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Los Angeles Daily News: Let a Thousand Silicon Valleys Bloom

This February, Gov. Gavin Newsom signed legislation (Senate Bill 113) that expands business tax credits, including an estimated $5.5 billion for research and development (R&D) and early deductions for net operating losses. In addition, the Governor’s 2022-23 budget proposal would expand the state’s existing R&D credit to include $250 million over the next two years for companies headquartered in California and working on climate change mitigation, $100 million per year for three years for businesses developing green energy technologies, and additional assistance for small businesses.

California is working hard to support, attract, and grow businesses, particularly those focused on environmentally-friendly technology. This is a very welcome effort,  coming on the heels of the departures of companies old (e.g., Oracle, HPE) and new (e.g., StitchFix, Tanium) that are leaving California in search of lower-cost states, and several California-grown companies (Apple, Google, Tesla) that have chosen to expand their operations in Texas and North Carolina.

Read the full OpEd here.