[This piece is the third of a four part series on taxes, jobs, and income that includes, in order of posting, 'The Administration Discovers Shortage of Engineers', 'Higher Tax Rates = Lower Revenues', 'More Green Companies Heading for Greener Pastures', 'Employment and Income Inequality'.]
The left controlled lamestream has long touted the spawn of California’s AB32 as being the salvation of an economic new age for the state. Well, as some of the shouted down voices attempted to inform the public (RR being one), not only has the heralded venture capital pulled out, but now we have the green companies themselves doing everything they can to minimize their California footprint. They are either relocating, or expanding their subsidized operations in friendlier climes. Consider the following from Kurt Brower’s Marketwatch Blog
1. Aptera Motors:
…the North County Times reported that Aptera, “which once had big plans to hire thousands to design and manufacture ultra-efficient cars in Oceanside, is trimming costs by moving its headquarters to Carlsbad while it searches for a factory in the auto-rich region east of the Mississippi River. ‘We are really scrutinizing our business,’ said Paul B. Wilbur, president and chief executive of Aptera Motors …. Wilbur said Aptera is likely to end up in a factory east of the Mississippi River …. Wilbur had previously said that Aptera would eventually employ 2,500 people. He also said 10,000 jobs would be created indirectly for component suppliers, retailers and other companies involved with Aptera. Source: North County Times story, May 17, 2011, “Manufacturing: Aptera to move headquarters to Carlsbad, place car factory out of state.”
2. Calisolar Inc.
…Calisolar Inc., a “green” company, is making a $750 million investment in Ontario, Ohio… Construction is expected to begin by October at a former General Motors plant. The Bucyrus Telegraph Forum reported that the company “would create 831 full-time positions at an average wage of $45,000, generating $37.3 million in annual payroll” with priority given to hiring local workers. Also, “About 1,000 construction jobs will be needed to ready the former GM plant” that will “marry an industrial process into a green energy solar sector .… Source: Bucyrus Telegraph Forum April 6, 2011 story “Calisolar in final stages of talks for Ontario site.”
3. Fallbrook Technologies Inc.
…The Austin American-Statesman reports that Fallbrook Technologies Inc., a company offering “green” technology improvements, which “has run its operations division from Cedar Park since 2002 , would agree to spend $5.5 million on a larger corporate operations center that would add at least 65 jobs by 2013 …. The company would use it for light manufacturing, engineering development and testing …. Fallbrook currently employs 60 people in Cedar Park …. the company will agree to maintain a combined payroll of $9.5 million by 2019 …. the company has two facilities in Cedar Park, one housing a test lab and a second for design engineers, both of which it has outgrown. “They’re both extremely crowded,” said a company spokesman. “We’re hiring people every month and we’re wondering where we’re going to put them.” Source: Austin American-Statesman, May 25, 2011 story, “Cedar Park to weigh $1.68 million incentive package for Fallbrook Technologies.”
4. Sharp — Solar Energy Solutions Group
…According to The Columbian, this “green” group will relocate from Sharp’s western regional office in Huntington Beach to its campus in Washington State…. Sharp Corp. is one of the world’s leading manufacturers of solar cells and has been mass producing solar cells since 1963. It produces solar cells at two factories in Japan, and uses the cells to manufacture solar modules in five factories around the world, including one in Tennessee. Its website says the company created the world’s first solar-powered calculator and that its products power more homes and businesses than any other manufacturer.” Source: The Columbian, June 10, 2011 story, “Sharp Solar to move to Camas.”
5. WindStream Technologies, Inc.
…The company created small wind turbines designed for residential energy use, and Bates said WindStream is on pace to produce more than 40,000 units in three years …. New Albany could benefit from the 105 new positions WindStream plans to add …. A California native, Bates said several states vied for WindStream when the company launched. Source: New Albany News and Tribune, June 6, 2011 story, “Vote on Windstream loan likely to be tabled by New Albany council.” Additional Information: The New Albany News and Tribune reported earlier WindStream Technologies, Inc. will develop a multi-million dollar investment production facility in the New Albany and Purdue Research Park of Southern Indiana … by 2012. “The company — currently located in California — manufacturers wind turbines called TurboMills.” Source: New Albany News and Tribune, Nov. 23, 2009 story, “WindStream Technologies bringing 260 jobs to Purdue Research Park in New Albany by 2012″
And your Lucky Strike Extra is that California companies’ bums rush for the exits has now become a gallop. Today there are thriving companies consulting to the state’s businesses wishing to relocate elsewhere – talk about a hot sunset industry that you might want to get into. The exit rate today has grown to five times the 2009 rate, and it is still increasing as reported by The Business Relocation Coach.
Meanwhile, as these pages witness, the progressives are all arguing for raising more income tax from the state’s ‘rich’ who already account for about 70% of state revenues. Anyone have any idea when the left will get a clue?
(H/T to RR reader for the latest heads-up.)