James Storm is no longer working for Impact Wrestling because they don't seem to be able to afford it.
According to the Wrestling Observer Newsletter, James Storm was making around $150,000 to $200,000 per year. That isn't a big number by normal wrestling contract standards, but at this point the company can't afford those kinds of numbers anymore.
There was also a note in the Observer about this year's Impact Hall of Fame. There wasn't anyone named this year, unlike in the last few years where they've named someone. Before Jeff Jarrett was expelled from Impact, the idea was to either induct Jerry Jarrett, his father, who was a co-founder of Impact Wrestling's original incarnation, or Mike Tenay. They said that Tenay "wasn't happening either way" and that once Jeff Jarrett had left the company, the idea of inducting Jerry Jarrett was dropped.
Despite speculation, the Observer notes that James Storm wasn't considered to be an inductee into their Hall of Fame. He will be written out of the promotion's storylines after losing a career vs. career match against American Top Team's Dan Lambert, who won after a ton of interference from his group. He thanked Jeff Jarrett, Dixie Carter and Bob Ryder following the loss.