We are deeply disappointed by the Governor’s veto of our sponsored bill, AB 2611 (Daly). The legislation would have created a definition of a family business in state law. As we may be the only organization working to keep family businesses in California, we thought that such recognition in state law would be a good foundation for our efforts. We did have plans to expand on the legislation, but unfortunately, before vetoing the bill, the Governor did not ask us about that.
There seems to be denial at the State Capitol about family businesses and family business owners leaving the state, but we know it is happening. When last we surveyed our members, 50% of those responding said they were either planning to move to a friendlier, more affordable state with less onerous regulations, or were at least considering it. On most national business surveys, California comes up as the most difficult state in the nation in which to do business. Our family business members find it very difficult to deal with the onslaught of new regulations that are signed into law every year.
We want to thank each of our members that have stayed the difficult course of keeping Californians employed, keeping the lights on and families and the world fed. Though this administration did not recognize your contributions, we always will. You are the real heart and backbone of our economy. You are great employers who value your employees and are very philanthropic within your communities.
While the veto of our bill feels like just one more nail in the coffin of family businesses in California, be encouraged that this bill made it to the Governor’s desk with unanimous, bipartisan support and zero opposition. This is a foundation we look forward to building upon.
We have a new member, Friedman Family, LLP. The company was founded by Morton Friedman, who was a prominent Sacramento-area attorney, in 1962. Second generation Mark Friedman now runs the company and has developed many high-quality projects under the name Fulcrum Property. The company also does real estate investments and management. Thanks once again to Dave Lucchetti for bringing another member to FBA.
FBA is pleased to announce that Downs Energy has become the newest family business to join our 10-year-old association. The company was founded in 1940 by Elvin Downs as Downs Oil and has evolved into a commercial fuel marketer serving Southern California. Now in its third generation of Downs family ownership, the Corona-based company strives to provide excellent compensation to its employees, exceptional value to its customers, and generous support to its partner charitable organizations. In other words, another great #FamilyBusiness. Welcome!
AB 2611, FBA’s sponsored bill to define a California-based family-owned business was approved by the Assembly Monday on a vote of 71-0 and referred to the Senate for further action. The bill is needed to create a standard definition of what a family business is. Currently, there are at least six definitions of small businesses across California codes, and creating a standard is essential when making economic development decisions such as tax policies, grant programs, and employee training incentives.
If approved by the Senate and signed into law by the Governor, California would be the first state in the nation to statutorily recognized a family-owned business in a way that decision-makers are able to consider the unique strengths and challenges of operating these businesses when considering future actions.
Our thanks to Assembly Member Tom Daly, D-Anaheim, for carrying the measure.
Great news! The Assembly Business and Professions Committee on April 5 unanimously passed AB 2611, FBA’s sponsored bill to create in statute a definition of a family-owned business. A uniform clear definition will provide many benefits, including that it would provide one definition that can be referenced by local municipalities that want to promote family-owned businesses within their local jurisdictions. You can read more about the bill here.
Thanks to the bill’s author, Assembly Member Tom Daly of Anaheim, committee Chair Marc Berman of Palo Alto, Vice Chair Heath Flora of Ripon, and the other committee members for voting for our measure.
The measure is now pending before the full Assembly.
FBA is pleased to announce that two new companies have joined California’s only organization working exclusively to promote family-owned businesses.
ISYS Solutions, Inc. provides onsite medical case, rush medical case, catastrophic medical case, and telephonic medical case management for worker’s compensation, insurance, and healthcare. The Brea-based company was founded over 20 years ago by Chris Loumakis, and his daughter, Alysha Loumakis-Calderon, is now President & COO; daughters Lyndsi and Lorika Loumakis are corporate vice presidents. The company is highly rated by its clients and the mission statement is “ISYS is an organization of people with big minds, big hearts, lots of spirit and good character. We work creatively and intensively to provide case management solutions and have a positive impact on those we serve.”
Headquartered in Pomona, Performance Engineered Products, Inc., is an industry-leading custom plastic injection molding manufacturer with a national market. The company employs over 100 and was founded in 1981. It is owned by Dennis Savalia, who immigrated to the U.S. from India in 1986 and began his first plastic injection molding business in 2007. The company’s core values are empowerment, discipline, equality, prosperity, and teamwork.Thanks to FBA Director and SoCal Chapter Chairman Al Garcia for bringing this new company to FBA.