Business Groups, Lawmakers Join Governor Riley to Urge Passage of the "Jumpstarting Jobs" Plan

Press Release

Pro-business organizations and lawmakers this week are urging consideration and passage of Governor Bob Riley's "Jumpstarting Jobs" plan, saying the economic growth proposals are critical to getting Alabama back to work.

Representatives from the Business Council of Alabama, the National Federation of Independent Businesses and the Alabama Retail Association joined Governor Riley and pro-business legislators at the State Capitol to speak in favor of "Jumpstarting Jobs," saying the Legislature should put job growth legislation at the top of its priority list.

"Ladies and gentlemen, what are we waiting for?" Governor Riley asked. "Alabama needs jobs now. I'm calling on the Legislature to put our jobs plan on the fast track to passage so we can put Alabama back to work."

Sponsors of the "Jumpstarting Jobs" bills - Rep. Jay Love and Rep. DuWayne Bridges - said the legislation is stuck in the House Education Appropriations Committee, which is chaired by Rep. Richard Lindsey.

"I've asked the chairman in writing to allow this legislation to go forward and now we're speaking out publicly to say let's get moving on these bills," Love said. "Our focus has to be helping small businesses and creating an environment for real job growth."

"Almost half of the session has now passed, and these jobs bills are still stuck in committee," Bridges said. "The majority in the Legislature must act on these bills now - not tomorrow, not in three weeks - but now. We simply cannot wait another day to pass meaningful legislation to get this economy back on track."

The 2010 Legislative Session is currently on its 13th day, meaning the Democratic majority has let almost half of the session pass without considering the "Jumpstarting Jobs" package.

"The people in Alabama right now want us to focus on creating jobs," Governor Riley said. "That's exactly what our plan does."

The "Jumpstarting Jobs" plan is made up of three proposals:

- A Back to Work Tax Credit, which would offer tax incentives to Alabama companies for hiring currently unemployed workers

- Targeted Job Creation Tax Credits, which provide a tax credit to businesses for ever new job created in the 25 Alabama counties with the highest unemployment rates

- Health Insurance Tax Incentives for Small Business, which would allow both small business owners and their employees to deduct 200 percent of the amount they pay for health coverage from their state income taxes.

Fact sheets with detailed explanations of these proposals are attached.

William J. Canary, president and chief executive officer of the Business Council of Alabama, said the business community invests more than $6 billion in Alabama in tax, fees, and license dollars. Offering incentives to help industry expand would be good sound business by increasing that investment.

"Business makes that investment to create more opportunities for our citizens and enhance our quality of life," Canary said. "We are proud to stand with those who stand up for business in Alabama."

Rick Brown, president of the Alabama Retail Association, said the "Jumpstarting Jobs" proposals do more than just boost job growth, they would lessen the burden on state resources.

"It's important to keep in mind that when businesses are creating jobs and offering health insurance, that means fewer workers on unemployment rolls and fewer families have to depend on Medicaid services," Brown said. "It really is a win-win situation."

Rosemary Elebash, Alabama state director of the National Association of Independent Business, said the way NFIB members have taken advantage of current tax incentives proves how effective those proposals can be.

"I talk to small business owners everyday," Elebash said. "They want to grow and they want to hire more workers. If the state can provide that "jumpstart' the Governor is proposing, it really can produce results. Offering small businesses tax credits for hiring and tax incentives for health insurance really gets my members excited."

Source