Real Business Leaders Don't Beg for Handouts

John Hood of the Locke Foundation wrote a very nice op/ed piece today, calling on Governor Easley to veto the Goodyear $40 million legislative subsidy. Thoughtful and well written as usual, my concern is that even if Easley does exercise the veto (Does he really know how?) the administration will still try to come up with some kind of handout for Goodyear.

One recent business expansion in Durham by Square 1 Bank shows what real business leaders should do. The bank which started two years ago has its national headquarters in 16,000 square feet of the American Tobacco Historic District. It announced that it is expanding to 42,000 square feet and adding approximately 120 more employees. The bank which services the venture capital community around the country has grown its assets to over $700 million. "It's huge for the economy of Durham," said Rich Harris, the GVA Advantis broker who represented Square 1. "It's a major venture bank that could be in any city." "They could be in California. But they are here in Durham and choosing to grow here."

Now there's no doubt that had Square 1 executives wanted to shake down Durham and the State, then incentives would have been forthcoming. But no, this group of business leaders prefer doing in the right way - through their own investment and by not playing the government subsidy game. As to why Square 1 is here, its spokesman said, "...we love being here in North Carolina. There's a lot of great talent here."

Another company in High Point, New Breed, announced a major expansion several years ago. The company spokesman said at the time, "It has not been New Breed's policy to seek nor accept incentives. We believe it is our corporate responsibility to invest in our infrastructure, not the responsibility of tax payers." Hurrahh!!!! Thank goodness there are still principled business leaders out there who understand that corporate welfare is an embarrassing phenomena in our state and around the country. Let's hope Goodyear gets the message.