ACR 147 (Lackey) — Assembly Committee on Jobs, Economic Development, and the Economy (June 21, 2022)
Summary
This is an Assembly Committee on Jobs, Economic Development, and the Economy analysis of ACR 147 (Lackey), as amended May 10, 2022, for a hearing on June 21, 2022 before Chair Sabrina Cervantes. The resolution endorses the Antelope Valley being referred to as the Aerospace Valley, and the fiscal effect is listed as none. The analysis recounts the region's aerospace history, including the first flight to break the sound barrier on October 14, 1947. Its comments compare Aerospace Valley clusters in the US, southwestern France and Mexico. It lists Av Edge (the sponsor), the California Manufacturers and Technology Association, the County of Kern and the Kern Economic Development Corporation in support, with no opposition on file.
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“ACR 147 (Lackey) — Assembly Committee on Jobs, Economic Development, and the Economy (June 21, 2022).”
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ACR 147
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Date of Hearing: June 21, 2022
ASSEMBLY COMMITTEE ON JOBS, ECONOMIC DEVELOPMENT, AND THE ECONOMY
Sabrina Cervantes, Chair
ACR 147 (Lackey) – As Amended May 10, 2022
SUBJECT: The Aerospace Valley
POLICY FRAME: California played a major role in the development of the modern aerospace industry.
In 1910, California hosted the first US airshow and only the second airshow in the world, attracting a
quarter of a million budding aircraft enthusiasts excited to see this brand-new technology and watch
aviators perform in the sunny and clear skies of southern California.
After Lindbergh’s transatlantic flight in 1927, investments in aviation-related businesses rapidly
expanded. According to Blue Sky Metropolis, “in 1928, over 20 airframe and aircraft engine
manufacturers were located in Southern California. In addition, Los Angeles was using airplanes for
mass transit, opening 53 landing fields within 30 miles of L.A.’s City Hall…During World War II alone,
the Los Angeles area contained around two million aerospace employees and produced about 300,000
airplanes. Aircraft manufacturing was the largest industry in the world, and it centered around Southern
California…And despite downfalls after World War II ended, and again after the end of the Apollo
program, the ‘80s were another time of growth. Over this period, Southern California was home to one-
third of the country’s aerospace engineers, employing nearly a half a million people.”
Today, aerospace encompasses a wide range of activities, including military and civilian aircraft,
reconnaissance and communications satellites, strategic missiles, and space exploration. California is a
global aerospace leader, generating 9% of the combined global space and aircraft market in 2016.
As documented in the findings of ACR 147, Antelope Valley plays a central role in California’s past and
present aerospace industry. Over the years, the Antelope Valley, comprising the northern part of the
County of Los Angeles and the southern part of the County of Kern, has served as an aviation testing
center, landing field for space shuttles, and educated generations of aerospace engineers, inventors, and
pilots. ACR 147 proposes that the Antelope Valley can henceforth “affectionately and acceptably” refer
to itself as Aviation Valley.
The policy committee analysis includes information on the California economy, the importance of the
aerospace industry to the state, competitiveness issues against other states, and other aerospace industry
clusters around the world. There is no known opposition to this bill.
SUMMARY: Memorializes the Legislature’s endorsement of the Antelope Valley being referred to as
the Aerospace Valley. Specifically, this bill:
1) The Legislature finds and declares:
a) Antelope Valley is located in the western Mojave Desert between the northern part of the County
of Los Angeles and the southern part of the County of Kern. The referenced name “Antelope
Valley” is derived from the pronghorn, or American antelope, that lived in the valley.
b) During the late 1800s, the AV was home to about one-half of the pronghorn species that existed in
the world.
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c) The AV has several airports, airfields, and a spaceport, including Air Force Rocket Propulsion
Laboratory, Air Force Plant 42, Agua Dulce Airpark, California City Municipal Airport,
Crystalaire Airport, General William J. Fox Airfield, Inyokern Airport, Mojave Air and Space
Port, Mountain Valley Airport, Naval Air Weapons Station China Lake, Palmdale Regional
Airport, Rosamond Skypark, and Tehachapi Municipal Airport.
d) The National Aeronautics and Space Administration’s (NASA) space shuttles originally landed at
Edwards Air Force Base because the lakebeds offered an extended landing area until the Kennedy
Space Center was built, but Edwards remains a backup in the case of bad weather in Cape
Canaveral.
e) The AV has many educational institutions as well, most notably the California Aerospace
Technologies Institute of Excellence (CATIE), promoting the aviation and aerospace industry and
technology; and
f) The AV is where the first flight sound barrier was broken on October 14, 1947, by General
Charles Elwood “Chuck” Yeager, an early United States Air Force test pilot at Edwards, which
was previously known as Muroc Army Airfield.
g) The AV was where the first land vehicle broke the sound barrier and accomplished by an
unmanned rocket sled on January 12, 1948.
h) The AV is home to key players in the aerospace industry, such as Lockheed Martin, Boeing,
Northrop Grumman, and BAE Systems, as well as several other aerospace companies; and
i) The Space Shuttle orbiters, Rockwell B-1 Lancer, Northrop Grumman B-2 Spirit, Lockheed F-117
Nighthawk, Lockheed Martin F-35 Joint Strike Fighter, and Lockheed L-1101 Tristar projects are
designated in the AV.
j) NASA’s Neil A. Armstrong Flight Research Center is located in the AV, having earned the
nickname “Aerospace Valley.”
2) Memorializes the California Legislature’s approval of the Antelope Valley being “affectionately and
acceptably” referred to by the State of California as the Aerospace Valley.
3) Directs the Chief Clerk of the Assembly to transmit copies of the approved resolution to the author for
appropriate distribution.
FISCAL EFFECT: None
COMMENTS & CONTEXT:
1) Aerospace Valley in the US: The Antelope Valley region of southern California has a long and
distinguished history in aerospace innovation. The region is currently home to the NASA Armstrong
Flight Research Center, Lockheed Martin, Boeing, and Northrop Grumman. According to the
website, the Mojave SpacePort hosts over 60 innovative companies, including Virgin Galactic, Scaled
Composites, Masten Space Systems, and Galactic Company.
Among other activities to promote workforce development:
The College of the Canyons supports the Low Observable Technician Pathway, which places job
seekers in a 14-week, 150-hour, intensive program where they learn the fundamental skills and
knowledge to gain employment as a Low Observable Technician. The program relies on Subject
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Matter Experts from Northrop Grumman and Virtual Reality System to train these individuals in a
realistic environment. In November 2021, the first cohort, comprised of 13 students, graduated
and Assemblyman Tom Lackey, the author of this resolution, was in attendance. The program
“trained students on how to apply [a] special coating to aircraft, missiles and other defense
systems that will allow them to operate undetected. In addition to the College of the Canyons and
Northrup Grumman, other program partners include America’s Job Center of California, Strong
Workforce Fund, and the Los Angeles County Workforce Development & Aging Community
Services.
The Aerospace Valley Regional hosts robotics competitions at local high schools. In 2022, 35
teams from around the world converged on Eastside High School to compete in the First™
Robotics Competition. According to an impact study on the First™ Robotics Competition,
students who participate in these type of events have demonstrated better educational outcomes
and are more likely to show an “increase in STEM-related attitudes and interests than comparison
group students.” Further, the impact study showed that these positive student impacts on
competition participants did not meaningfully vary by race, gender, income, or community type.
2) Aerospace Valley in France: Other areas in the world have coined the phrase Aerospace Valley to
highlight their aerospace industry cluster, including Montreal, Canada, and Mexico, California’s
number one trade partner. The most globally recognized Aerospace Valley’s is in southwestern
France, including the Nouvelle-Aquitaine and Occitanie / Pyrénées-Méditerranée regions and the
Cities of Bordeaux and Toulouse. France’s Aerospace Valley describes itself as a competitiveness
cluster that supports innovation through collaborative research and development projects in
aeronautics, space, and drones.
France’s Aerospace Valley Cluster includes 812 members, of which 572 are small- or medium-sized
enterprises. As of May 31, 2022, France’s Aerospace Valley had 1070 “labeled” projects.
According to their website, the Aerospace Valley Cluster is committed to being a recognized regional
player at the national, European, and worldwide levels. Key missions include supporting Aerospace
Valley Cluster participants:
Be pioneers of the ecological transition of the aerospace sectors.
To accelerate the digital transformation to increase the competitiveness of our sectors.
To boost innovation.
To facilitate the evolution of skills in the region in line with the emerging needs of aeronautics,
space, and drones.
To ensure the growth and secure the future of our sectors in our territories.
France’s Aerospace Valley Cluster includes 1/3 of the French aeronautics workforce, including more
than 50% in the space domain; 8,500 researchers; and two out of the three French aeronautics and
space schools. Aerospace Valley is one of the 105 members of the "Copernicus Relay" network set up
by the European Commission in 2017. The Copernicus Relay is part of the European Commission’s
space strategy.
3) Aerospace Clusters in Mexico: The aerospace industry is one of Mexico’s top three industries,
generating over $6.2 billion in 2021. There are five major aerospace clusters in Mexican, located in
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the states of Baja California (Tijuana and Mexicali), Sonora, Chihuahua, Querétaro, and Nuevo León.
Mexico’s aerospace manufacturing sector is estimated to have around 370 businesses and
organizations in 2020. Mexico is the 14th largest aerospace supplier globally, and industry analysts
report that the Mexican government is focusing on improving its rank to enter the top 10 by the end of
2027.
Baja California is the largest of Mexico’s aerospace clusters, with more than 110 aerospace firms
supporting more than 35,000 direct jobs, prior to the COVID 19 pandemic. As a top trade partner,
Mexico received $27.3 billion in exports from California in 2021, with $315 million of those exports
being aerospace products and parts. California imported $147 million in aerospace products and parts
from Mexico in 2021. While the current scale of aerospace trade with Mexico is less than Japan ($1.6
billion) or South Korea ($364 million), Mexico represents an important near-source supply chain
partner to California.
4) US Space Command: President Biden established the US Space Systems Command at the Los
Angeles Air Force Base, which serves as a field command station of the US Space Force. The Space
Systems Command serves as the nationwide authority to oversee the development, acquisition,
launch, and maintenance of the military space systems. In addition to the US Space Systems
Command, there are 12 accession sites, including Vandenberg Air Force Base.
Program offices located at the US Space Command include:
Assured Access to Space: Responsible for procuring launch services and delivering on-orbit
capabilities for Warcraft, combatant commands, intelligence, and civil and commercial sectors.
Communications and Positions, Navigating, and Timing (PTN): Responsible for delivering
MiliComm and PTN capabilities, including foreign military sales and GPS Command and Control
mission areas.
Space Sensing: Responsible for space-based battleship awareness capabilities through Missile
Warning, Missile Tracking, Environmental Monitoring, and Tactical ISR capabilities.
Battle Management Command, Control, and Communications (BMC3): Responsible for
Tactical and Operational Command and Control capabilities, infrastructure, and applications with
enterprise vision across systems for space operations and warfighter needs.
Space Domain and Awareness and Combat Power: Responsible for a diverse portfolio of 60+
space and ground-based programs and 30 operational systems spanning five continents.
Most recently (5/31/2022), Space Systems Command issued five launch service task orders to United
Launch Alliance and another three to SpaceX under the 2020 National Security Space Launch Phase 2
contract. United Launch Alliance, a joint venture of Boeing and Lockheed Martin, will use its Vulcan
Centaur rocket to provide launch services, and SpaceX will use its Falcon 9 launch vehicle to support
its three missions.
5) History of the Aviation Valley: The following narrative and photos were provided by the AV
Economic Development & Growth Enterprise.
Within just a few years of the Wright Brothers historic first flight, the Antelope Valley in northern
Los Angeles County and south-eastern Kern County started to transform into the aerospace capitol of
the world. In the 1930s the airplane came to the Antelope Valley.
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With the Air Force beginning testing at
Muroc Dry Lake, which is now known as
Edwards Air Force Base. The base was
named after Glen Edwards, a captain and
test pilot who died testing a YB-49 flying
wing in 1948. The military base began as
a stark and remote bombing range in 1933
and then went on to become a major
bomber-training base in World-War II.
The Antelope Valley was home to dozens
of aerospace firsts including America’s
first jet-powered aircraft flight by the Bell
XP-59A Airacomet in 1942 as well as:
October 14, 1947, Capt. Charles E. “Chuck” Yeager, flying the BellX-1 became the first person to
successfully fly an aircraft faster than the speed of sound
January 12, 1948, a Northrop unmanned rocket sled became the first land vehicle to break the
sound barrier. At a military test facility at Muroc Air Force Base (now Edwards AFB), California,
it reached a peak speed of 1,019 mph (1,640 km/h) before jumping the rails.
The highest altitude record in the world of over 90,000 feet by test pilot Arthur “Kit” Murray in
1954
On August 21, 1961, a Douglas DC-8-43 (registration N9604Z) exceeded Mach one in a
controlled dive during a test flight at Edwards Air Force Base. This is the first and only
supersonic flight by a civilian airliner, other than Concorde or the Tu-144.
Major Robert M. “Bob” White flew the X-15 to an altitude of 314,750 feet, an official world
record for an aircraft launched from a carrier airplane. This was the first time a piloted airplane
had been flown in space (above 50 mi.), making him the nation’s fifth astronaut, overall, and the
world’s first “winged astronaut” on July
17, 1962
The world's absolute speed record for
winged aircraft, set at over 4,520 mph
by William J. “Pete” Knight in the X-15
rocket research aircraft in 1967. Knight
went on to serve in the California State
Assembly and Senate.
December 17, 1979, Stan Barrett blasts
across a dry lakebed at California's
Edwards Air Force Base in a rocket-
and missile-powered car, becoming the
first man to travel faster than the speed
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of sound on land.
April 14,1981 the Space Shuttle Columbia set down upon Rogers Dry Lake ushering in an era of
reusable spacecraft, assembled down the road at air force plant 42 in Palmdale.
The landing of the first space shuttle following its mission to orbit the earth thirty-six times in
1981.
The Rutan Model 76 Voyager was the first aircraft to fly around the world without stopping or
refueling. It was designed and built in Mojave by aerospace engineer Burt Rutan and piloted by
his brother Dick Rutan and Jeana Yeager.
Burt Rutan made history again in 2004, when the Mojave Air and Spaceport was the site of the
first launch by a private company into space in June 2004. Mojave Aerospace Ventures, a
partnership between Paul Allen and Burt Rutan’s Scaled Composites won the Ansari X-Prize by
successfully launching a vehicle into space, having it land and ready to relaunch the next day.
Strides in private aerospace continued in the Antelope Valley with the Red Bull Stratos, a high
altitude skydiving project involving Austrian
skydiver Felix Baumgartner. On October 14,
2012, Baumgartner flew approximately 24 miles
into the stratosphere over New Mexico, US, in a
helium balloon before free falling in a pressure
suit and then parachuting to Earth. The balloon
and capsule used to reach the stratosphere was
designed and built by Sage Cheshire Aerospace,
located in Lancaster, California.
US Air Force Plant 42, located in Palmdale, is home
to our nation’s largest aerospace contractors and have
built and designed some of history’s most innovative aircraft. Final construction of every space
shuttle, Lockheed Martin’s L-1011, the B-1, the XB-70, the X-15, the SR-71, and the F-117A are just
some of the famous aircraft developed and/or built in the region.
Currently, Plant 42 operations include the B-2 Spirit, B-21 Raider, B-52 Stratofortress, F-22 Raptor,
F-35 Lighting II, MQ-4C Triton, RQ-4 Global Hawk, RQ-170 Sentinel, SOFIA (Stratospheric
Observatory for Infrared Astronomy) – NASA 747SP, U-2 Dragon Lady, and X-47B.
The region continues to be a leader in private space efforts as well, with Mojave being the home of
Virgin Galactic’s research and development center for future space tourism.
6) Economic Impact of Aerospace Industries: Aerospace and aviation are not one industry sector.
Instead, businesses within these industries are classified under the North American Industry
Classification System as being within a range of sectors, including Manufacturing, Information,
Professional & Business Services, and Trade, Transportation, and Utilities. The aerospace and
aviation industries depend on robust supply chains of small businesses providing high-tech services
and products. Due to the significant amount of defense-related work these industries provide to the
US government, many aspects of their contracts are required to remain in the US.
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According to data provided by the Aerospace Industries Association on the economic impact of the
aerospace and defense industries, in 2019 (most recent), these industries:
Generated $909 billion in sales from companies throughout the industry, including the supply
chain. Slightly more than half (56%) of all revenues were generated by firms that provide end-use
goods and services, and 44% of sales were attributed to supply chain businesses.
Supported 2.2 million US jobs within businesses producing end-user goods and services and
within the industry’s supply chain (most recent data from 2019), with about 490,000 jobs (most
recent data from 2016) in the industry’s commercial aerospace segment (e.g., civil and general
aviation aircraft, helicopters, and space systems) and 355,500 jobs (most recent data from 2016) in
the defense and national security segment of the industry (e.g., military aircraft, ground and sea
systems, armaments, and space systems).
Shipped $148.1 billion in exports from the US (most recent data from 2019) - representing a 2.0%
decrease from 2018 exports. The top five export markets for US aerospace products have mostly
stayed the same from 2009-2019. France (most recent data from 2019) was the top destination for
aerospace and defense exports ($14.2 billion), followed by the United Kingdom ($10.8 billion)
and Germany ($10.7 billion). Washington was the top exporting state, followed by California.
7) Aerospace Competitiveness: The US ranks first among nations in its attractiveness to the aerospace
industry, according to the 2020 Aerospace Manufacturing Attractiveness Rankings prepared by
PricewaterhouseCoopers (PwC). Other high-ranking countries include Singapore, Canada, South
Korea, and Japan. The US dominance is supported by a large and productive labor force and a
relatively favorable tax environment following tax reform. In addition, the country’s rankings are
advantaged by the significant level of defense spending, illustrated by the $740 billion defense budget
for 2021 being authorized in February 2020.
The US commercial aerospace industry has braved substantial disruption in the first half of 2020 due
to COVID-19, and it appears it will likely continue facing challenges on numerous fronts for the rest
of the year and beyond.
In the state rankings, PwC gave the highest rank to Georgia, followed by Ohio, Washington, Texas,
and North Carolina. California was ranked 10th. The state ranking was based on seven criteria using
seven public and private data sources, including labor force, infrastructure, economy, cost, and tax
policy.
Labor force measurements used in the ranking of states included: production workers’ annual
hours for aerospace manufacturing, basic education, skilled education, advanced education, and
union flexibility.
Economy measurements used in the state ranking included: GDP, growth in GDP, consumer price
index, manufactured goods exported, total manufacturing output, and subsidies for durable goods
manufacturing.
Given these examples, California should have ranked very high. Instead, California (most recent data
from 2020) ranked 10th, primarily based on cost (ranking 47th) and state tax policy (ranking 43th).
Measurements of cost included the average cost of electricity, transportation expenditures by state and
local governments, average hourly wage payroll for aerospace manufacturing, industrial production
index for total manufacturing, and the total cost over the created value of construction. Tax policy
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was measured by the state and local tax burden as a share of state income and state individual tax rate
at $75,000 of income.
Many states have economic development commissions that support dominant and emerging
industries. As an example, the author highlighted Washington State’s (3rd ranked state) “Aerospace
Sector Lead,” which helped to develop and now coordinates implementation of the Washington State
Aerospace Strategy in 2018. In 2020, aerospace was highlighted through the Supersonic flight
alliance- formed by AeroTEC, the Port of Moses Lake Airport, Choose Washington, and the
Aerospace Futures Alliance- it is also the home of Boeing.
8) California’s Aerospace Industry: The Aerospace Industry Association reported in 2020 that
aerospace is one of California’s largest industries, with a total economic impact of $396 billion
annually. Research by A. T. Kearney showed that $38.8 billion in indirect revenues that support
related industries was given out by this industry (most recent data from 2014), but this value may have
risen. In this report, the aerospace market sector includes:
Space industry: Launch Services; Satellite Manufacturing; Ground Equipment; Engineering
Services; and Satellite Services.
Aircraft Industry: Aircraft; Engine and Parts; Search, Detection, Navigation, Guidance, and
Nautical (SDNGN) Instruments; and Maintenance Repair and Overhaul.
California is a global leader in space instrumentation, satellite services and manufacturing, and
engineering services. The state provides more than 50% of all aerospace engineering services and
59% of aircraft SDNGN instrumentation.
The California aerospace industry employs 230,000 workers directly and supports 511,000 jobs across
related industry sectors. Other related industry sectors include Finance, Construction, and
Transportation.
Key California strengths include having a capable and skilled workforce, with numerous technical
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universities to provide a pipeline for the industry. This advantage is identified as weakening,
however, as are several other industry advantages, including:
Competition from abroad in aerospace manufacturing;
A declining in-state customer base with government contracts; and
State tax credits (reviewed in 2012) need modification to match incentives in other states.
The report does note that wage differences between competitive states are equalizing and that there is
an increasingly supportive political environment in the Assembly and among California’s US
Congressional delegation. In 2014, the Legislature approved an enhanced tax credit and tax
exemption for Lockheed Martin and Northrop Grumman, who competed for federal Department of
Defense contracts. The incentives provided a tax credit of 17.5% of wages paid to its workers,
potentially worth $420 million over the 15-year life of the deal, and exempts from property tax
tangible personal property having space flight capacity, AB 2389 (Fox), Chapter 116, Statutes of 2014
and AB 777 (Muratsuchi), Chapter 13, Statutes of 2014.
In 2016, the Legislature approved the extension of the sales and use tax exemption on equipment used
in manufacturing through 2023, AB 398 (E. Garcia), Chapter 135, Statutes of 2017.
With average wages in aerospace being $118,610 per year (most recent data from 2020) and more
than 60% of the jobs in Southern California requiring specialized training and no less than a four-year
degree. The aerospace and aviation business sectors offer the state a unique opportunity for supporting
business expansion by large and small businesses and upward mobility for workers.
9) Related Legislation: Below is a list of bills from the current and prior sessions.
a) AB 14 (Waldron) Unmanned Aircraft Systems UAS Task Force: This bill would have established
the Unmanned Aircraft Systems (UAS) Task Force to develop a comprehensive policy for the use
of UAS in California, including the use of UAS to promote aviation, aerospace, agricultural, public
safety, and technology industry uses throughout the state. Status: Failed Passage in the Assembly
Committee on Transportation, 2015.
b) AB 240 (Lackey) California Institute for Aerospace: This bill would have requested the
University of California Regents to establish the California Institute for Aerospace in order to
achieve specified goals, including: a) creating new opportunities for jobs in aerospace research; b)
designing and using public-private partnerships to perform innovative research in aerospace
technology; and c) develop California’s next generation of engineers and technicians through
expanded research opportunities within the aerospace industry. The bill requested the Regents to
locate the institute at a satellite campus within 20 miles of Edwards Air Force Base or the United
States Air Force Plant 42, so that it will be close to a large part of the state’s current aerospace
research and development. Status: Held on the Suspense File of the Assembly Committee on
Appropriations, 2017.
c) AB 245 (Muratsuchi) Aerospace Commission: This bill would have established the 17-member
California Aerospace and Aviation Commission for the purpose of serving as a central point of
contact for related industries and supporting the health and competitiveness of these industries in
California. Status: Held in the Senate Committee on Governmental Organization, 2020.
d) AB 427 (Muratsuchi) Aerospace Commission: This bill would have established the California
Aerospace and Aviation Commission for the purpose of serving as a central point of contact for
related industries and to support the health and competitiveness of these industries in California.
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Status: Vetoed by the Governor, 2018. The Governor’s veto message stated: “This bill enacts the
California Aerospace and Aviation Act of 2018, which establishes the California Aerospace and
Aviation Commission within the Governor’s Office of Business and Economic Development.
While the value of the aviation and aerospace industry is critical to the economy of this state, this
bill would create a new bureaucracy that replicates many of the things the state is already doing. I
think the goals of this bill can be easily handled under current law by the Governor’s Office of
Business and Economic Development.”
e) AB 538 (Muratsuchi) Aerospace Commission: This bill establishes the 15-member California
Aerospace Commission for the purpose of serving as a central point of contact for related industries
and supporting the health and competitiveness of these industries in California. Authority for the
operation of the Commission sunset on January 1, 2027. Status: Pending in the Senate
Appropriations Commission.
f) AB 777 (Muratsuchi) Tax Exemption for Space Flight Property: This bill exempts tangible
personal property that has space flight capacity from the property tax. Property exempted by this
bill includes raw materials, works in progress, finished goods, and includes orbital space facilities,
space propulsion systems, space vehicles, launch vehicles, satellites, or space stations of any kind.
Fuel sold and used exclusively in space flight is also exempt if it is not adaptable for use in
ordinary motor vehicles. The property need not be returned to Earth to qualify for the
exemption. The exemption applies to lien dates between January 1, 2014, and January 1, 2024, and
sunsets on July 1, 2025. Status: Signed by the Governor, Chapter 13, Statutes of 2014.
g) AB 1071 (Brough) Aerospace Hirer Credit: This bill would have authorized a tax credit for a
qualified taxpayer, defined as an aerospace entity, in an amount equal to 17.5% of qualified wages
paid or incurred during the taxable year to a qualified employee, not to exceed $25,000,000 per
taxpayer per taxable year. Status: Died in the Assembly Committee on Revenue and Taxation,
2018.
h) AB 2237 (Olsen) Science, Technology, Engineering, and Mathematics Partnership Academies:
This bill would have established Science, Technology, Engineering, and Mathematics (STEM)
Partnership Academies for the purpose of providing grants to school districts to establish up to 100
academies in STEM occupations, including application software developer, computer user support
specialist, computer programmer, computer hardware engineer, industrial engineer, civil engineer,
architectural engineer, aerospace engineer, dietetic technician, medical scientist, microbiologist,
general medical practitioner, dental services provider, and chemist. Status: Held on the Suspense
File of the Assembly Committee on Appropriations, 2016.
i) AB 2389 (Fox) Incentives for the Federal Advanced Strategic Aircraft Program: This bill
modified the Capital Investment Incentive Program and allowed a tax credit under the Corporation
Tax Law to a qualified taxpayer in an amount equal to 17.5% of qualified wages paid by the
taxpayer during the taxable year to qualified full-time employees, as specified. Status: Signed by
the Governor, Chapter 116, Statutes of 2014.
j) AB 2600 (Lackey) California Institute for Aerospace: This bill would have requested the
University of California Regents to establish the California Institute for Aerospace in order to
achieve specified goals, including: a) creating new opportunities for jobs in aerospace research; b)
designing and using public-private partnerships to perform innovative research in aerospace
technology; and c) develop California’s next generation of engineers and technicians through
expanded research opportunities within the aerospace industry. The bill requested the Regents to
locate the institute at a satellite campus within 20 miles of Edwards Air Force Base or United States
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Air Force Plant 42, so that it will be close to a large part of the state’s current aerospace research
and development. Status: Held on the Suspense File of the Assembly Committee on
Appropriations, 2016.
k) AB 2664 (Irwin) UC Entrepreneurship: This bill requires the University of California to make
one-time expenditures on activities, using the $22 million General Fund provided in the Budget Act
of 2016, to expand or accelerate economic development in the state in ways that support innovation
and entrepreneurship, including in the areas of aerospace. Status: Signed by the Governor,
Chapter 826, Statutes of 2015.
l) ACR 43 (O’Donnell) California Aerospace Week: This resolution proclaims the week of March
23 through March 27, 2015, as California Aerospace Week and recognizes the contributions of the
aerospace industry to the history, economy, security, and educational system of California. Status:
Adopted, 2015.
m) AJR 13 (Lackey) National Aeronautics and Space Administration: This resolution expresses the
Legislature’s advocacy for the President and the US Congress to continue to place an emphasis on
increasing funding to the National Aeronautics and Space Administration’s budget and encouraging
the expansive use of public-private partnerships to propel the industry forward into the next
generation of advancement. Status: Adopted by the Legislature, Resolutions Chapter 144, Statutes
of 2017.
n) HR 37 (O’Donnell) California Aerospace Days: This resolution proclaims the days of February
29, 2016, and March 1, 2016, as California Aerospace Days. Status: Adopted, 2016.
o) SB 1138 (Hueso) Space Day: This bill requires the Governor to proclaim the first Friday in May
of each year to be Space Day and to encourage public schools and educational institutions to
conduct suitable commemorative exercises on that date. Status: Signed by the Governor, Chapter
196, Statutes of 2016.
p) SB 1215 (Allen) California Aerospace Commission: This bill would have established the
California Aerospace Commission to foster the development of aerospace-related activities,
including, but not limited to, aviation, commercial and governmental space travel, unmanned aerial
vehicles, aerospace education and job training, infrastructure and research launches, manufacturing,
academic research, applied research, economic diversification, business development, tourism, and
education. Status: Held on the Suspense File of the Senate Committee on Appropriations, 2016.
q) SR 19 (Fuller) California Aerospace Week: This resolution recognizes the contributions of the
aerospace industry by proclaiming the week of March 23 through March 27, 2015, as California
Aerospace Week. Status: Adopted, 2015.
r) SR 60 (Fuller) California Aerospace Days: This resolution recognizes the contributions of the
aerospace industry to the history, economy, security, and educational system of California, its
communities, and its citizens by proclaiming the days of February 29, 2016, and March 1, 2016, as
California Aerospace Days. Status: Adopted, 2016.
REGISTERED SUPPORT / OPPOSITION:
Support
Av Edge (Antelope Valley Economic Development & Growth Enterprise) (sponsor)
California Manufacturers and Technology Association
County of Kern
Kern Economic Development Corporation
ACR 147
Page 12
Opposition
None on File
Analysis Prepared by: Toni Symonds / J., E.D., & E. / (916) 319-2090
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