CA Economy and EnvironmentThe Role of ManufacturingIndustrial Council of Contra Costa

March 18, 2015

Dorothy RothrockPresident, CMTA

www.cmta.net

Alcoa Fastening SystemsAllergan Altria Client Services, Inc. Anheuser-Busch Companies, LLC. AT&T California Baxter Healthcare CorporationBayer HealthCare Berg McAfee Companies Bishop-Wisecarver Corp. BP America, Inc. California Steel Industries, Inc. CalPortland Company Chevron Chrysler LLC Eli Lilly & CompanyExxonMobil Corporation General Dynamics - NASSCO General Motors LLC Intel Corporation

International Paper Company Johnson & Johnson Koch Companies Public Sector, LLC MillerCoors, LLC Northrop Grumman Space & Technology Novartis Pharmaceuticals Corporation Occidental Petroleum Corp. Owens-Illinois, Inc. Paulson Manufacturing CorporationPfizer IncPPG Aerospace Praxair, Inc. RAI Services Company Shell Oil Company Solar Turbines, Inc. The Dardanelle Group, Inc. The Dow Chemical Company USS-POSCO Industries Valero Energy Corporation

CMTA Board Member Companies

CA mfg supports environment & public health

– Mfg jobs are higher wage and pay taxes

– Mfg innovation creates new, better, products to improve health and environment

– Mfg multiplier effect adds additional tax revenue to support safety net public health and education

– Mfg’ers invest in energy efficiency and comply with strict environmental standards – lowering global GHG emissions.

How is mfg faring in California?

Challenges for CA Mfg

• Cost of doing business – 16 to 33% > US average• Electricity Rates – 70% higher than US average (Dec

2014)• Cap and Trade – auction costs and benchmarks• Worker’s Comp – Highest in US per $100 of payroll• Skilled Workers – Hard to find!The good news: • Mfg Tax Programs: Sales tax exemption and

CalCompetes job credits (until 2022)• Career Tech Education grant proposal – this year

CMTA MFG AGENDA

Policies and tools to accomplish state goals• Technologically feasible climate change goals• Extend the mfg tax and job credit policies • Workforce development funding and strategies• Modernize the labor code to add flexibility• Remove barriers to energy management and

efficiency

Dorothy Rothrockdrothrock@cmta.net916.498.3319 www.cmta.net