Mark Weber, the newly installed manager of the Coachella Valley EZ is interviewed.  Mark echoes what many legislators and businesses have been saying a lot lately, i.e. “the enterprise zone program is one of the only remaining economic development programs left in the state.”  See the video here.

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Mission Foods is taking advantage of the new Valley EZ by opening up a $50 million facility that will produce 400 new jobs.  Read the San Fernando Valley Business Journal article.

T3 picks the Modesto EZ for its new facility, creating more jobs.

Partnering with the Stanislaus Alliance Worknet and the California Enterprise Zone Administrator have provided major tax incentives for California job creation. Grand opening and ribbon cutting on October 8th at 1:00 pm.

Due to a 37% growth over the last 3 quarters, T3-Direct Marketing, a full service marketing agency, has opened a new contact center, complete with 96 agent workstations, executive offices, customer service and quality control depts.

T3 is now poised to be a major player in the inbound telemarketing space and expects to create over 60 new jobs in the next three quarters that include quality assurance, customer service, order fulfillment and inside sales.The T3 Direct Marketing Call Center is also located in a California Enterprise Zone, which offers substantial tax benefits to companies who create jobs and purchase new equipment. Please see CAEZ.org for more info on major tax advantages. 

Read the full article.

Mayor Villaraigosa stressed the need for LA to become more business friendly.  Specifically, he said he wants more expansions of LA’s Enterprise Zones.

Los Angeles Mayor Antonio Villaraigosa told members of the business community at the United Chambers of Commerce of the San Fernando Valley and Region’s honorary luncheon that he will continue pushing business-related reforms for the remainder of his term.

At the Mayor’s luncheon Sept. 22, Villaraigosa spoke of the recent steps he and his business team has taken to boost the city’s economic climate.

Those included pushing for the expansion of the city’s California Enterprise Zone in and around the San Fernando Valley, passing an ordinance that cuts taxes for local Internet businesses, passing a business tax holiday, and proposing a local preference ordinance, which would give local businesses more leverage in bids for government contracts.

The full San Fernando Valley Business Journal article can be read here.

John Shaffery Chairman, SCV Chamber of Commerce wrote this spirited op-ed piece in today’s Santa Clarita Vally Signal:

Your article about enterprise zones (“In the zone: A local look at the effectiveness of enterprise zones,” August 8, 2010) made a number of good points, but I think it is important to understand more about the importance of this economic tool for businesses – especially those in the Santa Clarita Valley.

To try and assess if enterprise zones are good or bad is the same as saying we’re not sure if a patient will react to an antidote – if you don’t give them the antidote then you can be assured of one thing: the patient will get sick and die.  California businesses have been sick and on life support for a number of years now. Businesses that want to be in California are trying to find every reason to stay here, and the enterprise zone tax credit program is a tool they can use to make their businesses more economically viable.

Let’s look for a moment at the California Legislative Analyst’s office estimate that enterprise zones cost the state $400 million. The CLA does not discuss the other side of this economic equation to determine the number of potential lost jobs if some companies didn’t have this tax credit available.

What if 50 California companies moved to another state that offered similar or more aggressive tax incentives? If each of those companies employed 10 people, that would mean 500 jobs lost in this state. Over a one-year period that may not seem like a lot. However, if you multiply that number by 10 years, you end up with 5,000 jobs going elsewhere.

The point to remember is that these types of tax incentives not only increase hiring, but they also are an incentive to keep companies from leaving. California has one of the most highly taxed, legislated and regulated business climates in the nation, and we can’t continue to think companies will just stay here because of our good weather and nice beaches.

Enterprise-zone tax credits are a vital part of the SCV’s economic engine as well as in 41 other areas across California. Every business owner and taxpayer should demand Sacramento leave the enterprise-zone tax credits alone.

Harbor Gateway is seeking EZ status to attract business and help create jobs for the unemployed.  “It would be a significant benefit to businesses,” said Bill Johnson, manager of the Los Angeles County Economic Redevelopment Division.

Given the current EZ debates, it is critical to highlight the requirements to become an EZ.  As the article states, “To qualify, the area must have a high unemployment rate and a high volume of low-income residents.”  Enterprise Zones are built around areas of high unemployment and low income residents.  Only those areas can even apply for one of the limited number of EZs.  The subsequent business build up directly benefits the less fortunate.   Union leaders now characterize the EZ program as a tax loophole, even though the EZ program directly benefits the workers the unions claim to defend.

The full article can be read here.

While the anti EZ academicians spew about the inefficacy of the program, they ignore the plain reality that businesses do rely on the EZ program to expand their businesses.  Empirical evidence alone will never provide the full picture.  This is particularly so here where the empirical data is being questioned.  Couple that with the mounds of strong anecdotal evidence that has come to light recently clearly shows that the EZ program provide a significant benefit to California businesses.  When these businesses grow, or decide not to move out of state, California’s employee win as does the government with increased revenue and better job projections.  An article in this weekend’s Santa Clarita Valley Signal is illustrative.

The enterprise-zone tax credits have played a key role in the business’ growth over the past two years, [DME Direct ]owner Andrew Everett said.
“We started this business from our house,” Everett said. “The purchase of our warehouse was directly related to the fact that it was in the enterprise zone.”
Because of the credits, “we can employ more people and grow our business,” Everett said, adding that the tax savings translated to five new employees over the past two years.

 The full article can be read here.

Hildy Carrillo, executive director of the Calexico Chamber of Commerce wrote an op-ed piece today in the Imperial Valley News about the great benefits of the EZ program and urged its continued existence especially in light of the current economic conditions.  The entire piece can be read here.

The Desert Sun reported on Mark Weber move into the Coachella Valley EZ manager.   Mark, who replaces Hal Joseph, seems to have significant expertise that should hopefully give him the tools he needs to lead the zone.  The full article can be read here.

The National City Chamber of Commerce issued its official stand in favor of California’s Enterprise Zone program.  The complete letter from Pres/CEO Jaqueline Reynoso can be viewed here.