Senator Dan Debicella, R-21, recently led the Senate Republican caucus in proposing a comprehensive jobs-growth initiative designed to promote the creation of new jobs by existing Connecticut businesses, attract new businesses to the state, and reduce burdensome regulation.

Senator Debicella, Senate Ranking Member of the legislature’s Commerce Committee, crafted his proposal with the help of the Senate Republican Caucus, the Connecticut Business & Industry Association (CBIA), the Department of Economic and Community Development (DECD), and Rob Simmons, former Congressman and Connecticut’s new Business Adovcate. The details were explained at a conference held last week. Senator Debicella said he is gratified by the support expressed for his proposal by Republican Senators, including Senate Republican Leader Louis C. DeLuca and Senate Republican Leader Pro Tempore John McKinney.

“Economic growth is the engine that drives all our priorities as a society—higher standards of living, quality education for our children, and excellent health care for all. From the local mom and pop store owner all the way to workers at Fortune 500 companies, hard-working men and women are the true backbone of our economy. Creating good jobs in Connecticut has to be our number one priority, but state government all too often gets in the way. Over-taxation and over-regulation are causing businesses to leave Connecticut or shut their doors, and I believe we need to change Connecticut into a “business-friendly” state,” said Senator Debicella. “With the support of my colleagues, I am optimistic that we can take meaningful and positive action to help Connecticut’s economy.”

Senator Debicella’s initiative calls for:

• Creating New Jobs at Existing Businesses by offering tax credits to Connecticut companies that create jobs. Any company that creates a net new job will get a tax credit equal to 25% of that worker’s Connecticut withholding tax.

• Reducing Burdensome Regulations by requiring a comprehensive cost/benefit analysis for every regulation in Connecticut. The state’s new Business Advocate would be charged with a five-year project to systematically go through each regulation and calculate the costs and benefits of each regulation. In any case where the cost outweighed the benefit, the regulation would be automatically repealed unless the General Assembly voted to keep it.

• Attracting “Next Generation” Industries by providing tax incentives to promote the creation of next generation industry “clusters”, to greater urban centers. An example of a next general industry would be the fuel-cell and biotech industries that will continue to create jobs well into the future. Under our plan, specific urban areas would be tied to specific clusters (e.g., Greater Bridgeport, including Stratford and Shelton, might be included in the “fuel cell cluster”). Businesses in those “next generation industries” in those designated areas would then be exempt from income tax, sales tax, and property taxes for three years, provided they commit to staying in the area for seven years. The State would reimburse the municipalities for any lost property tax revenue.

Those who have spoken in favor of Senator Debicella’s initiative include Senate Republican Leader Louis C. DeLuca and Senate Republican Leader Pro Tempore John McKinney.

“High taxes and over-regulation are driving industries and workers from our state and weakening our economy,” said Senator DeLuca. “This is a growing problem that cannot be ignored. If we don’t create a more business-friendly environment in Connecticut, we aren’t going to have the tax revenue to pay for all of the other important initiatives this legislature is working on.”

“The General Assembly will be taking up a number of important bills this spring aimed at improving public health and education, mitigating the high cost of energy, and protecting and preserving our environment. These are all worthy initiatives, but how do we pay for them? The majority party says ‘raise taxes.’ We’re saying there’s a better way. We’re saying keep taxes low and grow the tax base. The Senate Republican jobs growth initiative is designed to grow the tax base through a series of proposals designed to foster economic growth and create jobs,” said Senator McKinney.