State spending as a percentage of gross domestic product has been increasing since the 1980s at the same time that federal spending has decreased. This implies that states have taken on a greater share of governmental responsibility.
At the same time, states are striving to increase revenue through innovative fiscal plans and economic programs. CSG staff monitors state fiscal concerns and economic stimulation activities to provide policymakers with best practices and policy options.
The purpose of this compact is to promote the development of an undeveloped rural area of Marshall County, Miss., and Fayette County, Tenn., and to create a development authority which incorporates public and private partnerships to facilitate the economic growth of such areas by providing developed sites for the location and construction of manufacturing plants, distribution facilities, research facilities, regional and national offices with supportive services and facilities, and to establish a joint interstate authority to assist in these efforts.
Member states: MS, TN
Multistate Tax Compact
The compact establishes a commission whose purposes are (1) to facilitate proper determination of state and local tax liability of multistate taxpayers, (2) to promote uniformity and compatibility in significant components of tax systems, (3) to facilitate taxpayer convenience and compliance. The commission seeks to avoid duplicate taxation, conducts audits of major corporations on behalf of group of states, and participates in litigation to require taxpayers to submit to audits. All states and other U.S. jurisdictions are eligible to participate.
Member states: AK, AL, AR, CA, CO, DC, HI, ID, KS, ME, MI, MN, MO, MT, ND, NM, OR, SD, TX, UT, WA
Collaborations among universities, industry, research organizations, government and other local institutions have resulted in regionally based high-tech zones which target growth in a specific economic sector that fits the geographic region’s strengths and needs, creating clusters of high-skilled, high-paying jobs.
To help state companies comply with the International Organization for Standardization criteria for quality management (ISO 9000), this certification training consists of 16 three-hour or eight six-hour classroom sessions over the course of a year or less.
This program is a Web-based filing and payment system that allows business taxpayers to file and pay various state level taxes to different state agencies at one Web site electronically for free. The program is designed to provide a "one-stop shop" for businesses to comply with a variety of state agency tax and reporting requirements, including sales tax, employer withholding, worker's compensation, unemployment compensation and unclaimed funds.
This state Franchise Tax Board initiative aggressively attacks abusive tax shelters through a multidisciplinary approach. This includes spearheading legislation that increased penalties for investors in and promoters of abusive tax shelters, redirecting staff auditors to focus on abusive tax shelters, and a Voluntary Compliance Initiative similar to one the IRS uses.
This program uses technology to help the Department of Revenue and Finance accurately collect all taxes owed to the state. Through a combination of data warehousing and a customized software application, the program has generated $26 million more in tax revenues than the baseline collections during the three-year development and implementation period.