July 14, 2022
The Honorable Gavin Newsom
Governor
State of California
1021 O Street, Suite 9000
Sacramento, CA 95814
Dear Governor Newsom:
We write again to express our deep concerns with the imposition California Assembly Bill 5
(AB5) is having on our local and national economies. In November, we urged you to declare a
State of Emergency at our ports and across the goods transportation and storage distribution
chain. The Ports of Long Beach and Los Angeles are responsible for more than 40% of container
imports and 30% of exports in the United States. The continued backlog of goods - expected to
last into 2023 - is still driving economic concerns and record high prices.
Last week, the U.S. Supreme Court denied a petition that leaves a reported 70,000 independent
truckers with serious doubts about whether they can continue to operate inside our state. This
creates a legal mess made by the State of California. Not only could this be devastating to
California, but it may be catastrophic for the United States and will only drive prices higher. On
top of record-high inflation, the last thing American families need are higher costs.
AB5 continues to restrict the ability of Californians to work as independent contractors. This law
creates a chilling effect for many supply chain industries and makes it more difficult for
independently contracted truck drivers to operate, leading many to leave California. Without
enough truckers, cargo will continue to sit at the ports waiting to be delivered. We must allow for
truckers in California to work as independent contractors.
Other essential California industries will also be impacted by this ruling. California farmers are
entering peak harvest season and are already facing enormous challenges. Amidst record
drought, their products are sitting at backlogged ports waiting to be shipped. Instead of being on
grocery store shelves, fresh food is spoiling because of California’s failed policies. The
construction industry has overcome the pandemic and is starting to boom, supply chain shortages
as well as increasing costs for labor and material are contributing to the historic spikes in costs.
The entire nation relies on the efficient movement of goods through California’s ports to feed
and clothe their families. It is critical that you take action to ensure that this recent ruling will not
add burdens to our already-crippled supply chains. Our constituents and local small businesses
want to see this crisis resolved before they are further overwhelmed by broken supply chains,
skyrocketing inflation, and the unacceptable state of our economy.
Sincerely,
_______________________ _______________________
Michelle Steel Kevin McCarthy
Member of Congress House Republican Leader
_______________________ _______________________
Darrell Issa Ken Calvert
Member of Congress Member of Congress
_______________________ _______________________
Young Kim Tom McClintock
Member of Congress Member of Congress
_______________________ _______________________
Mike Garcia Connie Conway
Member of Congress Member of Congress
_______________________ _______________________
David Valadao Doug LaMalfa
Member of Congress Member of Congress
_______________________
Jay Obernotle
Member of Congress
