Tom Miller, CCIM
'Numbers Speak Louder Than Words', Nevada ranks high in non-traditional areas
These words were the topic of a recent survey in ‘Expansion Management’ magazine where Nevada ranked #3 nationally for our ‘Legislative Quotient’. Our what ? ‘Legislative Quotient’ assesses the impact of our state’s legislature on business. I know businesses do check on this stuff, since a firm I moved in last summer did quite a bit of checking into it.
Other western states were: Utah at 30th, Arizona at 13th and our friend over the Sierra at 43rd.
Most firms looking at a new western location look into State income tax; corporate and personal, where Nevada always looks great. They also look at economic incentives offered, where Nevada looks ok. However with deeper digging into other factors, Nevada starts to look even better. Here is how we stacked up:
1. General Tax Bite : 4th. Nevada always does well here. 2. 5-Year Tax Improvement: 3rd. Factoring in state debt and taxing trends. We did great again. 3. Infrastructure Spending: 35th. This factors in highways and education. We know Nevada is frugal in education spending. Our state highways seem in good shape, so maybe Nevada just doesn’t need to spend that much in this category. 4. Managing the Debt:14th. If you locate a plant in a state, you effectively become responsible for that states overall debt. Nevada is strong in this category. 5. Spending on Itself:17th. How much does the Government spend on itself ? We are far better than most. 6. Right To Work: Yes (no ranks on this one). The right to work adds flexibility to running a business. You have the option of your labor force structure.
It’s encouraging that when we probe into areas that the local economic development authorities generally do not blow the horns about, that Nevada stands tall again as a great place to locate a manufacturing plant, distribution center, back office operations or corporate headquarters.