Industry groups urge caution, say AB 817 could raise cold-storage costs

Industry witnesses voiced concern that AB 817, as drafted, could raise the price of building and improving cold-storage facilities, potentially increasing food prices and disadvantaging smaller operators. Scott Monocloni of the California Business Properties Association said his group moved from 'opposed unless amended' to neutral after targeted amendments narrowed the bill and delayed statewide implementation.

Nicole Quinones of the Global Cold Chain Alliance said her members empathize with Boyle Heights residents but warned that requiring contingency funds could make facility improvements more expensive and "may disadvantage small and medium sized businesses that may not have the capital, to, secure that type of contingency fund to do those improvements." Randy Palk of the American Chemistry Council and Rachel O'Brien of the California Grocers Association echoed the need for further compromise and offered to work with the author next year.