Thursday, May 31, 2012

Terry Bibbens’ support letter/ SB1234/ National Debt

Please see below letter of support for Terry Bibbans as Go Biz Deputy Director ,Small Business. Note support from associations and small businesses around the state. I also heard yesterday the SF Chamber will be sending their own support letter.

I will be sending this letter out next week and again ask that you consider signing on to this letter or if you prefer write your own letter and send me a copy.

I don’t know when appointment will be made but I will be sending this letter out the end of next week. If you want to add your name and company name please do so in return email.

Yesterday SB 1234[DeLeon] passed the Senate and now will go to the Assembly. Small Business California strongly opposes this bill as it will mandate employers with 50 or more employees to provide a retirement plan for their employees. It provides a defined benefit that can be taken through Cal PERS or can be taken through the private sector. It is the opinion of many that if purchased through Cal PERS this could place a liability to the state if revenue projections are wrong similar to what is happening now with state employees. It also cost millions of dollars according to the Department of Finance.

Thank you to those that responded to my question about the importance of the National debt to small business. If you haven’t had a chance to respond please do so. On a scale of 1 to 10 with 1 being the most important issue to small business please let me know how you rank the National debt. I have been asked to pass on results to a number of organizations.

Scott Hauge
Small Business California
2311 Taraval Street
San Francisco, CA 94116


May 23, 2012

To: Ms. Sarah Greenseid (
Sarah Greenseid
Deputy Appointments Secretary
Office of Governor Edmund G. Brown Jr.

RE: Strong Support of Terry Bibbens’s Appointment as GO-BIZ Deputy Director, Small Business
Dear Ms. Greenseid,

On behalf of small business owners and associations, we write to respectfully request the appointment of Terry Bibbens as GO-BIZ Deputy Director, Small Business. We believe that with his vast government experiences and being a previous business owner, he has the knowledge and capability to work with all levels of government and regions to support small businesses of all types. Bibbens will be an extremely effective advocate for the small business community in Governor Brown’s Administration.

Terry Bibbens has demonstrated over 30 years as an effective advocate on behalf of small business before the U.S. Congress, city and county governments, the California legislature and state agencies, and regional and national trade associations. He also has an ability to support women-owned, minority-owned and immigrant-owned small businesses, which are the fastest growing segments of our sector.

Bibbens also brings the unusual trait of bringing a bi-partisan approach and support to this job, which will be helpful in obtaining all members of the small business community to support the Governor’s Administration and in obtaining the support of the legislature on critical legislation. His long advocacy of the importance of small business in job creation and his work to support improved capital formation for our businesses is especially critical at this time in our economic recovery.

With Bibbens’s impressive experiences outlined, we would like to ask for a serious consideration for his appointment of GO-BIZ Deputy Director, Small Business. Please see the list of signatures below who are in support of Terry Bibbens.


• Scott Hauge, President, Small Business California

• Barbara Kasoff, President/CEO, Women Impacting Public Policy (WIPP)

• Sarah De Young, Executive Director, California Association of Competitive Telecommunications Companies (CALTEL)

• James Simonelli, Executive Director, California Metals Coalition

• Jere Glover, Executive Director, Small Business Technology Council (SBTC)

Small Business Owners:

• Scott Hauge, President, CAL Insurance & Associates, Inc

• Ruthie Norton, Senior Vice President, CCI Financial & Insurance Solutions.

• Constance M. John, Ph.D., President, MandalMed, Inc.

• Helga Grayson, CEO, Thinknicity Inc.

• Art Thompson, President, A2ZFX, Inc.

• Alice Thompson, President, Sage Cheshire, Inc.

• Dan Cerf, Owner, SF Party

• Henry Karnilowicz, Owner, Occidental Express

• Cassandra Adams, Principal, Cassandra Adams Architect

• Judi Madden, CFO/GM, Madden Plumbing & Heating Co., Inc.

• Ross Riddle, President, South Coast Shingle Company

• Lee R. Petillon, Partner, Petillon Hiraide & Loomis LLP

• James R. Baird, CEO, Bay Area Development Company

• Gus Koehler, Ph.D., President, Time Structures, Inc.

• Sharon Ascencio, Principal, Ascencio Accounting & Business Services

• Deborah Lardie, CPA, The Lardie Company

• George Salet, President, George Salet Plumbing, Inc.

• Mathieu Palmer, CEO, Clipper Construction, Inc

• Ayub Dhar, CFO, American Loan Masters, Inc.

• Joanne Gomez, Owner, West Bay Counters , Inc

• Janet Hildreth, Owner, Tree Lovers Floors, Inc.

• Joan Von Karvaly, President, Precise Panel Engraving Co., Inc.

• Grace Santana, Owner, Grace Santana Plumbing Contractor, Inc.

• Christopher White, Founder, Active Spectrum, Inc.

• Eric L. Steckel, Principal, BARS + TONE

• Richard Boehl, President, QTE North America, Inc.

• Ralph Barnett, Exec Vice President, Real Estate Lending Division Bridge Bank

• Barry Bochner, CEO, Biolog, Inc.

• Ben Stiegler, CEO, Synertel, Inc.

• Steve Sarver, Founder, SF Soup Co.

• Hank Ryan, Principal, Efficiency Data & Development

• Suzanne Tucker, Owner, Marking Solutions/One Stop Graphics

• Barbara Babow, Independent Contractor

• Sam Gilbert, President, The Pension Forum, Inc.

• David Sahagun, Owner, Pacific Heights Chevron

• John Swan, Senior VP, CompPartners, Inc.

• John Alonso, Owner, Alonso Foods, Inc.

• Culver G Parker, Board Member, CONNECT (USCD)

Wednesday, May 30, 2012

Workers Compensation/National Debt/ Correction

Yesterday the Insurance Commissioner approved an 8.3% increase in pure loss rates for July 1. These rates are advisory and the insurance companies are free to file rates of their own. The reason according to the Commissioner is increased medical cost.

This does not mean you will see an increase in your workers compensation cost of 8.3%. It could be less and it could be more depending on your loss experience and the type of business you are.

It does however indicate that there is pressure to increase rates which some of you have probably seen over the last two years. These rate increases have not been dramatic for most small businesses but I think it is something you should be aware of if your policy comes up after July1

I have been reading over the past few months surveys of small business and what the major issues are. One interesting thing that is creeping up in some surveys is the National debt. Do you think this a major issue and how would you rate it on a scale of 1 to 10 with 1 being the most significant?

In yesterdays email I had a typo. I indicated that medium size small businesses created 22 million new jobs. The correct number is 2.6 million. My percentages were right however with small businesses [less than 20] creating 82%,medium businesses[20 to 499] creating 10% and large companies[500 and over] creating 8%

Scott Hauge
Small Business California
2311 Taraval Street
San Francisco, CA 94116

Tuesday, May 29, 2012

Small BusinessJob Creation/ Yelp/ D&B CRedit Corp Update

The SBA Office of Advocacy/Bu Census files and BLA-BDM came out with a report showing job creation for the period 1989 to 2009 in the United States. Results were a follows:

Very small companies[ less than 20] created 22 million[82%] of the net new jobs

Medium size companies[20 to 499] created 22 million jobs-10% of the net new jobs

Large companies[over 500] created 2.6 million jobs-8% of the net new jobs

A few weeks ago Small Business California was asked to file an amicus brief about the problems for small business with Yelp. A business owner has filed a lawsuit on their business practices.

We are not doing so but it raises the issue. What has been your experience with Yelp?

You all have seen the emails on D&B Credibility solicitation of small businesses. I met with George Gascon DA of SF on Thursday and asked if ,on behalf of Small Business California,he would look into this. He has agreed to do so and I sent him the material Friday.

It has come to my attention that D&B Credibility Corporation D&BCC has been taping some of the conversations with small business people. My company for one was taped without our knowledge. In fairness I was told that the person we dealt with has been released and this has not happened with others. For those of you that have been contacted by D&B CC were any of you told you were being taped?

Scott Hauge
Small Business California
2311 Taraval Street
San Francisco, CA 94116

UPDATE: Dun & Bradstreet Credibility Corp.

This has been cleared to send and I said I would make no comments - Scott

From: Moujan Kazerani []
Sent: Thursday, May 24, 2012 2:08 PM
To: Scott Hauge
Subject: Dun & Bradstreet Credibility Corp.

Mr. Hague,

I want to commend you again for trying to help small businesses. Both of our respective companies are focused on helping businesses succeed. I suspect that after having seen our website and speaking with me, you realize that our goals are largely the same. We talk to thousands of businesses each week, have hundreds of thousands of subscribers and offer a value to businesses that we believe is unmatched in our industry.

That said, I want to make sure both of us are doing the right thing here. You have brought to our attention an issue involving our sales team and I am working with my team to address that.

I want to caution you to use good judgment in how you work toward resolving this. If the goal is to help small businesses, then that is what our focus should be. But if your goal is simply to slander us, that is not acceptable. I suspect that is not your aim but through impetuous action and rash judgment, you have repeatedly submitted inaccurate information to the public. Each time you have taken corrective action but the issues continue to mount. This is, ironically, precisely what concerned you about us.

You informed us that a letter was sent out from you to thousands of businesses first calling our business a fraud. This is consistent with the heading on the email you sent which was “Re: Scam Dunn& Bradstreet.” It is also obvious from some of the responses to your email that you projected our company as fraudulent. As you now are aware, this is not accurate. We advised you of the truth - that we acquired D&B’s Credit-on-Self business with a perpetual right to use the D&B brand and to sell certain D&B products exclusively. You let us know that a follow up email with corrections was sent, hopefully before any damage was done. However, at least 5 of yourcontacts specifically state or infer that they thought we were legitimate (some of these businesses are or were customers of ours) until they received youremail. This is not only damaging to Dun & Bradstreet Credibility Corp. but to D&B and other partners of both companies as well.

You also submitted a complaint on a review board despite the fact that you haven’t actually used any of our products or services. In the “review,” you made misleading statements, named and potentially slandered an individual and incorrectly implied that your experience with a sales person was a global problem. That same review, along with a follow up, alluded to us not carrying the D&B name legitimately. Worse yet, it lookslike you modified the quoted chat dialogue on the review to fit your purpose. We pulled the records and the actual chat is different than what you submitted. As an example, you stated that you asked our Credit Advisor “Are you Dunn & Bradstreet, the company that deals with company credit?” when in truth, you had asked “Is this Dunn & Bradstreet where I can get something called a Dunn Number and check the credit of my company?” Our Credit Advisor correctly informed you that “Absolutely” (as you know, we are indeed the Dun & Bradstreet representative for establishing your business credit with a D&B D-U-N-S Number and selling any productsrelated to your business credit). We had this review removed for privacy, inaccuracy and relevance violations. It appears that you have resubmitted your review, merely modifying the chat yet again to your needs. If you have a complaint, I think it is clear we are a willing and ready to help address it without resorting to these tactics.

Finally, we received a copy of an article from the San Francisco Chronicle that you asked to have written. In that article, you made at best misleading statements that we haveconfirmed with you are not accurate. You stated that you shared your story with small business America and then received “53 responses from around the state with similar complaints.” This is clearly not true as you have sent those to us and after a brief review, many of those complaints had nothing whatsoever to do with us, others were focused on the fact that you told people the company was a fake and not offering D&B products, and still others were unrelated responses or simply thanking you for the email. While we did find a few situations that we are not happy with, we are addressing those and any broader issues we find, and will reach out directly to each and every individual you identified. But to say what you were quoted as having said in the article is blatantly wrong.

I believe you are a man of character and suspect that you jumped into something aggressively because you thought an injustice was being done to small businesses. However, the best way to help resolve that is to work with us, as we have been trying to do and continue to be willing to do. We do not want to see your integrity damaged by stretching the truth, lying or exaggerating, nor will we allow any wrongful acts on anyone’s part (ourselves included) to go unresolved.


Moujan Kazerani


Moujan Kazerani

General Counsel

Dun & Bradstreet Credibility Corp.

22761 Pacific Coast Highway

Malibu, California 90265

Phone: 310-919-2244

Fax: 310-919-3693


Labor Enforcement Task Force Announces Public Hotline for Complaints and Tips

See below Small Business California has long promoted this and talked many times to Christine. This I think is very positive and thank you Christine for following through with this. Many small businesses have been hurt by the underground economy.

I think it should be noted that if you are going to file a complaint make sure you have your documentation together. There are limited resources that the state has so this must be used wisely.

If you do file a complaint let me know how it works for you

Scott Hauge
Small Business California
2311 Taraval Street
San Francisco, CA 94116


From: DIR News
Date: May 23, 2012 3:26:53 PM PDT
Subject: Labor Enforcement Task Force Announces Public Hotline for Complaints and Tips
Reply-To: DIR News

Wednesday, May 23, 2012 Dean Fryer
IR# 12-22 Erika Monterroza (510) 286-1161
Twitter: @CA_DIR

Labor Enforcement Task Force Announces Public Hotline for Complaints and Tips

Oakland — California’s Labor Enforcement Task Force (LETF), a multiple agency collaborative effort to combat the underground economy and improve the state’s business environment, has announced a public hotline, 855-297-5322, for California workers and employers to call in documented complaints or provide enforcement tips.

“This LETF Hotline is another step towards ensuring that workers and employers have somewhere to report unlawful work activities, or if they suspect that a business is skirting the law in an effort to get a leg up on competition,” said DIR Director Christine Baker. “The hotline will be a valuable tool to gather information to bring into compliance those employers who treat workplace safety and wage and hour laws as a nuisance.”

The LETF was formed to:

• Ensure California workers receive proper payment of wages and are provided a safe work environment;

• Ensure California receives all employment taxes, fees, and penalties due from employers;

• Eliminate unfair business competition by leveling the playing field;

• Make efficient use of state and federal resources in carrying out the mission of the Labor Enforcement Task Force

LETF members include: DIR’s Division of Labor Standards Enforcement (Labor Commissioner) and Cal/OSHA, as well as the Employment Development Department, Board of Equalization, Alcohol and Beverage Control and the Bureau of Automotive Repair.

Businesses operating underground generally violate those laws that are designed to protect workers and California’s economy. Skirting income taxes, not carrying workers’ compensation insurance, and paying employees less than what they are owed are common practices of underground businesses. These underground operations subsequently require lower overhead, giving an unfair advantage to the illegal businesses over legitimate, law-abiding employers.

California workers and employers can contact the LETF hotline at 855-297-5322. Complaints will be screened and prioritized in order to catch the most egregious offenders.

For more information on employer and employee rights and responsibilities, please visit



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Terry Bibbens/ Dun& Bradstreet

It is very important that small business gets the right person appointed as Go Bus Deputy Director, Small Business. This is our advocate in Sacramento. Small Business California will be supporting Terry Bibbens. Terry has been a CEO of a small business worked in the SBA under the Clinton administration and has been a consultant for small businesses. He understand small business and he understands government. See below letter for additional background.

I am asking all of you to sign onto a letter of support similar to the one below or write your own letter.

If you would agree to signing onto letter please let me know and give me your company name. If you are an organization please let me know if your organization would support Terry. If you send your own letter please copy to me.

You all have seen my emails on Dun& Bradstreet Credibility Corp. Many of you wrote to me saying you had experienced the same strong arm tactics that I experienced and some of you got taken by them. I am in contact with their General Council and expect a letter from her regarding this situation. For those of you with access to the SF Chronicle there should be an article on this tomorrow.

Scott Hauge
Small Business California
2311 Taraval Street
San Francisco, CA 94116

Monday, May 21, 2012

Hospital Cost/ ExIm Loan Program

I found this report interesting and disturbing. If we are going to lower the cost of health insurance we must lower the cost of health spending.

Scott Hauge
Small Business California
2311 Taraval Street
San Francisco, CA 94116

Hospitals and other medical providers rapidly raising prices drove up overall health spending during the economic downturn, despite lower utilization. A report out today looking at a huge mound of insurance claims comes to that conclusion. The study also raises some interesting questions, such as why is spending on kids under 18 going up so fast?

Julie Appleby 202 654-1343

Senior Correspondent, Kaiser Health News

In a prior email I mentioned that the Export Import loan program needed to be reauthorized. I am pleased to let you know it has now cleared the House and Senate and it is expected to be signed by the President. Small Business California is a strong supporter of the Ex IM loan program as this is critical to small businesses that are exporting.

Small Business California will be holding its annual retreat next month. As you know we are committed to California small businesses and I would like to know what more we can do to help your business. If you are representing an Association how can we better work with you.

Monday, May 14, 2012

Scam Dunn& Bradstreet

Recently my company Clayscott Insurance was contacted by someone saying that they represent Dunn and Bradstreet. We believe it was Dunn Bradstreet. They indicated that there had been a number of credit request on our account and therefore on a scale of 1 to 5 with 5 being the worst our credit was poor as we had a 5.

For a fee we were told this could be corrected.

We have done some research and found out that only one credit report had been ordered. Beware of these kinds of calls. The Dunn Bradstreet representative was extremely obnoxious and when we said we were not interested said I guess you are not interested in your credit.

Beware of this. Have any of you been contacted with the same story.

Scott Hauge
Small Business California
2311 Taraval Street
San Francisco, CA 94116

update! SF Business Tax

You all know the City is looking at putting on the ballot a gross receipts tax in lieu of the payroll tax. Right know there are between 8000 to 9000 businesses paying the payroll tax and it generates about $400 hundred million dollars. The new tax would be revenue neutral.

It is the desire of the City to increase revenues in part by bringing in more taxes from some of those with payrolls under $250000 who are not paying the payroll tax.

Currently on the table is a proposal to levy a tax on businesses with $100000 or more in gross receipts. In the past I have sent those rates.

The problem with this is that some businesses could see their taxes go up $2000 to $3000. Keep in mind this is not most businesses but some, for example in the construction business, financial services and service stations could see these kind of increases. The key factor here is that some of these businesses have a low percentage of payroll as a percentage of cost to their business . Example a service station doing $1 million dollars of sales is paying the oil companies 85% to 90% of this

What would you think of increasing the registration fee and exempt all businesses under $1 million in gross receipts.

Here is one example

Businesses with under $100000 gross receipts would pay a $150 fee. Same as now if you have payroll and $125 more if you have no payroll

Businesses between $100000 and $250000 would pay a $250 fee. If you currently have employees the actual cost increase is $150 because you are already paying $150

Businesses between $250000 and $500000 would pay a $500 fee. Again if you have employees the actual increase is $350

Businesses between $500000 and $1 million would pay $1000. Net increase $850

Do you have other suggestions.

Would you attend a meeting with Ben Rosenfeld and Ted Egan on this.


Thursday, May 10, 2012

GO-Biz Press Release: Governor Brown Declares May as "California Small Business Month"

FOR IMMEDIATE RELEASE: May 10, 2012 CONTACT: Brook Taylor / (916) 712-9397

Governor Brown Declares May ‘California Small Business Month’

SACRAMENTO – Governor Edmund G. Brown, Jr. today issued an official proclamation declaring the month of May as ‘California Small Business Month.’

“This month, we reaffirm our commitment to helping California’s small businesses thrive and prosper. The Governor’s Office of Business and Economic Development, along with key agencies of state government, works to facilitate economic growth through collaboration with small businesses,” said Governor Brown in his proclamation. “Supporting small-scale private-sector job creators is among our most promising strategies to enhance California’s human capital, expand job opportunities and increase our competitive advantage in the global marketplace.”

The proclamation recognizes the significant economic impact of California’s 3.4 million small businesses which account for 99 percent of all California firms and employ more than 52 percent of the state’s workforce.

As part of Small Business Month, the Governor’s Office of Business and Economic Development (GO-Biz) will participate in a number of small business events around the state. These events are designed to connect small business owners with the resources and tools they need to succeed as well as to recognize their role in California’s recovery. GO-Biz’s regional partners at the Small Business Development Centers (SBDC) will also host a series of free small business events and seminars in every region of the state.

For information on upcoming events, visit the GO-Biz: Calendar of Events

For small business seminars and resources in your area, visit: California SBDC Network

For the complete text of the proclamation, visit the Governor’s website:

The Governor’s Office of Business and Economic Development (GO-Biz) serves as California’s single point of contact for economic development and job creation efforts. GO-Biz offers a range of services to business owners including: attraction, retention and expansion services, site selection, permit streamlining, clearing of regulatory hurdles, small business assistance, international trade development, assistance with state government, and much more. For more information visit,


Brook J. Taylor
Deputy Director for Communications and Policy
California Governor's Office of
Business and Economic Development (GO-Biz)
1400 10th St.
Sacramento, California 95814
Office: 916-322-0667

Wednesday, May 09, 2012

Experimental Plan Chooser Invitations/ Early Collection of Sales tax

Please see email from Pacific Group on Health. I am a board member of this organization and they are extremely influential in the health discussions. This is your chance to have a say in the medical plan the state will develop for 2014 per the Affordable healthcare Act. Note please circulate to your employees.

Scott Hauge
President, Small Business California

Dear XX,

I am writing to ask you and your employees to participate in a study on consumer choice of health insurance being conducted by the non-profit organization Pacific Business Group on Health. The study, which takes less than 15 minutes to complete, will be available for one week, until Tuesday, May 15. Please circulate this invitation to your employees as well as completing the survey yourself. The study is targeted to consumers purchasing insurance on the individual market so please answer as an individual seeking coverage even if you provide insurance for your employees.

To begin, navigate your browser to:

You will use a decision aid to pick your preferred hypothetical medical plan. Once you pick a medical plan a short survey will open. Your answers are anonymous -- none of the information is connected to an individual person; the information is confidential and used only for the research.

Your answers will help make it easier to choose a medical plan for the many millions of Americans who will use health insurance exchanges, a new way to shop for medical plans. The research will be shared with California and other states who are setting up exchanges. These insurance exchanges will be offering medical plans to small business and individuals. The California health benefit exchange is scheduled to begin offering medical plans in late 2013 for January 2014 effective dates. If you have any questions, please contact Alana Ketchel at

Thank you for your participation.

Monday, May 07, 2012

National Small Business Week/ California Small Business Day/ SF Small Business Week

Please see below information on 2012 National Small Business Week. There will be celebrations around the country in the month of May. Small Business Day in California is June 11. An event is planned at the Convention Center June 11 which will be highlighted by a luncheon with legislators recognizing small businesses in their district. If you are interested in attending please let me know. Small Business California will be one of the sponsors of the event. If you are interested in attending please let me know.

San Francisco has I believe the largest local celebration in the country the week of May 14-20. Please visit

Is anything taking place in your area?

Scott Hauge
CAL Insurance and Associates, Inc.
2311 Taraval Street
San Francisco, CA 94116
Phone: (415) 680-2109
Fax: (415) 680-2137
License #0A32315
"Always looking out for you"

2012 National Small Business Week Sunday, May 20th – Saturday, May 26th
For more information or to watch events live go to

What is National Small Business Week?

National Small Business Week is SBA’s signature event honoring small businesses and the valuable role they play in their communities, their country and the American economy.

Every year since 1963, the President has proclaimed National Small Business Week to recognize the contributions that small businesses play in creating an economy built to last. As part of NSBW, the U.S. Small Business Administration recognizes over 100 leading small business owners from across the country for their achievements; joining an illustrious group of entrepreneurs whose ranks include owners of many of today’s most successful companies. It is an opportunity to showcase the accomplishments of a distinguished group of entrepreneurs and demonstrate the SBA’s continued commitment to small business owners.

Why is National Small Business Week important?

Small businesses create two out of every three jobs and half the people who work in America own or work for a small business. NSBW is designed to honor and celebrate small businesses around the country and their contribution to the economy. The event allows small business owners and entrepreneurs to meet and connect with national leaders in the small business community in both the public and private sector. It is also an opportunity for SBA to amplify the importance of small businesses across the country through press and outreach efforts.

Who will be there?

The event, which takes place in Washington, D.C., will have over 200 awardees and guests from all 50 states as well as prominent participants from the White House, Congress, other federal agencies and the private sector. The week serves as both an interactive session - where small business owners can learn about new business techniques and opportunities - as well as a way to inform those attending in person, and watching virtually through live streaming, about what the Administration is doing to continue its support of small business growth and innovation and job creation.

What can you do?

Come be a part of the festivities and add your voice and experience to the already exciting list of events:

A Town Hall event hosted by SBA Administrator Karen Mills with online Q&A

The National Awards Luncheon honoring small business winners from each state

A forum to highlight the importance of using social media tools to grow and create jobs

A matchmaking event introducing small businesses to the federal procurement process

An exporting forum to help CEOs compete in the global marketplace

Award ceremonies for entrepreneurial development, lenders and business owners who have overcome a natural disaster

Friday, May 04, 2012

BOE Visiting Businesses/ Bay Area Council Outlook

Please see below information about Board of Equalization check of business licenses. Are you compliant? Even if you have not received a letter they are going to continue to send letters and visit businesses so you might want to make sure you have everything in place.

Yesterday I attended the Bay Area Business Councils Outlook program. Some great speakers at the event including Condy Rice, Governor Jerry Brown and President Bill Clinton. The most interesting speaker to me was George Halverson CEO of Kaiser. He talked about the cost of Health Care and said the US was now spending $2.8 trillion dollars a year which if it were a country would be the fifth largest GDP in the world. One statistic I found very interesting was that last year there were 1.7 million cases of staff infections in the US. These are almost totally preventable and increase the cost of the procedures 200%.

The other interesting thing that was mentioned by President Clinton is that the US is obviously concerned about the number of baby boomers coming into the system but once we get past this blip it is projected that the US population will be younger than China. Somewhat sobering however to someone that is a baby boomer.

Scott Hauge
Small Business California
2311 Taraval Street
San Francisco, CA 94116


BOE Visits Retailers Statewide to Check Business Permits
Retailers and Businesses Notified of SCOP Team Visits
Sacramento – Retailers and businesses in eleven California zip code areas can expect to receive letters from the Board of Equalization (BOE) notifying them about visits from the Statewide Compliance and Outreach Program (SCOP) Team. The purpose of the visits are to educate retailers and business owners on sales and use tax reporting responsibilities, increase tax compliance, and to help make our tax system fair and equal for all Californians.

This month, 9,255 letters were sent to retailers and businesses in the following zip codes: La Habra (90631); Sherman Oaks (91423); Encinitas (92024); Tracy (95304, 95376, 95377 and 95391); Vernalis (95385); Santa Rosa (95407); Huntington Beach (92646); and Riverside (92508).

Since 2008, the BOE SCOP Teams have visited more than 343,600 businesses in 427 zip codes statewide to verify that retailers and businesses are registered and to make sure that noncompliant businesses do not have an unfair advantage over registered businesses that are reporting their sales and use taxes and/or fees to BOE.

Seven SCOP Teams located statewide (Oakland, Sacramento, San Jose, Van Nuys, Norwalk, Irvine and Riverside) conduct door-to-door in person visits based on zip code and check seller’s permits at stores and other known retail and business locations. Business owners are asked only business-related questions. The SCOP Team does not inquire about personal financial information. SCOP teams check that registered retailers, as well as service industry businesses, have appropriate permits and licenses. Businesses found to be out of compliance are given instructions on how to register with the BOE and given information about other necessary licenses.

BOE has found that about 2 percent of businesses operating in California do so without permits or licenses that allow for collection of sales and use taxes and other taxes and fees. Noncompliance is a contributor to the more than $2 billion sales and use “tax gap” which is the difference between the amount of taxes owed and the amount of taxes paid.

If business owners have questions, they may contact their local SCOP Team in Oakland, Sacramento, San Jose, Van Nuys, Norwalk, Irvine or Riverside, visit the SCOP website, or call our Taxpayer Information Call Center at 800-400-7115.
* * * * *

The five-member California State Board of Equalization is a publicly elected tax board. The BOE collects more than $50 billion annually in taxes and fees supporting state and local government services. It hears business tax appeals, acts as the appellate body for franchise and personal income tax appeals, and serves a significant role in the assessment and administration of property taxes. For more information on other taxes and fees in California, visit

Tuesday, May 01, 2012

"Aye" for the confirmation of Christine Baker

Tomorrow Lori and I will be in Sacramento supporting confirmation of Christine Baker. She has been a great friend of Small Business California and California small businesses at the Department of Industrial Relations and the Commission on Health Safety and Workers Compensation. Small See below for background information.

I read an interesting story about workplace violence which is on the increase. The article said 52% of the workforce had either experienced this or knew someone who was involved in this. The most interesting part of the story was 13 states have passed laws prohibiting employers from having a policy in place which would disallow employees from having guns in their vehicles in their parking lot. Don’t think California has this law.

Thank you NRA.

Scott Hauge
Small Business California
2311 Taraval Street
San Francisco, CA 94116



Confirm Christine Baker as Head of DIR

Workers' Comp Executive endorses and encourages the Senate to confirm the appointment of Christine Baker as director of the Department of Industrial Relations. Rarely have we seen as effective a leader who can both get things done and work proactively and collaboratively with labor, worker organizations, employers and employer organizations and other government agencies. Ms. Baker has served in the Department for many years, and has been Acting Director long enough for all to see her effectiveness, and for those involved to experience her depth in the issues the Division manages. Especially visible is her ability to actually make things happen.

Christine Baker is a breath of fresh air in government service.

Baker is qualified: Much of her expertise and experience comes from working with labor and management as the Executive Officer for the Commission on Health and Safety and Workers' Compensation. Baker was the acting deputy director at the Division of Workers' Compensation, the chief of the Division of Labor Statistics and Research and instrumental in workers' comp reforms.

Baker has been active: In helping to stamp out the underground economy with particular emphasis on enforcing the law against workers' comp premium fraud, she is protecting both workers and employers. She has been instrumental in recommending and recruiting qualified Department heads such as Rosa Moran, currently up for confirmation as Administrative Director of Workers' Comp.

Baker also serves widely and well on other boards and commissions: In so doing she brings honor to the State, the government and the industries she regulates: she has or does serve on the Executive Committee of the International Association of Accident Boards and Commissions (IAIABC); the Board of Directors of the National Academy of Social Insurance; the Insurance Commissioner's Fraud Task Force; ex officio on the Board of State Fund; she has chaired the Commissioner's Workers' Compensation Fraud Focus Group; and the Advisory Committee of the International Forum on Disability Management.

Her focus has been to improve the effectiveness and efficiency of the DIR programs to improve the working conditions of all California workers. Baker has made more things happen in one year of tenure than the previous administration allowed its Director to do in many.

Our vote is "Aye" on the confirmation of Christine Baker.