This article has been updated to reflect new developments.

New California legislation that would add significant requirements to the staffing industry — from restricting conversion fees to disclosing bill rates to workers — has been pulled from the agenda by the bill’s author. It was set for a hearing on March 22; however, the hearing was canceled at the request of the author, according to legislative records.

Rep. Matt Haney, D-San Francisco, has decided not to advance AB 2741, the American Staffing Association reported. The California State Assembly’s committee on labor and employment has confirmed that the bill has been “gutted” and pulled from the agenda.

Toby Malara, VP of government relations at ASA, called the removal “great news.” While amendments had been proposed to reduce onerous measures included in the original text, the bill remained a concern to industry representatives.

Malara cited the “grassroots effort” made by the staffing industry.

Hanley had talked about making significant amendments to the bill, and perhaps decided to “speed up the process,” Malara told SIA. “I think we thought it was going to play out a little longer. I think the grassroots effort was so effective that maybe he [Hanley] thought, ‘Let’s just forget about this.”

“Not surprised by the overall result, but maybe a little surprised by the time that it happened,” Malara said.