Illinois did something similar with what it called the "Mainstreet Fairness Act" in March [1]. Illinois, as you may know, was rated as the worst state in the country for debt last year [2]. These states would rather chase after more revenues (and chase companies out of their states in the process) rather than have to do the hard work of actually cutting spending.

[1] http://articles.chicagotribune.com/2011-03-10/business/ct-bi...

[2] http://www.forbes.com/lists/2010/44/debt-10_Global-Debt-Cris...