Tuesday, October 23, 2007

Orr Suggests Different Approach to
Skybus Incentives

(Raleigh, NC) – On Monday, October 22, Governor Easley announced a $3.98 million JDIG award to Skybus Airlines to increase its presence at Piedmont Triad International Airport. Founded in 2004, Skybus is known for offering fares as low as $10. Justice Orr had the following recommendations:

 “I could name any number of other areas where North Carolina could benefit from an investment of $3.98 million. Instead, Governor Easley and the Economic Investment Committee have decided it’s better for the state to invest in the risky discount airline market. If Governor Easley and the Economic Investment Committee were determined to support Skybus, they could have instead purchased thousands of tickets on Skybus flights to be given to government workers, service men and women, military families, or those who could not otherwise afford to travel by air. Instead the state has provided cash payments to be used according to the liking of Skybus executives. At least then, North Carolina citizens could have gained some direct benefit from the deal.”

 “Customers will either be excited about the service Skybus provides or they won’t. It is not up to the State of North Carolina to interfere. Again, this incentive represents our continued flawed approach to economic development. Instead of wasting state funds to subsidize every day business decisions, we need to focus our investments on improving business conditions and encouraging growth statewide for the betterment of all North Carolina citizens.”

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