GO-Biz Committee Approves $70 Million in Tax Credits for 17 Companies Committing to Add Over 2000 Jobs in California
The Governor’s Office of Business and Economic Development (GO-Biz) announced that the California Competes Tax Credit (CCTC) committee approved $70 million in tax credits for 17 companies projected to create 2030 jobs, retain 4,468 existing jobs, and make $468 million worth of new investments across California. View the complete list of approved companies and award amounts.
“The California Competes Tax Credit encourages companies from around the world to locate, expand and add good paying jobs in our state.” said Panorea Avdis, GO-Biz Director and Chair of the California Competes Tax Credit Committee. “This round of recipients includes the largest single tax credit award in the history of the program, one of California’s leaders in aerospace manufacturing, Lockheed Martin. We look forward to all of the companies’ ongoing commitment and investment in California.”
GO-Biz Director and Committee Chair, Panorea Avdis convened the committee, which includes Treasurer John Chiang, Director of the Department of Finance Keely Bosler, and Senate appointee Denise Zapata and Assembly appointee Madeleine Janis, in Sacramento.
A longtime contributor to California’s leadership in the aerospace industry, Lockheed Martin, was awarded $39.5 million tax credit. The company has committed to adding 450 new jobs in addition to retaining over 2400 existing employees in its “Skunk Works” operations in California. While Lockheed has facilities throughout the state, most of the job growth and the $100 million in capital investments will take place in Palmdale, California.
“This award of the California Competes Tax Credit ensures new aircraft development jobs for California to drive continued aviation innovation in the state. Lockheed Martin Skunk Works® appreciates this partnership to create a competitive business environment which will enable our 75-year legacy of creating history-making aircraft here in California to continue,” said Melani Austin, Vice President Skunk Works Palmdale Operations, Lockheed Martin.
“As Chairman of the Assembly Select Committee on Aerospace, I have been working with Lockheed Martin to get them to continue to invest in California and create local jobs,” said Assemblymember Al Muratsuchi. “With this award from the California Competes Tax Credit program, Lockheed will retain and grow 2,750 good-paying jobs for Californians and generate $100 million in investments. I thank Governor Brown and his Office of Business and Economic Development for this major award and for working with me to continue California’s national and global leadership in the aerospace industry.”
In 2013, Governor Brown created the California Competes Tax Credit to focus on helping businesses grow and stay in California. Governor Brown signed legislation in 2018 that extended the program for an additional five years with at least $180 million in tax credits available for allocation to business each year through 2023. Since 2014, GO-Biz has allocated $829 million to 974 companies projected to create 95,139 new jobs and make $17.9 billion in new investments.
The next application period begins on January 2, 2019 with $75 million in tax credits available.
About the California Competes Tax Credit
The California Competes Tax Credit is part of the Governor’s Economic Development Initiative (GEDI) which Governor Brown signed legislation to enact in 2013 (AB 93 and SB 90). 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.
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 much more. For more information visit, www.business.ca.gov.
Back To News