Assemblymember Brown Holds Select Committee Hearing onExpanding Opportunities for Small Businesses

Assemblymember Cheryl R. Brown (D-San Bernardino), Chair of the Assembly Select Committee on Small Business in the Inland Empire, held a public hearing on Friday, Sept. 25, to explore the small business climate in the Inland Empire. The hearing provided a regional economic forecast and the discussion of solutions to enhance the Inland Empire’s participation within state funding programs. “The Inland Empire is the fastest growing region throughout Southern California. However, we haven’t experienced the same level of economic growth as other parts of the state,” said Assemblymember Brown. “By convening this meeting, our goal is to identify and prioritize legislative ideas that will promote economic recovery and job creation in the Inland Empire.” Joined by two of her colleagues, Chris R. Holden (D-Pasadena) and Jose Medina (D-Riverside), the Select Committee hearing included three panels with special remarks given by research economist Dr. John Husing and Supervisor Josie Gonzales, 5th District. The first panel of speakers included representatives from the U.S. Small Business Administration and the Governor’s Office of Business and Economic Development (Go-Biz). The presenters offered success stories related to improving access to capital and increasing federal spending within the Inland Empire. Although significant funding accomplishments were reported, the committee members called upon the agencies to do more to generate opportunities for economic growth in the Inland Empire. “Driving in from Pasadena and as I got into the Inland Empire, I noticed a lot of open, vacant land,” said Assemblymember Holden. “Are you working with the cities of San Bernardino and Riverside to create a partnership and identify companies that are looking to make their way to California and direct them to the Inland Empire?” Chief Deputy Director Panorea Avdis of Go-Biz responded by saying their agency currently works with local partners to promote areas, such as the Inland Empire, that need more attention than other parts of the state. However, the region needs to fit the criteria of the incoming businesses. Assemblymember Holden further suggested that a policy be developed to encourage or direct incoming businesses to disadvantaged areas of the state. Other highlights of the program included a regional economic forecast by Dr. John Husing, an expert research economist that has studied the Inland Empire region for more than 40 years. According to Dr. Husing, the Inland Empire should expect to add up to 57,000 new jobs in healthcare, construction, real estate, manufacturing and logistics within the next year. Over the past four years, the Inland Empire has added over 190,000 jobs. While the Inland Empire has made substantial progress, California remains at the bottom of the list of states considered having business friendly environments. “I talk to a large number of businesses every year in my work with the (Inland Empire) Economic Partnership,” stated Dr. Husing. “The number one issue, among small business owners, is wasting time with constant levels of regulatory changes—it is unstable.” Other modifications that need to be considered to encourage and spur small business growth, according to Dr. Husing, would be requiring legislative approval of regulations proposed by the California Air Resources Board (CARB) and the Air Quality Management District (AQMD). Dr. Husing mentioned this issue arising from the climate change bill, SB 350, which would have allowed CARB to determine how Californians should reduce gasoline usage by 2030. “I’m very proud of the voting record of the Inland Empire state representatives as it pertains to Senate Bill 350,” stated Assemblymember Medina. “Inland California legislators stood up and said that the policies of the state of California need to be helpful to the entire state, and if they’re not helpful to the entire state and to our communities, then we would not vote for them. We worked hard to remove the petroleum provision of SB 350 and I think that shows that we are looking out for our communities.” The remaining panels featured testimonies from the San Bernardino and Riverside Workforce Investment Boards, Center for Employment Training, County of San Bernardino Economic Development Agency, County of Riverside Economic Development Agency, and the Inland Empire Economic Partnership. Each agency discussed their specialty programs, which aim to meet the hiring and training needs of Inland Empire businesses. In assessing some of the challenges faced by each agency, some of those include lack of sufficient funding, outreaching to businesses regarding the array of free programs that are available, and reducing regulatory burdens of the California Environmental Quality Act.