One of Gov. Tim Pawlenty's cherished
economic development program is facing the crusher – thanks to a member of his own party.
House Rep. Linda Runbeck, R-Circle Pines, introduced legislation to do away with the Job Opportunity Building Zones, called JOBZ.
Pawlenty had pushed the program as a way to kick-start stagnant rural economies through a mix of state and local tax breaks for businesses that relocated or expanded in the designated areas.
But legislators from both parties now say the program hasn't delivered the kind of high-profile successes that were hoped. In 2008, the program created 6,992 jobs with an average wage of $16.68 per hour.
Over the years, the program faced lawsuits from companies that didn't get the breaks and raised fresh doubts when those that did get the incentives told state auditors they would have expanded anyway.
Some Republicans, in particular, have said government shouldn't play the role of kingmaker in the marketplace, deciding which companies are favored and which aren't.
Runbeck could not immediately be reached for comment.
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