Transcript Highlights:

• In state preschool and child care, the legislative plan shifts state preschool programs operated by community-based
• chair the Education Committee, and we are obviously very focused on kids who are in school from preschool
• CFT is also opposed to the inclusion of private state preschool programs in the Proposition 98 funding
• strongly oppose the $3.9 billion underfunding of Prop. 98 and the move of non-local educational agency preschool
• remains strongly opposed to the withholding of Proposition 98 and fully shifting the California State Preschool

Summary: The Assembly Budget Committee met to consider the 2026 Budget Act, which leaders said was the negotiated compromise with the Senate and was expected to move to the floor that evening. Opening remarks emphasized that the plan balances the budget over two years, reduces the structural deficit, and builds reserves, while also protecting core services in the face of federal cuts. Jason Sisney outlined the legislative budget framework and the likely floor bills, including AB 109, SB 110, SB 122, and SB 125. Department of Finance representative Eric Khali said the administration appreciated the two-year balanced approach and supported the modification in SB 122, while noting the package uses additional revenues and new spending to soften or reject some proposed cuts. Most of the discussion focused on major spending areas. Members and subcommittee chairs highlighted protections and additions for health care and human services, including rejecting the proposed Medi-Cal asset limit change, delaying premium increases, restoring clinic and dental funding, supporting distressed hospitals and county indigent care, and expanding county eligibility staffing to handle H.R. 1-related workload. Education members described record or expanded support for TK-12 schools, child care, special education, community colleges, teacher recruitment, and higher education, including a change to extend Cal Grant eligibility to age 30 for some community college students. Housing and homelessness funding was increased for HAP, multifamily housing, and the low-income housing tax credit, while public safety members pointed to investments in victims’ services, restorative justice, and prison closure savings. Several members also raised concerns or priorities tied to the budget deal. Some praised the package as a moral document that protects vulnerable Californians, immigrant communities, LGBTQ residents, seniors, and people with disabilities. Others noted unresolved issues, including the MCO tax’s impact on districts, the need for more support for local journalism, arts, biotech R&D incentives, transit and GGRF-related concerns, and the need for continued work on Prop. 98 and long-term fiscal resilience. The vice chair cautioned that despite the current progress, the state remains vulnerable to revenue volatility and warned that the budget should build more resilience against a possible downturn. No formal vote was taken in the portion provided, but the committee was preparing the budget package for floor action and final negotiations.

Transcript Highlights:

• This is again a State Education Department departmental bill to facilitate the process for preschool
• Departmental bill to facilitate the process for preschool children with disabilities as they move into

Committee: Senate Education

Summary: The Senate Education Committee met on May 5, 2026, and considered a series of bills, several of them brought up through motions for committee consideration. Chair Shelley Mayer said she would allow brief remarks but stated her opposition to those motioned bills, emphasizing her general practice of giving minority members’ bills consideration. The committee first took up S-16 (Jacob’s Law, on bullying and related school safety issues), which was moved out of committee on a majority vote, with Senators Jackson and Bynoe recorded without recommendation. The committee then debated S-717, a local bill by Senator Rose to exempt the Wantagh Union Free School District from the state’s indigenous mascots/logos restrictions. Senator Rose argued Wantagh’s mascot and name are tied to local history and not intended to denigrate anyone. The bill was moved, but the committee vote was not favorable enough to advance it, and it was referred onward to the Investigations Committee. S-4496, Senator White’s bill to protect women’s sports from what supporters described as unfair competition by biological males, drew strong support from the sponsor and strong opposition from Chair Mayer, who said she opposed it as mean-spirited and unnecessary; the bill did not advance. The committee also considered several school bus and transportation bills. S-4748, by Senator Borrello, would repeal the electric school bus mandate and replace it with a feasibility study; he cited safety, cost, and operational problems with early adopters. S-8847, by Senator White, similarly sought to remove electric bus mandates and leave decisions to local districts, and S-9667, by Senator Ryan, would delay the zero-emission school bus mandate by five years. The committee advanced some of these measures to other committees or the floor, while others did not move. In addition, the committee approved S-7788 on special education reserve funds, S-8288A on reasonable rates for public school room use, S-8368 on records retention for Education Department proceedings, S-8370 on temporary resident placement of children with disabilities, S-8370 on release of student records to juvenile detention facilities, and S-1049 on updating the Dignity for All Students Act’s cyberbullying definition to include AI-related harassment.

Transcript Highlights:

• The definition of live presentations does not include classes provided by schools, including preschools
• The cost of food, supplies, insurance, public utilities, and licenses keeps going up.
• Services and insurance, utilities, and licensing continue to rise. Thank you. Good afternoon.
• It represents payroll for assistance, classroom supplies, licensing fees, food programs, and rent.
• It covers assistant wages, food costs, licensing requirements, supplies, and rent.

Summary: The committee opened with a public hearing on Senate Bill 5808, a proposal to require nonprofit health carriers with “excess surplus” to pay 10% of that surplus into the state health care affordability account for Cascade Care Savings. Committee staff said the bill could generate about $330 million one time in 2027, while the Office of Insurance Commissioner would have implementation costs. Supporters argued the bill would redirect consumer premium dollars to help people afford coverage, while opponents from health plans said reserves are needed for solvency, claims, and capital needs and warned the bill would destabilize nonprofit insurers. The committee also heard testimony on House Bill 2254, which would let the Partnership Access Line assessment cover administrative costs; HCA and Seattle Children’s supported it as a technical fix that saves general fund dollars, and a child psychiatrist asked that savings be reinvested in behavioral health services. House Bill 2385, which extends deadlines for the Medicaid Access Program because of federal restrictions on new provider taxes, also drew support from provider groups seeking future Medicaid rate increases. The committee then heard Substitute Senate Bill 6286, which would increase fines on private detention facilities that deny Department of Health inspections and dedicate the fines to an account for community repair and assistance to harmed individuals and families. Supporters, including Tacoma’s mayor and family members affected by detention, framed the bill as an accountability measure; fiscal staff estimated Department of Health costs of about $395,000 in the 2025-27 biennium. Senate Bill 6006 would exempt food banks from sales tax on certain services enacted last session, with food bank and tribal representatives saying the savings would go directly to food and operations. Senate Bill 6351 would create exemptions from the new sales tax on live presentations for before- and after-school care, arts and cultural nonprofit classes, and K-12 school purchases; school districts, arts groups, and PTA representatives supported it, while asking for clarifying language and broader nonprofit exemptions. Engrossed Substitute House Bill 1717 would let cities and counties create local sales tax remittance programs for affordable housing projects, and housing builders, Habitat affiliates, counties, and city officials supported it as a local tool to lower development costs. In executive session, the committee received briefings on several tax and spending bills and then voted to advance multiple measures. It adopted a substitute and passed Senate Bill 5949, which narrows a B&O tax exemption related to insurance premiums; a proposed retroactivity-removing amendment failed. It adopted a substitute and passed Senate Bill 6129 on cigarette, tobacco, and nicotine taxes after rejecting several amendments, including proposals to study the tax policy or replace the bill with illicit-market enforcement language. The committee also passed Senate Bill 6228 repealing a preferential B&O rate for prescription drug resellers, Senate Bill 6231 repealing data center sales tax exemptions, and Second Substitute Senate Bill 5965, which retained a bag-fee approach rather than a full ban after adopting an amendment. The committee then returned to public hearing and began testimony on Senate Bill 6353, a major Working Connections Child Care bill that would keep income eligibility at 60% of state median income, lower the provider rate target from the 85th to the 75th percentile, and make other program changes; the briefing was underway when the transcript ended.

Transcript Highlights:

• Senator Doctor Kayleigh Greg is an Oklahoma native born and raised in Beaver, Oklahoma, and she's a licensed

Bills: HB3767 , HB3934 , HB4199 , HB4336 , HB2947 , HB3834 , HB4302 , HB4095 , HB3287 , HB3649 , HB4430 , HB4431 , HB2059 , HB3647 , HB3986 , HB3548 , HB3661 , HB4346 , HB3075 , HB4273 , HB3391 , HB4128 , HB3557 , HB3239 , HB3982 , HB2123 , HB2979 , HB2997 , HB3148 , HB4108 , HB4143 , HB4266 , HB2053 , HB4058 , SR30

Keywords: controlled dangerous substances, controlled substances, drug scheduling, Schedule I, Schedule IV, anti-drug diversion, drug diversion, synthetic opioids, fentanyl analogs, designer drugs, synthetic cannabinoids, benzodiazepines, benzodiazepine analogs, opioids, hallucinogens, depressants, pharmacy regulation, narcotics control, Oklahoma State Bureau of Narcotics and Dangerous Drugs Control, DEA scheduling

Transcript Highlights:

• BOOKERS HAVE ATTENDED ANNUNCIATION SINCE PRESCHOOL AND WE HAVE BEEN IN THE ANNUNCIATION COMMITTEE FOR
• We require training and licensing to drive a car. We require safety courses for hunting.
• You cited two examples, licensing a car and licensing hunting, as examples, and neither of those are
• YOU CITED TWO EXAMPLES LICENSING A CAR AND LICENSING HUNTING AS EXAMPLES AND NEITHER OF THOSE ARE RIGHTS
• It would be required for licensing. Existing owners would need the license.

Transcript Highlights:

• House Bill 2784, this amends Section 3 of Chapter 32 to include license...
• Now, ...as other licensed electricians in the Commonwealth.
• licenses with continuing education.
• Licensed water operators encounter hazardous materials and conditions daily.
• This was a reflective moment for me as to what group licensed drinking water operators are in.

Committee: Joint Joint Committee on Public Service

Summary: The Joint Committee on Public Service heard testimony on a wide range of retirement classification and benefit bills affecting municipal and state employees. Much of the hearing focused on proposals to move various workers from Group 1 to Group 2 or Group 4, including municipal building officials (H. 2776), MassDOT highway workers (H. 2908/Sousa’s Law), DCF attorneys (H. 2771), probation officers, licensed electricians, drinking water operators (H. 3000/S. 1834), MWRA non-clerical workers (S. 1803), transitional parole officers (H. 2878), Plymouth BCI criminal investigator officers (H. 2975/S. 1863), Beverly fire alarm operators/public safety telecommunicators (S. 1876), Massport pipefitters and refrigeration technicians (H. 2788/S. 1829), and other public safety or hazardous-duty classifications. Witnesses generally argued that their work is physically dangerous, understaffed, or comparable to already higher-classified employees, and several said the changes would help recruitment and retention with little fiscal impact because the affected groups are small. The committee also heard testimony on H. 4508, a home rule petition to grant a disability pension to Boston principal Patricia Lampron. Supporters, including Representative Dan Hunt, Boston city councilors, and Lampron herself, described a severe 2021 assault at the Henderson Inclusion School that left her with lasting physical and psychological injuries and forced her into early retirement. They urged the committee to advance the bill quickly. One witness, Pamela McLaughlin, testified in opposition, arguing the bill would set the wrong precedent and describing alleged prior misconduct by Lampron, and asked that the bill be sent to study. Several witnesses and committee members asked brief questions, mainly about the scope of the bills, whether certain workers were already in higher groups, and the fiscal or precedent concerns. No votes were taken during the hearing. At the end, the chairs announced that testimony was complete, asked whether anyone else wished to speak, and then the committee voted to adjourn.

Transcript Highlights:

• So facilities that are exempt from child care licensing.
• So if there are two children who are unrelated at a home, they don't need to be licensed.
• And in that 144102 care licensing.
• I believe what page to be licensed.
• um preschool and other educational<00:19:11.280><c> provisions.

Bills: SF0087 , SF0088 , SF0092

Committee: Senate Judiciary

Transcript Highlights:

• We're going to take up tab for in Senate Bill 472, and education and correctional facilities for license
• Where are they going to purchase their devices for smoking medical marijuana, if not from a licensed
• Specialty businesses like ours will be restricted unless we obtain an alcohol license.
• that license.
• Manama license fee. Minimal cost to you medical marijuana lane. The application fee is $146,000.

Transcript Highlights:

• I'm on the preschool assessment team, and I'm also the parent of a student with an IEP.
• As a preschooler who is not yet enrolled in school, they bring the student for assessment.
• homeless youth has equal access to the same free, appropriate public education, including a public preschool

Bills: HB1662 , HB1683 , HB2534 , HB2557 , HB2594

Committee: House Education

Keywords: education agencies, administrative independence, superintendent, education reform, agency authority, education, school boards, district adjustments, administrative boundaries, educational governance, military families, child stability, transitional schooling, support services, special education, parental rights, educational access, evaluation reports, disability services, unhoused

Transcript Highlights:

• the James Beard Award-winning chefs, direct home deliveries, food and meal programs, as well as preschools
• logistics in the last miles delivery system, this enables new opportunities that…” programs as well as preschools
• qualifying private entities, or indigent persons, on the conditions that the property be used for the preschool

Bills: HB2142 , HB2369 , HB2432

Committee: House Education

Keywords: remote learning, hybrid learning, education reform, alternative education, student engagement, local food, public schools, nutrition, sustainability, agriculture, technology access, educational resources, surplus hardware, student support

Transcript Highlights:

• They're licensing templates and outsourcing platforms from Internet resource providers.
• And we’ve seen, sadly, some licensed compounders who have taken shortcuts. Okay.
• License suspension is likewise flouted by approximately 75% of drivers with suspended licenses.
• I'm also a licensed, board-certified clinical informaticist.
• And in fact, I want you to be using your license judgment.

Summary: The committee heard several bills focused on privacy, accessibility, labor, and public safety. AB 1798 by Assemblymember Wilson would bar life and disability insurers from using non-diagnostic genetic information, including direct-to-consumer test results, in underwriting. Supporters argued the bill would protect privacy and encourage genetic testing, while insurers opposed it as unnecessary and said genetic data should be treated like other predictive health information. The bill passed the committee on a 7-0 vote and was held open for absent members. AB 2190 by Assemblymember Wallace would create website accessibility standards based on WCAG guidelines and add affirmative defenses intended to reduce serial litigation while improving access for people with disabilities. Disability advocates supported the measure as a needed civil-rights update, while business groups warned it could increase liability and create unclear compliance obligations. The bill passed 9-0 and was sent to Appropriations. AB 2721 by Assemblymember Carrillo would require hotels to post notice when they know or should know that U.S. Customs and Border Protection or ICE are using the premises, with supporters saying workers and guests deserve transparency and safety. Hotel and business groups opposed it, citing privacy, liability, and concerns about interfering with federal operations. The committee voted 6-2 to pass the bill to Appropriations, with the roll left open. AB 2027 by Assemblymember Ward would restrict employers from using worker data to train AI systems that replace workers and limit sharing of worker data for automation; labor groups supported it and business and public-sector groups opposed it as too broad. The bill passed 7-2 to Appropriations, with the roll left open. The committee also heard AB 1837 by Assemblymember Mark Gonzalez, which would extend and tighten privacy rules for transit agencies’ use of forward-facing cameras to enforce bus-lane violations; supporters said the cameras improve transit flow and safety, and the bill was presented with amendments, though no final vote is reflected in the transcript excerpt.

Transcript Highlights:

• reading skills for all students through a research-based approach of early childhood education and preschool
• dollars would be wisely spent if this committee and the legislature would pass funding for universal preschool
• My preference would be to target early intervention in preschool or kindergarten rather than retaining
• This officer had been fishing with his son and was fishing without a license, and so got a ticket for
• But their Social Security number, their driver's license number, things like that that are enumerated

Bills: LB878 , LB958 , LB958A , LB762 , LB1187 , LB966 , LB929 , LB962 , LB1209 , LB937A , LB962A , LB1050 , LB1050A , LB965 , LB1022 , LB753 , LB788 , LB913 , LB1055 , LB1195 , LB429 , LB721 , LB722 , LB727 , LB745 , LB749 , LB778 , LR293 , LR296 , LR422 , LR495 , LR496 , LR497 , LR498 , LR499 , LR500 , LR501 , LR502 , LR503 , LR504

Transcript Highlights:

• Um, when I worked on the preschool development grant, we were bringing this in.
• </c><00:41:25.040><c> grant</c><00:41:25.280><c> we</c> on the preschool development grant we on the
• When I had to have a background check, like for my EOT license, which I don't have, you know, right now
• I'm not carrying a license.
• I'm not carrying a license.

Committee: Senate Education

Transcript Highlights:

• A driver's license is sufficient, as are legal residence documents.
• c><01:04:48.079><c> But</c><01:04:48.160><c> a</c><01:04:48.400><c> driver's</c><01:04:48.799><c> license
• But a driver's license is here legally.
• But a driver's license is sufficient,<01:04:50.720><c> legal</c><01:04:51.599><c> legal</c><01:04:52.000
• So I have a lot outside of a preschool.

Summary: The committee met for its sixth meeting, established a quorum, and approved the minutes from the October 21 meeting. The main agenda item was a presentation from Kentucky Association of Counties (KACo) leaders and county officials on jail funding and jail-system reform. Speakers said county jail costs have reached crisis levels, citing large and rising general-fund subsidies in counties such as Hardin, McCracken, and Warren, and noting that county general-fund contributions to jail funds have increased by 76% since 2019. KACo outlined a three-part legislative approach for the upcoming session: incentivizing regional jails, clarifying responsibility for pre-trial felony detainees, and redefining the model for housing state inmates in county jails. On regional jails, they proposed one-time state construction funding, statutory changes to allow former county jails to serve as 96-hour holdover facilities, broader participation of jailers on regional jail authority boards, an increased supplement for closed county jails, and a one-time payment for counties that close local jails and join regional facilities. Union County Judge Adam Onan described his county’s savings from contracting with Webster County and said regionalization can reduce costs where feasible. Harlan County Judge Executive Dan Mosley focused on pre-trial felony detainees, saying counties bear the full cost of housing people awaiting trial for long periods, sometimes years, and that pre-trial time is later credited toward state sentences. He argued the state benefits from that credit and referenced prior bills that would have reimbursed counties for time-served credit. Shelley Hampton then proposed replacing the current per diem model for state inmates with contracts requiring the Department of Corrections to pay actual housing costs and to support programming such as substance abuse treatment, cognitive behavioral programming, re-entry services, workforce training, and academics. No votes were taken on the jail proposals, and the meeting ended with the presentation and discussion of the county recommendations.

Transcript Highlights:

• I am pleased to recognize in the East Gallery the Florida Association of Licensed Investigators.
• We have over 20,000 preschoolers in Florida who are diagnosed with autism.

Summary: The Senate opened with a prayer, pledge, and several introductions recognizing guests and groups in the gallery, including representatives from Moffitt Cancer Center, students from Lakeland Christian School, space industry guests, Kappa Alpha Psi, the Florida Association of Licensed Investigators, and local visitors from Groveland and Polk County. The chamber also noted the doctor of the day and later adopted Senate Resolution 1856 honoring the life and legacy of Senator Geraldine Thompson, with 38 co-introducers recorded. In addition, Senate Bill 1324 by Senator Simon was withdrawn from further consideration. The main floor action was on Committee Substitute for Committee Substitute for Senate Bill 112, relating to children with developmental disabilities. Senator Harrell explained that the bill is aimed at improving autism diagnosis, early intervention, and services by expanding screening and referral grants, extending Early Steps services, designating the University of Florida Center for Autism and Neurodevelopment as a coordinating research hub, creating grants for autism-focused charter schools and summer programs, and establishing a microcredential for workers who serve children with autism. Several senators spoke in support while raising implementation concerns, especially about provider recruitment, Medicaid managed care coverage, and the need for more research and technology support. In closing, Senator Harrell said the bill is a first step in a broader effort to improve services and research, and she addressed concerns by stating the services would be covered under new contracts and Medicaid, subject to a federal waiver, and that the microcredential would be developed online by the University of Florida with a stipend to encourage participation. The Senate then voted 38-0 to pass the bill. Afterward, the Rules Chair moved to waive rules and immediately certify the bill to the House, which was adopted without objection, and the Senate adjourned until the next scheduled meeting.

Transcript Highlights:

• It would allow homeowners and developers to hire licensed third party professionals to conduct plan checks
• post-entitlement plan checks for small residential projects, providing an alternative for applicants to use licensed
• educational journey began at Broad Oak School at Whittier College, where she was a student from preschool

Transcript Highlights:

• school shooting range closure; HB 2764, computer science; HB 2768, interchange fees; HB 2772, driver's license
• ; HB 2773, international criminal; HB 2775, international crime; HB 2778, retail licensing; HB 2779,
• authority 2763 school shooting range closure 26 26 264 computer science 2768 interchange fees 2772 2772 license
• driver 2773 international criminal 2775 in international crime with 2778 retail licensing 2779 health
• A five-year-old, Liam Conejo Ramos, was detained where ICE used a preschooler as bait by telling him

Summary: The House convened with prayer, the Pledge of Allegiance, approval of the prior journal, and recognition of Dr. Pamela Murphy as Doctor of the Day. Members also introduced a number of guests, including Deacon Ernie Gonzalez, local Prescott officials, Arizona Game and Fish commissioners, and advocates from the Alzheimer’s Association. A proclamation was read designating January 26, 2026, as Arizona Aviation Day, with remarks highlighting the aviation industry’s economic impact and the presence of airport and aviation representatives in the gallery. The clerk then read a long list of bills that had been first read or referred for printing, and a second-reading calendar covering measures on water and energy, education, elections, taxes, housing, veterans, public safety, and other topics. No floor votes on those bills were taken during this segment. Representative Gress also read a resolution recognizing National School Choice Week and praising Arizona’s school choice programs, including charters and ESAs. Much of the remainder of the session consisted of members’ personal privilege remarks responding to violence and immigration enforcement actions in Minnesota and elsewhere. Speakers from both parties and several senators and representatives condemned ICE tactics, described constituent fear and family separations, and called for constitutional rights, due process, and accountability. Representative Sandoval requested and the House observed a moment of respectful silence in memory of Alex Pretty and Renee Good. The House then received committee and caucus announcements and adjourned until 1:15 p.m. Tuesday, January 27, 2026.

Transcript Highlights:

• . $20 million for Jewish day schools and preschools for the security grant program established in the
• House Bill 1461 establishes a framework for the licensing and regulation of advanced nuclear reactors
• This bill simply removes the requirement to hold a duplicative license for the same facility and the
• It specifies what information must be visible on a license plate that is using a license plate frame.
• One having to do with their driver's license, another having to do with license plate readers that are

Transcript Highlights:

• This makes changes related to moving to continuous licensing.
• This changes requirements for posting licensing actions on the Licensing Information Lookup public website
• It modifies the length of time or provides that when a child foster care license holder, the license
• for licensing child care centers.
• to communicate and respond to license holders.

Bills: HF2436

Committee: House Children and Families Finance and Policy

Transcript Highlights:

• Amazing that there would be a free preschool for every four-year-old. $4 billion for community schools
• to develop, implement, promote, and foster a comprehensive statewide initiative for encouraging preschool
• To develop, implement, promote, and foster a comprehensive statewide initiative for encouraging preschool
• I am a preschool special education teacher in San Francisco.
• I am a preschool special education teacher in San Francisco.

Summary: The subcommittee opened with remarks on the state budget and K-12 education, noting the large increase in the Proposition 98 minimum guarantee, the use of deferrals and reserves in the prior budget, and the challenge of balancing education funding against other state priorities. Superintendent Tony Thurmond described California education as improving overall, citing gains in test scores, graduation, and college readiness, but said major gaps remain for low-income students, students of color, agricultural communities, English learners, foster youth, and students with disabilities. He praised recent investments in universal meals, transitional kindergarten, community schools, arts, broadband, and special education, while warning that declining enrollment, chronic absenteeism, and the proposed $5.6 billion Prop. 98 settle-up create uncertainty for districts. He also urged a long-term literacy plan, expanded tutoring, universal kindergarten, and continued protections for students and families affected by immigration enforcement, including ICE-related fear and attendance loss. The committee then heard a detailed presentation on Proposition 98 from the Department of Finance and the Legislative Analyst’s Office. Finance explained that the Governor’s budget projects the minimum guarantee will rise by about $21.7 billion over three years, with a $5.6 billion settle-up obligation in 2025-26 intended to avoid overappropriation if revenues weaken. Finance also described revised reserve deposits and withdrawals, ending with about $4.1 billion in the Public School System Stabilization Account by 2026-27. The LAO said recent revenue collections were stronger than expected in the current year but warned that the outlook for 2026-27 is weaker and that stock-market-driven revenues remain volatile. The LAO supported maintaining reserves and one-time spending buffers, but recommended fully funding the guarantee and using other budget solutions rather than shifting the settle-up into future deficits. Members asked about the settle-up process, certification timeline, the effect of attendance declines tied to immigration enforcement, and wildfire-related impacts, including Pasadena Unified’s $4 million special appropriation. On LCFF and necessary small schools, Finance proposed a 2.41% COLA and about $2.2 billion in additional LCFF funding for districts and charters in 2026-27, plus a $30.7 million ongoing increase to raise the necessary small schools allowance by 20%. The LAO supported funding the COLA but said the small-school increase was not tied to a specific cost study and could be redesigned to better target small districts, noting that only a fraction of very small districts would benefit. Questions focused on how small schools access supplemental and concentration grants and how attendance recovery programs are being implemented. The Department of Education said only 130 LEAs had reported attendance recovery so far, likely because it is a new program with compliance requirements, though interest appears to be growing. FICMAT then reviewed the fiscal health of local districts, reporting an uptick in qualified and negative certifications, though still far below Great Recession levels. It said declining enrollment, rising special education costs, and higher labor and insurance costs are the biggest fiscal pressures, and that some districts are using fiscal stabilization plans and staff reductions ahead of second interim reports. FICMAT also discussed wildfire impacts on Pasadena Unified and Los Angeles Unified, explaining that Pasadena’s $4 million state appropriation was based on an early post-fire assessment and that the district is being monitored with the county office of education. Members raised concerns about Pasadena’s leadership, special education staffing shortages, AB 218 sexual abuse litigation costs, insurance premium increases, and the need for stronger prevention and training measures. FICMAT said SB 848 and related policies address some of those concerns by strengthening standards, training, and reporting requirements.