Today, the Senate Appropriations Committee held a hearing on all “suspense file” bills, which includes bills that have significant state costs. The hearing is one of the final hearings of the legislative year and determines what bills will continue through the process before the Legislature adjourns Sept. 13.
AB 10 (Alejo) was approved by the committee, but rather than the normal procedure of sending the bill to the Senate floor, the committee sent AB 10 to the Senate Rules committee.
While the legislation is still alive, its future for this legislative year is uncertain. The bill currently increases the minimum wage to $10 over a five-year period beginning in January 2014. The California Restaurant Association (CRA) Government Affairs team will continue to lobby for the bill to be held in the Rules Committee for the rest of this legislative year.
It’s clear from today’s action by the committee that the voices, letter writing campaigns and concerns of the restaurant industry were heard and appreciated, as the committee didn’t simply move the bill to the full Senate for consideration next week.
The fragile economic recovery, looming health care costs and negative economic impacts to both the state budget and employers are among the key considerations on lawmaker's minds. The CRA’s work continues and we will continue to keep operators updated.