Transcript Highlights:

• Representative Brown: ...successfully complete the three-week SBA after their senior year and enroll

Committee: All LEGISLATIVE JOINT AUDITING

Summary: The committee first adopted prior minutes and then heard several standing committee audit reports. The executive committee report noted audit and special reports scheduled for the month, one outstanding committee-requested report, and a request to gather information on a possible special report for February. The city/county/local report covered delinquent private water and sewer audits, including reinstatement of turn-back funds for 17 entities, 59 of 64 delinquent 2023 entities filing reports, and action on the town of Daisy requiring repayment of misused street funds. The education report filed three higher education audit reports and deferred one Northwest Arkansas Community College report. The state agencies report filed four reports and deferred audits of the Department of Human Services and the Department of Parks, Heritage, and Tourism for more information on corrective actions. The committee then received a special audit review of the Charles W. Donaldson Scholars Academy at UA Little Rock. Auditors said the program received $10 million in desegregation funding and a $50,000 grant, awarded $1.87 million in scholarships to 379 students, and saw 116 students graduate. The review found many scholarship eligibility exceptions, including awards above the maximum and to students who did not meet GPA, enrollment-hour, or full-time requirements, and numerous disbursement documentation and authorization problems. Committee members sharply questioned the program’s oversight, the role of former staff, the use of funds for travel and cultural activities, and whether any improper spending should be referred for criminal review. UALR representatives said the program was overseen as a sponsored program, that some controls were later strengthened, and that Philander Smith only verified enrollment rather than eligibility. The committee voted to table the report until the next meeting and asked staff to gather the federal court order and additional information. Finally, the committee reviewed the annual report on matters referred to prosecutors and the Attorney General for 2024. Staff said 164 matters were referred, with 28 criminal charges filed, 39 still under review, 3 dismissed, 5 pending in court, and 96 not charged; convictions in 20 cases led to fines, restitution, audit costs, and some bond trust fund payments. Prosecutor representatives explained that many referrals do not become criminal cases because of intent, timing, or other legal limits, and said they generally seek restitution even when charges are not filed. Members asked for more standardized reporting, including whether restitution was recovered and why cases were not prosecuted, and discussed possible training and a checklist for future reports. The committee then voted to file the report and adjourned, with the next meeting set for February 12-13.

Transcript Highlights:

• trafficking survivors can only be sealed of misdemeanor theft, prostitution, and marijuana offenses, but SBA

Bills: SB251 , SB608 , SB487 , SB535 , SB761 , SB955 , SB957 , SB958 , SB988 , SB990 , SB1019 , SB1021 , SB1120

Committee: Senate Criminal Justice

Transcript Highlights:

• There are examples with SBA small business lending programs, green banks, and other debt products that

Summary: The committee heard a long housing agenda with several bills presented before quorum was established. AB 1725, as amended, would require disclosure of nearby oil wells and methane monitoring issues in a specific district; the author and community witnesses described serious health and safety risks in Vista Hermosa Heights, while the California Apartment Association, California Building Industry Association, and California Chamber of Commerce opposed, arguing the bill targeted the wrong industry and that the state should instead fix abandoned wells directly. AB 2110, a local finance tool to create tax increment districts for workforce housing for education, health care, manufacturing, and public safety workers, drew no witnesses in support or opposition and was presented as a way to help workers live closer to jobs. AB 1732 would expand CEQA streamlining for public university and college housing projects; UC and several housing and labor groups supported it, while housing advocates raised concerns about amendments affecting existing 100% affordable housing exemptions. AB 1771, amended into a study bill, would direct HCD to report on the long-standing resident manager requirement for apartment buildings with 16 or more units; the rental housing industry supported studying the issue, while the chair emphasized the need to consider tenant protections and the impact on current resident managers before changing the law. The committee also heard AB 2185, which would direct state affordable housing programs to update guidelines to better support factory-built housing; it drew broad support from housing, labor, technology, and local government groups, with no opposition. AB 2748 would delay new EV-readiness requirements for 100% affordable housing developments, keeping the prior 40% standard through 2035; supporters said the higher standard would add significant costs and threaten project feasibility, while clean air and transportation advocates argued the code changes are modest, important for equity, and should not be rolled back. Members split along those lines, with some emphasizing housing production and others urging more public subsidy for EV infrastructure rather than delaying the code. SB 417, a proposed $10 billion affordable housing bond for the November ballot, received extensive support from housing organizations, local governments, labor, and business groups, but Habitat for Humanity and the Los Angeles mayor’s office asked for specific allocations for CalHome and interim housing; the bill was ultimately moved to Appropriations on an 8-0 vote, with members noting ongoing negotiations over funding priorities. Finally, AB 1740 would create an urban multimodal community designation for Santa Monica, allowing local approval of certain low-impact coastal-zone activities—such as some housing, bike and bus lanes, outdoor dining, and building changes—without Coastal Commission review. The author and Santa Monica officials said the bill would reduce delays and uncertainty for infill housing and local economic recovery while preserving protections for sensitive coastal resources; supporters included housing, business, and city groups. The Coastal Commission and environmental organizations opposed, saying the bill would carve out broad exemptions, weaken public access and appeal rights, and bypass the local coastal program process that Santa Monica has not completed. Committee members debated the Commission’s role, with some criticizing it for opposing legislation and others arguing the bill was a common-sense way to modernize coastal permitting. A motion and second were made on AB 1740, and the bill was left pending with the committee’s action to be taken when appropriate.

Transcript Highlights:

• There's examples with SBA small business lending programs, green banks, other debt products that provide

Committee: House Housing and Community Development

Transcript Highlights:

• I'm here testifying on behalf of myself But I want to first qualify my experience that would maybe lend
• is Sarah Stephens and I'm a former middle school librarian here in Austin and thank you for passing SBA

Bills: SB12 , SB1565 , SB13 , SJR12 , SB686 , SB371 , SB204 , SB609 , SB112 , SB400 , SB813 , SB 12 , SB 13

Committees: Senate Education , Senate Education K-16

Transcript Highlights:

• From my own experience with standardized tests like the SAT, ACT, and SBA, I've seen how scores can improve

Bills: SB6192 , SB6206 , SB5346 , SB6125 , SB5841 , SB5907 , SB5951

Committee: Senate Early Learning & K-12 Education

Keywords: education, reading, mathematics, student intervention, instruction, academic standards, child care, first responders, incentives, pilot program, mobile phones, cell phones, smartphones, school phones, classroom distraction, digital citizenship, media literacy, internet safety, cyberbullying, student mental health

Transcript Highlights:

• So it's important to realize that there's over 4.2 million California small businesses that meet the SBA

Committee: House Economic Development, Growth, and Household Impact

Transcript Highlights:

• SBA 19 is a common-sense reform that restores integrity to our legislative process and ensures that our

Bills: SB 18 , SB 19 , SB18 , SB19 , SB666 , SB688 , SB707 , SB888

Committee: Senate State Affairs

Transcript Highlights:

• fact, across the state, many departments, people on probation are being let go, 1,000 in DOJ, 250 in SBA

Committees: Senate Subcommittee on Cybersecurity , Senate Subcommittee on Personnel

Keywords: Steven Feinberg, Deputy Secretary of Defense, national security, budget cuts, military readiness, global threats, Department of Defense

Summary: The meeting primarily focused on the nomination of Steven Feinberg as Deputy Secretary of Defense. The committee emphasized the urgent need for strong leadership in response to a complex array of global threats posed by adversarial coalitions, including China, Russia, and Iran. The discussions highlighted concerns regarding budget cuts and personnel reductions within the Department of Defense, showcasing the challenges posed by the current economic context and the pressing need to maintain military readiness and capabilities. Various members expressed their apprehensions about how impending layoffs and budget reductions would impact the defense workforce and national security.

Transcript Highlights:

• And these programs have been critical to achieving further funding from our bank, as well as the SBA.
• And these programs have been critical to achieving further funding from our bank, as well as the SBA.

Bills: HF3580 , HF3566

Committee: House Agriculture Finance and Policy

Transcript Highlights:

• And just looking at one measurement, only 25% of Hawaiʻi students passed the math SBA, only 36% passed
• the science SBA, and for the ACT test, only 16 and 70% are college ready for math and science.
• only 25% of Hawaii students passed the only 25% of Hawaii students passed the math<05:44:44.440><c> SBA
• ,</c> math SBA, math SBA, only<05:44:45.960><c> 36%</c><05:44:46.840><c> passed</c><05:44:47.360><c>
• the the science SBA, only 36% passed the the science SBA, and<05:44:49.920><c> for</c><05:44:50.000>

Bills: HB2459 , HB1616 , HB1799 , HB1604 , HB1732 , HB1736 , HB1931 , HB772 , HB2153 , HB2122 , HB2009 , HB2012 , HB1779 , HB2296 , HB2397 , HB2398 , HB1596 , HB2233 , HB1976 , HB1563 , HB815 , HB1655 , HB1851 , HB1941 , HB2037 , HB1635 , HB2201 , HB1943 , HB1163 , HB2452 , HB2429 , HB2148 , HB2306 , HB2007 , HB2049 , HB2616

Committee: House Finance

Keywords: food innovation, agribusiness, food safety, market access, branding, economic diversification, performance indicators, agriculture, aquaculture, commercial activity, swine production, Korean natural farming, housing development, commercial projects, county authority, public works, construction standards, exemption, zoning, housing

Transcript Highlights:

• The California Fair Lending Examination Act.
• fair lending examination whenever risks or red flags are identified.
• fair lending examination whenever risks or red flags are identified.
• fair lending examination whenever risks or red flags are identified.
• I'm the Executive Director of the Responsible Business Lending Coalition.

Committee: Senate Banking and Financial Institutions

Transcript Highlights:

• The California Fair Lending Examination Act. You can just sit there. What the bill does.
• The California Fair Lending Examination Act. You can just sit there. What the bill does.
• fair lending examination whenever risks or red flags are identified.
• I'm the Executive Director of the Responsible Business Lending Coalition.
• Glazer's bill around trust and what is it called, truth in lending bill.

Summary: The committee heard AB 801, which would require the Department of Financial Protection and Innovation to conduct fair lending examinations of lenders on a regular schedule. The author and supporters, including the Greenlining Institute and several housing and consumer groups, argued the bill was needed because federal fair lending enforcement has weakened and California borrowers of color continue to face lending disparities. Banking and credit union representatives opposed the bill as duplicative and costly, though they acknowledged the author’s amendments and continued negotiations. The bill was approved on a vote and re-referred to Judiciary, with some members voting no or not voting at first and later the measure passing on a fuller roll call. The committee then heard AB 871, which would strengthen elder fraud protections by requiring financial institutions to report suspected financial abuse to the FBI’s Internet Crime Complaint Center and notify customers of the report. The author and county and adult protective services supporters said the bill would improve pattern detection and help stop or reverse scams more quickly. Bankers opposed the customer-notification requirement, warning it could alarm seniors and that the reporting process would add operational burden, but the author and supporters said victim information is important for investigations. The bill passed with committee support and was re-referred to Judiciary. AB 1842 and AB 1847, both related to mortgage forbearance after major disasters and the Eaton and Palisades fires, were also heard. AB 1842 would create a statewide framework for forbearance after federally declared major disasters, and AB 1847 would extend relief for wildfire survivors; both bills were amended to narrow triggers, clarify repayment and documentation issues, and remove some reporting requirements. Supporters included local officials, consumer groups, and housing advocates, while mortgage and banking groups remained in opposition on some implementation points but said they were working toward compromise. Both bills were approved and re-referred to Judiciary. Finally, AB 2116, dealing with merchant cash advances and small business financing transparency, was heard with broad support from small business and consumer advocates and partial support from some industry representatives after amendments; opponents still raised concerns about disclosure authority and unconscionability standards. The bill was also approved and sent to Judiciary. The committee additionally adopted a consent calendar of unrelated bills.

Transcript Highlights:

• </c> a New Concept the first lending a New Concept the first lending Authority<00:08:35.560><c> was</
• </c> board meeting we approved our lending board meeting we approved our lending policies<00:20:50.679
• and procedures The Lending policies and procedures The Lending policies<00:20:53.440><c> and</c><00:
• Lastly, Vol indicated that we did codify our lending standards.
• </c><00:41:33.640><c> uh</c> controls in our uh our lending uh controls in our uh our lending uh operations

Committee: Senate Energy, Utilities, Environment, and Climate

Transcript Highlights:

• And to identify patterns of discriminatory lending and investment practices.
• and the proportion of that lending to low- and moderate-income borrowers.
• and the proportion of that lending to low- and moderate-income borrowers.
• Credit unions exist to offer pooled savings and lending services for member owners.
• The style and the ways of lending has changed dramatically.

Summary: The Assembly Banking and Finance Committee met to hear several bills, beginning with a consent calendar that included AB 665 and AB 866, both adopted on a do pass basis and referred to Appropriations. The committee then took up AB 801, which would create a California Community Reinvestment Act to require covered financial institutions, including state-chartered banks, credit unions, residential mortgage lenders, and money transmitters, to meet the financial needs of low- and moderate-income communities and communities of color. The author and supporters argued the bill would close gaps left by the federal CRA, address redlining and discriminatory lending, and expand investment in housing, small business, and community development. Support came from community groups, CDFIs, labor, and housing advocates, while opposition from mortgage bankers and credit unions argued the bill would impose costly new reporting and regulatory burdens, especially on institutions they said already serve underserved borrowers well. Committee members discussed the scope of the bill, the experience of other states with state CRA laws, and possible carve-outs or tiered treatment for smaller credit unions. AB 801 was passed as amended and referred to Appropriations, with the roll left open and later completed; one member voted no and others were not voting or voted aye as the roll was finalized. The committee also heard AB 743, which would require licensing and surety bonds for commercial lawsuit financing and bring those transactions under DFPI oversight. The author said the bill was aimed at a largely unregulated, multi-billion-dollar industry and was intended to increase transparency and address concerns about foreign interests, fraud, and abusive litigation funding practices, while not affecting consumer legal funding. Supporters, including Unified Patents, the Civil Justice Association of California, the California Chamber of Commerce, the California Trucking Association, and the American Property Casualty Insurance Association, said the bill was an important first step toward disclosure and regulation. There was no opposition testimony. AB 743 passed unanimously as amended and was referred to Appropriations, with the roll held open briefly for absent members before the committee adjourned.

Transcript Highlights:

• A public bank could leverage deposits to multiply lending.
• It says $1 of deposits can become $3 to $10 in community lending.
• Banks hold capital in reserve, and they can lend.
• Banks hold capital in reserve, and they can lend as a multiple of that equity.
• “However, Washington State currently does have various lending programs and services.

Summary: The committee first received a JLARC work session on the 2025 tax preference performance reviews, covering nine tax preferences and recommending legislative action on eight. JLARC reviewed natural gas transportation fuel preferences, travel agent and tour operator B&O rates, a property tax exemption for nonprofit low-income housing developers, and several shorter reviews including senior center property tax relief, a disabled veteran adapted housing remittance, trade convention nexus treatment, wholesale sales of fertilizer/pesticides/seed, a hazardous substance tax exemption for pesticides stored for out-of-state shipment, and three energy-related preferences for a silicon smelter. JLARC generally recommended continuing preferences that met stated or inferred objectives, modifying some to improve reporting or performance metrics, and allowing the unused silicon smelter preferences to expire. The Citizen Commission endorsed JLARC’s recommendations, and committee members asked a few clarifying questions, including about trends in travel agent/tour operator beneficiaries and the housing exemption’s performance metric and data issues. The committee then heard a work session and public hearing on Senate Bill 5754, which would create a Washington State public bank. A presentation from California public banking advocates and the Bank of North Dakota described public banks as government-owned financial institutions intended to keep public funds working locally, support lending for housing, infrastructure, and community development, and partner with community banks and credit unions. Committee questions focused on leverage, liquidity, constitutional issues, and how the model would interact with existing state investment and debt structures. Staff summarized the bill’s structure, including activation conditions, governance, powers, and fiscal impacts, noting the fiscal note was largely indeterminate and startup costs could be significant. Public testimony on SB 5754 was divided. Supporters included statewide elected officials, county and city officials, labor, educators, community advocates, and residents, who argued the bank could lower borrowing costs, improve access to capital, keep public money in Washington, and help finance infrastructure, housing, and disaster resilience. Opponents included community bankers and county treasurers, who warned about risks to safety and liquidity of public funds, questioned the need for a new institution given existing programs, and argued the proposal lacked a proven track record in Washington. The hearing concluded with no vote taken in the transcript.

Transcript Highlights:

• </c> Minnesota's existing payday lending law. Minnesota's existing payday lending law.
• </c> the Exodus Lending folks for coming. the Exodus Lending folks for coming.
• payday lending isn't available.
• </c> opportunities for exploitive lending. opportunities for exploitive lending.
• </c> payday lending isn't available. payday lending isn't available.

Bills: HF2400 , HF1724 , HF3437 , HF4333 , HF2874 , HF4052

Committee: House Commerce Finance and Policy

Keywords: real estate, appraisers, disciplinary actions, sanction matrix, Minnesota Statutes, direct primary care, healthcare agreements, medical services, patient care, health insurance, mortgage fees, residential loans, commercial loans, finance regulations, investment properties, insurance, supplemental health insurance, short-term care, home health care, nursing care

Transcript Highlights:

• And then the other question that I have is about the delay in the SBA and the rate changes that are being

Committee: House Human Services Finance and Policy

Transcript Highlights:

• From my own experience with standardized tests like the SAT, ACT, and SBA, I've seen how scores can improve

Summary: The committee heard Senate Bill 6192, which would expand structured literacy and numeracy requirements, add a third-grade math intervention process similar to the existing reading “gate,” create annual STAR teacher bonuses for selected math and ELA teachers, and require updated teacher endorsement standards. The sponsor, Sen. Braun, said the bill is meant to refocus districts on core academics and use research-based instruction while still allowing local flexibility, especially in math. OSPI said it supports the bill’s goals but raised concerns about the teacher award structure and access to student-level data. ESD representatives also flagged implementation issues with the award program. Testimony was split: some parents, students, and reading advocates opposed the bill as too prescriptive or too reliant on phonics and standardized testing, while others supported stronger academic intervention and accountability. No vote was taken. The committee then heard Senate Bill 6206, a pilot program to incentivize child care providers to serve children of first responders through grants administered by the Department of Commerce, with local matching funds and a report on recruitment and retention outcomes. Sen. Dhingra said the bill addresses a major barrier for police, firefighters, EMTs, and crisis workers, especially women leaving the field because of child care challenges. Testimony from law enforcement officers, union representatives, and a national law enforcement child care foundation strongly supported the bill, describing unpredictable schedules, last-minute overtime, and the need for nontraditional and sick-child care. Senator Wilson asked about existing non-standard-hours child care bonuses and whether the proposal should instead be housed at DCYF; staff explained the current subsidy program and that this bill would create a separate Commerce pilot. No vote was taken. Finally, the committee heard Senate Bill 5346 on student mobile device use in public schools. The bill would add mobile devices to digital citizenship instruction, direct OSPI to compile research and best practices, and require reports on school policies limiting phone use during instructional hours, with final recommendations due in 2028. Sen. Leas argued that phones are distracting, harm learning and mental health, and should be restricted in schools while still teaching responsible use. Testimony was largely supportive from students, parents, educators, and researchers who described improved engagement, fewer disruptions, and better school climate under phone restrictions; several urged a stronger bell-to-bell statewide policy. Opponents raised concerns about emergency communication, student safety, and local control. The hearing on the bill was closed without a vote.

Transcript Highlights:

• And, of course, they had the PPP loans and the SBA loans, but, I mean, all that does is put us backward

Summary: The Assembly Budget Subcommittee on Accountability and Oversight held a hearing on the Trump administration’s freeze of federal child care and social services funding and its potential impact on California. The chair opened by emphasizing that child care is economic infrastructure and warning that the freeze could destabilize California’s $10 billion child care system. The Legislative Analyst’s Office and the Department of Social Services explained that California child care programs rely on roughly $1.4 billion in federal CCDF and TANF funds, which are blended with state dollars and support hundreds of thousands of children and families. CDSS said the state and four other Democratic-led states quickly sued, obtaining a temporary restraining order that has kept the funds flowing for now. Witnesses including Los Angeles County Supervisor Holly Mitchell, child care provider Amisha Griffin, and parent advocate Mara Linda Bustamante described the practical consequences of a funding interruption: providers could lose reimbursement, close centers, cut enrollment, or lay off staff; parents could lose child care, jobs, or school opportunities; and counties could not backfill the lost federal dollars. Several speakers stressed that child care centers also provide wraparound supports such as nutrition, developmental screening, and referrals, especially in rural and low-income communities. Mitchell and others argued that the freeze would worsen child care deserts and disproportionately harm women, single parents, and communities of color. Members repeatedly challenged the federal rationale of “waste, fraud, and abuse,” asking for oversight details. CDSS said providers face extensive audits, fraud policies, monitoring, and recoupment procedures, and that identified fraud amounts to about $7 million over two years compared with roughly $6.5 billion in annual child care spending. Several members said the fraud rate is under 1 percent and criticized the freeze as politically motivated and illegal. They also discussed the need for a state “bridge plan” to protect families if federal funds remain disrupted, and some members referenced prior legislation to modernize CalWORKs and child care eligibility. During public comment, parents, providers, county representatives, and advocacy groups echoed the same concerns, citing waiting lists, workforce losses, and the risk of families falling back into homelessness or poverty. No formal vote was taken; the hearing concluded with broad bipartisan expressions of support for child care funding and a commitment to continue working on state protections and federal advocacy.