Back To Work!!! Governor Calls Special Session

Governor Matt Blunt today called lawmakers back into special session beginning August 20, 2007. On the agenda for the special session are economic development incentives and transportation improvements.

Increases in the annual tax credit limits for Quality Jobs (from $12 million to $40 million) and Enhanced Enterprise Zones (from $7 million to $14 million), extension of the New Jobs Training program, New Markets Tax Credits, TIF prohibitions in the East-West Gateway Council of Governments area, beef tax credits, film tax credits, transfer of the Missouri Training and Employment Council to the Workforce Investment Board and several other items are on the agenda. Also included will be a provision allowing most tax credits to be transferable and allowing charitable organizations to qualify for tax incentive programs.

A Land Assemblage Tax Credit, allowing developers in certain disadvantaged areas to receive a tax credit for half of their acquisition costs and all of the interest incurred in the assembly of large tracts of property for development is also to be included in the bill. The Land Assemblage Tax Credit was the subject of a threatened filibuster by several senators during the regular session and it is unclear whether the inclusion of this credit will again cause problems with the economic development package.

It is our hope that whether this tax credit is included in the final bill or not, legislators are able to approve the Quality Jobs, Enhanced Enterprise Zones and New Jobs Training program changes.

The Quality Jobs program was first suggested by the MEDC after the group funded a report showing best practices in economic development and similar programs showed success in other states. MEDC successfully passed the Quality Jobs act with the support of Governor Matt Blunt in 2005 and the program has been wildly successful in encouraging the creation of more than 12,500 new jobs with an average wage of over $46,000 and health insurance benefits. Click here for a report by the Taxpayers Research Institute of Missouri showing the success of the program.

MEDC will work very hard to ensure the Quality Jobs and Enhanced Enterprise Zone programs are extended and will work with our partners on other items in the bill.