Missouri chamber endorses Nixon's job-creation plan

Gov.-elect Jay Nixon's proposal to bolster Missouri's economy with new jobs by extending low-interest loans and tax credits to employers has garnered the endorsement of the state's largest business association.

The Missouri Chamber of Commerce and Industry on Monday espoused the six-point economic recovery plan unveiled by Nixon - dubbed the Show Me Jobs initiative - at stops in Kansas City and St. Louis. The governor-elect enlisted state lawmakers from both parties to promote the bipartisan initiative.

"Gov.-elect Jay Nixon is building the Show Me Jobs initiative on a foundation of proven economic development programs, while adding in some innovative ideas that can make a real difference in turning around the economic downturn in Missouri," chamber President and CEO Daniel P. Mehan said in a news release. "... We are encouraged to see his administration make job creation an early priority."

In its current form, Nixon's plan would:

• Provide low-interest loans for small businesses through the Missouri Development Finance Board, which would fund the program with revenue from the 4 percent fee collected on approved tax credits.

• Expand the Missouri Quality Jobs Program, a 2005 initiative by Gov. Matt Blunt's administration to create new jobs with above-average wages and health care benefits.

• Create incentives for worker training and re-training by extending tax credits to employers that would offset a portion of the pre-employment training costs for full-time employees, such as tuition at a community college or vocational school. Employers would be eligible for reimbursement after a trained employee has been on the payroll for two years.

• Coordinate state actions with federal efforts to maximize the efficiency of future job-creation initiatives, such as the federal stimulus package being considered by President-elect Barack Obama.

• Establish an Automotive Manufacturing Task Force to ensure that Missouri's autoworkers - primarily in Kansas City and St. Louis - and other industry employees are at the forefront of producing fuel-efficient vehicles.

• Streamline the Missouri Business Use Incentives for Large-Scale Development Program, which provides tax credits to large-scale businesses expanding their in-state operations. The BUILD program currently requires businesses to solicit economic development proposals from other states before they are eligible for tax incentives. Nixon would authorize the state Department of Economic Development to waive this requirement on a case-by-case basis.

See SBJ's Jan. 5 issue for more about the economic challenges facing Missouri.