In Case You Missed It: Sacramento Metro Chamber Editorial Argues in Favor of Enterprise Zone Program

Sacramento Metro Chamber’s Matthew Mahood supports Enterprise Zone program, saying it increases employment and competitiveness

(Sacramento, CA)—The Sacramento Metro Chamber has joined a list of more than 300 elected officials, business advocates and companies in support of California’s successful Enterprise Zone program.

Sacramento Bee: Another View: Enterprise zones create jobs, help us compete

By Matthew Mahood

As a member of the economic development community, the Sacramento Metro Chamber believes discussion about productivity of enterprise zones should be balanced and informative, rather than taking the face of political rhetoric.

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First, a $37,000 hiring tax credit is available to companies for selected applicants from historically disadvantaged groups seeking employment, including those on public assistance programs, located in areas of high poverty, and veterans, to name a few. In most cases, this is only a small portion of the employer’s total work force but provides encouragement to choose employees from these groups. In addition, the $37,000 benefit is spread out over five years of employment and is the maximum allowable.

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…economic development professionals throughout the state utilize this incentive to bring employers to the Sacramento region and California at a time when creating jobs is truly the only long-term solution to our current economic dilemma. If the enterprise zones go away, it will be one less tool to attract jobs.

Let’s look at local success of enterprise zones that helped convert former shuttered military bases into thriving industrial and commercial parks, such as the former McClellan, Mather and Sacramento Army military bases. More than 13,000 jobs vanished – a $1.5 billion loss to the region’s economy – when just McClellan closed in 2001. But since then, enterprise zone incentives helped attract 240 companies employing nearly 15,000 employees there.

Read the entire article here: http://www.sacbee.com/2011/02/27/3431869/enterprise-zones-create-jobs-help.html#ixzz1FHOWDEeX