AP Interview:
Harrell says state falls short on job creation
JIM
DAVENPORT Associated
Press
COLUMBIA, S.C. - House Speaker Bobby Harrell
says for several years the state has been lax in recruiting
business, creating jobs and boosting the economy - problems he hopes
to help remedy in his new leadership role.
The state's troubles were spotlighted Monday when Standard and
Poor's cited slow economic growth and high unemployment as reasons
to drop South Carolina's AAA credit rating a notch to AA-plus. The
loss of credit prestige also could cost the state more when it
borrows money for schools, roads and economic development
projects.
The rating agency "gave us a wake-up call by telling us that we
better get focused on jobs and job creation in this state," Harrell
said Wednesday during an interview with The Associated Press.
When former Govs. Carroll Campbell and David Beasley were in
office, those issues were top priorities, said Harrell, a Charleston
Republican now in his third week as speaker. However, he said new
jobs have been slow to materialize for ex-Gov. Jim Hodges, a
Democrat, and current Gov. Mark Sanford, a Republican who has
clashed with Harrell and other legislators.
"Since Mark's become governor, I don't think we've picked it (job
growth) back up like it was when Carroll Campbell was governor," he
said.
Sanford was in meetings Wednesday afternoon. State Commerce
Secretary Bob Faith says the governor's working hard on economic
development. "I will tell you that I think Gov. Sanford is equally
focused" on economic development "and has always been available to
me at the drop a hat," Faith said.
The state's list of economic development prospects is growing,
Faith said. "Our agency is getting it done," he said. "We are
winning more than our fair share of deals."
Harrell said he wasn't assigning blame but rather pointing out
that the state has gone from having one of the country's best
employment rates to one of the worst.
"My frustration is that I don't think we've been focused on that
since Carroll Campbell and David Beasley were governors. I don't
mean to pick on Mark, and I don't mean to pick on Jim Hodges,"
Harrell said.
Campbell took office in 1986 and oversaw the recruitment of major
manufacturers and the creation of thousands of jobs during his eight
years as governor. Beasley then served a single term and enjoyed
economic success, as well, although some of that came on Campbell's
coattails.
Faith said the economy and competition in economic development
have changed since then. Manufacturers have seen a slow recovery
from the 2001 recession and manufacturing jobs were the focus of
Campbell's job efforts, Faith said.
Monday's credit rating downgrade means "South Carolina's got to
get focused on reducing the unemployment rate and raising the
average income," Harrell said. "Those need to be the two priorities
of our state for the next decade."
In May, the last month for which figures are available, South
Carolina had a 6.3 percent jobless rate - the nation's sixth highest
and well above the national rate of 5.1 percent.
While the state should climb out of that hole within a couple of
years, it will take longer to raise average incomes, Harrell
said.
When the state's credit rating dropped, Sanford and Folks blamed
the Legislature, saying lawmakers haven't done enough and failed to
adopt the governor's plan to lower the income tax rate for the
state's richest residents. Sanford says his proposal would make the
state more attractive for small businesses and that wealthy retirees
and executives will create jobs and grow the economy.
Harrell, former chairman of the House Ways and Means Committee,
helped Sanford's income tax bill clear the House, but the Senate
balked at the program's $1 billion price tag amid criticism that it
would do nothing for the average wage earner. Ultimately, the
Legislature approved lowering the top income tax rate only for small
businesses.
Harrell maintained that legislators have passed plenty of bills
to help businesses, create jobs and bolster the economy. His list
included bills that limit lawsuits, expand job tax credits and give
a variety of breaks for the film industry and users of the state's
ports.
"We have done the work putting legislation on the books to do job
creation. It's time to stop whining and start working toward
bringing jobs into South Carolina," Harrell said. |