To the extent this would be voluntary on the part of business owners, who would retain the option of having a "no dogs" rule (excluding other than "working dogs" as defined in current law), I see no problem with this legislation.
Well behaved dogs (actually, well behaved owners who have and keep their dogs under control) are never much of a problem. Growlers, slobberers, and "everybody loves me so I can approach 'em" type dogs are a nuisance. (My last pooch was of the slobberer-everybody-loves-me persuasion. She was a pure delight to me, but not reliably inoffensive in close quarters public settings, and so stayed home on those occasions.)
I don't tolerate growlers and usually threaten to eat their livers. But that's another matter.
This bill should pass with the voluntary option.