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Published on May 22nd, 2012 | by RLn Staff

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Mayor Comes to Town to Celebrate State Enterprise Designation

On May 23, Mayor Antonio Vilaraigosa will visit  the new Harbor BusinessSource Center for a collect fist pump celebrating the Harbor Gateway’s designation as an State Enterprise Zone (SEZ). As of May 1, state tax credits and deductions and city business incentives will be available to Harbor Area businesses. 

Incentives include a 35 percent Department of Water and Power electric rate discount for new businesses; a state tax credit worth up to $37,400 within five years for hiring local or disadvantaged workers; and a credit for 100 percent of sales and use taxes for purchasing qualified machinery and electronic devices. The purpose of the Enterprise Zone is to stimulate the local economy, and put local residents to work.

This past year, Gov. Jerry Brown called for repealing the State Enterprise Zones believing that $500 million per annum investment bought meager returns. Though the Enterprise Zones weren’t a part of the governor’s budget proposal for this fiscal year, the California Association of Enterprise Zones has been working with the Department of Housing and Community Development and the governor’s office to reform the popular program.

The enterprise zone covers portions of San Pedro, Harbor City, Wilmington, and Harbor Gateway and offers tax credits and deductions including a 35 percent DWP electric rate discount for new businesses and a State tax credit worth up to $37,400 over five years for hiring local or disadvantaged workers.

The mayor Antonio, Congresswoman Janice Hahn, Councilman Joe Buscaino, Executive Director of Managed Career Solutions, Inc.  Dr. Philip Starr, Chairman and CEO of Advanced Algae Dale Hinkens,  Massey’s House of Flowers owner Lupe Massey, and S.A. Recycling owner Terry Adams will be in attendance.

 

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