New Mexico's Aviation Cluster Is Ascending
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| Albuquerque snared two major federal projects in 2004. The U.S. Department of Agriculture's Forest Service is consolidating its human resources and financial services functions into two buildings. Albuquerque beat out 18 other cities for the move that will bring 650 to 700 federal employees to the city. |
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ore and more states are calling on their top elected officials to take active roles in economic development. No longer are these officials just brought in at the end to help seal the deal. Many are out in the field, making site visits as an integral participant in the process.
New Mexico's Bill Richardson is a prime example. Richardson is arguably one of the nation's highest-profile governors. His broad political resum‚ includes 15 years in Congress, a stint as Secretary of Energy under President Clinton and another as ambassador to the U.N. He has been a familiar face on news programs, especially during the run-up to last year's election. He has also gained a reputation as a tax cutter.
In a recent interview with Site Selection, Richardson made it clear he relishes the tax cutter label, particularly when it helps get manufacturers interested in New Mexico. He says he averages making a call a day to a CEO whose company is looking for a site or to simply let the company know what the state offers. He joins executives in site searches and estimates he spends 20 percent of his work day in economic development endeavors such as speaking to business groups, hosting job creators or meeting with film producers.
"We extensively use the governor's mansion to host CEOs, and we've [hosted] over 20 luncheons or dinners that are site selection oriented," Richardson says.
One of Richardson's first acts as governor was to push income tax cuts through the Legislature. He says that has been a great selling tool in business recruitment. Richardson pleased the New Mexico business community shortly after taking office in 2003 when he was able to trim the state's top income tax rate from 8.2 percent to 4.9 percent. The governor is seeking more tax cuts from the Legislature in 2005, including reducing many of the taxes on business-to-business transactions. He proposes reducing the "pyramiding" of the state's gross receipts tax on business services. Other proposals include additional tax credits for aviation firms and moviemakers.
"We're also proposing a technology startup tax credit, which basically means no taxes for the first three years for a technology startup," Richardson says.
Richardson wants the country to know that the welcome mat is out for retiring military veterans with plenty of opportunities for them to pursue second careers after retirement.
"We also want to continue to lower personal income tax for veterans and attract more veterans to pursue jobs in New Mexico in their second careers. We are able to do this because our fiscal situation is quite strong and because our economy is growing."
The movie biz is another area New Mexico is targeting. The state has long been the backdrop for films. One of the latest is the remake of The Longest Yard, filmed largely at the state penitentiary in Santa Fe.
"We're averaging one movie per month now, an unparalleled success because of the tax incentives and loans offered to production and post-production facilities," Richardson says. "We need to keep ahead of other states that are targeting this industry."
New Mexico's Bill Richardson is a prime example. Richardson is arguably one of the nation's highest-profile governors. His broad political resum‚ includes 15 years in Congress, a stint as Secretary of Energy under President Clinton and another as ambassador to the U.N. He has been a familiar face on news programs, especially during the run-up to last year's election. He has also gained a reputation as a tax cutter.
In a recent interview with Site Selection, Richardson made it clear he relishes the tax cutter label, particularly when it helps get manufacturers interested in New Mexico. He says he averages making a call a day to a CEO whose company is looking for a site or to simply let the company know what the state offers. He joins executives in site searches and estimates he spends 20 percent of his work day in economic development endeavors such as speaking to business groups, hosting job creators or meeting with film producers.
"We extensively use the governor's mansion to host CEOs, and we've [hosted] over 20 luncheons or dinners that are site selection oriented," Richardson says.
One of Richardson's first acts as governor was to push income tax cuts through the Legislature. He says that has been a great selling tool in business recruitment. Richardson pleased the New Mexico business community shortly after taking office in 2003 when he was able to trim the state's top income tax rate from 8.2 percent to 4.9 percent. The governor is seeking more tax cuts from the Legislature in 2005, including reducing many of the taxes on business-to-business transactions. He proposes reducing the "pyramiding" of the state's gross receipts tax on business services. Other proposals include additional tax credits for aviation firms and moviemakers.
"We're also proposing a technology startup tax credit, which basically means no taxes for the first three years for a technology startup," Richardson says.
Richardson wants the country to know that the welcome mat is out for retiring military veterans with plenty of opportunities for them to pursue second careers after retirement.
"We also want to continue to lower personal income tax for veterans and attract more veterans to pursue jobs in New Mexico in their second careers. We are able to do this because our fiscal situation is quite strong and because our economy is growing."
The movie biz is another area New Mexico is targeting. The state has long been the backdrop for films. One of the latest is the remake of The Longest Yard, filmed largely at the state penitentiary in Santa Fe.
"We're averaging one movie per month now, an unparalleled success because of the tax incentives and loans offered to production and post-production facilities," Richardson says. "We need to keep ahead of other states that are targeting this industry."
