June 19, 2006

Dear Fellow Nebraskans:

I write to you this week with good news on the economic development front. About a year ago, I was joined by many members of the Legislature and several business representatives to sign a new generation of economic development and job creation incentives into law.

The goal of the reform was to create a package of economic incentives that would modernize the business incentive opportunities here in our state and help encourage companies looking to expand to consider Nebraska.

The Nebraska Advantage was designed to enhance our competitive edge in the business sector by encouraging companies to expand existing operations, create new jobs and attract new business opportunities in industries ranging from agriculture and the value-added ag sector to high-tech manufacturing and information technology.

By providing opportunities for existing companies to reinvest in our state through an expansion, and encouraging more startup ventures and out-of-state investments, this package helps small and large businesses alike.

The package went into effect on Jan. 1 of this year, and in just the first five months we have received applications from 38 companies interested in creating 5,400 jobs and investing $2.5 billion in our state.

Those numbers are even more significant when you consider that an early forecast on the job creation potential of the Nebraska Advantage estimated the state might see an average of nearly 2,600 new jobs in each of the first several years the package was in effect. The fact that we are seeing such strong response in our business community is an indication that we included the right mix of tools in designing a package to meet their needs.

It’s also an indication of the tremendous efforts being made to promote the many opportunities created by the Nebraska Advantage. The Nebraska Department of Economic Development deserves recognition for the important role they’ve played in marketing our state, along with the many business and chamber groups who’ve partnered in this effort.

The fact we moved quickly to begin promoting the Nebraska Advantage, rather than waiting for the full package to take effect, has made all the difference. The six months we spent gearing up for the Jan. 1 implementation resulted in several applications from businesses ready to get to work in just the first two weeks alone.

Whether these companies were attracted by the opportunity to qualify for a tax credit aimed at small businesses, the expansion of value-added products such as ethanol and biodiesel, the chance to partner with the state in providing specialized training for their growing workforce, or one of other components of this diverse package, there’s no doubt that local communities and our state will benefit from this additional business investment.

I’d like to thank everyone who worked so hard to make the Nebraska Advantage a priority for our state. By encouraging greater investment among businesses of all sizes, this package is helping improve Nebraska’s business climate and position our state to compete in an increasingly global marketplace.

One year after signing legislation that created the Nebraska Advantage, we’ve already exceeded the initial estimates for job creation. My goal is to continue producing results by promoting the excellent opportunities Nebraska has to offer, in hopes of positioning our state for continued success in the years to come.