State Capitol dome in Jackson.(Photo: Greg Jenson/The Clarion-Ledger)[/caption]
Mississippi lawmakers killed the Senate version of a bill cutting financial ties with Iran after learning it could negatively impact one of the state's biggest employers.
But the Iran Divestment Act survives in a House bill that likely will be amended to alleviate concerns of its "unintended consequences" to Toyota Motor Corporation, which has a $1.3 billion auto manufacturing plant near Tupelo.
The actprohibits Mississippi from doing business with entities having certain financial investments in Iran. Among such companies cited by other states with similar laws is Toyota Tsusho, because itpurchases Iranian crude oil under a special exclusion from the US National Defense Authorization Act.
Toyota Tsusho has several U.S. operations, including one in north Mississippi serving the Toyota manufacturing plant. It's also an affiliate of Toyota Motor Corporation, which received nearly $300 million in state incentives to build its auto manufacturing plant.
Toyota spokesman Ed Lewis told The Clarion-Ledger last week that company officials were trying to determine what impact, if any, the bill would have on Toyota.
"I haven't seen the specifics of the bill," Lewis said. "However, I'm told the language is fairly broad. If that's the case, it could obviously have unintended consequences which might affect us in some way."
The House and Senate passed identical versions of the Iran Divestment Act last week. But state Sen. David Blount, D-Jackson, held the Senate version on a motion to reconsider immediately after its passage. The bill died Monday when the Senate failed to table Blount's motion.
Lawmakers didn't know about the bill's potential impact to Toyota until after the original vote, said its sponsor, state Sen. Nancy Collins, R-Tupelo.
Since then, she said, she has worked with state and business leaders on alternative language for the bill to protect employers like Toyota from any potential consequences. Collins said she will propose that language in an amendment to the House version of the bill, which survived and now heads to the Senate.
"We want to make sure all Mississippi companies are comfortable with this bill," Collins said. "Toyota is comfortable with this language."
By Clarion Ledger
