Transcript Highlights:

• more sense for a developer to shoulder the cost. legal defense.
• more sense for a developer to shoulder the cost.
• a developer to shoulder the costs of joint legal defense.
• Infrastructure bonds.
• This is the Housing and Community Development Committee.

Summary: The Assembly Housing and Community Development Committee heard a long agenda of housing-related bills, beginning with AB 518 on low-impact camping areas. The author and supporters said the bill would streamline permitting for small rural camping operations on private land, expand outdoor access, and support rural economies, while opponents from campground associations and counties warned it could undermine existing regulation, create enforcement problems, and allow advertising of unpermitted sites. Members raised concerns about fire safety and local control, but the bill was ultimately passed as amended on an 8-0 vote. The committee then approved AB 635, which would require HCD to refer up to 25 of the most serious mobile home residency law complaints to the Attorney General. Supporters said mobile home residents need stronger enforcement against egregious park-owner violations, while opponents argued the existing program is underused, costly, and should remain subject to a sunset. After discussion of the program’s surplus and enforcement role, the bill passed 9-1. AB 893, which expands ministerial approval for mixed-income housing near college campuses and broadens eligibility for affordable units to students, faculty, and staff, also drew strong support from student advocates and housing groups and respectful opposition from the League of California Cities over local control and height limits; it passed 10-0. AB 925, the Mobile Home Emergency Safety Act, would require stronger emergency preparedness measures in mobile home parks, including accessible exits, working fire hydrants, and gas shutoff access, with a fee increase to fund enforcement. Supporters framed it as a life-safety measure in disaster-prone areas, while opponents argued the bill duplicates existing requirements and imposes an unnecessary fee increase. The committee voted 6-1 to send it to Appropriations, with the bill left on call. The consent calendar, including several other housing and local government bills, was approved 8-0. The committee also heard AB 712, which would increase penalties and attorney-fee protections for applicants enforcing state housing laws against public agencies; supporters said it would improve compliance, while special districts opposed the bill as overly broad and unclear. Members discussed indemnification and timing issues, and the bill was advanced with amendments to Judiciary.

Transcript Highlights:

• I'm the Director of the Department of Housing and Community Development.
• So this is the Department of Housing and Community Development.
• So the Housing and Community Development is a department within the agency.
• We know developers out there... Things that we know the public has asked.
• We are welcoming the Governor's Office of Business and Economic Development.

Summary: The subcommittee first heard an informational presentation on the May Revision’s proposed reorganization of the Business, Consumer Services and Housing Agency into separate housing-focused and consumer/business-focused entities. Administration officials said the split would improve oversight, streamline decision-making, and create a dedicated California Housing and Homelessness Agency with a new housing development and finance committee. The Department of Finance said funding was needed in 2025-26 to begin implementation, while the LAO recommended rejecting the proposal without prejudice because the Little Hoover Commission review was still pending and the plan would require ongoing General Fund costs. Members raised concerns about the timing, the lack of alignment with the budget process, and whether the reorganization would improve accountability for homelessness spending; several public witnesses supported the concept but stressed it could not substitute for new housing and homelessness dollars. The committee then took up the Department of Veterans Affairs. CalVet requested funding for phase three of its electronic health care record project and a trailer bill to preserve authority for federal background checks, but the May Revision withdrew requests for deferred maintenance and additional administrative support. The LAO noted deferred maintenance can prevent larger future costs, and the chair criticized the withdrawal of less than $1 million for veterans’ homes as short-sighted given existing repair needs. No vote was taken. Next, the Department of Housing and Community Development presented its budget. HCD said the May Revision provides no new affordable housing or homelessness funding, but does retain existing rounds of funding and proposes a $31.7 million reversion from undersubscribed housing programs. Members from both parties expressed concern about zeroing out ongoing housing and homelessness investments, especially for LIHTC, the Multifamily Housing Program, and HAP. HCD also defended its homelessness accountability and compliance work, saying the unit includes about 30 program staff and six attorneys, with three additional attorneys requested mainly to handle public records and litigation workload. Public commenters largely opposed the lack of new funding and urged continued support for housing and homelessness programs, while some supported the reorganization and accountability efforts. Finally, the committee heard Go-Biz proposals. The administration requested authority to increase funding for a federal trade program match if needed, plus reappropriations for administrative funds tied to the Containerized Ports Interoperability Grant Program, zero-emission vehicle operations, and the Women’s Business Center Enhancement Program. It also proposed withdrawing the Cal Competes grant request and reverting remaining funds from the Performing Arts Equitable Payroll Fund. The LAO said Cal Competes is generally effective but could be cut as a budget solution, while warning that the performing arts fund was close to awards and should be considered carefully. Members objected to pulling back committed funds for performing arts organizations and questioned why the state would withdraw support after applications had already been submitted.

Transcript Highlights:

• was designed to bring in new revenue to help strengthen both our education and transportation infrastructures
• He is also the chair of the Transportation and Infrastructure Committee, and he is the representative
• He's also the chair of the Transportation and Infrastructure Committee, and he's the representative for
• communities. ...opportunity to address the significant infrastructure needs of our rural communities
• The $50 million allocated in this amendment,... ...road infrastructure cannot be overlooked.

Keywords: 995, all

Summary: The House opened with the Pledge of Allegiance and adopted two ceremonial resolutions: one commemorating the dedication of the Woburn Battle Road Memorial as part of the Massachusetts 250th celebration, and another recognizing May 1-7 as Elks National Youth Week. The chamber then took up House Bill 4005, a fiscal year 2025 supplemental appropriations bill using FY24 Fair Share surtax surplus funds, and ordered it to a third reading before later considering it for passage to be engrossed. During debate on the bill, the House heard a lengthy presentation in support of the proposal, which would direct about $828 million to transportation and $353 million to education. The transportation spending was described as primarily supporting the MBTA, including workforce and safety funding, reserve replenishment, station and infrastructure improvements, reduced fares, and reimbursement for tunnel closure costs, along with smaller amounts for regional transit authorities and unpaved roads. The education side included additional special education circuit breaker funding, vocational school capital, early education workforce supports, early literacy, universal school meals, higher education endowment matches, Green School Works, and ESOL waitlist reduction, with the Inspector General directed to review circuit breaker cost controls. Members then debated several amendments. One amendment related to a school athletics policy was modified by a further amendment calling for DESE analysis before implementation; both the further amendment and the underlying amendment as amended were adopted. A transportation amendment to shift $50 million from MBTA funding to Chapter 90 municipal roads was supported by members emphasizing rural road needs but was rejected on a roll call, 25-120. Another transportation amendment adding at least $300,000 for Route 93 mitigation costs in Medford was adopted, 133-20. The bill itself then passed to be engrossed on a roll call, 140-14. The House also observed moments of silence for former First Lady Kitty Dukakis and for victims of the Santo Domingo nightclub collapse, and later adopted an order to meet the next day at 11 a.m. before adjourning in memory of former Representative Philip W. Johnston.

Transcript Highlights:

• critical public health infrastructure critical public health infrastructure needs<00:33:46.640><
• critical public health infrastructure critical public health infrastructure needs<00:34:23.119><
• This work was infrastructure needs.
• Minnesota's infrastructure? Minnesota's infrastructure?
• So in developing our on our goals.

Keywords: 1187, senate, all

Transcript Highlights:

• Our CVG infrastructure environment.
• ,<00:54:54.400> talent<00:54:54.640> retention, development, talent retention, development
• <00:58:16.000> seed agricultural economic development seed agricultural economic development
• > a<00:58:21.360> comprehensive And the development of a comprehensive And the development
• , economy, the landscape, infrastructure, economy, the landscape, infrastructure, everything.<01:

Keywords: 958, all

Summary: The task force met on October 14, confirmed a quorum, and adopted the September 16, 2025 minutes. Members then received a Kentucky Air National Guard 101 briefing from Brigadier General Bruce Bancroft, commander of the Kentucky Air National Guard, who described the Guard’s structure, missions, and statewide role. He emphasized that Kentucky is a single-wing state centered at Louisville’s 123rd Airlift Wing and highlighted several unique capabilities, including the Contingency Response Group, critical care air transport teams, medical detachment for chemical environments, explosive ordnance disposal, fatality search and recovery, and special tactics personnel. General Bancroft also discussed staffing and readiness, saying the Guard has 1,273 authorized positions, with a mix of AGR, Title 32, and Title 5 personnel. He noted that AGR positions are funded at about 96 percent, while technician positions are funded at about 53 percent, leaving the organization to operate at roughly 75 percent of authorized manpower overall. He said the wing converted from the C-130H to the C-130J in 2021 and completed the transition in about 2.5 years, ahead of the original three-year timeline. The briefing further covered the Guard’s operational tempo and community role. Bancroft said the unit has earned 21 Air Force Outstanding Unit Awards, has deployed about 500,000 days since 9/11 across 45 countries, and routinely supports federal and domestic missions. He described the C-130J’s tactical airlift, airdrop, and blacked-out operations as directly useful for disaster response in Kentucky, and he pointed to strong ties with UPS and other aviation employers. No votes or formal actions were taken beyond approval of the prior minutes.

Transcript Highlights:

• condition of our physical infrastructure condition of our physical infrastructure and<00:01:31.360
• I saw firsthand those infrastructure needs as you did, and they're real.
• That develops that whole child.
• activities and assistance in developing activities and assistance in developing those<01:20:22.639
• critical to maintain the infrastructure critical to maintain the infrastructure that<01:37:50.040

Keywords: 1187, senate, all

Transcript Highlights:

• These empowerment areas are part of Florida's water infrastructure, not unused land.
• development.
• Smaller homes, since starter homes need a smaller lot to be developed.
• I just want to see more of those infrastructure plans put into play.
• It's a tied bill and that provides the financing infrastructure for this bill.

Transcript Highlights:

• Next up we have the Peace Development Authority. Good morning.
• It's regulated by the Peace Development Authority's Division of Ports and Harbors.
• The Maritime Administration's Port Infrastructure Development Program has monies that we have asked..
• The Maritime Administration's Port Infrastructure Development Program has monies that we have asked for
• We're requesting approval for funding to develop a planning data portal.

Keywords: 928, house, all

Transcript Highlights:

• And this has... ...who have inefficient housing infrastructure and appliances.
• I manage the housing division at the Department of Land Conservation and Development.
• UGBs are available for urban development, but only land within city limits is generally ready for development
• questions: when, what infrastructure is required, who's paying, and at what time.
• Land is unlikely to develop until these certainty around these development feasibility considerations

Keywords: 907, all

Summary: The committee met for a series of information sessions focused on housing stabilization, rental assistance, senior housing, and heat resilience. In the first panel, OHCS and NOAA described the state’s affordable housing preservation work, including the $35 million in 2025 stabilization funding used to reduce debt and keep distressed affordable rental projects operating, plus manufactured home park preservation efforts. OHCS said the portfolio remains under strain, with about a third of projects at debt coverage ratios of 1.0 or less and rising insurance and operating costs. NOAA urged faster closings on the stabilization awards, more funding in 2027, and broader rent assistance and process reforms. Committee members asked about the gap between current appropriations and need, and OHCS explained that the new Article 11-Q bond preservation program is structured differently and requires full refinancing rather than simple cash infusions. The committee then heard a detailed discussion of the state’s eviction prevention and rental assistance program, ORDAP. OHCS said the program is administered through community action agencies, prioritizes households at imminent risk of eviction, and is now funded at a much lower level than in the prior biennium, reducing expected service to about 8,200 households this biennium. The Oregon Law Center, a county community action agency, and Multifamily Northwest all agreed the program prevents homelessness and is effective, but they differed on whether assistance should be tied so closely to eviction court. Legal aid and community action witnesses said the current system is underfunded and that eviction filings are the clearest indicator of need, while Multifamily Northwest argued the process can push people into court unnecessarily and should be moved earlier when possible. Legislators raised questions about whether a pre-eviction model could be developed and about the costs of court involvement; one member shared a personal story about how rental assistance helped keep their family housed. Next, the governor’s office, OHCS, and OHA presented on the new senior housing initiative and healthy homes work. The governor’s housing director said Oregon is making progress on homelessness and housing production, with reductions in homelessness outside Multnomah County and an estimated 50,000 future units added to the pipeline through recent state actions. OHCS outlined the senior housing programs launched in May: a debt-financing program using elderly and disabled bond authority, an older adult housing development program funded through the senior property tax deferral revolving account, and a rehousing program for older adults that will use bridge funding and services to move at least 400 unsheltered older Oregonians into housing. OHA also described its Healthy Homes Grant Program, including $24.6 million already awarded, a new $5 million grant round for seniors and people with disabilities, and examples of home repairs and weatherization that help people remain safely housed. The final information session focused on home cooling and heat resilience. OHA presented data showing rising extreme heat days, more heat-related emergency visits, and likely undercounted heat deaths, especially among older adults, people with disabilities, low-income communities, and people without access to healthy homes. ODOE reviewed implementation of Senate Bill 1536, including a cooling needs study that found 58% of surveyed households in the studied housing types needed permanent cooling, with estimated statewide costs of $582 million to $1 billion. ODOE said its rental home heat pump and community heat pump programs have supported 4,638 installations so far, with a temporary reopening planned using remaining funds. The session ended with a remote presentation from a Community Action Partnership of Oregon representative, continuing the discussion of how community action agencies help deliver energy and anti-poverty services.

Transcript Highlights:

• And we enable developers to build solutions on Gemini, with over 4 million developers already working
• way to help develop those products.
• Now, on the developer side, from a lawyer's perspective, the problem is that most of these developers
• A lot of these developers are smaller companies...”
• the product from that developer.

Summary: The joint informational hearing of the Assembly Health and Privacy Committees focused on generative AI in health care, with opening remarks emphasizing both its potential to improve care and its risks around privacy, bias, liability, workforce impacts, and unequal access. Chair Bauer-Kahan and Chair Bonta framed the discussion around how California can encourage beneficial innovation while protecting patients, especially given the sensitivity of health data and the possibility that AI could worsen existing disparities if not carefully governed. The first panel featured representatives from Cedars-Sinai, Kaiser Permanente, Penguin AI, and Google, who described current uses of AI such as ambient clinical scribes, nursing documentation tools, imaging triage, maternal-fetal risk prediction, and administrative automation. Speakers said these tools can reduce clinician burden, improve patient experience, speed treatment, and in some cases improve outcomes, including a reported mortality benefit from a Kaiser predictive model and faster thrombectomy times at Cedars-Sinai. Members raised concerns about accuracy with accents and multilingual visits, whether predictive tools could reinforce bias or lead to more interventions such as C-sections, and how to ensure a human remains in the loop for important decisions. The second panel, including representatives from the California Health Care Foundation, UC Berkeley, and Stanford, focused on policy and governance challenges. Testimony highlighted examples of AI supporting homelessness outreach and community health work, but also warned that biased algorithms can encode inequities, especially when trained on data that reflect under-treatment of Black, rural, or low-income patients. Witnesses urged clearer standards for trustworthy AI, stronger monitoring and governance structures, better data access for accountability, and attention to the safety net’s limited resources. Several speakers argued that states should require health systems to have AI governance processes, clarify liability between developers and deployers, and regulate downstream uses of AI while preserving access to data for lifesaving research and oversight.

Transcript Highlights:

• But these attacks target our government institutions and our critical infrastructure, and individuals
• These attacks target our government institutions and our critical infrastructure, and individuals are
• We invest $1.8 billion a year in research and development.
• CDT has developed a... Drive better security tool adoption.
• Another capability is the recent development of our cyber advisory team.

Summary: The Assembly Select Committee on Cybersecurity and the Assembly Committee on Emergency Management held a joint informational hearing focused on maximizing the value of state cybersecurity investments, especially by fully using security features already included in existing vendor contracts. The first panel included representatives from Microsoft, Zscaler, and Palo Alto Networks, who described the products and services they provide to California and generally agreed that agencies often have strong adoption in some areas but still face challenges from tool overlap, limited staff, lack of awareness of available features, and the need for ongoing training and configuration support. They also discussed major threats such as ransomware, data loss, attack-surface exposure, IoT/OT vulnerabilities, and the growing role of AI in both attacks and defenses. Members pressed the vendors on whether state departments underuse purchased cybersecurity tools, how to improve utilization, and how to address the cybersecurity workforce shortage. The vendors said utilization is often constrained by staffing, procurement complexity, and the need to align tools with agency missions and maturity levels, but emphasized that training, leadership buy-in, and regular vendor-agency collaboration can improve results. They also discussed how AI can help with phishing triage, data-loss prevention, and security operations, while warning that agencies must manage AI safely and with human oversight. The second panel featured officials from the Department of Technology, Cal OES/CalSIC, and the California Military Department. They described statewide oversight efforts including audits, independent security assessments, continuous monitoring, advisory services, vulnerability disclosure programs, and workforce development initiatives such as the Information Security Leadership Academy and Cybersecurity Education Summit. Officials said some underutilization is real, but it is often tied to differing agency maturity, overlapping tools, and deliberate feature restrictions to reduce attack surface and complexity; they emphasized a balanced approach using people, process, and technology, with plans of action and milestones to hold departments accountable. They also noted federal uncertainty around MS-ISAC and the state and local cybersecurity grant program, saying California is advocating through federal partners and monitoring the impact. The hearing ended after public comment and adjournment.

Transcript Highlights:

• Is there anything that has been developed in the marketplace? I believe.
• We still develop responses to those.
• I mean, we are following the requirements in law by developing that response to comments.
• Several years ago, we had a couple of programs to do with infrastructure.
• On the T-Hive program, which is the Texas Hydrogen Infrastructure Vehicle Equipment Program.

Summary: The committee first heard House Bill 1904, which would classify intentionally released helium balloons as litter and create criminal penalties for balloon releases. The author and supportive witnesses argued that balloon releases harm wildlife, livestock, waterways, and infrastructure, and that the bill would close a loophole in current litter law. Several members questioned whether criminal penalties were appropriate, and the author said he was willing to work toward civil penalties and fines instead. No vote was taken, and HB 1904 was left pending. The committee then took up several pending bills and reported them favorably to the full House, including HB 3249, HB 3866, HB 4112, HB 1768, HB 1499, HB 573, and HB 464. These measures dealt with topics such as TCEQ contested-case procedures, outdoor storage containers, high-level radioactive waste, concrete plant permitting and grants, unannounced concrete batch plant inspections, and a scrap tire grant program. Most were adopted with substitutes and passed on recorded votes, generally with unanimous or near-unanimous support. A major portion of the meeting focused on HB 3997, which would create expedited permitting timelines for LNG facilities and related wastewater permits. Industry witnesses said the bill would provide certainty for multibillion-dollar projects without eliminating public participation, while environmental groups opposed parts of the bill that they said could limit contested-case participation and be unrealistic for SOAH timelines. TCEQ staff described the current wastewater permitting process and said some of the bill’s timing provisions could be workable, especially with an expedited fee. The bill was left pending after the author said he would continue working on committee substitute language. The committee also heard HB 1237 on extending the renewal window for expired TCEQ occupational water licenses, and HB 4519, a TERP consolidation bill that would combine several clean transportation grant programs into fewer programs. HB 1237 was left pending without testimony, while HB 4519 drew broad support from environmental and industry witnesses who favored simplifying the program, though some asked for stronger emphasis on particulate matter and hydrogen funding. The committee withdrew the substitute on HB 4519 and left it pending. Finally, HB 5033, which would eliminate the motor vehicle emissions inspection and maintenance program if federal authority changes, drew opposition from environmental and inspection-industry witnesses who warned it would weaken air-quality protections and could remove an important enforcement tool. The author said the bill was intended as a trigger mechanism and would be refined, and HB 5033 was left pending. The committee also heard HB 1227 on municipal solid-waste franchise fees and private-provider access; the author said he would bring a substitute after hearing concerns from cities, and the bill was left pending.

Transcript Highlights:

• Housing Development Fund. Housing Development Fund.
• within the Housing Development Fund. within the Housing Development Fund.
• Housing Development Fund. Housing Development Fund.
• earnings from the Housing Development earnings from the Housing Development Fund.
• Housing Development Fund.

Keywords: 919, house, all

Summary: The conference committee on House File 1141, the Omnibus Housing Finance and Policy Bill, reviewed the fiscal spreadsheet and policy language for the agreement. Staff explained the major funding items, including appropriations for greater Minnesota workforce housing, manufactured home park infrastructure grants, family homelessness prevention, supportive housing, a tenant hotline, and housing infrastructure bonds, along with a cancellation of unused Tyler settlement funds and a reallocation of Housing Development Fund earnings. Staff said the package was budget neutral over the forecast window. The policy walk-through also covered provisions on livestreaming Housing Finance Agency board meetings, limits on administrative retentions for new grant programs, restrictions and reporting on Housing Development Fund transfers and earnings, clarifying language for local public housing, an exemption related to lived-experience engagement, and access for legislative fiscal staff to agency accounting information. Members then considered several amendments. The A12 amendment, allowing certain local governments to invest long-term funds in housing-related investments, was adopted after a roll call showed support from all three caucuses. The A16 manufactured housing bill of rights amendment, which would have addressed park-owner practices, purchase opportunities, enforcement, and rent increases, was not adopted. The A18 amendment to allow additional flags in HOAs and other areas was also not adopted. The A17 amendment to limit private equity ownership of single-family homes to 100 units was not adopted. The A13 amendment to preempt local rent control was not adopted. Members on both sides said some of the rejected issues warranted further discussion in future sessions, while supporters argued they were needed to address housing affordability and ownership pressures. In closing discussion on the bill as a whole, members from both chambers praised the bipartisan process, the staff work, and the Minnesota Housing Finance Agency’s collaboration. Supporters said the agreement would help build thousands of homes across the state, assist vulnerable Minnesotans, and improve transparency and accountability in housing programs. They also noted the bill’s mix of single-family, multifamily, manufactured housing, homelessness prevention, and policy reforms. The committee expressed intent to move the agreement forward to the House floor and ultimately to the governor.

Transcript Highlights:

• Expanding fiber optic infrastructure.
• 53:20.640> Act Carper Water Resources Development Act Carper Water Resources Development Act of
• modernizing our federal infrastructure modernizing our federal infrastructure while<03:58:32.560
• Economic Development Administration is Economic Development Administration is the<04:10:48.880><
• on Transportation and Infrastructure on Transportation and Infrastructure heard<04:11:40.399>

Keywords: U.S. House of Representatives Floor Proceedings on Tuesday, March 24, 2026, 1012, house, all

Transcript Highlights:

• IT STARTS WITH THE SEARCH AND RESCUE EFFORTS AND THEN WE LOOK AT THE INFRASTRUCTURE.
• THESE ARE THE CRITICAL PUBLIC INFRASTRUCTURE PUBLIC ACCESS NOT PRIVATE LAND THE TYPE OF ASSISTANCE.
• AND TODAY OVER $146 MILLION HAS BEEN OBLIGATED WITH 36.2 STILL IN DEVELOPMENT.
• ALL SHELTERED DEVELOPMENT PROJECTS BEGIN WITH THE SHELTER SERVICE.
• ANYTHING WE WANT TO BUILD OR DEVELOP WE WANT TO MINIMIZE THE IMPACT AND MAXIMIZE THE OUTCOME.

Keywords: 999, senate, all

Transcript Highlights:

• infrastructure on federal lands. infrastructure on federal lands.
• luxury, it's essential infrastructure. luxury, it's essential infrastructure.
• to developers and help speed deployment. to developers and help speed deployment.
• infrastructure on these lands. infrastructure on these lands.
• development on reservations. development on reservations.

Keywords: U.S. House of Representatives Floor Proceedings on Monday, March 16, 2026, 1012, house, all

Transcript Highlights:

• those physical infrastructure pieces. those physical infrastructure pieces.
• , all of that for that infrastructure, all of that for that infrastructure, right?
• whatever your infrastructure is, right? whatever your infrastructure is, right?
• paying assets that were in development. paying assets that were in development.
• year as we're developing this process. year as we're developing this process.

Keywords: 1189, house, all

Transcript Highlights:

• strategic energy infrastructure strategic energy infrastructure development fund within the state development
• Infrastructure Development Fund Energy Infrastructure Development Fund Energy Infrastructure Development
• Infrastructure Strategic Energy Infrastructure Strategic Energy Infrastructure Development Fund within
• Three, app developer. Three, app developer.
• . the developer. the developer.

Keywords: 920, all

Transcript Highlights:

• They are essential infrastructure for operating in the modern economy.
• My name is Blake Kaiser-Lock from the Governor's Office of Business and Economic Development.
• I'm the head of public economic development with Lendistry.
• Um, yeah, and on things like—oh, oh, cost of infrastructure.
• Um, yeah, and on things like- Oh, oh, cost of infrastructure.

Summary: The committee opened with the State Controller’s Office May Revision requests, including funding for Fiscal book-of-record stabilization, a Broadcom IDMS licensing adjustment, the California State Payroll System, ACFR reporting automation, and $3 million for unclaimed property outreach. Testimony emphasized progress on Fiscal becoming the state’s accounting book of record in July, faster ACFR publication, and the move to electronic unclaimed property claims. Members asked about the size of the unclaimed property fund and how quickly money is transferred to the General Fund; the Controller’s office said about $15 billion is held, with most excess transferred regularly, and the LAO noted the fund is the General Fund’s fourth-largest revenue source. No concerns were raised by Finance or the LAO, and the item was closed after no public comment. The committee then heard the administration’s proposal to tax prewritten digital software and software-as-a-service, with Finance saying it would modernize sales tax treatment and raise an estimated $450 million General Fund and $560 million local revenue in 2026-27. The LAO supported modernizing the tax but suggested broader digital goods coverage and a business-use exemption; industry and taxpayer groups opposed the proposal, warning of higher costs for consumers and businesses. Members also heard CDTFA’s administrative request tied to the proposal, plus a separate CDTFA budget reduction reflecting lower operational needs; that reduction was presented as a savings item and drew positive reactions. Next, the committee considered federal conformity for “Trump accounts,” which would align California tax treatment with federal rules for tax-deferred children’s accounts and avoid tracking burdens for families. The LAO recommended approval, and the item drew no opposition. The committee also heard a proposal to cut the first-year $800 annual business tax to $400 for LLCs, LPs, and LLPs; Finance argued it would lower startup costs and encourage new business formation, while the LAO said the benefit was not well targeted and could subsidize entities that would form anyway. Members discussed the policy tradeoff, and public commenters split between support for small business relief and concern about revenue loss. The final major revenue item was a permanent business tax credit limitation, capping credits at the greater of $5 million per corporation or 50% of pre-credit liability, while excluding the low-income housing tax credit and personal income tax credits. Finance said it would raise significant revenue from large profitable corporations, and the LAO said it was a reasonable option but noted it would mainly affect the R&D credit and could have future implications for programs like California Competes. Public testimony was sharply divided, with business groups opposing the cap and anti-poverty advocates supporting it as a way to recapture revenue. The committee also heard FTB’s CalFile realignment request, which would return most of the direct-file-related resources to the General Fund while retaining a smaller staff to improve CalFile, and the California Arts Council’s request to reauthorize the Keep Arts in Schools voluntary contribution fund, which members and advocates supported despite relatively modest annual donations. The hearing continued with GoBiz proposals on civic media funding, CA RISE reappropriation, and a semiconductor facility reversion, with the LAO supporting the latter two and members raising questions about the civic media program’s scope, outreach, and inclusion of broadcast and ethnic media.

Transcript Highlights:

• > chemotherapy From developing the first chemotherapy From developing the first chemotherapy drug
• NCI funded research has developed NCI funded research has developed numerous<00:57:15.359> new
• <02:20:38.960> and families have the infrastructure and families have the infrastructure and
• <02:25:01.280> As NATO infrastructure commitments. As NATO infrastructure commitments.
• infrastructure by almost $200 million. infrastructure by almost $200 million.

Keywords: U.S. House of Representatives Floor Proceedings on Wednesday, June 25, 2025, 1012, house, all