Aerospace offers its wish list to Schwarzenegger

Daily Breeze ^ | March 18, 2006 | Michael Gardner

[FairOpinion]

Industry officials want California to provide incentives that entice companies to stay in the state and offset the "extraordinarily high" costs they face here.

Although California has improved its business climate with Schwarzenegger settled in, aerospace executives say these anecdotes are stark reminders that the state must be more aggressive in protecting a vital industry.

California officials made their pitches for a counteroffensive before a special legislative committee on aerospace that met this week for the first time in seven years -- despite the turbulence in the industry and the exodus of jobs to other states.

The big six firms in California, while shedding payroll, still employ nearly 100,000 in California, including Northrop Grumman's 6,300 in Redondo Beach, 4,900 in El Segundo and 2,500 in Manhattan Beach, according to industry figures.

A California Space Authority report states that its industry and contractors are responsible for 251,000 jobs and $9.6 billion in wages, directly and indirectly. California accounts for nearly a quarter of the $83 billion global space market.

Martha Kwalwasser of Northrop Grumman in Los Angeles said California's always-changing political climate is a drawback, particularly as companies try to forecast long-term budgets and investment without knowing if the state will remain committed to incentives.

"It's a state with a very high level of uncertainty," she said.

[FairOpinion]

You can read the list of recommendations the "CA officials" (whoever they are) came up with. It's pretty weak.

Nothing about cutting the costly regulations of businesses. That's one of the key things businesses need. The workers comp reform helped, but it's not enough.

[Proud_USA_Republican]

The dumpocrats in that state won't be satified until California has the economy of Zimbabwe.

[Carry_Okie]

Nothing about cutting the costly regulations of businesses. That's one of the key things businesses need.

The grovelnator is a big fan of MORE regulations, which makes handing out selective dispensations a matter of political favor (requiring that ol' mega-quid pro quo, of course).

Some folks call that "political corruption," and they're right.

[Czar]

* ping *

[calex59]

Trashing the eviro regs would be a good start, not only would this help business it would help our infrastructure. The reason CA roads are so bad is it takes 10 pounds of paper to get a road improvement approved and then another 100 pounds to actually get the reports done so work can start if it is allowed after the 1000s of dollars spent checking for endangered frogs.

[Criminal Number 18F]

Note that private space, which pretty much started in California, is increasingly moving to business-friendly New Mexico and Oklahoma.

Mojave had the first spaceport license, but NM actually has the business partners to build a new spaceport. Oklahoma's spaceport is focusing on runway-based SSTO and 2STO outfits and is less flexible than New Mexico's.

d.o.l.

Criminal Number 18F

[calcowgirl]

The big six firms in California, while shedding payroll, still employ nearly 100,000 in California,

Wow! Is that all? I remember when Hughes had 80,000 in the El Segundo area, alone. And then you had Rockwell, McDonnell Douglas, Northrop, Lockheed, TRW, and the rest. Times have certainly changed.

[Czar]

Our California political hacks really did a great job on aerospace & defense, didn't they? Especially the ones in Southern California. The south bay used to have one of the largest--if not the largest--concentrations of aerospace & defense companies in the entire country. Much of the blame goes to Sacramento with its anti-business/environmental wacko friendly legislature.