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Yes, Virginia, there is a jobs Santa Claus and his name is Gov. Bob McDonnell. States tiring of looking to federal programs for a reduction in their unemployment rates are starting to initiate their own growth agendas and Virginia is at the forefront. A two-year budget proposed by the governor includes almost $37 million in funding to spur economic growth by creating jobs in the state of Virginia. Since being in office, the focus has been on reducing the state’s unemployment rate from 7.2 percent initially to a current 6.2 percent.

States Get Creative

Help from the federal government for measures to alleviate unemployment have so far yielded only extensions in federal unemployment benefits. Success with job creation on the state level may be a more direct route to attacking the source of the problem – a lack of jobs. States that have been proactive about getting new business have seen good results. Virginia’s initiatives include business tax credits and easier coordination between state offices responsible for economic development and businesses establishing themselves within the state. Other measures taken by Virginia include long-term strategies to attract global business by implementing international trade offices.

Growth Industries Targeted

Virginia also is hoping to target high growth industries, like biotechnology and commercial space industry. The new spending blueprint is hoping to allocated $10 million just for attracting businesses in the life science area. There are grants for agriculture and advanced manufacturing leaders. Other industries include funding for tourism initiatives, film, and alternative energy. The plan begins July 1st and is funded with no tax increases.

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Education Key to Success

These types of growth industries require a very educated workforce, so Virginia is also including funding in the educational sector. They specifically want to create partnerships between the private commercial arena and the educational sector. About $2 million dollars has been set aside for workforce training classes which are to be held at local community colleges. By supercharging the areas of the state economy that can best contribute to commercial success, the governor hopes to reduce the unemployment rate even further.