Indiana, The Nations Newest Right-to-Work State, Ranked Eighth Among the Top States for Doing Busine
Area Development
Indiana, The Nations Newest Right-to-Work State, Ranked Eighth Among the Top States for Doing Business
Indiana ranked eighth overall among the Top States for Doing Business. The state tied for a number- one ranking for its rail and highway accessibility. It also scored in the top five in several other categories including tying for third among states that are leading in the economic recovery.
Area Development Magazine Special Presentation (Fall 2012)
Certainly, Indiana touts a central location that is well connected. It is home to more than 4,700 miles of mainline rail track, three international airports, and more than 11,000 total highway miles. Each year, more than 1.1 billion tons of freight travel through Indiana, making it the fifth-busiest state for commercial freight traffic in the nation. Indiana also has the only statewide port system that provides international connections via the Great Lakes and Ohio- Mississippi River system.
In addition, Indiana is moving forward with a record-breaking $10 billion infrastructure improvement plan. That improvement plan includes a 10-year, fully funded highway initiative that calls for more than 200 new construction and 200 major preservation projects, according to the Indiana Economic Development Corporation (IEDC).
The expansion of firms such as Amazon.com is certainly a testament to Indiana’s formidable strength as a distribution hub. Amazon.com will open its fifth facility in the state this fall. The new fulfillment center is located in Jeffersonville in Southeast Indiana. The project represents a $150 million investment in the state and is expected to create 1,050 jobs by 2015.
Indiana has launched several major initiatives that have helped the state to emerge as a leader in the economic recovery. Earlier this year, Indiana became the 23rd state in the nation to enact a right-to-work bill into law. The state also passed legislation that reduces Indiana’s corporate income tax from 8.5 percent to 6.5 percent. The tax will be reduced by 0.5 percent per year until 2015. Legislators also cut property taxes by one third and established a constitutional cap on tax rates for all classes of property. State legislators have also increased the Venture Capital Investment Tax Credit. The maximum amount of tax credits that early-stage firms can use to attract investment is now doubled from $500,000 to $1 million.
In addition, the state has pushed for reforms in its telecommunications sector. Indiana’s Telecommunications Deregulation Act has brought increased competition, leading to new investments and jobs, according to the IEDC. Efforts such as the Buy Indiana initiative have also helped to pump up to $1.9 billion back into the Indiana economy by directing state agencies to purchase goods from Indiana businesses.
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