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OpinionApril 4, 2003

Since the U.S. economy soured more than two years ago, Missouri has been among those states that have been hardest hit. The economic impact has been seen in softer tax revenue for virtually all levels of government from city sales taxes to state income taxes...

Since the U.S. economy soured more than two years ago, Missouri has been among those states that have been hardest hit. The economic impact has been seen in softer tax revenue for virtually all levels of government from city sales taxes to state income taxes.

One statistic that also affects Missouri's business climate is the number of jobs that have been lost. Whether due to business closings or businesses moving to other states -- or even out of the country, there are thousands fewer jobs in the state than three years ago.

In addition, counties in Southeast Missouri along the Mississippi River have been identified as being among those with the worst poverty in the nation. Three years ago, the federal government established the Delta Regional Authority to pursue economic development plans for 236 counties along the river from Missouri to Louisiana. Last year, Missouri created the Missouri Delta Commission to participate in the federal program.

Last week, Gov. Bob Holden announced two funding initiatives to address some of the economic factors that continue to depress parts of Southeast Missouri.

The first was the state's $1 million participation in a partnership with the National Development Council to create a pool of $5 million for low-interest loans to existing companies and businesses with fewer than 500 employees.

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The second was a $282,000 program to train or retrain workers at 11 Southeast Missouri companies.

Both programs emphasize keeping workers employed and keeping existing businesses going.

The state has received its share of criticism for the loss of so many jobs that have moved away from Missouri. But loans and training have not been the only factors.

The state's regulatory climate also has come under considerable scrutiny. There's a long list of major developments that have been stymied by delays at various state agencies that must sign off on businesses that have, for example, an impact on the environment. The Department of Natural Resources has come under the harshest criticism.

State officials explain long delays and massive paperwork shuffling as attempts to safeguard Missouri's residents. But some legislators -- and certainly corporate decision makers willing to invest millions of dollars in Missouri factories and jobs -- wonder if the concern about politics isn't as great -- or greater -- than regulatory compliance.

The establishment of the $5 million loan fund for small businesses and nearly a quarter of a million dollars for job training are welcome. But the lingering questions are whether that's enough, and whether the bureaucratic machinery of state government will become an ally or continue to be a foe to job growth throughout the state.

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