CVV News l April 27, 2024
SACRAMENTO – As part of the California Jobs First initiative, Governor Gavin Newsom today announced that the state has awarded $120 million in tax credits to eight innovative companies. It will generate more than 2,100 full-time jobs with an average annual salary of over $100,000 and bring in an estimated $15.5 billion in private investment over the next five years.
The funding, from the Governor’s Office of Business and Economic Development’s (GO-Biz) California Competes program, is going to companies expanding their operations in California and supporting the type of cutting-edge industries that are the hallmark of the Golden State.
“California Competes continues to be a critical program within the California Jobs First portfolio that attracts and retains businesses, who in turn create family-supporting jobs and economic opportunity for workers across our state,” said Dee Dee Myers, Senior Advisor to Governor Newsom and Director of GO-Biz. “We’re excited to build on the success of this program, investing in companies that are building the industries of today and tomorrow.”
🔋SECURING THE EV BATTERY SUPPLY CHAIN
Lithium Valley is on track to become one of the world’s largest sources of lithium, the essential material for EV batteries – positioning California to be a global hub for battery production and a leader in securing a clean energy future.
Controlled Thermal Resources received a $30 million tax credit to help construct a facility near the Salton Sea to sustainably extract lithium and other critical minerals from geothermal brine in Imperial County.
In exchange for this tax credit, the company is expected to make capital investments of more than $14.7 billion and create nearly 450 new, full-time jobs in Calipatria and Imperial.
⛏️ CONSTRUCTING THE STATE’S FIRST STEEL MILL IN OVER 50 YEARS
Pacific Steel, which is poised to construct the first steel mill in California in more than 50 years, received a $30 million tax credit to hire employees and invest in manufacturing equipment as part of its expansion in Kern County.
In exchange for this tax credit, the company is expected to make capital investments of more than $540 million and create nearly 450 new jobs.
⚡DEVELOPING NEXT-GENERATION ENERGY STORAGE SYSTEMS
Two California businesses will be advancing their efforts to design and manufacture battery energy storage systems – a technology that is critical to ensuring the state meets its world-leading climate goals.
Moxion Power, which develops mobile energy storage products and technologies that accelerate last-mile electrification, received a $25 million tax credit to expand its manufacturing capabilities in both Richmond and Los Angeles.
Paired Power, a commercial solar and battery energy storage system manufacturer, received a $3.5 million tax credit to expand its operations in Campbell as well as the Central Valley.
Collectively, these two companies will make nearly $130 million in capital investments and create more than 540 new, full-time jobs across California.
🚗DESIGNING THE ELECTRIC MOTORS OF THE FUTURE
Tau Motors received a $7 million tax credit to further its R&D capabilities in Redwood City as it continues to partner with leading automakers, suppliers, and industry to rapidly design and deploy advanced technologies across a wide range of platforms and powertrains. In exchange, they will create more than 150 new jobs and invest nearly $60 million.
BIOTECH AND MORE
- MicroVention, based in Aliso Viejo, will use their award to further develop, manufacture and market medical technology products focused on the treatment of neurovascular diseases and cerebral aneurysms.
- Elve, headquartered in Davis, will use their award to expand manufacturing capacity for wireless communication networks.
Last month, Governor Newsom announced the creation of the California Jobs First Council focused on streamlining the state’s economic and workforce development programs to create more jobs, faster – including through the California Competes program.
The California Competes Tax Credit was created in 2013 to help businesses grow and stay in California. In 2022, the program was extended for an additional five years with at least $180 million in tax credits available for allocation to businesses each year through 2028. To date, California Competes has awarded tax credits to nearly 1,200 businesses, creating more than 158,000 jobs, and resulting in $50.5 billion of private investment in the state.
California’s economy is the 5th largest economy in the world. California, which has the most equitable tax system in the entire country, is #1 in the nation for new business starts, #1 for access to venture capital funding, and the #1 state for tourism spending, manufacturing, high-tech, and agriculture.
California Jobs First: State Launches First-of-its-Kind Council to Create Thousands of More Jobs Across All Regions
CVV News l March 08, 2024
Governor Newsom announced the creation of a new state council focused on creating jobs and the awarding of $182 million in grants to jumpstart the Governor’s Regional Investment Initiative to accelerate economic and workforce projects throughout the state.
SACRAMENTO – Governor Gavin Newsom today announced the creation of the California Jobs First Council and operational plan focused on streamlining the state’s economic and workforce development programs to create more jobs, faster. The Council and operational plan will guide the state’s investments in economic and workforce development to create more family-supporting jobs and prioritize industry sectors for future growth.
WHAT GOVERNOR NEWSOM SAID: “California has created more opportunities, more jobs, and more businesses than any other state, but we need to ensure that we’re all moving forward together. Through this new council and these investments, we’re aligning all of our economic resources to create more jobs, faster for Californians in every community.”
STATEWIDE ALIGNMENT ON TRAINING CALIFORNIANS FOR FAMILY-SUSTAINING JOBS
Co-chaired by Dee Dee Myers, Senior Advisor to Governor Newsom and Director of the Governor’s Office of Business & Economic Development, and Stewart Knox, Secretary of Labor & Workforce Development, the California Jobs First Council will bring together various state entities, including:
Director of the Governor’s Office of Planning & Research: promoting alignment with General Plan guidelines and land use policies
Secretary of the California Natural Resources Agency: representing nature-based solutions and clean energy industries
Secretary of the California Department of Food and Agriculture: representing the agriculture industry
Secretary of the California Environmental Protection Agency: representing the circular economy
Secretary of the California Health & Human Services Agency: representing the healthcare industry and promoting jobs for disabled and disadvantaged workers
Secretary of the California Department of Veterans Affairs: representing the more than 1.6 million former service members that reside in the state
President of the Public Utilities Commission: representing opportunities to advance California’s clean energy workforce of the future and economic opportunities for communities
“The California Jobs First Council is another piece of the puzzle in the Governor’s pursuit of creating a California For All,” said Dee Dee Myers, Senior Advisor to Governor Newsom and Director of the Governor’s Office of Business & Economic Development. “I am looking forward to working with my colleagues to align strategic investments that further economic growth and job creation in every region of California.”
The Council will coordinate the development of a statewide industrial strategy that includes a statewide economic snapshot and identification of priority sectors, a statewide projects portfolio, a business expansion, attraction, and retention strategy, and a workforce development strategy. The California Jobs First Council will also support the regional Jobs First Collaboratives to expand industry and create jobs locally.
The California Jobs First Council is an integral component of California’s broader strategy to prepare students and workers for high-paying careers. The Council will work alongside the Council for Career Education and in line with the Governor’s 2023 Executive Order that directed the creation of a Master Plan for Career Education to ensure that Californians have career pathways, develop the skills and find even more opportunities to be full beneficiaries of our state’s economy.
The Master Plan is largely aimed at aligning and simplifying the K-12, university, and workforce systems in California to support greater access to career education and jobs for all Californians. In connection with the Master Plan for Career Education, the Jobs First Operational Plan will highlight the ways in which workforce development can and should be a tool used by the State and the regional Jobs First Collaboratives to help Californians, particularly the most disinvested communities, in meeting the specific skillset needs of the State’s and our regions’ priority industry sectors.
$182 MILLION TO CREATE JOBS IN EVERY REGION OF THE STATE
In 2021, Governor Newsom launched the $600 million Regional Investment Initiative (formerly the Community Economic Resilience Fund, or CERF) to create high-quality, accessible jobs and help build resilience to the effects of climate change and other global disruptions impacting the state’s diverse regional economies. This investment has supported the creation of Jobs First Collaboratives in each of the state’s 13 economic regions, with representation from a wide variety of community partners including labor, business, local government, education, environmental justice, community organizations and more. These Collaboratives are in the process of developing roadmaps, including a strategy and recommended series of investments, for their respective regions.
Today, Governor Newsom announced that the state has awarded $14 million to each of the 13 Jobs First Collaboratives – $182 million total – to invest in sector-specific pre-development activities, enabling regions to take projects from exploratory and last-mile to ready-to-go projects that can access local, state, and federal funds, as well as private and philanthropic investments. The 13 Jobs First Collaboratives cover every region of the state: North State, Capitol, Redwood Region, Bay Area, North San Joaquin Valley, Eastern Sierra, Central San Joaquin Valley, Orange County, Los Angeles County, Kern County, Central Coast, Inland Southern California, and the Southern Border.
“California Jobs First represents a very intentional, inclusive approach to economic and workforce development,” said Stewart Knox, Secretary of the California Labor & Workforce Development Agency. “By maximizing state resources and investments, the state is empowering communities to chart their own futures in a manner that is inclusive and equitable.”
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