The Ohio Economic Development Association’s policy efforts focus on educating legislators about the profession, economic development programs, and critical issues that should be considered when formulating public policy.  OEDA believes the top economic development priorities facing our state are as follows:

Transportation: CNBC reported in April 2016 that Ohio is becoming the nation’s e-commerce capital due to location and its robust transportation network. Ohio is home to 6,735 total interstate lane miles. While trucks are a key vehicle for transporting goods, Ohio also has 13 intermodal railroad terminals and 5,200 miles of rail lines. OEDA encourages the Ohio General Assembly to support robust investment in our highways, rail and other means of transportation.

Buildings:  Area Development, the leading magazine covering business site selection and relocation, reports that in 2016, the fifth most important factor influencing where businesses locate was whether a building was immediately accessible.  In this world of “just in time delivery,” “speculative,” or readily accessible buildings can make the difference where businesses locate.  OEDA encourages economic development programs that assist communities and developers in preparing buildings to be ready for commerce.

The availability of skilled labor was ranked as the top factor influencing where businesses locate by Area Development in 2016.  Building and maintaining a qualified workforce will continue to be a factor in expanding existing businesses and attracting new ones as we move into 2017 and beyond.  OEDA continues to support the work underway to unite and align Ohio’s various workforce programs and we look forward to finalizing this streamlined approach in Ohio’s workforce development system.  OEDA appreciates the legislature’s support of various jobs training programs that encourage employers to invest in the skills of their workforce, such as the Ohio Developments Services Agency’s Incumbent Workforce Training Voucher Program and JobsOhio’s Workforce Training Programs.  Additionally, OEDA appreciates and supports efforts made to educate students for career pathways at a younger age and to incentivize employers and industry sectors to be engaged in career development programs.  OEDA believes that a comprehensive and adequately funded workforce development program, which includes programs for youth and adults and is job specific, is foundational need for economic growth. We believe this funding is critical to the competitive nature of Ohio as a premier place to do business, and it is critical that workforce development programs continue to be funded at the levels necessary to train and educate our workforce for the jobs of today and tomorrow,

In 2016, the Tax Foundation ranked Ohio among the ten worst states for business tax climates, with only Minnesota, Vermont, California, New York and New Jersey ranking worse.  The ranking compared the states on more than 100 variables in the five major areas of taxation (corporate taxes, individual income taxes, sales taxes, unemployment insurance taxes, and property taxes) and then added the results to yield a final, overall ranking.  Ohio fared poorly in the corporate and individual income taxes categories, with its CAT tax criticized for taxing gross receipts without allowing full deductions for business expenses such as the cost of goods sold or employee compensation.  The OEDA supports the legislature’s continued efforts to make Ohio’s business tax structure more competitive.

According to Mark Crawford, Contributing Editor to Area Development’s The Top Site Selection Factors of 2016, “energy availability and costs are important for every project, but especially critical for industries that consume large amounts of energy, such as manufacturing, distribution, and data centers.” Ohio is known for its industry clusters in these three areas.  OEDA encourages the 132nd General Assembly to make energy policy a priority, ensuring that Ohio employers have consistent, affordable supplies of energy from both traditional and renewable sources.  OEDA also encourages lawmakers to develop and support utility incentive programs that include rate discounts, tax exemptions, and grants for utility infrastructure improvements.

Between 60- 80 percent of new jobs come from businesses already located in a state (Center on Budget and Policy Priorities, State Job Creation Strategies Often Off Base, February 3, 2016, Michael Mazerov and Michael Leachman).  The OEDA therefore encourages the Ohio General Assembly to continue to support Ohio’s current small and large businesses and believes a permanent extension of the Ohio Enterprise Zone Program is a foundational component of such efforts.  Large manufacturers, for example, could be incentivized to invest in machinery and equipment that allows them to remain globally competitive.  Resources for small businesses through the ODSA’s Small Business Development Centers could be expanded so that Ohio’s rural and Appalachian areas are fully served.