From Deseret News archives:
State money sought to aid rural firms
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"The program pays back to the community more than it costs," Fielding said. "That's why this thing should go forward. It's the reason you plant a garden you plant a seed and expect something to grow. That to me is a good idea, from a pure numbers standpoint, let alone from the sociological: It lifts those who might not otherwise be able to grow."
Previously, the program's funding had come from a state Temporary Assistance to Needy Families grant. Going forward, the audit recommends it seek appropriations under the Governor's Office of Economic Development.
The report noted that its analysis was limited by a lack of documentation about two-thirds of the income data in the report was self-reported, for example and recommended firmer record-keeping requirements if the program is funded going forward.
Further, the audit was unable to substantiate some people's assertions that the program resulted in less use of public assistance by program participants, at least in the short term. However, the report stated, only three program participants were still receiving public assistance as of May 2006.
"When the state's Industrial Assistance Fund awards to big business so many millions of dollars for (hiring) so many employees, that is called an incentive," Fielding said. "When we give money to low-income people, it's called welfare. I'd submit that it's not. (The program) is an incentive for rural low-income people to start their business, to start their dream and be productive. In my mind, that's the same thing as offering money for big businesses to move to Utah to open their factory. They're both forms of economic development."
E-mail: jnii@desnews.com
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