North Carolina’s major-party gubernatorial candidates each made a case for economic growth on Wednesday as Governor Pat McCrory and Attorney General Roy Cooper, his Democratic challenger, addressed the attendees of the North Carolina Economic Development Association’s annual conference at Wrightsville Beach’s Holiday Inn Resort.
Ernest Pearson, the association’s president, steered the discussion with both candidates through a Q-and-A session, as each candidate spoke of the need for improved infrastructure, business recruitment and tourism.
McCrory said the state was falling behind its neighbors, particularly citing South Carolina and Tennessee, because it was resting on the success of the Research Triangle in the 1970s, ’80s and ’90s.
“We got a little too comfortable in our success,” McCrory said.
Pearson asked both candidates to address the perceived divide between the state’s urban and rural counties.
Cooper said expanding Medicaid under the Affordable Care Act is the quickest way to help boost rural North Carolina’s economy.
“You don’t make things better in rural areas by tearing down urban areas,” Cooper said, citing last year’s effort in the legislature to change sales tax distribution to benefit rural counties.
Cooper said North Carolina has been losing economic battles with neighboring states like South Carolina and Tennessee, and pointed to Virginia’s microloan program is an ideal way to boost small businesses. Cooper said the controversial law HB 2 would have an impact on its ability to recruit businesses to expand into the state.
“It’s causing problems that we don’t even realize at this point,” Cooper said. “This is the tip of the iceberg. We’re not even getting to the table on business development issues. You don’t put this unnecessary hurdle in front of you.”
McCrory didn’t mention HB 2 in his address, but he did talk extensively about the need to recruit venture capital funding from California, New York and Massachusetts, and compete with other states to encourage international companies to relocate to North Carolina.
While recruiting businesses to expand into North Carolina was important, McCrory said the state gets “more bang for the buck” by encouraging businesses already in the state to expand locally.
“We need more venture capital money in North Carolina,” McCrory said. “There needs to be a shark tank mentality.”
McCrory spoke of his travel to other states and countries to recruit business expansion to North Carolina, much of which he said goes unreported due to confidentiality with the businesses.
A story that’s not getting told, McCrory said, is the state’s increase in travel and tourism, which he said was up 7 percent over 2015. However, more funding for travel advertising is still needed, he said.
“North Carolina is the best-kept secret in America,” he said. “It shouldn’t be.”
Both candidates talked extensively about infrastructure spending. Cooper said improving infrastructure was key and supported a transportation bond, while McCrory said the state’s infrastructure priorities include road, rail, ports, telecommunications and energy.
McCrory said one of the state’s top infrastructure priorities is to secure enough funding and equipment for dredging both of the state’s ports, Wilmington and Morehead City, and said he has been meeting with the Army Corps of Engineers to facilitate these projects.
“The short-term goal is to dredge a new channel this year,” McCrory said of the Port of Wilmington. “But we need a long-term plan.”
Cooper said both parties have common interests on several economic issues, but what’s missing is leadership from the governor’s mansion.
“I know Republicans that believe in education and Democrats that believe in creating a strong business environment,” Cooper said. “The key is leadership to bring them together. We’ve never been more polarized as a nation and as a state.”
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