SACRAMENTO – Two bills that will spur job creation, co-authored by state Assembly member Alyson Huber, D-El Dorado Hills, have passed the Legislature and been signed into law by the governor. AB 183 and SB 71 are critical pieces to aiding the state's economic recovery, Huber said.
"I am proud that the Legislature passed AB 183 and SB 71 with strong bipartisan support," she said. "These bills are about jobs, jobs and jobs. By reinvigorating home sales we create jobs and by encouraging businesses to expand in California with green technology we create jobs."
AB 183 will provide $200 million in tax credits for homebuyers — $100 million for those who buy new homes and another $100 million for first-time homebuyers purchasing an existing home. The home must be the buyer's principal residence. The credit will be offered beginning May 1 and will expire on Aug. 31, 2011. By lowering existing housing inventory there will be increased demand for new construction, as well as increased demand for work from contractors to renovate existing homes, Huber pointed out. It is estimated that the first-time homebuyer tax credit will generate a $24.8 billion stimulus.
SB 71 will increase manufacturing jobs in California by allowing for sales tax exemption on green technology manufacturing equipment including products that produce energy from alternative sources such as solar, wind and biomass. This targeted sales tax exemption will not cost the state tax dollars; it will increase revenue by expanding the number of clean technology manufacturing companies with sites in California and create jobs.
"Jobs are what we need for our state to recover from the recession and these bills are important steps in that recovery," said Huber.
Excerpted from www.mtdemocrat.com
Cutting Out Politics...
Connect
