Transcript Highlights:

• So all of the reservoirs that feed the State Water Project, the Central Valley Project, and many of the
• Not only did that project—it's actually a long-term collaborative project with Fire Adapted 50 that Cal
• Not only did that project, that's actually a long-term collaborative project with fire adapted 50 that
• you can do that project.
• Council to do that project.

Summary: The subcommittee began by announcing a change in the agenda order, moving item 6 ahead of item 1 and then item 7, and noting there would be no votes taken on any items that day. Item 6 covered a proposed operational efficiencies control section for the Natural Resources Agency that would let multiple departments jointly fund landscape-scale or multi-jurisdictional projects and allow Finance to transfer climate bond funds to a lead state entity. The LAO said the proposal was reasonable but suggested the Legislature consider requiring summary notification on how it is used; Finance said it would consider that request. Item 7 focused on the 2026-27 biodiversity and nature-based solutions spending plan. Finance and the Wildlife Conservation Board described the climate bond funding for habitat restoration, wildlife crossings, public access, tribal nature-based solutions, and related work, including $111 million proposed for WCB and $30 million for Salton Sea habitat and public access projects. The LAO supported the overall approach but flagged the San Andreas Corridor Program as an area where the Legislature may want to specify geographic priorities. Members discussed the pace of Salton Sea work and whether the proposed projects would count toward disadvantaged community goals. Item 8 addressed Cal Fire’s aviation contract and staffing needs for wildfire response. Cal Fire said year-round fire activity, a larger and more complex aircraft fleet, and labor market pressures justified the proposed contract increase, including more mechanics, pilots, and maintenance support. The LAO recommended approval, saying the proposal addressed health and safety concerns. Members asked about contractor staffing, competition in the bidding process, and future technology for early fire detection and suppression. The committee then took up item 1 on golden mussel containment. Fish and Wildlife described the invasive species’ spread in the Delta, the task force and response framework, and a request for eight new positions funded by Prop. 4 to support control plans, outreach, monitoring, research, and coordination with partners and law enforcement. Members pressed the department on whether the state should fund more direct decontamination infrastructure and grants to local water managers, and on the realistic goal of containing the mussel. The chair and several members emphasized the urgency of the threat and requested an itemized breakdown of the $20 million request. The hearing then moved to a broader LAO overview of wildfire prevention and response funding, where the LAO summarized the state’s funding mix and warned that ongoing wildfire resilience funding will likely decline as one-time bond and GGRF funds are exhausted, prompting discussion of long-term funding options and the balance between prevention, suppression, and community hardening.

Transcript Highlights:

• Hansard to provide an update on the CWS CARES project. Thank you.
• I have the 2024-25... Anticipating an updated spring BCP.
• I have the 2024-25 expenditures in front of me for the project, if you'd like that.
• This project ended in fiscal year 2024-25, but there was a huge impact.
• -25.

Summary: The committee heard an extensive Department of Social Services presentation on child care budget issues, including the Governor’s proposed 2026-27 budget, federal CCDF changes, Prop. 64 revenue adjustments, and a one-time $11.5 million disaster-related infrastructure grant for licensed child care facilities affected by 2025 declared disasters. DSS said federal formula updates and lower Prop. 64 revenues would reduce funding and could result in about 4,176 CCTR slots being reduced, but the department said it was working to avoid impacts to currently enrolled children. The LAO supported aligning general child care funding with lower revenues and asked for more detail on the disaster grant. Members pressed DSS and Finance on why reductions were not being backfilled and why so many awarded slots remain uncontracted or unused; DSS said delays are largely due to providers building new infrastructure, licensing, staffing, and enrollment challenges, and that some unspent funds revert to the General Fund. The committee also discussed whether some contract dollars should be shifted to vouchers and whether more flexibility should be allowed for infrastructure and expansion costs. A second panel focused on the state’s commitment to expand child care and on rate reform. DSS reported that nearly 125,000 new slots have been awarded since 2021-22, but speakers from Stanislaus County Office of Education, Parent Voices California, and the California Budget and Policy Center argued that unmet need remains large and that the system still leaves many families without access. Stanislaus County described a large local shortage of infant and toddler care and said reimbursement disparities between child care programs and state preschool create disincentives for providers. Parent Voices gave testimony about the burdens and instability families face when trying to access care, especially for survivors and low-income parents, and called for a universal, publicly funded system. The Budget Center said only about 16% of eligible children were enrolled in 2024, urged expansion across the mixed delivery system rather than concentrating investment in TK, and called for faster rate reform and new revenue. LAO estimated that bringing certain CCTR adjustment factors up to CSPP levels would cost $88 million to $131 million ongoing. Members and witnesses discussed the single rate structure, automation needs, and the need for deadlines and a ramp-up plan; DSS said the goal is to eliminate disparities, but that policy decisions are still needed before automation can proceed. The committee then reviewed several trailer bill proposals. DSS outlined a 2026-27 COLA proposal that would apply a 2.41% increase through cost-of-care-plus payments, though the department said it had inadvertently excluded CalWORKs Child Care and the Emergency Child Care Bridge Program and would revise the proposal; LAO recommended making the COLA methodology uniform across programs. DSS also proposed replacing the market rate survey with the federally approved alternative methodology on a triennial schedule, limiting temporary absences in family child care homes to 20% of monthly hours, defining excessive unexplained absences as more than 30 days in a year, and aligning family fee deductions with new federal requirements so providers receive the full voucher value. Members generally supported the temporary absence change and asked about implementation timing for the family fee deduction, with DSS saying it was in contact with Riverside County. The committee also heard a brief update on the Early Childhood Policy Council reappropriation, which would extend unused funds through June 30, 2028 because prior costs came in higher than expected.

Transcript Highlights:

• There is a project, oddly, where both sides want to do the same thing, and that's to actually get a project
• The developer, or sorry, the city, wants to permit the project that is a by-right project under various
• the the city wants to permit the project that is by right a by right project under various housing laws
• Currently there are over 45,000 shovel-ready projects, projects that have been entitled and are ready
• There are $45,000 shovel-ready projects, projects that have been entitled and are ready to get built

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:

• And are these projects enough of them going to be affordable? That's my question.
• Every site is unique, and it is essential that... ...condition projects.
• Line item 7-002-8085 sets aside $25 million to help address this very issue at a time when the state
• These dissolution projects generate anywhere from $14 million to $20 million.
• , including One Congress, Suffolk Downs, and many affordable housing projects, to name a few.

Keywords: 995, all

Summary: The committee held a hearing on Governor Healey’s economic development proposal, H. 5386, also referred to as the Mass Winds Act, focused on global investment, talent, innovation, housing, and business competitiveness. Governor Healey, Secretary of Economic Development Eric Paley, and Secretary of Administration and Finance Matt Gorzkowicz described the bill as a response to federal uncertainty and global competition, building on the 2024 Mass Leads Act. They highlighted proposed investments in a Global Mass initiative, including a $50 million innovation access fund and $20 million for sites to help international companies locate or expand in Massachusetts, along with support for AI, quantum, robotics, defense innovation, climate tech, downtown revitalization, and creative/cultural economy projects. They also emphasized measures to lower business costs, including reducing the LLC filing fee, expanding the small business energy tax exemption, and streamlining housing and development rules. Committee members questioned the administration about non-compete reform, AI and data-center infrastructure, housing affordability, and whether the bill would help retain workers and companies in Massachusetts. The governor and secretaries argued that the non-compete changes would restore the original compromise by requiring any alternative to garden leave to be negotiated at separation, and they said the bill’s housing and workforce provisions are intended to help young workers stay in the state. They also said Massachusetts is already investing in AI training, an AI hub, and energy-related planning, while acknowledging that data-center growth will require careful attention to water, electricity, and ratepayer impacts. Several witnesses testified on specific sections. Northeastern University supported the internship tax credit, saying experiential learning helps students gain jobs and remain in Massachusetts. The Latino Empowerment Advisory Council supported the waiver of redundant English testing for internationally trained nurses, saying it would speed entry into the workforce without lowering clinical standards. Russell Beck opposed the non-compete changes, arguing they would undermine the 2018 compromise and could reduce other forms of employee compensation. The Secretary of the Commonwealth’s office opposed the LLC fee reduction, citing revenue loss and fraud concerns. Municipal and regional groups, including the MMA and the Metro Mayors Coalition, supported site plan review codification and downtown/arts investments, while urging continued municipal input. The AFL-CIO asked for trigger language to preserve labor protections if federal law changes, and business and industry witnesses generally supported the bill’s competitiveness and global investment provisions. No votes were taken; the hearing was informational, with written testimony invited after the meeting.

Transcript Highlights:

• Yes, many of these items are DIY-type projects. Great, good.
• And last but not least, we have 900 shovel-ready projects ready to go.
• I know you've given already projects ready to go.
• That we've received on completed, closed-out projects.
• But for those 116 active projects, Expenses for.

Keywords: 988, house, all

Transcript Highlights:

• I have the 2024-25... Thank you, Madam Chair.
• I have the 2024-25 expenditures in front of me for the project, if you'd like that.
• I have the 2024-25 expenditures in front of me for the project, if you'd like that.
• This project ended in fiscal year 2024-25, but it had a huge impact.
• the Children Holistic Immigration Representation Project, CHIRP.

Keywords: 987, senate, all

Transcript Highlights:

• :25:02.640> the<00:25:02.799> best<00:25:03.039> of<00:25:03.200> my state
• c> let<00:25:20.480> me<00:25:21.159> say<00:25:22.159> that<00:25:22.440>
• ><00:25:26.360> oath<00:25:26.679> of<00:25:26.960> office<00:25:27.640> to
• legis<00:25:28.559> lure<00:25:29.559> he<00:25:29.679> will<00:25:29.919> be
• <00:25:32.159> all<00:25:32.520> thank<00:25:32.840> him<00:25:33.440> for

Keywords: Order of the Day: PENDING, 912, senate, all

Transcript Highlights:

• By, I want to say April, 10 out of 87 projects were being completed. Thank you, Mr. Chairman.
• About 25% of their monthly income goes to groceries.
• We didn't want to open that up to projects.
• Any project can come back, but we want to be very conscious of if someone got a project approved five
• or seven years ago and, for whatever reason, has not moved on those projects.

Transcript Highlights:

• > first<00:25:12.960> and<00:25:13.120> foremost<00:25:13.880> mha<00:25:
• help<00:25:18.200> fix<00:25:18.480> the<00:25:18.640> crisis<00:25:18.960>
• > to<00:25:26.240> better<00:25:26.520> support<00:25:26.880> Youth<00:25
• <01:25:05.239> think<01:25:05.400> is<01:25:05.679> is<01:25:06.199> a
• important<01:25:07.119> component<01:25:07.480> so<01:25:07.600> there's<01:25:

Keywords: 1187, senate, all

Transcript Highlights:

• On slide seven, should capital construction assistance projects be funded?
• About 25% of our student population comes from Arkansas, Oklahoma, and Louisiana.
• In November of 2024 and broke ground on the project in December, so it's underway. Slide 3.
• The project is called Stargate.
• You will see 53 open grants with over 5000 projects totaling the $23.7 billion.

Transcript Highlights:

• :25:40.800> on<02:25:41.040> the<02:25:41.200> next<02:25:41.359> five<02
• So, Mr.<02:25:43.359> Speaker,<02:25:43.680> if<02:25:43.920> Republicans<02:25:
• > they<02:25:47.439> would<02:25:47.520> roll<02:25:47.760> up<02:25:47.840>
• <02:25:52.479> actually<02:25:52.800> make<02:25:52.960> a<02:25:53.200>
• <02:25:57.280> So,<02:25:57.600> I<02:25:57.920> urge<02:25:58.080> my

Keywords: U.S. House of Representatives Floor Proceedings on Wednesday, April 22, 2026, 1012, house, all

Transcript Highlights:

• While<00:25:24.440> the<00:25:24.520> DMA<00:25:24.920> budget<00:25:25.280>
• this<00:25:29.000> year,<00:25:29.560> this<00:25:29.760> bill<00:25:29.960>
• In<00:25:38.320> the<00:25:38.400> next<00:25:38.679> two<00:25:38.800> slides
• This<00:25:46.280> slide<00:25:46.480> reflects<00:25:46.880> the<00:25:46.960><
• /c><00:25:55.320> grades<00:25:55.679> E1<00:25:56.120> through<00:25:56.360>

Keywords: 1187, senate, all

Summary: The committee heard an introductory presentation from Sam Daily of Believe It Canine Service Partners, a nonprofit that trains service dogs free of charge for disabled veterans. Daily described the organization’s work with veterans, including placements with MACV and a service dog at Veteran Village in Eagan, and said the group has placed 80 teams so far. Senator Howe asked whether the organization had pursued Support Our Troops grants, and Daily said it had received two SOS grants. The first bill taken up was Senate File 4172, as amended, which would expand eligibility for burial in Minnesota state veterans cemeteries to honorably discharged reservists, National Guard members, and Air National Guard members, and would allow some honor guard use for eligible people. Senator Howe said the bill corrects an inequity for Guard and reserve members who served honorably but are not currently eligible. Glenn Pence testified in support, saying the bill recognizes National Guard service and should allow those veterans to be buried with others they served alongside. MDVA’s David Swantek supported the concept but warned that expanded eligibility would increase demand, especially at Little Falls, and could shorten its projected capacity timeline from about 48 years to about 30 years. The committee adopted the A1 amendment and then laid the bill over for inclusion in the Veterans and Military Affairs Finance Omnibus Bill. The committee then heard Senate File 4026, which sets standards for MDVA competitive grants and adds accountability and residency requirements. Senator Koran said the bill would help the department review grants and ensure funds serve Minnesota veterans and families. MDVA chief of staff Dave Belfi supported the bill, saying it reflects agency feedback, aligns with existing residency rules, and does not affect CVSO, VSO, or Support Our Troops grants. The A1 amendment was adopted, and the bill was laid over for inclusion in the omnibus bill. Next, Senate File 4807 was heard, a bill to update pay for National Guard soldiers and airmen called to state active duty. MDVA and National Guard officials said the bill would simplify statute language and raise the minimum base pay for lower ranks to the E5 level, with future adjustments tied to federal pay tables. Senator Kunesh asked about funding, and staff explained the cost would come through an open general-fund emergency appropriation, estimated at about $30,000 annually but varying with activations. The committee adopted amendments to incorporate SF 4172 and SF 4026 into SF 4807, made technical corrections, and then recommended SF 4807, as amended, to pass and be referred to the full committee. Finally, the committee heard Senate File 3603, which would create a program allowing school districts to issue high school diplomas to Minnesota veterans who left school to serve during the Korean conflict or Vietnam War. Senator Rasmussen said the bill recognizes veterans who interrupted their education for service. MDVA’s John Kelly supported the bill, noting it reflects input from MDVA and the Department of Education and that similar programs exist in other states. The committee voted to recommend the bill to pass and refer it to the full committee. The meeting also began discussion of Senate File 4560, which would formalize the Commander's Task Force, but the transcript cuts off before that bill was acted on.

Transcript Highlights:

• 00:25:03.480> uh<00:25:03.720> at<00:25:03.919> risk<00:25:04.320> moving
• <00:25:11.760> C<00:25:12.039> just park<00:25:15.799> backing<00:25:16.399>
• identifying<00:25:23.120> the<00:25:23.240> bill<00:25:23.480> as<00:25:23.600>
• the<00:25:30.399> uh<00:25:30.559> two<00:25:30.880> subsidies<00:25:31.600
• 25:51.000> we<00:25:51.279> have<00:25:52.279> a<00:25:52.480> bunch<00:25

Keywords: 912, senate, all

Summary: The committee heard testimony on Senate Bill 1232, which would create a three-year wastewater technology testing pilot program at the University of Hawaiʻi Water Resources Research Center and coordinate testing with state and county agencies. The Department of Health, the Department of Hawaiian Home Lands, and University of Hawaiʻi representatives supported the bill, saying it would help certify new wastewater technologies, lower costs for cesspool conversions, and provide data to the Department of Health. Testifiers said the prior testing effort ended after the departure of Dr. Roger Babcock, and that the new program would use National Sanitation Foundation standards, graduate students, and local wastewater facilities such as Wahiawa. Committee members asked about the $750,000 total cost, the scope of existing research, prior test sites, and whether the program would be tied to individuals or a permanent program. One member raised concerns about the fairness and data basis for sewer conversion decisions in local communities, and the University said it would follow national standards and share results openly. The committee then took up Senate Bill 686, relating to a short-term management initiative for coconut rhinoceros beetle response and related appropriations. The Department of Agriculture and the University of Hawaiʻi testified in support, while a county representative and other advocates urged broader statewide coverage, including Kauaʻi, and asked that appropriated funds be usable on any island. Testimony emphasized the need for immediate action, outreach, tree-trimmer training, canopy treatments, K-9 inspections, container fumigation, and biocontrol research. A member summarized the bill’s funding components, including amounts for training, residential palm treatments, response teams, inspections, fumigation, and research, and noted the importance of directing money toward on-the-ground response. Committee questions focused on how much funding remained available, how the agencies would coordinate with DOA, whether the department was prepared to manage all the bill’s functions, and how infestations were being communicated to the public. Finally, the committee began hearing Senate Bill 657, which would appropriate funds for the University of Hawaiʻi School of Ocean and Earth Science and Technology’s Center for Climate Resilient Development. The Department of Land and Natural Resources testified in strong support, and the Department of Health also supported the measure, noting that it relies on the center’s data to inform decisions and recommendations on projects. The discussion on this item was brief in the portion provided, with no vote or final action shown.

Transcript Highlights:

• This can be as much as 14% of the cost of the project, and as we are trying to electrify the state, and
• -0-4, 25-05, 25-0-7, 25-08, 250-10, 25-10, 25-11, 2514, 25-17, 25-21, 25-26, 25-27, 25-2035-31, 25-35
• -35-141, 25-25-45-25-15, 25-15-25-50, 25-50, 25-60, 25-56. 2549, 2550, 25-50, 25-50, 25-70, 25-78, 25
• -78, 25-85, 25-89, 25-95-98, 25-95-98, 26-90-2-60-9, 26-29, 26-29, 26-29, 26-29, 26-29, 26-29, 26-39,
• It's Maxine Dugin of the Erotic Service Provider's Legal Education and Research Project.

Summary: The Assembly Appropriations Committee met on May 6, 2026, with a quorum present and began by approving a large consent calendar of bills on two unanimous-support motions. The committee then heard a series of individual bills, with authors and sponsors generally describing low or absorbable state costs and asking for aye votes. Topics included AI/digital safety education for students (AB 1792), hepatitis C treatment access (AB 1843), rent-now-pay-later consumer protections (AB 2350), retirement information for community college faculty (AB 2417), cannabis regulation changes including tribal commerce, drive-through sales, and beverage labeling (AB 2506, AB 2697, AB 2532), emergency equipment training for law enforcement volunteers (AB 1913), cannery law modernization (AB 2706), child care planning in local governments (AB 1914), EV charger permitting fees (AB 1820), election-record notice requirements (AB 1664), nursing home discharge notices (AB 2135), a San Diego energization-delay pilot (AB 2518), mental health training for school coaches (AB 1665), and education governance and oversight changes (AB 2117). Several bills were described as committee or sponsor measures with technical or clarifying changes, including AB 2780, AB 2615, AB 2121, and AB 2771. Testimony was largely supportive, often from sponsor groups, industry representatives, labor, or advocacy organizations. Notable support included TechNet for AB 1792, the California State Sheriffs’ Association for AB 1913, California Dairies and food manufacturers for AB 2706, the Low Income Investment Fund for AB 1914, EV and environmental groups for AB 1820, the Attorney General’s Office for AB 1664, long-term care ombudsman advocates for AB 2135, and the California State Association of Psychiatrists for the cannabis and mental-health-related bills. Some bills drew limited opposition or “opposed unless amended” positions, including AB 2350, AB 1820, and AB 2506, while AB 2697 and AB 2532 were presented as efforts to support the legal cannabis market and consumer safety. The committee also heard a presentation-only item, AB 2541, creating a lowrider specialty license plate, which drew enthusiastic bipartisan comments and co-author requests from members. Most bills were reported out with due pass recommendations, many on roll call and several with specific members not voting or voting no. AB 1664 was reported out as due pass as amended and placed on call before later being moved out on a B roll call. AB 2350 and AB 1914 were also later reported out from call on B roll calls, with AB 1914 noted as passing despite some Republican no votes. The suspense calendar was then deemed approved without individual action, and the meeting concluded after a brief public comment period in which members of the public voiced positions on unrelated bills, including support for AB 2497, AB 1729, AB 2189, AB 1575, AB 2170, and opposition to AB 1603, AB 2447, AB 2411, AB 2492, and AB 1952.

Transcript Highlights:

• This shows the current status of all of the projects included in Get Out More.
• As you can see here, 59 percent of the Get Out More projects are currently in this phase.
• So, when we think about DNR's budget in 24-25 over previous biennia.
• So it actually covers about half of the projected staff step costs over the next biennium.
• A 37-mil tube runs between $25 and $75.

Transcript Highlights:

• of taxable assets move<00:25:02.360> out<00:25:02.520> of<00:25:02.600> the<00:25
• <00:25:10.320> moved<00:25:10.600> out<00:25:10.720> of<00:25:10.840> the
• <00:25:10.960> state<00:25:11.279> and<00:25:11.399> so<00:25:11.640> we
• c> true<00:25:18.480> impact<00:25:18.960> is<00:25:19.159> to<00:25:19.399>
• > and<00:25:20.480> the<00:25:20.640> state's<00:25:21.080> economic<00:25

Keywords: 1187, senate, all

Transcript Highlights:

• <00:25:01.320> Yet<00:25:01.520> we're<00:25:01.600> going<00:25:01.720>
• Yet we're going to do a<00:25:02.000> DE<00:25:02.400> to<00:25:02.600> a<00:25:
• 02.640> bill<00:25:02.840> that's<00:25:03.040> sitting<00:25:03.200> in<
• of<00:25:03.560> us<00:25:04.200> and<00:25:04.320> that's<00:25:04.560> not
• 06.320> uh<00:25:06.400> I<00:25:06.440> just<00:25:06.679> want<00:25:06.840

Bills: HF4074

Keywords: retirement, pension, public employees, MSRS, PERA, TRA, St. Paul Teachers Retirement Fund Association, police and fire, correctional employees, probation officers, telecommunicators, dispatchers, 911 operators, public safety answering point, PSAP, firefighters, volunteer firefighters, paid on-call firefighters, fire relief association, state aid

Transcript Highlights:

• will not change. ...and it would be unwise to trust that our projections will not change.
• How does a pause in enrollment lead to a 100,000 projected increase in the caseload?
• It can be very difficult to sort of project utilization.
• I'm the director of policy with the Misteco Indigenous Community Organizing Project.
• The '25 and '26 domains don't all match the '27 domains.

Summary: The Assembly Budget Subcommittee on Health held the first of several hearings on the Governor’s May Revision for health care, with opening remarks focused on the state’s projected $12 billion deficit, looming federal Medicaid changes, and the potential impact on Medi-Cal, public health, reproductive health, and safety-net providers. Several members criticized the proposal as balancing the budget on vulnerable Californians, while others defended the need for cost containment and questioned the administration’s assumptions. The chair set ground rules for respectful, focused questioning and outlined three topics: the Medi-Cal proposals, Proposition 35, and Proposition 56. DHCS Director Michelle Baas presented the May Revision’s Medi-Cal package, saying the department’s budget totals $200.6 billion overall, including $45.2 billion General Fund, and that the proposals are intended to address rising caseloads, pharmacy costs, and managed care spending. She described proposed changes for adults with unsatisfactory immigration status, including a freeze on new full-scope enrollment for those 19 and older, $100 monthly premiums beginning in 2027, elimination of adult dental and long-term care coverage, removal of PPS/RAP payments to FQHCs and rural health clinics for that population, and a pharmacy rebate aggregator. Other proposals included eliminating certain OTC drug classes, removing GLP-1 coverage for weight loss, prior authorization and step therapy changes, reinstating the Medi-Cal asset test, eliminating acupuncture as an optional benefit, allowing utilization management for hospice, raising the managed care minimum medical loss ratio to 90%, reducing PACE capitation rates toward the midpoint of the actuarial range, eliminating the skilled nursing facility workforce and quality incentive program, and suspending the SNF backup power requirement. The LAO said the revised Medi-Cal spending estimate is about $2.5 billion higher than the Governor’s Budget in the budget year, and that the increase appears driven more by higher per-enrollee costs than by caseload alone. The LAO said the budget solutions are concentrated in a few areas, are largely ongoing, and should be considered in light of federal uncertainty, but suggested the Legislature could explore alternatives such as more targeted income thresholds for the undocumented expansion and simpler asset-test rules. Department of Finance officials said the proposals are difficult but necessary to address a third consecutive deficit and rising Medi-Cal costs. Members then pressed the administration on the methodology and impacts of the proposals, especially the enrollment freeze, premiums, asset test, hospice controls, PACE reductions, and the elimination of benefits and provider payments. No votes or formal actions were taken at this hearing.

Transcript Highlights:

• >> If<00:25:25.520> you<00:25:25.679> want<00:25:25.760> to<00:25:25.919><
• c> make<00:25:26.080> that<00:25:26.240> as<00:25:26.400> a<00:25:26.559>
• <00:25:29.840> Is<00:25:30.000> there<00:25:30.159> a<00:25:30.400> second
• <00:25:32.799> to<00:25:32.960> approve<00:25:33.200> a<00:25:33.440> million
• >> Uh,<00:25:35.120> all<00:25:35.279> in<00:25:35.520> favor<00:25:35.840

Keywords: 928, house, all

Summary: The Fiscal Committee met on December 19, with Senators Long and Lang serving as replacements. The committee approved the November 21 minutes and adopted the consent calendar after removing two Department of Health and Human Services items for separate discussion. It then took up an HHS request involving nursing facility rates, where Nathan White explained that $2.2 million would be transferred from a long-term care Medicaid eligibility contract to the nursing facilities budget. He said the funds would offset an otherwise projected 3.9% average rate decrease and bring the overall average change to zero for the next six months, with rates reset again in July under state law. Members asked about the budget adjustment factor, bed counts, and whether additional funds could raise rates further; White said the factor is statutory, capped at 28.76%, and that more money would lower the factor and increase rates. The committee also corrected a date in the request from February 1, 2025 to February 1, 2026, and approved the item. The committee next approved another HHS item related to rural health transformation grants. Members confirmed the request covered the full amount applied for this biennium, and asked about the technology component. HHS said the grant is not solely about AI, but about broader technology improvements such as electronic medical records, back-end systems, and tools to improve access and sustainability in underserved areas. The committee approved that item as well. The Judicial Council then requested funds for contract attorneys providing indigent defense on a fixed-fee basis. The council said current funds had already been exhausted and that the new appropriation would be used immediately. Members questioned the size of the request and the number of people awaiting counsel; the council reported about 150 incarcerated people and about 300 non-incarcerated people waiting for counsel, more than in recent years. It attributed the increase to competition for attorneys, public defender offices closing intake in some locations because of caseload limits, and broader case and court-system changes. One member raised constitutional concerns about delays in counsel for incarcerated defendants. The committee ultimately amended the request downward to $1 million, approved it, and then approved a motion to place several annual financial reports on file and release them to the public when available. The committee also discussed dashboard reporting from HHS, asking for more detail on community mental health center caseloads and budget-reduction information, and HHS agreed to provide more useful monthly detail.

Transcript Highlights:

• A list of the projects and the amounts included in the bill by agency includes major projects such as
• Chair, how are projects determined for higher education?
• Will we know if those projects are done? And when will we know that?
• reporting, just like any other capital project.
• Let's say nothing has been done for four years on this project.

Bills: HB248, HB309, HB332, SB48

Keywords: general obligation bonds, GO bonds, capital projects, bond election, property tax levy, state debt, state finance, capital outlay, senior centers, senior citizen facilities, aging services, long-term services, libraries, library acquisitions, broadband for libraries, higher education, university capital projects, community colleges, tribal schools, special schools