By BF Editors
From the July / August 2024 Issue
Opportunities available to California businesses are as vast and varied as the state itself. The third largest U.S. state by area and home of the fifth largest economy in the world, the Golden State’s diversified economy and access to domestic and global supply chains and markets provide advantages for many industries.
According to the April 2024 International Monetary Fund’s (IMF) World Economic Outlook, California’s nominal GDP was nearly $3.9 trillion in 2023 with a growth rate of 6.1% since the year prior, according to the U.S. Bureau of Economic Analysis (BEA). Meanwhile job growth has been steady with 28,300 jobs added in March—the state’s seventh job gain in the last eight months. Seven of California’s major industry sectors gained jobs in March, while the unemployment rate remained unchanged. That growth was led by the private education and health services sector.
Aiming to sustain that employment growth and expand advantages for California business, Governor Gavin Newsom announced the creation of the California Jobs First Council and operational plan. Introduced in spring 2024, the council is focused on streamlining the state’s economic and workforce development programs to create more jobs, faster. The Council and the operational plan will guide the state’s investments in economic and workforce development to create more family-supporting jobs and prioritize industry sectors for future growth.
Said Gov. Newsom at the announcement, “California has created more opportunities, more jobs, and more businesses than any other state, but we need to ensure that we’re all moving forward together. Through this new council and these investments, we’re aligning all of our economic resources to create more jobs, faster for Californians in every community.”
Co-chaired by Dee Dee Myers, Senior Advisor to Governor Newsom and Director of the Governor’s Office of Business & Economic Development, and Stewart Knox, Secretary of Labor & Workforce Development, the California Jobs First Council brings together various state entities that will represent specific industries, as well labor force needs.
The California Jobs First Council will also support the regional Jobs First Collaboratives to expand industry and create jobs locally. The jobs Council will work alongside the Council for Career Education and in line with the Governor’s 2023 Executive Order that directed the creation of a Master Plan for Career Education to ensure that Californians have career pathways, develop skills, and expand opportunities.
Clean energy continues to be a focus for the California economy and for statewide growth opportunities. Recently, the U.S. Department of Energy (DOE) and the Alliance for Renewable Clean Hydrogen Energy Systems (ARCHES) announced the official signing of a $12.6 billion agreement to build a clean, renewable Hydrogen Hub in the state, including the up to $1.2 billion in federal funding that was announced in 2023 when California was selected as a national hub.
ARCHES is the first of seven Hydrogen Hubs throughout the country to officially sign an agreement with DOE. The ARCHES hub will facilitate a network of clean, renewable hydrogen production sites to cut fossil fuel use throughout California, with the ultimate goal of decarbonizing public transportation, heavy duty trucking, and port operations by two million metric tons per year.
The California Hydrogen Hub will provide a blueprint for decarbonizing public transportation, heavy duty trucking, and port operations — key emissions drivers in the state and sources of air pollution that are among the hardest to decarbonize. In particular, the California Hydrogen Hub will introduce clean hydrogen to heavy duty transport through cargo handling equipment and drayage to support the eventual conversion of maritime equipment at ports and prepare the port for the potential export of hydrogen.
More than 10 sites will produce enough clean renewable hydrogen to fuel the projects noted above and propel the buildout of the greater hydrogen ecosystem. Among the ports involved: Ports of Long Beach, Los Angeles & Oakland where planned projects are to replace diesel-powered cargo-handling equipment with hydrogen fuel cell equivalents and associated fueling infrastructure.
California Governor’s Office Awards $27M To Five Containerized Ports
The funding is focused on improving data functionality across a statewide network of ports. Read more….
City of Industry: Business-Friendly & Forward-Looking
Since its incorporation in 1957, the City of Industry, CA has been on a mission to foster the growth of businesses and jobs, committed to seeing its businesses thrive. Looking ahead, the City is doubling down on its commitment to being a business-friendly city while emphasizing the importance of investing in initiatives that positively impact the community.
The City’s dedication to fostering a business-friendly environment has not gone unnoticed. The Los Angeles County Business Federation named it one of the top three “most business-friendly cities” in Los Angeles County. This recognition is a testament to the City’s innovative and supportive policies and programs, which aim to support the growth of all businesses, whether they are located in Industry or looking to expand there.
Beyond its thriving business community, the City of Industry is also dedicated to supporting its residents and addressing social issues by being actively involved in nonprofit work, with a focus on leaving a positive impact on the community. This includes initiatives to support individuals experiencing food insecurity through partnerships with organizations like the Los Angeles Regional Food Bank and Meals on Wheels. In June, the City was proud to join the LA Regional Food Bank as they celebrated the grand opening of their new 256,000-square-foot distribution center that services over 900,000 individuals through Los Angeles County per month.
Furthermore, the City has been proactive in addressing social and educational challenges. It has supported the Hacienda La Puente Unified School District’s Equity and Access Family Engagement Program, which provides essential resources to unhoused students and their families, empowering them to overcome barriers and achieve academic success. The City of Industry has also partnered with the Los Angeles County Sheriff’s Department Mental Evaluation Team (MET) to incorporate autism and mental health training to the LASD and neighboring law enforcement agencies.
Looking ahead, the City of Industry continues to prioritize regional infrastructure projects. Collaborating with the San Gabriel Valley Council of Governments, the City is involved in several construction projects, including current improvements to the 57/60 confluence and the Fullerton Grade Separation project. Additionally, the City is investing in Geographic Information Systems (GIS) to enhance transparency and also making significant strides in sustainability and public utilities. By the end of 2024, 89% of power provided to Industry Public Utilities customers will be generated from renewable energy sources.
The City of Industry remains committed to its motto, “Jobs, Enterprise, and Regional Infrastructure.” Through its investment in manufacturers, businesses, and the community, it continues to be the leading economic engine of the San Gabriel Valley. With a focus on business growth, community impact, and regional development, the City of Industry stands as a beacon of progress and opportunity in the region.
Visit www.industrybc.org for more information.
