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Old 03-13-2015, 07:10 AM
 
3,071 posts, read 4,815,900 times
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Here's an article about Sanderson Farms locating a processing plant outside of St Pauls, in Robeson County.

Why there?

Because the State offered a larger incentive if they went to Robeson, a Tier 1 county meaning its one of the poorest in the State?

No.

It was because Cumberland turned them down.

Shunned by Fayetteville, Sanderson Farms (Nasdaq: SAFM) picks neighboring Robeson County for 1,100-jobs plant - Triangle Business Journal

There have been discussions on this board about all of the jobs going to Charlotte and Raleigh regions...while other communities get left out. They blame the poorer counties for their "lifestyle"...when in many cases it's just that they are poorer counties. A plant such as this can be located anywhere there is fairly good interstate access and doesn't require highly skilled wages.

Why would the State offer the same incentive for Cumberland County (a county that receives massive help from the State to keep military there) as Robeson?

And, FWIW, this is not a political thing...the Department of Commerce has been doing this for at least a decade...where the only incentives being used in Tier 1 counties are for existing plant expansions or when something like this happens.

Who is making these decisions?
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Old 03-13-2015, 07:21 AM
 
Location: Durham, NC
2,024 posts, read 5,902,994 times
Reputation: 3478
Quote:
Originally Posted by HP91 View Post
Here's an article about Sanderson Farms locating a processing plant outside of St Pauls, in Robeson County.

Why there?

Because the State offered a larger incentive if they went to Robeson, a Tier 1 county meaning its one of the poorest in the State?

No.

It was because Cumberland turned them down.

Shunned by Fayetteville, Sanderson Farms (Nasdaq: SAFM) picks neighboring Robeson County for 1,100-jobs plant - Triangle Business Journal

There have been discussions on this board about all of the jobs going to Charlotte and Raleigh regions...while other communities get left out. They blame the poorer counties for their "lifestyle"...when in many cases it's just that they are poorer counties. A plant such as this can be located anywhere there is fairly good interstate access and doesn't require highly skilled wages.

Why would the State offer the same incentive for Cumberland County (a county that receives massive help from the State to keep military there) as Robeson?

And, FWIW, this is not a political thing...the Department of Commerce has been doing this for at least a decade...where the only incentives being used in Tier 1 counties are for existing plant expansions or when something like this happens.

Who is making these decisions?
Businesses aren't locating in rural counties because they don't want to be in rural counties.

No amount of giveaways is going to change that.

Manufacturing, processing and distribution facilities have long chosen rural areas, I suspect to avoid wage competition -- when you're the only major employer in a "company town," you have a lot of leverage.

Problem is, that means there isn't a diversified economy. So, when the big shop closes down, nobody's left.

Just this week, a textile plant in Newland (Avery Co.) announced it was closing. Fortunately, Avery and its neighbors at least have mountain tourism. Poor counties without mountain or coastlines to trade on have what, exactly?

There's a reason many of the people who graduate high school in poor, rural counties go to college and never come back. And it's not state government's job to throw cash towards a losing proposition.
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Old 03-13-2015, 09:03 AM
 
Location: The 12th State
22,974 posts, read 65,334,083 times
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IMO a chicken processing plant should be in rural area due the odors. In addition to what was mention I'm for incentives catering to rural areas so they don't become ghost towns. Besides Fayetteville will likely rezone area for mass urban development and then the new comer residents would complain.
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Old 03-13-2015, 09:05 AM
 
3,071 posts, read 4,815,900 times
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Why is it a losing proposition?

The State should offer $2 million to go to Robeson or $1 million to go to Cumberland...if they are going to be in the incentive business (which is basically required by all states).

Why?

Because what Tier 1 means is that particular counties Ability to Pay. See Cumberland has more ability to pay its own incentives because of its much higher tax base, primarily because of the huge military operations (which is a government facility). Robeson doesn't have that. So incentives should be higher to help Robeson out.

The alternative to attracting jobs to these poorer counties is for people to have to move and the crime, housing conditions, etc...continue to decline. Without investment, they become a drain on the State that costs more in the long run.
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Old 03-13-2015, 10:18 AM
 
Location: Raleigh NC
25,119 posts, read 16,118,757 times
Reputation: 14408
IMO, as a baseline the State should offer incentives to those companies that will raise the average wage in the county.
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Old 03-13-2015, 12:35 PM
 
Location: Winston-Salem
4,218 posts, read 8,494,389 times
Reputation: 4488
Quote:
Originally Posted by Bull City Rising View Post
Businesses aren't locating in rural counties because they don't want to be in rural counties.

No amount of giveaways is going to change that.

Manufacturing, processing and distribution facilities have long chosen rural areas, I suspect to avoid wage competition -- when you're the only major employer in a "company town," you have a lot of leverage.

Problem is, that means there isn't a diversified economy. So, when the big shop closes down, nobody's left.

Just this week, a textile plant in Newland (Avery Co.) announced it was closing. Fortunately, Avery and its neighbors at least have mountain tourism. Poor counties without mountain or coastlines to trade on have what, exactly?

There's a reason many of the people who graduate high school in poor, rural counties go to college and never come back. And it's not state government's job to throw cash towards a losing proposition.
While I agree with most of what you say, tourism jobs in no way compare to manufacturing jobs. For the most part tourism jobs are either seasonal or part-time, low paying, and rarely offer benefits. I know lots of people in Avery County who work one job during ski season and a different job during the warmer months, with neither providing benefits.

BTW, where did you see an announcement of a closing in Newland? I've done a web search and can't find anything about it.
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Old 03-13-2015, 12:40 PM
 
Location: Southport
4,639 posts, read 6,344,089 times
Reputation: 3487
Quote:
Originally Posted by roadpony View Post
BTW, where did you see an announcement of a closing in Newland? I've done a web search and can't find anything about it.
U. S. Textiles In Newland To Close - WKYK / WTOE

March 11, 2015
U.S.Textiles Corporation has announced the closure of its Newland facility. U.S. Textile bought the plant from Glen Raven in 1978 and has continued manufacturing women’s hosiery and shaping products since then. U. S. Textiles main office is in Pennsylvania. The company stated that foreign competition and diminishing product demand forced the action. They will also close the Lancaster, SC plant. The Newland facility was dedicated to knitting and sewing while Lancaster was a dying and packaging unit. The company produces both Silkies and Sculptz brands along with private label national brands.
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