bankrupt or gone to Mexico or other states, we’re right here. You’d think there would be a little respect for that.”

In New York, the amount spent each year to lure and keep businesses has tripled to $1.55 billion in the last decade, while the number of manufacturing jobs in the state has fallen by a third. Democratic Gov. Mario Cuomo used his budget address to call for reform of economic development spending.



© 2014 Newsmax. All rights reserved.

Share:
  Comment  |
   Contact Us  |
  Print  
  Copy Shortlink
Around the Web
Join the Newsmax Community
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Retype Email:
Country
Zip Code:
 
Hot Topics
Follow Newsmax
Like us
on Facebook
Follow us
on Twitter
Add us
on Google Plus
Around the Web
You May Also Like

Boston Marathon Looks to Shake Shadow of Deadly 2013 Bombing

Sunday, 20 Apr 2014 07:23 AM

Runners, from the world's elite racers to first-timers, will step to the Boston Marathon starting line on Monday for the . . .

NASA: Engineer Vital to Moon Landing Success Dies

Sunday, 20 Apr 2014 06:10 AM

SCARBOROUGH, Maine - John C. Houbolt, an engineer whose contributions to the U.S. space program were vital to NASA's suc . . .

Man Detained after Threats at LA Times Building

Saturday, 19 Apr 2014 22:03 PM

A man suspected of making threatening statements about a shooting and forcing the lockdown of the Los Angeles Times buil . . .

Newsmax, Moneynews, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, NewsmaxWorld, NewsmaxHealth, are trademarks of Newsmax Media, Inc.

 
NEWSMAX.COM
America's News Page
©  Newsmax Media, Inc.
All Rights Reserved