Governor Brown Signs Economic Development Bills
Sacramento, CA — Governor Jerry Brown has signed two bills that he says will help grow the state’s economy.
AB 93 and SB 90 were approved with bipartisan support in the legislature. The Governor’s Office reports that they will establish the following:
-Sales Tax Exemption: A statewide sales tax exemption on all manufacturing equipment and research and development equipment purchases for biotech and manufacturing companies.
-Hiring Credits: Hiring credits for businesses in areas with the highest unemployment rate and poverty.
-California Competes Investment Incentives: The opportunity for California businesses to compete for available tax credits based on the number of jobs to be created and retained, wages paid in those jobs and other factors.
“This legislation will help grow our local economy and create good manufacturing jobs,” says Brown. “Though our great university system and through the companies we have, California can build on the strength of intellectual capacity.”
$750 million will go towards Brown’s new economic development initiative, which previously went to the phased out Enterprise Zone program.