NEWS RELEASE

FOR IMMEDIATE RELEASE

FOR MORE INFORMATION, CONTACT         Lisa Church
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April 17, 2008

PEARCE LEADS PASSAGE OF ECONOMIC DEVELOPMENT BILL

JEFFERSON CITY (April 17) – Under the leadership of Rep. David Pearce (R-121, Warrensburg), the major state economic development bill won final approval in the Missouri House Thursday, April 17, on a strong bipartisan vote of 135 to 12.

 “This legislation is very important to the economic future of our state,” Rep. Pearce said. “Its passage is the culmination of hard work by many people on many fronts. I’m very proud that it received widespread bipartisan support. People from all across the state called their representatives urging them to vote in favor of this legislation, and their efforts were rewarded.”

Rep. Pearce amended House Bill 2058, which had 87 co-sponsors, to remove the $60 million funding cap for Missouri Quality Jobs tax credits. The program offers tax credits to companies that pay salaries over the average county wage and provide health insurance coverage for employees. Other changes included moving administration of the Angel Investment Tax Credit from the Missouri Technology Corp. to the State Department of Economic Development and the addition of a provision to lower real property taxes on land around Kansas City International Airport in anticipation of a major new development.

Other provisions of the bill include:

• Allowing companies that produce energy from renewable resources to participate as a technology business if they meet other program requirements.
• Increase the annual cap on tax credits under the Enhanced Enterprise Zone Program from $14 million to $24 million.
• Increase the tax credits available under the Neighborhood Assistance Program from $4 million to $6 million.
• Increase the amount of tax credits authorized for the Small Business Incubators Program from $500,000 to $2 million.
• Allow remediation tax credits for up to 100 percent of demolition costs that are necessary to accomplish the planned use of eligible facilities.

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