California Awards $150 million in Tax Credits Projected to Create More Than 7,600 Jobs
Sacramento, CA – The Governor’s Office of Business and Economic Development (GO-Biz) today announced $150 million in tax credits that are projected to create more than 7,600 new, full-time jobs in California. The funding, from the California Competes (CalCompetes) Tax Credit program will bring more than $1.2 billion in new investments across the state over the next 5 years. CalCompetes plays a pivotal role in helping innovative startups to grow to scale and to choose California for their long-term home.
“California Competes is an important program that attracts and retains employers, who in turn create good-paying jobs and economic opportunity for California workers.” said Dee Dee Myers, Senior Advisor to Governor Newsom and Director of GO-Biz. “These tax credits will incentivize the creation of thousands of new, quality full-time jobs and much-needed investment across our state.”
Infinity Energy Inc., of Fresno, received a $2.5 million credit to establish a manufacturing facility in Fresno for solar powered electric vehicle charging stations that will entail the creation of 209 new, full-time jobs. In exchange for a $25 million credit, EnerVenue, Inc. of Fremont, will be creating at least 1,692 full-time jobs to develop and manufacture super high-capacity nickel hydrogen batteries. These batteries could be used by large venues such as hospitals to keep electricity flowing during power outages. The batteries also can store large amounts of solar or wind-generate electricity to enable homes, businesses, and other venues to rely 100% on green, sustainable energy even when the sun isn’t shining, or the wind isn’t blowing.
“Companies like EnerVenue are the epitome of the California entrepreneurial spirt” said California Governor Gavin Newsom. “Starting as a Stanford University incubator, EnerVenue will play a pivotal role in helping California achieve its zero-carbon emission goals.”
VinFast, a Vietnamese EV manufacturer, received a $20,500,000 credit to establish its United States headquarters in California. It will make over $200 million in capital investments and create at least 1065 new full-time jobs.
“VinFast is planning to bring its all-electric SUVs to the US next year – and we wanted to make sure that it chose California for its US headquarters,” said CalCompetes Deputy Director, Scott Dosick. “The CalCompetes Tax Credit is one of California’s greatest tools for recruiting businesses to California when they are being actively courted by numerous states. We are proud that VinFast will call California home.”
“VinFast was established to bring affordable luxury electric vehicles to the U.S. market, and we are already building a world class corporate team in the US center of advanced transportation and smart technology,” said VinFast US CEO Van Anh Nguyen. “We greatly appreciate the support of the State of California as we prepare to launch a brand that will significantly increase EV adoption worldwide and help California and the U.S. meet important environmental goals.
The complete list of approved companies and award amounts is available online.
The California Competes Tax Credit was created in 2013 to focus on helping businesses grow and stay in California. GO-Biz evaluates the most competitive applications based on the factors required by statute, including total jobs created, total investment, average wage, economic impact, strategic importance and more. In 2018, the program was extended for an additional five years with at least $180 million in tax credits available for allocation to business each year through 2023.
The Governor’s Office of Business and Economic Development (GO-Biz) serves as the State of California’s leader for job growth and economic development efforts. GO-Biz offers a range of services to business owners including: attraction, retention and expansion services, site selection, permit streamlining, clearing of regulatory hurdles, small business assistance, international trade development, assistance with state government, and much more. For more information visit the GO-Biz website.
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