California
California is a leader in enacting new policies and regulations, and other states, particularly in the West and Pacific Northwest, follow California’’s lead and adopt similar policies. California has over 4.15 million small businesses (SMBs) employing over 7.5 million people. Policymakers must consider the impacts of new laws and regulations on SMBs before supporting legislation.
Key Policy Issues
Digital Economy
California Consumer Privacy Act (AB 3048)
AB 3048 would be a disaster for California small businesses that use digital technology and online platforms to reach customers and grow their companies. The bill requires that Internet browsers display prominent data sharing opt-outs, but the mandate goes way too far. Consumers won’t know what they are opting out of and small businesses that connect with customers online will lose out on vital customer relationships.
Click here to sign a letter to Governor Newsom telling him to veto AB 3048.
Digital Ads Tax
Many California businesses use digital ads and marketing to find new customers and drive revenue. Unfortunately, the California legislature is considering a new bill that would make digital advertising and marketing 7.25% more expensive.
CA Senate Bill 1327 would impose a new tax on digital advertising, intended to target tech giants like Facebook, Google, and Amazon. But the reality is starkly different because it’s the advertisers (businesses of all sizes, including small businesses) that will ultimately bear this financial burden.
The last thing you need is new laws that make it even harder to compete with big brands and their massive marketing budgets. Click here to sign the letter to your lawmakers telling them to oppose Senate Bill 1327!
Status: CA Senate Bill 1327 failed to pass this year, but it will likely return for consideration next year.
Potential “Abuse of Dominance” Bills
Overview: Increasingly, we’ve seen states introduce “abuse of dominance” (AOD) legislation that seeks to regulate some of America’s leading digital platforms used by millions of small businesses, including Amazon’s online marketplace, Google’s search and advertising platforms, and app store business, Meta’s Facebook, and Apple’s app stores. While these bills would make it illegal for these platforms, or any platform that meets an arbitrary definition of “dominant,” to engage in any practices that harm competitors, they would also cause a slew of adverse impacts on SMBs. Potential antitrust laws would cost California’s SMBs that create and sell physical goods $81 billion annually, or $162,000 each per year, according to a new study by Dartmouth economics Professor Emeritus John T. Scott.
Status: There are no such bills introduced yet, but there could be bills introduced or revisions made to existing antitrust laws in the near future.
Key Officials
Send a letter to your representatives in California urging them to veto harmful legislation.
California Small Business Leaders, You Can Make Your Voice Heard.
It’s crucial that small business leaders like you speak up and make your voice heard to your state’s legislators, especially when they may consider bills that impact your business. Click here to send a letter to your representatives in California urging them to consider the impacts of potential digital economy laws on SMBs before supporting such legislation.
Spotlight: 3C Small Business Advocates in California
Empowering Students to Overcome Boundaries with Oppti
If You Can Dream It, You Can Achieve It: A Baker’s Digital Journey
When Life Gives You Lemons: Lucy’s Online Success
A Better Treat
Jeff’s Famous Jerky
Mariposa Coffee Company
Digital Tools are a Starting Point for Success
Digital Tools Are Sweet For One Small Business
ASM Games Wins Big with Amazon
Feliciano’s Peninsula Party Success
