Individuals fleeing from liberal states to those with conservative leadership such as Texas and Florida are being joined by mega-companies, such as Disney. Florida’s chief financial officer Jimmy Patronis explains the simplicity behind the phenomenon: lower taxes make the Sunshine State more attractive for businesses.
Speaking to “Fox & Friends First” Patronis said, “Disney already has a proven track record here” and moving its California operations to Florida will “allow them to grow and expand their business.” Patronis’ comments came after Disney publicly considered moving its theme parks from California to Florida due to the struggle to re-open under California leadership.
Disney is one of the latest “in a growing number of companies considering moving some or all of their operations out of California, which has some of the strictest lockdown measures in the country” reports Fox Business. Siting California Governor Gavin Newsom, specifically, Patronis said “Newsom is nonresponsive. Businesses are fleeing his state.”
California has the nation’s highest income tax rate at 13.3%; combine that with devastating and unending lockdowns during the coronavirus pandemic, businesses are fighting for survival. “Eventually when you’re not appreciated, hopefully enough is enough,” said Patronis.
Tax rates are just one piece of the puzzle that has contributed to Florida’s strong financial record, making a move very palatable. Not only does Florida have “a really good FICO credit score,” said Patronis, but it is a safe place to develop a business with “49 consecutive years of declining violent crime rates.”