- Taxpayers already have their money redistributed to companies that come here. This would redistribute their money to companies that stay here. The only thing left is to redistribute their money to companies that leave.
- Legislative leaders set aside $40 million for corporate welfare, but could not address the dangerous and economically costly condition of the state?s roads, flagging infrastructure, or failing education system.
- Legislative leaders gave counties the authority to add new taxes, but are willing to have existing taxes used for corporate welfare ? local governments have already pledged more than $400 million in corporate welfare over the last four years.
- Lawmakers have created a climate of corporate entitlement. Anytime a big corporation puts its hand out, lawmakers reward them handsomely? with taxpayers? money. Goodyear is ?working the system.?
- If a taxpayer wants to invest in Goodyear, she should get stock in exchange. It is never good public policy to force taxpayers to pay for corporate welfare. Giving $40 million to Goodyear comes at the expense of other public services.
- With median household incomes in the state falling, it is unconscionable to reward further erosion of incomes and employment.
Bad deal for North Carolina
- Goodyear can lose money in a year, owe nothing in taxes and still keep the money.
- Goodyear can pay less, fire employees and still get to keep the money.
- Goodyear can keep much of the money it receives even if it does not live up to its end of the deal.
- Alabama is spending $20 million for a $125 million capital investment and North Carolina is spending $40 million in cash plus $17 million in-kind for a $200 million capital investment. This doesn?t sound like a good return on investment.
Bad for Goodyear?s workers
- Goodyear can lay off more than one-fourth of the 2,750 employees at the plant and still get the money
- Goodyear could convert some jobs to contract positions, not provide benefits and still get the money
- Goodyear can cut what it pays its existing or new employees and still get the money
Bad for the business community
- The subsidy discriminates against other manufacturers in the state and countless other companies that get nothing but are contributing to the NC economy.
- Gooyear has been in its current location for over 40 years and has not stated any intention of moving ? but thousands of other North Carolina businesses can meet those same criteria. So why are the jobs that Goodyear maintains more important than the jobs that other North Carolina businesses provide every day?
- Targeted subsidies place other companies at a competitive disadvantage, since the cost of doing business for recipient businesses is lower. How is this special deal fair to Goodyear?s competitors (like Wilson County?s Bridgestone/Firestone)? How is this special deal fair to thousands of other companies in North Carolina?
- The legislature should seek to lower the corporate income tax rate and the personal income tax rate so all companies can have lower costs of and create more jobs.
Goodyear?s Fayetteville facility is a union plant with strong ties to the Democratic party
- Unions doled out more than $1 million to Democratic candidate for state office in the last election cycle
- Legislators who support the Goodyear deal show support for unions
- Often, when legislators (even those claiming to be conservative) cast their vote for corporate giveaway, they often say, ?I don?t like incentives, but?? Would they tell their child, ?I don?t like drugs, but?? Our elected officials should stand up for what they believe, no buts?.
- Lawmakers should not be in the business of picking winners and losers in the economic development game. This is the taxpayers? money ? it doesn?t belong to lawmakers. Just because other states are choosing to enact poor public policy is not a good excuse for North Carolina to follow suit.
- The Goodyear deal is simply unfair to existing North Carolina employers who have been providing jobs and paying taxes for years ? without government welfare. History has demonstrated that when policymakers focus on creating positive business climate for everyone equally, businesses will come and flourish.
- Lawmakers should lower the corporate and personal income tax rates and focus on good roads, good water and sewer systems, and a skilled and motivated workforce.