The new law doesn’t recognize places that operate “a bakery that produces for sale on the establishment’s premises bread” as fast food, according to the
law’s text.
Why the line was drawn at bread remains unclear.
“That’s part of the sausage-making,” Gov. Gavin Newsom said during a news conference when asked about the exemption,
Insider reported.
However, Newsom pushed for the exemption, people familiar with the matter told
Bloomberg. One of the primary beneficiaries of the exemption is Greg Flynn, a billionaire and longtime Newsom donor who has two dozen Panera Bread locations in California.