The legislation — AB 93 and SB 90 — establishes the Governor’s Economic Development Initiative.
According to a statement from Brown’s office, the legislation offers a statewide sales tax exemption on manufacturing equipment or research and development equipment purchases for biotech and manufacturing companies.
It also offers hiring credits for businesses in areas with the highest unemployment rate and poverty, and allows California businesses to compete for available tax credits based on the number of jobs to be created and retained, wages paid for those jobs, and other factors.
The new initiative is to be funded by redirecting around $750 million annually from the defunct Enterprise Zone program.
Brown is scheduled to sign the legislation at 11:30 a.m. at Takeda California, a La Jolla-area pharmaceutical company.