Dear Members of the Santa Barbara County Board of Supervisors,

We are writing on behalf of the Santa Maria Valley Chamber of Commerce to express our opposition to the proposed $26 per hour minimum wage for agricultural workers. While we understand and support the desire to ensure fair wages for all workers, we believe that this significant increase—nearly $10 per hour more than the current wage for most companies—will have unintended and potentially harmful consequences for the local agricultural industry and the broader economy of Santa Barbara County.

Recent research, including studies on California’s strawberry sector, highlights the precarious state of sustainability in many agricultural sectors. With average farm net profits typically running only 2-4%, a mandatory wage increase of this magnitude could severely impact the ability of farms to remain viable. In a region where agriculture is a cornerstone of the economy, such financial strain could result in the closure of farms, leading to job losses, reduced agricultural output, and ripple effects on related industries.

Furthermore, we are concerned about the pressure of this wage increase on other industries. The precedent set by such a high minimum wage could lead to calls for similar increases in manufacturing and other sectors, making it increasingly difficult for businesses to manage costs. This could also trigger demands to raise wages for non-minimum-wage positions, further increasing labor costs across various sectors. The cumulative effect of these pressures would be a reduction in competitiveness for our county’s businesses and the potential relocation of companies to other regions with more sustainable wage requirements.

EconAlliance has already expressed concerns about the negative impact this proposal could have on the competitiveness of our agricultural sector, and we share their viewpoint. We believe that a more moderate approach, one that balances the needs of workers with the long-term sustainability of our local industries, is necessary.

We urge you to carefully consider the potential economic impact of this initiative before making any decisions. If this proposal is adopted, the repercussions could extend far beyond agriculture, affecting the broader business community and the overall economic health of Santa Barbara County.

Thank you for your consideration of this matter. We would be happy to engage further in dialogue to ensure a balanced approach to supporting both workers and businesses in our county.

Sincerely,

Emily Kitts, Chair of the Board
Michael Boyer, Secretary & Treasurer, President & CEO
Suzanne Singh, Director of Economic Development