Transcript Highlights:

• But regardless, their feedstock is fossil fuels.
• We represent the folks that sell motor fuel...
• When you buy fuel, what makes it a branded fuel is that they add these little additives to it at the
• , we burn the fuel, not the act of extracting.
• And used fuel to drive...

Transcript Highlights:

• The Department of Corrections reported unauthorized fuel card purchases by an employee and did not properly
• vehicle service records and the average fuel cost for the review period, an estimated $2,157 in fuel
• Furthermore, based on an analysis of fuel cost paid by the library compared to mileage recorded in library
• vehicle service records and the average fuel cost for the review period, an estimated $2,157 in fuel
• Over the life of the program, the majority of funds were spent for salaries, wages, and fringe benefits

Committee: All LEGISLATIVE JOINT AUDITING

Transcript Highlights:

• Many thanks for the many hours that are spent. Mr.
• in all reality, with the resources that are out here, are we going to be able to get those dollars spent
• They contribute roughly $120 a year in fuel tax.
• Is that what cars and fuel are helping to go towards the road fund? Is that the deal here? Mr.
• Our economists can provide the average fuel economy for cars in New Mexico, which is about 22 MPG.

Committee: Senate Senate Finance

Transcript Highlights:

• Do you know what kind of fuel those ships burn when they come in?
• They should not be burning bunker fuel.
• You could look at a fuel cell application.
• You could look at the use of methanol as one of the particular fuels.
• We're probably looking at doubling the fuel of gasoline to 50%.

Committee: House Natural Resources

Summary: The committee first heard SB 14, which would direct state agencies to reduce single-use plastics and improve recycling and composting practices in state facilities. The author described the bill as a way for California to lead on waste reduction, with goals such as more reusable foodware, less paper purchasing, better employee education on sorting waste, and stronger recycled-content requirements for state purchases of plastic bottles. Support came from composting and waste-management representatives, while manufacturers and bottled-water interests removed their opposition after amendments narrowed the bill; the measure received a due pass recommendation to Governmental Organization on a unanimous roll call of members voting. The committee then took up SB 326, a wildfire-risk bill that would create a framework for Cal Fire to evaluate wildfire mitigation investments and accelerate implementation of Zone Zero building standards in very high fire hazard areas. The author and a Stanford wildfire policy expert argued the bill would help prioritize the most effective fuels-management and defensible-space actions, while local government and insurance representatives voiced support. With no opposition, the bill was passed as amended to Appropriations on a unanimous vote. Next, the committee considered SB 34, dealing with the South Coast Air Quality Management District and the ports of Los Angeles and Long Beach. The author said the bill was narrowed by amendments to preserve port competitiveness while requiring the district to account for factors outside the ports’ control, avoid cargo-throughput caps, and focus on stakeholder collaboration and electrification planning. Supporters included labor, business, and port-related groups, while environmental organizations, community advocates, and the AQMD opposed it, arguing it would weaken local air-quality efforts and set a bad precedent. After extensive debate over precedent, automation, cargo limits, and federal preemption, the bill passed as amended to Transportation on a roll call with some members voting no and others not voting. The committee also heard SB 279, which would expand composting flexibility for agricultural operations and small community composters. The author and supporters said the bill would help farmers manage orchard and vineyard removals after the agricultural burning ban, increase local composting capacity, and keep more organic material out of landfills. Commercial composting interests opposed the measure, warning it could create permitting inequities, undercut existing facilities, and allow too much food waste at small sites. Despite those concerns, the bill passed to Appropriations on a roll call vote. The transcript ended as the committee began discussion of SB 613 on upstream methane emissions and data collection for imported oil and gas, with the author noting there was no opposition to that bill.

Transcript Highlights:

• So I agree with Senator Howe that we attack a fuel is a fuel, right?
• So I agree with Senator Howe that we attack a fuel is a fuel, right?
• So I agree with Senator Howe that we attack a fuel is a fuel, right?
• So I agree with Senator Howe that we attack a fuel is a fuel, right?
• So I agree with Senator Howe that we attack a fuel is a fuel, right?

Summary: The working group approved the prior meeting minutes with one correction to reflect Laura Ziggler’s attendance. Staff then outlined the report due February 13, 2026, which must summarize the group’s activities and include findings and recommendations adopted by the group; the report will go to the governor and legislative transportation leaders. The chair emphasized that the group’s charge is broad and includes analyzing electricity used as vehicle fuel infrastructure opportunities and barriers, developing policy and funding recommendations for sustainable transportation funding, and reviewing other states’ laws and policies. Discussion focused heavily on how to replace declining gas tax revenue as more vehicles become electric. The chair framed the issue as a fairness and implementation challenge, noting that EVs are a growing share of the fleet and that the group should consider both policy and funding, not just one or the other. Members and guests raised several ideas already submitted, including a road user charge, changes to the EV charging tax, ending or modifying the EV surcharge, broadening the tax to publicly owned charging stations, reducing the charging level threshold to level 2, ending sales tax on electricity, addressing off-road use, and expanding the definition of auto parts to include charging equipment. Representative Elkins argued that charging based on electricity used at home is impractical for most vehicles, that public charging is already much more expensive than home charging, and that the current sales tax plus surcharge amounts to double taxation for public-charging users. He said a mileage-based user charge modeled on Utah’s approach is workable, could be phased in, and could preserve privacy by allowing a voluntary or alternative method for home charging estimates. Senator Howe responded that home electricity use can be estimated similarly to mileage deductions on taxes and said the state should tax all electricity used as fuel, regardless of charger level, if it can be identified. Other speakers echoed that all road users should pay a fair share and that the main challenge is implementation. Tony Kis of Quick Trip asked that a late letter be included in the record and urged clarification of the sales, use, excise tax, and collection rules to avoid double taxation and reduce administrative burden, noting the current monthly collection date and suggesting the group should streamline collection methods. No final policy decisions or votes were taken beyond approval of the minutes.

Transcript Highlights:

• I appreciate the time that you spent with me on our pretty long Zoom call with some serious questions
• And then we sort of authorize how cap and trade will be spent.
• So we tend to follow a lot of their advice with respect to what constitutes clean fuel sources.
• I spent my summers in your district. Oh, great.
• Prior to this appointment, I spent 12 years at the U.S.

Committee: Senate Rules

Summary: The committee first established quorum and then approved several Governor’s appointments not required to appear, including Indira Cameron Banks to the Civil Rights Council, Sonar Loma Lee to the Board of Barbering and Cosmetology, and C. Don Clay and Joshua Pertula to the UC College of the Law, San Francisco Board of Directors. It also approved references to bills in two committees and floor acknowledgments, all by unanimous or near-unanimous votes. The main substantive hearing was on the appointments of Linda Hopkins and Patricia Locke Dawson to the Air Resources Board. Both nominees emphasized climate action, public engagement, and balancing environmental protection with economic impacts. Senators pressed them on cap-and-trade, leakage and job loss, agricultural costs, warehouse and truck traffic impacts, emergency vehicle and school bus electrification, hydrogen, nuclear energy, and the need for socioeconomic analysis and better communication with affected communities. Public commenters largely supported both nominees. The committee advanced Hopkins 4-0 and Lock Dawson 5-0 to the full Senate. The committee then heard Andrew Rakestra’s appointment as chair of the Board of Environmental Safety. He described his background in climate diplomacy and regulatory work and said he would focus on transparency, accountability, fiscal stability, and responsiveness to both regulated entities and disproportionately burdened communities. Senators questioned him about DTSC reform, community engagement in places like Moss Landing and the Exide cleanup, the hazardous waste management plan, fee-setting, and the Environmental Justice Advisory Council. After supportive public testimony, the committee approved his nomination to the Senate floor on a 3-0 vote, with two members not voting or abstaining. The meeting then adjourned.

Transcript Highlights:

• I appreciate the time that you spent with me on our pretty long Zoom call, with some serious questions
• And then we sort of authorize how cap and trade will be spent.
• So we tend to follow a lot of their advice with respect to what constitutes clean fuel sources.
• I spent my summers in your district. Oh, great.
• Prior to this appointment, I spent 12 years at the U.S.

Committee: Senate Rules

Transcript Highlights:

• Energy Information Administration fuel usage data and predictions, and U.S.
• </c><01:07:15.680><c> oil</c><01:07:16.559><c> and</c> to fuel oil and to fuel oil and gasoline<01:07
• pays for their fuel oil splits.
• oil um spits um and that paying for fuel oil um spits um and that the<01:41:19.840><c> fuel</c><01:41
• </c> importation of oil pays for their fuel importation of oil pays for their fuel oil<01:41:25.040><

Committee: Senate Ways and Means

Transcript Highlights:

• Rhode Island get rid of fossil fuels Rhode Island get rid of fossil fuels period<00:20:18.720><c> so<
• </c> fire because of fossil fuel fire because of fossil fuel pollution<02:20:46.680><c> uh</c><02:20:
• and the price of fossil fuels.
• </c><04:43:16.920><c> diversity</c> that we would have less fuel diversity that we would have less fuel
• </c><04:45:21.160><c> less</c> renewable energy providers spent less renewable energy providers spent

Committee: House Science, Technology and Energy

Transcript Highlights:

• My question has to do with the amount of money being spent on the school voucher program.
• What percentage of the budget and how much in dollars is being spent right now?
• Did we put any guardrails on how that money is spent? Representative Persons-Mulicka.
• wisely, that they're being spent effectively.
• Spent $300 million last year on land acquisition. We're spending $300 million this year.

Summary: The House met on the final day of session, swore in Representatives Boyles and Hodgers, and observed a moment of silence for the Minnesota House Speaker Melissa Hortman and her husband, as well as for Representative Rosenwald’s father. The chamber then moved into final budget work, with leaders outlining the plan to take up H.J.R. 5019, HB 7031, HB 5017, HB 5015, and then the general appropriations act once the Senate transmitted it. H.J.R. 5019, a proposed constitutional amendment to expand the budget stabilization fund, was explained and amended to raise the rainy day fund cap, require annual deposits, and allow withdrawals for critical state needs by a two-thirds vote; it passed 100-1. The House then adopted the conference report on HB 7031, the tax package. The bill repeals the business rent tax and aviation fuel tax, delays the natural gas fuel tax, creates or expands several sales tax holidays and exemptions, including permanent exemptions for disaster-preparedness items, hunting/fishing/camping items, and ammunition and firearms-related purchases, and makes changes to property, corporate income, local tax, and economic development provisions. Members debated the removal of recurring housing trust fund and transit-related revenue streams, the new ammunition exemption, and the data center tax changes; supporters argued the package reduces taxes and preserves annual budget flexibility, while opponents raised concerns about housing, transportation, and gun violence. The conference report passed 93-7. HB 5017, creating a debt reduction program funded by a recurring transfer to retire state bonds early, passed unanimously. HB 5015, the state group insurance conforming bill, which directs DMS to develop a formulary management plan and codifies the administrative health insurance assessment, also passed. The House then began explanation and questions on the fiscal year 2025-26 general appropriations act, described as a $115.1 billion budget that is down $3.8 billion from the current year and includes more than $12 billion in reserves. Subcommittee chairs summarized major spending areas, including pre-K-12 funding increases, health care funding for Medicaid, KidCare, nursing homes, opioid treatment, and mental health, transportation and economic development funding, environmental and water projects, higher education, state administration, justice, and information technology. Questions focused on school vouchers, inflationary pressures on school districts, and the adequacy of funding for housing, transportation, and other priorities.

Transcript Highlights:

• rates by providing exemptions to requirements to meet the standard and prohibits demolishing of fossil fuel
• Yucca never became viable despite tens of millions of dollars spent.
• This has to do with the demolition of fossil fuel plants.
• The decision to retire a fossil fuel generation plant is a complicated financial business decision.
• </c> nuclear uh uh whether it be fossil fuel nuclear uh uh whether it be fossil fuel or<00:46:34.280>

Committee: House Energy Finance and Policy

Transcript Highlights:

• Some examples can be given, which I think I'll skip this morning or this afternoon, but IOUs have spent
• But IOUs have spent large sums to stop local efforts to form a public utility, including PG&E spending
• SDG&E spent almost $400,000 to oppose an effort to form a public utility in San Diego.
• Hydrogen can be made from renewable sources and is a clean, safe fuel source that can help us meet our
• As we are now facing severe energy price volatility, there is a need to... ...fuel cells.

Committee: House Utilities and Energy

Transcript Highlights:

• It's not a policy area I've spent a lot of time on, but I sat down with a couple gentlemen explaining
• Between time, labor, fuel, and fees, small farmers simply cannot compete.
• We've spent billions already putting fires out.
• We've spent billions already putting fires out.
• We can do proactive thinning and fuels management to reduce the risk.

Summary: The Senate Agriculture and Natural Resources Committee held public hearings on several bills and a joint memorial, with testimony largely focused on steelhead recovery, agricultural viability, wildfire funding, and shellfish fees. On SB 6241, which would create a wild broodstock conservation program for steelhead, staff described a statewide program with a fiscal note of about $14.6 million in FY 2027, while sponsor Sen. Braun argued the concept could boost wild populations and fishing opportunity at lower cost than the fiscal note suggests. Proponents, including anglers and conservation groups, said broodstock programs could improve fisheries, preserve genetics, and support local economies; opponents, including Trout Unlimited, argued the bill was too broad, not sufficiently science-driven, and should be left to agency and co-manager discretion. The public hearing closed with a strong pro/con sign-in count in favor of the bill. The committee then heard SB 6104, a broad agriculture-protection bill that would require agricultural impact statements for certain agency actions, annexations, and zoning changes, and would direct mitigation measures when actions harm agricultural or natural-resource-based commercial activities. Sponsor Sen. Muzzall said Washington agriculture is under severe pressure and losing farms, while supporters from farm groups said the bill would force agencies to consider ag viability and compensate for impacts. Opponents, including a small farmer and environmental advocates, said the bill was too procedural, could burden modernization or conservation efforts, and might create uncertainty around existing conservation funding accounts. The hearing ended with more testimony in opposition than support. The committee also heard SJM 8015, urging the federal government to ensure wildfire-response consolidation does not reduce capacity or firefighter safety. Sponsor Sen. Short and many testifiers, including private forest owners, tribes, students, conservation groups, and local officials, emphasized the importance of maintaining and fully funding Washington’s wildfire response and forest-restoration investments, especially the 1168 account. Testimony highlighted fuel breaks, early detection, community protection, and the economic costs of wildfire. The memorial drew overwhelmingly pro testimony. Finally, the committee suspended the five-day notice rule to hear SB 6318 on commercial shellfish fees; staff explained it would cap Department of Health fee increases after a recent fee review, and shellfish growers strongly supported the bill as necessary to keep small farms viable. The committee also took a work session on beaver relocation and habitat restoration, where presenters described beavers as a water-retention and wildfire-resilience tool and discussed coexistence, relocation, and possible future management changes.

Transcript Highlights:

• According to Cass County Judge Travis Ransom, Cass County burns over 100,000 gallons on road taxed fuels
• SB 935 only exempts counties from paying the motor fuel tax if the gas or diesel is sold in the county
• Licensed fuel providers and distributors receive a credit on their taxes. sales to counties.
• Honestly, we have the Texas motor fuels tax at 20 cents a gallon for road diesel and for gasoline, which
• He spent over $600,000 between lawyers and accountants, defending himself to figure it out.

Bills: SB214 , SB935 , SB1030 , SB1901 , SB2018 , SB2020 , SB2066 , SB2206

Committee: Senate Finance

Transcript Highlights:

• communication between the gas pump and the terminal, which regulates fuel flow at the pump.
• Limited access to fuel causing substantial financial loss. The suspect will disrupt the pulse.
• Other suspects then will pump stolen fuel into large auxiliary tanks.
• It's lucrative to break into gas pumps and steal lots of fuel.
• And if you don't know what the, all it is is it says your fuel meters at a certain amount.

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

Committee: Senate Criminal Justice

Transcript Highlights:

• , but to me that means we have to be even more thoughtful and accountable about how the money gets spent
• Be even more thoughtful and accountable about how the money gets spent.
• So far, we've spent approximately $44 million on technical assistance through all of those programs.
• We're seeing now global geopolitics are influencing the comments about fertilizer and fuel.
• We're seeing now global geopolitics are influencing the comments about fertilizer and fuel.

Summary: The joint informational hearing examined how agricultural programs have used cap-and-invest funding and what role agriculture should play in future climate investments. The chairs opened by noting that agriculture had been largely left out of the cap-and-invest reauthorization, despite prior support through the Greenhouse Gas Reduction Fund, and framed the hearing around climate-smart agriculture, food security, rural vitality, and the need for measurable co-benefits such as water savings, soil health, and air quality improvements. The first panel included CDFA Deputy Secretary Virginia Jamison and LAO analyst Helen Kirsten. Jamison described CDFA’s climate-smart portfolio, including the Healthy Soils Program, SWEEP, the Alternative Manure Management Program, and dairy methane reduction efforts, saying roughly $727 million has supported these programs and produced estimated reductions of 31 million metric tons of CO2e, 1.6 million acre-feet of water savings, and about 4,000 projects. She emphasized technical assistance, oversubscription of the programs, and the need for continued investment and better measurement/verification. Kirsten outlined the cap-and-invest structure, the Greenhouse Gas Reduction Fund, and the state’s emissions inventory, noting agriculture is about 8% of California’s GHG emissions and that funding for tier-three programs may remain constrained. She also said prior LAO work found the programs have significant reduction potential but that some estimated benefits may be overstated, recommending further evaluation. The second panel featured UC researchers Alexandra Hill and Ermi Kibreab, who presented on the economic importance of California’s working landscapes and on dairy methane reduction pathways. Hill said working landscapes are a major part of the state and national economy, with agriculture driving most of the sector’s sales and jobs. Kibreab explained that dairy is central to methane reduction because it accounts for a large share of agricultural methane emissions, and described herd efficiency, digesters, alternative manure management, and emerging feed additives as complementary strategies. He said digesters and other incentive-supported measures are helping California move toward its methane goals, while noting feed additives such as 3-NOP and seaweed-based approaches could offer additional reductions in the future. The third panel brought contrasting views from environmental advocates, farmers, and industry representatives. Phoebe Seaton argued that further state funding for dairy digesters is not environmentally or economically justified, citing concerns about methane, nitrous oxide, groundwater impacts, odors, and high cost per ton reduced. Brian Shobe of CalCAN supported continued funding for programs like AMP, SWEEP, and Healthy Soils, saying they provide multiple co-benefits and that farmers need stable, incentive-based support to comply with climate and water regulations. Cannon Michael of Bowles Farming Company described his farm’s investments in organic and regenerative practices, composting, drip irrigation, solar, habitat management, and workforce programs, and said consistent funding helps farms plan and remain viable. Tricia Gerringer of the Agricultural Council of California urged funding for FPIP, the Farmer Program, methane reduction programs, and sustainable ag waste management, arguing they deliver immediate, measurable reductions and co-benefits. Members and witnesses debated the relative merits of digesters versus alternative manure management, the role of regenerative agriculture, and whether agriculture should be treated as a distinct policy category. No votes were taken; the hearing concluded with public comment supporting agricultural climate funding and a request to include agriculture in broader cap-and-invest discussions.

Transcript Highlights:

• You all understand our reliance, much like other states, on gasoline tax, special fuel weight distance
• The drivers and owners are at the pumps less, and they're paying less fuel tax.
• vehicles become more economical, as the miles per gallon that they earn increases, we receive less fuel
• Hey, if it’s not being spent and these projects can’t get off the ground and get done, you might think
• And then on the special fuels, 22.88 and...

Transcript Highlights:

• These are fuel breaks around communities.
• So in the community, around the community, with fuel breaks.
• And fuel breaks have again and again demonstrated their effectiveness.
• And we've spent a fair amount of our time, budget time here...
• a higher priority in California than a dollar spent 75 miles away. than a dollar spent 75 miles away

Transcript Highlights:

• I mean, and you're looking at a perfect storm right now as fuel prices—we looked at 2008, fuel prices
• Right now, we raise the rates as insurance and fuel goes up.
• Fuel does come down. We have a fuel surcharge that goes up and down as the fuel does.
• Do you recall when we spent 18 months studying insurance?
• I spent a couple years with a foster family.

Bills: HB37 , HB51 , HB173 , HB180 , HB192 , HB306 , HB366 , HB393 , HB485 , HB516 , HB521 , HB526 , HB638 , HB752 , HB817 , HB976 , HB1006 , HB1044

Committee: House Civil Law and Procedure

Keywords: HB37, expropriation, eminent domain, property rights, foreign entity, foreign corporation, limited liability company, LLC, reciprocal expropriation agreement, Louisiana property law, land acquisition, utility infrastructure, public utilities, railroad, waterworks, sewerage, natural gas pipeline, electric utility, telecommunications, carbon dioxide pipeline

Transcript Highlights:

• for administrative costs and is required to publish an annual report detailing how the revenue was spent
• How about addressing fuel costs when diesel fuel is doubled and everything practically in this state
• How about addressing fuel costs when diesel fuel is doubled and everything practically in this state
• Fuel costs when diesel fuel is doubled, and everything practically in this state is moved by a fossil
• fuel vehicle, mostly diesel.

Summary: The House Finance Committee heard briefings and public testimony on several bills related to local tax authority and exemptions. HB 2559 would let cities and counties impose an additional 4% lodging/short-term rental excise tax starting in 2027, with revenues dedicated to affordable housing programs and up to 15% for administration. Staff explained existing lodging tax limits and estimated substantial local collections, while the prime sponsor and supporters argued it would give local governments a needed tool to address housing shortages caused in part by short-term rentals. Opponents, including short-term rental owners and hosts, said the tax would hurt tourism communities, reduce supplemental income for owners, and should not single out one lodging segment. The hearing on HB 2559 was suspended and later reopened for additional testimony; no vote was taken. The committee also heard HB 2133, which would make permanent the property tax exemption for multipurpose nonprofit senior citizen centers. Staff said the exemption is currently set to expire in 2028 and that the bill would remove it from the automatic 10-year sunset. The sponsor and a veteran/senior center perspective emphasized that the exemption helps keep senior centers open and supports isolated older adults. A question was raised about whether a broader nonprofit community center with senior-focused space would qualify, and staff said they would follow up. The hearing on HB 2133 was then closed. HB 2135 would increase and extend the adaptive housing sales and use tax remittance for disabled veterans, raising the individual lifetime cap from $2,500 to $5,000, increasing the statewide annual cap, and extending the program’s expiration to 2038. Staff said the fiscal impact would be minimal because use is low, and a veterans coalition representative supported the bill as a way to ensure more federal grant dollars go toward home modifications. The hearing on HB 2135 was closed. The committee spent the most time on HB 2442, an eight-part local government tax and fund-flexibility bill. It would expand uses of existing REET revenues, allow cities to adopt an affordable-housing REET under certain conditions, authorize county public utility taxes with a low-income assistance set-aside, create a new local sales tax for children and family services, broaden housing-related sales tax uses, restructure mental health and veterans property tax levies, extend levy lid lift periods, and allow rental car tax revenues to be used for criminal justice purposes. Supporters from counties, cities, housing groups, and some local officials said the bill would provide needed fiscal flexibility and new tools to address housing, public safety, and service demands. Opponents from utilities, realtors, water and sewer districts, wireless carriers, auto dealers, and tax critics argued the bill would raise regressive costs, especially on housing and utility customers, and that some provisions lacked a sufficient nexus to the original taxes. The hearing on HB 2442 was closed after extensive testimony.