Governor Vetos ‘Job Killers’

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Gov. Arnold Schwarzenegger has vetoed all six bills designated by the California Chamber of Commerce as “job killers,” the chamber announced Monday.

Schwarzenegger also signed into law a chamber-designated “job creator” bill that will reinstate air quality permits for hundreds of construction projects in the Los Angeles region.

The six vetoes uphold Schwarzenegger’s tradition of rejecting job killer bills reaching his desk; since he took office, he has vetoed 53 out of 57 bills bearing the job-killer label.

“Governor Schwarzenegger understands that California business cannot withstand additional regulation at a time when we are struggling with economic recovery,” said Allan Zaremberg, chief executive of the state chamber. “Allowing these ‘job killer’ bills to become law would have further hampered hiring and hurt our state’s competitiveness.”

Among the bills vetoed were two that the chamber feared would increase business’ exposure to lawsuits: AB 793, which would have broadened the ability of employees to sue for discrimination; and SB 242, which would have imposed penalties on employers who failed to post signs or otherwise communicate with customers in additional languages.

Schwarzenegger also vetoed AB 943, which would have restricted the ability of employers to use credit reports in hiring decisions; as well as SB 789, which would have made it easier for farmworkers to gain union representation.

Also on the veto list were: AB 2, which would have allowed lawsuits over health insurers’ decisions to rescind coverage; and AB 1404, which would have limited the amount of pollution offsets businesses could use to meet their greenhouse gas emission reduction goals.

On the other side of the ledger, Schwarzenegger signed into law SB 827, which as of Jan. 1 reinstates permits that had been granted for hundreds of construction projects in Los Angeles, Orange, Riverside and San Bernardino counties. The South Coast Air Quality Management District permits were frozen by a judge as the result of a lawsuit filed by environmental groups challenging the district’s awarding of emission reduction credits at below-market costs.

Schwarzenegger had signed another “job creator” bill in July: AB 333, which extends the life of subdivision and parcel maps for two years; many of these development maps had been set to expire due to inactivity related to the state’s real estate crash.

The governor did sign A.B. 1383, which establishes a hospital provider fee, proceeds of which would help the state qualify for more Medicaid money from the federal government by being able to offer a larger state match. The bill authored by Assembymember Dave Jones, (D-Sacramento) was co-sponsored by California Hospital Association and two other hospital groups, but was opposed by the state chamber and some hospitals that do not serve many Medicaid patients.

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Howard Fine
Howard Fine is a 23-year veteran of the Los Angeles Business Journal. He covers stories pertaining to healthcare, biomedicine, energy, engineering, construction, and infrastructure. He has won several awards, including Best Body of Work for a single reporter from the Alliance of Area Business Publishers and Distinguished Journalist of the Year from the Society of Professional Journalists.

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