CAL SMACNA’s 2025 Day at the Capitol
February 10-11, 2025
Sacramento, CA

 

On February 10th CAL SMACNA kicked-off its 2025 ‘Day at the Capitol’ (DAC). CAL SMACNA members traveled to Sacramento with their families, to meet with their Legislative Members and discuss issues important to our industry. On Monday evening CAL SMACNA Members attended a Reception with Legislators; and heard from guest speaker Assemblymember Jeff Gonzalez. 

On Tuesday morning attendees gathered to learn about the DAC Issues and hear from Senate Minority Leader Brian Jones. CAL SMACNA members met with the offices representing 50 Senators and Assemblymembers.

Relationships, Relationships, Relationships

This year creating and building relationships with Legislative members was more important than ever. In 2025 almost half of the legislative members are brand new or have less than 2 years of experience in the Capitol. CAL SMACNA members prioritized introducing ‘the industry’ and their companies to their Legislative Representatives.

A summary of the discussed issues:

Prompt Payment Reform – Cap Retention at 5% 

SB 61 (Cortese) caps retention at 5% and will close a longstanding loophole used by project owners to unreasonably withhold payments to their contractors. Private owners often use “retention” policies governed by Civil Code Section 8810 to withhold 10% or more in project payments to their contractors for work that has been completed and accepted. Because profit margins for contractors are routinely below 10%, payments for labor and materials must be financed by those same contractors at high interest rates. High-cost borrowing harms contractors, their workers and drives up the costs for construction in California.

Hit Pause on New Employer Costs

CAL SMACNA members urged their Legislative representatives to please hit the pause button on any new employer mandates. California employers are the working men and women who risk their own capital and carry debt to provide jobs and contribute to our economy. The sheer number of employer mandates coming from Sacramento including new labor code requirements affecting mandatory paid and unpaid leave, employer reporting, complex record keeping and increased threat of litigation, fines and civil penalties for any potential incident of non-compliance are having a cumulative impact on employers.

Thank you to the CAL SMACNA Legislative Committee and to every attendee for taking the time to meet with Legislative members, and for making this one of the best DAC events to date!