Enacting a key provision of her innovation plan to help businesses grow and create jobs, Governor Maggie Hassan today signed into law bipartisan legislation doubling funding for the state's research-and-development tax credit and extending it permanently.
"Expanding the R&D tax credit is a critical component of our innovation agenda," Governor Hassan said. "By doubling funding for the R&D tax credit, we can help more businesses develop in New Hampshire the new products that can lead to growth and job creation. Making the credit permanent will also help businesses who might need the credit down the road to plan ahead.
"Increasing funding for the research-and-development tax credit also sends a message to entrepreneurs and businesses considering where to locate that the State of New Hampshire will continue to work with them to encourage innovation and invest in our economic future.
Governor Hassan was joined for the signing ceremony by prime sponsor Senator Bob Odell and other members of the legislature, representatives from the economic development community, and New Hampshire businesses that have used the R&D tax credit, including Val Zanachuck, president of Graphicast in Jaffrey, an innovative small business that develops graphite mold casting technology to produce precision metal parts for a variety of industries.
"This legislation is a shining example of the tradition of collaborative, bipartisan problem-solving that the people of New Hampshire expect from their leaders," Governor Hassan said. "Members of both parties, from both the House and the Senate, came together, shared thoughts and ideas, addressed concerns, and passed by overwhelming margins a common-sense measure to help businesses. By working together, we are sending a strong signal that New Hampshire is a state that welcomes innovation."
"As a manufacturer, we have to constantly upgrade our manufacturing methods and processes to maintain a competitive business," Val Zanchuck said. "New product development and process improvements are our R&D. For us, this R&D does not take place in a laboratory, it takes place on the shop floor. The R&D tax credit helps provide resources that we reinvest to improve and accelerate these activities."
In addition to expanding the R&D tax credit, the Governor's "Innovate NH" jobs plan focuses on building the best workforce in the country by making higher education more affordable and on providing businesses with technical assistance to help them create jobs.
Governor Hassan's fiscally responsible, balanced budget substantially restores cuts made to New Hampshire's public universities and community colleges in exchange for freezing in-state tuition for the next two years. Her budget proposal also will help New Hampshire's businesses grow and attract new companies with good jobs by supporting economic development efforts, funding business incubators, and providing businesses with support to help them enter new markets around the world.