Iowa can now be added to the list of states actively seeking to lure companies away from California and its unfriendly business climate. In a Los Angeles Times interview, Iowa’s governor Terry Branstad stated, “They [California businesses] want to get out of California as quick as they can. We welcome them to Iowa. I’ve got California companies on my call list right now.” Iowa joins the ranks of states, such as Texas, looking to take advantage of California’s unreasonable tax system and burdensome regulatory structure that continue to frustrate Golden State businesses. In response to the Iowa governor’s comments, Governor Jerry Brown’s spokesperson, Gil Duran, dismissed the idea that businesses are fleeing California as a “Republican myth”. However, as noted columnist, Dan Walters accurately points out in his recent feature, California has a reason to worry about its business climate, “[I]t’s not just a Republican myth.” In 2011, 254 businesses relocated to other states—50 more than in 2010, and an increase of almost 500 percent from 2009. It is for these reasons that Chief Executive Magazine recently “honored” California with the dubious distinction of being the worst state in which to do business for the eighth consecutive year.
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