Governor Newsom Signs Executive Order to Help Tackle Supply Chain Issues

SACRAMENTO —  Amid global disruptions to the goods movement supply chain, Gov. Gavin Newsom Oct. 20, signed an executive order directing state agencies to identify additional ways to alleviate congestion at California ports. 

The executive order builds on earlier efforts this year by the Governor’s Office of Business and Economic Development (GO-Biz) to ease supply chain issues by engaging the diverse network of stakeholders along the supply chain to discuss key challenges and identify short-term and long-term solutions. Record demand for imported goods combined with capacity issues across the entire supply chain have slowed distribution at ports on the California coast.

The executive order directs state agencies to continue coordinating with the Biden-Harris administration supply chain disruptions task force to address state, national and global supply chain challenges. The executive order also directs the Department of Finance to work with state agencies to develop longer-term solutions that support port operations and goods movement for consideration in the Jan. 10 Governor’s Budget, which may include port and transportation infrastructure improvements, electrification of the goods movement system from port to delivery, and workforce development.

Further, the executive order directs state agencies to identify state-owned properties and other locations that could be available to address short-term storage needs once goods are unloaded from ships; to identify priority freight routes to be considered for a temporary exemption to current gross vehicle limits to allow for trucks to carry additional goods; and to create workforce training and education programs. AB 639’s (Cervantes, 2020) implementation is also expedited through this executive order.

Details: here. www.gov.ca.gov/wp-content/Supply-Chain-Resilience.pdf