Evaluation: Economic development incentives

JLARC is responsible for evaluating the state’s economic development incentives — grants, tax credits, sales tax exemptions, and other incentives. (The Virginia General Assembly authorizes these evaluations through continuing language in the Appropriation Act.)

JLARC appointed the Economic Development Subcommittee to oversee the evaluation process.  JLARC staff evaluate spending on incentives; achievement of required business activity in return for incentives; economic benefits to Virginia of total spending on incentives; and effectiveness of incentives in influencing business activity. 

Dec 2018

Economic Development Incentives: 2018

Jul 2018

Workforce and Small Business Incentives
Supplemental appendixes (online only)
Appendix K: Quasi experimental statistical analysis and economic impact modeling
Appendix L: Results of economic and revenue impact analyses
Appendix M: Findings of peer-reviewed research
Appendix N: References

Nov 2017 Film Incentives
Economic Development Incentives: 2017

The subcommittee approved evaluation of the following incentives in 2019:

Data Center Exemption
Pollution Control Equipment and Facilities Exemption
Semiconductor Manufacturers Exemption
Semiconductor Wafers Exemption 
Semiconductor Custom Grants 
Biodiesel and Green Diesel Fuels Producers Tax Credit
Green Job Creation Tax Credit
Recyclable Materials Processing Equipment Tax Credit
Data Center Single Sales Factor Apportionment
Manufacturers Single Sales Factor Apportionment

The subcommittee approved evaluation of the following incentives in 2020:

Business Ready Site Program
Economic Development Access Program
Job Creation Grant (Enterprise Zone)
Rail Industrial Access Program
Real Property Improvement Grant (Enterprise Zone)
Tobacco Region Megasite Grant
Tobacco Region Opportunity Fund
Transportation Partnership Opportunity Fund
Coal Employment and Enhancement Tax Credit
Coal Production and Employment Incentive Tax Credit