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Since the momentous day of Sept. 11, 2001, Minnesota
has lost 32,000 manufacturing jobs. Overseas
competition is hurting our local and state
economies, and it is unlikely ever to be cheaper to
‘turn screws’ in the U.S. than it is in Mexico or
China!
Statistics show that 1-in-7 Minnesota jobs are in
the manufacturing sector, and those jobs in turn,
support 567,000 non-manufacturing jobs in the
state. A study conducted by the
Illinois Chamber of Commerce
shows that
100 new manufacturing jobs
in a community leads to:
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• 415 additional jobs |
• $7,700,000 more in retail sales |
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• $540,000 in additional tax revenue |
• $2,000,000 more in service receipts |
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• $5,000,000 more in bank deposits |
• Seven additional retail establishments |
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• $12,700,000 more in personal income/year |
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In the book ‘Manufacturing
Works: The Vital Link Between Production and
Prosperity’
(Dearborn Financial Publishing, Inc., 2002), authors
Fred Zimmerman and Dave Beal looked at 690 U.S.
counties in the year 1995, with more than 4,800
manufacturing employees. They found that per-capita
local and county tax burdens declined dramatically
with an increase in manufacturing businesses. Those
counties with 10 percent of existing jobs in the
manufacturing sector averaged $1,000 per capita in
tax burden; those with 30 percent in the
manufacturing sector, averaged $650; and those with
40 percent, averaged just $562 in per capita tax
burden.
Presently, 2 out of 3 working residents in Chisago
County
leave the county,
commuting to their daily jobs
elsewhere.
This not only negatively impacts our retail and
service businesses (as people shop in the twin
cities on their way to and from work), it is hurting
our sense of community! It becomes very difficult
to attract people to volunteer, for instance, as
elementary school helpers, firefighters, little
league coaches, or for many other civic
organizations, when Chisago County workers are out
of the county 10-12 hours a day.
Chisago County is continually competing with
Wisconsin for new business and manufacturing
operations. Wisconsin’s friendlier business climate
can save a business a tremendous amount of money in
property taxes, worker’s compensation insurance, and
corporate income taxes (as compared to Minnesota).
In addition to these savings, Wisconsin offers
substantial business incentives, including TIF,
grants and other tax credits. The industrial park
just a few miles across the St. Croix river in
Osceola, is home to 21 businesses – 17 of these
businesses moved
from
Minnesota!
When Chisago County offers local incentives for
business development, it is with the intent of
providing
a short term investment in order to receive a long
term benefit.
Our goal is twofold: 1.) attract new, and retain
existing, businesses in Chisago County, increasing
the future commercial/industrial tax base; 2.)
invest in long-term job opportunities for our
children's generation and beyond; provide many more
local employment opportunities to keep residents
working, shopping and enjoying recreation here, in
Chisago County. |
