A list of CAMEO’s legislative actions and successes throughout the years.
Historic Truth-In-Lending law for small businesses passed
SB-1235, became law in California when Governor Brown signed the bill in October 2018. Because of you — and the hard work of a broad coalition of industry and nonprofit organizations — we’ve set the national standard for transparency in small business financing.
California’s “truth in lending” law is the first in the country, and our state is leading the way to ensure that small business borrowers have more transparency and clearer information when considering online and alternative financing options.
Under the new law, Department of Business Oversight (DBO) will set clear and consistent disclosure standards that provide small business owners with better transparency during the loan process. CAMEO, along with our partners, led a coalition of more than 60 private sector and nonprofit organizations to support this legislation and ensure its integrity. We will be working with DBO during the regulatory process to represent the interests of our small business borrowers.
A big thanks to those we worked with: Louis Caditz-Peck of LendingClub, Kurt Chilcott of CDC Small Business Finance, Mark Herbert of Small Business Majority, Connor French and Laura Bond of Funding Circle, Gabriel Villarreal and Gwendy Brown of Opportunity Fund, Sharon Velazquez of Greenlining, and Kevin Stein of CRC. The effort came together because we worked together to build a coalition and bounce strategy off each other. It was a huge team effort and CAMEO played a large role in that.
Our work isn’t done. One down, 49 states to go. If you’re not an endorser or signatory. We’d like to invite you to continue your support of small business by becoming an official endorser of the Small Businesses Borrowers’ Bill of Rights.
California budget – $23 million for small business development
We did it! After years of knocking on the doors of California legislators, California is invested $23 million in small business development for FY2019.
Legislative Win for Micro-business Development
In October 2015 California Governor Brown signed into law SB 197 (Block) – Referral Fees Bill, which increases access to affordable capital for California’s 3.6 million small and microbusiness owners. The law helps small business owners learn about responsible financing options at reasonable rates that help build their credit. This is especially important for women-owned and minority-owned firms, which have the greatest difficulty obtaining financing. CAMEO was proud and excited to co-sponsor (with Opportunity Fund).
FY2014, FY2015, 2016 Budget Negotiations for micro-business help
CAMEO’s hard work in Washington, advocating for increases in the programs that we care about, paid off. We are pleased to report that funding levels that we advocated for were either exceeded (Women’s Business Centers!) or met in full. Please see the Federal Issues page for the latest budget for the micro sector.
Self-Employment Assistance (SEA) Program
In February 2012 President Obama signed the Middle Class Tax Relief and Job Creation Act of 2012, aka the payroll tax – unemployment extension bill. The bill also contains the Wyden Start-Up bill, a $35 million self-employment assistance program. Under the program, unemployed workers will be able to maintain their unemployment insurance benefits while they start their own small businesses – a full-time job in its own right – without having to look for other full-time work. This was not the case before this bill was signed. The money can be used by states to offer a Self-Employment Assistance (SEA) Program. One of CAMEO’s 2012 policy activities was to develop a bill to be introduced in the California legislature in 2013.
We introduced AB 152 Self-Employment Assistance Program (Yamada) in January of 2013, but it languished in the Assembly Appropriations Committee. The bill would have allowed the unemployed to keep their benefits while starting their own businesses. We want to thank Asm. Yamada for her leadership and for being ahead of the curve on this issue. The proposed SEA program would have created 5,200 new businesses and 15,000 new jobs.
We regret that the State has missed the opportunity to receive $5.3 million from the federal government to help unemployed people create their own jobs. However, moving mountains takes a while. We made many friends in the last year and raised the stature of self-employment so that it is now in the state plan for the California Workforce Investment Board. We will continue to make sure that the self-employment trend is recognized by the Workforce System and work with EDD to find solutions.
FY2012 Budget Negotiations for micro-business help
At the beginning of the budget debate we were looking at $15 million for PRIME and Microloan TA. We ended up with $23.5 million. We consider that a hug win for micro-business development in a tough political climate.
California Legislation for micro-business
Governor Jerry Brown signed four bills that CAMEO supported on behalf of our members and the micro-business development field
- AB 29 will create the Governor’s Office of Business and Economic Development.
- AB 624 will extend the California Organized Investment Network’s (COIN) Tax Credit Program until January 1, 2015.
- AB 901 will expand the definition of financial institutions eligible to participate in the California Capital Access Program (CalCAP) to include small business financial development corporations and micro-business lenders and increases CalCAP reporting requirements. CAMEO provided the language to expand the definition of eligible entities.
- AB 981 which would provide extra incentives within the California Capital Access Program (CalCAP) to encourage lenders to lend to small businesses. This bill would also expand the financial institution definition to include insured depository institutions, insured credit unions, and Community Development Financial Institutions (CDFIs).
Legislative Wins for Micro-business Development Pre-2010
USDA Rural Microentrepreneur Assistance Program
CAMEO lobbied for the successful implementation of the Rural Microentrepreneur Assistance Program, created by Congress’ 2008 Farm Bill. The USDA will increase grants for rural microlending and technical assistance. The Rural Microentrepreneur Assistance Program was allocated $14 million for fiscal years 2009-2011.
Legislative Wins in 2008-2009
New Jobs Tax Credit
SB 15 of the Third Extraordinary Session; Stats. 2009, Ch. 17 added R&TC Sections 17053.80 and 23623 operative for taxable years beginning on or after January 1, 2009.
This statute created a new tax credit of $3,000 for each additional full-time employee hired by a micro-business with 20 or less employees beginning January 1, 2009.
Restoration of the Small Business Loan Guarantee Program
When Governor Schwarzenegger gutted funding for this program in the state budget, CAMEO worked with local Community Development Financial Institutions and Assemblyman Manny Perez to restore funding to one of the most successful small business financing programs in the state.
CAMEO also worked with Assemblyman Manny Perez to expand the Small Business Loan Guarantee Program to include more types of qualified small businesses that should include micro-business.
Micro-business Development Month Designation
CAMEO worked with Senator Leland Yee to pass SCR 41, which designates July 2009 and July of every year thereafter as Micro-Business Development Month.
Rural Microentrepreneur Assistance Program
CAMEO lobbied for and won implementation of the Rural Microentrepreneur Assistance Program, created by Congress’ 2008 Farm Bill. The USDA now administers grants to organizations that provide training, technical assistance or make small loans to new and existing rural micro-businesses. The Rural Microentrepreneur Assistance Program was allocated $4 million for fiscal years 2009-2011, and $3 million for 2012.