Folsom Chamber JobsPac

A better quality of life is leading Californians to flee to Texas writes the San Francisco Chronicle...

"The effort to recall California Gov. Gavin Newsom has enough signatures to qualify for the ballot, Secretary of State Shirley Weber’s office reported Monday, marking a significant milestone in the more-than-year-long campaign to remove the head of the nation’s most populous state. Recall supporters needed to turn in 1.5 million valid signatures to trigger an election, and organizers say they were able to collect more than 2.1 million by the March 17 deadline. Weber’s officer reported that more than 1.6 million signatures have been found to be valid," reports the Sacramento Bee.

"Sacramento County District Attorney Anne Marie Schubert will announce Monday that she is running for attorney general of California. Schubert will challenge incumbent Rob Bonta, who was just sworn in on Friday to succeed Xavier Becerra. Becerra departed to become U.S. Health and Human Services secretary under President Joe Biden," reports the Bee.

"Worker filings for jobless benefits declined to 547,000 last week, a new pandemic low that adds to evidence of a strengthening labor market and overall economic recovery," writes the Wall Street Journal.

Should Congress step up and protect small businesses from COVID-19 related lawsuits?

"U-Haul, the national rental truck company, provided yet more evidence Monday that California is dropping in popularity as a place to live, even as Sacramento is gaining ground as a COVID-19 era landing spot. The company’s annual migration analysis ranks California last among states in net migration to and from other states. Put another way, California lost more residents to other states than any other state, as measured by one-way U-Haul trucks crossing state lines," reports the Bee.

Support for a COVID ordinance failed to earn the support of County Supervisors. Supervisor Sue Frost explains why...

"California health officials on Thursday said they expect to extend the existing three-week shutdown order for the 13-county Greater Sacramento region for at least a few days and likely longer in an effort to stop local hospital intensive care units from begin over-run with COVID-19 patients. At the moment, the region, which includes Placer, Sacramento, El Dorado, Yolo and nine surrounding counties, has only 14.4% available capacity in local hospital ICUs, below the 15% standard Gov. Gavin Newsom set in late November when he announced further economic shutdowns," reports the Bee.

The Wall Street Journal reports, "New applications for unemployment assistance fell last week, a sign of modest improvement during a holiday period clouded with uncertainty around impending changes to benefit payments. Weekly initial claims for jobless benefits from regular state programs, a proxy for layoffs, declined by 19,000 to a seasonally adjusted 787,000 in the week ended Dec. 26, the Labor Department said Thursday. That marked a second consecutive decline from the three-month high recorded earlier in December, when virus cases were surging and more jurisdictions were bringing back economic restrictions to control the spread of the coronavirus."

The Bee reports, "President Donald Trump signed a $2.3 trillion coronavirus relief and government funding bill Sunday night, meaning stimulus payments are coming to Americans soon. The bill, which included $900 billion in measures meant to help with the coronavirus pandemic, directed $600 stimulus payments to single people making $75,000 and less, or $1,200 to married couples making $150,000 or less. Partial payments will go to single people who make up to $87,000 and couples who earn up to $174,000. Heads of household are eligible for the full $600 payment up to an income of $112,500."

ICYMI - The Sacramento Business Journal reports, "Millions of small businesses will have a much easier time getting their Paycheck Protection Program loans forgiven if a $900 billion stimulus package passed by Congress Monday becomes law. The legislation outlines a simplified, one-page forgiveness process for all PPP loans of $150,000 or less made during the first round and for any loans in a second round. More than 4.5 million PPP loans out of about 5.2 million were for $150,000 or less, according to SBA data. Business groups had pushed for months for a simplified version of forgiveness for loans under $150,000, and some version had been included in multiple stimulus attempts so far.

"We cannot know how long the current economic restrictions will be in place, but we do know that the longer they remain, affected businesses, especially small businesses, are less likely to reopen. Their doors are closed and they have no revenue, but their rents and loan payments continue and many will not survive," writes Dan Walters.

Assemblyman Kevin Kiley lays out his legislative agenda for 2021.

"Holiday sales grew, but not by much. During a remade shopping season, many Americans ditched stores for digital outlets. And pandemic buying trends that favored household goods and food over apparel continued, according to early sales data from firms that track shopper spending. U.S. retail sales rose 2.4% between Nov. 1 and Christmas Eve compared with the same period last year, according to Mastercard SpendingPulse, which tracks online and in-store spending with all forms of payment. Online sales grew 47.2% during that time, said the firm. The tally excludes sales of gas and autos," reports the Wall Street Journal.

I think every responsible chief executive officer has to consider moving their company out of California," Tom Siebel, CEO of the artificial intelligence software company C3.ai Inc., told the Silicon Valley Business Journal this month on the day of the Redwood City-based company’s IPO. "If you're not considering that, you're not fulfilling your job for your shareholders and your employees.

Merry Christmas from Folsom's small business community!

Declining state revenue and little federal assistance leads Dan Walters to predict that the pandemic invites Governor Newsom to raise taxes on California employers.

Yet another newspaper editorializes that California's anti-business policies come with consequences! The San Francisco Chronicle writes, "California’s fabled appeal is fading. A state known for palm tree weather, Sierra vistas and startup culture is barely growing. By the books, its population nudged upward this year by 21,200, a next-to-nothing growth rate of 0.05%, bringing the headcount to 39.78 million. The numbers and the reasons behind them are unleashing a flood of explanations, all of them worth considering. A tax-heavy business climate, stagnant and costly housing market, and the COVID pandemic may be factors. In the background are other downbeat indicators such as near monthly wildfires, a rootless working world that’s luring employees to travel elsewhere, and changing demographics. Take your pick, or include them all."

Folsom's (immediate past) Mayor Sarah Aquino reflects on 2020...

"Congress prepared to vote Monday on a sweeping year-end package that included roughly $900 billion of relief for households and businesses battered by the coronavirus pandemic, an emergency measure aimed at buoying the country through a difficult winter," reports the Wall Street Journal.

Is increasing taxes a solution to rebuilding our state's post-COVID-19 economy?

"California’s economy continues to struggle through the COVID-19 pandemic, enduring business shutdowns ordered by Gov. Gavin Newsom and embarrassing defections to Texas by some bright lights of Silicon Valley. On Friday, the Employment Development Department released the latest snapshot of the state’s economy: California’s unemployment rate fell eight-tenths of a point in November, to 8.2%. However, job growth totaled just 57,100, a little more than one-third as many jobs as were created a month earlier, signaling a slowdown in the recovery," reports the Bee.

"The bigger picture, though, is that the Golden State, long seen as a beacon of opportunity, has become a more difficult and less attractive place in which to live, pay the rent, buy a house and do business. The state growth rate in the year leading up to July 2020 was just 0.23%, the lowest number in modern recorded history, dating back to 1900. It is the third year in a row that the state has recorded a record low population rate increase, according to the state Department of Finance demographics unit. The 2019 July rate was 0.35%. The previous year was 0.57%," reports the Sacramento Bee.

"Taxes, regulations, bureaucratic compliance and dangers imposed on businesses by restrictive labor laws that often encourage frivolous lawsuits can only be corrected by the legislature. Its Governor Newsom’s responsibility to take a leadership role to make the necessary changes to keep more and more businesses from fleeing the Golden State. When the governor stands up to oppose the business exist and cry Halt! he should address his comment directly to California’s legislature," writes Joel Fox.

Will Sheriff Scott Jones run for reelection in 2022? At this time, the Sheriff is not saying - but, looks Assemblyman Jim Cooper has designs on higher office.

"Sacramento’s 58 Degrees & Holding Co., a hair salon and a nail bar are the latest businesses to sue Gov. Gavin Newsom and Sacramento County officials over the stay-at-home order that they contend is misguided, racially harmful and needlessly throwing people out of work during the COVID-19 pandemic. The midtown wine bar and restaurant, along with Sparkle Nail Bar and Visage Salon, filed the suit late Monday in Sacramento federal court asking for a temporary restraining order and preliminary injunction to halt the order," reports the Sacramento Bee.

Dan Walters writes that as Governor Newsom hires a veteran media strategist as his economic advisor, several major high-tech companies announced plans to move to Texas. After being unfriendly to business to business for so long, is it too late for real and meaningful change?

"Election officials in California have certified the state’s election results, reporting record-level voter turnout. California voter turnout reached 80.7%, with 17,783,784 total votes cast. President-elect Joe Biden won the state’s 55 electoral votes after securing 63.5% of the vote, with over 11 million votes. Over 6 million voters cast ballots for President Donald Trump, who received 34.3% of the vote. In the Sacramento region, Placer County reported the highest voter turnout percentage, with 88.2% and 239,315 total votes cast. Sacramento County voters cast 729,569 ballots, with 82.5% of registered voters turning out for the election," reports the Bee.

"Applause echoed through the chamber at the Folsom City Council meeting Dec. 7, as impassioned dialogue was made by small business owners and City Council members opposing a proposed Sacramento county ordinance that would fine individuals and heavily fine businesses not complying with the public health order. The Sacramento County Board of Supervisors subsequently revoked the urgency ordinance on Tuesday," reports the Folsom Telegraph

"Folsom City Council commenced the official swearing-in of its two newly-elected members on Dec. 7: Rosario Rodriguez and YK Chalamcherla. After filling the City Council’s vacant seat for the last few months, longtime council member Andy Morin stepped down after serving during a particularly challenging and tumultuous time to govern and led, said City Manager Elaine Anderson. Both Chalamcherla and Rodriguez seemed to have a good rapport and were eager to take the dais for the first time during the public forum. They made brief speeches and were welcomed by all. Both Chalamcherla and Rodriguez campaigned passionately and thoughtfully during a challenging time," reports the Folsom Telegraph

California Survey: Residents not Optimistic About the Future "California may call itself the Golden State, but most Californians see its future as tarnished. In a wide-ranging new survey of attitudes toward the economy, 6 in 10 residents said they expect California’s children to be worse off financially than their parents.... More than two-thirds said California’s gap between the rich and poor is widening. And nearly 6 in 10 anticipate mostly periods of widespread unemployment or depression during the next five years," reports the LA Times.

"At least 70% of Cicada Cantina’s revenue comes from dine-in customers, general manager Alejandro Ballesteros said. The restaurant, which opened just after the initial shelter-in-place order in March, will have to lay off servers and cooks, Ballesteros said. Just to-go, that’s going to be a hard hit on us, Ballesteros said after hearing the news Wednesday. We did everything the way it was supposed to be done, and now we’re going to be shut down. Wow, yeah. It’s definitely going to hurt us. (Sacramento Bee)

"The Greater Sacramento region will be placed under the state’s strictest shutdown order Thursday night, just before midnight, state health officials said. The new restrictions will require all restaurants to close outdoor dining, and will force barbers, hair salons and nail salons to shut doors. Retail outlets will be required to limit customers to 20% capacity at a time. Residents will be asked to remain at home except to go to essential jobs or to do basic chores," reports the Bee.

"While I fully agree that we all have to do our part to get through this pandemic, I believe imposing severe fines on business owners who are trying to keep afloat is a horrible way to do I," stated District 4 Supervisor Sue Frost. "Especially when those fines come from a system that is being set up with no due process and a low to non-existent burden of proof for enforcement. We should be focusing on outreach and education to ensure compliance, due in part to how confusing and onerous the open/close/open/close dynamic has been for businesses, coupled with a lack of consistent information from the State regarding what is currently allowed/not allowed."

The business community is devoted to protecting the health and safety of their customers. It is simply good business, said Joe Gagliardi, President/CEO of the Folsom Chamber of Commerce. In the 26 years of leading the Folsom Chamber I have never seen our members so fired up about such a misdirected ordinance, especially at a time when so many of them are struggling to make payroll and stay in business. The backlash to the proposed ordinance sends a strong message to our political leaders that they need to be focused on providing employers economic relief and the most vulnerable communities greater care.

"The Sacramento County Board of Supervisors abruptly stopped its regular meeting Tuesday after a group of protesters came inside their chambers to protest an ordinance that would fine businesses up to $10,000 for breaking COVID-19 health orders. At about 10 a.m., Board Chairman Phil Serna called for a 10-minute break because of the disturbance. A woman could be heard yelling let us in. The meeting was still adjourned as of 11 a.m. Tuesday." reports the Bee.

Tune in now. Sacramento County is poised to vote on a measure to fine businesses for violating COVID-19 health orders.

The San Francisco Chronicle reports, "Restaurant workers will likely be laid off en masse again, just in time for the Dec. 31 expiration of emergency federal unemployment aid, and restaurant owners have told me that they’re wracked with guilt over the possibility of cutting people loose in the midst of a worsening pandemic. Everyone has bills to pay and mouths to feed, and life can only get harder from here. Without meaningful aid to help the country survive this next lockdown, this is bad news for restaurants, but, above all, awful news for people."

"For their swearing-in session on Monday, Assembly leaders moved their house from the state Capitol to the Golden 1 Center to make sure lawmakers were appropriately spaced. COVID-19 safety concerns meant that families and guests were excluded from the event. Just hours later, however, five California state Assembly members dined together outside at a Sacramento restaurant," reports the Bee.

Tune In - New Council Members to be Seated Tonight At 5:30pm tonight, Rosario Rodriguez and YK Chalamcheria will be sworn in as Folsom's newest council members. Also, the council will elect its mayor and vice-mayor. Click this link to watch live, at 5:30pm - https://www.folsom.ca.us/

"Health officials on Monday said they suspect they will have to announce the shutdown of further businesses by the end of this week or early next week this time restaurants, hair salons and barbers as the capital region struggles to stem an increasing number of COVID-19 hospitalizations," reports the Bee.

"Now, with another shutdown coming, Fred Jones, lobbyist with the Professional Beauty Federation of California, said as many as 20% of his members might close permanently. The grooming and beauty industry is a significant portion of the economy with close to 700,000 salons operating up and down the state," reports the Bee.

The Sacramento County Board of Supervisors will consider an ordinance Tuesday that would authorize financial penalties for residents and businesses that violate public health orders in place to contain the spread of the coronavirus. "The proposed ordinance would give broad discretion to county code and health enforcement officers, as well as law enforcement and the director of emergency services, to fine businesses between $250 and $10,000 if they’re found in violation of the health orders. The penalty for non-commercial citations would range between $25 and $500," reports the Bee. To join the Folsom Chamber of Commerce in opposition to this action, see the previous post.

ACTION ALERT - County Seeks Authorization to Fine Businesses Even though contact tracing shows the new COVID cases are mostly attributable to family gatherings, Sacramento County's solution is to fine businesses. Urge the Sacramento County Board of Supervisors to vote NO!... To review agenda and submit public comments - http://www2.agendanet.saccounty.net/BoardOfSupervisors/

With stay-at-home orders likely to be imposed in the coming week, the Folsom Chamber of Commerce makes the case for holiday shoppers to shop now! Remember, online sales do not contribute as much tax revenue as in-store sales, and they do not support local jobs!

Information on recently announced COVID-19 Regional Stay-at-Home order. Click below to learn how this order could impact your family and business. https://www.gov.ca.gov//12.3.20-Stay-at-Home-Order-ICU-Sce

Small business owners are simply "distraught."

Today, Governor Newsom announced his intention to apply stay-at-home orders to most regions of the State of California. During his press conference he detailed how this order will limit retailers, restaurants and other businesses.

"Coronavirus cases are rising so rapidly that Gov. Gavin Newsom says if trends continue he will reimpose strict stay-at-home orders like he issued in March to prevent hospitals from becoming overwhelmed," reports the Bee.

According to the Sacramento Bee, "(Governor) Newsom announced that small businesses, with less than $1 million in sales tax, will be granted an automatic three-month extension on payment."

The Wall Street Journal reports, "Jobless claims rose for the second straight week, to 778,000, a sign the nationwide surge in virus cases was starting to weigh on the labor-market recovery. Claims haven’t risen for two consecutive weeks since July. Worker filings for unemployment insurance are down sharply from a peak of nearly seven million in late March. But they remain higher than in any previous recessionthe pre-pandemic peak was 695,000 in 1982for records tracing back to 1967." https://www.wsj.com//weekly-jobless-claims-coronavirus-11-

Folsom's representative in the California State Assembly, Kevin Kiley, is proposing legislation to protect employers.

California has become one of the first states in the country to have emergency workplace rules to protect employees from COVID-19 exposure. "During a major outbreak, defined as 20 or more cases within a 14-day period, employers will be required to provide workers with testing at least twice a week. The rules also require that workers quarantining due to an exposure be paid. Members of the standards board of Cal-OSHA voted unanimously to approve the regulations on Thursday," reports the Bee.

While the Governor's curfew is intended to limit business activity, the Bee included an interesting quote. "Sacramento County health chief Dr. Peter Beilenson said a curfew is not likely to get at the core of the problem, which is family gatherings that typically occur before 10 p.m. and infections in nursing homes. The gatherings of the most concern to us are Thanksgiving and the holiday season, he said. Very few of them go after 10 p.m. at night."

The San Francisco Business Times reports, "California continued to lose large numbers of people to other states in 2019, showing a net loss of about 173,000 residents in the state-to-state migration estimates released by the U.S. Census Bureau on Tuesday. The loss is a slight improvement from the 190,122 net loss of residents California experienced in 2018, according to estimates from the Census Bureau's American Community Survey. California gained about 93,000 residents in 2...019 and about 98,000 in 2018 when factoring in foreign immigration and movement to and from Puerto Rico and other U.S. territories. Texas, with no state personal income tax, continues to be the big winner when it comes to Californians moving out of state, with more than 82,000 California residents telling the Census Bureau in 2019 that they had moved to the Lone Star State in the prior 12 months. Second place went to Arizona, where almost 60,000 Californians moved in 2019."

Rumor has it that a county ordinance that would fine businesses up to $10,000 was pulled from the Sacramento County Board of Supervisor's agenda. The measure was noticed for the very first time last Friday and was to be voted on today - clearly, not giving the business community time to review the proposal. The measure will be back in December, so stay tuned.

Is this what it will take to protect California jobs?

Pro-jobs candidate Rich Desmond to hold retiring Supervisor Susan Peters' seat on the Sacramento County Board of Supervisors! Now, Supervisor Sue Frost (represents Folsom) is assured a pro-economy, pro-jobs ally on the board of supervisors.

The city, community, and City Council are in mourning over the death of Vice Mayor Ernie Sheldon, a life-long public servant and community advocate who devoted his entire life to serving others, said Mayor Sarah Aquino. The imprint of his life’s work can be felt throughout Folsom in our parks, trails, recreational amenities, and our beloved Veterans Day parade. Ernie leaves behind a legacy that inspires us all to fulfill his mission of providing the highest quality service to the Folsom community.

Folsom City Council Race Update: YK and Rosario maintain leads. While not official, this race is over.

Election Update: Tim Hooey surpassed incumbent Joanne Reinking for Folsom-Cordova School Board.

The Folsom Chamber of Commerce is not the only business association asking for some relief from COVID-19 restrictions, especially as the holiday shopping season is about to begin. These are desperate times.

Will area restaurants survive the recent mandate of "outdoor dining" only? It’s going to suck, and there’s going to be a lot of places that don’t make it, Paski (a restaurant owner) told the Bee. People don’t want to eat when it’s 40 degrees outside, and it costs money to keep them warm.

The Folsom Telegraph reports - "In response to the news that the State of California will increase COVID-19 restrictions in Sacramento County, Folsom’s small business community is concerned about the economic impact on local employers during the Christmas Holiday, typically the most profitable time of the year for retailers and restaurants, and cities dependent on sales tax revenue generated from instore sales. Many merchants and restaurants have been anxiously awaiting the... Holiday shopping season to keep them in business and their workers employed, said Joe Gagliardi, President/CEO of the Folsom Chamber of Commerce. While Black Friday typically marks the beginning of a profitable Holiday shopping season, this year merchants see red and new restrictions provide no incentive for many of them to remain in business. As jobs are lost and sales tax revenue declines, Folsom’s quality of life will deteriorate as critical public services are no longer funded. CLICK below to read more

Yet another Folsom business shutters its doors. Shop and dine local friends. Online sales DO NOT help. This is the only way to slow this trend.

City Council Election Update (Nov. 10) - YK and Rosario maintain commanding leads. Next update is Friday, November 13, 2020.

What would have been the greatest tax increase in California's history was defeated. Thankfully most Californians agree that raising taxes on employers during a global pandemic is bad economic policy and bad for jobs!

"Diners will soon be taking their food outside once again as Sacramento County moves into the more restrictive purple tier of COVID-19 guidelines. It’s just devastating to our businesses, said Folsom Chamber of Commerce CEO Joe Gagliardi. With Black Friday and the holiday shopping season just two weeks away, the small business community of Folsom says these tighter restrictions could take a serious economic toll.... This is our bread and butter for every small restaurant, mom and pop restaurant out there, said Jeff Back, owner of Back Bistro. This is the holiday season, it’s make or break. During the year, we try to break even, make some money here and there. The holidays, that’s what pushes us over the edge. - reports FOX News.

"In a calculated move designed to stem a new coronavirus surge, California health officials today demoted Sacramento and two other counties to purple tier status, the state’s most restrictive level, a step that will force hundreds of local businesses and houses of worship to once again halt or reduce indoor activities. Public schools that planned to reopen campuses later this month will have to put those plans on hold," reports the Bee. WHAT MUST CLOSE IN SACRAMENTO PURPLE... TIER Key effects of the purple-tier designation are: o Shopping malls will be required to reduce customer capacity from 50% to 25% and close food courts. o Places of worship must cease indoor services, and hold outdoor gatherings instead. o Movie theaters must close indoor operations. o Gyms and fitness centers must again conduct outdoor events only. o Restaurants, which had been allowed 25% indoor service, must serve outdoors only. o Museums no longer can open their indoor areas. Hair salons and barbers are allowed, however, to continue indoor service with limitations.

Tomorrow, it is anticipated that the State will call for increasing capacity restrictions at Sacramento County restaurants, retailers, gyms and other types of businesses. Stay tuned...

During the COVID-19 pandemic shopping local protects Folsom's economy and jobs, and funding for critical public services. Join the Folsom Chamber of Commerce's Shop Local Campaign by sharing this post. Thank you Folsom!

Friday, Nov. 6th: Semi-Final Election Results for Folsom City Council. Results will be updated tomorrow, Tuesday.