Angela Till Deputy Secretary Alabama Department of Commerce

Greg Canfield, Secretary of Commerce An extension of the Governor’s office Responsible for leading and maintaining Economic Development across the state as liaisons for new, potential, and expanding businesses Includes:  Business Development  International Trade  Small Business Advocacy  AIDT  Film Office

Alabama’s Team Approach Alabama Department of Commerce Local Economic Development Organizations Economic Development Partnership of Alabama (EDPA) Alabama Industrial Development Training (AIDT) Universities, Community Colleges & Pre-K - 12 Alabama Marketing Allies Department of Revenue Department of Environmental Management (ADEM) Department of Economic and Community Affairs (ADECA) Chambers of Commerce

Alabama Then…..

Alabama Today…

Projects Announced $3.4 Billion in New Capital Investment 18,137 New Future Jobs

Alabama International Trade Results  Alabama exports held steady for 2014 coming in at $19.5 billion, just shy of the all-time record high of $19.6 billion in  Surged 115 percent since 2004  Alabama-made products reached 200 countries

Accelerate Alabama Released January 2012 Includes input from nearly 1,200 individuals Identified 11 target business sectors Utilizes existing assets such as:  Colleges and Universities  Community College System  Workforce Development Organizations  Local Economic Development Groups Alabama’s strategic five year plan to drive economic development

Key Drivers Recruitment - Attraction of new business and industry Retention - Retention and expansion of existing business and industry Renewal - Job creation through innovation, entrepreneurship, research and development, and commercialization

Targeted Industry Sectors

Supplier Support Team

Alabama Jobs Act Act Effective July 2, 2015 Jobs Credit Cash rebate up to 3% of previous year’s payroll for up to 10 years Additional.5% on wages of veterans for companies who employ a workforce of at least 12% Veterans Up to an additional 1% for projects in Targeted Counties Investment Credit Credit of up to 1.5% of Capital Investment for up to 10 years Credit against income tax and/or utility tax Can be carried forward for 5 years If approved, the first 3 years can be sold

Qualifications for Alabama Jobs Act Must create new jobs At least 50 for most projects 25 in Targeted County Any number of jobs for chemical manufacturing, data centers, metal/machining, engineering, design and research projects Jobs Act Incentives are discretionary The project’s tax payments must exceed the tax incentives sought Project Agreement with clawbacks is required Future incentives granted can never exceed $850 million Legislative oversight is required and Jobs Act incentives will expire 12/31/19 unless renewed

Targeted Counties Counties having a population of less than 25,000 (currently 25 counties) Only require 25 new jobs for Jobs Act Projects may receive an extra 1% Jobs Credit Up to 15 years Investment Credit for projects selling their output nearby State Industrial Development Authority can make loans to fund site prep Capped at $20M Up to $2M for 25+ jobs Up to 1M for less than 25 jobs

Questions?