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View Full Version : Cali ends 30year failed experiment program meant to encourage hiring in depressed areas




aGameOfThrones
07-11-2013, 10:43 PM
SAN DIEGO (Reuters) - California Governor Jerry Brown signed legislation on Thursday that phases out the state's nearly three-decade experiment with a program meant to encourage hiring in depressed areas, replacing it with new incentives that Brown promoted as an answer to aggressive efforts by Texas to lure away businesses.

The enterprise zone program, established in 1984, offered tax incentives to businesses in a bid to revitalize depressed areas.

But critics said it never produced promised payroll gains while giving businesses tax credits currently estimated at about $750 million. Critics also complained that some cities created enterprise zones in already busy areas, such as San Francisco's downtown financial district.

Both labor and business backed ending the program.

At a signing ceremony in San Diego at Takeda Pharmaceutical Company Limited's California subsidiary, Brown said the legislation would stop the "gaming of the state law by companies that rip off California taxpayers."

The new incentives signed into law include credits to businesses that hire workers in specific areas with high unemployment and poverty levels, and a tax break the state's manufacturers have long urged.

"Texas, watch out. California has some new tools," Brown said, jabbing at Texas Governor Rick Perry, who has tried to lure businesses away from California.

http://news.yahoo.com/california-bids-goodbye-failed-program-boost-depressed-areas-225640810.html

Lafayette
07-11-2013, 11:02 PM
Brown said the legislation would stop the "gaming of the state law by companies that rip off California taxpayers."

Says the head of the state wide cartel who's sole purpose is to rip off California Taxpayers