Does the state of Utah: do enough to encourage the growth of local businesses?

• Position: Point Counterpoint - Brief Article

Dave Winder

yes

Director,

Department of Community and Economic Development

A vibrant economy is essential for the well-being of our citizens. Recognizing this, most of the state's tax revenue is spent to build the long-term economy, primarily by providing an infrastructure where existing businesses can prosper. More than 60 percent of the state's budget is allocated to educating and training our growing workforce.

Attracting out-of-state companies to Utah is a small function of overall business development efforts. A small staff works with a budget of less than $2 million to lure companies to Utah. Their successes generate publicity, probably because everybody feels good when Utah beats its competitors to attract out-of-state jobs. We have an incentive fund for business expansion or relocation, available to companies both inside and outside the state. Average expenditures have been $4 million over the last 10 years, with about 40 percent going to in-state companies.

Some of our programs focused on helping existing businesses include:

* The Utah Technology Alliance, which involves hundreds of Utah businesses striving to make Utah a center for high-tech investment, employment and entrepreneurship.

* The Procurement Technical Assistance Office, which helps Utah businesses win more state and federal contracts.

* FinditinUtah.com, an online business directory, which encourages Utah companies to do business with each other.

* Small Business Development Centers and the Manufacturers Extension Partnership, which provide one-on-one counseling.

* Custom Fit Training designed for Utah companies.

* International Trade Division, which helps Utah businesses compete in export markets.

* Industrial Development Bonds, which help Utah manufacturing cam ponies obtain below-market rates on financing.

* State Tax Credit programs such as sales tax exemption on manufacturing equipment, enterprise zones credits, recycling, research and development tax credits.

* Smart Site Initiatives to help Utah companies take advantage of outsourcing business opportunities, frequently to rural areas.

* Smart Utah which promotes technology development for rural Utah businesses.

We are always looking for new ways to serve existing Utah businesses. Contact us at (801) 538-8775 or rrichins@utah.gov

no

Nicole Tommey Davis

President, CEO and co-founder, DoBox, Inc, trustee of the Utah IT Association (UITA)

To assist Utah's economy, the state must focus its limited resources on...