Los Angeles, October 16, 2025
News Summary
In response to economic challenges, California has launched two new measures aimed at supporting its restaurant industry. These measures, announced at Joyce restaurant in Los Angeles, focus on easing regulatory burdens for small businesses. AB 592 allows outdoor dining options for restaurants with open kitchens, while AB 671 introduces a fast-track permitting process for small eateries looking to retrofit spaces. With the restaurant sector being a significant employer in the state, these legislative efforts aim to revitalize local businesses and enhance customer experience amidst a drop in dining traffic.
California has introduced two new measures to support its struggling restaurant industry facing economic challenges. The announcement was made at Joyce restaurant in downtown Los Angeles, aiming to reduce regulatory burdens on small businesses coping with rising costs and shifting federal policies. California is home to over 4.2 million small businesses, which account for 99.9% of the state’s total enterprises and employ nearly half of the private sector workforce, approximately 7 million people.
The restaurant sector, being the largest private employer in California, supports around 1.8 million jobs and generates $220 billion in annual sales across more than 86,000 locations. Recent data from OpenTable indicates a notable 5% drop in dining traffic in Los Angeles through August 2025, exacerbating the distress within the industry.
The first measure, known as AB 592, permits restaurants with open kitchens to utilize windows, folding doors, or non-fixed storefronts for outdoor dining. This initiative aims to leverage California’s mild climate to enhance customer experience and increase dining options. The second measure, termed AB 671, introduces a voluntary fast-track permitting process for small, independent restaurants looking to retrofit existing spaces. This allows licensed architects and engineers to self-certify basic plans, streamlining the renovation process for struggling establishments.
These two legislative measures were designed to address “endless hurdles” faced by neighborhood restaurants amid current economic difficulties, as stated by Assemblymember Jesse Gabriel (D-Encino). Moreover, Assemblymember Buffy Wicks (D-Oakland) reinforced the necessity of assisting restaurateurs in transforming their ideas into reality without compromising safety standards. The measures aim to help reinvigorate a vital segment of the economy while providing a much-needed lifeline for these local businesses.
The introduction of these measures comes as California grapples with ongoing economic challenges. Rising costs for ingredients, labor shortages, and changing federal guidelines have placed a strain on small businesses, particularly restaurants that thrive on customer traffic and sustained patronage. These measures not only illustrate the state’s commitment to supporting small businesses but also highlight the critical role of the restaurant industry in California’s overall economic landscape.
As these initiatives take effect, local restaurants are hopeful for a turnaround in their operations, looking forward to leveraging the new outdoor dining options and simplified permitting process. With recovery in the restaurant sector essential for broader economic revitalization, the initiative signals proactive steps to protect and sustain the livelihood of many Californians.
Frequently Asked Questions (FAQ)
What are the new measures introduced by California to support the restaurant industry?
California has introduced two new measures: AB 592, which allows restaurants with open kitchens to utilize windows, folding doors, or non-fixed storefronts for outdoor dining, and AB 671, which establishes a voluntary fast-track permitting process for small, independent restaurants retrofitting existing spaces.
What is the significance of the restaurant sector in California?
The restaurant sector is the largest private employer in California, supporting 1.8 million jobs and generating $220 billion in sales annually across over 86,000 locations.
How many small businesses are there in California?
California is home to over 4.2 million small businesses, accounting for 99.9% of total enterprises in the state.
What does the data from OpenTable indicate about dining traffic in Los Angeles?
Data from OpenTable indicates a 5% drop in dining traffic in Los Angeles through August 2025.
Key Features of the New Measures:
| Measure | Description | Purpose |
|---|---|---|
| AB 592 | Allows open kitchens to utilize windows, folding doors, or non-fixed storefronts for outdoor dining. | Enhance customer experience by leveraging California’s mild climate. |
| AB 671 | Establishes fast-track permitting process for retrofitting existing spaces. | Simplify the renovation process for small, independent restaurants. |
| Employment Impact | Supports 1.8 million jobs in the restaurant sector. | Reinforce the economy and sustain local businesses. |
| Annual Sales | Generates $220 billion in sales annually. | Significant contribution to California’s economy. |
Deeper Dive: News & Info About This Topic
- Palisades News: New California Laws to Help Restaurants
- Wikipedia: Restaurant Industry in the United States
- LA Times: Union Introduces Dueling Ballot Measures
- Google Search: California Restaurant Industry
- LAist: How the Restaurant Industry is Trying to Save Itself
- Encyclopedia Britannica: Restaurants
Author: STAFF HERE COSTA MESA WRITER
The COSTA MESA STAFF WRITER represents the experienced team at HERECostaMesa.com, your go-to source for actionable local news and information in Costa Mesa, Orange County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the OC Fair, Concerts in the Park, and Fish Fry. Our coverage extends to key organizations like the Costa Mesa Chamber of Commerce and Boys & Girls Clubs of Central Orange Coast, plus leading businesses in retail, fashion, and technology that power the local economy such as Vans, Experian, and South Coast Plaza. As part of the broader HERE network, including HEREAnaheim.com, HEREBeverlyHills.com, HERECoronado.com, HEREHollywood.com, HEREHuntingtonBeach.com, HERELongBeach.com, HERELosAngeles.com, HEREMissionViejo.com, HERESanDiego.com, and HERESantaAna.com, we provide comprehensive, credible insights into California's dynamic landscape.
