I just don’t get it.
Generally, the “it” I’m referring to is the day-to-day decisions made by our state leaders, or by those who have somehow wound up on a state commission or board with real authority.
Specifically, the “it” is in reference to the California Energy Commission’s proposal to ban certain types of large screen televisions.
My guess is that when most Californians catch wind of this, they’ll shrug their shoulders and think, “it can’t happen.” As the owner of a small home theatre business in San Diego, my reaction is, “I can’t afford for it to happen.”
The CEC’s proposal to regulate television electricity usage would take 25 percent of LCD and plasma big-screen TVs and all current plasma models that are larger than 60 inches off the shelves – permanently. This regulation, which is expected to be decided upon this summer, would severely impact my business since virtually 100 percent of our installations include TV models that would be affected by the CEC’s ban.
My business, Evolution Home Theatre, Inc., started in November 2006 and we currently have seven employees. I’ve been in the custom home entertainment installation business for over 13 years and have the benefit of a wide range of perspectives on the industry. I have worked for large retailers, manufacturers, large integrators that specialize in new track homes, and smaller, high-end custom installation companies such as my own. We specialize in everything from hanging a flat panel TV over a fireplace to automating an entire home. We also design and install custom home theatres as well as a full range of custom-made cabinets.
Of course the CEC says they are not banning any particular type of television – that Californians will still be able to buy any TV that meets the regulation. I guess that depends on what your definition of “ban” is. What I know is today, I can sell and install whatever TV a customer wants, but if this regulation goes into effect, that won’t be the case. Sure sounds like a ban to me.
And just how is the CEC going to enforce such a regulation? Savvy consumers will still be able to buy televisions that do not meet the proposed standards online and across state lines – sending tax revenues and jobs out of the state.
Our state has an unemployment rate of over 11 percent, the highest of my lifetime. We have a budget that is chronically unbalanced and sadly, our state does not have to follow the same principles I do in my business, namely keeping my company’s books in order and not spending more than I take in.
Many companies like ours have already been forced out of business due to a combination of the stagnating economy and increased taxes. This regulation would further exacerbate the current business climate. A recent study by the Consumer Electronics Association found that this regulation could cost California $50 million a year in lost tax revenue and destroy 4,600 jobs.
The last thing California needs is another regulation that punishes small business owners and negatively impacts California tax revenue. What we need during times like these is for the state to remove road blocks for small businesses like mine, not add more.
Like I said, I just don’t get it. Although the more I think about it, the more it becomes clear that it’s the regulators in Sacramento, like the ones who sit on the CEC, who really don’t get it.