A new California antitrust law exempts businesses with 100 or fewer employees from its reach. That was a top takeaway from the Temecula Valley Chamber of Commerce's annual Legislative Forum, held Thursday, Oct. 15, at Temecula City Hall Conference Center.

Two speakers anchored the event: Jennings Imel of the U.S. Chamber of Commerce and Adam A. Ruiz, vice president of public affairs at Rincon Strategies, according to a Chamber recap of the forum.

Ruiz walked attendees through the sheer volume of Sacramento's 2026 session. Legislators introduced 1,846 bills. Of those, 1,160 reached Gov. Gavin Newsom's desk. Newsom signed 1,040 and vetoed 120.

The Southwest California Legislative Council, which advocates on behalf of regional business interests, took positions on 70 bills during the session, split evenly: 35 in support and 35 in opposition, according to the recap.

AB 1776: what changed for small firms

One bill drew particular attention. AB 1776, known as the COMPETE Act, updates the state's century-old Cartwright Act to let the attorney general and district attorneys pursue single-firm anticompetitive conduct for the first time. Newsom signed it Sept. 30.

The law was substantially narrowed during the legislative process, according to the Chamber recap. The final version exempts independently owned businesses with 100 or fewer employees and average annual gross receipts of $10 million or less, according to a Mayer Brown analysis of the law. It also removes the private right of action, meaning only the attorney general or a district attorney can bring enforcement actions.

CalMatters reported that the state Chamber of Commerce had fiercely opposed the bill and won several concessions to water it down, including removal of the private-right-of-action provision. Former supporters, including the American Economic Liberties Project, argued the bill was defanged after a multimillion-dollar lobbying effort by business groups.

Ruiz told forum attendees the bill showed why businesses benefit from tracking legislation through the full process rather than relying on initial bill summaries.

Data centers, AI and 2027 priorities

Imel opened the forum with a discussion of data centers and their growing role in the digital economy. Energy and water use drew considerable discussion, with Imel noting that the impact on electricity rates depends on local conditions, including existing power capacity and how infrastructure costs are allocated, according to the Chamber recap.

Artificial intelligence emerged as a top issue to watch in 2027. Ruiz discussed several AI-related measures that passed after being narrowed and said questions about implementation may carry into the next legislative session.

The forum also flagged unresolved pressures heading into the new year. The 2026 session did not produce a comprehensive wildfire legislative package, leaving questions about insurance availability, costs and ratepayer impacts open. Fuel prices, energy policy and the broader cost of doing business remain significant concerns, the recap noted. A new governor is expected to take office, and the administration's priorities could shape legislation on employment, infrastructure and business regulation.

Brooke Nunn, president and CEO of the Temecula Valley Chamber, has framed the Chamber's policy programming as essential for local owners. "Many business owners are deeply focused on the day-to-day demands of running their organizations, and opportunities like this allow us … to bring forward the data, analysis, and perspective they need to plan strategically for the future," Nunn said in May, when the Chamber promoted its Southwest Regional Economic Forecast.

Ruiz encouraged business owners to communicate directly with elected officials and share real examples of how proposed legislation affects their employees and operations early in the legislative process, the recap said.