Texas Launches Campaign To Lure California Businesses

AUSTIN, Texas (CBS / AP) -- A radio ad designed to convince California companies to move to Texas has sparked a throw-down between the governors of the two states.

Gov. Rick Perry launched a 30-second radio ad on Monday calling on California companies to consider moving to Texas.

"Building a business is tough, but I hear building a business in California is next to impossible," Perry says in the ad, which was paid for by a public-private marketing partnership called TexasOne. "There are plenty of reasons Texas has been named the best state for doing business for eight years running."

California Gov. Jerry Brown called the radio ads just "a few tricks from a politician" and will not have any substantive effect. The Sacramento Bee reported that Brown told reporters outside an event in Los Angeles the commercials are unlikely to make a difference because people invest in places where "big things have occurred."

The governor says everyone "with half a brain" is coming to California, home of Apple, Google and Hollywood studios. He says that includes the British, French, Russians and Chinese.

"So Texas," Brown said, "come on over."

Perry often brags about Texas' low taxes, industry-friendly regulations and strict limits on lawsuits. He regularly travels to California to convince companies to move their operations, using a special fund called the Texas Enterprise Fund to close relocation deals.

In recent years, though, lawmakers from both parties have expressed concern that Perry is not using the fund properly. Lawmakers have effectively suspended funding for the program while they re-evaluate it.

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• Rick Perry
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