CRA Member Newsletter

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March 27, 2026 | CRA Member Newsletter Updates: Legislative, Regulatory, Federal, Local & Legal, Members News and Reminders & More.

Message from the President

We’ve reached a key inflection point in the legislative session. With the deadline for substantive amendments now behind us, this is where policy starts to take shape and where CRA’s engagement matters most. Our team has distributed updated bill language across our member-led working groups, and your input is critical as we refine positions and sharpen our advocacy. As bills move through multiple policy committees in the coming weeks, this is where we ensure the retail perspective is not just heard but drives outcomes.


When the Legislature returns from Spring Recess on April 6, the pace will accelerate quickly. Committee hearings will move at full speed, and decisions made during this next phase will have lasting impacts on our industry.


Several issues are already emerging as defining priorities:

  • AB 2564 (Surveillance Pricing): This bill is gaining momentum and represents a significant policy debate around pricing, data use, and consumer savings. While framed as a consumer protection measure, the real-world implications for discounts, loyalty programs, and customer engagement are substantial. CRA is actively at the table to ensure lawmakers understand what’s at stake and to help shape a path forward that protects both consumers and the ability to deliver value.
  • CIPA (California Invasion of Privacy Act): Litigation continues to expand rapidly, creating uncertainty and risk for retailers operating online. CRA is pushing for practical, legislative solutions that bring clarity, reduce abusive lawsuits, and reflect how businesses and consumers actually interact in today’s digital environment.
  • Antitrust: California continues to position itself at the forefront of competition policy. Proposals under discussion could reshape how retailers operate across digital and physical marketplaces. CRA is closely engaged to ensure that any new framework supports innovation, preserves competition, and avoids unintended consequences for consumers.


At the same time, we are also looking ahead.


Planning is underway for the 2028 Summer Olympic and Paralympic Games - a once-in-a-generation moment for California. The scale and visibility of the Games will bring both opportunity and complexity, and CRA is stepping in early to ensure our members are prepared. We will be convening a dedicated briefing to help you anticipate and plan for what’s ahead.


This is a moment where engagement matters and where thoughtful, informed advocacy will make the difference. The decisions being shaped now will directly impact how we operate, compete, and serve our customers in California.


CRA is actively representing your interests at every stage of this process, and we will continue to keep you closely informed. Your perspective and partnership remain essential as we navigate the path forward together.



Rachel

In This Newsletter Issue:

  • Legislative Updates
  • Regulatory Updates
  • Federal, Local & Other Updates
  • Member News and Reminders
  • Outreach and Other Activities

Legislative Updates

AB 2564 Threatens Loyalty Programs & Customer Discounts in California


AB 2564 (Ward) was heard this week in the Assembly Privacy & Consumer Protection (P&CP) Committee and the following information outlines what it means for retailers and California consumers.


The Bottom Line:


While AB 2564 is framed as a consumer protection and affordability measure, the hearing made clear that, as currently drafted, the bill risks limiting discounts, reducing consumer choice, and increasing costs for everyday Californians.


What the Bill Does:


AB 2564 would prohibit so-called “surveillance pricing,” broadly defined as using personal information (including purchase history, browsing behavior, or location data) to offer customized prices.


While the author emphasized that the bill is not intended to eliminate discounts, the bill’s language is expansive, applying to pricing decisions made “in whole or in part” on personal data and backed by significant penalties - up to $12,500 per violation.


What We Heard in the Assembly Privacy Hearing


Supporters’ Perspective:

  • Framed the bill as necessary to prevent unfair or discriminatory pricing
  • Raised concerns about lack of transparency in how data may be used
  • Positioned the bill as addressing a gap in current privacy law


Concerns Raised by CRA & the Business Community:

  • The bill does not distinguish between price increases and discounts
  • Many common practices - like coupons, loyalty rewards, and targeted promotions - could be restricted or discouraged
  • The compliance structure is complex and ongoing, creating real operational challenges
  • The level of legal risk could lead retailers to scale back or eliminate discounts altogether


Importantly, several committee members raised similar concerns and questioned whether the bill, as written, may be broader than intended.


Why This Matters for Consumers


The most effective point raised during the hearing and one that clearly resonated:

This bill doesn’t just target higher prices - it risks eliminating lower ones.


Consumers today rely on:

  • Coupons and targeted savings
  • Loyalty and rewards programs
  • Promotions that help stretch household budgets


Restricting these tools does not improve affordability, it reduces access to savings.


Where Things Go Next


The bill passed out of committee, and will be heard next in the Assembly Judiciary Committee, but the conversation is far from over.

  • The author signaled a willingness to continue discussions and consider amendments
  • Committee members highlighted the need to address real-world implementation concerns


CRA will continue to engage with the author on the bill.


CRA’s Focus Moving Forward


CRA will continue to advocate for a balanced approach that:

  • Protects consumer privacy
  • Preserves access to discounts and savings
  • Avoids unintended consequences that increase costs


At a time when affordability is a top priority for policymakers, our message is clear:

California consumers need more ways to save - not fewer.


If you have questions or would like to engage on this issue, please don’t hesitate to reach out. We will continue to keep you updated as the bill progresses.


Click HERE to read the alert we sent out to members yesterday, which includes our recap of the P&CP committee hearing.


SB 690 California Invasion of Privacy Act Reform and Litigation Landscape


SB 690 (Caballero) and the evolving litigation landscape under the California Invasion of Privacy Act (CIPA) is an issue that continues to present significant and growing legal exposure for retailers and other businesses operating in California.


Plaintiffs’ attorneys have increasingly sought to apply a 1967 wiretapping statute to routine online business practices. The result has been a wave of litigation targeting standard website technologies, often in ways that are difficult, if not impossible, for businesses to reconcile with existing compliance frameworks. SB 690 is intended to address that disconnect.


The bill advanced to the State Assembly (second house) and is expected to be heard in the Assembly Privacy Committee in April. At its core, SB 690 seeks to align CIPA with modern privacy law by clarifying that the processing of personal information for a commercial business purpose, particularly where already governed by the California Consumer Privacy Act (CCPA), does not constitute a violation of CIPA.


From a legal standpoint, this is a critical clarification. Today, businesses face a landscape where compliance with CCPA, California’s comprehensive and deliberately constructed privacy framework, does not insulate them from CIPA claims. SB 690 would help resolve that tension by recognizing that these statutes should operate coherently, rather than at cross purposes.


This legislative effort is being reinforced by a broad and growing coalition, including CRA’s partnership with the Alliance for Legal Fairness (ALF). As part of this work, we are continuing to elevate the real-world legal and operational impacts of CIPA claims, many of which involve routine technologies such as analytics, cookies, and advertising tools that are already expressly contemplated under CCPA.


For additional context and resources, visit the coalition website HERE.


In parallel, activity continues on the legal front. CRA and coalition partners are preparing an amicus brief in ongoing litigation to address the core legal issue: whether CIPA can appropriately be extended to modern digital interactions. The argument centers on the fact that CCPA already provides a comprehensive regulatory structure governing the data and technologies at issue. Courts are currently grappling with these questions and, in doing so, have issued inconsistent rulings, further compounding uncertainty for businesses. Notably, recent judicial commentary has acknowledged the lack of clarity and the need for legislative action - underscoring the importance of SB 690 moving forward. The current deadline for the amicus brief is April 8, 2026.


Looking ahead, advocacy will be critical. CRA will be joining coalition partners and other business organizations for a Lobby Day on May 12, 2026, where we will engage directly with legislators to share the real-world legal and business impacts of CIPA litigation. Additional details will be forthcoming, but we encourage participation, particularly from those with direct experience navigating these claims.


We also encourage you to review and share recent op-eds that help frame this issue from the perspective of impacted businesses:



We will continue to provide our members updates as both the legislative and legal processes move forward. If you would like additional information, or to discuss how this may impact your company, please don’t hesitate to reach out to the CRA team.


Antitrust in California: New Risks, Rising Enforcement, Real Impact


AB 1776 (Ahuiar-Curry) – OPPOSE. Now in Print & Moving Quickly

The updated language for AB 1776 (Compete Act) is now officially in print and is expected to move to a hearing in Assembly Judiciary on April 7. You can read the bill language HERE.


The language closely tracks the California Law Revision Commission’s recommendations, and notably, the bill currently has limited co-author support, suggesting there is still meaningful opportunity for engagement.


From a retail perspective, this bill raises significant concerns:

  • It represents a major expansion of California antitrust law, introducing new and untested standards
  • It applies broadly to all businesses—regardless of size or market share
  • It creates significant legal ambiguity, with limited guidance for courts or businesses
  • It exposes retailers to increased litigation risk, including treble damages
  • It may chill common, pro-consumer business practices, including pricing strategies, loyalty programs, and vendor relationships


CRA is joining a coalition letter, led by the California Chamber of Commerce, opposing AB 1776. As outlined in the coalition’s analysis, the bill departs from over a century of established antitrust precedent and introduces significant legal uncertainty that would impact businesses across all sectors of the economy. Read the DRAFT letter HERE.


Governor & Attorney General: Increased Focus on Antitrust Enforcement


Governor Newsom recently announced that California will take a leading role in antitrust enforcement efforts, positioning the state as a counterweight to perceived reduced federal activity and framing this effort as part of a broader strategy to address rising consumer costs. You can read his press release HERE.


Attorney General Rob Bonta has publicly indicated that his office is already deeply engaged in high-profile antitrust actions and is seeking additional funding and staffing to expand enforcement capacity.


His office is currently involved in major cases across media, entertainment, and live events markets. He emphasized that these cases are resource-intensive and ongoing, and that California intends to scale its efforts further. Additional staffing and outside counsel are under consideration to support this expanded enforcement agenda. You can read more HERE.


CRA's Legal Leadership


Developments like AB 1776 and the state’s expanding enforcement agenda underscore the need for coordinated, real-time legal strategy across the retail industry.


It is precisely for this reason that CRA launched the California Retail Law Center (CRLC) - to bring together in-house counsel and legal experts to engage directly on emerging legal, regulatory, and litigation risks impacting retailers.


The CRLC is designed to:

  • Provide early intelligence and analysis
  • Shape legal and policy strategy
  • Ensure the retail industry has a strong, unified voice as these frameworks evolve


We strongly encourage member companies’ in-house legal teams to participate. Learn more about the CA Retail Law Center HERE.


If you are interested in joining or would like additional information, please reach out to the CRA team.


CRA supports fair and competitive markets. However, proposals like AB 1776, combined with a significant expansion in enforcement, risk creating uncertainty, increased costs, and unintended consequences for both retailers and consumers.


We will continue to advocate for a balanced approach that protects consumers while preserving the ability of retailers to innovate, compete, and deliver value.


Please do not hesitate to reach out with any feedback, questions or if you would like to engage more directly in these efforts.


Additional Legislative Outreach Updates


CRA Sponsored Bill to Establish a CalFresh and WIC Contingency Fund Passed Out of First Policy Committee Hearing


AB 2072 (Solache) was heard in Assembly Human Services this week and passed out of the committee unanimously. The bill heads to Appropriations next. CRA's Leticia Garcia provided lead testimony on the bill.


CRA's Sponsored bill to Fix California's Covered Battery-Embeded Product Program is Moving


AB 2549 (Zbur) Solid waste: Electronic Waste Recycling Act of 2003 is scheduled to be heard in its first policy committee - Assembly Environmental Safety & Toxic Materials (ESTM) - on April 14 with letters and bill amendments due April 6. CRA's Sarah Pollo Moo is working with Assembly ESTM Committee Chief Consultant Josh Tooker to update some sections of the bill that need clarification and also working with Assemblymember Zbur's office to meet with other stakeholders including Californians Against Waste. Sarah is also meeting with ESTM committee members and their staff.


Other Legislative Activity


CRA signed onto an Oppose Unless Amended coalition letter for SB 1180 (Allen) Plastic Pollution Prevention and Packaging Producer Responsibility Act: California Plastic Pollution Mitigation Fund and met with the Senate Environmental Quality (EQ) Committee Chief Consultant Brynn Cook to discuss our concerns with the bill, which have its first policy committee hearing on April 8 in Senate EQ. Read the draft opposition letter HERE. We will circulate a final copy once we have it.


CRA signed onto an oppose coalition letter for SB 1123 (Wiener) Administrative Procedure Act: major regulations, a bill of significant importance to anyone governed by regulations in California. SB 1123 would eviscerate the present obligation for agencies passing major regulations to complete a SRIA (Standardized Regulatory Impact Assessment) before implementing the regulation and make such regulations pass faster and with less thorough economic analysis. View the draft letter HERE. The bill will likely be heard in its first policy committee in mid-April.  


CRA did a "me too" in support for AB 2217 (Zbur) Criminal procedure: alternatives to arrest in the Assembly Public Safety Committee.


CRA signed onto an oppose coalition letter for AB 2021 (Schiavo) California Consumer Privacy Act of 2018: whistleblower complaints. Read the draft letter HERE.


CRA relayed our work with the author's office on AB 2076 (Lowenthal) The Parent’s Accountability and Child Protection Act: online marketplaces: nitrous oxide in the Assembly Privacy & Consumer Protection Committee. CRA was oppose unless amended to the previous version of the bill and are reviewing the recent changes with our members.


CRA did a "me too" in opposition to AB 1898 (Schultz) Workplace artificial intelligence tools in the Assembly Privacy & Consumer Protection Committee. View the opposition letter HERE.


CRA did a "me too" in opposition to AB 1777 (Garcia) in the Assembly Natural Resources Committee as part of a large coalition opposed to the Indirect Source Rule bill, which has been labeled a "Cost Driver" by the California Chamber of Commerce. View the draft oppose coalition opposition letter HERE.


CRA supported AB 1622 (Rubio) Electrified security fences in the Assembly Local Government Committee


CRA relayed our concerns in Assembly Public Safety Committee for AB 1605 (Ransom) Driving under the influence: alcohol sales.


Legislative Deadlines

  • March 26 - Spring Recess
  • May 29 - House of Origin Deadline
  • June 15 - Budget Deadline
  • July 3 - Summer Recess begins
  • August 3 - Legislature reconvenes
  • August 31 - Last Day for Legislature to pass bills
  • September 31 - Last day for Governor to sign or veto bills

Regulatory Updates

CalRecycle Updates


PACKAGING


Plastic Pollution Mitigation Fund Webinar Recap


The California Environmental Protection Agency (CalEPA), California Natural Resources Agency (CNRA) and California Strategic Growth Council (SGC) held an informational webinar on the SB 54 Plastic Pollution Mitigation Fund (PPMF or “the Fund”).


Representatives from each agency provided an overview, discussed implementation and highlighted opportunities for the public to engage in and inform the development of the Fund.


These agencies are tasked with distributing mitigation fund dollars.


View CRA's recap of the webinar HERE.


The Fund is a component of California’s Plastic Pollution Prevention and Packaging Producer Responsibility Act (Senate Bill 54, 2022). It represents a fundamental shift in how California addresses the environmental and health impacts of plastic waste, moving the responsibility for pollution cleanup from the public to producers of single-use plastic materials.



Beginning in July 2027, California will receive $500 million annually over ten years from plastic producers. This $5 billion total investment will be dedicated to repairing ecosystems, protecting the health of all Californians, and prioritizing benefits for the communities most affected by pollution.


BATTERIES & ELECTRONICS


New Covered Battery-Embedded Waste Recycling Fee Beginning January 1, 2026


Beginning January 1, 2026, retailers of covered battery-embedded (CBE) products are required to register with the California Department of Tax and Fee Administration (CDTFA), file returns and pay the CBE waste recycling fee. Retailers include retailers, lessors and marketplace facilitators.  


The new CBE waste recycling fee is imposed on consumers and collected by retailers at the time of the retail sale or lease of a CBE product.

 

The CBE Waste Recycling Fee is a separate fee from the eWaste fee and requires a separate account. To register for a CBE Waste Recycling Fee account, visit the CDTFA online services webpage at https://onlineservices.cdtfa.ca.gov/.

 

Who is required to register and pay the fee?

The new registration and fee requirements apply to:


  • A retailer that sells or leases CBE products for use in California.
    
  • A purchaser (consumer) who purchases CBE products for personal or business use in California but does not pay the CBE waste recycling fee at the time of purchase.
    
  • A retailer that normally sells CBE and removes a CBE product from inventory for use and not for sale.
    
  • A vendor collecting the fee from a retailer.

 

When are the returns and fee payments due?

Returns and fee payments are due on the last day of the month following the reporting quarter. The first return, for the reporting period from January 1, 2026, through March 31, 2026, will be due April 30, 2026. A retailer may retain up to three percent (3%) of the CBE waste recycle fee as reimbursement for their cost to collect the fee.


Get more information HERE.


Responsible Battery Recycling Act (AB 2440 - CA's Loose Battery EPR program) Informal Rulemaking Workshop


CalRecycle will hold an informal public workshop on June 16, 2026, from 1 p.m. to 5 p.m. The purpose of this workshop is to describe California's rulemaking process and solicit feedback on the updated proposed regulations for the Responsible Battery Recycling Act program per Public Resources Code (PRC) sections 42420 - 42428 as enacted by Assembly Bill (AB) 2440 (Irwin, Chapter 351. Statutes of 2022).


Get more information HERE.


CARPET


CalRecycle's Review of CARE’s 2024 Annual Report


Click HERE to review CalRecycle's finding of non-compliance for Carpet America Recovery Effort (CARE) 2024 Annual Report submitted on 9/1/2025. CalRecycle's final analysis is provided below. CARE missed on three goals, but one of them was the decrease disposal, which CARE missed by less than 0.1 percent, which CARE is appealing to CalRecycle should be considered met. 

 

CalRecycle Staff Analysis Conclusion and Program Observations:



CalRecycle staff evaluated CARE’s 2024 Annual Report to determine whether the requirements of statute, regulations and CARE’s 2023 to 2027 Plan were met. CalRecycle’s analysis in the Request For Action (RFA) is limited to assessing compliance and CalRecycle does not attest to the accuracy of all claims, characterizations or statements, including statements reported in CARE’s 2024 Annual Report.


CARE reports efforts undertaken during the reporting period to address the statutory, regulatory and CARE’s 2023 to 2027 Plan requirements. Based on CARE’s 2024 Annual Report, CARE met or exceeded 10 out of its 13 performance goals, increasing collection convenience, and providing financial support to program participants through grants and technical assistance.


However, CARE’s 2024 Annual Report did not meet all requirements; specifically, CARE did not meet three goals from its 2023 to 2027 Plan related to the pounds of postconsumer carpet collected, the collection rate and the reduction in disposal. To date, CARE has not been found in compliance with all statutory, regulatory and stewardship plan requirements for any year for which it has implemented an approved stewardship plan (i.e., 2013 to 2016 and 2019 to 2023).

 

The CalRecycle review of CARE's 2024 Annual Report will be posted to the CalRecycle website, and a copy was shared with the Carpet Advisory Committee, (which CRA's Sarah Pollo Moo is a member of), CARE's independent auditors and CARE's attorneys. For questions related to this review and/or CA's Carpet Stewardship Program please email Sarah at sarah@calretailers.com.


CalRecycle's Director's Decision on CARE's 2024 Annual Report


On March 24, 2026, CalRecycle's director found CARE's 2024 Annual Report noncompliant with statutory, regulatory and plan requirements.

Read about the determination in the signed Request for Action linked HERE.


MATTRESSES


MRC’s Used Mattress Recovery and Recycling Plan Found Complete


On March 16, 2026, CalRecycle found Mattress Recycling Council’s (MRC) Used Mattress Recovery and Recycling Plan complete. 


Read about the determination in the signed letter linked HERE.


BOTTLES


BCRP 2nd Quarter of 2026 Processing Payment Adjustments Notice


Section 14575 of the Public Resources Code (PRC) requires the CalRecycle to establish a processing payments for any beverage container type that has a scrap value less than the cost of recycling. This notice announces there will be adjustments to the processing payment for glass, #1 PET, and #2 HDPE.


To view the 2nd Quarter 2026 Processing Payment Adjustments Notice click HERE.


Circular CRV Association’s Q4 2025 Quarterly Report Update


On February 23, 2026, CalRecycle received Circular CRV Association’s revised Quarterly Report (Q4 – 2025).


CalRecycle has 30 days to determine if the revised report is complete (by March 25, 2026). View the Public Notice HERE to view the revised report.


FOOD SERVICE PACKAGING


New Items Added to the Approved Food Service Packaging List


On March 18, 2026, CalRecycle completed the review of a compostable food service packaging application and determined that the food service packaging items meet the SB 1335 regulatory requirements.


CalRecycle added fifty-six (56) uncoated paperboard items manufactured by Environment Pulp and Packaging Co. Ltd to the List of Approved Food Service Packaging (Approved Products List):

  • 8 Bowls
  • 6 Boxes
  • 20 Clamshells
  • 20 Plates
  • 2 Trays          


View the Approved Products List for complete item details.


Items included on the Approved Products List are eligible for use by state food service facilities, pursuant to Public Resources Code (PRC) section 42370.4.


For more information regarding the SB 1335 regulatory requirements, please visit CalRecycle’s webpage and Title 14, Article 8 of the California Code of Regulations.


Removal of Items from the Approved Food Service Packaging List 


During the reevaluation of the List of Approved Food Service Packaging (Approved List) in October 2025, CalRecycle was notified by certain manufacturers that select products included on the Approved List are no longer manufactured or no longer available in California. CalRecycle published these products in a list of products anticipated for removal and provided the manufacturers 180 days to submit new applications prior to removing them from the Approved List, in accordance with the SB 1335 regulations.


After each application submission deadline passes, CalRecycle will notify the public of any changes made to the Approved List.  


On March 26, 2026, thirty-five food service packaging items manufactured by Footprint were removed from the Approved List: 


  • Thirty-five compostable items made of sugarcane/bagasse 


More information on these products can be found on the applicable list of removed products: 




PAINT


Upcoming Paint Stewardship Permanent Regulations Informal Workshop


CalRecycle will be holding an informal public workshop on May 18, 2026, from 1:00 p.m. to 4:00 p.m.


The purpose of this workshop is to solicit feedback from the public, the regulated community, and other interested persons on updates to the draft regulatory language to implement the statutory addition of aerosol coating products, nonindustrial coatings, and coating-related products into the Architectural Paint Recovery Program, which was renamed the Paint Product Recovery Program. 


Changes to the Paint Product Recovery Program regulations are necessary to clarify existing language and to implement, make specific, and clarify Assembly Bill 1526(Committee on Natural Resources, Chapter 848, Statutes of 2023) and Senate Bill 1143 (Allen, Chapter 989, Statutes of 2024). 


More information, including access to the workshop is available HERE.

Labor & Workforce Development Agency


PAGA Rulemaking


CRA sent a letter to the Labor & Workforce Development Agency (LWDA) Secretary Steward Knox regarding the LWDA rulemaking process under the Private Attorneys General Act of 2004 (PAGA).


Our comments are intended to support the Agency’s efforts to implement the 2024 reforms in a manner that promotes clarity, fairness, and effective compliance.


Read the letter HERE.

CAL-OSHA

 

Standards Board Meeting

 

There was only one action item discussed – updating Construction Safety Orders related to Elevators for Hoisting Workers, and multiple presentations by members of the public/stakeholders, as noted in the agenda (which is available here Agenda - March 2026 Final (OSHSB)).

 

The presentations were focused on: (1) Date growers spoke on date palms; (2) Western Occupational and Environmental Medicine Association re Silica. There was a lot of public comment on the silica issue, but it didn't differ from similar comments at prior meetings.

 

Other Regulations discussed:


  • Sliding and Swinging Gates Regulation - Staff noted that an advisory committee will be held on this in late April/May, but the date has not been set yet.


  • Indoor Heat for Correctional Facilities - A discussion draft was just posted by Cal/OSHA staff for comment and is now available online. I doubt this concerns any of you but wanted to flag it. 

PRIVACY UPDATES


Press Conference Highlights California’s Delete Request and Opt-out Platform


California State Senator Josh Becker and California Privacy Protection Agency Executive Director Tom Kemp held a press conference this week highlighting early impacts of the Delete Request and Opt‑Out Platform (DROP), noting that more than 258,000 Californians have signed up since its launch in January and that at least six other states are considering similar legislation.


The press conference also marked the release of the 2026 Data Broker Registry, posted on March 24 2026, which "provides new transparency into which entities are collecting personal data and the types of information being bought and sold. The first system of its kind that allows California residents to submit a single request directing all registered data brokers to delete their personal information."


Senator Becker and Director Kemp discussed during the press conference “how DROP works, the importance of empowering consumers with tools to exercise their privacy rights and the real-world impact data broker practices can have on individuals and families.” Liana Bailey-Crimmins with the California Deptartment of Technology was also included in the event.


The CPPA also held a legislative staff briefing on the DROP system following the press conference, which focused on “how the agency can support legislative staff.”


View the press conference HERE.

View the data broker registry HERE.

CARB Updates


CARB SB 253 Corporate Greenhouse Gas Reporting and Climate Related Financial Risk Disclosure Programs

Feedback Due Wednesday, April 8


The California Air Resources Board (CARB) held a virtual public workshop this week "to support the development of the California Corporate Greenhouse Gas Reporting Program authorized by SB 253 (Wiener, Stats. 2023; codified in Health & Safety Code (HSC) § 38532), as amended by SB 219 (Wiener, Stats. 2024, Chapter 766; codified in HSC §§ 38532 and 38533)."


The workshop included an update from CARB staff on additional information for the August 10, 2026, Scope 1 and Scope 2 emissions reporting deadline. The workshop also covered the next stage in regulatory development and provided an overview of the development of the greenhouse gas reporting requirements for 2027-2030 under HSC § 38532.


Discussion included preliminary staff options for Scope 3 emissions reporting requirements for 2027-2030, solicitation of alternative approaches, and an overview of staff’s approach to the economic analysis.  


Access the presentation slides HERE, which include specific items CARB is requesting feedback on. Click HERE to view a sampling of these items and be sure to download the CARB presentation slides to view all of CARB's questions for assistance in compiling feedback and comments.


Please send feedback to be submitted under CRA to sarah@calretailers.com by Wednesday, April 8.


As a reminder, the law currently under a stay is SB 261 (Stern-2023), the Climate-Related Financial Risk Reporting Act. SB 253 remains in effect. Enforcement is enjoined by the Ninth Circuit, so CARB is not enforcing SB 261 and reporting under it is effectively voluntary pending the appeal. CARB’s implementing regulation, including the August 10, 2026 Scope 1 and 2 reporting deadline, is moving forward and is not covered by the injunction.


For questions on these rulemakings, please reach out to Sarah.

CA Board of Pharmacy Updates


BoP Staff Updates to Remote Processing Regulations

Feedback Due April 2


Following review of comment submissions and staff proposed changes on the remote processing regulations during the March Board meeting, the California State Board of Pharmacy (Board) proposed modifications to the proposed regulatory text in section 1717.11 of article 2, division 17, title 16 of the California Code of Regulations, related to Remote Processing.


View the proposed modified text HERE.


Access all materials related to the remote processing regulations HERE.


Access CRA's recap of the Board's March 18 meeting HERE, which includes discussions on the remote processing regulatory changes.


Please send feedback to sarah@calretailers.com by Thursday, April 2 for CRA to submit by the Board deadline.


Update on DCHS Medi-Cal Prescription Issue


CRA President and CEO Rachel Michelin sent a letter to the Department of Health Care Services (DHCS) Director Michelle Baass and copied the Governor's Office on the email. We received a quick response and will be meeting with Director Baass and her team next month.


View the letter HERE, which details concerns we have with Medi-Cal regarding changes to the provider enrollment process for prescribers and the inclusion of a diagnosis code on pharmacy claims. The provider enrollment changes are expected to be made in June of this year and the diagnosis code changes are likely to follow in the Fall and there has not been adequate notice/discussion of implementation from Medi-Cal so there we have concerns that a number of claims will be rejected preventing people from being able to get their prescriptions.  


Update on AB 1503 (2025) Sunset Review Nonresident Pharmacies Implementation Issue


The CRA team is working on a legislative intent letter to send to Assembly Business and Professions Committee Chief Consultant Robby Sumner at his request, which will come from Assemblymember Marc Berman and will be sent to the Board's President Seung Oh, PharmD and Executive Officer Anne Sodegren. The letter will also be posted in The Journal to assist with any potential future litigation if that need arises. 


For background on this issue, the CRA team, including CRA President Rachel Michelin, met personally with the Senate and Assembly Business and Professions Committee Chairs and their chief consultants to discuss the Board of Pharmacy’s interpretation of the non-resident pharmacy provisions in AB 1503 (Berman-2025), the Board's Sunset Review Bill. As currently interpreted, the Board’s approach could require non-resident pharmacies to comply with all California pharmacy laws in addition to their home state laws, which could potentially restrict or eliminate access to medications for many California patients.

DTSC Updates


Safer Consumer Products Program


Spray Polyurethane Foam Systems with Unreacted Methylene Diphenyl Diisocyanates (MDI) Abridged Alternatives Analysis Reports


The California Department of Toxic Substances Control (DTSC) Safer Consumer Products (SCP) Program has opened a public comment period on the Abridged Alternatives Analysis (AA) Reports for Spray Polyurethane Foam Systems with Unreacted MDI submitted by:


  • Everest Systems, LLC
  • Green Valley Products, LLC
  • Firestable Insulation Company
  • Quadrant Performance Materials
  • PolyCon LLC
    

DTSC has requested comments on the above entities’ Abridged AA Reports, and will consider comments during the Department's review of these Abridged AA reports. Comments may include:



  • Recommendations for new or additional alternatives.
  • Information about the performance or toxicity of potential alternatives.
  • Other resources, such as information to better inform possible regulatory response options, including but not limited to:
  • Product Information for Consumers
  • Advancement of Green Chemistry and Green Engineering


Please send comments to sarah@calretailers.com by Monday, March 30, 2026.


DTSC also held a virtual workshop on the proposal to list Floor Maintenance Products Containing Perfluoroalkyl or Polyfluoroalkyl Substances (PFASs) as a Priority Product. The workshop recording and slide deck are available on DTSC's Workshops and Events Webpage.

 

The public comment period will close next Tuesday March 31, 2026. 

AG Office


The Office of California Attorney General Rob Bonta sent an enforcement notice out to manufacturers and retailers of baby food sold in California on March 6, 2026.


The enforcement advisory letter "informs of requirements established under California AB 899 (Muratsuchi-2023), codified in Health and Safety Code sections 110962 through 110963.


A.B. 899 requires each manufacturer of baby food sold or distributed in California to test a representative sample of the manufacturer's final baby food product for arsenic, cadmium, lead, and mercury, and to disclose those test results publicly on its internet website. A.B. 899 also prohibits a person or entity from selling, manufacturing, delivering, holding, or offering for sale in California any baby food that does not comply with the requirements of A.B. 899. (Health & Saf. Code, § 110963.)"


View the enforcement notice HERE.

New CalRecycle E-Waste Branch Chief


CalRecycle hired the new branch chief for the e-Waste program, Alan Ilusorio.

 

Alan has been a member of the CalRecycle team since 2009, and brings a strong expertise in compliance monitoring, data-driven enforcement, regulatory oversight, and program leadership. Most recently, as a Senior Environmental Scientist Supervisor in the Jurisdiction and Agency Compliance and Enforcement (JACE) Branch, Alan oversaw SB 1383 compliance for the past seven years—guiding teams through policy development, regulatory implementation, complex stakeholder challenges, and development of enforcement processes that strengthen statewide organic waste diversion and methane reduction goals.

 

Alan will be based at CalRecycle's CalEPA Headquarters in Sacramento on the 9th floor.

Federal, Local & Other Updates

What Retailers Need to Know About Supply Chain & Operations for the 2028 LA Olympics and Paraolympics


With the 2028 Summer Olympic and Paralympic Games on the horizon, we have a once-in-a-generation opportunity, and responsibility, to prepare for how these Games will impact retail operations across Southern California.


The California Retailers Association is excited to invite you to a special briefing designed to help our members get ahead of what’s coming.


ZOOM MEETING WITH SOUTHERN CALIFORNIA ASSOCIATION OF GOVERNMENTS (SCAG)

Friday, April 25th 9 am Pacific Time

Register for the zoom HERE.


What we’ll cover:


  • Supply Chain Impacts: Anticipated disruptions to goods movement, including delivery restrictions, lane closures, and congestion across key corridors and last-mile delivery zones
  • Freight & Logistics Strategies: Emerging approaches such as off-peak deliveries, rerouting, staging of goods, and curb management to maintain supply chain fluidity
  • Employee Movement & Access: What to expect for workforce mobility across Los Angeles and the broader Southern California region during the Games
  • Security & Venue Restrictions: How designated security perimeters and operational policies may impact store access, deliveries, and customer flow
  • Direct Engagement: Opportunity to ask questions and provide input as regional planning efforts continue


Regional planning efforts are being led by the Southern California Association of Governments (SCAG) and public agency partners, these Games will bring significant operational changes, but also a coordinated effort to ensure businesses can continue to operate effectively through thoughtful planning and collaboration.


This session is not just about awareness - it’s about ensuring the retail community has a seat at the table as strategies are developed and implemented.


In a region as complex and interconnected as Southern California, proactive planning will be critical. Retailers that engage early will be best positioned to minimize disruption, manage costs, and continue serving customers seamlessly during the Games.


We hope you’ll join us for this important and timely conversation.


Los Angeles Draft CII Permit Update


Following the Los Angeles Regional Water Quality Board (Board) workshop on the draft Commercial, Industrial, and Institutional (CII) Permit, the coalition working on this issue, which includes CRA, is expecting to receive excerpts of the revised CII Permit for review. The coalition will then have about a week to provide feedback. In the meantime, Board staff was planning to provide an update on discussions/negotiations to the Board this week. While not firm, they are aiming to set an adoption hearing in June.


As a reminder, the Board directed staff to outreach to stake holders to discuss various topics for which board members requested additional input with the understanding that these discussions would help facilitate further refinements to the draft Permit that staff plan to report back to the Board by the end of the first quarter of 2026. These included:

 

  • Who should be the permittee
  • Option 1 capacity and pricing
  • Permit implementation timing
  • Application of the Permit to properties with Mixed Use designations
  • Initial sampling requirements
  • Definition of permeable surfaces


For more information on the draft Permit, please see HERE.


To see the revised draft Permit, please see HERE.


For more information, don't hesitate to reach out to Sarah or Ryan.


Federal Updates


IEEPA Tariff Refunds Slides and Recording


A copy of the presentation and a link to the recording from a talk hosted by the National Retail Federation about the latest The International Emergency Economic Powers Act (IEEPA) tariff refunds can be accessed HERE and HERE.

 

CRA ad NRF will continue to keep members up to date on tariff-related issues and will schedule future calls when there is additional guidance on the tariffs refund process.



Local Updates


South Coast Air Quality Management District Governing Board Leadership Changes and Appointments


On February 6, Councilmember Michael A. Cacciotti was sworn in as Chair of the Governing Board, with Councilmember Larry McCallon appointed Vice Chair. Chair Cacciotti has served on the Governing Board since 2008, representing the Cities of the Eastern Region of Los Angeles County. He also serves on the South Pasadena City Council and previously spent nearly 20 years as a Deputy Attorney General with the California Department of Justice. Vice Chair McCallon, a Governing Board member since 2015, is a U.S. Air Force veteran and retired businessman who brings decades of experience in regional leadership, transportation, and public service.


The Governing Board also welcomed Cedric Jamie Rutland, MD, FCCP, as a new member following his appointment by Governor Gavin Newsom. A triple boardcertified physician in internal medicine, pulmonary disease, and critical care medicine, Dr. Rutland brings significant clinical and public health expertise focused on respiratory health, patient care, and health equity.Get more information including additional leadership changes and appointments to the SCAQMD HERE.

CRA Member News and Reminders

Albertsons Southern California Reaches 1,000 RMC Graduates


The Western Association of Food Chains (WAFC) recognized the Albertsons Southern California Division for reaching a remarkable milestone — 1,000 graduates of the Retail Management Certification (RMC) program, a testament to the division's unwavering commitment to associate development and growth.


What began as an opportunity to provide free, accessible education for retail associates has grown into a true movement within the organization, one that continues to be backed by leadership at every level. Today, the program benefits from the steadfast support of Wayne Denningham, EVP & President of the SoCal Division; Jim Wallace, SVP of Operations and WAFC Board Member; Sheryl Salazar, SVP Marketing & Merchandising; Dana Rose Stauffer, VP of Human Resources; and Mario Fuentes, Manager of Learning & Development.


The program has cultivated a genuine culture of advocacy, with graduates enthusiastically sharing their experiences and encouraging peers to participate. What makes the SoCal RMC program truly exceptional is that it has never been just an HR initiative, a testament to its lasting impact. Keep reading.

Soles4Souls: Turning Excess Inventory Into Opportunity

Retailers across the world are partnering with Soles4Souls to reduce waste, extend product life, and create meaningful social impact.


Every year, millions of pairs of shoes and apparel items go unsold or unused. Instead of ending up in landfills, these products can create meaningful impact for people and communities around the world.



Soles4Souls is a global nonprofit that creates opportunity for people through shoes and clothing. By working with retailers and brands, Soles4Souls helps extend the life of usable goods while supporting sustainability and circularity initiatives.


Retailers partner with Soles4Souls in several ways — donating excess or returned inventory, launching customer take back programs, and engaging employees through volunteer opportunities and corporate giving initiatives. Together, these efforts keep usable goods in motion, reduce waste, and create meaningful impact for communities around the world.


Together with its partners, Soles4Souls has helped create millions of dollars in economic opportunity, supported communities recovering from disasters, and provided brand-new shoes to children in need.


Interested in partnering with Soles4Souls?


Learn how your organization can support sustainability and circularity initiatives while creating global impact - Partner With Soles4Souls

CRA Work Groups



The CRA Team continues our 2026 work group meetings including our Monthly Policy, Environmental Sustainability, Food, Alcohol and Grocery and Community Pharmacy and Privacy Groups. If you haven't yet, we encourage you and your teams - including your subject matter experts - to sign up for CRA's working groups today!


Click Here to View and Sign Up for CRA Work Groups

Other Outreach and Activities

California CUPA Forum


CRA's Sarah Pollo Moo attended the annual California Certified Unified Program Agency Forum (Cal CUPA), which is a statewide association of local agencies throughout California including county - or in some cases city - environmental health or fire departments) that oversee hazardous materials management in the state.


There are a total of 81 CUPAS throughout California and each one can vary in terms of management and inspection style and procedures. These agencies are certified by CalEPA to consolidate, implement and enforce six hazardous waste and materials management programs.


The Forum coordinates these agencies to ensure consistent enforcement across the state and the event also includes industry, recycling service providers and some environmental non-profit organizations. Many of CRA's member companies were in attendance. The Forum provided a crucial learning and networking opportunity for the CRA Team as we continue to expand our work on environmental issues in California.

California Retailers Association https://calretailers.com/

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