The Emergency Board voted today to delay a decision about granting an additional $15 million in incentives for businesses until Jan.22.
Gov. James Douglas said the Vermont Economic Progress Council, which would provide the funding, has received a number of inquiries from companies about government incentives, and the amount requested exceeds the funds now available through the Vermont Employment Growth Incentive program.
The existing cap on incentives is $10 million; the Department of Economic, Housing and Community Development recommends raising the limit to $25 million.
“We want to do everything we can for job creation,” Douglas said.
A list of the companies that have requested government money was not made available at the meeting.
Sen. Susan Bartlett, D-Lamoille, a candidate for governor, said the incentives should be seen within the context of the kinds ofperformance-based expectations the state is pursuing in other areas. “I think what we need to do is be clear about what these incentives do.”
The Douglas administration’s push to raise the cap has stirred controversy.
Rep. Michael Obuchowski, D-Rockingham, said the proposal needs to be evaluated under current law. “It brings up the ghosts of VEPC and all the tax incentive ghosts.”
Obuchowski recommended that legislative committees be given more time to consider the matter.
The Emergency Board, which includes Douglas, Obuchowski, Bartlett, Sen.Ann Cummings, D-Washington, and Rep. Martha Heath, D-Westford, will discuss the incentive cap at 10 a.m., Friday, Jan. 22.
Douglas said it’s important for the board make a decision before the Vermont Economic Progress Council meets at the end of the month.
