‘Job Killer’ Among Costly Proposals Held in Legislature

(September 9, 2013) Strong opposition from the California Chamber of Commerce and other employer groups has succeeded in keeping one “job killer” and other costly proposals from advancing in the legislative process.

Friday, August 30 was the deadline for legislation to pass the fiscal committees, whose task is to consider the financial impacts of proposals.

Held in the Assembly Appropriations Committee, were:

  • SB 404 (Jackson; D-Santa Barbara) Expansion of Discrimination Litigation. This “job killer” makes it virtually impossible for employers to manage their employees and exposes them to a higher risk of litigation by expanding the Fair Employment and Housing Act to include a protected classification for any person who is, perceived to be, or associated with an individual who provides medical or supervisory care to a listed family member.
  • SB 605 (Lara; D-Bell Gardens) Greenhouse Gas Emissions Reductions. Increases the cost of AB 32 compliance and leads to leakage of emissions and jobs by requiring specified criteria be included in the California Air Resources Board scoping plan and requiring greenhouse gas emission reductions be achieved within the areas that are most impacted by greenhouse gas emissions and other air pollutants. Prematurely spends AB 32 auction revenues.

Although SB 605 was held in Assembly Appropriations, there is some speculation that provisions of the bill could resurface in another proposal before legislators adjourn for the year on September 13.

  • SB 124 (Corbett; D-San Leandro) Bid Preference. Increases the cost of state contracts and limits choice by establishing a 5% bid preference to businesses that use a clean energy device, technology or system manufactured in California.

Put on hold Friday in the Senate Appropriations Committee were:

  • AB 889 (Frazier; D-Oakley) Increased Health Insurance Premiums. Reduces health plan flexibility in benefit management, increases health care costs and premiums and reduces employers’ choice of benefit packages to offer their employees by limiting step-therapy protocols to manage prescription drug use.
  • AB 453 (Mullin; D-South San Francisco) Barrier to Development. Undermines the implementation of SB 375 by adding Local Agency Formation Commissions (LAFCOs) to the list of governmental agencies required to consider greenhouse gas emissions related to development.