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Santa Ana doesn't have the corporate cachet of Irvine or Anaheim's tourism.
But Orange County's most populous city does have a carrot for businesses: state tax credits under California's enterprise zone program.
Santa Ana is the only city in the county with an enterprise zone, a program designed to bring jobs to poor areas.
The zone "levels the playing field-makes us competitive," said Lina German, enterprise zone coordinator for the city of Santa Ana. "It counters the challenges in Santa Ana."
But the clock is ticking on Santa Ana's enterprise zone, and others across the state. The program is set to expire in mid-2008.
So far, Santa Ana officials and others have failed to persuade the Legislature to give cities a five-year extension. With Sacramento's budget mess, getting lawmakers to extend tax breaks is proving a tough sell.
The Franchise Tax Board estimates the cost of five-year extensions at about $100 million for the 2009-2010 budget under the most expensive scenario. Enterprise zone backers say economic growth from the program pays for itself.
Privately, some question whether Santa Ana, home to some of the county's largest companies and scores of manufacturers, still needs the help.
Among the beneficiaries is Ingram Micro Inc., the county's largest company by yearly sales. The technology products distributor employs about 850 people in Santa Ana.
"An enterprise zone is very important to Ingram Micro, and for it to be here in Santa Ana," said Jennifer Baier Anaya, an Ingram Micro spokeswoman.
The city has selling points besides tax credits, according to Chris Chinnici, a senior vice president at real estate brokerage Collins Commercial Corp. in Irvine. Those include a strong work force and relatively cheap real estate, he said.
"There's other motivating factors for them to go there," Chinnici said. The enterprise zone "is just another feather in the cap."
Santa Ana officials point to gains the city has made under the program and fear they'll lose ground without it.
Already, city officials said delays for the enterprise zone extension are hampering their ability to...