If you own or operate a business in Southwest Riverside County, you may not have time to follow everything happening in Sacramento. That is understandable. Between employees, customers, regulations, rising costs, and the day-to-day demands of running a business, keeping up with hundreds of proposed laws is a job in itself.

That is one reason the Temecula Valley Chamber of Commerce participates in the Southwest California Legislative Council (SWCLC). The Council gives local business leaders an opportunity to hear directly from state policymakers and stay informed on legislation and issues that could affect our businesses and communities.

At the September meeting, we heard from California State Senator Kelly Seyarto, who represents California’s 32nd Senate District, including Temecula, Murrieta, Menifee, Lake Elsinore, Wildomar, and many other communities throughout Southwest Riverside County.

Here are a few of the biggest takeaways.

Affordability Is Still a Major Concern

The cost of doing business in California continues to be one of the biggest concerns for employers.

Senator Seyarto said that, despite affordability being a major focus this year, California has not made the progress many had hoped to see. He pointed to the size of the state budget, unemployment insurance debt, taxes, regulations, and other costs that continue to put pressure on businesses, property owners, and consumers. One issue he highlighted was California’s approximately $19 billion unemployment insurance debt, which he said carries more than $650 million in annual interest costs. For a local business, these issues can translate into higher operating costs and make it more difficult to hire, expand, or remain competitive.

Wildfire and Insurance Affect Every Business

Wildfire preparedness is particularly important in our region, but the issue extends well beyond fire season.

Senator Seyarto discussed the growing cost of insurance and its impact on both businesses and property owners. He also talked about the need for California to improve wildfire prevention, response, and recovery. One strategy he highlighted is aggressive aerial firefighting during the early stages of a fire, followed by ground resources. He also emphasized the need for better vegetation management. Another important piece is what happens after a disaster. Senator Seyarto discussed legislation intended to help identify opportunities to streamline regulations following a major fire so communities can begin rebuilding more quickly. For businesses, faster recovery matters. When a community is impacted by a disaster, businesses need to reopen, employees need to return to work, and customers need access to essential goods and services.

Regulations Have a Real Cost

Another topic that generated significant discussion was the growing role of state agencies and commissions in creating regulations.

Senator Seyarto expressed concern that costly regulations can move forward through agencies without receiving the same level of scrutiny as legislation passed by elected lawmakers. He referenced a bill he supported that would have required regulations costing more than $50 million to return to the Legislature for approval. The bill ultimately did not advance. This is an important issue for business owners because regulations do not always arrive with a large price tag attached to them. A new requirement can mean additional equipment, employee training, paperwork, technology, professional services, or other expenses. Understanding the potential impact before regulations take effect is an important part of effective business advocacy.

Roads, Energy and Infrastructure Matter to Business

Infrastructure was another major theme of the discussion.

Senator Seyarto raised concerns about California reducing certain energy infrastructure faster than replacement capacity is being developed. He also discussed refinery closures and the potential impact on fuel supplies and transportation costs. He also expressed concern about transportation funding priorities, citing money redirected toward clean-fleet goals while California continues to face significant road maintenance needs.For a business, infrastructure is not an abstract policy issue.

Employees need reliable roads. Customers need access to businesses. Products need to move. Services need to be delivered.

When infrastructure does not keep pace with growth, businesses feel the consequences.

Water and Flood Control Are Economic Issues

Water is another issue that deserves attention from the business community.

Senator Seyarto emphasized the need for additional water storage, flood control, and long-term infrastructure investment. He questioned whether California can meet its future water needs without building additional storage capacity. Riverside County is also advocating for additional tools to move flood-control projects forward, particularly as the region prepares for the possibility of another El Niño season. Reliable water and resilient infrastructure are essential to continued economic growth. Businesses considering where to locate, expand, or invest need confidence that the community will have the infrastructure necessary to support that growth.

What Could Be Coming Next?

Looking toward the next legislative session, Senator Seyarto expects artificial intelligence to be one of the major issues debated in Sacramento. He expressed concern that policymakers are moving quickly to regulate AI while the technology is evolving rapidly. He believes the federal government should play the primary role, with the state establishing limited guardrails.

Housing is also expected to remain a major issue. California continues to struggle with providing housing that middle-income workers can afford. That is also a workforce issue for businesses. When employees cannot afford to live near their jobs, employers can face greater challenges recruiting and retaining talent. Senator Seyarto identified infrastructure, housing, water, and wildfire resilience as some of the most important practical issues for the year ahead.

The Business Community Is Having an Impact

Adam Ruiz of Rincon Strategies also provided an update on the business community’s legislative advocacy efforts.

According to Ruiz, many bills opposed by the business community were either defeated or significantly amended this year. The Southwest California Legislative Council and its advocacy partners have taken positions on approximately 70 bills, with several still moving through the legislative process. The Governor continues to review legislation that has reached his desk, and a final legislative report card is expected next month.

That work matters.

When chambers and business organizations speak collectively, we can help make sure lawmakers understand how proposed legislation will affect the employers who create jobs, invest in our communities, and keep our local economy moving.

Why This Matters to You

You do not have to follow Sacramento every day. That is part of our job at the Chamber. We will continue monitoring legislation, participating in regional conversations, and sharing information that can help our members understand what is happening in Sacramento and, more importantly, what it could mean for your business here at home.

The decisions made in Sacramento may seem far away, but they can show up in your payroll, insurance bill, utility costs, regulations, transportation expenses, and ability to grow. That is why staying informed matters. And that is why business advocacy remains an important part of the Temecula Valley Chamber of Commerce.

The Temecula Chamber will continue to provide legislative updates throughout the year and create opportunities for our members to hear directly from policymakers and experts. Our goal is simple: to help you understand the issues, make informed decisions, and ensure the voice of the Southwest Riverside County business community is heard.