My opinion is the opposite of Kevin Cline's. It's not just about money. Even if you raise the amount you'd be willing to pay for a dev, they can still find a place that pays better somewhere else. In fact, if someone decides to work for you because you pay a hefty large sum, it takes only one competitor offering more for you to lose that talent.
I like Meredith's answer best among all the ones so far. There are too many business for to few devs. So a bigger part of the problem is that you are facing some tough competition to get good talents.
Therefore, you have to ask yourself: is your company an Awesome (capital 'A') place to work?
So when you say that you've got an open position that you're having problems filling, then allow me to be blunt: your company sucks. It may be a good place but your region is probably overflowing with better ones.
Ok, so maybe your company doesn't suck. Most probably it is a cool place to work. But that's not the image you are selling.
Do yourself a favor and send your own résumé to other companies around the state. See what they have to offer. Pay special attention to what they have that you don't.
For example, a casual dress code. Devs usually don't have to interface with the client, so there is no need for them to wear a tie. And people absolutely hate having to dress up to work. Most devs in the world now are between 18-35, so this is double true for them. And not having to dress up is such a cool thing that a casual dress code is sold as a perk of the job. Think about it: if people actually liked wearing suits, startups and cool places to work would advertise "we have a formal dress code! Come work dressed as a lawyer with us!". However, what you see in job ads is actually the opposite of that. Only people with large sticks up their asses like formal dress codes, so if your devs don't have to talk to the client directly, drop it.
You may think this is silly, but think about it. If two competing companies in the same street offer the same salary, same working hours, same benefits and all, and the only difference is that in company A you have to dress up and in company B you don't... I would choose B 10 out of 10 times.
Another thing to consider is flexible time. Do you make your guys punch cards? Punch yourself in the face if you do. Only tech support should ever have to work in a fixed time. And even then, if tech support is a large enough team, I say they can organize themselves so that they can have flex too, as long as they compromise to have at least a capable response team during normal work hours.
Pay devs for their productivity, not for being punctual. Just look around. Even here in The Workplace you'll find discussions about this. Flexible time may be just about the most important perk for devs when they go choosing jobs.
Does your office look like a factory? By this I mean, does your staff work in cubicles? This is a major red flag for many people when they first look at where they may have to spend half of their waking time for the foreseeable future. The more your workplace looks like Dilbert's, the deeper in nightsoil you are.
If, on the other hand, you actually think your office environment is nice and friendly, include that in the job ad! You have no idea how much difference a picture of the office can make when you're looking for people. I say this by personal experience. If your office looks like a nice place to be and you include a photo of it in your advertisement, the amount of people sending résumés will be multiplied. I used to give presentations on how to get good talents around here, and I always stressed this point out. Companies have given me feedback on this, with their results. Some places started receiving double the ammount of applications, most got around 4x more, and one place who really had this environment which was lit naturally by day (glass walls), many plants inside, bean bags for those who didn't want to work on a chair etc. got 15x more applicants.
Last but not least... The most important thing in the end of the day is looking at your own current staff. Are they happy to work for you, or are they stressed out? Do they work for you because they find your company worthwhile, or are they working for you just because they feel they are in a career deadend but can't get a better job anywhere else?
People have networks. They talk to their peers. If your guys like their jobs, people will know your company is a good place to work, by word of mouth. But if your staff is unhappy, any effort you undertake into making the company seem like a nice place will have the opposite effect. People will know it's not true.
This is not even close to an exhaustive list - these are just the basics nowaday. If you've got those points covered, then it's time to go up a level and see what perks your competition is offering. Food for thought.