The state Assembly has passed further changes to an economic development program that was overhauled last week.
Legislation approved last week redirects the enterprise zone program's $750 million in tax credits to three new economic development efforts. Those include revised hiring tax credits and a sales tax exemption for manufacturing and research-and-development equipment.
On Wednesday, the Assembly voted to extend the sales tax exemption to eight years. It would have expired for some businesses after four-and-a-half years. Republicans criticized the original tax break as too short.
SB90 also specifically excludes strip clubs from receiving hiring tax credits, as some did in Sacramento County.
The legislation passed the Assembly 67-0 and heads to the Senate.
Gov. Jerry Brown had sought changes to the enterprise zone program, which he has called wasteful.