2014 Job Creators
5 Job Creators Become Law in 2014
The Governor signed five job creator bills in 2014:
- AB 1839 (Gatto; D-Los Angeles) – film/television tax credit;
- AB 777 (Muratsuchi; D-Torrance) – spaceflight equipment;
- AB 2389 (Fox; D-Palmdale) – aerospace manufacturing;
- SB 718 (Roth; D-Riverside) – aerospace manufacturing;
- AB 1560 (Quirk-Silva; D-Fullerton) – California Competes Tax Credit Program.
Bills identified as job creators are consistent with the goals in the CalChamber 2014 Solutions for a Strong California, which provide policymakers with a framework to position California competitively to take advantage of the economic recovery.
Economic Development
AB 1645 (Alejo; D-Salinas) Minimum Franchise Tax. Encourages economic growth by eliminating the minimum franchise tax for the first two years of companies that incorporate or do business in California. Held in Assembly Appropriations Committee Suspense File 05/23/14.
AB 2495 (Melendez; R-Lake Elsinore) Minimum Franchise Tax. Encourages economic growth by exempting “qualified businesses” from the minimum franchise tax for the first five years. Held in Assembly Revenue and Taxation Committee Suspense File 05/14/14.
Encourages Investments
AB 1560 (Quirk-Silva; D-Fullerton) Fully Restores Tax Incentive Program. Ensures California is a competitive environment for employer investment by restoring full funding to the California Competes Tax Credit Program. Signed September 17 — Chapter 378, Statutes of 2014. Takes effect immediately.
SB 718 (Roth; D-Riverside) Creates a More Competitive Tax Environment. Encourages new aerospace projects to locate in California by creating a targeted tax incentive tied to the creation of new aerospace manufacturing jobs in the state. Signed August 15 — Chapter 189, Statutes of 2014.Takes effect immediately.
Improved Legal Climate
AB 2079 (Grove; R-Bakersfield) Reduces Frivolous Litigation. Seeks to limit frivolous litigation against employers regarding unintentional errors on wage statements, by allowing an employer 33 days to cure any violation before a civil action is filed. Failed passage in Assembly Labor and Employment Committee, 04/23/14.
AB 2361 (Jones; R-Santee) Protects Businesses from Proposition 65 Lawsuits. Provides needed relief to small businesses by prohibiting a person from bringing a Proposition 65 lawsuit against a business employing fewer than 25 employees. Held in Assembly Environmental Safety and Toxic Materials Committee 04/1/14.
Improved Tax Climate
AB 777 (Muratsuchi; D-Torrance) Creates a Competitive Tax Environment. Ensures that California remains a competitive environment for an emerging multibillion-dollar industry by updating the California tax code to include certain equipment used for spaceflight transportation within the business inventory exemption. Signed April 29 — Chapter 13, Statutes of 2014. Takes effect immediately.
AB 1839 (Gatto; D-Los Angeles) Creates Competitive Tax Environment. Encourages film and television productions to locate or remain in California by extending and expanding the film and television tax credit. Signed September 18 — Chapter 413, Statutes of 2014. Takes effect immediately.
AB 2389 (Fox; D-Palmdale) Creates a More Competitive Tax Environment. Encourages new aerospace projects to locate in California by creating a targeted tax incentive tied to the creation of new aerospace manufacturing jobs in the state. Signed July 10 — Chapter 116, Statutes of 2014. Takes effect immediately.
SB 998 (Knight; R-Palmdale) Creates a Competitive Tax Environment. Encourages the aerospace industry to locate and expand projects in the state by increasing the cap on the sales and use tax exemption for manufacturing equipment used in new aerospace projects. Held in Senate Appropriations Committee Suspense File 08/14/14.
Tourism
SB 1213 (Hueso; D-Logan Heights) Enhanced Driver License. Encourages international trade and tourism by authorizing the Department of Motor Vehicles to issue enhanced driver licenses to U.S. citizens to expedite legal traffic at the border. Senate Transportation and Housing Committee 03/06/14. Failed Deadline.
Workplace Improvements/Training
AB 2095 (Wagner; R-Irvine) Bad Faith Litigation. Seeks to limit frivolous litigation regarding itemized wage statements for alleged technical violations, that have not injured the employee, by awarding attorneys fees to an employer who can prove the litigation was filed in bad faith. Failed passage in Assembly Judiciary Committee, 05/06/14.
AB 2448 (Jones; R-Santee) Flexible Workweek Schedules. Allows an employer and employee to voluntarily agree to individual flexible work schedules, that accommodate both the needs of the employee and reduce overtime costs for employers. Failed passage in Assembly Labor and Employment Committee, 04/23/14.
AB 2688 (Brown; D-San Bernardino) Good Faith Reliance. Before proposed committee amendments, created certainty for employers that they can rely upon and follow the advice received from the Division of Labor Standards Enforcement regarding how to comply with labor and employment law. No Position/Former Job Creator. Assembly Labor and Employment Committee, 04/29/14. Failed Deadline.