THE YELLOW. BACK TO YOU. ALL RIGHT. GOOD TO KNOW. THANK YOU. WELL, A BIG CHANGE AFFECTING MILLIONS OF WORKERS IN CALIFORNIA KICKS IN TODAY. MOST FAST FOOD WORKERS WILL START GETTING PAID AT LEAST $20 AN HOUR. ALL THANKS TO A NEW LAW. WHILE IT WILL HELP MANY OF THOSE WORKERS WITH CALIFORNIA’S HIGH COST OF LIVING PRICES AT THOSE ESTABLISHMENTS COULD GO UP. AND THERE’S PLENTY OF CONFUSION OVER WHO THIS LAW ACTUALLY APPLIES TO. WE GO TO MELANIE WINGO. JOINING US NOW FROM NATOMAS WITH HOW A MINIMUM WAGE INCREASE AFFECTS THE RESTAURANTS AND CONSUMERS ACROSS THE STATE. GOOD MORNING. YES. STARTING TODAY, WORKERS AT THOSE BIG FAST FOOD RESTAURANT CHAINS WILL MAKE $20 PER HOUR FOR THEIR MINIMUM WAGE. AND RIGHT NOW, THAT REQUIRED WAGE INCREASE ONLY APPLIES TO PLACES THAT HAVE AT LEAST 60 ESTABLISHMENTS NATIONWIDE, WHERE CONSUMERS ORDER AND PAY FOR ITEMS BEFORE EATING AND DRINKING. ECONOMISTS DO EXPECT THIS TO AFFECT CONSUMERS AS MAJOR CHAINS LIKE MCDONALD’S, STARBUCKS, CHIPOTLE THEY HAVE ALL SAID PUBLICLY THAT THEY INTEND TO RAISE PRICES. NOW, SOME ECONOMISTS ANTICIPATE COSTS WILL GO UP BY ABOUT FIVE 5%. OTHERS SAY IT COULD BE AS LOW AS 2%. $5 MARK. THAT WOULD BE A DIME AND CENTS. PEOPLE NOTICE IT, BUT I DON’T THINK THEY’LL CHANGE THEIR BEHAVIOR. WE WILL, OF COURSE, AS EVERYONE ELSE IS, HAVE TO INCREASE PRICES IN SOME WAY, SHAPE OR FORM. AND WHAT PEOPLE DON’T UNDERSTAND IS THEY SAY, OH, WELL, IT DOESN’T REALLY MATTER. MCDONALD’S AND TACO BELL, THEY’RE JUST BIG CORPORATIONS. WE ARE FAMILY BUSINESS IS. YEAH. AS YOU HEARD THERE, SOME FRANCHISE OWNERS ARE EXPRESSING CONCERN THIS MORNING ABOUT THE NEW LAW, SAYING COVERING THE RISE IN LABOR COSTS PUTS THEM AT EXTREME PRESSURE. MEANWHILE, THAT PAY INCREASE IS IMMEDIATE. IT WILL NOT BE PHASED IN REPORTING LIVE IN NATOMAS MELANIE WINGO KCRA THREE NEWS. THANKS SO MUCH FOR THAT. LIVE REPORT TONIGHT. KCRA THREE CAPITOL CORRESPONDENT ASHLEY ZAVALA WILL TALK TO SOME SMALLER BUSINESS OWNERS, AND THEY ARE STILL TRYING TO UNDERSTAND IF THE LAW APPLIES TO THEM. WE’LL ALSO HEAR FROM WORKERS, LAWMAKERS AND EXPERTS ON THE NEW LAW THAT’S BEEN CLOUDED WITH CONTROVERSY AND QUESTIONS IN THE MONTHS LEADING UP TO IT TAKING EFFECT.