In the United States (US), the Governor’s Office of Business and Economic Development (GO-Biz) in the State of California has announced US$120 million in California Competes (CalCompetes) grant awards that are projected to create over 7 600 new, full-time jobs in California and bring over US$3.3 billion in new investments to the state over the next five years.
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 US$180 million in tax credits available for allocation to businesses each year through 2023.
In addition, GO-Biz announced US$66.4 million in tax credits that are projected to create more than 3 992 new, full-time jobs in California.
These awards will bring more than US$645 million in new investments to the state over the next five years.
Together, the two programs account for the most jobs ever committed to California during one CalCompetes application period.
CalCompetes plays a pivotal role in attracting and retaining startups and established companies alike, who in turn create good-paying jobs and increased economic opportunity for California workers.
This was the first time we were able to offer grants as part of the CalCompetes program, and it was a huge success, resulting in the highest job commitment total for any single CalCompetes application period in the program’s history. This one-time, US$120 million grant program received more than US$3.4 billion in requests, showing beyond a doubt that companies want to invest, grow and create jobs in California. And the incentives that CalCompetes provides are a great deal for taxpayers, bringing family-supporting jobs and investment to our state that would otherwise go someplace else, said Dee Dee Myers, Senior Advisor to Governor Newsom and Director of GO-Biz.
Awardees include Hawthorne-based electric aircraft manufacturer, Ampaire, Inc., Universal Hydrogen Co., which is developing technology to replace standard aircraft fuel with hydrogen systems, and La Jolla’s Viridos, Inc. which is using their award to open a pilot biofuel manufacturing facility in Imperial County’s Calipatria that will make environmentally friendly, low-emission fuel from algae.
California has always been at the forefront of green technology development. We are thrilled that businesses like Ampaire, Universal Hydrogen, and Viridos have chosen California for these vital projects that will help California meet its carbon reduction goals and mitigate the extreme impacts of climate change. We especially appreciate supporting companies like Viridos that choose to invest in areas such as Imperial County that have suffered too long from chronically high unemployment and poverty levels, said Scott Dosick, Deputy Director for CalCompetes.
Viridos is committed to working with the heavy transportation sector to reduce its climate impact. We are honored to receive this grant from Governor Newsom and California Competes, which will enable Viridos to continue our mission of bringing low-carbon, algae-based sustainable aviation fuel, and renewable diesel to the transportation marketplace. We are proud of our continued commitment to keeping California as our base and our continued legacy of bringing high-quality jobs to the Imperial Valley, said Oliver Fetzer, CEO of Viridos.
