Afternoon Yadda - roads, taxes

RALEIGH -- Gov. Bev Perdue today announced that Apple has selected North Carolina as the location for a new data center. The company is expected to invest more than $1 billion in the project over nine years.

"North Carolina continues to be a prime location for growing and expanding global technology companies," said Perdue. "We welcome Apple to North Carolina and look forward to working with the company as it begins providing a significant economic boost to local communities and the state."

The announcement comes after Gov. Perdue this morning signed Senate Bill 575, which modifies the method by which capital-intensive businesses calculate corporate income tax liability in North Carolina.

The facility is expected to employ at least 50 full-time employees. The legislation requires that the average wage exceed the wage standard of the county in which it's located. A data center such as this will typically contract locally for services such as server maintenance and repair, building and HVAC maintenance, landscaping and security - expenditures that could range from $5 million to $6 million annually in the region and create up to 250 jobs. The North Carolina Department of Commerce projects that a data center investment of $1 billion would create more than 3,000 jobs in the regional economy, including hundreds of jobs related to construction and others created as a result of economic growth.

"We are very pleased the General Assembly has recognized the role capital-intensive industries play in the state's economy and their relationship to small businesses in our communities. Technology-driven projects like this may bring fewer overall jobs than traditional industry, but they have a tremendous economic impact through locally purchased goods and services," Commerce Secretary Keith Crisco said.

As part of the legislation, a capital-intensive industry must meet investment and wage standards and provide its employees with health insurance in order to utilize the modified formula for calculating the state corporate income tax. It also must locate in one of the state's more economically distressed Tier 1 or Tier 2 areas.

"During these tough economic times, it's important to make the investments that create jobs in areas that need them the most," said Perdue.

Stephen Jackson over at The Progressive Pulse nails the unequal treatment of revenue streams (taxes) I complained about the MSM not covering yesterday.

Senate Bill 200 raises a fundamental question: What is so different about transportation that it looks like it will get some sort of revenue enhancing reprieve while all around it programs serving the poor and vulnerable are getting the chop?

The answer: nothing. It’s a case of what is good for the goose should be good for the gander. In fact, the arguments for enhanced General Fund revenues are far more persuasive than for a gas tax increase.

So who's the coalition that can get the Senate and a House committee to raise gas taxes to build roads?

And why aren't they getting the Senate and House Finance to raise taxes to avoid kicking the mentally ill on the street after cutting the DHHS budget?

MSMers, ask these questions of the chamber of commerce folks and vaunted economic developers. These hypocrites often claim to want to end homeless but campaign for lower corporate tax rates and have legislators close mental hospitals to close the inevitable budget gap rather than pay 0.25% more in taxes.

Don't worry MSMers, I won't wait on you to ask the hard questions. You've got to worry about those corporate sponsorships for your supplemental funding from the same incestuous brood.