Red Flag

AB 1771 passed the Assembly Public Safety Committee yesterday on a 4 to 0 vote. Voting in support was Jerry Hill from South SF, Curt Hagman from Diamond Bar, Danny Hill from Hanford and Jim Beall from San Jose. This is the Small Business California bill that would allow small businesses to bid on small contracts with state agencies. Currently they can only be done by prisoners.

The Red Flag rules which have been postponed for about a year will be enforced effective June1. These rules put in place by the Federal Trade Commission. The rule was designed to fight identity theft by requiring creditors with certain kinds of accounts to implement compliance programs to detect and prevent identity theft. Take a look at the website below to see if you are impacted by this. There is a $2500 fine for noncompliance.

Here is the website:

http://www.ftc.gov/bcp/edu/pubs/business/alerts/alt050.shtm

Small Business California sponsored bill SB1373 will be going before the Revenue and Taxation Committee on April 28. This bill levels the playing field for small businesses on paving work. It will require vertically integrated manufacturers[ businesses that manufacturer asphalt and cement and install the materials] to pay the same sales tax as the contractors that only do the work.

We are running into to strong opposition by vertically integrated manufacturers as it could effect as much as $10 billion of work. Thank you to all the associations and individuals that sent letters and a big thank to Betty Yee Chair of the Board of Equalization and Senator Mark Leno for authoring the bill

For those of you in San Francisco be sure and get your paperwork into the City for the Health Care Ordinance. It is due April 30.


Scott Hauge
President
Small Business California
2311 Taraval Street
San Francisco, CA 94116
shauge@cal-insure.com
415-680-2188