Citywide Comprehensive Jobs Plan Approved by Council
Posted by Councilmember Englander on October 28, 2016 at 1:33 PM
For the longest time, the City of Los Angeles has been known as the most unfriendly city for businesses. Due to the gross receipts business tax, the complexity of doing business in the City, high minimum wage and abundant regulation. The Citywide Comprehensive Jobs Plan aims to signal to the region and world that the City of LA is Open for Business.
As a former small business owner, I know first-hand the red tape businesses have to wade through just to establish themselves. Additionally, the elimination of Enterprise Zones by the State removed a valuable incentive to local hiring. In addition to removing many impediments to creating local jobs, the plan seeks to define "local" as within the City of Los Angeles, rather than the current LA County region.
The plan establishes Jobs and Economic Development Incentive (JEDI) zones, which will help key sectors in our economy like the biotech/biomed industry, grow in Los Angeles. The biotech industry is the fastest growing industry in California but has had the slowest growth in Los Angeles. We graduate 5,000 students in the biotechnical field of study annually, but only about 300 stay in Los Angeles, while the other 4,700 move to San Francisco or San Diego.
Helping businesses grow in Los Angeles has been a core mission for me. As you are aware, last year, I submitted a motion seeking to eliminate business tax for biotechnical/biomedical/bioscience firms. The JEDI zone will help to provide incentives to grow and maintain this industry, right here in the Twelfth District.
For other business-friendly legislation, see the business tax holiday extension and the elimination of gross receipts tax for new car dealerships.
I would like to thank my colleague, Councilmember Paul Krekorian and his staff, for all of their hard work involving this issue.