The governor believes we'd see more active construction sites if his 10-thousand dollar home buyer tax credit was extended. It encourages home ownership and creates jobs.
Governor Schwarzenegger said, "This area here has been affected tremendously, the central Valley with a much higher unemployment rate. This is why I wanted to come here today and again spotlight this area and make people aware we can do something about it."
The state's job outlook is clouded by a 12.2 percent unemployment rate. The housing industry has been hit extremely hard.
Danny Curtin of the Carpenters Union said, "Five years ago we had about 850-thousand construction workers in California. This year right now as of November we had 250-thousand less."
Curtin said only a third of carpenters around the state are working.
The homebuyer tax credit needs legislative approval but the governor said it has proven to be a success. Schwarzenegger explained, "Last year when we extended the tax credit it started a whole chain reaction. Homes were sold and therefore builders began building permits."
Schwarzenegger believes the state could afford setting aside 200-million dollars to keep the tax credit program.
The homebuyer tax credit is just one part of the governor's California job initiative, which he said would create 100-thousand jobs and train 140-thousand workers.
