Escondido will not receive a special state designation that could have lured high-tech and science companies to the city with tax incentives, city officials said Thursday.

The city was vying with more than two dozen other cities in California for four available slots in the state's Enterprise Zone program, which was created by the state Legislature in 1984 to help struggling communities attract businesses.

This spring was the first time Escondido had ever applied for the designation, which could have yielded up to $37,700 in tax credits for businesses hiring workers who were economically disadvantaged, laid off or veterans.

The program also includes tax credits for equipment purchases and a streamlined permitting process.

Escondido's proposed zone would have spanned much of the city, reaching County Club Drive to the west, El Norte Parkway to the north and Midway Drive to the east.

On the south, the zone would be bordered by Oak Hill Drive, Juniper Street, Centre City Parkway and Ninth Avenue.