Several business and local government groups are preparing to fight a last-minute state bill that would put new restrictions on warehouses across California. According to a draft from a coalition of business groups obtained by KCRA 3, the bill would create mandatory buffer zones between new warehouses and residential buildings, hospitals and schools. It would also put new rules on truck routes and existing warehouses that are planning to expand. The bill would impose strict restrictions on the development and expansion of warehouses and distribution centers across California, the groups warned, and would have a negative impact on the state’s economy. Specific details of the bill have not yet been made public. With four days left in the state legislative session, lawmakers are expected to include a new proposal in Assembly Bill 98, repealing the agriculture-related language currently in the bill. Assemblyman Juan Carrillo confirmed to KCRA 3 on Tuesday afternoon that he will be drafting the bill, but said he is in discussions about the proposal. Details of the proposal are expected to be released Tuesday night. The proposal aims to address the environmental and health impacts of warehouses. The League of California Cities and the California Association of Counties, two groups that lobby the state legislature on behalf of local governments, also oppose the bill, according to a letter obtained by KCRA 3. Opponents say the bill would take away local governments’ ability to make their own decisions by imposing statewide mandates on where warehouses should be located and how they should be operated. The proposal would also require governments to update logistics use development information for distribution elements, including truck routes, signs, parking and idling, according to the letter sent to Councillors Carillo and Eloise Reyes. The state Attorney General could fine local governments $50,000 every six months if they don’t comply. “The warehouse bill is expected to be introduced for the first time in the final week of the legislative session after months of closed-door negotiations that excluded the California Association of Cities, Counties and other key stakeholders,” lobbyists for the government groups said in a letter Tuesday. Business groups, including leaders of the California Business Roundtable and the California Business Property Association, told KCRA 3 they too have been largely left out of the discussion. “These are buildings that serve the state of California,” said Matthew Hargrove, CEO of the California Business Property Association. “These are buildings that serve a critical part of the supply chain.” Paul Granillo of the Inland Empire Economic Partnership noted that 40 percent of the nation’s goods come through Southern California ports and are sorted in the Inland Empire, Reyes’ district. Granillo warned that the cost of goods would rise for consumers. “Other parts of the state will be adversely affected,” Granillo said. “To rush this all out and fix it in basically three days is not good governance.” Rob Lapsley, chairman of the California Business Roundtable, said the proposal would affect one of his business members who had plans to build three warehouses in the state. “The minute this bill is signed, they’re dead,” Lapsley told KCRA3. The California Legislature has until midnight Saturday to pass new laws for the year. More California top news stories here | Download our app | Subscribe to our morning newsletter
SACRAMENTO, Calif. —
Several business and local government groups are preparing to fight a last-minute state bill that would impose new regulations on warehouses across California.
The proposal would create mandatory buffer zones between new warehouses and housing, hospitals and schools, as well as new rules for truck routes and existing warehouses that are slated for expansion, according to a draft letter from a coalition of business groups obtained by KCRA 3.
The group warned that the bill would impose severe restrictions on the development and expansion of warehouses and distribution centers across California, harming the state’s economy. Specifics of the proposal have not yet been made public.
With four days left in the state legislative session, lawmakers are expected to scrap language in the current agriculture bill and include the new proposal in Assembly Bill 98. State Assemblyman Juan Carrillo confirmed to KCRA 3 Tuesday afternoon that he will be drafting the bill but said discussions on the proposal are continuing. Details of the proposal are expected to be released Tuesday night.
The proposal aims to address the environmental and health impacts of the warehouse.
The League of California Cities and the California Association of Counties, two groups that lobby the state legislature on behalf of local governments, also oppose the bill, according to letters obtained by KCRA 3. Opponents say the bill would impose statewide mandates on where warehouses can be located and how they can be operated, taking away local governments’ ability to make their own decisions.
According to a letter sent to Councilman Carrillo and Councilwoman Eloise Reyes, the proposal would also require governments to update logistics utilization development information for distribution elements, including truck routes, signs, parking and idling. The state attorney general could impose fines of $50,000 every six months if local governments fail to comply.
“The warehouse bill is expected to be introduced for the first time in the final week of the legislative session after months of closed-door negotiations that excluded California’s Association of Cities and Counties and other key stakeholders,” lobbyists for the government groups said in a letter Tuesday.
Business groups, including leaders of the California Business Roundtable and the California Business Property Association, also told KCRA 3 they’ve been largely left out of the discussion.
“These are buildings that serve the state of California,” said Matthew Hargrove, CEO of the California Business Property Association. “These are buildings that serve a critical part of the supply chain.”
Paul Granillo of the Inland Empire Economic Partnership said 40% of the nation’s goods come through Southern California ports and are sorted in the Inland Empire, Reyes’ district, and warned that this would increase the cost of goods for consumers.
“Other parts of the state are going to be negatively affected,” Granillo said. “Doing everything in one go and basically fixing it in three days is not good governance.”
Rob Lapsley, president of the California Business Roundtable, said the proposal would affect one of his business members that had plans to build three warehouses in the state.
“The minute this bill is signed, they die,” Lapsley told KCRA3.
The California Legislature has until midnight Saturday to pass the new law this year.
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