From the blog

Opposition to California Senate Bill 974

We know many of you are concerned about Senate Bill 974; we are too.  Here is a letter we drafted to Assemblymember Manuel Perez in effort to voice or opposition.


The Honorable Manuel Perez
45-677 Oasis St.
Indio, CA. 92201
RE: SB 974 – Oppose

Dear Assemblymember Manuel Perez:

On behalf of The Coachella Valley Enterprise Zone I’m writing to express my opposition to Senate Bill 974. While it’s a laudable goal to support and provide high school students with a potential future through career technical education pathways, this bill will effectively eliminate the Enterprise Zone program to accomplish this goal and cause irreparable harm to The Coachella Valley’s future economic competitiveness.

Of great concern is that SB 974 will eliminate the Targeted Employment Area (TEA) from the list of eligible criteria for the Enterprise Zone hiring credit. Elimination of the TEA specifically targets the residents of low-income neighborhoods, with some of the highest levels of unemployment, poverty rates and crime in California and eliminates an important incentive for employers to remain in these communities and hire employees who face significant barriers to employment. Additionally, SB 974 will also eliminate retroactive vouchering, which will have a crushing impact on the attractiveness of the area to new businesses.

Over the last three years I have had the job of being property manager for a group of investors/developers who own and operate several commercial buildings in the Coachella Valley Enterprise Zone and I have witnessed the economic downturn by counting the small businesses who are my tenants shut their doors. So my job is to bring business to the Coachella Valley, albeit specific buildings in Indio. I am now seeing the beginnings of the economy turn around, building permits are being issued, contractors at the first stages of building are seeing more requests for bids, personally I am seeing less vacancy and more rents paid on time.

SB 974 will not have the effect desired and will only eliminate one of the best reasons to choose this area for starting a new business or locating a large business within the Coachella Valley. SB 974 will cripple the Enterprise Zones attractiveness to business effectively making it no better than any other location. There are a lot of reasons businesses choose other states to do business in (minimum wage, environmental concerns, taxes, etc.) don’t eliminate one of the only reasons a large company would consider having facilities in California. Thank you for your time and attention and please stop SB 974.


Rodney Chalmers
The Chank Group

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