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Globe/T. Rob Brown William Poole, a production assembler with LaBarge Inc., works on a wire-harness assembly last week at the plant in Joplin. Company officials say they hope to use the state’s Quality Jobs Act to create nearly 100 new jobs over the next several years.

Published May 19, 2007 07:07 pm - More than 7,000 Missouri jobs paying more-than-average wages hang in the balance under the latest reincarnation of the Missouri Quality Jobs Act, awaiting Missouri Gov. Matt Blunt’s signature.

Bill expands incentives to lure jobs to Missouri



By Melissa Dunson

mdunson@joplinglobe.com

More than 7,000 Missouri jobs paying more-than-average wages hang in the balance under the latest reincarnation of the Missouri Quality Jobs Act, awaiting Missouri Gov. Matt Blunt’s signature.

Rep. Ron Richard sponsored the legislation and says it could bring better-paying jobs statewide and especially to Southwest Missouri.

“If we get this thing passed, it could be the biggest piece of legislation for Joplin businesses,” Richard said. “It’s not because of the amount of money involved, but because of how much it will affect the businesses.”

Senate Bill 282 changes several parts of the Quality Jobs Act implemented four years ago. The original legislation gave companies tax incentives for jobs they created that paid wages more than the county average and for which employers provided health insurance and paid at least half that cost.

The amount of the incentive is based on the type of company or business project, and the amount more than the county average wage being paid for the new jobs. The new legislation applies to small businesses as well as those with more than 1,000 jobs at stake. Depending on the details, some companies could be eligible for as much as $1 million in tax credits a year.

The new legislation increases the number of businesses that can participate in the program and also raises the tax incentives allowed in one calendar year from $12 million to $50 million for Missouri.

Senate additions

But late last week, Richard expressed frustration with the 18 amendments the Senate added to his bill, increasing the financial impact by more than $35.5 million to the state. Some of the added amendments create protected hunting land, give sales-tax exemptions for vehicles sold in 2008 that use biodiesel and allow tax credits for everything from beef cattle to biodiesel.

“Our bill was bare bones, it went to the Senate and they added to it,” Richard said. “It came back to the House and we took out two-thirds of what they added and sent it back to them. (The Senate committee) put it all back and told us we needed to go to conference again. Why? There’s no one to compromise with, so we passed the whole bill that has all the amendments.

“The governor hasn’t made a decision if he’s going to sign it.”

Jessica Robinson, spokeswoman for Blunt’s office, said there are questions about the real dollar impact on the state’s budget. She called the bill significant both in potential cost and benefit to the state and said the governor has already said he is anticipating the research on the bill will be longer than normal. Blunt has until July 14 to sign the bill.

“The governor is glad the Quality Jobs legislation got passed and there’s support for it, but (the bill) is big enough that there’s some evaluation needed as to what are the costs and benefits of some of the provisions.”

Rob O’Brian, president of the Joplin Area Chamber of Commerce, said the Quality Jobs Act is an economic development tool for businesses looking at expanding in or moving to Missouri.



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