Business Competitiveness

Ensuring innovation can scale and our region remains globally competitive.

Business Competitiveness Aurora

Overview

SVLG’s Business Competitiveness Center of Expertise (COE) serves as SVLG’s engine for both policy and advocacy on tax competitiveness, broadband deployment, data center readiness, and overall business climate.

Through research, economic analysis, advocacy, and direct engagement with industry and policymakers, the COE translates real-world business challenges into actionable policy – supporting a competitive tax environment, expanding broadband access, preparing the region’s digital infrastructure for next-generation innovation, and advancing predictable regulatory frameworks.

Policy, Initiatives & Partnerships

Key initiatives in 2026 include:

Catalyzing innovation, investment, and broad-based economic growth. The SVLG Tax Policy Task Force brings together leaders from across the innovation economy to advance a pragmatic, forward-looking tax agenda that strengthens California’s competitiveness while supporting long-term, inclusive economic growth. Through policy development, advocacy, and strategic engagement, the Task Force is helping shape a tax environment where innovation can scale and communities can thrive.

Driving advocacy for the physical backbone of the AI revolution. By convening leaders across energy, cooling, construction, and digital infrastructure, the Coalition tackles permitting bottlenecks, grid reliability, and sustainable development — securing the long-term competitiveness of California’s data center ecosystem. (In partnership with SVLG’s Tech & Innovation COE)

Advocacy Priorities

On the advocacy front, SVLG’s Business Competitiveness COE focuses on advancing policies that strengthen the core conditions for growth – including tax competitiveness, modern infrastructure, and regulatory clarity to support investment and scale.

Key Legislative and Regulatory Priorities

Ensuring California’s tax structure attracts and retains companies, talent, and capital in an increasingly mobile global economy.

In 2026, SVLG sponsored SB 1120 (McNerney), which would extend CalCompetes tax credits to early-stage companies and startups. SB 1120 covers industries at the forefront of technological change. Quantum computing, fusion energy, advanced semiconductors and biotech will define the global economy in the coming decades.

SVLG is also advocating for preserving the “water’s-edge election” in California, which allows corporations to exclude foreign subsidiary profits from state taxation, preventing worldwide combined reporting. We have testified in opposition to AB 1790 to protect member company competitiveness.

SVLG’s climate and clean energy policy work is focused on advancing solutions that strengthen California’s economic competitiveness while accelerating progress toward the state’s ambitious climate goals. We support policies that promote reliable and environmentally responsible investments in grid modernization, clean technology innovation, and water and energy infrastructure. This includes advocating for market-based approaches, streamlined permitting for clean energy projects, as well as advocating for state and federal funding for research and development.

To remain competitive, California must address its housing shortage with urgency and discipline. For decades, SVLG has advocated for pragmatic solutions to build more housing, with a particular focus on high‑density, mixed‑use development near major transit corridors. Today, SVLG remains focused on working with partners at the local and state level to increase our housing supply through streamlined permitting, and CEQA modernization.

SVLG’s transportation policy work focuses on advancing practical, forward-looking solutions that improve mobility, reduce congestion, and support long-term economic competitiveness. Today, SVLG is working in partnership with regional stakeholders to advance shared priorities and drive coordinated progress across the Bay Area and California, including support for policies such as SB 63 that strengthen and modernize the state’s transportation system through sustainable funding and strategic investment.