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Y. ._ _ __ _ The Application of Local Economic Development Incentives in Georgia we will probaUly not change the way we do business." Another respondent who offered incentives was also cautious, "Incentives are important Uut should be "closing" aids and should not "drive" project. Incentives granted must be commensurate and balanced and equally available to new indushy and e sting industry expansions." Finally, closer to the other end of the spectrum is the belief that, "Many people do not lilce them [incentives] but almost every company of any size expects them. Economic development is a very competitive business. If your community does not offer reasonable incentives there will Ue several competing communities which will." The site visits and telephone interviews on the topic of incentives affirmed the data fi om the survey. All of the interviewees believe that economic incentives are essential for an effective economic development sri ategy at the local level. In fact, most stated you could not even get into the competition unless you were prepared to offer incentives. Some of the Tier 1 and Tier 2 comm mities said they were caught short on some occasions when a company would contact them for a statement of the incentives availaUle in their comrriunities. Their failure to have examptes of packages they could offer restilted in the company not contacting them again. All of the econoinic development professionals believe that the incentive package has to be tailored to the prospective company's needs but tempered by the 1'units af the community and the potential benefits from attracting the company. Some of the inteiviewees seemed somewhat confused as to the legal constraints state laws impose on their developing an incentive pacicage. Some interviewees believe additional training worlcshops for development professionals would assist them in more effectively designing theu• incentive pacicages. State level "help lines on legal issues" would also be important. Once again, the more resource limited communities, Tier 1 and Tier 2, felt this was a problem. Tier 3 communities either had the resources to get the answers to legal issues when they needed them or they had staff that tuiderstood the issues. An example oP an incentive strategy is a Tier 1 community in which the county bought a building that was empty due to another business leaving town. The incentive the community put together was a three year lease-purchase agreement with the new business. The building has tlu ee partitions. For the fu•st year, the company's tax incentives permitted them to pay no property taxes. The second year, the company has to pay something but that amount depends on how much of the three partitions they use. And then, the amount the 28