The Down Range Forum
Member Section => Down Range Cafe => Topic started by: MikeBjerum on June 19, 2025, 02:34:08 PM
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Follow your newsfeeds, and daily there is a story of doom and gloom from California concerning big business closing facilities and putting hundreds out of work. Today I read another, and in the article they pointed back to this is the worst situation since the recession of 2020. Couldn't get through without pointing to 2020, pointing out the recession, but not saying a word about COVID.
The nice thing about being in the final third, maybe fourth (depending on life expectancy charts) of my life is that I was taught to not listen to half-truths or doctored spins. I was taught to absorb, search for more facts, and reason out the truth. Further research points to every one of these is a matter of old and obsolete facilities being closed due to efficiency, code changes, and/or moving out of high-tax and restrictive cities.
San Francisco and Los Angeles are bleeding businesses like a burst aortic aneurism. Not mentioned is these operations being moved inland to either more modern or new facilities, and to facilities that utilize new technology that is not supported in the old urban facilities and urban infrastructure.
This also brings up the loss of jobs within the support industries surrounding these closed facilities. Job loss leading to more job loss meaning loss of tax revenue and inability to pay for public services. Of course, the comment threads under these reports are heavy with increasing the taxes on "the rich." I even read of a plan to tax the companies for closing.
How long will it take for these community leaders, politicians, and do-good organizations to realize that they need to become neutral to supportive toward businesses if they want them to stay, improve, and expand in their cities. Penalizing a job creator only leads them to making future plans that involve abandoning the city.
Another great ploy Sacramento is batting around involves an "Import Tax." Sounds a lot like the tariffs that they hate so much. This tax will be applied to all goods entering the state from a business that does not have a brick-and-mortar footprint in the state. By the way, none of these large international companies are leaving California. They are simply moving out of the old metropolitan sited facilities that need to be replaced.
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What big cities around here do is offer big companies tax incentives, saving them millions of dollars to move here, or to stay if they're already here. Sometimes it's enough, and sometimes it's not. But government trying to rape the companies doesn't work. Of course Commies will never figure that out, and that's just one of many problems in Califoreigner.
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Nations 2nd largest Wine/Spirits Distributor Exits California
Now part of it is they've lost some significant deals, e.g., Gallo, but a good part of it is the cost of doing business in good ole CA.
https://californiainsider.com/california-news/business/company-news/nations-2nd-largest-wine-and-spirits-distributor-exits-california-market-over-costs-suppliers-5869557 (https://californiainsider.com/california-news/business/company-news/nations-2nd-largest-wine-and-spirits-distributor-exits-california-market-over-costs-suppliers-5869557)
Personally I stopped buying California wines years ago, mostly as a political statement (i'm sure they've missed me) but also, I like to tell people, in part to help conserve water in the state by not supporting exportation of water based products. ;D
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Last year's news.
Chevron, after 145 years in California, is relocating to Texas, a milestone in oil’s long decline in the state
https://www.latimes.com/business/story/2024-08-02/chevron-in-a-blow-to-california-says-it-is-relocating-to-houston (https://www.latimes.com/business/story/2024-08-02/chevron-in-a-blow-to-california-says-it-is-relocating-to-houston)
https://buildremote.co/companies/companies-leaving-california/ (https://buildremote.co/companies/companies-leaving-california/)
And the people out there in Kalifornia still don't get it. Whining about a carbon footprint...boo hoo hoo...and how filming out-of-state (that would be Kalifornia) is environmentally irresponsible.
https://www.hollywoodreporter.com/business/business-news/film-tv-production-exodus-bad-la-environment-1236181145/ (https://www.hollywoodreporter.com/business/business-news/film-tv-production-exodus-bad-la-environment-1236181145/)
The quicker these kooks turn LA into a destitute version of Detroit the better.
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Businesses can't stay in places that make it unprofitable to do business. CorBon Ammo was founded in the Detroit area and moved to South Dakota a LONG time ago. I'm almost certain it was because of taxes and the cost of doing business. Why else would anyone move to South Dakota? I'm sure it's a nice state, but I never heard anyone talk about packing up their stuff and going there. I never had anyone talk about going on vacation there either, except to see the tourist attractions built to draw them their, like Mount Rushmore. And that's usually just a stop on a longer trip to another state.