Creating a compact with certain other states to phase out corporate welfare

This bill creates a compact with certain other states to phase out corporate welfare. The bill defines “corporate welfare” as any company-specific or industry-specific disbursement of funds by a state or local government to a particular company or a particular industry in the form of property, cash, deferred tax liability, or reduced tax liability. The bill provides that any state and the District of Columbia may become a member of the compact and that member states need to cooperate to phase out corporate welfare for the reasons outlined in the bill. The bill requires each member state to agree to refrain from offering or providing corporate welfare to a company currently located in any other member state. Each member state must also agree to refrain from offering or providing funds for corporate headquarters, manufacturing facilities, office space, or other real estate developments for any company currently located in any other member state if that manufacturing facility, headquarters, or office space will relocate to the member state offering the incentives. The bill excludes workforce development grants used by companies to fund employee training and grants awarded to companies before the effective date of the compact. The bill provides that any member state may withdraw from the compact with six months prior written notice to the chief executive officer of every other member state. The bill requires the chief law enforcement officer of each member state to enforce the compact. The bill provides that any taxpaying resident of any member state has standing in the courts of any member state to file suit to ask the court to require the chief law enforcement officer of that member state to enforce the compact. The bill establishes a board of member states. The appointees to the board and the duties of the board are outlined in the bill.