GOOD MORNING I AM ASSEMBLY
WOMAN COUNTY PETRIE-NORRIS
CHAIR OF THE ASSEMBLY SELECT
COMMITTEE ON SMALL BUSINESS AND
ENTREPRENEURSHIP I WOULD LIKE
TO WELCOME EVERYONE TO TODAY'S
INFORMATIONAL HEARING OUR TOPIC
TODAY IS THE CALIFORNIA
COMEBACK PANDEMIC RECOVERY FOR
SMALL BUSINESS AND THAT I'LL GO
AND CALL THE HEARING TO ORDER-
I'D ALSO NOTE THAT THIS IS THIS
SUBCOMMITTEE AT THE SELECT
COMMITTEE'S FIRST HEARING OF
THE TWENTY TWENTY ONE TWENTY
TWO LEGISLATIVE SESSION AND I
AM REALLY LOOKING FORWARD TO MY
ROLE AS CHAIR OF THE SELECT
COMMITTEE I THINK WE HAVE A
REAL OPPORTUNITY TO. LIFT UP
THE VOICES OF SMALL BUSINESS
OWNERS AND ENTREPRENEURS HERE
IN THIS CAPITAL AND FORGE
POLICIES AND AT SOLUTIONS THAT
ARE GOING TO HELP MOVE ALL OF
CALIFORNIA FORWARDS- I ALSO
WANT TO THANK THE MEMBERS WHO
ARE SERVING WITH ME ON THE
SELECT OMMITTEE I AM GRATEFUL
TO ALL OF YOU FOR YOUR
LEADERSHIP AND YOUR PARTNERSHIP
AND AS BEFORE WE BEGIN LET ME
JUST HIT ON A COUPLE OF
HOUSEKEEPING ITEMS SO. ARE WE
ARE REQUIRING THAT MASKS BE
WORN BY ALL MEMBERS OF THE
PUBLIC IF YOU DO NOT HAVE A
MASK WE CAN PROVIDE ONE FOR YOU.
FOLLOWING OUR TWO PANELS WE
WILL BE OPENING UP THE HEARING
FOR PUBLIC COMMENT. IF ANY
MEMBER OF THE PUBLIC HERE IN
THE ROOM WITH LIKE TO SPEAK
DURING THAT TIME PLEASE RAISE
YOUR HAND AND I WILL ASK YOU TO
APPROACH THE MICROPHONE AT THE
APPROPRIATE TIME- WE JUST
REMIND EVERYONE PLEASE DO NOT
TOUCH THE MICROPHONE. IN
ADDITION TO IN PERSON COMMENT
WE WILL ALSO BE USING AND
MODERATED TELEPHONE SERVICE.
THROUGH WHICH ANY MEMBER OF THE
PUBLIC CAN CALL IN AND OFFER
PUBLIC COMMENT. THE CALL IN
NUMBER FOR THIS HEARING IS.
EIGHT SEVEN SEVEN SIX NINE TWO
EIGHT NINE FIVE SEVEN. THE
ACCESS CODE IS. ONE THREE ONE
FIVE FOUR THREE SEVEN YOU CAN
ALSO FIND THIS NUMBER ON THE
SELECT COMMITTEE. FOR SMALL
BUSINESS AND ENTREPRENEURSHIP
WEBSITE AS WELL AS ON YOUR
TELEVISION SCREEN. IF YOU ARE
CALLING IN REMINDER TO PLEASE
ELIMINATE ALL BACKGROUND NOISE
THIS INCLUDES MEETING YOUR
LIVESTREAM BROADCAST IN YOUR
SMART DEVICES. TO REDUCE ANY
SOUND DISTORTION. IF YOU'RE
HAVING ANY PROBLEMS WITH THE
MODERATED PHONE SERVICE YOU CAN
CALL THE COMMITTEE. AT. NINE
ONE SIX THREE ONE NINE TWO ZERO
SEVEN FOUR. AND MY STAFF WILL
BE THERE TO HELP. I WOULD LIKE
TO THANK ALL OF OUR SPEAKERS
WHO ARE JOINING US HERE TODAY
FOR TAKING TIME TO SHARE YOUR
EXPERTISE ON THIS REALLY
IMPORTANT. TOPIC AS WE REALLY
VALUE YOUR PARTICIPATION AND
TAG YOUR PARTNERSHIP. WE KNOW
THAT CALIFORNIA'S SMALL
BUSINESSES ARE. THE HEART AND
SOUL OF CALIFORNIA'S ECONOMY
AND EMPLOY THE VAST MAJORITY OF
CALIFORNIANS. WE ALSO NOTE THAT
ARE SMALL BUSINESSES ARE THE
HEART AND SOUL OF OUR
COMMUNITIES. V. COVERED
NINETEEN CRISIS HAS ABSOLUTELY
DECIMATED SMALL BUSINESSES ALL
ACROSS THE STATE THOUSANDS OF
CALIFORNIA SMALL BUSINESSES
HAVE CLOSED THEIR DOORS FOREVER
THOUSANDS MORE ARE TEETERING ON
THE BRINK. THE LEGISLATURE HAS
RECOGNIZED BOTH- THE GRAVITY
AND THE URGENCY OF THE
CHALLENGES CONFRONTING
CALIFORNIA SMALL BUSINESSES AND
WE HAVE DIRECTED MORE THAN FOUR
BILLION DOLLARS IN REALLY FUNDS
TO SUPPORT STRUGGLING SMALL
BUSINESSES AT THIS CRITICAL
JUNCTURE. BOB BUT WE ALSO
RECOGNIZE THAT THERE IS MUCH
MORE TO DO THAT THERE ARE.
GREAT CHALLENGES CONFRONTING
OUR SMALL BUSINESSES THAT ARE
PRECEDED THE PANDEMIC AND HAVE
CERTAINLY BEEN EXACERBATED BY
IT AS I SAID THIS IS A PIVOTAL
MOMENT IN CALIFORNIA'S POST
COVERED RECOVERY. AND TODAY'S
PANEL WILL FOCUS ON THE
PANDEMIC RECOVERY FOR SMALL
BUSINESS OUR FIRST PANEL IS
GOING TO PROVIDE AN UPDATE ON
THE STATE OF PLAY FOR SMALL
BUSINESSES ACROSS CALIFORNIA.
AND PENALTY WILL EXPLORE SOME
OF THE KEY RECOVERY CHALLENGES
FACING SMALL BUSINESSES AND
OFFER AND EXPLORE POLICY
SOLUTIONS TO HELP ADDRESS THAT.
I BEFORE WE MOVE INTO OUR
PANELS. AB LET'S SEE I WOULD
WAS GOING TO SEE IF ANY OTHER
MEMBERS WANTED TO WISH TO MAKE
A STATEMENT WE'RE STILL WAITING
FOR MEMBERS TO JOIN US SO- WE
WILL LET THEM JUMP IN WHEN THEY
ARRIVE. AND DIETING WITHOUT
FURTHER ADO WE'LL GO AHEAD AND
BEGIN OUR FIRST PANEL. WITH
LIKE TO AT WELCOME. HI BRIAN
URLACHER WHO IS JOINING US FROM
THE LEGISLATIVE ANALYST'S
OFFICE. BY BIANCA BLOM QUEST
WHO IS JOINING US FROM SMALL
BUSINESS MAJORITY AND DR ROBERT
FAIRLY- WHO IS JOINING US FROM
THE UNIVERSITY OF CALIFORNIA AT
SANTA CRUZ. THANK YOU ALL FOR
BEING HERE AS I SAID WE REALLY
VALUE YOUR AT YOUR EXPERTISE
YOUR INPUT AND APPRECIATE YOU
TAKING THE TIME TO ADD TO JOIN
US THIS MORNING. WE'LL GO AHEAD
AND ADD. REGULAR THANK YOU.
IT'S NOT ON. ON YEAH. MASCARA.
INTRAVASCULAR A COMPLEX ON THE
COVER. CAN CANYON AREA. THANK
YOU. THANK YOU MADAM CHAIR
BRAND YOU ARE FROM THE FROM THE
L. A. O. I PREPARED A HANDFUL
OF SLIDES FOR THE PRESENTATION
TODAY I DON'T KNOW WE'RE GONNA
COME UP OVER HERE OR YES I
THINK WE'RE GONNA GET THEM ON
THAT SCREEN OKAY GREAT THANK
YOU- SO IT'S GOING TO HELP SORT
OUT THE HEARING TODAY TO JUST
KIND OF PROVIDE SOME CONTEXT
FOR THE REST YOUR DISCUSSION BY
OFFERING SOME OBSERVATIONS ON A
HANDFUL OF KIND OF HIGH LEVEL
STATISTICS THAT SHOW KIND OF-
THE DEVELOPMENT OF BUSINESS AND
BUSINESS ACTIVITY IN THE STATE
OVER THE LAST. YEAR AND A HALF
OR SO- AND TO JUST- KIND OF
HELP YOU BOTH GET A SENSE OF
HOW THE PANDEMIC IS AFFECTED
BUSINESSES AND WHAT SORTS OF
THINGS YOU COULD BE FOLLOWING
TO TRACK THE RECOVERY ROOM AS
WE MOVE FORWARD- SO GOING TO
THE FIRST SLIDE- STARTING WITH
JUST A COUPLE OF KIND OF HIGH
LEVEL STATISTICS ON WHAT'S
HAPPENED TO BUSINESS AND
BUSINESS INCOME- THIS FIRST
SLIDE HERE SHOWS KIND OF. THE
TREND IN THE NUMBER OF TOTAL
EMPLOYERS IN THE STATE AND
BROKEN OUT BY THE SIZE OF THE
EMPLOYER BASED ON HOW MANY
EMPLOYEES THEY HAVE AND A
COUPLE OF OBSERVATIONS HERE ONE
IS THAT WE SEE THAT EMPLOYERS
OF ALL SIZES- SAW HUGE
DECLINES- EARLY ON IN THE IN
THE PANDEMIC- ANOTHER NOTABLE
AND THEN PERHAPS SOMEWHAT
SURPRISING THING IS THAT WE'VE
SEEN. OF THE MOST RECOVERY
AMONG THE SMALLEST EMPLOYERS-
AND THOSE WITH FEWER THAN TEN
EMPLOYEES AT SOMETHING IN A
KIND OF AN IMPORTANT NUANCE
HERE TO KEEP IN MIND IS THAT
THIS PROBABLY DOESN'T REFLECT-
BUSINESSES THAT EXISTED PRE
PANDEMIC THAT HAD TO SHUT DOWN
BECAUSE OF THE PANDEMIC COMING
BACK ONLINE- MORE LIKELY THIS
REFLECTS THE FACT THAT WE'VE
SEEN KIND OF A HEIGHTENED LEVEL
OF NEW BUSINESS FORMATION
DURING THE PANDEMIC IN A LOT OF
THAT HAS BEEN- FOLKS WHO
STARTED BUSINESSES THAT ARE
CATERING TO THE WAY THAT PEOPLE
AND BUSINESSES OF ADAPTED-
THEIR PERSONAL AND WORK LIVES
TO- KIND OF THE NEW REALITIES
THE PANDEMIC IS CREATED SO. I
JUST CONVERSING SOME OF THIS
RECOVERY HERE IN THE SMALLEST
EMPLOYERS DOESN'T NECESSARILY
MEAN THAT THERE HASN'T BEEN A
LOT OF BUSINESS IS THAT HAVE.
CLOSED OVER THE DURATION OF A
PANDEMIC THE SMALL BUSINESSES-
TURNING THAN THE NEXT SLIDE. A
SIMILAR PATTERN HERE WE ARE
LOOKING AT KIND OF TOTAL
BUSINESS ENCUMBER PROPRIETORS
INCOME WHICH IS ESSENTIALLY
INCOME TO ALL NON CORPORATE
BUSINESSES. WE SEE A SIMILAR
PATTERN HERE WHERE BUSINESS
INCOME DROPPED OFF MORE THAN
20% EARLY ON IN THE PANDEMIC
AND IT HAS STARTED TO CLIMB
BACK BUT EVEN STILL. ALL
REMAINS WELL BELOW- KIND OF THE
LEVELS WE MIGHT HAVE EXPECTED
IF WE'D WRITTEN REMAINED ON THE
PRE PANDEMIC GROWTH PATH WHICH
YOU CAN SEE IS THAT KIND OF
LIGHT BLUE LINE THERE ON THE
CHARTS SO. STILL HAVE NOT
RECOVERED. TO THE LEVELS WE
WERE BEFORE THE PANDEMIC- SO
BUT LOOKING A LITTLE MORE. IN
DETAIL IT A COUPLE OF THE BIG.
DRIVERS OF WHY WE SEEN A
DECLINE EMPLOYERS WHY WE'VE
SEEN A DECLINE IN BUSINESS
INCOME IF WE CAN. GO TO THE
NEXT SLIDE- ONE OF THE KEY
STORIES HERE IS THAT. THERE WAS
A SUDDEN AND DRAMATIC DECLINE
IN. CONSUMER SPENDING AND
DEMAND EARLY ON IN THE PANDEMIC
AND- THAT SUSTAINED A
PARTICULARLY FOR. CERTAIN
SECTORS. OF OVER MUCH OF THE
LAST YEAR- AND SO YOU CAN SEE.
WALL SPENDING. AMONG
CALIFORNIANS IN AND SORRY LET
ME BACK UP A LITTLE BIT THE
START SHOWING. AND IT TOTALED A
CREDIT AND DEBIT CARD SPENDING
AMONG ALL CALIFORNIANS- YOU CAN
SEE TOTAL SPENDING WENT DOWN-
BUT IT'S PARTICULARLY
PRONOUNCED FOR BUSINESSES IN
THE LEISURE AND HOSPITALITY OR
SO. RESTAURANTS HOTELS
ENTERTAINMENT VENUES. OF HUGE
DROP OFF IN SPENDING THEIR
REMAIN DEPRESSED FOR MUCH OF
THE LAST YEAR IN A LITTLE BIT
OF A LITTLE BIT OF HOPE HERE AT
THE END YOU CAN SEE HERE JUST.
THE MOST RECENT DATA IN JUNE.
DOES SO THAT WE ARE FINALLY
STARTING TO SEE SOME RECOVERY
IN SPENDING IN THOSE AREAS SO
THAT'S A HOPEFUL SIGN AND
SOMETHING TO FOLLOW GOING FOR
BUT NONE THE LESS. THESE
BUSINESSES HAVE DEALT WITH- YOU
KNOW DEMAND FOR THEIR SERVICES
BEING DEPRESSED WELL BELOW
NORMAL LEVELS FOR OVER A YEAR-
NEXT SLIDE- RELATED TO THIS
STORY- IS. THAT TOURISM TO
CALIFORNIA- SO HAS HAD A
SIMILAR DRAMATIC FALL AT THE
BEGINNING THE PANDEMIC. AND
MAYBE UNLIKE THE SPENDING HAS
STILL NOT RECOVERED- THIS THIS
IS SHOWING. AIRLINE TRAVEL BOTH
DOMESTIC AND INTERNATIONAL TO
CALIFORNIA BASED ON. SOME DATA
FROM VISIT CALIFORNIA. AND
AIRLINE TRAVEL FELL BY MORE
THAN TWO THIRDS EARLY IN THE
PANDEMIC AND IT'S STILL- MORE
THAN A THIRD IN TERMS OF
DOMESTIC TRAVEL BELOW WHERE IT
WAS BEFORE THE PANDEMIC SO A
LOT OF RECOVERY THERE. TO STILL
BE HAD IN TERMS OF TOURISM- AND
THIS IS AN AREA WHERE THE
LEGISLATURE IS HAS ALREADY-
TAKEN SOME ACTIVE INTERVENTION
IN PROVIDING ADDITIONAL FUNDING
TO VISIT CALIFORNIA THROUGH THE
THROUGH THE BUDGET TO KIND OF
UP THE- THE STATE'S MARKETING
EFFORTS THERE- AND ANOTHER THE
SO THAT'S THAT'S SOMETHING
DEFINITELY TO KEEP AN EYE ON
THE IMPLEMENTATION OF THAT
MOVING FORWARD TO SEE IF IT IS
EFFECTIVELY. HELPING TO REVERSE
THIS PATTERN. A COUPLE OF
OTHER. A COUPLE OF OTHER THINGS
FOR THE- THE COMMITTEE TO KEEP
ITS EYE ON MOVING FORWARD TO
FALL THE RECOVERY. OF OUR
DEVELOPMENTS IN IN LABOR
MARKETS AND WITH INFLATION SO
IF WE COULD GO TO THE NEXT
SLIDE- IN TERMS OF LABOR
MARKETS A HOPEFUL SIGN IS THAT
IN RECENT MONTHS WE'VE SEEN
THAT. JOB OPENINGS- HAVE. GONE
UP SIGNIFICANTLY AND IN FACT
AND IN MANY PARTS OF THE
COUNTRY ARE AT KIND OF HISTORIC
HIGHS. AT LEAST SINCE WE'VE
BEEN TRACKING THIS DATA- AT THE
SAME TIME. IF WE GO TO NEXT
SLIDE AT THE SAME TIME-
EMPLOYMENT IN THE MOST IMPACTED
SECTORS LIKE LEISURE AND
HOSPITALITY WHICH WE'RE SEEING
HERE REMAINS. A SIGNIFICANTLY
DEPRESSED- AND WE HAVEN'T SEEN
QUITE THE REBOUND IN
EMPLOYMENT. IN THE LEISURE AND
HOSPITALITY SECTORS THAT WE
WOULD EXPECT KIND OF
COMMENSURATE WITH. THE UPTAKE
AND JOB POSTINGS THE UPTICK IN
DEMAND FOR- WORKERS AND THE
DEMAND FOR THE SERVICES IN THIS
SECTOR. SO THERE THERE DOES
APPEAR TO BE SOME FRICTIONS
PERHAPS SHORT TERM FRICTIONS
IN- BRINGING WORKERS BACK INTO
THESE BUSINESSES- AND THAT'S SO
THAT'S DEFINITELY SOMETHING I
SUSPECT WILL BE. A TOPIC OF
DISCUSSION AMONG SOME OF THE
OTHER PANELS LATER TODAY AND
SOMETHING FOR THE COMMITTEE TO
CONSIDER MOVING FORWARD IN. THE
CAN YOU CONTINUE TO TRACK. AW A
FINAL KIND OF A DATA POINTED TO
KEEP TO KEEP AN EYE ON TO- WITH
TRACKING THE RECOVERY MOVING
FORWARD IS WITH- INFLATION SO
IF WE GO TO THE NEXT SLIDE. I'M
SURE YOU'VE HEARD OFTEN. ON THE
NEWS OR AND MEDIA. THAT THE
RECENT MONTHS I'VE SEEN A
MARKET UPTAKE IN INFLATION- AND
THIS IS- THIS GRAPHIC HERE
SHOWING ONE. COMMON MEASURE OF
THAT THAT IS PERHAPS MORE
RELEVANT FOR BUSINESS IS CALLED
THE PRODUCER PRICE INDEX. I
KIND OF CAPTURES THE BROADCAST
OF MANY GOODS AND SERVICES AND
WE SEE HERE OVER THE LAST THREE
MONTHS. A SIGNIFICANT UPTICK IN
KIND OF COSTS THAT YOU MIGHT
EXPECT BUSINESSES TO BE FACING.
AND SO IF THIS WERE TO BECOME A
MORE PERMANENT PATTERN THAT
WOULD YOU KNOW BE A PRETTY
IMPORTANT PRESSURE FOR
BUSINESSES MOVING FORWARD-
HOPEFULLY OF MANY MOST.
ECONOMISTS AT THE MOMENT APPEAR
TO THINK THAT THIS WILL BE A
TEMPORARY THING MORE OF A
REFLECTION OF. THE FRICTIONS
INHERENT OF BRAIN KIND OF THE
ECONOMY BACK ONLINE AND THAT
WE'RE SEEING SUDDEN DEMAND FOR
THINGS BEFORE BUYING BEFORE AND
BUSINESSES ARE HAVING A HARD
TIME RAMPING BACK UP TO MEET
THAT- AND THAT HOPEFULLY THAT
WILL KIND OF WORK ITSELF OUT IN
THE COMING MONTHS- BUT-
NONETHELESS THIS IS KIND OF
ALSO AN IMPORTANT INDICATOR TO.
TO FOLLOW ARE MOVING FORWARD
TO. BET THAT COULD YOU KNOW
CREATE ADDITIONAL PRESSURE FOR
BUSINESSES. OF SO- THAT
CONCLUDES MY PRESENTATION- BUT
I'M HAPPY TO ANSWER ANY
QUESTIONS AT THE END OF THE
PANEL. THANKS FOR THAT AND FOR
PUTTING PLAINTIFF AT THE SIDES-
I JUDGE THE BENCH QUESTIONS BUT
I THINK WHAT WE'LL DO IS HEAR
FROM ALL OF OUR PANELISTS AND
THEN I. JUMP INTO IT TO
QUESTIONS ON THAT FOR YOU AND
FOR THE OTHER FACTS- THANKS MR
YELLA. AND I THINK NEXT WE ARE
GOING TO TURN TO OUR AT OUR
SCREEN AND WE'RE JOINED BY
BIANCA PLAN QUEST FROM SMALL
BUSINESS MAJORITY. THANK YOU SO
MUCH FOR HAVING EIGHT- I REALLY
APPRECIATE THE OPPORTUNITY AND
CONGRADULATIONS CHAIRWOMAN
ONLINE- THIS BRAND NEW-
COMMITTEE OKAY TO BE HERE- I'M
GOING TO GO AHEAD AND SHARE MY
SCREEN IN. OKAY GREAT. I SO
AGAIN MY NAME IS BIANCA BLEW
PAST THEM WITH AN ORGANIZATION
CALLED SMALL BUSINESS MAJORITY-
I'D LOVE TO SHARE A LITTLE BIT
ABOUT OUR ORGANIZATION AND-
AND- HOPEFULLY IT WILL HELP
UNDERSCORE- OUR GOAL ON THIS
PANEL TODAY SO EXCITED TO BE
PRESENTING WITH DOCTOR FAIRLY
AND BRIAN LMAO- SMALL BUSINESS
MAJORITY IS A NATIONAL
NONPROFIT ORGANIZATION- WE
ADVOCATE FOR SMALL BUSINESS
OWNERS ARE THROUGHOUT THE
COUNTRY BUT ESPECIALLY HERE IN
CALIFORNIA ON ISSUES RELATED TO
ACCESSING CAPITAL AND PREDATORY
LENDING- AND HOW CAN SMALL
BUSINESSES- PROVIDE QUALITY
JOBS FOR THEIR WORK FORCE. NOW
WE DO THIS PRIMARILY THROUGH
OUR CONVERSATIONS JUST LIKE
THESE WITH POLICY MAKERS SUCH
AS THIS HAPPENS YOU'RE STUCK
OUT AS WELL ACT AS A LOT OF
EDUCATION IT DIRECTLY WITH
SMALL BUSINESS OWNERS ON THESE
ISSUES IN FACT MY ROLE IS
SOMEWHAT UNIQUE IN THAT IT'S
LET TIME OUT WHICH MEANS I
SACRAMENTO WORKING ON POLICY
ISSUES AND WORKING DIRECTLY
WITH SMALL BUSINESS OWNERS AND
STAKEHOLDERS WE CONDUCT THIRD.
PARTY INDEPENDENT THERE'S A
SMALL BUSINESS OWNERS
NATIONWIDE INSTEAD UNLIKE THAT
AND REAL EXCITED TO SHARE OF
THE DTA THAT WE BEEN
COLLECTING OUT THERE ARE THIRD
PARTY IN THE- BLINK ALSO
THROUGHOUT OUR NETWORK OF
APPROXIMATELY EIGHTY FIVE
THOUSAND SMALL BUSINESS OWNERS.
I WE'VE BEEN CHATTING WITH
THEM- TALKING TO THEM ENGAGING
THAT BAND. PANDEMIC TO REALLY
GET IT THAT IT'S SENSE OF WHAT
THE SMALL BUSINESS OWNER
EXPERIENCE HAS BEEN THROUGHOUT
CLOTHING NINETEEN. ANOTHER
THING I LIKE UNDERSCORE OF THE
AVERAGE SIZE OF A SMALL
BUSINESS AND SMALL BUSINESS
MAJORITIES NETWORK IS
APPROXIMATELY FOUR EMPLOYEES SO
THIS IS WHAT WE CALL. IT SAID
THAT THESE ARE BUSINESSES THAT
TYPICALLY HAVE LESS THAN TEN
EMPLOYEES- AND I THINK- AS MANY
OF THAT'S KNOWN NOW- IF. IT'S
IN THESE THESE BUSINESS OWNERS
IN PARTICULAR ARE CRITICAL FOR
CALIFORNIA'S ECONOMY ANDLOCAL
COMMUNITIES. THAT WORK FOREST
XTERRA. IT'S ALSO IN TO. THAT
THE- THIS ACT. LATE AT HALF OF
AMERICA'S PRIVATE SECTOR
WORKFORCE- AND MOST OF THE NEW
JOBS CREATED ARE ARE IN A MICRO
BUSINESS INSIDE THE YOU KNOW
ONE BEFORE AND PLEASE. AFTER
THE ACCESS TO CAPITAL ISSUES-
AT CHAIRWOMAN YOU DID ALLUDE TO
THAT THE BEGINNING OF THE- HAVE
A COMMITTEE HEARING TODAY AFTER
THAT THE CAP WILL HAVE BEEN. ON
A HUGE ISSUE FOR SMALL BUSINESS
EVEN BE OR OTHER COVERT
NINETEEN PANDEMIC- FRANKLY
SMALL BUSINESSES ARE CONSIDERED
TOO RISKY TO GET A SMALL
BUSINESS LOAN FROM TRADITIONAL
UNDER BURKE. SB A LOANS OFTEN
TAKE TOO LONG FOR TYPICAL SMALL
BUSINESS TO ACCESS THEIR
PRODUCTS OR HAVE PERSONAL
COLLATERAL REQUIREMENTS THAT
ARE FRANKLY UNACHIEVABLE FOR
MANY FOLKS- IN FACT BEFORE THE
PANDEMIC HIT NEARLY ONE IN FOUR
BUSINESS OWNERS DID NOT EVEN
HAVE. A RELATIONSHIP WITH THE
BANK OR A CREDIT UNION. I THINK
THE PANDEMIC MAKE MADE PLAIN
FOR EVERYONE TO SEE A
DISPROPORTIONATE IMPACT THAT-
KOBE NINETEEN AND THE SYSTEMS
THAT WE HAVE IN PLACE. I HAVE
ARMED BUSINESS THE RESULT. IN
PARTICULARLY WHEN ACCESSING
pCAPITAL THAT THEY NEED TO
PROVIDE QUALITY JOBS. A STEADY
JOBS FOR THEIR WORKERS- AND TO
RUN A BUSINESS EFFECTIVELY. I
WENT SEEKING CAPITAL SMALL
BUSINESS. OWNERS THE COLOR AND
WOMEN ENCOUNTER SYSTEMIC
BARRIERS LIKE SEXISM AND RACISM
IN ADDITION TO BEING IN THE
GENERAL RISK POOL OF ARCH OF AN
ENTREPRENEUR. IN FACT OUR DATA
SHOWS- AND WE HAVE LINKS TO OUR
DATA- UNDERNEATH THAT FLIGHTS.
AT 32% OF OUR- CALLS ARE
HANDLED THAT'S FINANCING THAN
THEY THOUGHT COPYRIGHT I MEAN
PERCENT OF WHITE BUSINESS. I'M
TOLD I'M SORRY TO INTERRUPT YOU
WE'RE HAVING A LITTLE. BIT OF A
WEIRD CONNECTION ISSUE. I'M NOT
SURE OKAY. I I'M NOT SURE BUT
ON ON OUR SIDE OR ON YOUR SIDE
THERE ANYTHING WE CAN DO TO.
TRY TO YEAH MAYBE JOINT TRY
TURNING OFF YOUR VIDEOS YOU'RE
JUST STREAMING THAT THE AUDIO
AND SCREEN PRESS MY- YEAH AT
THE END BUT ANYONE SECOND. I'M
MUSEUM REALITY. WOULD IT BE
TWENTY TWENTY AND TWENTY ONE
WITHOUT A TECHNICAL ISSUE. IF.
EACH IS THE SECOND YEAR. OKAY
CAN YOU SEE MY SCREEN WE CAN
SEE YOUR SCREEN YEAH LET'S TRY
THAT. OKAY AND SO I WAS I WAS
CHATTING ABOUT THE PRE PANDEMIC
ISSUES THAT WERE EXACERBATED BY
COCA NINETEEN PRIMARILY FOR
SMALL BUSINESS OWNERS COLOR
WOMEN BUSINESS OWNERS- THAT
HAVE- THAT THE SYSTEMIC
BARRIERS IN ACCESSING CAPITAL.
THESE ARE SOME OF THE ACTIONS
WERE TAKEN I CALIFORNIA SMALL
BUSINESSES IN REACTION TO KOBE
NINETEEN I'M MANY OF THESE ARE
VERY INTUITIVE- I THINK IT IS
VERY IMPORTANT TO UNDERSCORE
THAT GIVEN THE FACT THAT
MICROBICIDE PLOY. I HALF OF THE
WORKFORCE AT THAT THE KIND OF
EMPLOYEE HOURS I'M TRYING TO
THINK IT'S THIS AND THAT LIKE
IN THAT L. A. O. PRESENTATION
AND THE CUTTING OF EMPLOYEE
HOURS AND CLOSING BUSINESSES
TEMPORARILY- MORE SOME OF THE
TOP ACTIONS. THAT SMALL
BUSINESS OWNERS DEBT IN
REACTION TO OF IT NINETEEN. I
ALSO WANTED TO FLAG SOME OF THE
SMALL BUSINESS DISPLACEMENT
ISSUES AND READ CHALLENGES THAT
WE ARE SEEING- IN RELATION TO
SMALL BUSINESS OWNERS IT'S
IMPORTANT TO KNOW HAT IT'S
VERY UNCLEAR. ON TO GET AN
EXACT NUMBER ON A COMMERCIAL
RENTS AFTER AS MANY OF YOU KNOW
THERE'S BEEN A LOT OF EFFORTS-
IN THE LEGISLATURE TO. TACKLE
THE RESIDENTIAL RENT PROBLEM.
ON AS WELL AS THE GOVERNOR'S
EFFORTS TO ON EXTENDED
COMMERCIAL LOCAL JURISDICTIONS
DELAYED THE WORK PERFECT GEN.
I'M HERE HERE'S WHAT WE DO NOW
ALMOST 80% OF COMMERCIAL
TENANTS ARE STRUGGLING TO PAY
RENT OF 46% OF THEM ARE SAYING
THERE ARE MULTIPLE MONTHS
BEHIND ON THEIR RENT OR
MORTGAGE- AS AN EXAMPLE A CITY
OFFICIAL. DILLON SAN JOSE TOLD
ME THAT LAST NIGHT 25% OF SMALL
BUSINESS OWNERS IN SAN JOSE ON
THEIR PROPERTY WITH SIXTY TWO
THOUSAND ACTIVE IN THE CITY.
MORE THAN HALF ARE EXPOSED TO
ADDICTION. AN ESTIMATED TWENTY
TWO THOUSAND COMMERCIAL TENANTS
AND SAN JOSE ARE CURRENTLY
PROTECTED BY. ITS ORIGINAL.
PLAN AND SAN JOSE ALONE. AGAIN
THE UC AFFECTION IF WERE. ARE
AND LOCAL JURISDICTIONS MAY
CHOOSE TO EXTEND THEM THROUGH
SEPT TIMBRE- BUT NOT ALL. AT
COUNTIES ARE DOING THAT. SO THE
GOOD NEWS IS THAT SMALL BUT IT
IS THE NEXT DOWNTURN SUPPORT
QUALITY SOLUTIONS TO MAKE LOANS
MORE AFFORDABLE- OUR
RESEARCHERS FOUND THAT 71% OF
SMALL BUSINESSES SUPPORT POLICY
LEGISLATION HELLO FOLLOWING
COMMUNITY LENDER LIKE CDFI IS
TO MAKE MORE AFFORDABLE LOANS
TO THOSE UNDER BUSINESSES THAT
ARE LARGELY LEFT OUT OF THE
TRADITIONAL BANKING SECTOR THAT
WE CHATTED ABOUT AT THE
BEGINNING OF THE PRESENTATION.
THE US THE END OF. THE THREE
AND THE BOARD OF SUPERVISORS AS
AN EXAMPLE OF THE KINDS OF
POLICY SOLUTIONS THAT SMALL
BUSINESS OWNERS SUPPORT
INVESTED TWO MILLION DOLLARS
FROM THE CITY'S BUDGET SURPLUS
INTO THE CALIFORNIA REBUILDING
PLAN. WHICH IS A PUBLIC PRIVATE
PARTNERSHIP THAT LEVERAGES THE
STATE EIGHT CDFI NETWORK THAT
ALREADY EXISTS. THIS REQUIRE A
VEHICLE FOR LOCAL AND REGIONAL
INVESTMENT. THE CITY ALSO
KICKED IN AN ADDITIONAL TWO
MILLION DOLLARS TO MAKE THESE
LOANS INTEREST FREE FOR SAN
FRANCISCO SMALL BUSINESSES.
SANTA CLARA COUNTY SUPERVISOR
IS JUST MAKE IT IN AND SEE IT
SOONER THAN ALLEN BURKE AGREED
TO INVEST SIX MILLION DOLLARS
IN THE CALIFORNIA REBUILDING
PLAN IN JANUARY. AND I'M
WRAPPING UP MY PRESENTATION
HERE AGAIN TO UNDERSCORE THAT.
THE IMPACT THAT HELPING SMALL
BUSINESS OWNERS TODAY WE'LL
HAVE OUR WORK WORST AND- THE
ABILITY FOR FOLKS TO ACCESS
QUALITY JOBS IN CALIFORNIA.
DURING NETWORK SURVEY 22% OF
SMALL BUSINESSES SAY THAT-
BUSINESS CONDITIONS ARE STILL
ON THE DECLINE. IF THIS SPEAKS
TO THE L. PLAYER DATA THAT
BRIAN- OUTLINED IN HIS
PRESENTATION AND- IN OUR
DECEMBER SURVEY OF CALIFORNIA
SMALL BUSINESSES WITH MORE THAN
60% HAVE NOT RESTORE THEIR
EMPLOYEE HEAD COUNTS TO
FREAKONOMICS LEVELS. I SPOKE TO
A SMALL BUSINESS OWNER JUST THE
OTHER WEEK AND SHE SAID SHE
DOESN'T EXPECT ANY KIND OF
ZERO. TO REQUEST WORKERS HAVE
TO PRINT PANDEMIC LEVELS.
TOPPING THE SMALL BUSINESS
OWNERS OF COLOR WOMEN BUSINESS
OWNERS BUSINESS OWNERS WHO ARE
FOR WHOM ENGLISH MIGHT NOT BE
THEIR FIRST. LANGUAGE IS NOT.
WORK FOR ALL BUSINESS OWNERS.
REALLY UNDERSCORES THE IMPACT
THAT THESE BUSINESSES HAVE ON
THEIR LOCAL COMMUNITIES IN FACT
WE HAVE- RESEARCH THAT
DEMONSTRATES. BUSINESS OWNERS
OF COLOR EMPLOY MORE PEOPLE OF
COLOR. 55% OF BUSINESS OWNERS
OF COLOR HAVE STAFF THAT ARE
COMPRISED MOSTLY OF PEOPLE OF
COLOR AND WOMEN AND FORMER
EMPLOYER THAN INITIAL MOST MALE
BUSINESS OWNERS HAVE IT 70% OF
THE WORKFORCE THAT'S LESS THAN
HALF FEMALE. AND ONE THANK WORK
FOR BUSINESS OWNERS AND ALMOST
ENTIRELY WOMEN THAT 75% OR MORE
WHILE ONLY 4% OF MEN DO THINK.
I AND WITH THAT I WOULD LOVE IT
TOO I THINK IT STANDS AT THE
END OF THE PANEL AGAIN I JUST
WANTED TO UNDERSCORE THE IMPACT
THAT MICRO BUSINESS OWNERS
HAVE. ON THE ECONOMY ON OUR
WORKFORCE PARTICULARLY AMONG
WOMEN BUSINESS OWNERS OF COLOR
THE IMPORTANCE OF INVESTING IN
POLICY SOLUTION AND LIKE THE
CALIFORNIA REBUILDING. AND OURS
IF I'M NOT CORRECT IN ADDITION
TO THE AMAZING TECHNICAL
ASSISTANCE THAT HELPS SMALL
BUSINESS OWNERS NAVIGATE THE
NEXT FEW MONTHS AHEAD. WE KNOW
THAT MANY SMALL BUSINESS OWNERS
ARE GOING ARE ALREADY SEEKING
OUT MORE CAPITAL BOTH IN THE-
FORM OF A FOR LOOP. AND AN ABI
GRANT THE BACK 80% OF SMALL
BUSINESS OWNERS SOMEWHAT
UNSURPRISINGLY I'M SUPPORT
GRANTED. AND TECHNICAL
ASSISTANCE CENTER AT CENTERS
LIKE WOMEN'S BUSINESS CENTERS.
SPDC IS ARE THERE TO HELP THE.
ALONG THE WAY THANK YOU THANK.
THANK YOU I THINK YOU MISSED
FROM QUEST AND AS WE SAID WE'LL
WE'LL SAVE QUETIONS AND TAX IN
CONVERSATION FOR THE END OF
THIS PANEL ON WITH THAT AT
PLEASED TO WELCOME DR ROBERT
FAIRLY THANKS FOR BEING HERE.
THANK YOU THANK YOU FOR
INVITING ME SO CHAIR PATRICK
NORRIS AND ASSEMBLY MEMBER
CARILLO I'D LIKE TO TALK A
LITTLE BIT ABOUT THE STATE OF
SMALL BUSINESS OWNERS AND
BUSINESSES IN CALIFORNIA SO
OFTEN THE PRESENTATION SET UP.
THE JUSTICE START OUT I'M A
PROFESSOR ECONOMICS AT THE
UNIVERSITY OF CALIFORNIA SANTA
CRUZ. I'M ALSO ONE OF THE
DIRECTORS FOR THE UNIVERSITY OF
CALIFORNIA SACRAMENTO CENTER.
AND ALSO A MEMBER OF THE
NATIONAL BUREAU OF ECONOMIC
RESEARCH. I'VE BEEN DOING
RESEARCH ON SMALL BUSINESSES.
IN GENERAL AND ALSO BUSINESSES
OWNED BY DIFFERENT-
DEMOGRAPHICS OF THE YOU KNOW
US. FOR OVER TWENTY FIVE YEARS
AND I'VE BEEN WORKING WITH THE
BUREAU OF LABOR STATISTICS AND
ALSO THE US CENSUS BUREAU AND
ALSO SOME ORGANIZATIONS IN
CALIFORNIA TO DO. WORK IN THIS
AREA SO NEXT FIVE. I THEN JUST
GO TO THE NEXT SLIDE GIVE THE
BACKGROUND. OKAY SO AS WE KNOW
COVER NINETEEN HIT SMALL
BUSINESS OWNERS VERY HARD SO
MARCH ELEVENTH WAS KIND OF THE
KEY DATE WHEN THE WORLD HEALTH
ORGANIZATION ANNOUNCED. THAT
WITH THE PANDEMIC WHICH
SURPRISED MANY OF US OF COURSE
AND IT WAS EARLY APRIL WHERE WE
REALLY SAW THE FIRST
DEVASTATIONS. SO NEXT FIVE. SO
THERE'S- KIND OF A SERIES OF
DATA FROM THE SMALL BUSINESS
ARE STARTED FROM THE BUREAU OF
LABOR STATISTICS SHOWING SMALL
BUSINESS OWNERS AND THEIR
ACTIVE. KIND OF SEE OVER THE
GREAT RECESSION THERE WAS
ACTUALLY ONLY A 5% DROP. IN THE
NUMBER OF ACTIVE BUSINESS
OWNERS AND THAT WAS OVER A YEAR
AND A HALF THE GREAT RECESSION
LASTED. THAT ALL THE THIRTY
FEET APRIL TWENTY TWENTY AND IT
WAS JUST ON A SCALE BEYOND
ANYTHING WE'VE EVER SEEN BEFORE
SO WE LOST 22% OF ALL. BACK TO
BUSINESS OWNERS IN THAT ONE
MONTH. RIGHT SO MUCH LARGER
THAN ANYTHING WE THOUGHT. BUT
THAT NUMBER ACTUALLY. HIDES A
LOT OF WHAT'S GOING ON. BENEATH
IT IN TERMS OF DEMOGRAPHICS
CEMEX SLIDE. SO WHAT WE SAW
THAT ACTUALLY GOT A LOT OF
ATTENTION WITH SOME OF THE
RESEARCH THAT I DID VERY EARLY
ON IN THE PANDEMIC. SO SOME OF
THIS RESEARCH CAME OUT IN JUNE
AND JULY OF TWENTY TWENTY IS
THAT FOR BLACK BUSINESS OWNERS
WE SAW 41% DROP IN BUSINESS
ACTIVITY. THAT WAS A HUGE
CONCERN RIGHT A LOT AMONG. A
LOT OF- YOU KNOW THE BUSINESS
COMMUNITY AND POLICYMAKERS BUT
ALSO LET NEXT BUSINESSES
DROPPED BY OVER 30% IN ASIAN
BUSINESS OWNERS DROPPED BY A
HIGHER PERCENTAGE THAN THE
NATIONAL AVERAGE. NEXT FIVE. SO
THEN WHAT HAPPENED SINCE APRIL
IS REALLY IMPORTANT YOU KNOW
HOW WE RECOVERED. AGAIN
FOCUSING ON SMALL BUSINESS
OWNERS THEMSELVES NOT SO MUCH
THE BUSINESSES THAT ARE
EMPLOYER BUSINESSES OR LARGER
BUSINESSES THESE ARE ACTUAL
INDIVIDUALS OWNING BUSINESSES.
THE NEXT. FIVE I'M WHAT YOU CAN
SEE IF THERE WAS A STEADY
RECOVER. AFTER APRIL MAY JUNE
JULY WE JUST SAW THIS KIND OF
STEADY INCREASE. IN BUSINESS
OWNER ACTIVITY ALL THE WAY
UNTIL OCTOBER TWENTY TWENTY.
TEN THINGS TURNED AROUND WE
THOUGHT DROPPED BY THESE
BUSINESS OWNERS STOPPED.
RUNNING THEIR BUSINESSES AT
LEAST ACTIVELY RUNNING THEIR
BUSINESS. AND THAT DROP
HAPPENED ALL THE WAY THROUGH
THE END OF TWENTY TWENTY. AND
IN THE FEBRUARY. AND THEN OF
COURSE WE'VE SEEN THIS KIND OF
RECOVERY SINCE VACCINATIONS
HAVE BEEN ROLLED OUT OF PEOPLE
BECOME MUCH MORE CONFIDENT. NOT
JUST THE OWNERS BUT ALSO
CUSTOMERS ARE STARTING TO COME
BACK. AND WE SEE KIND OF THE
STUDY AND INCREASE NEXT. FIVE
WHEN WE LOOK AT THIS FOR
DIFFERENT. BUSINESSES OWNED BY
MINORITY GROUPS WHAT WE SEE IS
ACTUALLY PRETTY SIMILAR PATTERN
WE SEE THIS KIND OF INCREASE
WITH A BIG DROP IN APRIL THAT I
SHOWED YOU BEFORE BUT THEN AN
INCREASE EVERY SINGLE MONTH
SINCE THEN. BEEN A BIT OF A
DOWNTURN SINCE OCTOBER TO THE
END OF TWENTY TWENTY AND THEN A
REBOUND. THAT HAPPENS YOU KNOW
MORE RECENTLY IN TWENTY TWENTY
ONE. NEXT FIVE. SO WHAT
HAPPENED IN CALIFORNIA SO
ACTUALLY COMPILED ALL THE DATA
FOR CALIFORNIA. NEXT. FIVE AND
WHAT YOU SEE IS ACTUALLY VERY
SIMILAR PATTERN CALIFORNIA
REALLY FALLS THE NATION AS A
WHOLE THE BIG DROP IN APRIL THE
DROP WAS ACTUALLY A LITTLE BIT
LARGER IN CALIFORNIA THE
REBOUND WITH A LITTLE BIT
STRONGER AND THEN OCTOBER WE
SEE THAT KIND OF REVERSAL AGAIN
AND THEN THE INCREASE IN
FEBRUARY COMING BACK. NEXT
FIVE. AND SO IF YOU LOOK AT
THIS BY DIFFERENT MINORITY
GROUPS SO LOOKING AT THIS FOR.
BLACK BUSINESS OWNERS LACK NEXT
BUSINESS OWNERS IN THE ASIAN
BUSINESS OWNERS. YOU SEE
SOMEONE OF SIMILAR TRENDS THE
PROBLEM HERE IS THAT. YOU KNOW
THE DATA BECOME A LITTLE MORE
IMPRECISE- BUT THE GENERAL
PATTERN IS STILL SOMEWHAT THEIR
FIRST SPECIALLY FABRICATE THIS
UP. SO LET'S MOVE TO THE NEXT
SLIDE. SO ONE OF THE ISSUES
THERE IS THAT IT'S NOT JUST
THAT WE HAVE THIS RECOVERY ARE
HAVING THIS RECOVERY. BUT THOSE
ARE MANY MONTHS OF LOST SALES.
AND THAT'S GOING TO HAVE A BIG
IMPACT ON THE INCOMES OF THESE
BUSINESS OWNERS AND THAT'S
ACTUALLY BEEN MUCH HARDER TO
STUDY. AND SO ONE OF THE THINGS
I'VE BEEN TRYING TO WORK ON
MORE RECENTLY IS LOOK AT SALES
LOSSES SPECIFICALLY IN
CALIFORNIA AND I'VE BEEN
WORKING WITH THE CALIFORNIA
DEPARTMENT OF TAX AND FEE
ADMINISTRATION. TO EXAMINE THAT
EXACT QUESTION TO TRY TO GET
THIS ISSUE OF. IF THESE
BUSINESS OWNERS WERE INACTIVE
IN APRIL MAY YOU KNOW MANY OF
THEM IN JUNE THEN WE HAVE THAT
KIND OF DROPPED AGAIN. IN
OCTOBER NOVEMBER DECEMBER HOW
MUCH WAS LOST. IN TOTAL OVER
THIS ENTIRE YEAR NEXT FIVE.
FOUR THIRTY THIS AND USING THE
DATA FROM THE CD TFA AND YOU
CAN SEE THE HUGE DROP IN THE
SECOND QUARTER OF TWENTY TWENTY
SO THE STATE OUR QUARTERLY NOT
MONTHLY IT WAS A 15% DROP IN
TOTAL SALES AMONG ALL
CALIFORNIA BUSINESSES. THEN YOU
CAN SEE IN THE QUARTER THREE
THERE WAS A BIT OF A RECOVERY
BUT IT'S STILL MUCH LOWER THAN
OUR NORMAL WHICH IS YOU KNOW
325% GROWTH EACH QUARTER WHEN
YOU LOOK AT YEAR OVER YEAR.
RIGHT SO THIS IS ALL ADDRESSING
SORT OF SEASONALITY ISSUES. BUT
THEN YOU CAN SEE THAT QUARTER
FOR DIDN'T LOOK SO GOOD FOR AYE
WE DROPPED AGAIN- AND OF COURSE
THE TWENTY TWENTY ONE QUARTER
ONE DATE IS NOT IT YES.
AVAILABLE BUT IT WILL SOON BE
AVAILABLE FOR ALL. NEXT FIVE.
HOW DOES THE FLIP BY SECTOR. OF
COURSE AS BRIAN WAS SHOWING
EARLIER ACCOMMODATIONS JUST GOT
HIT EXTREMELY HARD. QUARTER TO
WE SAW A 90% DROP IN SALES.
WHICH IS SOMETHING THAT WE'VE
NEVER SEEN BEFORE THERE'S
NOTHING EVEN CLOSE TO IT AND
YOU KNOW LOOKING AT THE DATA
GOING FOR. BACK A LONG TIME YOU
CAN SEE RESTAURANTS WERE ALSO
HIT EXTREMELY HARD. AND THAT
DOES INCLUDE ALL THE YOU KNOW I
MEAN THAT INCLUDES ALL THE TAKE
OUT RESTAURANTS THAT THE KIND
OF CHAIN RESTAURANTS THAT WERE
SORT OF HAD THEIR DRIVE THRU IS
OPEN. AND AT LEAST SOME TAKE
OUT SERVICE RUNNING BUT STILL
WE SEE HUGE DROPS FOR THOSE TWO
SECTORS. IMAGE SHOWS YOU THAT
IT WASN'T JUST A QUARTER TO A
QUARTER THREE AND QUARTER FOUR
ARE STILL LAGGING. OFFER TWENTY
TWENTY AND THAT'S THAT'S
SHOWING YOU JUST KIND OF THE
DEVASTATION OF THESE BUSINESSES
ARE BEING HIT HARD. NEXT SLIDE.
HOW DOES THIS LOOK BY SECTOR IS
IT TRUE FOR ALL SECTORS THERE A
LOT OF FACTORS THAT WERE HIT
HARD I HAVE. YOU KNOW A NUMBER
OF THEM LISTED HERE. BUT NOT
FOR EVERYONE RIGHT WHAT YOU SEE
IS THAT HARDWARE STORES.
GROCERY STORES. ENOUGH ONE TO
THE FAR RIGHT THAT THING GRAY
THERE ARE NON STORE RETAILERS.
AND SO THOSE ARE ONLINE SALES.
WENT WAY UP. DURING THE
PANDEMIC NEXT FIVE. IF YOU
FOCUS ON THE DIFFERENT QUARTERS
YOU KNOW QUARTER TO WE THOUGHT
HUGE JUMP OVER 180% QUARTER
THREE THERE WAS A BIG INCREASE
QUARTER FOR THERE WAS A BIG
INCREASE SO IT WASN'T JUST A
SHORT TERM A FACT NOT PART OF
THIS WAS BECAUSE THE CHANGES IN
THE WAY SALES TAXES ARE
pCOLLECTED. FOR ONLINE RETAIL. A
LOT OF THIS IS REAL A LOT OF
THIS IS JUST SHIFTED FROM SMALL
BUSINESSES FROM STOREFRONTS. TO
ONLINE SALES. NEXT. FIVE NOW
WHAT ARE WE GONNA DO TO MOVE
FORWARD YOU KNOW ONE OF THE KEY
THINGS THAT THAT BIANCA MENTION
WAS ACCESS TO FINANCIAL
CAPITAL. IT'S ONE OF THE MOST
IMPORTANT CONSTRAINTS THAT
ESPECIALLY MINORITY BUSINESSES
FACE IF YOU JUST LOOK AT ONE
NUMBER TWO NUMBERS HERE- THE
MEDIAN NET WORTH OF BLACK
FAMILIES IN THE U. S. IS NINE
THOUSAND FIVE HUNDRED SIXTY
SEVEN DOLLARS THAT MEANS 50% OF
BLACK FAMILIES HAVE LESS. THAN
TEN THOUSAND DOLLARS IN NETWORK
THAT ADDING UP ALL THE HOUSING
EQUITY. THE VALUE ON THEIR
STOCKS ARE SAVINGS ACCOUNTS.
ADDING UP THE VALUE OF THEIR
CAR IT'S LESS THAN TEN THOUSAND
FOR LATIN NEXT IT'S TWENTY FIVE
THOUSAND. NOW WHEN YOU SWITCH
OVER TO LOOK AT WHITE FAMILIES
THAT NUMBER JUMPS ALL THE WAY
TO HUNDRED SEVENTY THOUSAND
DOLLARS. SO WEALTH INEQUALITIES
ON A SCALE THAT'S WAY BEYOND
ANYTHING WE SEE FOR INCOME. OR
ANY OTHER MEASURE THAT WE HAVE
ECONOMICALLY. SO THAT JUST
CREATES A HUGE CONSTRAINTS IN
TERMS OF BEING ABLE TO ACCESS
CAPITAL SO THAT THAT'S CLEARLY
ONE OF THE MOST IMPORTANT
CONSTRAINTS IT'S BEEN ONE. FOR
MANY YEARS AND IT'S GOING TO BE
EVEN MORE IMPORTANT RIGHT NOW
IS THEY SHOWED YOU THOSE BIG
LOSSES IN SALES AND BUSINESS
ACTIVITIES OVER TIME. THE OTHER
ONE NO I THINK THAT'S REALLY
IMPORTANT HERE. IS WE'VE REALLY
SEEN AN EXTENSIVE SHIFT TO
ONLINE SHOPPING THERE'S NO
DOUBT RIGHT WE'VE SEEN IT FOR
ALL GROUPS OF THE POPULATION
FOR ALL TYPES OF CUSTOMERS.
PREVIOUSLY ELDERLY INDIVIDUALS
WERE RELUCTANT TO GO ONLINE TO
SHOP AND NOW THEY'RE NOT RIGHT
THERE USING INSTACART THEY'RE
USING AMAZON THEY'RE USING. YOU
KNOW SAFE WAYS DELIVERY
SERVICES. AND SO THAT'S
SOMETHING THAT WOULD HAPPEN
PRIOR TO THE PANDEMIC BUT WAS
GREATLY ACCELERATED DURING THE
PANDEMIC. AND SO THAT'S GOING
TO BE A IMPORTANT ONE IS THAT
WE NEED TO. GET CUSTOMERS TO GO
BACK SHOP LOCAL- YOU KNOW TO
KIND OF OFFSET THAT A LITTLE
BIT. BUT I THINK SIMILARLY
WE'RE NEVER GOING TO GO AWAY
FROM THAT I THINK CUSTOMERS NOW
LIKE THE CONVENIENCE OF
SHOPPING ONLINE. AND THAT'S
ALWAYS BEEN AN ISSUE FOR SMALL
BUSINESSES IT'S HARD FOR THEM
TO KEEP THEIR INVENTORY IT'S
HARD FOR THEM TO SET UP WEB
PAGES. THAT ARE. BETTER YOU
KNOW FAST MOVING THAT CHANGE
THAT UPDATE QUICKLY. THAT ARE
REALLY USER FRIENDLY. WORDS BIG
BOX STORES. ONLINE RETAILERS
HAVE THAT SET UP AND IT'S MUCH
EASIER FOR THEM TO DO THAT.
ANOTHER ISSUE THAT I SEE A
SEARCH ENGINES OFTEN PRIORITIZE
SOME LARGE BUSINESSES RIGHT
BECAUSE THEY'RE PAYING. THE
ADS. BUT THEY COULD PRIORITIZE
LOCAL BUSINESSES THEY COULD GO
AND SAY LOOK YOU'RE THE LOCAL
SMALL BUSINESSES THAT WILL SELL
THIS EXACT PRODUCT YOU'RE
LOOKING FOR. YOU SEARCH FOR
LEVI'S JEANS IT COULD SHOW YOU
THE LOCAL SMALL BUSINESSES THAT
HAVE THAT. THING THAT YOU WANT
THAT PRODUCT THAT YOU WANT.
INSTEAD OF FOCUSING SO MUCH ON
ONLINE RETAILERS I THINK THAT
COULD BE A YOU KNOW AN
IMPORTANT WAY WE COULD START TO
TURN THIS AROUND. FOR SMALL
BUSINESSES ESPECIALLY SMALL
BUSINESSES OWNED BY PEOPLE OF
COLOR IN. AND IN DIFFERENT
COMMUNITIES. THANK YOU. THANK
YOU DR FARLEY. AB SO I'VE GOT A
COUPLE QUESTIONS AND THEN. LEFT
IT OPEN UP THANK YOU MISS CREA
FOR RAP FOR BEING HERE AND FOR
BEING PART OF THIS COMMITTEE
REALLY GRATEFUL FOR YOUR
PARTNERSHIP AND LEADERSHIP ON
THIS CRITICAL ISSUE. TO JUST TO
START. I REALIZE THAT THIS AT
THIS ECONOMIC THE ECONOMIC
SHOCK THAT WE SIDE THROUGHOUT
THE CABIN NINETEEN CRISIS
REALLY IS KIND OF UNLIKE
ANYTHING WE'VE EVER SEEN AND IT
SEEMS SIMILARLY THE RECOVERY IS
DIFFERENT THAN. RECOVERY THAT
WE'VE EVER SEEN I'M BUT ARE
THERE LESSONS THAT WE THAT WE
THAT WE LEARNED IN THE- PAST
TWO THOUSAND EIGHT PERIOD THAT-
WE SHOULD BE MINDFUL OF
PARTICULARLY AS THEY RELATE TO
SMALL BUSINESS AND AS WE THINK
ABOUT- HOW DO WE- AT HOW DO WE
OPTIMALLY NAVIGATE THAT THE
COMING MONTHS FOR. CALIFORNIA
SMALL BUSINESS. I THAT THAT'S A
QUESTION FOR ANYONE WHO WANTS
TO WANTS TO JUMP IN. I MEAN I
CAN JUMP YEAH YOU KNOW BECAUSE
I STUDIED THE GREAT RECESSION
PRETTY CAREFULLY. THEY'RE WHAT
WE SAW WAS A PRETTY CONTINUE
RECOVERY RIGHT AND THAT THEY
SHOWED YOU HERE. WE'VE GOT A
LOT OF SPUTTERING. YES YOU KNOW
KIND OF STARTING AND STOPPING
AND STARTING AGAIN AND
STOPPING. AND THAT'S BEEN
REALLY DIFFICULT FOR SMALL
BUSINESSES AND WE HAVE NOT SEEN
THAT BEFORE. IN THE PREVIOUS
RECOVERY YOU KNOW ONE OF THE
THINGS THAT WAS A REAL PROBLEM
IS ACCESS TO CAPITAL RIGHT IS
TO BE ABLE TO. TO AS BIANCA WAS
MENTIONING EARLIER ABOUT PAYING
RENT WITH A HUGE PROBLEM RIGHT
IS. IF YOU'VE GOT A BIG
DECREASING PASTERN BAND HOW DO
YOU PAY THE RENT THAT YOU'RE
YOU'RE YOU KNOW IF YOU- EVERY
SINGLE MONTH. AND ALSO THE
SALARIES FOR THOSE EMPLOYEES.
THAT'S DIFFICULT AND RECESSION.
IT'S NOT CLEAR YOU KNOW RIGHT
NOW WHAT'S GOING TO HAPPEN IT'S
YOU KNOW IT'S HARD TO GET LABOR
THAT WAS ALSO BROUGHT UP
EARLIER- THERE DOES SEEM TO BE
A LOT OF PENT UP CONSUMER
DEMAND THAT WILL BE VERY
DIFFERENT- BUT I DO THINK LIKE
ACCESS TO CAPITAL AND BEING
ABLE TO PAY RENT IS GONNA BE
SOMETHING WE DEFINITELY LEARNED
FROM THE PREVIOUS RECESSION THE
FACT THAT. AN IMPORTANT ISSUE
THAT WE NEED TO DEAL WITH. AND
IT IS I ACTUALLY LET I WANT TO
DIG INTO THAT A LITTLE BIT
BECAUSE I KNOW. I'M A DOCTOR
FAIRLY AND ALSO A MUSLIM QUEST.
HIGHLIGHTED THAT. AS AS AS A-
KEY CHALLENGE AGAIN. ONE THAT
CERTAINLY PRECEDED THE PANDEMIC
BUT AS HAS I THINK BEEN
HIGHLIGHTED AND GAS.
EXACERBATED BY IT- ARE THERE
SEND. PROGRAM THE OTHER
PROGRAMS THAT YOU CAN POINT TO
EITHER HEARING CALIFORNIA AT
REGIONALLY. OR ELSEWHERE IN THE
STATES- THAT. WE ARE A GOOD
MODEL. FOR US AS WE THINK
ABOUT. CONNECTING UP MORE
ENTREPRENEURS PARTICULARLY. AT
WOMEN AND MINORITY OWNED
BUSINESSES WITH. CAPITAL THAT
SO DESPERATELY NEEDED. I MEAN
ONE OF THE ONES THAT I'VE BEEN
TRYING TO DO SOME RESEARCH ON
IF THE PPP PROGRAMME IN THE
IDOL PROGRAM WHICH WERE ALSO
AGREED PREVIOUSLY YOU KNOW.
DISCUSSED AND- PRESENTATIONS.
THOSE PROGRAMS PROVIDED AID
RIGHT TO BUSINESSES TO KIND OF
KEEP THEM AFLOAT TO KEEP
EMPLOYEES YOU KNOW HIRED AT
THOSE BUSINESSES WE'RE STILL
TRYING TO FIGURE OUT WHAT THEY
DID. THERE WAS A LOT OF CONCERN
THAT THEY WERE NOT.
PROPORTIONALLY GIVEN OUT TO
MINORITY COMMUNITIES. AND SOME
OF THE RESEARCH THAT I'M
FINDING NOW IS THAT IT IS
ACTUALLY. THAT'S TRUE IN THE
EARLY PART BUT IT REVERSED
LATER ESPECIALLY IN THE LATEST
ROUND OF THE PPP PROGRAM WE'RE
ACTUALLY FINDING SOME EVIDENCE
THAT IT WAS. YOU KNOW WENT THE
OTHER WAY WHICH IS REALLY
HELPFUL RIGHT THAT A LOT OF
THESE BUSINESSES THAT WERE MOST
IN NEED WE'RE GETTING A- AND SO
I THINK THAT'S A GOOD MODEL- I
THINK THERE WAS A LOT OF PUSH.
TO GET THAT MONEY THROUGH LOCAL
BANKS COMMUNITY BANKS HE DEFIES.
AND THAT REALLY HELPED AND ALSO
FINTECH WITH ANOTHER IMPORTANT
ONE RIGHT IS NOT JUST GOING TO
THE BIG BANKS WE HAVE THESE
ESTABLISHED RELATIONSHIPS WITH
KIND OF LARGER SMALL
BUSINESSES- IT OBVIOUSLY THERE
IS A LOT OF BAD PRESS WHEN THE
LAKERS RECEIVED ALONE. DALY
SANDWICH WITH ANOTHER ONE RIGHT
THERE WERE A FEW OF THESE YOU
KNOW CLEARLY BIG BUSINESSES
THAT WE'RE GETTING THESE LONG.
BUT IT LOOKS LIKE THAT'S REALLY
KIND OF TURNED AROUND AND SO I
THINK THAT THAT'S BEEN-
HOPEFULLY SUCCESSFUL AT THE
GANDHI I'M DOING RESEARCH ON IT
RIGHT NOW SO WE DON'T KNOW THE
REAL ANSWER TO WHETHER OR NOT
IT WORKED. AND THAT'S A TOUGH
QUESTION ANYWAY HEY. WHAT IS IT
MEAN TO WORK RIGHT WE HOPE THAT
IT SAVED A LOT OF JOBS AND
HOPE. WE HOPE THAT IT KEPT
THESE BUSINESSES. ARE RUNNING.
WE DON'T KNOW FOR SURE. BUT
SAID IT SOUNDS LIKE WHAT YOU'RE
SAYING IS THAT THE TAKE AWAY
FOR US AS POLICY MAKERS MOVING-FORWARD IS. THAT THE MORE THAT
WE ACTIVELY LOOK TO HAVE.
COUPLE NOT NOT JUST SAY HEY
WE'RE TRYING TO GET. CAPITAL
INTO THE HANDS OF UNDERSERVED
BUSINESSES THAT THE MORE WE
ENSURE THAT THE INTERMEDIARY IS
A TRUSTED LOCAL COMMUNITY
RESOURCE. THE MORE EFFECTIVELY
WE'RE GOING TO BE ABLE TO DO
THAT AND- OBVIOUSLY IT MEANS
WORKING WITH MORE PARTNERS. IT
MEANS A PROGRAM THAT'S MORE
COMPLICATED BILL TIMIDLY A
PROGRAM THAT'S MUCH MORE LIKELY
TO BE SUCCESSFUL AND AN
ACHIEVER AMBITION AND I THINK
THAT'S EXACTLY RIGHT AND I
THINK THAT. PART OF THE PROBLEM
WITH THAT CONGRESS. HAD TO
BRUSH THE FIRSTRAND PPP
PROGRAMME OUT REALLY FAST. AND
WHAT'S THE FASTEST WAY TO DO IT
YOU GO TO WELLS FARGO YOU GO TO
BANK OF AMERICA YOU GO TO CITY
BANK. AND GET THEM TO HELP YOU.
AND YOU KNOW OBVIOUSLY THAT HAS
CONSEQUENCES. OKAY YES BIG
PLAYERS HAVE RELATIONSHIPS WITH
BIG PLAYERS AND YEAH. SMELTERS
MORE LIKELY TO BE SUPPORTING
THEIR SPOTTED A LOT FASTER TO
GET THOSE BIG PLAYERS TO GET
SOMETHING DONE QUICKLY. AND SO
I THINK THAT THAT WOULD
COMPETITION. AND THIS CRAP
THANK YOU MADAM CHAIR AND I
APPRECIATE THE CONVERSATION A
DETECTIVE FAIRLY OKAY I AM A
PROFESSOR I EIGHT I REALLY
APPRECIATE YOUR COMMENTS AND I
THINK- RELATED TO THE FIRST
ROUND AND WHAT WE SAW AND THEN
THE SECOND ROUND OF CALIFORNIA
CODE RELIEF GRANTS TO IT WAS
ACTUALLY TO SUB FOR AND THE
WORK THAT WE DID TO BE
INTENTIONAL ABOUT LANGUAGE.
SENSITIVITY CULTURAL
APPRECIATION THE FACT THAT THE
APPLICATION WAS ORIGINALLY ONLY
AVAILABLE IN ENGLISH AND
ONLINE- THAT IS A HUGE WAS A
HUGE- FLAG FOR US TO BE ABLE TO
FIX AND WILL FORWARD ESPECIALLY
MOAMER SPEAKING ABOUT PUBLIC
DOLLARS AND WHO GETS THEM SO
I'M HAPPY TO HEAR THAT IN YOUR
IN YOUR OWN INDEPENDENT
REPORTING YOU'RE ALSO SEEN
SALAS SHIFT WE'RE STILL
WAITING. ADAM CHAIR FOUR
L'INDUSTRIE TO HAVE MORE
INSIGHTFUL DATA TO SHARE WITH
THE LEGISLATURE IN TERMS OF YOU
KNOW IF THE APPLICATION FOR A
SMALL BUSINESS A SMALL BUSINESS
APPLICATION HAD A WOMAN'S NAME
OR A WOMAN OF COLOR I WANT TO
ENSURE THAT THAT REAL THAT
BUSINESS IS ACTUALLY FROM A
WOMAN AND A WOMAN OF COLOR AND
NOT JUST. YOU KNOW A POSITION
THAT WAS TAKEN ON AN
APPLICATION FOR LACK OF A
BETTER WAY OF DESCRIBING IN
TERMS OF THE EQUITY
CONVERSATION- THAT GOES FOR
SMALL BUSINESSES AND NONPROFITS
THAT WERE APPLYING FOR THE
FUNDS- ADDITIONALLY I THINK IT
WOULD BE REALLY IMPORTANT FOR
US TO SEE THE DATA WE PUT IN
SIX BILLION DOLLARS IN
CALIFORNIA SMALL RELEASE AN
ADDITIONAL. HOW MUCH WAS IT-
I'M SORRY FOR BILLION TO EXPAND
THE SMALL BUSINESS GRANT
PROGRAM AND SIX POINT TWO
BILLION IN SMALL BUSINESS TAX
RELIEF THAT ULTIMATELY IS PAID
FOR BY THE FORTY MILLION PEOPLE
THAT CALL CALIFORNIA HOME AND
WE WANT TO ENSURE THAT AS WE RE
OPEN SAFELY AS WE CONTINUE TO
EXPAND COALBED RELIEF EFFORTS.
THAT WE LEAD WITH THE LENS OF
EQUITY TO ENSURE YOUR THAT
LANGUAGE. CULTURAL SENSITIVITY
ACCESS TO SOME OF THOSE BIG
PLAYERS AS ACCESSIBLE AND IF
NOT THEN WHAT WHAT IS THE- WHAT
IS THE ALTERNATIVE AVENUE- HOW
DO WE EMPOWER MICRO BUSINESSES
WHO ALSO NEED ADDITIONAL
SUPPORT. WE'RE PUTTING IN
FIFTEEN MILLION DOLLARS FOR-
EITC- AND CAL KELLY AT C.
OUTRAGE- PROGRAMS WHICH
ULTIMATELY ENSURE THAT.
UNDOCUMENTED PEOPLE WHO ALSO
HAVE SMALL BUSINESSES ARE ABLE
TO RECEIVE AND I TEND TAX.
PAYER DOLLARS- NUMBER SO THEY
CAN START PAYING INTO- SOME
ADDITIONAL TAXES AS WELL AS
RECEIVE SOME ADDITIONAL
BENEFITS THAT THE STATE HAS IF
YOU ARE AT I TEND TAX PAYER. I
THINK PREVIOUSLY WE HAD BEEN
ONLY DOING A LOT OF MUCH OF THE
OUT REACH FOR TO EXISTING I
TEND TAXPAYERS. VERSUS CREATING
A BIGGER POT- THERE ARE. YOU
KNOW THERE'S A- A GREAT
INTEREST AND I THINK A GREAT
OPPORTUNITY THAT CALIFORNIA HAS
TO ENSURE THAT EVERY
CALIFORNIAN IN THIS STATE
REGARDLESS OF STATUS HAS ACCESS
TO RESOURCES AND PROGRAMS. AND
THAT ULTIMATELY AS WE MOVE
CALIFORNIA FORWARD MADAM CHAIR
AND WE TALK ABOUT. SMALL
BUSINESSES THAT WERE LEADING
THROUGH A LENS OF EQUITY AND
ALLOWANCE OF DATA. AND HOW WE
AT THE END OF THE DAY AS THE
LEGISLATURE HAVE THAT DATA TO
BE ABLE TO PROVIDE. AND CREATE
POLICY THAT A SOUND THAT IS
GOOD AS LONG TERM SO APPRECIATE
THIS BECAUSE I DO THINK THAT WE
HAVE A LONG WAYS TO GO BEFORE
WE TRULY REALLY SEEN. A THE
IMPACT ADDITIONALLY I WOULD
JUST ADD ONE MORE THING WE'VE
DONE A LOT OF WORK FOR- RENT
PROTECTIONS AND TENANT
PROTECTIONS. NOT MUCH HAS BEEN
DONE TOWARDS COMMERCIAL
PROPERTIES I HAD A BILL TWO
YEARS AGO THAT YOU KNOW WHEN I
INTRODUCED EVERYBODY LOOKED AT
ME WITH LIKE A BIG QUESTION
MARK LIKE WAS I TALKING ABOUT.
BUT I'M SEEN GENTRIFICATION IN
MY COMMUNITY EVERY DAY. AND SO
WHEN A SMALL BUSINESS OWNER MOM
AND POP SHOP HAVE PAID THE
STANDARD FIVE THOUSAND DOLLARS
A MONTH AND THERE'S NO. CAP AS
TO HOW OFTEN AND WHEN. THEY GET
THEIR RENT INCREASED SO ONE
MONTH IS FIVE TO. THE NEXT
MONTH IS TEN THOUSAND THREE
MONTHS FROM NOW IT'S AN
ADDITIONAL TEN THOUSAND. THEIR
RENT JUST ONE. SUPER HIGH AND
THEIR ABILITY TO BE ABLE TO
MAKE THEIR RENT PAY THEIR
EMPLOYEES AND STILL MAKE A
PROFIT IS. INCREDIBLY DIFFICULT
NO ONE SANE- THAT THE LANDLORD
SHOULD NOT BE ABLE TO RACE
RENTS ACCORDINGLY. BUT THERE
SHOULD BE SOME KIND OF TENANT
PROTECTION FOR SMALL BUSINESSES
AND COMMERCIAL PROPERTIES. THAT
CURRENTLY DON'T HAVE ONE SO
THAT THE IDENTITY OF
NEIGHBORHOODS REMAINS INTACT SO
PEOPLE DON'T GO OUT OF BUSINESS
SIMPLY BECAUSE THEY CAN'T
AFFORD THE RENT. SO THAT LOCAL
COMMUNITY CAN STILL BE ABLE TO
BE EMPLOYED. THESE ARE ALL
THINGS THAT. GIVEN COVE IT WE
ALL NOW HAVE TO REALLY THINK
ABOUT IN TERMS OF WHAT. WHAT
DOES IT REALLY LOOK LIKE. TO
REOPEN SAFELY AND TO PROVIDE-
THE RESOURCES AND TOOLS THAT
SMALL BUSINESSES NEED TO BE
ABLE TO SUCCEED SO THANK YOU
FOR THE CONVERSATION. ONE THANK
YOU FOR THAT AND I THINK THAT.
FOR ME I THINK IT JUST DRIVES
HOME. THE FACT THAT WHEN WE
TALK ABOUT A SMALL BUSINESS
FAILING. IT'S NOT JUST ONE
PERSON'S DREAM. THAT DIES IT'S
NOT JUST ONE PERSON'S
LIVELIHOOD. IT REALLY IS IT'S
LIKE YOU SAID ITS EMPLOYEES
THAT ARE OFTEN LIKE FAMILY. IT
IS. SOMETIMES A HUB OF THE
COMMUNITY IT REALLY IS KIND OF
THIS WHOLE ECOSYSTEM THAT'S
THAT'S HANGING IN THE BALANCE
WHICH IS WHY I THINK. IT'S JUST
SUCH A CRITICAL THE CRITICAL
PART OF CALIFORNIA'S ECONOMIC.
ENGINE AND THAT IS THE ENGINE
THAT CREATES ECONOMIC
OPPORTUNITY AFTER MILLIONS OF
CALIFORNIANS. I'M COUPLE THINGS
I WANT TO DIVE INTO IN THAT THE
FIRST IS THAT DOCTOR FAIRLY. AT
THE POINT YOU MADE ABOUT THIS
TRANSITION TO- YOU KNOW FROM
BRICK AND MORTAR CHAU TO ONLINE
WHICH AGAIN. WAS PROCEEDING THE
PANDEMIC BUT CERTAINLY. FROM AN
OUTSIDE YOU SHOWED WAS JUST SO
STRIKING. FIVE CERTAINLY WAS
EXHILARATED BY IT. WITH THE
DATA THAT WE'RE SEEING RIGHT
NOW. HOW PERMANENT IS THAT
SHIFT LOOK. HOW MUCH OF THAT DO
WE- JUST. SKS HOW MUCH OF THAT
IS PERMANENT AND HOW MUCH OF
THAT DO WE THINK WE'LL
TRANSITION BACK TO THE MORE
KIND OF TRADITIONAL
NEIGHBORHOOD RETAIL CONTEXT.
YEAH WE DON'T ACTUALLY HAVE THE
DATA YEAH CAPITAL YEAH WE'RE
THAT'S SOMETHING WE'RE KIND OF
HE REALLY WAITING TO FIND OUT
YOU KNOW HOW MUCH OF THAT'S
GOING TO RETURN TO NORMAL. IT'S
REALLY NOT CLEAR. YOU KNOW LIKE
I LIVE IN SANTA CRUZ CALIFORNIA
I'M WE ARE DEFINITELY SEEING
KIND OF A BOOM OF. OF PEOPLE
VISITING PARTY PAL. WHICH IS A
REALLY GOOD SIGN AND THEY ARE
GOING TO SMALL BUSINESSES I WAS
DOWNTOWN THE OTHER DAY AND IT'S
JUST. A LOT OF ACTIVITY- I'VE
BEEN HEARING THAT'S KIND OF
TRUE IN A LOT OF OTHER PLACES
TO IN THE BAY AREA FOR EXAMPLE.
I DON'T REALLY KNOW IF I WERE
TO IF YOU WERE TO FORCE ME TO
GAS I WOULD SAY WE COULD
PROBABLY GET 50% OF THAT BACK.
PRETTY QUICKLY BUT I DON'T YOU
KNOW THAT'S THAT'S REALLY JUST
KIND OF A GAS IT'S NOT CLEAR. I
DO THINK THAT IT'S GOING TO BE
REALLY DIFFICULT TO GET THAT
BACK DOWN TO LEVELS PRE
PANDEMIC. BECAUSE CUSTOMERS
REALLY HAVE SHIFTED THEIR-
THEIR DESIRE FOR CONVENIENCE
RIGHT THEY LIKE. BEING ABLE TO
BUY THINGS ONLINE IT'S JUST.
YOU KNOW YOU'RE YOU STATE
YOU'RE USED TO GETTING THAT BOX
IN THE MAIL EIGHT- AND THAT I
DON'T THINK IT'S GOING TO GO
AWAY. NOW SMALL BUSINESSES
COULD PROVIDE THAT ROLE RIGHT
THEY COULD THEY COULD ACTUALLY.
SELL THE SAME PRODUCTS DELIVER
THE SAME PRODUCTS OR HAVE. A
SET UP WHERE CUSTOMERS CAN
DRIVE BY AND PICK THEM UP JUST
LIKE. SAY YOU KNOW SOME OF THE
BIG BOX STORE STILL- I JUST
THINK IT'S GONNA TAKE A LITTLE
WORK TO GET THAT KIND OF
INITIAL PUSH. AND THEN WHAT WE
MIGHT SEE IS THIS KIND OF
TRANSITION TO. BUSINESSES THAT
WERE ALREADY HERE. YOU KNOW
LEAVING EXITING AND THE NEW
BUSINESSES COMING IN BETTER
MAYBE YOUNGER A LITTLE MORE
DYNAMIC A LITTLE BIT MORE KIND
OF ONLINE. WITH A LITTLE MORE
ONLINE PRESENCE AND THAT COULD
BE REALLY IMPORTANT- WHAT IT IS
AS YOU SAID THERE ARE THERE IS
AN OPPORTUNITY FOR SMALL
BUSINESSES TO BE SUCCESSFUL
ONLINE BUT AND THIS I THINK
TIES BACK TO. A POINT I. I'M
LUCKY LUCKY YOU MADE IN YOUR
YOUR FINAL SIDE WHICH IS THE
NEED FOR TECHNICAL ASSISTANCE.
TO HELP SMALL BUSINESS OWNERS
KIND OF MAKE THAT LEAP AND MAKE
THAT MIGRATION. I'M IN SECOND
I'M YOUNGER OR ANYONE ARE THERE
EXAMPLES OF REGIONAL TECHNICAL
ASSISTANCE PROGRAMS THAT YOU
LOOK AT AND SAY THAT'S FIVE
STARS WE NEED TO. ROLL THAT OUT
ALL ACROSS THE STATE. YEAH
HAPPY TO TACKLE THAT AND THANK
YOU SO MUCH ON THE QUESTION-
ABSOLUTELY THE TECHNICAL
ASSISTANCE PROVIDERS IN OUR
STATE- I THINK THERE ARE
FOURTEEN WOMEN'S BUSINESS
CENTERS ON MANY COUNTS EVERY
COUNTY HAS A SMALL BUSINESS
DEVELOPMENT CENTER- VETERANS
TECHNICAL ASSIST. INVENTORS THE
TECHNICAL ASSISTANCE THAT IS
EMBEDDED- WITHIN THE CDFI
COMMUNITY FOR EXAMPLE- IS TOP
NOTCH WE CALL THAT HIGH TOUCH
SUPPORT. ON BECAUSE THEY HAVE A
VESTED INTEREST IN MAKING SURE
THAT SMALL BUSINESS OWNERS CAN
REPAY THEIR LOANS ON. UP AND
SO- AND REGIONALLY AS WELL
THERE ARE PLENTY OF TECHNICAL
ASSISTANCE PROVIDERS THAT ARE-
PROVIDE THAT ARE DOING GREAT
WORK IN EACH AREAS OF THE SMALL
BUSINESS COMMUNITY. WE SEE THIS
PARTICULARLY IN THE CHILD CARE
INDUSTRY. ON THE EVE TECHNICAL
ASSISTANCE PROVIDERS ARE TAKING
DEEP DIVES INTO ARE HELPING THE
CHILD CARE PROVIDERS SEE
THEMSELVES AS SMALL BUSINESS
OWNERS IN ADDITION. TO CHILD
CARE PROVIDERS WHICH IS OUR I'M
A LITTLE BIT DIFFERENT THAN A
NORMAL. IN OUR THE THAT WE
SPEAK OF IN CALIFORNIA- I
DIDN'T TOUCH ON AND- THE
FUNDAMENTAL SHIFT TOWARD ONLINE
RETAIL AND SALES AT AND HOW-
THIS UNDERSCORES THE IMPORTANCE
OF MAKING SURE THAT THE
ECOSYSTEM. THAT EXISTS FOR
SMALL BUSINESS OWNERS IS-
HELPING TO INNOVATE PERSON. AT
AS WELL AS PROTECT SMALL
BUSINESS INTERESTS- FAIR
PLATFORM MEANS FOR EXAMPLE AS
MANY BUSINESS OWNERS HAVE
SHIFTED TO ONLINE SALES- THERE
HAVE BEEN SOME- FOOD DELIVERY
PLATFORMS FOR EXAMPLE. THAT THE
PRACTICE THEM UNSCRUPULOUS
BEHAVIORS- I'M IN RE ROUTING
CALLS CHARGING EXORBITANT FEES
THESE ARE EXAMPLES IN WHICH- WE
CAN MAKE SURE THAT THE
FRAMEWORK THAT EXISTS FOR SMALL
BUSINESS OWNERS TO MOVE. ONLINE
ON ITS FACE SHARE ON PROVIDE
LEVEL PLAYING FIELD FOR THESE
BUSINESS CAN TO- YOU KNOW A TO
DELIVER PLOT LIKE DASH OR- FOR-
AND EARLIER AT MANY ASKED FOR
EXAMPLES OF PROGRAMS THAT. HAVE
CROPPED UP AT TO ADDRESS THIS
FUNDAMENTAL SHIFT- IN THE SMALL
BUSINESS LANDSCAPE YOU
MENTIONED BE A RECESSION IN TWO
THOUSAND EIGHT ONE OF THE
BIGGEST CHANGES IS ASK DOCTOR
FAIRLY- MENTIONED THE RISE OF
INTACT AND I'M NOT SAYING. I'M
IF IN FACT I HAS GROWN
EXPONENTIALLY- AND NOT ALL
FINTECH IS BACK ON THE SECOND.
NIGHT OF A NEGATIVE CONNOTATION
TO IT- AND WHAT SMALL BUSINESS
MAJORITY IS WORKING TO DO
ALONGSIDE GROUPS LIKE AT. ON
THE SMALL BUSINESS DEVELOPMENT
CENTERS- AND ANY BUSINESS
ORGANIZATION ISN'T THAT THE
STATE IS MAKING SURE THAT THESE
ARE ONLINE LENDERS- CAN
CONTINUE PROVIDING PRODUCTS AND
SERVICE SAYS THAT THEY ALREADY
PER BY TWO BUSINESS OWNERS BUT
MAKING SURE THAT THE CONDITIONS
ON THE TERMS. OF THE TERMS OF
THE LOAN ARE CLEAR AND
TRANSPARENT AND CONCISE JUST
LIKE THEY ARE FOR CONSUMERS
WHEN WE GET AN OFFER IN THE
MAIL IT'S IN BOLD LETTERS WE
CAN SEE CLEARLY- THAT WOULD BE
THE AT AND CREDIBLY HELPFUL FOR
SMALL BUSINESS OWNERS AS THEY-
ARE. PERMANENTLY. SHIFT WITH
THIS NEW REALITY. THANKS YES
THANK YOU ARE FOR THAT THANKS
FOR THOSE POINTS IN A BOTH MS
CURRENT SERVE JOTTING DOWN.
KNUTSEN SUGGESTION TO DIG INTO
AS WE MOVE FORWARD. AND THAT'S
OF THE FOUR WEEK WE JUMP INTO
OUR NEXT PANEL I DO WANT TO
TOUCH ON I'M- TRYING TO THINK
WAS YOUR YOUR LAST SLIDE-
WHICH- I THINK SEEMS TO BE KIND
OF THE HUNDRED BILLION DOLLAR
MYSTERY THAT STOPING EVERYONE
WHICH IS. THE AS SLOW RECOVERY
OF THE LABOR MARKET AND- IT THE
QUESTION ABOUT WHAT'S GOING ON
AND I THINK WE PROBABLY ARE
GOING TO TAKE INTO THAT A BIT
MORE IN OUR OUR SECOND PANEL.
BUT I'D BE VERY INTERESTED IN
IN YOUR HYPOTHESES WHAT DO YOU
THINK IS THAT IS BEHIND THEM
THIS VERY SLOW RECOVERY OVER
LABOR MARKET. YEAH I MEAN I
THINK. IT'S COMPLICATED ANSWER
AND I THINK IT'S I THINK
THERE'S A LOT OF THERE'S A LOT
OF THINGS GOING ON I THINK FOR
ONE THING. WE WON'T KNOW FOR
SURE INTEL WE CAN KIND OF
REALLY EXAMINE IT AND
RETROSPECT BUT YOU KNOW THAT
BEING SAID I THINK THERE ARE A
NUMBER OF REASONABLE IDEAS THAT
ARE BEING. OF KIND OF PUT
FORWARD I THINK ONE ONE THING.
GOING BACK TO YOUR POINT ABOUT-
LEARNING LESSONS FROM THE GREAT
RECESSION IS JUST HOW LONG. YOU
KNOW THAT LABOR MARKET RECOVERY
TOOK COMING OUT OF THE GREAT
RECESSION RIGHT AND- IN SOME
RESPECT THAT YOU KNOW WE
HAVEN'T SEEN- IT'S QUICK OF A
RECOVERIES MEANS. WE MIGHT LIKE
COMING OUT OF THE PANDEMIC BUT
IT YOU KNOW- COMPETITOR SESSION
YOU KNOW WE'VE ACTUALLY
SOMEWHAT BOUNCE BOUNCE BACK
BETTER IN MOST SECTORS. SO YOU
KNOW I THINK THE ONE LESSON
FROM THE GREAT RECESSION IT'S
JUST THAT. WHEN YOU HAVE PEOPLE
WHO ARE ARE LAID OFF FROM JOBS
AND THEY'RE OUT OF WORK FOR. AN
EXTENDED PERIOD OF TIME THERE
ARE JUST- FRICTIONS AND FINDING
NEW GOOD MATCHES WITH EMPLOYERS
THAT JUST TAKE TIME AND SO- YOU
KNOW I THINK SOME OF THAT. JUST
THOSE UNDERLYING DIFFICULTIES
OF FINDING A GOOD MATCH BETWEEN
A BUSINESS OWNER AND AN
EMPLOYEE- IS PART OF. PART OF
THE STORY- AND THEN THERE ARE
JUST A NUMBER OF KIND OF- YOU
KNOW. PERSONAL CHALLENGES THAT
WORKERS FACE RIGHT WITH CHILD
CARE WITH- WHEN YOU KNOW WHEN
WE WERE IN THE SUMMER WITH WITH
SCHOOL AVAILABILITY WITH- YOU
KNOW FRANKLY CONCERNS- EVEN.
EVEN NOW ABOUT KIND OF PERSONAL
SAFETY AND I THINK- EVEN WITH
THE- THE WIDESPREAD
DISTRIBUTION OF VACCINES OF
MANY FOLKS FROM REMAIN
CONCERNED ABOUT- YOU KNOW
BEING. IN CROWDED. CLOSE
CONTACT WITH OTHER PEOPLE AND
SOME OF THAT WILL JUST TAKE
TIME. OFF FOR FOLKS TO FEEL
COMFORTABLE BEING IN THOSE
KINDS OF ENVIRONMENTS AGAIN AND
THEN. YOU KNOW I THINK- KIND OF
ALONG WITH THAT STORY YOU KNOW
YOU HAVE FOLKS WHO ARE SAYING.
THEY HAVE THESE PERSONAL-
CHALLENGES THAT ARE- WOULD MAKE
IT DIFFICULT DIFFICULT FOR THEM
TO GO BACK TO WORK AND- WE'VE
HAD YOU KNOW AT THE SAME TIME.
FINANCIAL ASSISTANCE PROVIDED
TO WORKERS THROUGH UNEMPLOYMENT
BENEFITS AND OTHER THINGS THAT
HAS ALLOWED THEM TO NOT FRET
PERHAPS NOT HAVE TO GO BACK AND
RUSSIAN TO. A JOB WHERE THEY
DON'T FEEL COMFORTABLE WHERE
THEY DON'T HAVE THAT CHILD CARE
SUPPORT. SO THERE IS A THERE IS
A KIND OF A DYNAMIC- YOU KNOW
RELATIONSHIP THERE WITH THE U.
I. BENEFITS- YOU KNOW NOT TO
SUGGEST THAT. YOU KNOW
ESSENTIALLY INCREASED YOU AYE
BENEFITS ARE ARE- WERE CAUSING
PEOPLE TO STAY ON THE SIDELINES
FOR NO REASON- BUT FOR FOLKS
WHO MIGHT HAVE SOME RESISTANCE
IT GIVES THEM. SOME TIME TO
WORK SOME OF THOSE THINGS OUT.
I AND MAYBE NOT RESPECT TO A
JOB WHERE THEY OTHERWISE MIGHT
HAVE HAD TO DO SO- CUT A
COMPLICATED ANSWER WE WON'T
KNOW FOR SURE FOR A LONG TIME
BUT I THINK THAT'S THE SOME OF
THE MAIN. MAIN POINTS. ANOTHER
THAT DOCTOR PER LAYER I MISS UP
ON QUESTION ANY. HYPOTHESES ARE
ANYTHING YOU'D ADD TO. SO THAT.
ALL RIGHT YOU'RE VERY
COMPREHENSIVE DRESSING ON THE
FACTORS BUT IT'S JUST THAT YES
I THINK IN THE RATE THAT THE
CALCULATION. HAS CHANGED HER.
FOR A LOT OF PEOPLE FOR A LOT
OF DIFFERENT REASONS- BUT I
THINK IT WILL TAKE IT TO THE
NEXT PANEL I'M SURE IT IS
CERTAINLY CREATING MAJOR
CHALLENGES FOR MANY SMALL
BUSINESSES WERE TRIED TO. TO
RECOVER AND REBUILD AND REOPEN
FULLY. WELL WITH THAT I WILL
JUST ONCE AGAIN THANK ALL OF
OUR PANELISTS SO MUCH FOR AT
FOR JOINING US I REALLY
APPRECIATE. YOUR WORK IN THE
SPACE AND- LOOK FORWARD TO
CONTINUING TO PARTNER WITH YOU
AS WE- ARE DEVELOP SOLUTIONS
AND POLICY PROPOSALS MOVING
FORWARD. THANK YOU.
ALL RIGHT
WITH THAT I'M- PLEASED TO
WELCOME OUR SECOND PANEL WE ARE
JOINED BY AT THAILAND GRAY.
FROM I CALIFORNIA'S OFFICE OF
THE SMALL BUSINESS ADVOCATES
ARE BY MIKE AND DANIEL FROM THE
ORANGE COUNTY INLAND EMPIRE
SMALL BUSINESS DEVELOPMENT
CENTER. AND ROBERT RUBIN YES
FROM THE FAMILY BUSINESS
ASSOCIATION OF CALIFORNIA. ARE
SLIGHTLY AWKWARDLY T A RANGE
CHAD. THE NEW JERSEY
SURVIVORSHIP IT WORKS IT'LL
IT'LL WORK WE'LL MAKE IT WORK.
AND I THINK WHAT WE'RE WHAT
WE'LL DO SO THIS- THIS PANEL
WE'RE GOING TO DO MORE. THERE
IS A PET PANEL DISCUSSION AT
RATHER THAN PRESENTATIONS BUT
BEFORE WE JUMP INTO THAT- I
BELIEVE THAT MS GRAY. WE WERE
GOING TO GET AN UPDATE FROM YOU
ON- THE NEW PROGRAMS COMING IN
THE BUDGET. AND AN UPDATE ON
THE IMPACT OF THE SMALL
BUSINESS GRANT RELIEF PROGRAM-
AND THEN WE'RE GOING TO DIVE
INTO MORE OF A CONVERSATION
AROUND AT THE KEY CHALLENGES
FACING CALIFORNIA'S SMALL
BUSINESSES RIGHT NOW. AND THAT
HOPEFULLY DEVELOP SOME POLICY
SOLUTIONS. OR PROPOSALS TO
START TO ADDRESS THAT.
EXCELLENT THANK YOU- CHAIR
PETRIE-NORRIS- FOR THE
OPPORTUNITY TO TALK ABOUT THE
WORK THAT WE'RE DOING. I'M
WOULD YOU LIKE ME TO GO RIGHT
INTO. NO INTRODUCTION GO RIGHT
INTO THE- CRAP UPDATE. YEAH IF
YOU WANT TO PROVIDE A
SUBSCRIBER FIVE A BRIEF
OVERVIEW OF THE GREAT REALLY
PROGRAM HE BROUGHT PRETTY
FAMILIAR BUT- WOULD LIVE YOUR
PERSPECTIVE AND WELCOME I THINK
A URAC TO YOUR SOMEWHAT NEW
ROLE AND YET OVER HALF GRATEFUL
TO HAVE YOU IN THIS CAPACITY-
AND WITH LOVE. YOUR PERSPECTIVE
ON NINE THAT THE PROGRESS
THAT'S BEEN MADE ON NOT THE
GREAT REALLY PROGRAM IN
PARTICULAR AWESOME WELL-
CLEARLY CALIFORNIA IS LEADING
THE NATION IN THE STOCK OF
RELIEF GRANT PROGRAM THAT OF
FOR SMALL BUSINESSES- TO DATE
WE HAVE SUCCESSFULLY CLOSED
ARMS SIX ROUNDS OF THE GRANT
PROGRAM. WE HAVE COMPLETED
AWARDS TO ALL APPLICANTS IN THE
FIRST FIVE ROUNDS AND ARE
WARNING BROWN SIX APPLICATIONS
AT THIS TIME. WE EXPECTED TO
HAVE ALL AWARDS FOR- THE SIX
ROUNDS COMPLETED BY MID AUGUST
AND- LAST REPORT AS OF JULY
SEVENTH. 1-005-500-0400 SEVENTY
ONE SMALL BUSINESSES AND
NONPROFITS HAVE BEEN AWARDED
FOR A TOTAL OF ONE BILLION
SEVEN HUNDRED THIRTY SIX
MILLION. NINE HUNDRED THIRTY
ONE THOUSAND NINE HUNDRED FIFTY
THREE DOLLARS TO SELL OVER. ONE
POINT SEVEN BILLION- TOTAL HAS
BEEN AWARDED TO SMALL
BUSINESSES AND NONPROFITS THIS
DATE- AND FOLLOWING THE CLOSE
OF ROUND SIX WE ESTIMATE A
TOTAL OF TWO HUNDRED AND TWENTY
THOUSAND SMALL BUSINESSES AND
NONPROFITS. WILL HAVE BEEN
AWARDED. WONDERFUL I'M AND I
THINK AS I SAID IN MY AND MY
OPEN RE OPENING REMARKS I THINK
THAT AT THE ACTION THAT THE
LEGISLATURE TECH IN PARTNERSHIP
PARTNERSHIP WITH THE GOVERNOR-
IN BOTH EARLY BUDGET ACTION AND
THEN AND IN SUBSEQUENT. ACTION
I IN THE ADOPTION OF THIS
YEAR'S BUDGET I THINK IS A
TESTAMENT TO THE FACT THAT
THERE IS BROAD RECOGNITION- OF
THE BOOK THE GRAVITY AND I
THINK THE URGENCY. AND NEED TO
STABILIZE CALIFORNIA SMALL
BUSINESSES SO THAT WE CAN
POSITION THEM TO THRIVE AS WE
NOW LOOK TO THE POST COVERED
POSSIBLY IS WERE LOOKING TO
THAT OPPOSED TO COPE ED ERA.
AND SO WITH THAT I'D LOVE TO
KIND OF OPEN THIS UP IS AS A
DISCUSSION- WHICH IS A BIT
DIFFERENT I THINK THAN OUR
USUAL INFORMATIONAL HEARING
SCHOOLS WILL SEE HOW IT GOES
BUT- I'M WOULD JUST LOVE ADD TO
GIVE EACH OF YOU AN OPPORTUNITY
TO TOUCH ON. FROM YOUR
PERSPECTIVE WHAT WHAT YOU THINK
ARE THE MOST CRITICAL
CHALLENGES FACING OUR
CALIFORNIA SMALL BUSINESSES AT
RIGHT NOW AND A MISTER DANIELS
WILL START START WITH YOU YES
SIR THANK YOU VERY MUCH AND
THANKS FOR HAVING US HERE TODAY.
IT'S A GREAT DAY YOU'RE DOING
HEARING. I WELL ONE OF THE-
BILL QUICKLY THE FAMILY
BUSINESS ASSOCIATION REPRESENTS
FAMILY BUSINESS OF THE CAPITAL.
BEFORE THE COVERED- IT BUSINESS
CLOSURES. WE HAD ONE POINT FOUR
MILLION FAMILY BUSINESSES IN
THE STATE EMPLOYED ABOUT SEVEN
MILLION PEOPLE. AND TO BE QUITE
HONEST WITH YOU WE DON'T KNOW
HOW MANY THERE ARE NOW. OR HOW
MANY PEOPLE ARE EMPLOYING- I
DISAGREE WITH ONE THING THAT
WAS SAID BY THE GENTLEMAN FROM
OUT AT. L. A. O. AND THAT IS
THAT- OF. PEOPLE BEING PAID
MORE TO STAY HOME AND WORK HAS
BEEN A HUGE PROBLEM. AT OUR
MEMBERS TELLING ME THEY CAUGHT
THEIR HR DEPARTMENT CALLS.
EMPLOYEES AND SAYS HEY WE HAVE
A JOB BACK THESE PEOPLE HAVE
BEEN LAID OFF. IN THE END THE
TYPICAL RESPONSES. WHY MAKE IT
MORE NOW THERE WAS WORKING FOR
YOU WITH ALL THESE BENEFITS ARE
COMING IN- MAYBE WATCH CALL ME
BACK WHEN MY BENEFITS RUN OUT
NOTE THINK ABOUT COMING BACK.
AND IT'S AND IN ADDITION TO
THAT THERE ARE PEOPLE REPLACE
THEM BECAUSE THEY ARE IN THE
SAME SITUATION. SO IT'S BEEN A
HUGE PROBLEM AND OUR MEMBERS
REPORTED TO ME. CONSTANTLY NOT
JUST THOSE. TRYING TO GET
PEOPLE TO COME BACK TO WORK THE
BUTTE PEOPLE TRYING TO FIND NEW
EMPLOYEES SAME THING IS. THERE
ARE THOSE SITTING AT HOME DOING
REALLY WELL SO THEY DON'T GO
OUT LOOK FOR JOBS. A FEW OTHER
THINGS- THE PAGA LAWSUIT TO
REALLY A PROBLEM FOR FAMILY
BUSINESSES THAT'S THE PRIVATE
ATTORNEY JONES ACT- I WOULD
JUST LIKE IF YOU JUST GIVE ME A
COUPLE STATEMENTS ON THAT. PAGA
ALLOWS EMPLOYEES TO SUE ON
BEHALF OF THE STATE FOR ALMOST
EVERY LABOR CODE VIOLATIONS AND
IMPOSE A HUNDRED. DOLLAR FINE
FOR THE FIRST VIOLATION AND TWO
HUNDRED FOR EACH SUBSEQUENT
VIOLATION. SO THE PAGO TURNER'S
LOOK FOR COMPANIES WITH
NUMEROUS EMPLOYEES SO I CAN DO
CLASS ACTION SUITS. AND THESE
CLAIMS HAVE GROWN MORE THAN
TENFOLD SINCE THE LAW WAS
CREATED. ATTORNEYS AVERAGING
ABOUT FOUR AND FIVE THOUSAND
DOLLARS PER CASE- AND THE-
UNBELIEVABLY THE AVERAGE
SETTLEMENT IS ABOUT ONE POINT
TWO MILLION DOLLARS. FOR THESE
PAGA SUIT. AND THERE ARE THINGS
IS IT INVOLVED IN THE SUIT SIR
IS SOLELY AS- YOUR CHECK
DOESN'T EXACTLY SAY THE SAME
THING IS WHO YOU THINK YOU'RE
YOU'RE EMPLOYED BY. THAT THAT'S
AN ACTUAL MEETING BEING BEEF-
FINE FOR THAT AS AN EXAMPLE. SO
THERE'S AN ORGANIZATION CALLED
THE CALIFORNIA BUSINESS AND
INDUSTRIAL LINES THAT GATHERS
DATA- I AM VERY PLEASED TO SEE
THAT. THE- EDT YOU REINSTATED
THE REQUIREMENT FOR THE SEARCH
FOR EMPLOYMENT EMPLOYMENT
NUMBERS SOME OF THIS GETTING
UNEMPLOYMENT HAS TO NOW AGAIN
SHOW THAT THEY HAVE BEEN
WORKING FOR LOOKING FOR WORK
THAT WAS- PUT ASIDE FOR COVERED
AND- OBVIOUSLY BECAUSE THE
PROBLEM. THEN THE OTHER THING I
WANT TO MENTION HIS. THIS IS
THE BOOK. THAT THE CHAMBER PUTS
OUT JUST ON HR REGULATIONS IF
YOU ARE THE BUSINESS OF THE
STATE THERE'S OVER A THOUSAND
PAGES YOU HAVE TO BE VERY
FAMILIAR WITH YOU HAVE TO DO
PERFECTLY YOU'RE PROBABLY STILL
GET SUED. BUT THE BETTER YOU DO
WITH THIS BOOK MAYBE OF YOUR
JUDGE WILL BE A LITTLE LESS AND
EVERY YEAR THIS GETS ADDED TO
ANSWER QUESTIONS REALLY TO
LEGISLATORS AND THE GOVERNOR IS
A THOUSAND PAGES OF HR
REGULATIONS REALLY NOT ENOUGH
TO WE NEED MORE- I DON'T THINK
SO IT'S ONE REASON CALIFORNIA
HAS A HARD TIME COMPETING. WITH
THE REST OF THE STATE'S. MOST
OF OUR OTHER STATES WHERE
PEOPLE ARE GOING DON'T HAVE
THIS I MEAN THEY HAVE SOMETHING
BUT THEY DON'T HAVE THIS. AND
THE OTHER BOILERMAKERS NOTHING
EVER GOES AWAY IT JUST GETS
ADDED. NOBODY EVER REALLY LOOKS
IT'S AN SAYS. GOSH THAT'S
ANTIQUATED AND WHY DO WE NEED
OUR OR THIS REALLY REPLACE THAT
OR THIS ON TOP OF THAT. SO
THOSE KINDS OF THINGS DON'T
HAPPEN JUST WHAT WE HAD. WHAT
CAN WE DO TO- TO MAKE IT EVEN
MORE DIFFICULT FOR EMPLOYERS
AND EMPLOYEES IN THE STATE I
KNOW THAT'S NOT THE GOAL BUT
THAT'S WHAT HAPPENS. THEY ARE.
I'M ALWAYS IN THE OTHER ON THE
CAPITAL LONG TIME AND I'M
ALWAYS. WARY OF THE LAW OF
UNINTENDED CONSEQUENCES. WHICH
IS COMES FORTH IN ALMOST EVERY
BILL AND EVERY INITIATIVE THAT
THE PEOPLE PASS THERE IS
SOMETHING THAT REALLY IT WASN'T
MEANT TO BE THAT HAPPENS AND A
LOT OF TIMES I JUST OVERLOOKED
ELASSONA MENTION IS THAT- C. T.
FUNDING VOCATIONAL TRAINING WAS
TO CALL FUNDING IS VERY
CRITICAL- SO THAT UNSKILLED
WORKERS COULD GET SOME SKILLS.
I'M NOT EVERYBODY CAN GO TO A
FOUR YEAR COLLEGE PROGRAM NOT
EVERYBODY REALLY WANTS TO AND
THERE ARE A LOT OF JOBS THAT
PAY QUITE WELL BUT YOU NEED
SOME SKILLS TO GET THEM SO C.
T. FUNDING IS SOMETHING THAT-
IS VERY. WE'VE BEEN ABLE TO GET
A LITTLE BIT MORE IN THE LAST
FEW YEARS. THERE WAS A TIME
WHEN THE STATE REALLY WASN'T
DOING MUCH OF THEIR ALL. AND
THAT WAS REALLY UNFORTUNATE. I
DID ONE MAKE ONE OTHER POINT SO
THE- U. I. UNEMPLOYMENT
INSURANCE FUND DEBT NOW THE
FEDERAL GOVERNMENT'S. TWENTY
TWO OR TWENTY THREE BILLION
DOLLARS- AND THERE'S BEEN NO
EFFORT TO. PAY BACK- THERE WAS
A PROPOSAL FROM THE GOVERNOR
THERE WAS A LEGISLATIVE
PROPOSAL. I'M TOLD THAT BOTH
DIED IN THE BUDGET PROCESS SO
THERE'S WE'RE SAYING THAT WITH
THIS HUGE DEBT TO THE
GOVERNMENT. AND WHAT WE'RE
CONCERNED ABOUT IS IT'LL BE
PASSED THROUGH TO BUSINESSES AS
YET ANOTHER TAX. AT THE WORST
POSSIBLE TIME. I THINK THERE'S
SOME HOPE THAT THE FEDERAL
GOVERNMENT MADE- FORGIVE IT BUT
THERE'S NO INDICATION THAT'S
GOING TO HAPPEN WHAT MOST
STATES WITH SMALLER DEBTS DID.
IS IT TOOK SOME OF THE FEDERAL
MONIES THAT WERE GIVEN TO THEM
AND PAID OFF THEIR EMPLOYMENT
INSURANCE THAT- WE HAVEN'T DONE
THAT SO THAT WOULD BE SOMETHING
REALLY GOOD TO DO. AND- THAT'S
PROBABLY ENOUGH BUT- THANKS FOR
THE OPPORTUNITY TO MAKE THOSE
POINTS. RIGHT THANK YOU AND
THAT YES. YOU'VE GIVEN US IN
FIVE CATEGORIES OF THINGS THAT
I ACTUALLY WORK ARE ON MY LIST
IN NEW WE WANTED TO DIVE INTO.
GETTING THEIR SIMILAR SOME OF
THAT THEY AT THE CHALLENGES
THAT. THE OTHER PANELISTS ON
THE LANDSCAPE SO BEFORE WE JUMP
INTO THANKS IN. DEEPER
CONVERSATION IN EACH OF THOSE
ISSUES I WOULD LOVE TO GIVE.
OUR OUR OTHER PANELISTS- AN
OPPORTUNITY UP TO PROVIDE AN
OVERVIEW OF. THE CHALLENGES-
THAT THAT YOU SEE AS BEING. THE
BIGGEST MOST CRITICAL FOR
CALIFORNIA SMALL BUSINESSES AND
WE ALL GO BACK TO ADD TO IT TO
YOU MS GRAY AND THEN. I. T. MR
AND YES. THANK YOU SO MUCH
MADAM CHAIR- YOU KNOW MY
OFFICES CHARGES TO RELEASE
SUPPORT ECONOMIC. GROWTH AND-
WE HAVE. FOUR VERY STILL.
OBJECTIVE THAT I THINK ARE VERY
IMPORTANT. TO HELPING SMALL
BUSINESSES ADDRESS THE
CHALLENGES AT THESE TIMES. YOU
KNOW FIRST WE ARE RESOURCE
PROVIDER WHICH YOU NOW WE ARE
AN ADVOCATE AS OUR NAME IMPLIES
WE ARE ADVANCING RESILIENCE AND
BUILD ALL OF THOSE WERE REALLY-
PRIOR TO MY COMING ON BOARD WE
HAVE A FOURTH STRATEGIC
OBJECTIVE DATA ON I AM BRINGING
TO BEAR BASED UPON THE
EXPERIENCE THAT. I'VE HAD THE
LAST FOUR YEARS IN THE CENTRAL
VALLEY OF CALIFORNIA AND THAT
IS REALLY TO ADVANCE ECONOMIC
MOBILITY WE HEARD IT FROM THAT-
PRIOR PANELISTS ABOUT THE GAPS-
IT BEAT THAT RACIAL AND ETHNIC
GAPS BUT THERE ARE GAPS BASED
ON GENDER AND ZIP CODE AS WELL.
AND STILL I WANT TO MAKE SURE
AND ONE OF THE REASONS I AM
ADVANCING ON ECONOMIC MOBILITY
AS ONE OF OUR STRATEGIC
OBJECTIVES THAT WE PREPARER- IN
OUR ECOSYSTEM TO BE AS
INCLUSIVE A SMALL BUSINESS
ECOSYSTEM AS POSSIBLE AND TO
CREATE CONTRACT READINESS TO
UNLIMITED OPPORTUNITY GAPS
ACROSS ZIP CODE RACE AND
GENDER. AGAIN TO REALLY REMOVED
THE BARRIERS THAT LEANED AL
THAT WOMEN AND BI PAP
BUSINESSES EXPERIENCE AS. STATE
ATTEMPTED GROUT. I THINK WHAT
WE SEEN IT IS. THAT THAT'S-
FACING BUSINESS SAYS- FIRST
SOME IT'S THE NEED TO PIVOT AND
TO RETOOL RATE AS DIFFERENT
NEEDS HAVE EMERGED IN THE
MARKET PLACE CREATING
OPPORTUNITY TO DELIVER
DIFFERENT GOODS AND SERVICES
THIS INCLUDES A GREATER
DEPENDENCE ON EASE SALES AND
MARKETING WE SAW THAT GRAPH
EARLIER. WITH THE ELECTRONIC
SALES BEING OFF THE CHARTS- SO
MUCH GREATER THAN- OTHER AREAS-
FOR SOME OTHER BUSINESSES IT'S
STRICTLY ABOUT RECOVERY AND
CLOSING THE FINANCIAL GAPS THAT
THE PANDEMIC CREATED AND THOSE
ARE THINGS THAT LIE. PUT
CUSTOMER VOLUME ACCESS TO
INVENTORY ROD THE- TRANSIT
INTERRUPTIONS AND ACCESSIBILITY
AND THOSE ARE ALL DIFFERENT-
DEPENDING ON WHERE YOUR
BUSINESS IS AND. WHAT BUSINESS
YOU'RE IN. FOREIGN GROUP SMALL
BUSINESS. IT'S BEYOND JUST RE
OPENING AND IT'S REALLY MORE A
BALLOT REIMAGINING BUSINESS
ALTOGETHER I IT'S OUTSIDE OF
THE PANDEMIC KNOW THAT 20% OF
SMALL BUSINESSES FAIL IN THEIR
FIRST YEAR. AND AT FIVE YEARS
HALF OF THOSE NEW BUSINESSES
WILL HAVE FAILED AND WE HAVE
FOUND THAT THOSE SURVIVAL RATES
ARE PRETTY MUCH EVEN ACROSS ALL
INDUSTRIES. AND THE PANDEMIC
EXACERBATED AND THOSE TRENDS-
WE SAW BETTER THAN 40% OF BLACK
BUSINESSES CLOSED THEIR DOORS
ALMOST 40% OF LATIN ACTS
BUSINESSES AND OUR ASIAN
COUNTERPARTS I'M SIGNIFICANT
DECLINES AS WELL. BUT DUE TO
THE FINANCIAL RESOURCES
AVAILABLE THROUGH STIMULUS
LOANS GRANT UNEMPLOYMENT MANY
OF THESE PROPRIETORS ARE LIKELY
CONSIDERING THEIR OPTIONS RIGHT
NOW FOR STARTING A NEW VENTURE
AND RE IMAGINING WHAT THEY
PREVIOUSLY FELT WAS THEIR
FUTURE. SO I THINK THE GOOD
NEWS ABOUT THE CHALLENGES
FACING OUR SMALL BUSINESSES IN
CALIFORNIA IS THAT OUR
LEADERSHIP BOTH IN THE
ADMINISTRATION AND THE
LEGISLATURE ARE CREATING ACCESS
TO PROGRAMS RESOURCES AND
FINANCIAL ASSISTANCE FOR SMALL
BUSINESSES TO HELP WITH
ECONOMIC RECOVERY. AND OUR
SMALL BUSINESS TECHNICAL
ASSISTANCE NETWORK OF WHICH MR
DANIEL IS A PART HAS INCREASED
THEIR INTAKE WITH SMALL
BUSINESSES TREMENDOUSLY AND
MORE THAN FIVE HUNDRED PROVIDED
SUPPORT FOR THE SMALL
BUSINESSES APPLYING FOR THE
RELIEF CRAP SO. I THINK IN IN
IN CLOSING ON THIS QUESTION I
REALLY WANT TO SAY THAT WE HAVE
THE BACKBONE. TO CONTINUE
THINKING CREATIVELY TO SUPPORT
THIS NEXT PHASE OF RECOVERY FOR
SMALL BUSINESSES AND THAT WE
HAVE THE CAPACITY. IN OUR
NETWORK TO- REALLY GROW THE
CAPACITY AND SCALE OF OUR SMALL
BUSINESSES HERE IN CALIFORNIA
AND I KNOW THAT- MISTER
JOURNALISTS GOING TO ARM
RESPOND TO THE QUESTION
SHORTLY- AND I JUST REALLY WANT
TO OUR KNOWLEDGE AND THINK
BECAUSE I WOULD REALLY BE LESS
IF I DIDN'T. MENTION THE
INCREDIBLE SERVICE- THAT'S BEEN
PROVIDED DURING THIS VERY VERY
STRESSFUL TIME FOR OUR SMALL
BUSINESSES BY YOU AND OTHERS-
IN OUR NETWORK. WHAT THANK YOU
SO MUCH FOR THAT MS GRAY AND
DOES. WITH THAT AND MR VENICE
MY ESTIMATES ARE DEAD OR ALIVE
THERE ARE MANY AS YESTERDAY EN
EL I'M- THANK YOU YEAH IT IS
MIKE DANIELS I'M THE REGIONAL
DIRECTOR FOR THE ORANGE COUNTY
INLAND EMPIRE SMALL BUSINESS
DEVELOPMENT CENTER NETWORK- I'M
HERE REPRESENTING ALL OF THE
SMALL BUSINESS DEVELOPMENT
CENTERS. ACROSS THE STATE OF
CALIFORNIA- COMBINED WE ARE THE
LARGEST BUSINESS DEVELOPMENT-
ORGANIZATION IN THE COUNTRY
WHERE SIXTY FIVE CENTERS WE
HAVE ABOUT A THOUSAND
CONSULTANTS WE ARE ALL BUSINESS
OWNERS OR BUSINESS EXPERTS AND
VERY DIFFERENT CAPACITIES
WHETHER BE. RESTAURANT RETAIL
HOSPITALITY AT THE FINANCIAL IT
B. EQUITY AND DEBT CAPITAL- YOU
KNOW- MARKETING THERE'S SO MANY
DIFFERENT WAYS THAT WE HELP
BUSINESSES AND THE GREAT PART
ABOUT OUR PROGRAM. IS THAT WERE
FEDERALLY FUNDED AND WERE STATE
FUNDED THROUGH- MISS GRAY'S
OFFICE AS WELL SO THE SERVICE
THAT WE PROVIDE COST ARE OUR
CLIENTS ACTUALLY NOTHING- YOU
KNOW AS WE'RE HELPING THEM. YOU
KNOW AND IN THIS GREAT TALKED
ABOUT THE PANDEMIC IN THE
CALIFORNIA RELIEF GRANT. I
THINK WE WERE THE FIRST ONES
OUT OFFERING WEBINARS IT WAS
TWO DAYS BEFORE CHRISTMAS- AND
WE HAD. WE DID IT EVERY SINGLE
DAY AT ELEVEN O'CLOCK- THE
FIRST WEEK WE HAD OVER A
HUNDRED THOUSAND PEOPLE ATTEND-
AND YOU SEE THE NEED TO WRITE
THAT THEY NEED IS HUGE AND- I
THINK THE FIRST PANEL DISCUSSED
THE AVERAGE BUSINESS SIZE IT IS
ROUGHLY FORTY FIVE EMPLOYEES.
AND SO AS WE LOOK AT WHAT THEIR
BIGGEST NEEDS ARE IT'S NOT
NECESSARILY WHAT YOU KNOW AS WE
HEAR BIG BUSINESS AND RECOVERY
IT'S NOT A FOR THE CASES WE
LOOK AT SMALL BUSINESS AND I
KIND OF BRING MYSELF INTO THIS
AS WELL. I OWN A COUPLE ARE
RECOGNIZED TALK FACTORIES
ACTUALLY ONE IN YOUR DISTRICT-
IN ONE L. A. COUNTY AND CANDY
STORE AS WELL I THINK I KNOW
EXACTLY WHAT YOU'RE TALKING
ABSOLUTELY SO. YOU KNOW AS WE
LOOK AT THE BIGGEST NEED FOR
BUSINESS OWNERS IT IS
DIFFERENT. BASED ON YOU KNOW
THE REASON ALITY BASED ON THE
BUSINESS BUSINESS TYPE BUT
TECHNICAL ASSISTANCE IS A VERY
BIG PIECE OF WHAT BUSINESSES
NEED- DIGIT DIGITAL DIVIDE IS
ALSO ANOTHER PIECE THAT PEOPLE
ARE TALKING ABOUT BUT NOT
NECESSARILY EXACTLY. THE SAME
WAY THAT EVERYBODY'S TALKING
ABOUT JUST MOVING ON TO E.
COMMERCE THAT IS THE SOLUTION
FOR SOME BUT I FEEL FOR MOST
BRICK AND MORTAR BUSINESSES
THAT'S NOT NECESSARILY AN
OPTION AND REALLY. WHAT THE
DIVIDE IS YOU KNOW I MEAN HOW
MAY OF US IN THIS ROOM. YOU
KNOW WENT EIGHT AT EIGHT DINNER.
NIGHT AT A REST. AND YOU TYPED
IT INTO GOOGLE YOU KNOW YOU
TYPED IN ITALIAN RESTAURANT
NEAR ME. WELL THOSE BUSINESS
OWNERS THAT DON'T UNDERSTAND
THE TECHNOLOGY THEY'RE NOT
THERE- MIKE ALL UP KIND OF
BRING BACK WE TIED A PROGRAM IN
SANTA ANA FOR THE BRIDAL SHOPS
THERE FIFTEEN BOTTLE SHOPS AND
CANTEMIR SHOPS. IN DOWNTOWN
SANTA ANA THEY HAD NO DIGITAL
PRESENCE WHATSOEVER SO IN THREE
WEEKS. WE WENT IN AND TAUGHT
THEM ONE ON ONE. AND IN A GROUP
SETTING HOW TO ACTUALLY CREATE
A DIGITAL PRESENCE WHICH- ISN'T
THAT DIFFICULT BUT FOR PEOPLE
THAT DON'T HAVE THAT SKILL SET
IT IS- THERE. THERE THEY WERE
DRIVING TRAFFIC THE TRAFFIC WAS
UP SEVENTY FIVE PERCENT. AFTER
THEY WERE ABLE TO JUST FIND
THEM RIGHT I MEAN YOU COULD
BEEN STANDING IN FRONT OF ONE
OF THE DRESS SHOP IS THAT. IT
CAN SENIOR ADDRESS. AND THEY
WOULDN'T COME UP YOU KNOW SO
MAKING SURE THAT THAT'S THAT'S
UNDERSTOOD- LEASES ARE A BIG
DEAL. AND WHEN WE TALK ABOUT
BRICK AND MORTAR LEASE- IT'S-
MY- BUSINESSES WERE NOT GIVEN A
BASEMENT FLOOR. YOU KNOW
REDUCED RENT THEY WERE GIVEN
DEFERMENT SO WHAT THAT MEANS
IS. YOU KNOW IF I'M PAYING BUT
I PAY TEN DOLLARS A SQUARE
FOOT. AND I THE AVERAGE STORE
IZE OF THE THOUSAND THOUSAND
SQUARE FEET AND PAYING TEN
THOUSAND DOLLARS A MONTH IN
RENT. WELL I GOT THAT DIFFERED
FOR SIX MONTHS OR TWELVE MONTHS
NOW THAT I'M PAYING FIFTEEN
THOUSAND DOLLARS A MONTH IN
RENT. TO THINK ABOUT THE- EXTRA
EXPENSE AN EXTRA REVENUE I HAVE
TO DRIVE. JUST TO BREAK EVEN.
AND THAT'S WHERE MOST BUSINESS
OWNERS ARE AT RIGHT NOW IS THAT
THE FIRM IS NOW COMING DUE. AND
SO I THINK WE HAVEN'T SEEN WHAT
COMMERCIAL LEASE IS GOING TO
DO. WITH WHERE WE'RE AT AND-
YOU KNOW. WITH ACCESS TO
CAPITAL ME WE'RE REALLY TRYING
TO UNDERSTAND WHERE THE MARKET
IS I MEAN THERE'S A LOT OF
GRANT PROGRAMS AND PPP AND-
IDLE. BUT AS THOSE START TO
SUBSIDE AND GO AWAY. WHAT IS
NEXT AND THAT'S WHAT A LOT OF
PEOPLE ARE TRYING TO FIGURE
OUT. AND THE AT THE AVERAGE
CAPITAL NEED FOR A SMALL
BUSINESS IS LESS THAN FIFTY
THOUSAND DOLLARS. AND IT YOU
CAN ACCESS THAT RIGHT SOME OF
THE LARGER BANKS DON'T WANT TO
DO THAT KIND OF A LOAN. BECAUSE
THERE'S NOT A LOT OF MONEY IN
IT FOR THEM TO SERVICE THAT.
I'M NOT GET IT TO TWO MORE
THINGS AND STOP- SUPPLY ISSUES
ARE A HUGE DEAL. WHEN I JUST
BRING IT BACK TO MYSELF- I.
ORDER FROM ONE OF THE LARGEST
TRUCKING MANUFACTURERS IN THE
COUNTRY AND I ORDERED A
THOUSAND POUNDS OF CHOCOLATE
TWO WEEKS AGO. AND THEY DIDN'T
HAVE ANY. RIGHT SO IMAGINE YOU
KNOW- YOU KNOW NOT BEING ABLE
TO GET YOUR SUPPLY TO ACTUALLY
MAKE WHAT YOU NEED TO. AND THEN
THE WORK FORCE ESPECIALLY TALK
ABOUT RESTAURANT RETAIL AND
HOSPITALITY. THAT IS WHERE THE
WORKFORCE NEED IS. AND WHEN
YOU'RE COMPETING WITH
UNEMPLOYMENT. WHEN YOU'RE
COMPETING WITH THINGS AND IT'S
EASIER TO. TO STAY ON
UNEMPLOYMENT THE WAY. IT MAKES
IT A DIFFICULT- OPTION TO DO TO
FIND EMPLOYEES I MEAN. I'M TO
THE POINT WHERE I NEED THE
INTERVIEW YOU JUST COME IN AND
START WORKING. RIGHT AND THAT'S
WHERE A LOT OF BUSINESS OWNERS
ARE AT ITS COMPETITIVE NOW.
WITH YOU THERE'S IT'S NOT. A
NOT THERE'S NOT ENOUGH WORK
FORCE AT THE MOMENT. SOME OF.
THERE AND- OKAY ALL RIGHT SO
YOU'RE YOU'VE GIVEN US
COLLECTIVELY A LOT TO IT TO
DIVE INTO FOR THE NEXT SAID
TWENTY MINUTES OR SO I'M AND
ACTUALLY LET'S START WHERE
WHERE YOU ENDED LET'S PICK UP
ON THIS THIS QUESTION OF AB
WORK FORCE AND AS WE SIGN THAT
THE EARLIER PANEL AND WE
CONTINUE TO READING AND
HEADLINE NEWS I THINK ALL
ACROSS THE COUNTRY- THAT THERE
IS. THERE'S JUST BEEN
INCREDIBLY SLOW RETURNED TO
WORK- IN MANY SECTORS OF THE
ECONOMY AND I THINK PART OF
THAT- WE RESPONDED IN CERTAIN
WAYS TO THIS UNPRECEDENTED
SHOCK OF THE COVER NINETEEN
CRISIS I GUESS MY QUESTION IS
AND I THINK WE KNOW THAT SOME
OF THAT IS GOING TO STABILIZE
OVER TIME- AT MR YOU ARE FROM
THE ALEJO'S. KIND OF TRADE OFF.
THE OTHER PROVIDED A DIFFERENT
CONCLUSION TODAY THAN THEY DID
MAYBE IN MARCH OF TWENTY
TWENTY- FOR MANY JOBS A LOT OF
THOSE- I THINK THERE'S TRADE
OFFS WE'LL START TO STABILIZE
QUITE NATURALLY I THINK IN AND
NOT IN LIKE A YEAR IN THE NEXT
COUPLE OF MONTHS I GUESS DO YOU
AGREE WITH THAT OR DO YOU YOU
THINK THAT THERE ARE- SOME. THE
LAST SCENE I GUESS IT HAS THERE
BEEN A LASTING SHOCKED TO. THE
LABOR MARKET- THAT. CAUSES A-
PROLONGED CONCERN AND WARRANTS
I GUESS AND YOU KNOW SOME KIND
OF AN INTERVENTION OR EARLY
SECOND LONGER TERM
CONSIDERATIONS. HELLO QUESTION
DO WE THINK IT'S A SHORT TERM
ISSUE THAT. IS GOING TO GET
RESOLVED BY THAT JUST FORCES OF
SUPPLY AND DEMAND COMING INTO
EQUILIBRIUM OR IS THERE
SOMETHING LONGER TERM THAT WE
ALL NEED TO BE WORRIED ABOUT.
AND I WOULD SAY A LITTLE BIT OF
BOTH- THERE ARE PEOPLE ARE
RELUCTANT GO BACK TO WORK THAT
HAVE BEEN ORKING FROM HOME.
THEY LIKE TO WORK FROM HOME
FOREVER FACT ONE- THE STUDY I
SAW SAID THAT- IF THERE IS SOME
OF THE FOLKS WHO WOULD BE
OFFERED A THIRTY THOUSAND
DOLLARS MORE TO COME BACK TO
WORK. FULL TIME IN THE OFFICE
AND THEY THEY'D RATHER NOT THAT
RATHER STAY HOME AND NOT GET
THE PAY. SO THAT'S ONE ISSUE
THAT'S HAPPENING- I DO THINK
WHEN THE- PROGRAMS ARE PAYING
MORE TO STAY HOME- MORE TO STAY
HOME WITH THOSE FOR. IN
DISPOSED AN EXCERPT. IF THEY'RE
NOT PUT BACK INTO. A PLACE I
THINK THAT'LL HELP TREMENDOUSLY
BECAUSE PEOPLE NEED TO GO BACK
TO WORK IN AND GET A JOB. SO
THERE IS A- THERE CERTAINLY HAS
BEEN A CHANGE IN PEOPLE'S
OUTLOOKS. ON HOW TO WORK AND
HOW THEY WORK IT IS CENTRAL-
BUT I THINK THEY'RE ALSO A LOT
OF PEOPLE ARE REALLY S. AND GET
BACK TO WORK. BECAUSE THEY MISS
THE- YOU KNOW COOLER TALK IN
THE SIT AROUND THE OFFICE AND
TALK ABOUT IDEAS AND- YOU JUST
DON'T GET THAT. WHEN
EVERYBODY'S REMOTE AND- THAT
THAT HAS BEEN MISSING FOR LAST
YEAR. SO AS I SAID I THINK
THERE'S SOME OF BOTH. OKAY
MISTER DANIEL YEAH I WOULD SAY
THAT I THINK THAT WE WILL SEE-
A HYBRID ENVIRONMENT MOVING
FORWARD. I'M BUT I THINK THAT
THE JOBS NUMBERS THAT WERE
RELEASED IN IN JUNE I BELIEVE-
WE ADDED MORE THAN THREE
HUNDRED THOUSAND JOBS. IN
CALIFORNIA SO I THINK IT'S FAIR
TO SAY. THAT THERE IS A DIRECT
CORRELATION BETWEEN THE PUBLIC
HEALTH CONCERNS. AND EMPLOYMENT
AND I THINK IT'S STILL
OPTIMISTIC. I WITH A COSTLY
OPTIMISTIC YOU KNOW I WAS GOING
TO BE COOLER I DON'T KNOW THAT
WE NOW RIGHT IN THE WITHOUT
BUSINESSES CLOSE DOWN
COMPLETELY FOR THREE MONTHS AND
I THINK THAT HAS TAUGHT PEOPLE
TO BE MUCH MORE EFFICIENT- YOU
KNOW AND MAYBE WITH LESS WORK
FORCE TRYING TO DO MORE. AND SO
I'M HOPEFUL BUT YOU KNOW THE
SLOWEST RECOVERY MARKET IS THE
RESTAURANT RETAIL HOSPITALITY
BECAUSE THOSE ARE THEJOBS THAT
YOU KNOW ARE LESS ATTRACTIVE
BECAUSE OF THE WAGE. YOU KNOW
AND SO I THINK YOU KNOW THERE
MAY BE SOME THINGS THAT WE CAN
DO TO HELP HELP SUPPORT THOSE
SMALL BUSINESS OWNERS. IN
GETTING PEOPLE BACK TO WORK- IN
ANA I GUESS I SURE THAT LATER-
THEY'RE THEY'RE HAVING HIM
EMPLOYERS. HAVE ACTUALLY. BEEN
SO PRETTY SURE THE PEOPLE
STAYING WITH THEM AND WORKING
LIKE IN GROCERY STORES
ETCETERA. AS AN EXAMPLE-
SOMEBODY SENT ME THIS FOOD
RETAILERS- INCREASE PAYROLL
INCENTIVE PAY AND BENEFITS BY
SEVENTEEN BILLION DOLLARS LAST
YEAR. TO SHOW THEIR
APPRECIATION WHO EMPLOYS FOR
WORKING IN PERSON THROUGH THE
PANDEMIC. I DON'T KNOW WE HAVE
SOME GROCERY STORE MEMBERS. AND
THEY'VE- EXACTLY DONE THAT I
MEAN THEY HAVE SAID THANK YOU
AND WE'RE GONNA GIVE YOU EXTRA
MONEY FOR BEING HERE. REALLY
APPRECIATE FACTOR HERE SET FOR
TETRIS SO. THAT'S HAPPENING TO
IT'S A GOOD THING. MMHM I ALSO
IF I MAY MADAM CHAIR- WOULD SAY
THAT WE HAVE A SIGNIFICANT
NUMBER. OF BUDGET ITEMS- THAT I
THINK WILL GO A LONG WAY.
TOWARDS STIMULATING- WHAT WE'RE
TALKING ABOUT IN IN TERMS OF
WORKFORCE. WE HAVE OF COURSE AN
ADDITIONAL ONE POINT FIVE
BILLION. FOR THE SMALL BUSINESS
CODE NINETEEN RELIEF. GRANT
WHICH WOULD BRING THAT TOTAL
INVESTMENT FOR BILLION. BUT WE
ALSO HAVE THE CALIFORNIA DREAM
FIND. WHICH IS A SMALL
BUSINESS- START UP GRANT
PROGRAM. THAT WILL MAKE UP TO
TEN THOUSAND DOLLARS AVAILABLE
TO SMALL BUSINESS OWNERS. THAT
HAVE COMPLETED- AND APPROVED
ENTREPRENEUR SMALL BUSINESS
EDUCATIONAL PROGRAM. THAT OUR
PARTNERS ALIKE MR DANIEL SPOKE
OF EARLIER. ALREADY OFFERING.
I'M AND WE THINK THAT THAT WILL
HELP WITH THE START UP THEN
OBVIOUSLY BUSINESSES NEED
FOLKS. TO HELP THEM. PRODUCE
THEIR GOODS AND GET THEM OUT
INTO THE MARKETPLACE. ALSO WE
HAVE OUR I HAVE SQUARED
PROGRAM- WE PLAN TO RELAUNCH
THIS PROGRAM. WITH A TWO POINT
FIVE MILLION DOLLAR INVESTMENT
IN CALIFORNIA INNOVATION HUBS.
AND THAT WE ARE HOPING TO
INCENTIVIZE INCLUSIVE DIVERSE.
AND EQUITABLE. INNOVATION
ACTIVITIES IN THIS THE TAX AND
SOME BE- STARTED ECO. THEREBY
BE. OF THE OVERALL COULD. FOR
INNOVATION ACROSS THE STATE.
WE'VE GOT A LIVE- THEN YOU
GRANTS PROGRAM AIMED AT CLOSING
THE FINANCIAL GAP FOR LIKE
VENUE OPERATORS WITH GRANTS UP
TO TWO HUNDRED AND FIFTY
THOUSAND DOLLARS OR TWENTY
PERCENT. OF THEIR TWENTY
NINETEEN ANNUAL GROSS REVENUE
AND THEN TO- THAT MEMBER
CARILLO THIS POINT ABOUT THE
SMALLEST BUSINESS SAYS I'M IN
THE STATE WE HAVE A FIFTY
MILLION DOLLAR. MICRO BUSINESS
GRANT PROGRAM THAT'S AIMED AT
REACHING THE SMALLEST OF THE
SMALL BUSINESS SAYS WHAT LESS
THAN FIVE EMPLOYEES AND UNDER
FIFTY THOUSAND DOLLARS IN
ANNUAL REVENUE. AND SO WE HOPE
TO- REALLY PARTNER WITH- ALL
FIFTY EIGHT COUNTIES TO HELP
THEM MEET THE NEEDS OF THEIR
CONSTITUENCY AND WE'RE REALLY
EXCITED TO BE ABLE TO BRING.
THESE KINDS OF RESOURCES
SPEAKING SPECIFICALLY TO
WORKFORCE DEVELOPMENT WE HAVE A
NONPROFIT PERFORMING ARTS
WORKFORCE DEVELOPMENT GRANT-
PROGRAM THAT WILL BE- THAT
WORKING TO CREATE WORKFORCE
OPPORTUNITIES IN THE ARTS AND-
THAT WOULD BE THROUGH A FIFTY
MILLION DOLLAR ON INVESTMENT
SO. THESE ARE JUST SOME OF THE
RESOURCES THAT ARE BEING MADE
AVAILABLE TO OUR SMALL
BUSINESSES- IN AN EFFORT TO
HELP THEM COME. BACK STRONGER
THAN BEFORE. THANK YOU YES
THANK YOU FOR HAVING A AND
ESPECIALLY THANK YOU FOR
HIGHLIGHTING AND I'M GOING TO
FORGET WHAT. AT WHAT WE'RE
WE'RE CALLING ABOUT THE AD THAT
THE FUNDING TO CREATE.
INNOVATION ECOSYSTEMS ACROSS
THE STATE I THINK THAT THAT IS
SO CRITICAL AND I THINK THERE'S
A REALLY REALLY SOME EXCITING
OPPORTUNITIES FOR US TO CREATE
THESE THESE REGIONAL CENTERS OF
GROWTH AND INNOVATION- AN
OPPORTUNITY SO LOOK FORWARD TO
WORKING WITH YOU ON THAT AND
POTENTIALLY EVEN DIVING INTO
THAT MORE I THINK IN. IN IN AS
A TOPIC FOR ONE OF OUR FUTURE
HEARINGS BUT I WANT TO PICK UP
ON- WHAT WHAT YOU SAID ABOUT
WORKFORCE DEVELOPMENT AND I
KNEW THAT MR MANY AS YOU
MENTIONED. AS THE NEED FOR MORE
CURRENTTECHNICAL EDUCATION
FUNDING I THINK THAT'S WHAT
WHICH WERE WERE GETTING AT- AND
I GUESS TWO QUESTIONS. ARE WE
INVEST IN IT AS AS A STATE FARM
ARE WE INVESTING ENOUGH IN
WORKFORCE DEVELOPMENT AND CTE
PROGRAMS. WHAT MORE DO WE NEED
TO DO AND HOW WOULD YOU DIRECT
ADDITIONAL DOLLARS AND I WOULD
LOVE TO HEAR PERSPECTIVES FROM
EVERYONE YEAH MISTER
GRANULOCYTE SORRY YEAH SURE
WE'RE ACTUALLY RUNNING A
PROGRAM IN PARTNERSHIP WITH-
WORKFORCE DEVELOPMENT AT THE
COMMUNITY COLLEGE DISTRICT AND
WE'RE DO EVERYTHING CANCERS
OFFICE IN IN SACRAMENTO. AND
WE'RE DOING IT ATAQUE COVERED
COPPER MOUNTAIN COLLEGE AND
WHAT WE'RE DOING IS WE'RE
TAKING STUDENT INTERNS AND
THEY'RE BEING PAID BY THE
COLLEGE AND THEY'RE DOING A TEN
WEEK INTERNSHIP WITH WITH
BUSINESS OWNERS TEACHING THEM.
A LOT OF THESE DIGITAL PRESENCE
PIECES RIGHT THERE BUILDING YOU
KNOW SCO TO BUILDING WEBSITES
FOR THEM THEY'RE THEY'RE
DRIVING TRAFFIC TO THEIR
BUSINESSES AND I THINK THAT
SOME OF THAT IS THE CATALYST OF
JOB THE NEXT JOBS OF THE FUTURE
AND MAKING SURE THAT. THAT YOU
KNOW TECHNICAL ASSISTANCE SMALL
BUSINESS OWNERS THE COMMUNITY
COLLEGES THAT THE FOUR
UNIVERSITIES ARE ALL TIED IN
TOGETHER TO MAKE SURE THAT WE
UNDERSTAND WHAT THOSE JOBS ARE
AND THEN TRAINING THEM.
EDUCATION IS ONE THING BUT THE
OTHER PART IS THE EXPERIENCE OF
LEARNING AND I THINK WHEN YOU
CAN TIED DIRECTLY INTO WORKING
WITH BUSINESS. OWNERS WHAT AN
AMAZING OPPORTUNITY. I'D GET
AGREE THAT CAN COLLEGE GREAT
FOR. IN IN THEIR- AROUND THE
STATE- I SPENT SEVEN YEARS ON
THE BOARD OF GOVERNORS A
COMMUNITY COLLEGE. SYSTEM AND I
SO I GOT TO SEE OF MANY MANY
DIFFERENT KINDS OF PROGRAMS.
AND A GREAT AND A BAND THE
STUDENTS GET OUT AND I GET.
MUCH BETTER PAYING JOBS THAT
WOULD HAVE BEFORE- AND SO
THERE'S ALWAYS THERE'S NEVER
ENOUGH FUNDING TO THAT
OBVIOUSLY. AND THEN AT THE K.
TWELVE LEVEL THE HIGH SCHOOL
LEVEL- THEY'LL SHOP PROGRAMS
MANY OF THEM JUST BEEN
ABANDONED. AND THERE'S NO MONEY
FOR THEM AND ACTUALLY THE
BUILDING INDUSTRY HAS A PROGRAM
CALLED BEEN A- WHICH- USES
PRIVATE FUNDING. TO GO IN AND
GET THE SHOP PROGRAMS PUT BACK
TOGETHER AGAIN SO- STUDENTS CAN
LEARN CARPENTRY AND- WELDING
AND DIFFERENT THINGS LIKE THAT.
IN HIGH SCHOOL AND GET A JOB
WHEN THEY'RE DONE. SO YES
THERE'S REALLY NEVER ENOUGH BUT
YES THE MORE THE BETTER PUT IT
pLIKE YOU SAID I THINK THERE ARE
SOME GREAT. EXAMPLES ACROSS THE
STATE END. UP WANTING I. WOULD
LOVE TO PRESS TWO X.
COLLECTIVELY FIGURE OUT HOW TO
DO IS. IDENTIFY THOSE EXAMPLES
THAT ARE WORKING REALLY WELL
AND IN ONE REGION AND- BE ABLE
TO ROLL THAT OUT ACROSS THE
STATE AS- BEST PRACTICES- AND-
BECAUSE WE DO HAVE THERE'S
THAT. A PROGRAM- AT ONE OF THE
HIGH SCHOOLS IN ORANGE COUNTY
THAT SAID THE BUILDING TRADES
HAVE PARTNERED WITH THAT THE
LOCAL HIGH SCHOOL DISTRICT. I
HAD TO RUN A PROGRAM IN HIGH
SCHOOL AND IT HAS BEEN A GREAT
SUCCESS. AND IT YOU KNOW
CREATING. THESE OPPORTUNITIES
FOR PEOPLE RIGHT UP OUT OF HIGH
SCHOOL TO STEP INTO. GOOD
PAYING HIGHLY SKILLED AND
TRAINED JOBS AND- YEAH SO
URINE'S CONTRABAND ACTUALLY HAS
STARTED AND IS NOW STATEWIDE-
SO IS IT REALLY A PIONEER YEAH.
THAT WONDERFUL WONDERFUL
PROGRAM YES AND OTHER THOUGHT
SENT- IS GREAT ON ON WORK FOR
YOU EVEN HAD TOUCHED A LITTLE
BIT ON WORKFORCE DEVELOPMENT
ANYTHING ELSE YOU'D ADD ON WORK
FORCE DEVELOPMENT OR C. T.
FUNDING. WELL YES IF I MAY I'M
I THINK THAT THE PROGRAM THAT-
WITH THE TRADES IS EXTREMELY
IMPORTANT. TO REASONS- IT GIVE
THIS UP- RELIEF I THINK OF FOR-
KIDS WHO MIGHT OTHERWISE GO
INTO DEBT. PURSUING A FOUR YEAR
DEGREE. I AM NOT NECESSARILY
EARN UP MORE- IT GIVES THEM AN
OPPORTUNITY TO GET VERY- WELL
PAYING. JOBS BUT OF COURSE
TOMORROW AREA OF EXPERTISE BUT
ALSO MAKE EXCELLENT SMALL
BUSINESS OWNERS. TRADESMEN AND
WOMEN AND SO WHAT I'M
PARTICULARLY INTERESTED. IN THE
TRADES AND GETTING MORE. SOONER
FASTER BETTER THREE TRADE
SCHOOLS AND THROUGH THE
APPRENTICESHIP PROGRAMS IN
ALMATY INDUSTRY. BECAUSE I
THINK WE ARE SEEING A GAP AS MR
RUBIN IS SET. WITH HIGH SCHOOLS
DOING AWAY WITH THAT- IT IS
JUST BEEN A SIGNIFICANT DRAIN A
AND- WE'RE- VERY QUICKLY MOVING
TO A PLACE WHERE WE WON'T HAVE
ENOUGH TRADES PEOPLE- SO WE
NEED TO DO SOMETHING. I THINK
IN ORDER TO STEM THAT TIDE. CAN
YOU MADE A GREAT POINT ABOUT-
TRADES PEOPLE BECOMING A
BUSINESS PEOPLE- HOMEBUILDING
HAS BECOME KIND OF A CORPORATE-
INDUSTRY A LOT OF THE BIG
BUILDERS YOU KNOW. PROBABLY THE
PRIVATE 40% OF THE PRODUCT 50%
NOW BUT- THE TRADE CONTRACTORS
ALMOST ALL HOMEGROWN. IS
STARTED OUT THEIR TRADE IS A
FRAME OR A CARPENTER OR-
WHATEVER. AND STARTED A SMALL
BUSINESS SOME GOTTEN VERY BIG.
BUT TYPICALLY THERE'S THEY'RE
ABOUT TO TWENTY SOME
SUBCONTRACTORS TRADE CONTRACTS
WITH EACH JOB. AND MOST OF
THOSE ARE EXACTLY WHAT YOU SAID.
YEAH WELL AND I THINK THE OTHER
ANOTHER POINT IN IT SO MUCH
BACK TO THE DIGITAL EVERYONE
ONE ASPECT THE JUST TO FILTER
BY IT WILL BE TALK ABOUT. WORK
FORCE TO. AND EMPHASIZE JUST
HOW IMPORTANT THAT IS THE PRE
PANDEMIC WE WERE SEEN
CALIFORNIA'S JOB GROWTH NUMBERS
AND I'M NOT TELLING YOU
ANYTHING YOU DON'T NOW BUT YOU
ARE JOB WITH NUMBERS WERE
SLOWING. NOT BECAUSE PEOPLE
WEREN'T HIRING BUT BECAUSE
INCREASINGLY THE SKILLS OF OUR
LABOR FORCE ARE OUT OF STEP
WITH WHAT IS NEEDED AND ARE
INCREASINGLY TECHNOLOGY DRIVEN
ECONOMY AND- I THINK THE BETTER
JOB THAT WE CAN DO AS- AS
POLICY MAKERS. AT CONNECTING
THOSE DOTS ARE THE BETTER IT'S
GOING TO BE FOR CALIFORNIANS
AND CERTAINLY THAT THE BETTER
IT'S GOING TO BE FOR
CALIFORNIA'S ECONOMIC OUT LONG
TERM ECONOMIC GROWTH PROSPECTS.
YES ANOTHER IMPORTANT IMPORTANT
ISSUE THAT IS IN FACT IT'S ON
THAT WE'VE GOT IT HEY AT
HEARING THAT IS GONNA FOCUS ON
WORKFORCE DEVELOPMENT-
SCHEDULED FOR LATER IN THE
YEAR. I'M I DO WANNA NOW
BRIEFLY JUMPED INTO AT THIS
THE- CONVERSATION ON TECHNICAL
ASSISTANCE AND- I THINK IT WAS.
AB JAKOB ON QUESTS THAT HAD
HIGHLIGHTED THE IMPORTANCE OF
THIS I KNOW THAT IT IS WHAT
WORKFORCE DEVELOPMENT CENTERS
AND A BIG PART OF WHAT OF WHAT
YOU DO. AND AGAIN THERE. ARE
THERE ARE THERE PIECES THAT ARE
MISSING ARE THERE ARE THERE
THINGS THAT IS FROM THE
LEGISLATIVE SIDE YOU WOULD LIKE
TO SEE S. OUTSIDE DOING
DIFFERENTLY ARE DOING MORE OF
SURE SURE AND I THINK- YOU KNOW
THAT THE PANDEMIC IS DEFINITELY
TAUGHT US A LOT ABOUT THIS. AND
JUMPED IN AND SUPPORTED THE
TECHNICAL ASSISTANCE PROGRAMS I
BELIEVE YOU GRANT EIGHTY SIX
DIFFERENT GRANTEES- FUNDING YOU
KNOW MOST OF THESE ARE ALL
FEDERAL PROGRAMS AS WELL SO
THERE SIGNIFICANT FUNDING.
COMING IN AND I THINK AS WE'VE
SEEN. JUST THAT NEED FOR
TIGHTENING ASSISTANCE COULD BE
UNDERSTAND FINANCIAL THAT COULD
BE. HIGHER IT COULD THERE'S SO
MANY DIFFERENT ASPECTS RIGHT
MARKETING DIFFERENT DIFFERENT
THINGS LIKE THAT INTERNATIONAL
TRADE PROCUREMENT AND THAT'S
ONE THING WE HAVEN'T REALLY
DISCUSSES PROCUREMENT
OPPORTUNITIES AT THE STATE
LEVEL. THE LOCAL LEVEL- YOU
KNOW I THINK ADDITIONAL FUNDING
IS DEFINITELY NEEDED AND I
THINK. MAKING SURE THAT. WE ARE
REACHING EVERYBODY RIGHT I MEAN
I THINK YOU HEARD FROM ASSEMBLY
WOMAN CARILLO. MAKING SURE THAT
YOU KNOW THE SMALLEST OF THE
SMALL BUSINESSES ARE REACHED IN
THE LANGUAGE THEY NEED TO BE
REACHED IN IN THE AREA THAT
THEY NEED TO BE REACHED TO. YOU
KNOW I THINK WE LEARNED A LOT
FROM THAT CALIFORNIA RELIEF
GRANT OF THAT WE WERE DOING IN
TWENTY FIVE DIFFERENT
LANGUAGES. AND THE ATTENDANT
DIDN'T CHANGE YOU KNOW IT'S
JUST I MEAN PEOPLE ON HERE THEY
NEED TO HEAR IT IN THEIR
LANGUAGE WE NEED IT TO BE HANDS
ON. AND TECHNICAL ASSISTANCE IS
JUST THAT RIGHT. SITTING ACROSS
THE TABLE FROM YOU HELPING YOU
DO IT HANDS ON AND I THINK
THAT'S- THAT'S THE ABILITY AND
I THINK THAT THAT SYSTEM
ALREADY EXISTS. I THINK GROWING
AND EXPANDING IT IS REALLY
WHAT'S NEEDED. AND I FEEL LIKE
I SO OFTEN FIND IN
CONVERSATIONS WITH OUR LOCAL
SMALL BUSINESSES ARE ACTUALLY
EVEN IN CONVERSATIONS WITH OUR
LOCAL CHAMBERS. PEOPLE DON'T
KNOW WHO THE RESOURCES THAT ARE
AVAILABLE. AND THAT THE A
CONTINUAL CHALLENGES YOU HAVE
FIGURED OUT SO THAT I'D LOVE TO
THE STORY THAT YOU SHARED ABOUT
THAT THE SMALL- DRESS SHOP.
THAT AFTER A FEW HOURS OF JUST
BASICALLY LEARNING HOW TO LAST
THERE ARE AT THEIR SHOP ON. I
SUPPOSE I COULD LADDERS NINE
ABLE TO INCREASE THEIR BUSINESS
BY 75% OF PEOPLE COULD FIND
THEM. AND SO WE'RE WE'RE
TALKING ABOUT TECHNICAL
ASSISTANCE SOME THINGS THAT ARE
TRANSFORMATIVE IT'S NOT SIX
MONTHS OF EFFORT AND ALL KINDS
OF MONEY THAT WE HAVE TO
INVEST. IT'S THAT LITTLE BIT OF
HELP AT THE RIGHT MOMENT AND
MAKING SURE THAT. DRESS SHOP
OWNERS ACROSS THE STATE
UNDERSTAND HE THERE'S HELP
AVAILABLE YEAH WE CAN HELP YOU
YES TAKE THAT FIRST STEP INTO
THE DIGITAL DIVIDE YEAH IT'S-
TACTICAL AND YOU KNOW TECHNICAL
ASSISTANCE AT SUCH AN ODD NAME
RIGHT I MEAN. YOU REALLY DEFINE
WHAT THAT MEANS AND I THINK
WHAT IT IS AND- MAYBE I NEED
FINANCING YOU KNOW MAYBE I
NEED. YOU KNOW BETTER HELP IN
MY MARKETING I JUST NEED TO
UNDERSTAND WHAT KEY PERFORMANCE
INDICATORS SO I KNOW WHAT I'M
MEASURING. NEED MAYBE BE SHOT
MAYBE WOULDN'T OF JUST YOU
KNOW. WHAT CAN BE TAUGHT IN A
VERY SHORT PERIOD OF TIME TO
BUSINESS OWNERS SO THAT THEY
CAN BE YOU KNOW THEY CAN
GENERATE MORE REVENUE HIRE MORE
PEOPLE THAT'S EXACTLY WHAT WE
WANT TO MAKE THEM BETTER
BUSINESS OWNERS. AND TO
MISTAKEN YOU SPEAK UP IT TOO
WHAT WITH GO BIZ AND WHAT WHAT
YOU ALL ARE DOING TO AT. GET
THESE COMMUNICATIONS OUT ACROSS
CALIFORNIA BUSINESSES AND ALSO
SPEAK TO ANY WAYS IN WHICH WE
CAN. CAN HELP PARTNER WITH YOU
ON THAT. YES SO AS IN MISTER
ACT DANIEL SAID EARLIER MADAM
CHAIR. AND WE DO HAVE MORE THAN
EIGHTY TECHNICAL ASSISTANCE-
PROVIDERS NOW. WE ARE EMBARKING
ON EXPANDING WITH THE DREAM
FINE THE TECHNICAL ASSISTANCE-
NETWORK TO INCLUDE. NON
PROFITS- SO THAT WE CAN EXPAND
THE REACH AND- HELP THAT WE ARE
PROVIDING TO SMALL BUSINESSES.
I WANT TO GO BACK- IF I NAY TO
MISTER DANIELS POINTED ABOUT
TECHNICAL ASSISTANCE KIND OF
BEING AN AUDIT NAME AND- I HAVE
A LIGHT CAN TECHNICAL
ASSISTANCE PROVIDERS TO
CLINICIANS. YOU KNOW WHEN A
WHEN A SMALL BUSINESS PERSON
SENSE IT'S ALMOST AS IF COMING
INTO THE ER. SOMEBODY HAS TO
TRIAGE AND REALLY UNDERSTAND
WHAT'S HAPPENING WITH THAT
SMALL BUSINESS WHAT IS THE
CURRENT STATE. AND I THINK THAT
WE HAVE PLACED A LOT OF
EMPHASIS ON ACCESS TO CAPITAL.
AND IT'S APPROPRIATE. IT HAS
BEEN DOCUMENTED IT IS WELL
KNOWN. THAT ACCESS TO CAPITAL
IS MATHIS. HOW IT IS ALSO. AS
DOCUMENTED AND WHILE NOW. THAT
WITHOUT TECHNICAL ASSISTANCE
THE CAPITAL IS NOT
APPROPRIATELY USE ONCE
RECEIVED. AND SO I THINK WE ARE
RESPONSE OUR POLICY RESPONSE
ARE BUDGET RESPONSE. HAS TO BE
TO CONTINUE TO PROVIDE MORE
RESOURCES IF WE ARE GOING TO
ORGANICALLY GROW OUR SMALL
BUSINESSES IN THE STATE OF
CALIFORNIA. WE HAVE BROUGHT TO
GROW THE NETWORK THAT PROVIDES
THE ASSISTANCE TO THEM. IT
SHOULD ABSOLUTELY IT'S JUST.
BIGELOW HAND IN HAND. THANKS I
THINK THAT'S A REALLY REALLY
IMPORTANT POINT. AND THAT MAKE
MOVING ON I WANNA MAKE SURE
THAT WE HAVE SOME TIME TO YOU-
DIVE INTO A TOPIC THAT YOU I'M
PRODUCT MR RUBIN YES WHICH IS.
CALIFORNIA'S UNEMPLOYMENT
INSURANCE THAT- BOB AND ARLENE
I THINK IT IS IT NOW FORTY
BILLION DOLLAR FOR DOLLAR
TWENTY THREE DEPENDING ON WHO
YOU TALK TO AND GROWING YES OF.
AB AND I'M I'M GUESSING
ACTUALLY THE STAGE THAT WE'RE
NOT HEARING ABOUT THIS FROM.
SMALL BUSINESS OWNERS. I DON'T
THINK PEOPLE UNDERSTAND. THAT
THIS WORK YOU KNOW THIS IS
COMING BUT ARE PEOPLE THAT HAVE
YOU HEARD OF GUESS HELD A LAST
HAVE YOU HEARD ABOUT THIS FROM
FROM POP SMALL BUSINESS OWNERS
ABSOLUTELY NOT RIGHT THIS IS
NOT ON THEIR RADAR GET YOU KNOW
IT'S MORE JUST SURVIVAL
RECOVERY RIGHT THERE THAT'S
WHERE THEY'RE AT THE MOMENT AND
EVEN PRIOR PANDEMIC. RIGHT
INTERMENT MISTER VAN YES I
THINK TIMES WE ALL HEAR THESE
REALLY BIG YOU KNOW MULTI
BILLION DOLLAR NUMBERS AND IT
IT'S XT.
OUR ARMS AROUND SO CAN YOU HELP
MAKE THIS RESULT FOR. FINALLY
KNOW THAT IT'S A BUSINESS OWNER
WHO'S DOING I'VE- GOT MY HEART
RATE OF A- MILLION DOLLARS IN
REVENUE A YEAR. SMALL BUSINESS
OWNER WHAT WHAT WOULD WHAT
IMPACT IS THIS GOING TO HAVE ON
THEM WELL THIS IS IT'S VERY
DIFFICULT TO SAY BECAUSE- IT
DEPENDS ON HOW THEY WOULD
DECIDE TO PAY IT BACK. AND WHAT
THEY MIGHT DO- AS I SAID THAT I
THINK THERE'S SOME HOPE AND IN
MANY FRONTS THAT- SOME I LIKE A
BUILD UP BY THE FEDERAL
GOVERNMENT- THEY HAVE ACTUALLY
GOT ENOUGH TO PAY IT BACK WITH
A CHOSE TO SPEND ON OTHER
THINGS THEY'VE BEEN. I THINK
THE GOVERNOR'S OFFICE AND
CERTAINLY LEGISLATURE. SO IT'S
VERY HARD TO SAY- WHAT WOULD
ULTIMATELY HAPPEN I KNOW WE HAD
A TEN BILLION DOLLAR DEBT AT
ONE TIME. WE FINALLY GOT IT
PAID OFF AND PART OF IT WAS
PAID OFF BUT WAS BY HIGHER
PAYROLL TAX BUT I CAN'T TELL
EXACTLY. WHAT WENT UP BUT-
THAT'S ANOTHER FOR YOUR BILL
BUSINESSES DO UNDERSTAND
THEY'RE GOING TO GET THIS OUR
MEMBERS KNOW BECAUSE WE'VE BEEN
TALKING ABOUT IT IN A
NEWSLETTER. BUT JUST- ONE MORE
TAX INCREASE TO WORRY ABOUT.
BUT I CAN'T TELL YOU WHAT WOULD
BE A HAVE AN ACCENT AND I
SHOULD'VE I HAD. SOME EXAMPLES
I KNEW THAT THE CALIFORNIA
BUSINESS ROUNDTABLE HAD DONE A
COUPLE SIDES WERE- THEY MAPPED
OUT AND THAT A SCENARIO FOR
CALIFORNIA BUSINESS BUT- I
THINK THAT THE- THE PUNCH LINE
REALLY IS KIND OF ABSENT ANY.
INTERVENTION OR ACTION. THAT
THIS WILL FALL AS A BURDEN ON
CALIFORNIA SMALL BUSINESSES AND
THAT WHAT HAPPENS IS PAYROLL
TAXES. INCREASE A LITTLE BIT
EVERY SINGLE YEAR- TO TAKE
COVER THE COST UNTIL THE DEBT
IS PAID OFF AND THE EXPECTATION
WOULD BETHAT THOSE INCREASES.
I WOULD. WOULD BE IN PLACE FOR
THE NEXT TWENTY YEARS IN ORDER
FOR US TO PAY OFF THIS THIS
BALL- SO I KNOW I AM. THIS IS.
A FULL DISCLOSURE I'M
ADVOCATING. IN THE LEGISLATURE
THAT WE DO TAKE SOME ACTION. TO
ADDRESS THIS I THINK. I WE- THE
NINETY WAS AN PRESIDENT I CAN
SHOCK AND WE HAVE STEPPED UP
AND STEPPED IN. TO FILL THE
GAPS IN SO MANY DIFFERENT WAYS-
I THINK IT'S IRRESPONSIBLE IF
WE DON'T. STEP UP IN THIS
REGARD. I GUESS- MS GRAYER IS
THIS SOMETHING THAT YOU ALL ARE
TALKING ABOUT OR THAT YOU'RE
HEARING ABOUT FROM. BUSINESSES
LARGE OR SMALL- AS WE START TO
COME OUT OF THE PANDEMIC I YOU
KNOW I HAVE TO BE HONEST IT HAS
NOT BEEN ON THE RADAR YAK OKAY.
ON THE AND I AM STILL- AND
THERE ARE THINGS I AM STILL
GETTING MY ARMS AROUND IN THIS
WOULD BE ONE OF THEM. YEP WHAT
I THINK IS THERE WAS THERE WAS
CERTAINLY AS YOU SAID MR EVAN
YES THERE WAS A HOPE THAT THE
FEDS WOULD. ADD CLOSE THAT GAP-
I THINK AND- MY UNDERSTANDING
IS THERE'S ONLY EIGHTEEN STATES
THAT ACTUALLY DO YOU HAVE ANY
KIND OF. I YOU I DEBT RIGHT NOW
SAYS THAT- THAT HOPE IS
PROBABLY. NOT GOING TO BE
REALIZED ON THAT THE FEDS ARE
GOING TO. PAY OFF OUR- YEAH THE
EIGHT DAYS AND POINT OUT OF
EIGHTEEN STATES WHEN. OTHERS
DON'T HAVE THAT NEEDS- SO I
THINK IT IS GOING TO BE AT A
CALIFORNIA CHALLENGE AND
SOMETHING THAT WE DO NEED TO.
I'M TO TAKE REALLY SERIOUSLY
AND THE REASON I THINK I'M-
RAISING IT IN THIS CONTEXT IS.
ULTIMATELY IT WILL BECOME I
THINK IT'S AN ADDITIONAL
CHALLENGE FOR CALIFORNIA SMALL
BUSINESS. WERE YOU ON BRUCE
WERE YOU A SMALL BUSINESS OWNER
DURING THAT POST TWO THOUSAND
AND EIGHT. AND WHAT WAS WORK
FOR YOUR SORT OF RISING PAYROLL
TAXES TO PAY OFF YOU AYE
SOMETHING THAT YOU NOTICE FOR
THAT I CAN'T SAY THAT IT WOULD
BEEN SUMMIT OKAY INTERESTING
OKAY THAT'S THAT IS THAT'S-
INTERESTING. HI I'M OKAY MOVING
MOVING ON. I'M I'M JUST
THINKING DRIVE TOUCHED ON ALL
OF THE- PIC ISSUES THAT WERE
RAISED. WHY WOULD YOU SAY I'M
ACTUALLY GONNA PICK UP ON AND
ONE LAST THING- STRANGLE THAT
YOU STARTED TO GO INTO WHICH
WAS PROCUREMENT OPPORTUNITIES-
YEAH- WE LIKE TO SAY MORE ABOUT
THAT AND MORE ABOUT WAYS IN
WHICH WE CAN I GUESS INCREASE
PROCUREMENT OPPORTUNITIES FOR
SMALL BUSINESSES ACROSS THE
STATE SURE ABSOLUTELY I THINK
SO YOU KNOW SMALL BUSINESSES
MINORITY BUSINESSES BETTER
BUSINESSES THIS IS A BIG
OPPORTUNITY FOR THE STATE TO
REALLY. SET PRESIDENT I BELIEVE
THERE'S A COUPLE BILLS AND
MAYBE YOU KNOW THEM I DON'T
HAPPEN TO KNOW THE NUMBER OFF
HAND- BUT TO PUT A MINIMUM
PERCENTAGE OF DOLLARS THAT GO
TO SMALL BUSINESSES THAT THAT
ARE BEING PROCURED BY THE STATE
OF CALIFORNIA FOR EVERY
DEPARTMENT AND EVERY AGENCY
THAT YOU KNOW HAD MORE OF A 25%
MANDATE VERSUS I THINK RIGHT
NOW IT'S HOPE THAT IT GETS TO
TWENTY FIVE IT REALLY KIND OF
SETTING THAT PRECEDENT. AND
THAT'S VERY COMMON WITH FEDERAL
CONTRACTING- YOU KNOW UNTIL IT
GOES TO SMALL BUSINESS OWNERS
AND THEY HAVE A PREFERENCE IN
THAT AND I THINK THOSE ARE SOME
BIG OPPORTUNITIES TO REALLY
HELP SOLIDIFY IN SECURE SMALL
BUSINESS FOR THE FUTURE AND
IT'S YOU KNOW THE STATE'S
ALREADY SPENDING THE MONEY YOU
KNOW BUT HELP SUPPORT THE SMALL
BUSINESS OWNERS AS WELL. YES
AND MY COLLEAGUE AT ASSEMBLY
MEMBER CHIU HAS INTRODUCED
LEGISLATION THAT WOULD ACTUALLY
WOULD CODIFY THAT 25% OUR GOAL
A MAN I'M A CO AUTHORS ARE A
NUMBER OF OTHER MEMBERS OF THIS
SIZE SELECT COMMITTEE ON BUT
THEY'RE CERTAINLY MORE THAT WE
CAN DO BUT I THINK THAT IS A
REALLY IMPORTANT. IMPORTANT
FIRST STEP. I SO BEFORE YOU. UP
OUR- DISCUSSION. AND ED
TRANSITION TO IT TO PUBLIC
COMMENT. WOULD LIKE TO JUST ASK
EACH OF YOU TO TAKE AN
OPPORTUNITY AS TO YOU TWO
THINGS NUMBER ONE. I'M ANY
OTHER IMPORTANT POINTS THAT
THAT WE FAIL TO TOUCH ON THAT
IF. YOU'D LIKE TO HIGHLIGHT
BEFORE WE WRAP UP. AND NUMBER
TWO IF THERE WAS JUST ONE
THING. NOW ONE THING. THAT YOU
COULD HAVE THE CALPERS
LEGISLATURE DO TOMORROW BUT
WOULD HAPPEN. TO SUPPORT SMALL
BUSINESS. AND I'LL START WITH
DUSTER WITH YOU IT'S GOOD FOR
HER THANK YOU MADAM CHAIR I
WANT TO JUST STEP BACK AND
HIGHLIGHT THAT MY OFFICE IS
CURRENTLY- NOT A PUBLIC PRIVATE
COLLABORATION- CALLED SOURCE
DIVERSE SOURCES LOCAL. AND
WE'RE WORKING TO STRENGTHEN
INCLUSIVE PROCUREMENT PROGRAMS
AND BUILD I'M MORE RESILIENT
CALIFORNIA BASED SUPPLY CHAIN
SILVA SPEAKING TO THE
PROCUREMENT THAT MR DANIEL
BROUGHT UP WE ARE ACTIVELY.
WORKING ON A PROGRAM WE CHEST-
HAD THAT THE RFP- SELECTION
PROCESS AND IF SELECTED- I'M A
PARTNER AND WE WILL HAVE THE
BASIC SAYS I'M SELLING TO
CORPORATE TO- INTO DEEDS AND
THEN A CONTRACT RIGHT WERE
ALREADY KNOW SIX ELEVATOR. AND
THAT WILL BE COMING VERY SOON
THIS CELL NEED TO RECOGNIZE
THAT PROCUREMENT IS A VERY
SIGNIFICANT ISSUE FOR SMALL
BUSINESSES AND WE ARE
SUPPORTING NOT. ALSO WE DIDN'T
TALK ABOUT EARLIER ARE GET
DIGITAL CALIFORNIA EFFORT- BUT
WE ARE CONTINUING TO STAND THAT
UP ON THE AND- PROVIDING
TECHNOLOGY LEARNING AND DIGITAL
BOOT CAMPS AND ALL OF THAT.
AGAIN AIMED AT PART OF THE
DIGITAL DIVIDE THAT WE TALKED
ABOUT EARLIER. ON THE INTERNET
I WOULD SAY THE ONE THING- IS
TO REALLY FROM WHAT I'VE SEEN
AND OF COURSE I'VE GOT SIXTY
DAYS IN THE SEAT. ARM TO KEEP
DOING WHAT YOU'RE DOING- I
THINK THAT THIS BUDGET PROPOSAL
THAT TO- THE GOVERNOR AND
LEGISLATORS LIKE YOURSELF AND
PUT TOGETHER IS. HAS TREMENDOUS
OPPORTUNITY AND ACT AND I'M
VERY EXCITED ABOUT THE
OPPORTUNITY TO CONTINUE TO
SUPPORT SMALL BUSINESSES IN
CALIFORNIA WITH THIS
UNPRECEDENTED AMOUNT OF
RESOURCES BUDGETED SPECIFICALLY.
ACT SMALL BUSINESSES. THANK YOU
ALL AND THANK YOU AND THAT
GUESTS WEIRD THRILLED TO HAVE
YOU THE SIDE ROLE AND THE
CRITIC TO WORK WITH YOU. MR OF
ANY S. ANYTHING THAT LAST YOU
AND MAKE SURE WE TOUCH ON AND
WHAT DO YOU WANT US TO DO
TOMORROW IT'S DIFFICULT IT'S
DIFFICULT TO NARROW THIS DOWN-
AS EXAMPLE WHEN- WE- SERVICE
MEMBERS EVERY YEAR BEFORE. WE
PUT OUR PROGRAM OR TO THE FOR
THE NEXT YEAR. AND FOR THE
FIRST MANY YEARS WAS ALWAYS
REGULATORY REGULATORY
REGULATORY WILL NOW WORKFORCE
DEVELOPMENT COME UP. TO TWO
PRETTY MUCH EQUAL AS IT IS. TO
TWO BIGGEST THINGS. I WOULD SAY
AND THIS IS A VERY
COMPREHENSIVE VERY BIG BUT I
WOULD SAY. THE ONE THING
CALIFORNIA COULD DO TO KEEP
PEOPLE FROM LEAVING THE STATE.
PROBABLY WOULD BE. DO SO ABOUT
THE REGULATORY MORASS THAT- IT
JUST CRUSHES THE BUSINESSES-
THERE JUST NO WAY TO KEEP UP.
AND THAT LEADS TO THINGS LIKE
PAGA LAWSUITS BECAUSE THEY
HAVEN'T DONE CROSSED EVERY I
DOTTED EVERY T. SO. THE OTHER
WAY AROUND ANYWAY- AND IT JUST
IT JUST CRUSHING THE SMALLER
THE BILL IS THE MOST DIFFICULT
IT IS. AFTER SAID SO I YOUR
NUMBER ONE YOUR YOUR YOUR TOP
PRIORITY IN THE TOP PRIORITY
FOR THE BUSINESSES THAT TODD
THAT YOU REPRESENT WOULD BE
RATIONALIZING THAT. AT YES I
LIKE THAT YOU BROUGHT A VISUAL
AID RIGHT NOT RATIONALIZING THE-
DEVELOPMENT BANK OF HR LAW YEAH
THIS DOESN'T GAP GOING TO ANY
OTHER KINDS OF REGULAR
REGULATORY. ISSUES YOU KNOW THE
CARB THINGS THAT ARE HAPPENING
WITH. TRUCKS AND DIESEL STUFF
HOLD EITHER- HUGE LINER
PROBLEMS ABROAD DOWN AND AGAIN
WE'RE WE'RE ATTEMPTING TO BE
THE WORLD LEADER IN THAT BUT ON
THE OTHER HAND. WHEN KERR PUTS
ON A NEW STANDARD A LOT OF
DIESEL TRUCKS GO TO NEVADA OR
OREGON OR WASHINGTON SO WHAT WE
REALLY DONE. BUT ANYWAY IT YEAH
THE WHOLE REGULATORY THING IS
JUST CRUSHING AND HAVE KEPT
THANK YOU AND NOT ALSO IS IN
FACT. SHOULD ALL SHARE WITH
EVERYONE- WILL WILL MAKE SURE
EMAIL YOU ARE AT THE R. DRAFT
HEARING PLAN FOR THE REST OF
YOUR POSSESS THE REGULATORY
CHALLENGES. IS ALSO A HEARING
TOPIC AND- SO LOOK FOR TO
DIGGING INTO THAT PARTHIA. AND
MR DANIEL CHORE SO LET ME LET
ME HIGHLIGHT A COUPLE PROGRAM'S
REAL QUICK THAT THAT WE'RE
DOING THAT REALLY KIND OF OFF
THAT EXACTLY WHAT WE STARTED
WITH WITH THE GOVERNOR'S
OFFICE. AND GOBIZ ON THE AND
DIGITAL PROGRAMMING. I'M
WORKING WITH THE CITIES OF
GARDEN GROVE IN CITY OF UP WHEN
A PARK AND WE'RE BUILDING A
PROGRAM WHERE. WE TAKE AN
EXISTING BRICK AND MORTAR
BUSINESSES AND TEACHING THEM
HOW TO USE PAID ADVERTISING AND
THEN ONCE THEY COMPLETE THE
PROGRAM THEY'RE ACTUALLY GOING
TO GET A GRANT FROM THE CITY-
THAT FIVE HUNDRED DOLLARS A
THOUSAND DOLLARS TO ACTUALLY
USE PAID ADVERTISING TO DRIVE
TRAFFIC INTO THEIR BUSINESS.
AND WHEN YOU EXTRAPOLATE THAT
ACROSS THE MAIN STREET OR
DOWNTOWN THE EFFECT THAT THAT
CAN HAVE IS HUGE AND CAN YOU
TEACH BUSINESSES HOW TO USE.
PAID ADVERTISING SO I THINK
THAT IS DEFINITELY A WAVE OF
THE FUTURE AND WE'RE STARTING
TO SEE CITIES AND COUNTIES
REALLY STEP UP. AND START
OFFERING LOAN PROGRAMS WHICH IS
VERY UNIQUE- WE ACTUALLY HELPED
A COUPLE CITIES RUN THEM IT
WHERE WE ARE IN ORANGE COUNTY
THAT WHEN EMPIRE. AND SO I
THINK. HAVING CITIES THE
ABILITY TO LEND MONEY AND
BECOME A LENDER IS A REALLY
INTERESTING PERSPECTIVE AND-
YOU KNOW IT A LOT OF THAT IS
AROUND C. B. G. BUT NOW WE'RE
STARTING TO SEE GENERAL FUND
DOLLARS. BECAUSE THEY CAN'T
AFFORD FOR THEIR MAIN STREETS
TO BE TAKEN TO THE CAN'T AFFORD
FOR THEIR DENTAL. AND DOCTORS
OFFICES STATE TO BE VACANT- YOU
KNOW AND THEN. WITH THE ONE
PIECE ABOUT YOU KNOW EMPLOYEE
EMPLOYMENT AND REALLY
RESTAURANT RETAIL AND
HOSPITALITY. IS YOU KNOW TO SEE
A SUBSIDY FOR EMPLOYERS. L.
EVEN IF IT'S FOR THE SHORT
PERIOD OF TIME YOU KNOW TO KIND
OF OFFSET THAT THAT WAGE GAP OF
YOU KNOW IF I COULD GIVE YOU AN
EXTRA FIVE DOLLARS. YOU MIGHT
COME BACK TO WORK RIGHT I CAN
PAY YOU TWENTY. TWENTY HOURS
AND HOURS AT A FIFTEEN MINUTE
THE SERPENTINE AND MAYBE THAT
COULD BE A SUBSIDY OF SOME
KIND. WHERE NOW YOU'RE DRIVING
PEOPLE BACK TO WORK- NOT SURE
HOW LONG THAT'S GOING TO BE
NEEDED BUT IT MAY BE A LONG
TIME I DON'T THINK ANY OF US
KNOW- AND THEN YOU KNOW FOR OUR
PROGRAM YOU KNOW I THINK
CONTINUED SUPPORT WITH
TECHNICAL ASSISTANCE
PROGRAMMING. AND FUNDING IS
ALWAYS AN OPPORTUNITY THINK
WE'RE GONNA SEE AN EXPANSION OF
ALL TECHNICAL ASSISTANCE
NEEDED. TO REALLY MAKE SURE
THAT SMALL BUSINESS OWNERS ARE
ABLE TO RECOVER. AND REALLY
GROW IN THE NEXT COUPLE YEARS.
THANK YOU I THANK YOU. THOSE
AND- YOU ALL- YOUR INPUT AND
INSIGHT AND FOR SPENDING YOUR
TIME WITH US THIS MORNING.
REALLY APPRECIATE IT AND LOOK
FOR IT IS A SAID TO CONTINUE TO
WORK WITH YOU. AS THAT AS THE
SESSION UNFOLDS. THANK YOU AND
THAT WITH THAT. I THINK WE'LL
GO AHEAD AND TRANSITION TO
PUBLIC COMMENT. LET'S SEE. ALL
RIGHT I'M SO FIVE JUST TO TEAR
UP OUR PUBLIC COMMENTS PORTION
I AM I REQUEST IS THAT SPEAKERS
LIMIT THEIR COMMENTS TO TWO
MINUTES PER PERSON SO THAT WE
ENSURE TIME FOR ALL
PARTICIPANTS. I IN THE IN
PERCENT SO IF ANYONE IS HERE
WITH US TODAY AND WOULD LIKE TO
SPEAK IN PERSON PLEASE RAISE
YOUR HAND AND I'LL ASK YOU TO
APPROACH THE MICROPHONE AND
JUST A REMINDER AS WE SAID
EARLIER PLEASE DON'T TOUCH THE
MICROPHONE. UP PLEASE. A GOOD
MORNING ASSEMBLY MEMBER DAVID
DAWSON- WITH THE CALIFORNIA
ASIAN CHAMBER OF COMMERCE-
PLEASURE TO BE HERE TODAY VERY
INFORMATIVE HEARING I THINK
IT'S- THE FIRST HEARING I'VE
SEEN IN A VERY LONG TIME IF
EVER FROM THIS- SELECT
COMMITTEE SO- IT'S REALLY
ENCOURAGING THAT YOU'VE TAKEN
THE LEADERSHIP- TO DIRECT THE
COMMITTEE TO STAND UP IN A AND
ADDRESS THE ISSUES THAT ARE
AFFECTING SMALL BUSINESS AND
ENTREPRENEURSHIP- YOUR LAST OF
YOUR CLOSING COMMENTS WHAT YOU
WOULD LIKE THE LEGISLATURE TO
DO TOMORROW AND IF- IF I MAY
SUGGEST A NO WOULDN'T HAPPEN
BUT MY WISH LIST WOULD BE THAT
THE GOVERNOR CALLED SPECIAL
SESSION TO ADDRESS- THE- ON
SLOT OF CONCERNS. SOME OF WHICH
WERE MENTIONED HERE BUT SOME
WHICH WE DON'T EVEN KNOW
THEY'RE COMING FOR SMALL
BUSINESS SMALL BUSINESSES
REPRESENT 98% OF OUR ECONOMY
OUR ECONOMY AND THAT IS THE
FIFTH LARGEST ECONOMY IN THE
WORLD AND- AS MISTER OF ANY US
SO- EFFECTIVELY DEMONSTRATED
THERE IS A VERY LARGE TELEPHONE
BOOK THAT STANDS IN THEIR WAY
OF SUCCESS I WOULD PROPOSE TO
YOU- MADAM CHAIR THAT YOU IN
THE MEMBERS OF YOUR COMMITTEE
RUN A START UP PERPETUALLY. AS
AN ELECTED OFFICIAL EVERY TWO
YEARS YOU'RE STARTING UP YOUR
BUSINESS YEAR EVALUATING YOUR
MARKETING STRATEGY YOU'RE
EVALUATING YOUR FUNDING
STRATEGY IN YOUR VALUE ANY
OPPOSITION. THAT IS WHAT A
BUSINESS OWNER IS DOING HAS
DONE AND IS DOING RIGHT NOW
POST CAN'T POST PANDEMIC. THE
MORE BEARS THERE I YOUR WAY
AFFECT YOUR ABILITY TO GET
ELECTED THE MORE BETTER BILL
THE BEARS ARE IN THE AY OF A
SMALL BUSINESS. AFFECT THEIR
ABILITY TO PUT FOOD ON THE
TABLE FOR THEIR FAMILIES THEIR
COMMUNITIES. SO I BILL I WOULD
I WOULDASK THAT THE
LEGISLATURE AND THE GOVERNOR-
POLISHED BEZEL SESSION TO
ADDRESS THESE ISSUES. AND I DO
SUPPORT- AND I WOULD ENCOURAGE
THE LEGISLATURE TO INCREASE THE
FUNDING TO THIS TAPE NETWORK.
AS FOR ALL THE REASONS THAT
WERE ARTICULATED THE NEEDS THE
RESULTS ARE IN. THE RESULTS ARE
STRONG BUT THE NEEDS ARE EVEN
GREATER THAN THE PROVIDERS-
HAVE THE COULD CAPABILITY TO
DELIVER AT THIS TIME. SO THANK
YOU FOR YOUR TIME. THANK YOU
FOR AD FOR JOINING US MISTER
NELSON. I CAN'T TOUCH THE MIKE
BUT CAN YOU HEAR ME YES OKAY I
DIDN'T BRING MY TELEPHONE BOOKS
IS. HE DID JUMP UP A FEW FEET
SO THANK YOU SO MUCH ASSEMBLY
MEMBER CHAIRWOMAN OF FOR THIS
VERY INFORMATIVE HEARING AS MY
COLLEAGUE HAD JUST INDICATED-
WE'VE I THINK WE'VE LEARNED A
LOT TODAY I ALSO WANTED TO TAKE
AN OPPORTUNITY TO- THANK YOU
FOR INCLUDING- DIRECTOR GRAY
SHE IS AN AMAZING WOMAN WE
SPENT A LOT OF TIME WITH HER-
I'M HERE. LAURIE CAMERI FORGOT
TO INTRODUCE MYSELF ON BEHALF
OF NAPO NATIONAL ASSOCIATION OF
WOMEN BUSINESS OWNERS
CALIFORNIA AND ALSO SMALL
BUSINESS CALIFORNIA SO THAT'S-
SO WHO I AM BUT- I THINK YOU
KNOW DIDN'T KIND OF PLAYING OFF
THE SAME. QUESTION THAT YOU
ASKED WHAT IF THE LEGISLATURE
COULD DO SOMETHING. TOMORROW
WHAT WOULD IT BE- THE- THE
GOVERNOR'S OFFICE OF- BUSINESS
AND ECONOMIC DEVELOPMENT GO BIZ
HAS COME UP WITH A VERY VERY- I
THINK IT'S EXCELLENT PROGRAM
THE CALIFORNIA DREAM FUND THAT
WOULD PROVIDE GRANT PROGRAMS
TO- THOSE START UP COMPANIES-
AND WE APPLIED THAT THE
ADMINISTRATION FOR COMING FORTH
WITH THAT- THE- THE- BRUNT OF
THE WORK IS GOING TO BE THROUGH
THE- SMALL BUSINESS DEVELOPMENT
CENTERS IN THE WOMEN'S BUSINESS
CENTERS. AND SO WE'LL BE
WORKING WITH THE BUDGET
COMMITTEE TO MAKE SURE THAT
THAT PROGRAM IS ADEQUATELY
FUNDED BECAUSE OF ALL THE GREAT
WORK THAT THEY WILL DO AND A
LOT OF. THE EXPECTED VOLUME OF
START UP COMPANIES THAT WILL BE
COMING- AND YOU'VE BEEN TAKING
ADVANTAGE AND USUAL UTILIZING
THE CALIFORNIA DREAM FUND SO
WITH THAT THANK YOU VERY MUCH
WE'LL BE IN TOUCH WELL AND
THANK YOU YES THANK YOU FOR
HIGHLIGHTING THAT AND THANK
YOU. FOR YOUR WORK IN
PARTNERSHIP ON THAT SET. SUCH A
CRITICAL INITIATIVE THANKS.
THANK YOU MADAM CHAIR I AM MATT
SUTTON OF CALIFORNIA RESTAURANT
ASSOCIATION AGREE. THANKS SO
MUCH FOR HAVING THE HEARING WE
THINK THIS IS A GREAT
DISCUSSION. IT'S ALSO REALLY
EASY. TO FORGET. EXACTLY WHAT
HAPPENED IN MARCH AND SINCE SO
I APPRECIATE IT WE'RE VERY
OPTIMISTIC ABOUT RE OPENING-
AND CERTAINLY GRATEFUL TO BE
ABLE TO DO SO SINCE JUNE
FIFTEENTH- A COUPLE THINGS I
WOULD POINT OUT. 85% OF OUR
MEMBERSHIP ARE THOSE
INDEPENDENT COMMUNITY
RESTAURANTS THAT ARE SPREAD
THROUGHOUT YOUR DISTRICT AND
OTHERS. SO THERE IS A LOT OF
OPTIMISM BUT THE CLOSURES
IMPACTED EVERYBODY UNIQUELY
AND- REGARDLESS OF WHAT SIZE OR
SHAPE OF RESTAURANT YOU WERE.
YOU ARE FACED WITH THE SAME
HEALTH ORDERS FROM THE STATE
AND LOCAL JURISDICTIONS THAT
REQUIRED YOU TO CLOSE. BAND
OUTDOOR DINING IN CERTAIN CASES
ABANDONED OR DINING IN CERTAIN
CASES AND BELIEVE IT OR NOT.
NOT EVERY RESTAURANT IS
EQUIPPED ARE INTERESTED OR ABLE
TO DO TAKE OUT. SO MANY DID
TAKE OUT AT AN EXTREME
FINANCIAL LOSS AND THAT WAS AN
ATTEMPT TO KEEP A FEW EMPLOYEES
ON- AND TO SERVE THEIR
COMMUNITIES SO. WE'RE
DEFINITELY NOT OUT OF THE WOODS
I'D SAY THE BIGGEST CHALLENGE
RIGHT NOW IS EVERYBODY IS
TRYING TO RE HIRE ALL AT ONCE.
AND SO THE HIRING CHALLENGES
ARE ACROSS THE BOARD WE NOTES
FOR MANY INDUSTRIES IT'S
CERTAINLY TRUE FOR THE
RESTAURANT COMMUNITY. AND SO
THAT'S GONNA TAKE SOME TIME TO
WORK THROUGH. I THINK HE EVEN-
JUST TO STOP FOR A MINUTE WE
WERE TRYING AS A STATE TO LIMIT
THE MOVEMENT OF PEOPLE. TO COME
BACK AGAINST COVE IT. OUR WHOLE
BUSINESS MODEL IS GATHERING
PEOPLE- WERE ALSO ONE OF THE
MOST LABOR INTENSIVE.
INDUSTRIES IN THE STATE- WE
EMPLOYEES SOME OF THE MOST MOST
NUMBERS OF PEOPLE. AND JUST IN
THE FIRST FEW MONTHS OF THE
PANDEMIC NINE HUNDRED THOUSAND
RESTAURANT WORKERS WERE. LAID
OFF OR FURLOUGHED SO THE HOPE
IS TO BRING MANY OF THEM BACK-
THAT'S THE FIRST ORDER OF
BUSINESS. AND YOU KNOW SOME OF
THE ON GOING CHALLENGES ARE
CERTAINLY A FEW THAT HAVE BEEN
MENTIONED THE SUPPLY CHAIN
ISSUES. I THINK ARE TRUE FOR
JUST ABOUT EVERY INDUSTRY
CERTAINLY TRUE FOR RESTAURANTS-
EVERYTHING FROM FOOD COSTS- TO
EVERYTHING ELSE ACROSS THE
BOARD OUR OUR WAY UP AND THEN
THERE'S JUST AVAILABILITY LOTS
OF THINGS AREN'T AVAILABLE. AND
SO WE'RE CERTAINLY ASKING FOR
LOTS OF PATIENTS- IN
RESTAURANTS SPECIFICALLY JUST
DUE TO THAT- 60% OF
CALIFORNIA'S RESTAURANTS ARE
OWNED BY PEOPLE OF COLOR. OF
THE RESTAURANTS- THROUGHOUT THE
STATE MOST OF THOSE OPERATORS
AND OWNERS LIVE RIGHT THERE IN
THEIR COMMUNITY SO THEY ARE THE
FABRIC OF THAT COMMUNITY.
THERE'S BEEN SOME RELIEF AT THE
FEDERAL LEVEL THE MOST RECENT
RESTAURANT REVITALIZATION FUND.
ACTUALLY RAN OUT OF MONEY
BEFORE HALF OF THE APPLICANTS
IN CALIFORNIA WERE ABLE TO GET-
ANY ASSISTANCE SO. THERE IS
STILL TREMENDOUS NEED AND I
THINK JUST TO WRAP IT UP AND
SAY. YOU KNOW THERE'S GOING TO
BE MASSIVE INDEBTEDNESS FROM
RESTAURATEURS MOVING FORWARD
THAT'S A CHALLENGE. THE SUPPLY
CHAIN ISSUES HAVE HIT ON A BIT.
THE HIRING ISSUES ARE COMPLEX
BUT THEY'RE REAL- THERE'S A
NUMBER OF SOLUTIONS I THINK TO
THAT- AND THEN YOU MENTIONED
THE UNEMPLOYMENT INSURANCE-
SOLVENCY ISSUE WHICH I REALLY
APPRECIATE AND- YOU KNOW. THIS
IS GONNA BE A MULTI YEAR OF
RECOVERY FOR RESTAURANTS SO
IT'S GONNA BE A LONG LONG LONG
RUN WAY. AND WE'RE GONNA NEED
SOME ASSISTANCE ALONG THE WAY.
BUT WE'RE ALSO GONNA NEED TO
MAKE SURE THAT THERE'S NO
CLUTTER ON THE RUNWAY CLUTTER
WOULD BE AN EXAMPLE OF THE
UNEMPLOYMENT INSURANCE SOLVENCY
ISSUE. WE'VE SEEN THIS MOVIE
BEFORE WE SAW IN 200-089-1011
AND BEYOND. AND WHAT IT AMOUNTS
TO IS WE REPAY THAT DEBT IS
EMPLOYERS. AND IT'S PER
EMPLOYEE SO IT'S A TAX PER
EMPLOYEE TO PAY THAT BACK IN SO
WITH RESTAURANTS THAT ASK YOU
TO KEEP IN MIND WHEN YOU'RE
TALKING ABOUT LARGE SMALL.
THOSE KINDS OF THINGS
RESTAURANTS ARE LABOR
INTENSIVE. SMALL RESTAURANTS
USE A LOT OF PEOPLE. SO WHAT
YOU OFTEN CONSIDER SMALL MAY
NOT NECESSARILY BE SMALL IN THE
RESTAURANT CONTACT SO. I LEAVE
YOU WITH THAT AND I APPRECIATE
YOUR LEADERSHIP ON THIS ISSUE
AND I SURE HOPE WE CAN-
PARTICIPATE PRODUCTIVELY IN
FUTURE HEARINGS THANK YOU. AND
THANK YOU FOR HIGHLIGHTING THAT
THE AT THE ISSUES FACING THE
RESTAURANT INDUSTRY- AND FOR
BEING HERE. YOU BET THANK YOU.
GOOD MORNING STILL RIGHT GOOD
MORNING MADAM CHAIR- DAVE
BUTLER I'M HERE TODAY ON BEHALF
OF UNITED CHAMBER ADVOCACY
NETWORK OTHERWISE KNOWN AS YOU
CAN. WE'RE A NETWORK OF SEVEN
LOCAL CHAMBERS OF COMMERCE HERE
IN THE GREATER SACRAMENTO
REGION. AND THAT WE WORK
TOGETHER TO ADVOCATE ON ISSUES
THAT ARE IMPORTANCE TO THOSE
CHAMBERS MEMBERS AT THE STATE
LEVEL. AND EVERY YEAR. WE
SURVEY OUR MEMBERS TO FIND OUT.
WHAT THEIR- CHALLENGES ARE IN
WHAT. A CHALLENGES THEY'RE
HAVING AT THE STATE LEVEL IN AS
MR OF ANY US MENTIONED.
CONSISTENTLY IT'S REGULATIONS
HR POLICY. BUT THIS YEAR. OUR
MEMBERS AND LEADERSHIP SAID
WITHOUT A DOUBT THEIR TOP
PRIORITY WAS RE OPENING THE
STATE OF CALIFORNIA AND RE
OPENING SMALL BUSINESS. AND SO-
WE'VE BEEN ADVOCATING FOR THAT
THIS YEAR AROUND MARCH WE WERE
STARTING TO HEAR FROM OUR
MEMBERS. THAT THEIR BUSINESSES
WERE OPENING UP BUT THEY WERE
HAVING DIFFICULTY FINDING WORK
FORCE. AND WE HAD HEARD FROM
ONE OF OUR CHAMBER EXACTS THAT
SHE'S HEARING FROM HER MEMBERS
THAT IT'S BECAUSE OF THE
ENHANCED UNEMPLOYMENT BENEFITS
OF PEOPLE RECEIVING. WE DIDN'T
WANT TO JUST ACT ON THAT HERE
SAY WE ACTUALLY DID A SURVEY
TO. THE MEMBERS OF THOSE SEVEN
JAMES I'M HAPPY TO SHARE WITH
YOU. AND THE GOOD NEWS IS WE
FOUND THAT 80% OF THOSE CHAMBER
MEMBERS WHO RESPONDED HAVE JOB
OPENINGS. OF THOSE 80% 80% WERE
HAVING DIFFICULTY FILLING THOSE
POSITIONS AND OF THOSE WHO ARE
HAVING DIFFICULTY FILLING THE
DIFFICULTY FILLING THOSE
POSITIONS. 56% SAID THAT THEY
WERE HEARING FROM JOB SEEKERS.
THAT THEY WOULD RATHER ACCEPT
THE PUBLIC BENEFITS THE ENHANCE
PUBLIC BENEFITS AN ACCEPTED JOB.
THAT'S A SIGNIFICANT CONCERN
AND WE ALSO TESTED CHILD CARE
WE ALSO TESTED FAMILY HEALTH WE
ALSO TESTED- CONCERN ABOUT
COMING BACK TO WORK NOTHING
ROSE TO THE TOP LIKE. THE
CONCERN ABOUT ENHANCE
UNEMPLOYMENT BENEFITS SO RATHER
GNASH OUR TEETH WE PUT TOGETHER
A COALITION OF STATE AND
REGIONAL BUSINESS ORGANIZATIONS
INCLUDING ORANGE COUNTY
BUSINESS COUNCIL AND WE
COMMUNICATED TO OUR LEGISLATORS
AND TO- THE GOVERNOR'S OFFICE
OF BUSINESS ECONOMIC ECONOMIC
DEVELOPMENT. AND- EDT.
RECOMMENDING A FEW THINGS ONE
WAS REESTABLISHING THE JOB
SEARCH REQUIREMENT WHICH
HAPPENED AND THAT WAS GREAT BUT
A WEEK LATER. SECONDLY WE
ENCOURAGED ET DE TO DO THEIR
OWN ASSESSMENT OF JOB SEEKERS
TO FIND OUT WHY THEY'RE
CHOOSING NOT TO ACCEPT JOBS AS
OPPOSED TO- CHOOSING PERHAPS
PUBLIC BENEFIT OR MAYBE. THESE
OTHER REASONS I HAVEN'T SEEN
ANY. RESEARCH DONE ABOUT THOSE
OTHER REASONS YOU HEARD AGAIN
TODAY I THINK I THINK IT MAY IT
MAY. NO ONE'S BEEN DOING THE
RESEARCH EDT IS WELL
POSITIONED. TO DO THAT
RESEARCH. AND THEN BASED ON
THAT I'D I'D LIKE TO SEE A
QUICK THREE TO FOUR WEEK
ANALYSIS BASED ON THAT
INFORMATION AND IF IT'S TRUE
WHAT REAFFIRMING WHAT WE'RE
HEARING FROM EMPLOYERS. THEN
PERHAPS REDIRECT A PORTION OF
THOSE ENHANCE BENEFITS FROM THE
FEDS TOWARDS- HIRING BONUSES OR
RETENTION BONUSES THOSE ARE
THINGS THAT THE STATE CAN DO IN
THE STATE CAN DO. QUICKLY AT
LEAST ASSESS THAT AND THEN
CONSIDER IF IN FACT THAT'S
HAPPENING. REDIRECT THOSE FUNDS
SO THAT'S WHAT WE'D RECOMMEND
ARE HAPPY TO WORK WITH YOU- IN
THE COMMITTEE ON THOSE THINGS
LAST THING IS I JUST SAY WE
HEAR A LOT ABOUT GRANTS. A LOT
ABOUT- TECHNICAL ASSISTANCE. I
JUST ENCOURAGE YOU REMEMBER
WHAT SMALL BUSINESSES NEED MORE
THAN ANYTHING IS A MARKET. IF
THEY DON'T HAVE A MARKET
DOESN'T MATTER HOW MUCH.
CAPITAL THEY GET DOESN'T MATTER
HOW MUCH CONSULTING THE GAP.
AND JUST THINK ABOUT THE
STATE'S ROLE IN CREATING A
MARKET PLACE. LOOK AT CHICORY
RIGHT ACROSS THE STREET CLOSED
PERMANENTLY. BECAUSE PEOPLE IN
THIS BIT BUILDING ARE NOT HERE.
SO THE STATE OF CALIFORNIA IN
OUR MARKETPLACE IS THE LARGEST
HEAD QUARTER COMPANY. THE
LARGEST EMPLOYER. AND SO IF THE
STATE WANTS TO DO SOMETHING IT
CAN BRING PEOPLE BACK TO FILL
THESE BUILDINGS. TO FILL THOSE
RESTAURANTS AND FILL THOSE
RETAIL SPACES AND ENCOURAGE
OTHER PRIVATE SECTOR EMPLOYERS-
TO DO THE SAME SUB JUST. JUST A
THOUGHT THANK YOU FOR THAT AND
YES IT WOULD BE VERY INTERESTED
IN SEEING AS THE SURVEY- THAT
YOU MENTIONED GREAT THANK YOU
THANK YOU. ALL RIGHT SEEN AT NO
ONE ELSE IN THE HEARING ROOM
WISHING AT TO PROVIDE PUBLIC
COMMENT. WE ARE ALSO USING A
MODERATED TELEPHONE SERVICE. AS
A REMINDER THE CALL IN NUMBER
FOR THIS HEARING IS EIGHT SEVEN
SEVEN. SIX NINE TWO EIGHT NINE
FIVE SEVEN AND THE ACCESS CODE
IS ONE THREE ONE FIVE FOUR
THREE SEVEN- MODERATOR IS THERE
ANYONE ON THE TELEPHONE LINE
MACHINE TO PROVIDE PUBLIC
COMMENT AT THIS STAGE. YES
MEDICARE PERSON WE DO HAVE A
COUPLE CUED UP ABOUT PERSONAL
TWO LINE NUMBER NINE YOUR LINE
IS OPEN. GOOD MORNING- CHAIR
PETRIE-NORRIS ALEX OR AS A
STRATEGY THREE SIXTY ON BEHALF
OF THE NATIONAL INDEPENDENT
VENUE ASSOCIATION OF CALIFORNIA
WE REPRESENT INDEPENDENT LIFE
AND USE THE PROMOTERS
THROUGHOUT THE STATE. THESE ARE
NEIGHBORHOOD CONCERT SPOT LIKE-
HARLOW'S ON J. STREET BUT ALSO
INCLUDING BIGGER VENUES LIKE
THE BILL GRAHAM AUDITORIUM IN
SAN FRANCISCO- MAJORITY OF OUR
MENUS ARE BARBECUES AND VOTERS
ARE SMALL BUSINESSES THAT SERRA
ANCHOR TENANTS FOR COMMERCIAL
CORRIDOR SO THAT EVERY DOLLAR
SPENT AT A LOCAL SHOW-
RESULTING IN TWELVE DOLLARS IN
THE LOCAL ECONOMY AT
RESTAURANTS BARS WATCHING
PARKING REVENUE CETERA. AND
EVEN USE HAVE BEEN DEPENDING ON
THE FEDERAL SHUTTERED VENUE
OPERATOR GRANT PASSED BY
CONGRESS IN DECEMBER TO STAY
ALIVE- IN CONTRAST TO THE
RESTAURANT OPERATOR FUNDS
WEAPONS BY- MISTER SUTTON-
APPROVED BY THE FACT THAT
YOU'RE OUT THE DOOR- AND
MEDIALLY MANY VENUES- HAVE
EXPERIENCE AT TREMENDOUS DELAY
IN GETTING RELIEF. FROM THIS
FEDERAL AID PROGRAM BUT LIKELY
CALIFORNIA'S STEPPED UP TO
APPROVE THE VENUE GRANT PROGRAM
TO BE ADMINISTERED BY CAL
OSBORNE WE REALLY LOOK FORWARD
TO WORKING WITH DIRECTOR GRANT
HER TEAM TO CHURCH. YES WITH
THE TO THE BALL OUT OF THAT
PROGRAM AND SO THANK YOU FOR
YOUR ATTENTION TO THE CRITICAL
TO DISCUSS THAT TODAY ONE ITEM
WORTH NOTING AGAIN SOMETHING
THAT. OTHER STAKEHOLDERS OF
TOUCH SHOT THAT THE CHALLENGES
WITH REHIRING MON AND GIVEN THE
NATURE OF LIVE VENUES ALL
WORKFORCE IN ADDITION OF THE
STAFF EMPLOYED BY IT BUT YOU
ITSELF. RELIES ON A NETWORK OF
VENDORS STATE CHANCE PART OF
FIVE UNDER SECURITY
EXTRATERRESTRIAL CONTINUES HERE
CHALLENGES OUR MEMBERS PLAN
SHOWS AND WORK TO GET BACK TO
BUSINESS BUT WITH THAT SAID WE
ARE- TREMENDOUSLY UP OPTIMISTIC
EXCITED TO SEE OUR STAGES AND
BUSINESSES THROUGHOUT
CALIFORNIA BUILD BACK BETTER
AND NOT DRIVE THESE DOLLARS
INTO THE ARTS TOURISM SECTOR
SPECIFICALLY. LOOK FORWARD TO
WORKING WITH THESE ISSUES
FURTHER WITH THE LEGISLATURE
AND THEN MATURATION THANK YOU
AGAIN FOR YOUR ATTENTION TO THE
IMPORTANT. THE IMPORTANT.
FACTOR SMALL BUSINESSES IN
CALIFORNIA. AND THINK. AND LOVE
TO LINE TEN PLEASE GO AHEAD YOU
LINE IS UP. THANK YOU HELLO MY
NAME IS NANCY SWIFT I'M THE
CHAIR OF THE CALIFORNIA WOMEN'S
BUSINESS CENTER NETWORK WE HAVE
SIXTEEN CENTERS WITH TWENTY TWO
OFFICES ACROSS THE STATE OF
CALIFORNIA SERVING WOMEN
ENTREPRENEURS- WE HAVE BEEN
DOING THAT FOR SOME TIME WE
HAVE SEEN A TRIPLING OF OUR-
SERVICES AS WE CALL OURSELVES
FIRST RESPONDERS ALONG WITH THE
OTHER KEEP RECIPIENTS THAT WERE
REFERENCED EARLIER- IN THIS
HEARING- IT TO THE SMALL
BUSINESSES- I WANT TO THANK
YOU. FOR THIS HEARING I THINK
IT RECOGNIZES WHAT WE ALL KNOW
NOW IMPORTANCE OF SMALL
BUSINESSES AND OUR ECONOMY AND
THAT THERE ARE SO MANY- IT IS
SO DYNAMIC DEPENDING ON HOW THE
LAND YOU'RE LOOKING AT. THE
IMPACT AND THE NEEDS FOR SMALL
BUSINESS SO THANK YOU FOR THIS
HEARING- ONE REQUEST I WOULD
HAVE IS THAT MAYBE WE HAVE
ANOTHER HEARING IS THAT-
ADDRESSES- WOMEN AND MINORITY
OWNED BUSINESSES IN PARTICULAR
WHAT'S TERRIFIC ABOUT THIS IS
ALL THE DATA COMING FORWARD
ABOUT SMALL BUSINESSES IN
GENERAL. AND ACKNOWLEDGES THE
ACCESS TO CAPITAL PRIMARILY
ISSUE THAT- COMMUNITIES OF
COLOR FACE WELL WHEN YOU ADD
THAT TO A WOMAN OWNED BUSINESS
AND THE INDUSTRY. THAT THEY'VE
BEEN WORKING IN AND RUNNING
BUSINESSES IN AND THE CHILD
CARE PROBLEMS THAT THEY'VE HAD
IN THE WAGE EMPLOYMENT BALANCE
WITH FAMILY NEEDS TO THEY'VE
HAD TO LEAVE THEIR EMPLOYMENT
THE GAPS. ARE JOB NOT GAPS THE-
DISPROPORTIONATE EFFECT ON
WOMEN AND WOMENOF COLOR
RUNNING BUSINESSES IN THE STATE
IS ENORMOUS THAT WOULD BE GREAT
TO HAVE- HAVE A SPECIAL
OPPORTUNITY TO TALK MORE ABOUT
THAT. I NEED YOU ALSO DID
AFFECT QUESTION WHAT COULD
HAPPEN NOW AND I JUSTLIKE TO
ECHO- SUPPORT FOR SOME OF THE
SUGGESTIONS FROM CAROLINE GRAY
AND FROM MIKE DANIELS WE WORK
VERY CLOSELY. WITH THEM AND- AS
I SAID OUR NETWORK IS ONE OF C.
86% P. AND THIS YEAR WE HAVE
LEVEL FUNDING FOR THAT WITH THE
POTENTIAL TO. INCLUDE
ADDITIONAL SUPPORTERS IN THAT
AND I JUST WANT TO SAY THAT
THAT'S A VERY WE HAVE BEEN VERY
EFFECTIVE AND I HOPE THAT THE
STATE CAN CONTINUE TO INCREASE
THE SUPPORT. FOR THE- DOES IT
SUPPORT FOR THESE SMALL
BUSINESS DEVELOPMENT SERVICES
THEY'VE BEEN PROVIDING
CULTURALLY RELEVANT SERVICES IN
COMMUNITIES IN MANY LANGUAGES.
AND WE JUST NEED TO REACH MORE
PEOPLE THAT IS EXACTLY WHAT WE
LEARNED WHEN. RESPONDING AND
SUPPORTING- APPLICATIONS TO THE
CALIFORNIA RELEASE CRAP PEOPLE
HADN'T HEARD OF IT WELL THAT'S
WHAT WE NEED TO DO MORE OF IS
BE ABLE TO GET THE WORD OUT
MORE AND ALSO CONNECT. AND
SERVE MORE PEOPLE AND THOSE.
SUPPORT SERVICES ARE VERY
CRITICAL- ALSO IF I JUST HOPE
AS WE CONTINUE TO ROLL OUT THE
NEW DREAM FUND- THE MICROGRAM
AND MICROENTERPRISE GRANTS. FOR
START UP BUSINESSES THAT.
THAT'S OF- WERE RECOGNIZING THE
IMPORTANCE OF START UP IT'S
HAPPENING AND WE'VE BEEN SEEING
THAT CERTAINLY WITHIN OUR
SERVICES BUT LET'S CONTINUE. TO
SUPPORT THAT PROGRAM AND KEEP
IT HOLY SEPARATE FROM THE
ALREADY EXISTING TAPE FUNDS AS
IT GETS IMPLEMENTED OUT THE WAY
AND THANK YOU FOR YOUR TIME AND
FOR THOSE COMMENTS AND YES I AM
ACTUALLY PLEASE TO CONFIRM THAT
ONE OF OUR UPCOMING HEARINGS
WILL FOCUS ON I WOMEN AND
MINORITY OWNED BUSINESSES SO.
LOOK FORWARD. TO CONNECTING
WITH YOU ON THAT. THANK YOU.
ANYONE ELSE IN THE AND MADAM
CHAIR YEAH MAN OF CHAIRPERSON
NOT NO FURTHER PUBLIC COMMENT
ON ALL RIGHT WELL THANK YOU
MODERATOR AND I THINK YOU AGAIN
TO ALL OF OUR PANELISTS FOR
JOINING US FOR TODAY'S HEARING
FOR EVERYONE WHO PARTICIPATED
AND PROVIDED PUBLIC COMMENT
CERTAINLY TODAY'S CONVERSATION
WILL INFORM OUR POLICY MAKING
AS AT THIS SELECT COMMITTEE
MOVES FORWARD AND AS WE ADVANCE
PROPOSALS TO ADD THE
LEGISLATURE SO LOOK FOR TO
CONTINUE TO WORK WITH ALL OF
YOU ON HI. WHAT I THINK IS ONE
OF THE MOST IMPORTANT
CHALLENGES CONFRONTING
CALIFORNIA RIGHT NOW- I THINK
WE ALL KNOW AS I SAID AT THE
BEGINNING THAT TACK
CALIFORNIA'S SMALL BUSINESSES
ARE THE HEART AND SOUL OF
CALIFORNIA- SO THANK YOU AGAIN
TO EVERYONE WHO IS HERE AND TO
EVERYONE WHO IS SUPPORTING
SMALL BUSINESS GROWTH ACROSS
THE STATE AND ENSURING THAT- WE
FORGE A SWIFT JUST AND
EQUITABLE RECOVERY FOR SMALL
BUSINESSES ALL ACROSS THE GREAT
STATE OF CALIFORNIA. OUT WITH
THAT WE WILL CONCLUDE AND LOOK
FORWARD TO UPCOMING HEARINGS.