Achieving Prop 39′s Clean Energy Promise: Investing in Jobs, Efficiency Programs and Renewable Resources
The Los Angeles Business Council commissioned the UCLA Luskin Center for Innovation to evaluate options for implementing funds from Proposition 39 – The California Clean Energy Jobs Act – passed by voters in November of 2012.
Prop 39 requires businesses operating in multiple states to calculate their California income tax liability based on the percentage of their sales in California. This tax approach is referred to as the “single sales factor,” and is expected to increase state revenues by as much as $1.1 billion annually.
For a five-year period, half of the revenues from Prop 39 – up to a maximum of $550 million – will be transferred annually to the Clean Energy Job Creation Fund, which will be used to fund projects that create jobs in California by improving energy efficiency and expanding renewable energy generation. The funds will be allocated between (1) schools and public facilities, (2) job training and workforce development, and (3) public-private partnerships.
California has a tremendous opportunity under Prop 39 to create quality clean-energy jobs in the state, realize significant benefits for our school children, strengthen the public and private sectors, and improve environmental sustainability.
This study recommends the establishment of a revolving loan fund and associated lending programs to finance energy efficiency and clean energy projects in order to maximize the associated benefits of Prop 39 in accordance with the stated objectives of the proposition.
Watch video of the summit:
Session #1: Salon of Masters
Session #2: Local Green Economy: Innovative Models for the Nation
Session #3: Regulating Market Success