Constitutional issues with tax incentives?

Every state in the US wants successful businesses generating jobs in its own backyard. Now <a href="
3190344/1001″ target=blank>Minnesota’s JOBZ program is getting sued for offering tax-incentives to encourage business owners to stick around and grow at home. Some accuse the program of allowing development officials to set tax policy.

Who should decide who gets tax advantages and who doesn’t? Who knows? But with tax and other incentives already being used extensively by so many cities, states, and countries—-North Carolina’s RTP runs a sophisticated marketing program to lure folks there—-it seems like biting the hand that feeds you to fault the guys working to bring in new business. The problem arises when sweetheart deals that may have lost revenue for city schools or other projects, end up not working out—when the star company jumps ship anyway or doesn’t fulfill the promise that the deal was based on.

While new business is always good, many business owners–in Northeast Ohio for sure–would agree it wouldn’t hurt use some of that incentive money to help some of the homeboys and girls grow a little easier.