On Monday, June 29 the Governor’s Office of Business and Economic Development (GO-Biz) announced that the California Competes Tax Credit (CCTC) Committee approved $73,542,333 million in tax credits for 22 companies projected to create 5,938 new, full-time jobs in California. That will bring $434,933,475 in new investments across the state.
In response to Governor Newsom’s executive order authorizing public bodies to take necessary action to protect the public from the spread of Coronavirus (COVID-19), the CCTC Committee meeting was live-streamed and open to the public on Zoom.
“As California works to safely recover from the COVID-19 induced recession, this tax credit program continues to be a model for both accountability and transparency. What we see today is 22 companies not only choosing California, but choosing Californians,” said Chris Dombrowski, GO-Biz Acting Director, and Chair of the California Competes Tax Credit Committee. “We are innovators at heart and so is our economy and we will continue to invest in companies that look to build the future here in California.”
Of the more than $73 million tax credits awarded in this round, nearly $18.2 million will go to nine businesses adding high-quality manufacturing jobs to the state, a national leader in manufacturing. Early in the stay-at-home order, Governor Newsom deemed manufacturing to be an essential function of California’s economy.
Since 2014, GO-Biz has allocated $1,191,520,450 to 1,085 companies projected to create 117,509 new jobs and make $23,993,957,741 in new investments.
Dombrowski convened the committee, which includes Treasurer Fiona Ma, Director of the Department of Finance Keely Bosler, Senate Appointee Todd Walters, and Assembly appointee Madeleine Janis, in Sacramento.
The California Competes Tax Credit was created in 2013 to focus on helping businesses grow and stay in California. GO-Biz evaluates the most competitive applications based on the factors required by statute, including total jobs created, total investment, average wage, economic impact, strategic importance and more. In 2018, the program was extended for an additional five years with at least $180 million in tax credits available for allocation to business each year through 2023.
The Governor’s Office of Business and Economic Development (GO-Biz) serves as the State of California’s leader for job growth and economic development efforts. GO-Biz offers a range of services to business owners including: attraction, retention and expansion services, site selection, permit streamlining, clearing of regulatory hurdles, small business assistance, international trade development, assistance with state government, and more. For additional information, visit www.business.ca.gov.