What if there was a place that had no Growth Management?
And had no state income tax and was not business hostile? In fact, this place should be
openly welcoming to business. According to this article on MSN, 16% of all people who moved to other states are relocating to just such a place.
The article talks about the low housing prices, less than $200k for spacious homes, as being a big draw for folks. The economy is also strong and growing. What the article doesn’t mention is some of the reasons that Texas is that place.
I’ll fill in some of the rest of the background. Texas is one of five states without a state income tax. It is also one of the most business friendly states, with businesses paying a much lower share of the state tax burden. There is no business and occupation tax. Since 2005, there is no death tax in Texas. In fact, on their state web site here, their slogan is ”Texas, Wide Open for Business.”
Not only are taxes on businesses friendly, Texas invests in infrastructure. If you’ve driven I-5 or I-90 across Washington lately, you’ve seen the crumbling concrete that are our primary transportation corridors. I’ve been on better highways in third world countries. If you’ve been to Texas, you will rarely see a crumbling interstate and you will see construction of and expansion of the freeways and roads.
Compare that to Washington! True, Washington has no income tax. But, the ruling class in Olympia sure wants one! That’s about as far as the comparison goes. Washington’s Business and Occupation tax is as oppressive a tax on business as any in the union. Our Labor and Industries and State Unemployment costs to employers are among the most expensive in the nation. Our health insurance coverage is among the most dysfunctional with over 50 mandated coverages that have driven all choice out of Washington. From a cost perspective, there is no reason for any business to locate here.
So far, Washington has been lucky. We have some very successful natives with names like Bill Boeing, Bill Gates and Frank Russell. What I haven’t heard of in a long time is a major corporation relocating their headquarters to Washington. I have read about them relocating to Texas. Texas sure figured out how to recover from the oil bust of the 1980s.
I hear from people all the time who are frustrated with taxes and government. While this isn’t a local story, it is a story about an area, like Washington, that hasn’t been hard hit with the current housing problems yet is a place where families still can afford to buy homes. It is also a place where people can still find jobs. It is a phenomenon worth understanding. As always, y’all please comment.
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My favorite quote about Texas “Never before have so many people bragged so much, so loudly, about so little.”