According
to Ball State University's 2008 National Manufacturing and Logistics Report
Card, compiled by its Bureau of Business Research, Washington
ranks 25th among states best for manufacturing and logistics. Surprisingly, the
report released late last week, found Missouri was rated best followed by Utah,
Florida, Alabama, South Dakota and Indiana which all earned an overall grade of
"A". Washington received a "C".
Ranking
at the bottom were West Virginia followed (in order) by Maine, Rhode Island,
Vermont, New Jersey, Kentucky and New York which all got an "F". Idaho,
California, Michigan, Ohio, Alaska and Oklahoma received a "D".
There were 20 categories comprising the overall score primarily dealing with education, health care, R&D, taxes, unemployment, fringe benefits, crime and manufacturing growth. Here is a sampling of how we rank:
- Because we have no individual income tax, we ranked the best at #1; however, with our high state and local sales tax, we ranked at the bottom at #50 in the sales tax category. (However, if the sales tax exemption for manufacturing machinery and equipment and research and development were added in, I have a hunch Washington would be ranked better for manufacturing for taxes). Our corporate tax index put us at #31 so it is higher than average.
- In
all four education assessments, Washington ranked in the top 15 which is good
news.
- In
long-term health care costs and health care premiums, Washington ranked 37 and
38 respectively, which is not good.
- As
for employer costs for workers, there was some bad news. Washington's high
fringe benefits ranked us at #49 as a share of wages and we were #36 in
unemployment costs. On the other hand, we were #12 in workers comp
rates.
- Washington
was 24th in growth of added value manufacturing and 23rd in manufacturing share
of the economy.
The
Springfield (MO) Business Journal reported: "Missouri
earned high marks for research and development efforts as well as low long-term
health care costs and health care premiums." It also ranked
#4 in unemployment insurance.
The Ball State University findings point out that costs of doing business matter.
Don C. Brunell, President (DonB@AWB .ORG)
