While California is well down the road to economic recovery, Gov. Jerry Brown told a group of retail grocers, it may be another four to five years before it fully recovers.

“Economists are saying some parts of California are doing better,” the Governor told the CGA Board of Directors on Thursday. “California’s economy is growing faster than the nation’s economy.”

Brown, who supports increasing the minimum wage said its essential if California is going to compete in a global economy.

When asked what his priorities will be if elected to a fourth term, the governor said maintaining a balanced budget, decentralizing education from the state level to local school districts, realigning the state’s prison system and addressing climate change will be his top priorities. He added that the state’s water situation must be addressed and he strongly supports a high-speed rail system.

Speaking on a broad range of topics, Brown addressed, among other topics, the unfavorable view most Americans have of Congress.

“Congress is not viewed with any great confidence,” Brown said. “Neither do they of the California Senate,” referring to several recent arrests of state legislators in Sacramento.

“Only 15-18 percent of Americans have a favorable view of Congress,” Brown said. “That should be disquieting because Congress is the mechanism of a representative form of government. If we feel the representatives are so bad, what does that say about representative government.”

He blames government’s dysfunction on the fragmentation and polarization of both political parties, although in California it’s less because one party controls both houses and “you have me as governor,” he added.

“It’s about balancing interests,” Brown said. “I think the big principles are clear. You want everyone to have a decent chance. You want to make sure your schools are funded. You want to make sure your college costs don’t grow too excessive, and you want to make sure you have an environment. Concerns should be put in their proper context.”

Asked if he believes the State Legislature shares his views regarding focusing on major issues and diverting from the smaller ones, the governor said “no.”

Brown said hundreds of special interest groups lobby legislators on a regular basis.

“That’s why we get 1,200 bills a year,” he said. “Outside of a crisis, it’s hard to get real focus.”

In business, the Governor said, you have competition to keep you focused. Government doesn’t have that same pressure.

Brown briefly discussed SB 270, which would ban single-use plastic carryout bags statewide, saying the 10-cent charge on paper bags does work.

More than 70 grocery retailers and suppliers from throughout California descended on the state Capitol to lobby key industry bills during the 2014 CGA Grocers Day at the Capitol on Wednesday, March 26.

The annual one-day event featured more than 60 prescheduled meetings in the State Capitol between grocery representatives and legislators and staff.

“This was one of our most successful Grocers Day events,” said CGA President Ronald Fong. Rain and wind couldn’t keep attendees from visiting with their elected officials in what has become CGA’s marquee advocacy events.

Prior to their Capitol visits, attendees heard from State Sen. Alex Padilla, author of SB 270, the statewide single-use carryout bag ban legislation. Padilla commended those in attendance for engaging in advocating for the grocery industry.

Attendees also heard from political analyst Scott Lay, founder of AroundtheCapitol.com.

Attendees broke up into teams and given specific issues, along with support material, to share during their Capitol visits. Discussion topics included single-use plastic bags, nutritional labeling and WIC.

Following their afternoon visits, Grocer Day attendees returned to CGA headquarters for the Association’s annual President’s Reception, which allowed an additional opportunity to visit with elected officials.

The Amen Family (Jim, Jeanne, Joanne, and Renee), Super A Foods; and Kevin Arceneaux, Region Vice President, Mondelez International, were inducted into the California Grocers Association Educational Foundation Hall of Achievement on Thursday, March 13, 2014, at the Hilton Costa Mesa.

The Hall of Achievement was created in 1993 to recognize grocery retailers and suppliers who have contributed substantially to the advancement of California’s grocery industry.

“We are very excited to welcome the Amen Family and Kevin Arceneaux into our prestigious Hall of Achievement,” said CGAEF Executive Director Shiloh London. “All have served the grocery industry their entire professional careers, and like their Hall of Achievement peers have given back generously to the communities and industry they’ve served.”

The Amen Family – Super A Foods

Super A Foods, headquartered in Commerce, Calif., was founded by Lou Amen in 1971. Four of Lou’s seven children and a son-in-law are involved in the business. Lou was inducted into the CGAEF Hall of Achievement in 1999.

Lou’s son, Jim, is the president and three daughters – Jeannie, Renee, and Joanne – work for Super A Foods. Super A Foods, Inc. is a privately-held chain of grocery stores with its fare specially catering to Latino and Asian consumers in the Los Angeles area.

Kevin Arceneaux, Mondelez International

Kevin Arceneaux is the Region Vice President for the newly created California Region for Mondelēz International, the parent Company for Nabisco and Cadbury. He now has responsibility for the entire state of California and Hawaii.

Kevin is a product of South Central Los Angeles and has made it a part of his life to give back to the community. He has served on the Board of Directors of the Challengers Boys & Girls Club in South L.A for 10 years. This club serves over 3500 families in the South L.A. area.

Kevin has been married to his wife Annette for 30 years. They have two children, Erica and Adam and one grandchild Isaiah. He resides in Foothill Ranch in Orange County.

Management and labor groups do not fall on the same side of issues very often. Whether it’s at City Hall or the state Capitol, some of the most contentious debates in California have pitted employers against labor organizations.

So when employee unions and employers can come together on a meaningful and paramount policy issue such as single-use bag regulation, lawmakers and Californians alike should take notice.

Sens. Alex Padilla, Kevin de León and Ricardo Lara have crafted Senate Bill 270, a thoughtful solution that is good for California-based business, workers and the environment.

SB 270 would encourage shoppers across California to use reusable bags by following the lead of Los Angeles and banning single-use, plastic carryout bags at checkout stands and requiring a 10-cent charge for recycled paper bags and compostible bags.

SB 270 addresses concerns raised about earlier proposals by protecting and creating home-grown jobs. The bill identifies $2 million for loans and grants to help California-based companies create jobs and spur economic growth by producing new, innovative products.

This bill is designed to achieve a host of important goals, including leading the nation in a shift to a culture of reusable bags, while fostering innovation, entrepreneurship and quality local jobs. SB 270 also achieves the pivotal goal of helping local jurisdictions and California businesses cut through the confusing patchwork of rules on the books and to put in place a cohesive, statewide system for regulation and compliance.

On Jan. 1, Los Angeles joined more than 100 California cities and counties in phasing out the use of those flimsy, one-time-use bags that clog our sewers and recycling plants, litter our neighborhoods and pollute our prized coastlines.

It’s time to stop rehashing stale and unrealized claims about bag bans and find forward-thinking solutions for our economy and environment. We have the chance right now to improve our quality of life, our environment and our health in California while being progressive in transitioning to a cleaner economy. We can create a market for innovation and adopt consistent rules to protect cities, counties, workers, businesses and, ultimately, consumers.

Decisive, statewide action is far overdue. There is no reason that lawmakers cannot pass a statewide single-use plastic bag ban in California this year.

Each time we have gone through this debate, opponents representing plastic bag manufacturers – many of which operate largely outside our state borders rather than supplying jobs for Californians – complain that jobs will be lost. The facts say otherwise. But rather than challenge those who make plastic bags to come up with more dubious claims of lost jobs, we must challenge them to concentrate their efforts on becoming part of building a new, clean economy that has seen growth even in the recent bleak years of recession. Many California companies already are training employees and building facilities to manufacture reusable grocery bags.

Yet it is out-of-state corporations that don’t have California’s best interests at heart who truly are behind opposing single-use bag bans. They know that the nation goes as California goes, and shudder at the potential impact on their profits as other states follow.

Nearly every municipality in California and nationwide that has adopted plastic bag bans also has enacted a charge on paper bags – encouraging consumers to use reusable bags. Labor, government, environmental and business leaders have carefully crafted this proven formula over the years. We know it works. Grocery retailers that have implemented similar ordinances, such as in San Jose and Los Angeles County, have also shown a dramatic reduction in paper bag consumption – as much as 90 percent.

Each year in California, more than 14 billion single-use plastic bags are handed out by retailers, but only 5 percent of those bags are recycled, according to CalRecycle. Californians pay an estimated $25 million annually to collect and bury plastic bag waste. These bags also cause litter, slow sorting and jam machinery at recycling centers and pose a grave risk to sea animals and other wildlife.

Simply put, single-use plastic bags are the problem. Moving our economy and society toward reusable bags is the solution. During a transition, a charge on paper bags can allow consumers an additional choice for convenience that is better than plastic.

It is time to put California jobs first. We must not let a few stubborn, out-of-state companies stymie California’s role as a pioneer in innovation and new market growth. Sens. Padilla, de León and Lara want to put California’s economy, workers and environment first, and we applaud their efforts to usher in a more sustainable economy for our state. Let’s not squander this opportunity.

---

Ronald K. Fong is president and CEO of the California Grocers Association. Jim Araby is executive director of the United Food and Commercial Workers, Western States Council.

Reprinted from the Sacramento Bee. (3/5/2014)

Las Vegas, NV: The National Grocers Association (NGA), by recommendation of its nominating committee and a subsequent vote by its membership, announced the 2014 Board of Directors and Executive Committee members, as well as the election of 12 new Board members.

Elected to the Board was CGA President & CEO Ron Fong.

“This is a great opportunity for CGA to strengthen its ties with NGA,” said Fong.”I look forward to working with the Board and NGA staff on issues related to the independent sector.”

For a complete list of new NGA Board members, click here.

The California Grocers Association is pleased to announce the promotion of Lesley Hall to Manager of Administration & Executive Assistant to the President/CEO, effective immediately.

In this position, Hall will be responsible for supporting association operations by maintaining office systems and supporting CGA President & CEO Ron Fong. Her duties will include managing human resources for CGA an affiliated companies and foundations, organizing office operations, updating office policies and procedures, managing and maintaining association membership database, and other general office manager responsibilities. In addition, she will serve as confidential assistant to the association President & CEO.

“Lesley is a tremendous asset to the Association,” said Ron Fong, CGA President & CEO. “Lesley has consistently demonstrated a willingness to assume additional responsibilities. Her association knowledge, determination and positive personality make her the perfect person for this important staff position.”

Hall joined CGA fulltime in June of 2010 as receptionist.

California could become the first state in the nation to institute a ban on single-use plastic grocery bags under a compromise with business leaders, a state senator behind the proposal said on Friday

Numerous cities in California and other states, including Maui County and a number of Hawaiian municipalities, have already made it illegal for grocery stores to pack consumer purchases in plastic

But if passed by the legislature and signed by Governor Jerry Brown, the most populous U.S. state would become the first to enact a statewide ban, said state Senator Alex Padilla, a Democrat.

Environmentalists have pushed hard for banning plastic bags, which are cheaper for supermarkets to use than paper bags but create mountains of trash that are difficult to recycle. In California, there is particular concern that the bags, when swept out to sea, could cause injury to ocean life

“We see plastic bags in our parks, plastic bags in our rivers,” Padilla said. “By banning them, it’s good for the environment, it’s good for local government, and I think it’s good for the economy.”

Padilla’s bid for a statewide ban fell only three votes short of passage last year, largely because of opposition by lawmakers with plastic bag manufacturers in their districts. The trade group representing grocers had signed on to the bill, believing that a single statewide standard would be easier to comply with than a patchwork of rules enacted from city to city, the senator said.

Re-tooling factories

In negotiations that continued into the evening on Thursday, Padilla said he and two lawmakers with manufacturers in their districts met with them and other business leaders to craft a deal that would allow the legislation to move forward

Now, instead of simply banning the bags, the state would provide about $2 million in grants to manufacturers who want to re-tool, either to make paper sacks or re-usable plastic ones that customers can buy, Padilla said.

His bill, whose compromise language had not yet been introduced on Friday, would impose a 10-cent-per-bag fee on consumers who wish to buy paper sacks. Re-usable plastic bags — made of thicker often recycled material — are already available for purchase in many stores.

But it would not pre-empt existing bag ordinances in cities such as Los Angeles, West Hollywood and San Francisco, which have already enacted their own rules.

The announcement was set to be held at a plant owned by Command Packaging in the industrial suburb of Vernon, east of downtown Los Angeles. The company recently re-tooled a plant in Salinas to produce plastic bags with handles that can be sold for consumer use, adding 100 jobs.

“California’s grocers stand ready to do our part to make California a global leader in the shift away from single-use plastic grocery bags,” Ronald Fong, President and CEO of California Grocers Association, said in a news release. “There is no reason whatsoever now that California cannot finally make this measure a reality.”

Reprinted from Voice of America (1/24/2014)

CGA President Ron Fong Press Conference Statement:

Good morning. Thank you, senators, for your hard work on this issue.

Today is an extraordinary day for California. These three leaders have come together to sponsor a bill that will foster innovation, protect businesses and preserve our communities and quality of life

More than 90 cities and counties have enacted single-use plastic bag bans with great success. But these local jurisdictions and those businesses within them need, and deserve, clear and consistent statewide direction to navigate these complexities.

Our employees and customers also deserve the consistency a statewide bill would create. SB 270 will provide this.

Moving our economy and society toward reusable bags is the solution. This issue has been analyzed, tested and debated for years. We know what works. We know what does not.

We have listened to the needs of workers, businesses, local governments and the environmental community. This bill is good for all of California.

Grocery stores – who I am here to represent today – are quite literally on the front line of this change. We know that businesses cannot thrive, or even survive, without constantly evaluating, adapting and innovating. That is why we have encouraged reusable bag use throughout California.

We encourage California entrepreneurs to become part of a new, clean economy that creates new jobs. Many companies already are training employees and building facilities to manufacture reusable grocery bags.

Since the Gold Rush, California has been a shining beacon of innovation, entrepreneurship and stewardship. It is time for California to once again do what it does best – act as a global leader.

SB 270 will allow us to do that. For that, we thank these leaders and urge our legislators and the governor to approve this important measure.

SACRAMENTO, CA (January 13, 2014) – The California Grocers Association is pleased to announce the hiring of Laura Peralta as Director, Local Government Relations, Southern California, effective immediately.

In this position, Peralta is responsible for CGA’s local government advocacy and outreach for the Southern California region. In addition, she will analyze ordinances, review regulatory proposals, draft advocacy plans, and communicate with elected officials, regulatory staff and member companies. She will also serve as CGA’s representative in Southern California on Association issues.

Her government relations experience ranges from local to federal. Her professional experience includes the Los Angeles City Council, U.S. Department of Labor, The White House and the U.S. House of Representatives. She has also worked for Legal Aid Society of Orange County, Bank of the West and most recently as a consultant for Dewey Square Group.

“Laura’s government relations experience at both the national and local level will be a real plus for the Association,” said Keri Askew Bailey, Senior Vice President, Government Relations and Public Policy, CGA. “Her experience both in the public and private sectors will be tremendous assets and will greatly assist strengthening our advocacy program in Southern California.”

Peralta replaces Sarah Paulson Sheehy who recently accepted a position with Mattel, Inc.

Contact information:
Laura Peralta
1020 N. Lake Street
Burbank, CA 91502
(818) 841-8640

In the first year of a two-year California legislative session, 2,450 pieces of legislation were considered and while only a fraction became law, there are a handful of bills that will impact the grocery industry in 2014.

CGA hosted a 2014 New Laws webinar reviewing the most impactful pieces of legislation specific to the grocery industry. Below is a brief list of what CGA members-companies need to be aware of this year. You can click here to access the “2014 New Laws Webinar” in its entirety.

Assembly Bill (AB) 10: California’s Minimum Wage

The State’s minimum wage will increase to $9 per hour on July 1, 2014 and again to $10 per hour on Jan. 1, 2016. The bill’s original intent was to tie the minimum wage to an annual cost of living adjustment (COLA), but the employer community was successful in mitigating the damage by negotiating its removal.
Law in effect January 1, 2014

Assembly Bill (AB) 263: Employer Retaliation

This bill adds unfair immigration- related practices to the existing labor law statute, expanding the law to protect undocumented workers from discrimination or retaliation based on their immigration status.

This bill creates a penalty of up to $10,000 per violation. Violations as defined by this new law include: Requesting more or different documents than required by federal law, using E-verify at a time or manner not required by federal law, threatening to file or the filing of a false police report, threatening to contact or contacting immigration authorities.

Moreover, this law prohibits any person acting on behalf of the employer from making, adopting, or enforcing any rule, regulation or policy preventing an employee from disclosing information to a government or law enforcement agency. (Note: More detail on AB 263 can be found in the 2014 New Laws Webinar).
Law in effect January 1, 2014

Senate Bill (SB) 465: Slack Fill

In 1997, the California Legislature identified a variety of reasons manufacturers should be permitted to have extra space in their packaging. Fifteen years after these slack fill exemptions became law, companies have faced enforcement actions in California for their product packaging. This new law expands protections for manufactures for slack fill in their packaging by adding 15 non-functional slack fill exemptions to the current statute.
Law in effect January 1, 2014

Senate Bill (SB) 667: Retail Sale of Shelled Eggs

This CGA-sponsored bill sought to clean up the unintended consequences of legislation enacted in 2010 (AB 1437) in which retailers were subject to heavy fines based on producer non-compliance with standards of California’s Prop 2. Specifically, retailers would have been strictly liable for conditions of egg-laying hens both inside and outside of California. This bill modified liability for retailers to a knowing. It is a nuanced, yet important distinction that CGA member-companies need to be aware of. In short, this bill did not establish compliance penalties, but rather gave member-companies an added layer of protection.
Law in effect January 1, 2014

Senate Bill (SB) 770: Family Leave Expansion:

This law broadens the definition of family within the Paid Family Leave (PFL) program to allow workers to receive the partial wage replacement benefits while taking care of seriously ill siblings, grandparents, grandchildren, and parents-in-law.
Law in effect January 1, 2014

Applications for more than 200 CGA Educational Foundation College Scholarships, totaling $300,000, are now being accepted for the 2014-2015 academic year.

The scholarships are available to CGA member company employees and their college-bound dependents through the Foundation’s College Scholarship Program.

Those eligible to apply include a high school seniors, college freshmen, sophomores, juniors or seniors who are full-time students either employed by, or are the dependent of an employee of, a CGA member company since Jan. 1, 2013. Graduate students who are employed by a CGA member company since January 1, 2013 may also apply.

Selection criteria includes past and current academic performance, evidence of leadership, participation in school and community activities, and for some awards, financial need.

The deadline to submit an application and all required documentation is April 1, 2014. For more information, visit www.cgaef.org, or contact Brianne Page at [email protected], or call (916) 448-3545.