Advanced Manufacturing/Logistics Initiative

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Advanced Manufacturing/Logistics Initiative

• Awareness Generate awareness of initiative and
  goals.
• Support
• Educate businesses and stakeholders regarding
  incentives and resources for Advanced
  Manufacturers.
• Support workforce education and career
  development initiatives
• Implementation Deals, Jobs, Investment

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• Since its creation, the IEDC has worked with
  more than 590 businesses who have committed to
  create more than 78,000 new jobs and invest more
  than 18.7 B.
• The average wage for new jobs committed in 2008
  is 22.47/hour well above the State average of
  18/hour.

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Indiana Economic Facts
More Jobs for Hoosiers
3-Years of Record-Breaking Success 622
business have committed to create 77,650 jobs and
invest 18.7 Billion in their Indiana
operations since Jan. 2005 200817,956 new jobs
committed and 4.17B capital investment 200722,62
7 new jobs committed and 3.38B capital
investment 200621,995 new jobs committed and
8.44B capital investment 200515,467 new jobs
committed and 2.75B capital investment
Increasing Hoosier Income The average wage
for new job commitments from competitive projects
in 2008 is 22.47/hour well above the
state average wage of 18/hour.

• Seasonally Adjusted Unemployment Rate (Oct.
  2008) 6.4
• Lowest unemployment rate of neighboring states,
  below national avg.
• Illinois (7.3), Kentucky (6.8), Michigan
  (9.3), and Ohio (7.3)
• National unemployment rate (Oct. 2008) 6.5
• Indiana in the International Economy
• Exports from Indiana to foreign countries
  reached a record 25.9 billion in 2007,
  up more than 14 percent over the previous year
• Commercializing Innovations
• Through the 21st Century Research and
  Technology fund, Indiana has committed
  to invest more than 77 million in 59 high-tech
  companies to help each bring their
  innovations to market, keeping the innovations
  and associated high wage jobs in Indiana.

Recent Rankings
Building the Best Sandbox
Major initiatives since 2005 aimed at improving
Indianas competitiveness Major Moves
Ten-year fully funded 12 billion highway plan
that includes more than 200 new construction and
200 major preservation projects
Telecommunications Reform - Indianas
Telecommunications Deregulation Act has brought
increased competition, leading to new investments
and jobs HQ Relocation Tax Credit
Reinforces the states commitment to attracting
new headquarters opportunities to Indiana
Single Factor Sales Apportionment - Eliminates
the tax penalty associated with companies adding
jobs and investing in new capital equipment in
Indiana RD Tax Credit Provides a tax
credit equal to 15 of a companys first 1
million of qualifying RD expenditures, giving
Indiana one of the highest RD tax credit
percentages in the country Patent Income
Exemption - Exempts certain income derived from
qualified patents from the calculation of a
companys tax liability Buy Indiana Pumps up
to 1.2 billion back into the Indiana economy by
directing state agencies to purchase goods from
Indiana businesses Health Care Plan
Provides insurance for up to 130,000 low-income
Hoosiers annually and encourages Hoosiers to stop
smoking
Best Business Environment Indiana ranks fifth
in the nation and best in the Midwest for its
business climate (Site Selection Magazine
Nov. 2008) Indiana ranked first in the
Midwest and eighth in the nation in Chief
Executive magazines fourth annual "Best Worst
States" survey. Indiana was the highest
ranked state outside of the sunbelt in the
survey. Cost of Doing Business Indiana
has the lowest business cost index in the Midwest
and sixth lowest in the country. (Forbes
July 2008) Indiana ranks first in the
Midwest in the Milken Institutes most recent
Cost of Doing Business Index - based on
wage cost, tax burden, electricity
cost, industrial rent cost, and office rent
cost. Top Tax Climate Indiana
ranks 1st in the Midwest and 12th nationally in
the Tax Foundations 2008 Business Tax
Climate Index In-Sourcing Jobs Since
2005, international companies have committed more
than 8 billion into their Indiana
operations and more than 15,800 new jobs
Indiana ranked number one per capita in North
America in the creation of production
jobs through foreign investment in 2007. (IBM
2008 study)
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Indy Airport Expansion
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RD Benefits

• Patent Tax Exemption
• 50 State Income Tax Exemption.
• Research Expense Credits
• 15 of the first 1 million of RD expense.
• R D Sales Tax Exemption
• No sales tax on RD equipment.

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IEDC Incentives

• Training Grants
• Skills Enhancement Fund
• TECH Grant
• DWD TAG Grant
• Tax Credits
• Hiring
• Capital Investment
• Public Infrastructure Grants

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Regional Economic Development Partnership Program

• Encourage communities to think and act
  regionally.
• Two or more counties.
• Up to 150,000, matching grant.
• Wide range of economic development activities.
• Must be consistent with IEDC strategic plan.

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Indiana Logistics Rankings

• 1st in Interstates
• Shortest distance to the median center of US
  population.
• 2nd largest Fed-Ex hub.
• 3rd in local freight railroads.
• 4th in Class 1 railroads
• Source Indiana Logistics Directory, Ports of
  Indiana, 2008.

• 5th in truck tonnage
• 6th in trucking employment
• 7th in NAFTA exports
• 8th in US waterborne shipping.
• 9th in rail tons carried
• 10th in freight rail employment.

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Record Success, World-Class Infrastructure

• Projects located in 76 counties
• Nearly 80 within 10 miles of interstate
• More than half from existing Indiana companies
• Approx. half in cities/towns of lt 25K

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Major Moves Initiative

• Fully funded 10 yr., 12 Billion transportation
  plan.
• FY 08 Plan is on track 50 active projects
• FY 09 Hoosier Heartland, I-69, US 31 (K, SB)
• Projects start sooner, end earlier, save
  millions.

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Executives Rank Indiana Best in Midwest

• 1st in the Midwest and 8th nationally
• Best Places for Business Survey
• 605 top CEOs

Source Chief Executive Magazine, Jan. 2008
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Contact

• Don Foley
• IEDC
• [phone]
• dofoley_at_iedc.in.gov
• www.iedc.in.gov