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.

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