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Rauschenberger: Some incentives necessary, others could go

An interim legislative committee will study the incentives North Dakota offers to new or expanding businesses – to see which ones work and which ones don’t.

The incentives often take the form of tax breaks.

State tax commissioner Ryan Rauschenberger formerly worked in the state Commerce Department. He says some of the incentives are necessary.

"A lot of it is a competitive issue," said Rauschenberger. "If all of our surrounding states have the same incentive, is that one for the chopping block? Probably not. There are some that would put us behind the 8-ball if we were to drop them."

Rauschenberger says there are others that aren’t used very often, or may not work – and those incentives can be ended.

"It comes down to -- which ones give you the best bang for the buck," said Rauschenberger. "Does it have that return on investment."

Rauschenberger says going through the process will be a very good exercise, to have the state prioritize the incentives.