Transcript Highlights:

• Open AI CEOs, Sam, The trajectory has completely changed.
• Criteria for In AI-generated images, videos, or audio.
• So we're talking about AI-generated or AI-altered images, audio, and video.
• To ensure transparency and promote trust with these AI platforms and consumers.
• I want my generation to inherit opportunity in the AI age, not instability.

Summary: The committee first took up House Bill 2515, which addresses emerging large energy use facilities, especially data centers. Staff explained that the bill requires utilities to adopt tariffs or policies for data centers, adds reporting and sustainability requirements, sets renewable energy targets, and creates a sales tax exemption for certain eligible data center equipment in eastern Washington. The House sponsor said the bill is intended to protect ratepayers, grid reliability, water resources, and Washington’s climate goals as data center growth accelerates. Tribal representatives and several environmental and labor witnesses urged restoring provisions removed from the House version, especially authority to curtail data center load during energy emergencies and to refuse service if reliability or affordability would be harmed; they also asked for stronger water reporting and protections for salmon. Utility, business, and data center industry witnesses supported the bill’s general framework but raised concerns about implementation, costs, and some of the added requirements, while some opposed the tax exemption and the loss of earlier protections. No final action on 2515 was taken during the hearing portion shown. The committee then heard and acted on several bills in executive session. It passed Substitute House Bill 1302, which allows municipal utilities to waive connection charges for industrial symbiosis projects. It also passed House Bill 2338 on community-scaled weatherization projects after rejecting an amendment, and House Bill 2367 on eliminating preferential treatment for a coal-fired plant after rejecting an amendment. Substitute House Bill 2496 on tribal consultation by the Energy Facility Site Evaluation Council was amended and then passed, while amendments to change public meeting and tribal summary provisions were rejected. Engrossed Substitute House Bill 2225 on AI companion chatbots, House Bill 2426 on PCHB efficiency and appeals, House Bill 2606 on the Office of Privacy and Data Protection, Engrossed House Bill 2575 on reducing reporting obligations, and Engrossed Second Substitute House Bill 2215 on Climate Commitment Act compliance for fuels were also advanced, with some amendments adopted and others rejected. The committee then reopened public hearing on House Bill 2416, which would treat a Spokane waste-to-energy facility differently under the Climate Commitment Act by allocating no-cost allowances in the second compliance period and requiring a decarbonization and waste-reduction plan. Spokane city officials, labor, environmental groups, and Ecology generally supported the bill as a balanced approach that protects ratepayers while allowing the facility to decarbonize, though Avista raised a concern about language implying a utility compliance obligation. After that, the committee resumed testimony on House Bill 1170, which requires large AI providers to offer provenance tools and disclosures for AI-generated or altered images, video, and audio. Supporters said the bill would help workers and consumers identify synthetic media and prevent impersonation and misinformation, while industry and civil liberties witnesses argued the bill is technically difficult, uses new definitions, and may be unworkable or premature compared with California’s evolving approach.

Transcript Highlights:

• AI tools do not operate in a vacuum.
• AI tools do not operate in a vacuum.
• As a physician, I do see the promise that AI holds, but one of its greatest challenges is the risk of
• As one of the nation's largest integrated As one of the nation's largest integrated health care organizations
• As one of the nation's largest integrated mitigate such biased impacts.

Summary: The committee heard several health-related measures. SB 27 by Senator Umberg would revise and expand California’s CARE Court by limiting the expansion to people with bipolar I disorder with psychotic features, clarifying the definition of “clinically stabilized,” and narrowing the role of nurse practitioners and physician assistants. Supporters, including behavioral health officials and family members, said the bill would reduce dismissals and better serve people with severe illness; opponents warned the expansion would strain county staffing and housing resources and could undermine voluntary engagement. The bill passed on a do pass motion to the Committee on Public Safety. SB 503 by Senator Weber Pierson would require AI tools used in health care facilities to be identified, monitored, and mitigated for bias when used in clinical decision-making or resource allocation. The author and supporters from Kaiser Permanente and the California Medical Association said the bill would help prevent discriminatory outcomes and improve trust and safety. The committee discussed the need to clarify developer and deployer responsibilities, and the bill passed as amended to Privacy and Consumer Protection. SB 68 by Senator Menjivar would require restaurants to provide written allergen information for the top nine food allergens, with tiered flexibility for smaller establishments. The bill was supported by patients, families, nurses, and allergy organizations, who described severe reactions and the difficulty of relying on verbal disclosures alone. The California Restaurant Association opposed unless amended, seeking broader use of the national model food code and additional liability language. The bill passed as amended to Appropriations. The committee also heard SB 403 by Senator Blakespear, which would remove the sunset from the End of Life Option Act; supporters described the law as a compassionate, well-functioning option for terminally ill patients, while faith-based groups opposed it. The bill passed to Judiciary. Later, SB 41 by Senator Wiener was introduced to rein in pharmacy benefit manager practices that steer patients to mail-order pharmacies and reimburse community pharmacies below cost; community pharmacists and several health organizations testified in support, describing pharmacy closures and patient access problems.

Transcript Highlights:

• As AI tools are implemented by utilities, particularly generative AI, AI tools are implemented by utilities
• , particularly generative AI, public safety depends on the outputs of those AI tools receiving no less
• And AI is ultimately a tool.
• Can AI actually help enable some of that?
• We don't want AI to go roughshod on jobs.

Summary: The Senate Committee on Energy, Utilities and Communications heard a long agenda of energy, water, housing, and technology bills. SB 952 (Laird, presented by Perez) would give the Department of Water Resources more flexibility to meet the State Water Project’s 100% clean energy procurement goal by 2035 while managing costs; it drew support from the State Water Contractors and California Municipal Utilities Association and no opposition. The committee also heard SB 1417, which would extend transparency, notice, and public meeting requirements to mutual water companies’ rate increases; Senator Perez and supporters tied the bill to post-Eaton Fire recovery in Altadena, while the California Association of Mutual Water Companies opposed it, citing conflicts with tenant billing laws, privacy concerns, and burdensome meeting requirements. SB 1417 was approved on a split vote and the roll was left open. Members then considered SB 924, a low-income utility assistance/weatherization bill by Hurtado, which would require measurable affordability outcomes and better tenant-focused benefits; it passed to Appropriations with broad support from clean energy and community groups and no opposition. SB 925 (McNerney) would direct the California Energy Commission to develop a statewide roadmap for fusion energy; supporters from General Atomics, Clean Air Task Force, and TAE Technologies argued it would help keep fusion investment in California, and it passed unanimously to Environmental Quality. SB 1011 (McNerney) would require CPUC standards for human review and labor consultation before utilities deploy AI in operations; labor and utility engineer witnesses supported guardrails, while business and utility groups opposed or sought more review, warning of overregulation and overlap with other laws. The bill passed to Privacy, Digital Technology and Consumer Protection on a divided vote. The committee also advanced SB 1168 (McNerney), a study bill directing the CPUC to examine how data centers can pay their fair share of grid costs; data center and utility groups were opposed or neutral pending amendments, while climate advocates supported it, and it moved to Revenue and Taxation. SB 1196 (McNerney) would speed utility hookups for ADUs and JADUs by allowing earlier applications and setting timelines and penalties; housing advocates supported it and it passed to Local Government. SB 1350 (McNerney) would allow renewable portfolio standard credits for power plants using green hydrogen, drawing strong support from hydrogen, labor, utility, and local government interests, but opposition from TURN over greenwashing and tracking concerns; it passed to Environmental Quality. Finally, SB 1158 (Stern) would expand quarterly reliability reporting by the CEC and CPUC to include transmission and grid upgrade status; it was presented as a common-sense reliability measure and moved forward with support.

Transcript Highlights:

• And I bring to you House Bill 3362, the AI Infrastructure, Grid Integrity, and Water Resource Protection
• They have enacted their grid integrity law already.
• I use AI every single solitary day at work, all day.
• I know AI is becoming a huge issue, and we're going to need...
• My company presented at Davos, in fact, all about AI, AI first, AI usage, and we're trying to be a leader

Keywords: 959, house, all

Transcript Highlights:

• </c> uniquely vulnerable to AI feedback. uniquely vulnerable to AI feedback.
• It ensures AI integration is purposeful, aligned with our strategic plan, and grounded firmly in the
• AI chatbots, as well as specific platforms designed for AI companions like Character AI, Replika, or
• Clear consumer-facing labels on risk levels. that all AI safety or AI systems are that all AI safety
• </c> largest AI companies. largest AI companies.

Keywords: 912, senate, all

Transcript Highlights:

• AI in education is moving at lightning speed. It is unproven. It is unknown.
• AI in education is moving at lightning speed. It is unproven. It is unknown.
• The Brookings Institute recently reported on AI and education and came to this conclusion: AI can benefit
• learning or allow AI-diminished learning.
• Um, but I, I think, um, of the AI revolution.

Summary: The hearing opened with several procedural announcements and then took up AB 2148, which would prohibit artificial intelligence from replacing education workers. The author and supporters from the California Federation of Teachers and California School Employees Association argued the bill was a modest first step to protect human educators, students’ social-emotional development, and teacher agency in classroom technology decisions. Public support came from labor and education groups, while some school administrator and county office representatives said they were moving to neutral or awaiting the printed amendments. The committee discussed teacher shortages and the role of AI as a supplement rather than a replacement, then passed AB 2148 as amended to Higher Education on a 5-0 vote. The committee then heard AB 2202, which would create a Closing the Achievement Gap Commission to advise the State Board of Education. The author and sponsors said the commission would improve coordination between state and local education leaders and help the state better support local efforts to close achievement gaps. Support came from CSBA, CFT, charter schools, and many district leaders. Members raised questions about early childhood representation on the commission, and the author said he would discuss that with the sponsor. The bill passed as amended to Appropriations on a 5-0 vote. The consent calendar, including AB 1569, AB 2071, AB 2206, AB 2298, AB 2467, AB 2580, AB 2652, and AB 2726, was also approved. AB 2555 was then heard as a special order bill to reform English learner reclassification. The author said the current system is outdated, inconsistent, and too subjective, and proposed a more automatic, transparent process with stronger parent involvement and post-reclassification monitoring. Testimony in support emphasized personal experiences of delayed reclassification and the need to recognize biliteracy; there was no opposition. The bill passed as amended to Appropriations on a 6-0 vote. The committee also approved AB 1860, which would extend design-build authority to county offices of education while preserving prevailing wage, apprenticeship, and skilled workforce requirements; opposition from county superintendent and facilities groups was removed after amendments, and the bill passed 6-0 to Appropriations. Later, the committee passed AB 2514, which would create a State of Achievement Gap Dashboard to track state-level progress in closing achievement gaps, and AB 2149, which would require the Legislative Analyst’s Office to publicly assess the state’s progress and recommend actions. Both bills were presented as part of a broader package to improve state accountability for student outcomes, and both passed as amended to Appropriations on 7-0 votes. Finally, AB 2490 was heard, proposing to allow longer-term substitute assignments with added training, mentorship, and parent notification to address teacher shortages and classroom instability. Supporters said it would reduce “subchurn” and help maintain continuity, especially in special education; opponents, including CTA, Public Advocates, and CTC staff, argued the bill was unnecessary given existing rulemaking and could create legal and training concerns. The transcript cuts off during committee discussion of AB 2490, so no final vote is shown for that bill.

Transcript Highlights:

• </c><00:05:07.600><c> the</c> executive order to integrate the executive order to integrate the Department
• </c> adds staff to program Integrity adds staff to program Integrity operations<00:12:08.240><c> with
• </c> conducive to effective program Integrity conducive to effective program Integrity monitoring<00:
• </c> and abuse and enhance program Integrity and abuse and enhance program Integrity our<00:23:56.159
• before we came into session about AI, the governor, and I had a conversation about AI.

Bills: HF1470, HF1310, HF1837

Keywords: opioids, substance use, addiction recovery, mental health, state cabinet, HF1310, Office of Cannabis Management, cannabis, marijuana, tribal consultation, government-to-government relationship, Minnesota tribes, Tribal governments, state government, consultation, rulemaking, Indian affairs, cannabis regulation, tribal sovereignty, state-tribal relations

Transcript Highlights:

• and agentic AI that Craig mentioned earlier too.
• We also have integrations that we’re working through with other agencies at the state level, integrations
• And then there’s a cost of integrating all of this stuff.”
• There’s also AI auditing that can be done.
• Reduced IT integration.

Summary: The committee received a series of informational reports from NDIT and DPI on major IT projects, cybersecurity, and the K-12 student information system transition. Justin Data reviewed the quarterly major project portfolio, noting 111 projects totaling about $542.8 million, generally under budget and slightly behind schedule overall. He highlighted three schedule-red projects: Bed Management System and Vital Records, both now complete and being closed out, and the Roadway Capital Planning Project, which is delayed due to vendor bug fixes after user testing. He also summarized new project startups, including the Attorney General’s Victim Notification System, HHS Medicaid correctional facilities data exchange, Highway Patrol’s motor carrier e-permit system, and additional RIMS work, and answered questions about project timing, funding, and whether work had begun on legislatively funded IT projects. Chris Gurgan, NDIT’s chief information security officer, reported on mandatory cybersecurity incident reporting under HB 1314. He said 77 incidents have been reported since August 2021, with 47 meeting the statutory definition of a cybersecurity incident; phishing remains the most common type, followed by email quarantine alerts, XDR detections, and malware. He emphasized that most incidents are resolved, but that timely reporting is critical for any chance of recovering funds in business email compromise or ransomware cases. He also described several notable incidents since the last report, including the PowerSchool breach, a SimpleHelp intrusion at a school district, a court intrusion, a WSUS vulnerability, a business email compromise at a K-12 district, and a recent ransomware report involving a non-state critical infrastructure entity. Members asked about smishing, MFA, conditional access, security awareness training, and recovery of lost funds; Gurgan said state systems use phishing-resistant MFA and conditional access, training is provided to state employees and offered to political subdivisions on an opt-in basis, and broader cybersecurity maturity assessments are underway. Craig Falkley gave brief reports on coordination with political subdivisions and higher education, including shared networking, cybersecurity, radio/911, PeopleSoft, and co-location services. He also explained distributed ledger technology as a tool for decentralized, secure data sharing, but said the state has limited use for it and would likely frame future reporting more broadly around emerging technologies. The committee then heard from Tony Ambrose of DPI on the statewide Infinite Campus implementation. He said district implementations are underway, but the project had to terminate its original data migration vendor for poor performance and replace it with Aurora Educational Technology, which had experience with a similar North Carolina migration. He also said DPI is moving special education data from Tynet into Infinite Campus, is still working through how to preserve e-transcripts and Choice Ready-type functionality after the PowerSchool transition, and is developing identity, authentication, and data-sharing arrangements for the summer cutover. Members raised concerns about procurement timing, summer school disruption, and whether some functions would be ready by July 1.

Transcript Highlights:

• AI that Craig mentioned earlier too.
• We also have integrations that we're working through with other agencies at the state level, integrations
• There's also AI auditing that can be done.
• Reduced IT integration.
• Reduced IT integration.

Keywords: 908, all

Transcript Highlights:

• Today I'm proud to present AB 412, the AI Copyright Transparency Act.
• These discussions have not been about regulating AI.
• from the misuses of AI.
• My app integrates with users’ music streaming services to train our AI model on their music preferences
• , but obviously we don't know everything that goes into AI.

Keywords: 987, senate, all

Transcript Highlights:

• AI are supercomputers.
• AI are supercomputers. not good enough. AI are supercomputers.
• AI chatbots simply cannot do that.
• </c> the part of the public about what AI the part of the public about what AI actually<00:08:35.640>
• And this is uh problematic that AI.

Keywords: 1183, house

Transcript Highlights:

• And AI is very different than any technology.
• But if there are... if AI... ...they don't have to duplicate that notice, but if there are—if AI is replacing
• But they can't find a job because AI has taken it.
• AI and the impact that it's having in our workforce.
• When we decide how a machine should be integrated into our lives, technology, including AI, has made

Keywords: 988, house, all

Transcript Highlights:

• technologies by state agencies and the coming integration of AI capabilities into the tools that the
• technologies by state agencies and the coming integration of AI capabilities into the tools that the
• technologies by state agencies and the coming integration of AI capabilities into the tools that the
• </c><01:08:37.199><c> integration</c><01:08:37.759><c> of</c><01:08:37.920><c> AI</c> the coming integration
• of AI the coming integration of AI capabilities<01:08:38.960><c> into</c><01:08:39.199><c> the</c><01

Keywords: 1183, house

Transcript Highlights:

• So using AI is incredibly important going forward.
• Through our benefits program integrity efforts.
• The fraudsters are already using AI.
• I heard you say that AI is already here for the fraud.
• And are you saying that AI, using AI to catch fraud, stop fraud? Yeah, it's preventing the fraud.

Summary: The Senate Finance Committee met to hear interim charges on higher education transparency and on preventing fraud, waste, and abuse in state government. The chair emphasized accountability for taxpayer dollars and asked witnesses to address financial reporting, audit practices, and whether more frequent or comprehensive audits would improve oversight. Legislative Budget Board staff described how public university systems and most community colleges respond to requests about internal audit practices, noting that university systems generally follow a similar annual audit timeline and that community colleges use a more varied mix of internal and external audit arrangements. Members focused on gaps in reporting, especially Texas Southern University’s missing submissions for several years and Collin County Community College’s nonresponse to the LBB survey. The State Auditor’s Office then outlined its higher education audit work, including mandatory statewide single audits, DEI compliance audits, HUB and State Use Program audits, benefits proportional audits, and discretionary audits based on risk. The auditor said the office has released 43 higher-ed audit reports since fiscal year 2021 and has two audits in progress, and explained that internal audit reports from institutions help guide future audit selection. Senators pressed the office on the lack of enforcement authority, the value of internal auditors at each institution, and whether community colleges should have more standardized reporting and audit requirements. The auditor and general counsel said the SAO can refer suspected fraud to law enforcement but cannot itself enforce findings, while several senators suggested stronger clawback authority and more robust internal audit structures. The Texas Higher Education Coordinating Board explained that it collects annual financial reports, sources-and-uses data, and community college finance reports, and uses them for funding formulas and other reporting. It also trains governing board members and said it has limited regulatory authority, though community colleges must certify compliance annually and can lose eligibility for state funds if they do not. Members questioned the reliability of self-attested data, the adequacy of board training, and whether a single reporting structure would be more efficient. During public testimony, a ScholarShot representative argued for clearer, student-facing financial transparency so students can see total cost of attendance and the gap they must cover before enrolling.

Bills: SCR96, SCR164, SCR172, SCR166, SCR182, SCR7, SCR59, SCR58, SCR60, SCR89, SCR184, SCR11, HB2296, HB2315, HB2343

Keywords: electric reliability, renewable energy, interconnection, Hawaii Electric Reliability Administrator, Public Utilities Commission, capacity shortfalls, energy policies, critical infrastructure, foreign influence, local control, energy dependence, economic resilience, energy analysis, cost reduction, financial risk, Hawaii PUC, energy self-sufficiency, natural gas, energy transition, ratepayer protection

Bills: SCR96, SCR164, SCR172, SCR166, SCR182, SCR7, SCR59, SCR58, SCR60, SCR89, SCR184, SCR11, HB2296, HB2315, HB2343

Keywords: electric reliability, renewable energy, interconnection, Hawaii Electric Reliability Administrator, Public Utilities Commission, capacity shortfalls, energy policies, critical infrastructure, foreign influence, local control, energy dependence, economic resilience, energy analysis, cost reduction, financial risk, Hawaii PUC, energy self-sufficiency, natural gas, energy transition, ratepayer protection

Bills: SCR96, SCR164, SCR172, SCR166, SCR182, SCR7, SCR59, SCR58, SCR60, SCR89, SCR184, SCR11, HB2296, HB2315, HB2343

Keywords: electric reliability, renewable energy, interconnection, Hawaii Electric Reliability Administrator, Public Utilities Commission, capacity shortfalls, energy policies, critical infrastructure, foreign influence, local control, energy dependence, economic resilience, energy analysis, cost reduction, financial risk, Hawaii PUC, energy self-sufficiency, natural gas, energy transition, ratepayer protection

Bills: SCR96, SCR164, SCR172, SCR166, SCR182, SCR7, SCR59, SCR58, SCR60, SCR89, SCR184, SCR11, HB2296, HB2315, HB2343

Keywords: electric reliability, renewable energy, interconnection, Hawaii Electric Reliability Administrator, Public Utilities Commission, capacity shortfalls, energy policies, critical infrastructure, foreign influence, local control, energy dependence, economic resilience, energy analysis, cost reduction, financial risk, Hawaii PUC, energy self-sufficiency, natural gas, energy transition, ratepayer protection

Bills: SCR96, SCR164, SCR172, SCR166, SCR182, SCR7, SCR59, SCR58, SCR60, SCR89, SCR184, SCR11, HB2296, HB2315, HB2343

Keywords: electric reliability, renewable energy, interconnection, Hawaii Electric Reliability Administrator, Public Utilities Commission, capacity shortfalls, energy policies, critical infrastructure, foreign influence, local control, energy dependence, economic resilience, energy analysis, cost reduction, financial risk, Hawaii PUC, energy self-sufficiency, natural gas, energy transition, ratepayer protection

Bills: SCR96, SCR164, SCR172, SCR166, SCR182, SCR7, SCR59, SCR58, SCR60, SCR89, SCR184, SCR11, HB2296, HB2315, HB2343

Keywords: electric reliability, renewable energy, interconnection, Hawaii Electric Reliability Administrator, Public Utilities Commission, capacity shortfalls, energy policies, critical infrastructure, foreign influence, local control, energy dependence, economic resilience, energy analysis, cost reduction, financial risk, Hawaii PUC, energy self-sufficiency, natural gas, energy transition, ratepayer protection