The latest attempt in Sacramento to actually support manufacturing in the Golden State showed some promise, but ultimately may not end up on the governor’s desk this year.

AB 52 is the California Chamber of Commerce-supported job creator bill that would provide an economic incentive for manufacturers to invest in production in California.

Authored by Assemblymember Timothy Grayson (D-Concord), AB 52 expands the sales and use tax exemption for the purchase of manufacturing and research and development equipment.

The hope is to make California far more competitive and attractive for industry, to create the kind of jobs that have comfortably sustained wage earners for generations.

The CalChamber was excited to report earlier this month that AB 52 had advanced out of the Senate Committee on Appropriations. But as of Monday, it was referred to the suspense file, where fiscal bills often go to die.

AB 52 is estimated to result in general fund losses of $730 million over the next three years, which is a hard pill to swallow staring in the face of a $32 billion budget deficit. But it’s shortsighted to weigh that number without considering the economic impact of manufacturing investment on a diverse workforce.

Gov. Newsom vetoed a similar bill, AB 1951, last year. That bill differed, however, in that the additional revenue loss would be borne by local governments rather than the state general fund.

AB 52 is the sort of short in the arm that industry needs. Instead, Sacramento seems laser-focused on bills that would create additional costs and liability for employers.

Just in case anyone is curious about why California continues seeing a steady drip of businesses leaving the state.