LG Bolling Talks Economy: A Valley American Exclusive Interview

WAYNESBORO—Lieutenant Governor Bill Bolling recently discussed the first six months of the McDonnell/Bolling administration and the economy in an exclusive interview with The Valley American. “The good news is we are making some progress,” Bolling said. “With the help of the General Assembly, most of the key elements of our jobs and opportunities agenda were passed this year.”

“As a result of that, we have been able to give our economic development team more tools to recruit industry and jobs to Virginia. We have also been able to dedicate more resources to telling the Virginia story, not only here in the United States but also internationally.”

The lieutenant governor says the Commonwealth has taken some important steps to position the state for future economic growth and “we are seeing some results. The administration in its first five months closed 91 economic development deals across the state, creating 8100 new jobs resulting in more than $700 million of capital investment in Virginia. In fact, the month of April, we had the fifth highest job creation rate in the country right here in Virginia,” said Bolling.

The bad news, he said, “is that businesses are still closing and laying off workers. Business owners are still concerned about what is going on in Washington, the policies come out of Washington, and what is going on in Europe with the financial instabilities brought on by excessive spending and debt, which is a challenge we have in our own country today.

Virginia is opening up economic development and trade offices in China, India and the United Kingdom. This is part of the jobs an opportunities agenda that the administration has put into place. Bolling says, “This will give us a better foot print in these countries that are seeing a rapidly growing economy.” China and India have the two fastest growing economies in the world. “This year you will see us aggressively marketing Virginia in other countries as well as out on country in states like California, New York, New jersey, and Connecticut.” Bolling noted that these states all have excessive tax rates and regulations in place. Asked why the trade offices have not been set up previously and the aggressive marketing approach not taken, Bolling said “the truth of the matter is the previous two administrations just did not make it a high priority. We have not invested in the programs that we need to bring new industry and jobs to our state. In fact, in many of these important economic development agencies, we have seen funding reduced. In the past eight years or so, we have fallen further behind the states that we compete with. Now we have more tools and resources to change this.”

Another new tool is the tax incentive provided to the film industry to make movies in Virginia. The Valley has seen a lot of activity from the film companies in the past, so this can be a boost here locally. Bolling says that the sate gets a great return on investment from the film companies. He noted that the last major film that took place in Virginia was an HBO miniseries John Adams. The incentive for that project was $1.2 million and it returned $80 million to the Commonwealth. Also, a new greens job tax credit has been established, more money and flexibility has gone to the Governor’s Economic Opportunity Fund. Advanced manufacturing, energy, technology, nanotechnology, life sciences, tourism and film are the strategic sectors that have been targeted.

Bolling also discussed the PGI expansion, which was the first project he worked on after being names the Chief Jobs Creation Officer. “This is a good example of not only how we can bring new businesses to our state, but how we can work with existing businesses and industry to help them grow and expand,” commented Bolling. PGI was looking to expand a new product line wither in Waynesboro or at its north Caroline plant. Bolling said he worked with Waynesboro and Augusta County officials to put together an attractive incentive program for PGI. He notes that, “this positions the Waynesboro site for future PGI expansions.”

Talking about the oil spill in the Gulf, Bolling says the six month offshore drilling moratorium put into place by President Obama “adversely affects” Governor McDonnell’s plans to make Virginia the energy capitol of the east coast. “This will have a significant adverse effect on the economy of Virginia and it’s a decision by the president that we disagree with strongly.” Bolling made the following analogy: When the space shuttle exploded, we didn’t stop the space program; when the Titanic sank, we didn’t stop building ships. We learned from the disaster, we got better and we moved forward. “Offshore drilling will help Virginia’s energy security and economic security. There’s a huge economic advantage to Virginia to be the first state on the eastern seaboard to start drilling our offshore energy resources, primarily natural gas, possibly some oil.”

Energy is one of the strategic sectors targeted for growth by the administration. “We want to develop more of our natural resources which mean more nuclear energy, coal power, natural gas, and offshore resources,” said Bolling, “We also want to make Virginia a leader in renewable energy, whether its wind, solar, or biomass.” The Lieutenant Governor announced on behalf of Governor Bob McDonnell that the Commonwealth will provide $800,000 to James Madison University for the development of a small wind training and testing facility in Harrisonburg. The funding was announced during the Lieutenant Governors keynote address at the State Wind Energy Symposium hosted by the Virginia Wind Energy Collaborative.

Support for the facility and training program will be provided through the State Energy Program of the American Recover and Reinvestment Act of 2009. The funding has received preliminary approval from the federal Department of Energy with final approval expected in the near future.

“The Small Wind Training and Testing Facility at JMU will help increase the potential for the growth of green jobs in Virginia, while advancing the implementation of wind power across the Commonwealth. JMU, with its Virginia Center for Wind Energy, is well positioned to continue its leadership role in wind energy development and delivery of a training curriculum,” said Bolling.

The $800,000 in funding will be used for the training curriculum which would focus on small wind turbine safety, site assessment, installation and troubleshooting. It will also pat for the relocation on an existing owner to a new location; a new tower and turbine; instrumentation package; and equipment, materials and tools. The ARRA-funded grants program for small wind in Virginia is being managed and administered at JMU with guidance from the Virginia Department of Mines, Minerals and Energy.

On the subject of transportation, Bolling said he doesn’t think a special session will be called. He noted that Virginia has recently issued $500 million in bonds that were approved three years ago, have started top to bottom efficient reviews in the department of Transportation, announced plans of public-private partnerships, and are moving forward with plans to put tolls on I-95 at the Virginia/North Carolina border. “We don’t want to make the same mistake that the two previous governors did. We’re not going to ask legislators to come back to Richmond unless we believe there is a realistic chance of getting a long-term comprehensive transportation plan passed.”