Community Affairs
April 7 Update
Legislative Session 2010
The mid-point of the 2010 Legislative Session, brings the opportunity to provide members an update of the most important bills making their way through the legislative process in Tallahassee which affect our Chamber’s priorities in economic development. We have also included below our monthly message on the “Say No on 4” campaign.
Economic Development Incentives -- Qualified Target Industry Tax Refund Program.
The Qualified Target Industry Program (QTI) is a very strong incentive for economic development to create jobs. It is scheduled to “sunset” this year. However, QTI may be extended and changed to boost competitiveness. The QTI program which has passed the Senate is reauthorized in the Senate “Jobs” bill (SB 1752). The House version of the Florida Jobs bill (HB 1509) includes additional credits for businesses of “high impact” sectors. This was passed by the Economic Development Policy Committee and is making its way through the legislative process. One legislative proposal extends QTI until 2020.
Also included in House Bill 1509 are proposed revisions to the Capital Investment Tax Credit Program. This incentive is used to attract and grow capital-intensive industries in Florida and includes a credit against income taxes. This bill may make some important changes (which have been advocated by our economic development team) to lower the job creation requirement (from 100 to 50), and to lower the amount of capital investment (to a minimum of $25 million as opposed to the current $100 million) to make our region more competitive with neighboring states. Also, the bill changes the types of businesses eligible which will provide additional flexibility. The proposed changes reflect that job creation and business investments (while likely to be smaller in size) can still create a significant impact to a community.
Quick Response Training (QRT) is a program which provides customized employee training for eligible companies. This program is being funded in the House budget and in the Governor’s budget at $3.3 million so we are watching this closely as it is used locally with existing businesses in our region.
The Research Commercialization Matching Grant Program and the Research and Development Corporate Tax Credit program are also being considered in committees and these are both designed to support the growth of innovative companies.
Say No to Amendment 4 – As Chamber members are aware, we are participants in the Statewide effort to oppose Amendment 4 on the November ballot. If members are interested in volunteering and/or learning more about the “Say No to 4” local effort, please contact local chairman, Phil Howell (email: phowell@GJTBS.com). Chamber members are urged to view the latest newsletter from Ryan Houck, Executive Director of the statewide group--Citizens for Lower Taxes and a Stronger Economy on the impact on Florida jobs for this proposed constitutional amendment. Stay tuned.
http://www.florida2010.org/smarterblog.phpFor any questions or more information, staff contact is Natalie Prim, nprim@pensacolachamber.com.