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I've been reading about the recent purchase of the First Solar facility in Mesa AZ by the Apple supplier, and I'm curious. Why was it there and not here? I know we have some realtors on the forum here - was it because we didn't have the available facilities (or similar) for sale? Or is it due more to the business recruiting slush fund it appears AZ has and NM doesn't?
A friend sent me an article on Apple's data center in NC, and their solar farm next door that powers it. Which then made me wonder, why NC and why not here, if they had to put in a solar farm? (Apple wanted to use clean energy and Duke Energy didn't offer clean energy, still doesn't. PNM does.) We have more sunlight that just about any state, and I don't see where the overall workforce of AZ or NC is any more educated than ABQ, nor are the schools or personal taxes in those states any better or lower.
Which then makes me wonder just WTH the city, county and state ARE doing to entice good jobs here? Sure, we get the call centers (good fit given our bilingual population) but call centers don't have that much to invest and are notorious about closing up shop and moving when the tax incentives dry up. But manufacturing? Tech jobs? Why aren't we getting them?
I think the Gross Receipts Tax is a big hindrance to a lot of companies contemplating coming here, as well as hindering the growth of companies already here. If you're a business looking for a service, you're better off getting it from out of state because it will be cheaper. If you need a design firm to design your product, or someone to build your website, etc. you'll save 7% by using someone outside of NM to do it. It makes no sense, unless your sole purpose is extracting money from federal goverment contractors that don't have a choice because the labs are located here.
I've heard there may be some political moves afoot to change the GRT, but I've not heard any details or what the chances of a decent reform or replacement might be, such as a basic sales tax on goods like other states have.
The Arizona Commerce Authority wooed Apple Inc. to Mesa with the assistance of a $10million grant, the largest sum ever distributed by the group’s business-development fund, according to documents released Tuesday.
The Phoenix metro area has scored some big wins as of late, the big General Motors innovation center also comes to mind, 600+ well paying information systems jobs now the Apple site.
My mother in law lives in the area and we visit often, and frankly it's just a better area in my opinion for the large companies such as the above, a nice airport, good transportation infrastructure, and whatever you may think of the AZ government, it's a government that is committed to growth and the entire area just feels like there are economic opportunities to be had.
I don't think the same is true about ABQ, I've had people complain to me from out of state about the airport and the need for multiple connections to get here, while it may seem like no big deal the people who make these decisions about to were to locate pay attention to that kind of stuff.
I think the Gross Receipts Tax is a big hindrance to a lot of companies contemplating coming here, as well as hindering the growth of companies already here.
Have you ever looked at AZ sales tax? Excuse me, they call it the Transaction Privilege Tax. And it's nothing more than a Gross Receipts Tax with a patronizing name. It's about as bad as ours. Although, I must say, the NM legislature DID make some significant changes to the construction portion of the GRT that went into effect this past January.
I just don't get why jobs and companies that will stick around after the tax incentive ends aren't higher on the political radar in NM.
I think the Gross Receipts Tax is a big hindrance to a lot of companies contemplating coming here, as well as hindering the growth of companies already here.
Have you ever looked at AZ sales tax? Excuse me, they call it the Transaction Privilege Tax. And it's nothing more than a Gross Receipts Tax with a patronizing name. It's about as bad as ours. Although, I must say, the NM legislature DID make some significant changes to the construction portion of the GRT that went into effect this past January.
I just don't get why jobs and companies that will stick around after the tax incentive ends aren't higher on the political radar in NM.
I don't really know anything about that tax in Arizona, but if it's anything like the GRT it's probably bad for their economy. Though I'm guessing there are some specifics to it that make it favorable for Apple.
What about Utah? They only offer incentives once a company has performed up to expectations and the median income there is similar to CO, which I've heard also doesn't offer incentives of the type seen in AZ and TX.
And what's to keep Apple from leaving Mesa when the next place gives them a better deal?
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