Studio City News
Studio City Wants Out Of Enterprise Zone
By Camille Sarabia
Jul 25, 2013 - 9:34:29 AM
CITY—By the request of the government affairs committee,
City is determined to break from the state enterprise zone.
Councilman Paul Krekorian
The committee took a vote two weeks ago and came to the decision to request councilman Paul Krekorian to work with the city and state agencies in order to remove the city from the state enterprise zone.
The state of
California has four Geographically-Targeted Economically Development Areas, one of which is the Enterprise Zones. The purpose of these areas is to stimulate business investment and to help create jobs for qualified, yet disadvantaged citizens in harsh areas. Enterprise zones, however, provide tax incentives to businesses by allowing the private sector to stimulate the economy. According to a PPIC report, the California Department of Housing Community and Development stated in their Proposed Regulatory Reforms report that “the current EZ Program fails to increase level of employment in Zones.”
The state enterprise zone in the city is on
Ventura Boulevard in-between Lankershim and Carpenter.
The city states that because the enterprise zones control the taxing rate of local businesses, businesses will reduce their parking to compensate for the changes. These changes are not something the area wants to handle at the time, therefore, they want a way out of the enterprise zone. Paul Krekorian is still handling the proposal.
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