Area Development’s fourth annual Top States for Doing Business survey of site consultants which ranks the states based on their number of mentions in 17 categories has once again ranked Texas as best.
Simply put, it’s hard to beat Texas — which maintains is number-one ranking among the surveyed consultants as .
“We’ve worked hard to make Texas the best state in the nation to raise a family and own a business,” says Governor Rick Perry. “We’ll continue to strengthen the economic pillars that have helped us become a national example of job creation and economic strength.”
Those pillars include a pro-business environment, strong work force, and an infrastructure that allows efficient access to global markets. Texas has no personal income tax and no corporate income tax — a huge incentive for companies to locate or expand in Texas. Therefore, it is not surprising that Texas has accounted for 33 percent of the nation’s net job gains over the past decade. It also sweetens the pot with the Texas Enterprise Fund (TEF), which provides funding and incentives to close deals on high-value business locations or expansions. To date TEF has invested about $500 million that has resulted in $20 billion in capital investment and more than 67,000 new jobs. Texas also offers a highly skilled, productive work force of over 12 million people with a wide range of skill sets. The unemployment rate is currently about 6.5 percent — the lowest of the 10 most-populated states. The state’s Skills Development Fund has provided more than $22 million to help companies offset the costs of employee training. From March 2012 to March 2013, Texas employment grew the fastest of the 10 largest states.
Key growth industries include energy, advanced manufacturing, aerospace and defense, biotechnology and life sciences, electronics, and IT. Manufacturing and distribution are well-supported by a modern, highly integrated transportation infrastructure of rail, highway, air, deepwater ports, and several large, well-planned intermodal complexes. Texas’ central location within North America facilitates domestic and international transportation, as well as easy access to markets. This infrastructure support has helped Texas be the number-one exporting state in the U.S. for 11 years in a row, with more than $264.7 billion in exports in 2012.
COLLEGE STATION (Real Estate Center) – The Texas economy gained 258,500 nonagricultural jobs from August 2012 to August 2013, an annual growth rate of 2.4 percent compared with 1.7 percent for the United States.
According to the Real Estate Center’s latest Monthly Review of the Texas Economy, the state’s nongovernment sector added 247,800 jobs, an annual growth rate of 2.7 percent compared with 2 percent for the nation’s private sector.
All Texas industries except the transportation, warehousing and utilities industry had more jobs in August 2013 than in August 2012. The state’s mining and logging industry ranked first in job creation, followed by construction, leisure and hospitality services, and professional and business services.
Texas’ seasonally adjusted unemployment rate fell to 6.4 percent last month from 6.8 percent a year ago. The nation’s rate decreased from 8.1 to 7.3 percent.
All Texas metros except Texarkana had more jobs. Odessa ranked first in job creation, followed by Midland, Dallas-Plano-Irving, Fort Worth-Arlington and Houston-Sugar Land-Baytown.
The state’s actual unemployment rate last month was 6.3 percent. Midland had the lowest unemployment rate, followed by Odessa, Amarillo, Abilene, San Angelo and Lubbock.
DALLAS (CBRE) – A new data center tax incentive program that went into effect Sept. 1 will enhance Texas’s already favorable economic climate for corporations looking to move to or increase their business within the state, says CBRE Global Research and Consulting in a report released today.
The program provides 100 percent exemption of sales taxes on business personal property essential to data center operations. This includes items such as computers, electrical equipment, cooling systems, power infrastructure and software. The exemption may be available for ten to 15 years and can be accessed by owners and tenants in single- or multitenant data center properties.
To qualify for the sales tax exemption, the data center operation must:
- consist of at least 100,000 sf of gross building area in an entire or portion of a facility,
- involve at least $200 million of total capital investment,
- create at least 20 new direct jobs, and
- pay wages equivalent to at least 120 percent of the county average.
About 17 states have passed similar incentives programs to attract data centers, said John Lenio, economist and managing director of CBRE’s Economic Incentives Group.
In fact, according to the report, the economic impact of a data center in Texas can range from nearly $500 million for a small facility to $1.7 billion for a large facility over ten years.