The Economic Development Digest - July 12, 2013

Womble Carlyle’s Economic Development Digest aggregates news, opportunities and legislation impacting business in the Southeast and Mid-Atlantic U.S.

In this week's Economic Development Digest:

South Carolina

Sometimes-overlooked industry feeding need for job creation, scedablog.com (July 9, 2013) SCEDA article discusses venture capital and the food industry. Weber Automotive establishing new facility in Charleston County, lowcountrybizSC.com (July 8, 2013) Weber Automotive establishes manufacturing facility in Charleston County.

North Carolina

Refund cap could mean job cuts for Baptist, Winston-Salem Journal (July 9, 2013) North Carolina moves toward a tax reform plan that would establish a cap on annual local and state tax refunds received by nonprofits. North Carolina legislation permits formation of captive insurance companies, bna.com (July 3, 2013)** North Carolina became the latest among more than 30 states to permit formation of captive insurance companies, as a result of legislation signed by Gov. Pat McCrory. Rural economic center to award $5.6 million, ncruralcenter.org (July 1, 2013) North Carolina Rural Economic Development Center announces $5.6 million in grants. Bill moving to end AdvantageWest funding, The Asheville Citizen-Times (June 20, 2013) Bill that would allow a private nonprofit to take over many economic development duties in North Carolina moves forward in the legislature.

Texas

New Texas law forces breach notices to "any individual" regardless of jurisdiction, wcsr.com (July 2013) Texas amends its data breach notification law to require notification to all affected parties regardless of state of residence.

Florida

Enterprise zone property tax credit to be applied against Florida corporate income tax 2013 legislative changes, TaxAnalysts.com (June 20, 2013)** The Florida Department of Revenue has clarified that the enterprise zone property tax credit against corporate income tax for new or expanding business may be claimed for each location that is eligible to claim it, rather than restricting a business to claiming no more than $25,000 or $50,000, if at least 20 percent of the business's full-time employees reside in an enterprise zone, on a single state corporate income tax return. Sales and use tax exemption for purchases of industrial machinery and equipment, TaxAnalysts.com (June 10, 2013)** The Florida Department of Revenue has explained a new sales and use tax exemption for purchases of industrial machinery and equipment used at a fixed location by eligible manufacturers, effective April 30, 2014. Sales tax refund for building materials used in redevelopment projects 2013 legislative changes, TaxAnalysts.com (June 20, 2013)** According to a Florida Department of Revenue notice, owners of redevelopment projects in brownfield areas may apply for a refund of sales tax paid on building materials used in the project, effective May 17.

California

Lawmakers tweak new business incentive program, The Associated Press State & Local Wire (July 4, 2013) The California legislature passes changes to an economic development program that California lawmakers overhauled last week. Employers will pay more for tax breaks; Changes to wage credits under California's enterprise zone program start Jan. 1, The San Diego Union-Tribune (July 9, 2013) California's enterprise zones move to a new system encouraging higher pay and broadening tax incentives to all businesses. State legislature passes AB 93, effectively terminating California enterprise zones by 2014, Long Beach Business Journal (July 2, 2013) California Gov. Jerry Brown eliminates Enterprise Zones, considered by many to be one of the state's last remaining economic development tools.

Womble Carlyle Sandridge & Rice, LLP

Court vacates resource extraction rule; SEC issues FAQs on conflict minerals disclosure Rule, wcsr.com (July 2013) Recent judicial and Securities and Exchange Commission ("SEC") developments may impact companies' disclosure obligations regarding the use of conflict minerals and payments by resource extraction issuers. Reversing a loss from the grave: How recent Supreme Court decision impacts land development permitting, wcsr.com (July 2013) The United States Supreme Court clarified that the Fifth Amendment mandates that the conditions required by a government when a land development permit is issued must have nexus and rough proportionality to the projected impacts of the proposed development. Employers beware: Unpaid internships may be costly, wcsr.com (July 2013) Unpaid internships might be an opportunity for a company to provide training for prospective employees, or it might expose the company to liability for unpaid wages and overtime.

**Note: a paid subscription is required to access this article. A brief description has been provided. Please contact Womble Carlyle’s Economic Development Team for more information on these developments.

Womble Carlyle's Economic Development Team helps clients explore opportunities for locating or expanding operations in the Southeast and Mid-Atlantic U.S. Our Economic Development Team combines a thorough working knowledge of economic development incentives; land use and siting procedures; and regulatory matters at the state, county and local levels, drawing on strong relationships built over many years with key governmental and civic leaders. For more information visit www.wcsr.com/economicdevelopment.

If you have any questions about this Economic Development Digest, please e-mail EconDigest@wcsr.com or contact any member of Womble Carlyle's Economic Development Team.

The Economic Development Digest - June 28, 2013

Womble Carlyle’s Economic Development Digest aggregates news, opportunities and legislation impacting business in the Southeast and Mid-Atlantic U.S.

In this week's Economic Development Digest:

South Carolina

Haley wants to see how road money is spent before backing more, The Greenville News (June 25, 2013) Governor Nikki Haley wants to see how officials handle this year's road and bridge money before deciding whether to support a push for more. Governor Haley signed a transportation funding bill that could raise more than $700 million for roads and bridges. Nikki Haley signs highway funding bill, Associated Press (June 24, 2013) Governor Haley signs highway funding legislation. South Carolina Governor signs legislation allowing businesses Angel Investment Credit, bna.com (June 2013)** South Carolina will provide nonrefundable income tax credits for certain investments in business start-ups under legislation signed by Gov. Nikki Haley (R). South Carolina enacts legislation expanding businesses eligible for Port Cargo Tax Credit, bna.com (June 2013)** South Carolina Gov. Nikki Haley (R) signed legislation that expands the types of businesses that qualify for the port cargo volume increase credit.

North Carolina

Big business-recruiting changes in store for North Carolina, Charlotte Business Journal (June 27, 2013) The North Carolina General Assembly votes this week on a bill that would make sweeping changes to how the state recruits companies and jobs -- privatizing the sales, marketing and support services of the state Commerce Department by moving those duties to a newly created private nonprofit. McCrory celebrates NC transportation money changes, The Associated Press (June 26, 2013) Governor McCrory earned two victories Wednesday first by signing transportation funding formula changes into law and second by receiving initial House support to shift many Commerce Department duties to an outside group. The transportation effort retools the recipe for how $1.5 billion in state and federal highway funds get spent annually. This week, the House gave tentative approval to McCrory-backed legislation to begin the process to shift department responsibilities for travel and tourism, international trade and economic recruitment to the yet-created private nonprofit corporation. NC bill that revamps regional ED partnerships gets preliminary approval, Charlotte Business Journal (June 26, 2013) North Carolina legislation authorizing a revamp of the state's regional economic development partnerships into eight "prosperity zones" under the authority of Commerce gets preliminary approval. Administration of employee benefit plans affected by Supreme Court decision, wcsr.com (June 27, 2013) The administration of employee benefit plans will be significantly affected by the requirement to recognize a same-sex spouse. Davie, Surry, Yadkin to remain in Triad economic development zone after proposed change, Winston-Salem Journal (June 19, 2013) Davie, Surry and Yadkin to stay in Triad economic zone. SB 127 passes House as amended, goes to Senate, wral.com (June 26, 2013) Lawmakers tentatively approved reorganizing the state Commerce Department.

Virginia

Red Sun farms growing expectations at New River Valley Commerce Park, The Roanoke Times (June 23, 2013) A major industrial food production greenhouse operation locates in Virginia, opening a discussion on the different types of industry that locate in Virginia and how industry infrastructure requirements change over time.

Texas

Texas Legislation extends small business tax exemption, creates historic tax credit, bna.com (June 2013)** Texas companies making less than $1 million are permanently exempted from paying the state's “margin tax,” and tax rates are temporarily reduced, as a result of legislation signed by Gov. Rick Perry (R). Texas Legislation authorizes captive insurance companies, bna.com (June 2013)** As a result of legislation signed by Gov. Rick Perry (R), Texas became the latest state to permit the formation of captive insurance companies.

California

Senate considers altering enterprise zone program, The Associated Press (June 25, 2013) California Senate considers altering the state’s enterprise zone program in order to do a better job of encouraging job growth. California Senate approves changes to Enterprise Zone Program, The Associated Press (June 27, 2013) California Senate approves changes to the state’s enterprise zone program.

**Note: a paid subscription is required to access this article. A brief description has been provided. Please contact Womble Carlyle’s Economic Development Team for more information on these developments.

Womble Carlyle's Economic Development Team helps clients explore opportunities for locating or expanding operations in the Southeast and Mid-Atlantic U.S. Our Economic Development Team combines a thorough working knowledge of economic development incentives; land use and siting procedures; and regulatory matters at the state, county and local levels, drawing on strong relationships built over many years with key governmental and civic leaders. For more information visit www.wcsr.com/economicdevelopment.

If you have any questions about this Economic Development Digest, please e-mail EconDigest@wcsr.com or contact any member of Womble Carlyle's Economic Development Team.