Gov. Hutchinson outlines job plans, wants two Constitutional amendments

Only hours removed from hiring the state’s next economic development chief, Gov. Asa Hutchinson outlined his vision for an aggressive platform on Thursday that he said would allow Arkansas to complete globally for better jobs and sustained economic growth.

Hutchinson also asked economic developers from across the state to contact their state lawmakers and encourage them to support two constitutional amendments now before the legislature. He said SJR3 and SJR16 would both aid his economic development plank by giving him additional executive authority when he travels out of state, or has to make a quick decision concerning a so-called “super project.”

“I am convinced now more than ever that we can define our future, we can establish and create our future because of the people in the room and the opportunities we have,” Hutchinson told the business-friendly crowd hosted by the hosted by the Arkansas Economic Development Foundation (AEDF) and the Arkansas Industrial & Economic Development Foundation (AIEDF).

“Arkansas is a picture waiting to be painted, a photograph waiting to be taken; a sculpture waiting to be molded. That’s Arkansas. What an incredible foundation we have – but a foundation that can grow and be known in the world economy. That’s what I want to accomplish in the coming years,” Hutchinson said to rousing applause.

GOVERNOR INTRODUCES NEW AEDC CHIEF
The Arkansas governor made his wide-ranging observations on the state’s economic development efforts during a keynote speech at the Little Rock Convention Center. The luncheon was hosted by the two nonprofits foundations that support the work of the Arkansas Economic Development Commission (AEDC), and other local and regional economic development groups across the state.

The almost perfectly-timed event not only allowed Hutchinson an opportunity to introduce his new AEDC chief, Mike Preston, to economic developers from across the state, but also gave the state’s chief executive an opportunity to meet and greet many of the state’s top business movers and shakers for the first time since he took office in January.

During his 20-minute speech to a packed audience of nearly 1,000 people, Hutchinson highlighted major parts of his administration’s economic development agenda – which he said would maximize “public and private partnerships,” and make Arkansas competitive with other states and countries for more and better jobs.

“I am convinced that we can compete with anyone,” the governor said. “But, we want to grow the private sector more than the government sector.”

Hutchinson also told the business assembly that the key pillars of his job creation program would be creating a climate of less government red tape that encourages entrepreneurial activity, along with building an economic development team that is eager to compete for jobs.

“We have seen this formula work in others places,” Hutchinson said, citing GOP-led states like Florida, Louisiana and Texas. “These states have accelerated their economic development with that philosophy of fewer regulations and a business-friendly environment that is willing to get out and compete.”

The state’s 46th governor also addressed ways his administration plans to support the state’s burgeoning startup and knowledge-based technology sector. He said he was worried that Arkansas did not have the necessary “capital infrastructure” to support startup, early stage and midstream companies.

“I have heard of horror stories … where (we) have a great startup company in the technology arena with great promise, but when they have to raise money and they find out there is insufficient capital here – they go to Austin, San Francisco and New York,” Hutchinson said.

The GOP leader said that his goal is to encourage private investors across the state to play a role in keeping those companies afloat, while remaining in Arkansas.

“I have been encouraged lately because we are seeing investment funds being established, and folks in this room who are investing in venture funds to help those startup companies, and bring them to a midstream level in terms of revenues.”

WANTS TWO CONSTITUTIONAL AMENDMENTS
At the close of his speech, Hutchinson made an appeal to the audience to support his efforts to get constitutional amendments SJR3 and SJR16 on the ballot so that he would have the flexibility and executive authority to compete with other states for jobs.

SJR3, proposed by Sen. Eddie Joe Williams, R-Cabot, would amend the state constitution and remove the provision that strips the governor of his powers and duties when absent from the state. SJR16 by Sen. Jon Woods, R-Springdale, would remove state limits on the amount of general obligation bonds that can be issued to attract super projects, such as the $30 billion Humvee project that will be announced by the Pentagon later this summer. Camden’s Lockheed Martin is one of the three finalists for the Joint Light Tactical Vehicle (JLTV) contract that will replace the Humvee version in use by the U.S. Army and Marine Corps.

“These are two amendments that I would describe as economic development amendments,” Hutchinson told Talk Business & Politics following his keynote speech to state economic developers.

“If I am out of state on an economic trip or trade mission, I don’t want to lose the powers of the governor,” he said. “The other one (SJR16) will allow us to increase our opportunities with super projects and clarify the roles of our city and civilian economic developers.”

A joint panel of the House and Senate State Agencies committees has not met to review or recommend any proposed constitutional amendments to voters in 2016. Legislative leaders earlier indicated that they have no plans to refer any possible amendments despite the law allowing them to send three proposals to the general election ballot.