The Monterey County Herald had an article outlining the number of new jobs created through the Salinas Valley EZ.  The full article can be read here.

Many different financial programs make big promises but fail to deliver, however the Enterprise Zone offers local businesses with true incentives to help offset expenses. The Salinas Valley enterprise zone is proving this concept with its latest announcement that Salinas Valley businesses have received approximately $1 million dollars in tax credits.

The TV station, KION, reported the announcement and gave the following report on the program, “The main purpose of an enterprise zone is job creation; businesses can get more than $37,000 in tax credits for every person hired. Also, lenders may be able to receive a deduction on their net interest and companies can also increase their ability to gain state contracts.”

It appears that the city of Salinas is going to get a boost from Green Vehicles, a San Jose electric car manufacturer. Despite being known up until this point primarily for its agricultural development, Salinas is now starting to branch out into additional industries.

The plant is scheduled to open in Salinas sometime at the beginning of 2010. Green Vehicles will take fill the 80,000 square foot facility previously occupied by Firestone Tire and Rubber Co.

I have not yet heard directly from Green Vehicles on the company’s reasons for creating operations in Salinas, however the Salinas Valley’s Enterprise Zone designation most likely played a strong role in the decision making process. With numerous tax benefits supplied by the EZ program, Green Vehicles is sure to be rewarded with state tax savings for their location decision.

Salinas Valley is moving forward with the city’s Enterprise Zone efforts.  From increasing employment opportunities to making the region more attractive to large businesses, the EZ program can help make the entire process as efficient as possible.

Andrew Myrick, the Salinas Valley Enterprise Zone manager wrote the following:

Professor Charles Swenson from the University of Southern California Marshall School of Business confirms that enterprise zones work. His research found that California’s enterprise zone program decreases unemployment rates, boosts wage, salary and household incomes and decreases poverty rates. Another study by the California Department of Housing and Community Development found that poverty rates and unemployment declined and incomes increased more in enterprise zones than in the rest of the state.