Archive for August 2012

Another study ranks California last on business friendliness

August 30, 2012

The Orange County Register reported that “California ranks last on the 2012 list of states’ friendliness to business, a ranking compiled for nine years by Illinois-based Pollina Corporate Real Estate. ‘California has been Number 50 for nine years. It’s last by a sizeable margin,’ said Vice President Brent Pollina who co-authored the study. ‘This is one of the most extensive reports out there. We try to keep it as objective as possible.’  Pollina used 32 factors including personal, corporate and property taxes; workers’ compensation insurance costs; state education systems; state debt per capita; electricity costs; economic development costs; quality of workforce; infrastructure spending; and interviews with corporate executives about the states that are contacting them about relocating.” See the entire story here.

 

Thank you Arthur Laffer

August 27, 2012

Feeling good today seeing that this noted economist referenced me in an opinion column about California jobs being moved to Texas (including Silicon Valley jobs). See “Apple does fall far from the tree.”

California Ranks Dead Last Nine Years in a Row

August 23, 2012

A survey by Chicago-based Pollina Corporate Real Estate, Inc., ranks California at the bottom of all U.S. states based on 32 factors controlled by state government — the ninth year in a row that California has ranked at the bottom. The following news release speaks for itself.

Pollina Top 10 Pro-Business States Counteract the Four Horseman of Apocalypse in U.S. Economy

CHICAGO, Aug. 22, 2012 (Globe Newswire) — “The Four Horseman of the Apocalypse were sent as harbingers at the end of the world. While not the end of the world, if the current economic trend continues it will be the end of the world as Americans and Europeans have come to know it,” says economist and corporate relocation expert Dr. Ron Pollina in the just-released Pollina Corporate Top 10 Pro-Business States for 2012, co-published this year with the American Economic Development Institute.

“For America, the four horsemen symbolize the four factors that will be instrumental in the continued downward cycle of the nation—taxes, regulation, international trade policy, and education,” Dr. Pollina explains.

But in the annual study of job retention and creation by the 50 states and the federal government, Dr. Pollina, author of the recent book entitled Selling Out a Superpower, also emphasizes that the top 10 pro-business states provide guideposts for other states—and federal government—to counteract further economic destruction.

But Utah, the brightest star in 2012 on the American Flag, is the ultimate model for the rest of the country. Brent Pollina, Vice President of [the company] and co-author of the study, names Utah as “America’s most pro-business state,” nudging powerhouse Virginia out of the top spot.

“Utah is a great example of what enlightened and motivated political leadership can accomplish with a solid plan,” says Brent Pollina. “Utah has certainly been a beehive of industry rising in 2005 from a rank of #23 to #2 in 2009, maintaining that position through 2011 and then pushing Virginia aside. This was no easy feat since Virginia ranked number one in our list of pro-business states for five of the last nine years. Utah is the first state west of the Mississippi to rank #1.”

This year’s Most Improved State, Indiana, moved from #23 in 2010 to #5 in 2012, and it holds elite status for the second consecutive year as the only Northern state to make the Top 10 list.

The Pollina Corporate Top 10 Pro-Business States for 2012 are: 1) Utah 2) Virginia 3) Wyoming 4) North Dakota 5) Indiana 6) Nebraska 7) South Dakota 8) Kansas 9) Missouri and 10) Oklahoma. The study, considered the most comprehensive, unbiased and unvarnished by the economic development industry, is the “Gold Standard” for evaluating and ranking states based on 32 factors controlled by state government, including taxes, human resources, education, right-to-work legislation, energy costs, infrastructure spending, workers compensation laws, economic incentive programs and state economic development efforts.

The states suffering the greatest drop in the study—Connecticut, Nevada and Illinois—also deserve special attention so their leadership can modify their economic strategy in order to keep pace with their peers; California ranked dead last for the ninth consecutive year [Emphasis added – J.V.].

The news release is here. http://tinyurl.com/9flz4v7

Want to Sell Your California Company? Nevada Offers a Buyer Solution for You

August 14, 2012

The Reno Gazette-Journal carried a story yesterday with the descriptive headline, “Plan afoot to encourage Nevada firms to buy California companies & relocate them to Nevada.”

It describes Gov. Brian Sandoval’s efforts to diversify Nevada’s economy, and with the help of the Legislature, the Nevada Capital Investment Corp. was created to boost investment in the state.

The story said:

Last week, it hired the firm Hamilton Lane to handle $50 million in funds, with the requirement that 70 percent be for businesses that are Nevada-based.

Having the private sector and the government working together in this way is new.

“In the years I’ve been here — and I’ve been here 25 years — I’ve not seen that kind of energy before, and I’m encouraged by it,” said Chris Howard of Northstar Investors, which is a holding company that owns and runs other companies.

He explained how buying California businesses works:

You find a company in California that needs money to grow [and] investors … will then say they’ll provide the money on the condition that you move to Nevada.

“Relocation becomes part of the deal,” Howard said.

Another way it could work is if a company here in Nevada knows of a competitor it would like to fold into its own business, but it can’t swing the money to make it happen.

See the full story at RGJ.com.