N.C. keeps 'Top Business Climate' ranking for fourth year

Raleigh, N.C. — North Carolina’s “business climate” is best in the U.S. for the fourth consecutive year, says Site Selection Magazine.

The magazine praised Tar Heel policy leaders for the state’s use of incentives, taxes, economic development and work force development in securing new or expanded business opportunities and jobs.

North Carolina has finished first in seven of the past eight years.

The cover story describes North Carolina’s business efforts as “Pedal to the Metal.”

Gov. Mike Easley, who has made economic development a significant priority during his eight years in office, hailed the honor. (The magazine also features him in a cover photo.)

“Corporate executives know North Carolina is listening to them and we understand what they need to succeed,” Easley said in a statement. “We are investing in education to provide a skilled work force and offering an unmatched quality of life so people want to live and work here. All these make our state the top choice for companies looking to grow.”

The honor from Site Selection Magazine is regarded as one of the most important among economic developers and consultants who are looking for places to move, grow or expand business operations.

“'Great incentives. Low taxes. A receptive economic development department.'

“That's how one corporate site-seeker described North Carolina in a survey of such respondents that makes up half of Site Selection's annual ranking of state business climates,” the article by Mark Arend begins. “Add a track record of consistently strong business expansion activity as tracked by the publication's proprietary New Plant database – the other half of the ranking – and a state has what it takes to land at the top of that ranking.”

 Executives surveyed for the annual story cited 10 key factors in making business location decisions:

1. Ease of permitting and regulatory procedures
2. Transportation infrastructure
3. Existing work force skills
4. State and local tax scheme
5. Utility infrastructure
6. Land/building prices and supply
7. Workers’ compensation rates
8. Flexibility of incentive programs
9. Higher education resources
10. Availability of incentives

“Our readers identified incentives, low taxes and an effective economic development team as the factors behind North Carolina's winning business climate,” Arend, the editor in chief of Site Selection, said in a statement. "I would add to that list the governor's commitment to retooling the state's work force, which companies in some key industry sectors took advantage of this year.”

Based on the factors cited in the survey, North Carolina finished with a score of 30.

Tennessee placed second at 37.

Georgia was 10th at 95, and South Carolina took 14th at 116.

Positions 3 through 9 were: Alabama and Texas 3rd, 68; Indiana 5th, 73; Florida 6th, 76; Ohio 7th, 80; Virginia 8th, 91; and Illinois 9th, 93.