Assembly Bill Mitigates Regulation Penalties on

Small Businesses Passes Committee




State Assemblyman Jay Obernolte’s (R-Hesperia) Assembly Bill 912 to allow State agencies discretion when enforcing monetary penalties for regulatory infractions on small businesses passed out of the Assembly Accountability and Administrative Review Committee today.  

“California’s regulatory environment is notoriously unfriendly to the small businesses that are the backbone of our state’s economy,” Assemblyman Obernolte said. “My bill will empower regulatory agencies to help small business owners navigate California’s complex regulatory system. We must ensure that these businesses can keep their doors open and provide much needed jobs to our communities.”


Marti Fisher, policies advocate for the California Chamber of Commerce, said, “California’s complex regulatory scheme is challenging for all employers, but especially small businesses. Assembly Bill 912 is a Job Creator because it assists small businesses in navigating the myriad of regulations in California so they can comply and grow their business without facing costly enforcement actions for inadvertent mistakes.”   

Assembly Bill 912 will permit state agencies to help small businesses comply with state regulations. It will require state agencies to develop policies that allow for a reduction of penalties under certain circumstances. Discretion may be given in cases where the small business is a first-time offender, the small business takes action to correct the violation, or the small business is unable to pay the fine and might close because the penalty is too severe. 


Assembly Bill 912 will next be heard in the Assembly Appropriations Committee.