SB 772 EXEMPTS CAL/OSHA FROM ECONOMIC IMPACT ANALYSES

As part of a CalChamber led business coalition, our industry is strongly opposing a SB 772 (Leyva; D-Chino) a bill that could increase Cal/OSHA costs for employers.  The bill reduces transparency, removes accountability, and runs contrary to California’s commitment to good governance by exempting Cal/OSHA from a rulemaking process applied to major regulations impacting the economy by more than $50 million to make sure that state agencies consider the economic impact their proposals will have on employers. SB 617 was enacted in 2011 and was sponsored by CBPA.

The standard rulemaking process requires conducting a Standardized Regulatory Impact Assessment (SRIA) for the most significant regulations (those having an economic impact greater than $50 million).

Because SB 772 allows Cal/OSHA to impose unnecessary burdens on California’s businesses, investors, and innovators without regard to the impact on the economy and without considering less costly alternatives, the CalChamber and a large coalition are opposing the legislation.

All California’s agencies conduct important work that protects and provides for the public, and all are held accountable to the people by conducting the SRIA. Cal/OSHA’s process is not different and does not warrant a special exemption. SB 772 excuses Cal/OSHA from this important analysis, allowing regulations having a significant impact on the economy to avoid the close scrutiny that would reveal their true costs and any unintended consequences.

The bill passed the Assembly Labor and Employment Committee yesterday on a party line 5-2 vote and next moves to the Assembly Appropriations committee, where we will continue to oppose the measure.

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