Transcript Highlights:

• Budget overview and budget change proposals for the Emergency Medical Services Authority.
• Budget overview and budget change proposals for the Emergency Medical Services Authority.
• As noted in the agenda, the Governor's Budget includes three budget change proposals for EMSA.
• I will now touch on the budget.
• projected budget presented in the Governor's January budget.

Summary: The Assembly Budget Subcommittee on Health heard updates on five health-related budget items. First, members reviewed state support for distressed hospitals and health facilities. The California Health Facilities Financing Authority and HCAI described the Distressed Hospital Loan Program as a lifeline for 16 hospitals, many of which remain financially strained and are expected to seek loan forgiveness rather than repayment. Speakers cited reduced contract labor, new service lines, strategic partnerships, and the reopening of Madera Hospital as signs of progress, but also warned that federal policy changes under H.R. 1 will likely increase uncompensated care and pressure emergency departments. Public commenters from hospital, dental, and consumer groups supported additional funding, including a request to refresh the program with another $300 million. The committee then heard HCAI’s update on the California Rural Health Transformation Program, a five-year federal initiative funded at $233.6 million for California. HCAI said the program will focus on rural care models, workforce development, and health technology, with grants to be rolled out on a fast timeline and all funds obligated by October 30, 2026. Members raised concerns about rural provider capacity to apply for grants, and HCAI said it will use a third-party administrator, a technical assistance center, webinars, and other supports to help applicants. HCAI also presented its budget request for the health care payments database, seeking ongoing non-General Fund support to continue operations and expand data, including pharmacy benefit manager data. The Emergency Medical Services Authority presented three budget change proposals: funding to replace disaster medical services fleet vehicles, funding for IT security work, and additional positions for HR, enforcement, and legal workload. A member also raised concern that EMSA has not yet completed the annual ambulance rate reporting required by AB 716, and EMSA said it remains committed to the requirement but lost prior funding through later budget reductions. Covered California reported that it is still finalizing its own budget, but expects a lower operating budget due to efforts to reduce baseline costs and align spending with actual expenditures; it also projected enrollment declines tied to the expiration of enhanced premium tax credits, H.R. 1, and federal rule changes, while noting that revenues may still rise because premiums are expected to increase. Finally, the Department of Managed Health Care outlined budget proposals tied to menopause coverage and education, PBM licensure and enforcement under AB 116 and SB 41, credentialing reforms under AB 1041, and prior authorization reporting under SB 306. Public testimony generally supported the menopause and PBM proposals, while also urging clearer language and attention to Medi-Cal parity. The hearing concluded after public comment, including additional advocacy for sickle cell services and rural health workforce funding.

Transcript Highlights:

• to include the bill in the budget conference.
• to include the bill in the budget conference.
• to include the bill in the budget conference.
• to include the bill in the budget conference.
• are made in the proposed Senate budget.

Keywords: 999, senate, all

Transcript Highlights:

• It wasn't actually a new budget request or an ask that was something.
• Of that $60 million, it wasn't actually a new budget request or an ask that was tied to this; it just
• And so you'll see that corresponding request in the OTSI budget. Okay.
• Coalition, we ask the Legislature to support our budget request for the entire amount.
• We strongly support all of the End the Epidemics Coalition's budget requests and specifically want to

Summary: The hearing began with an overview of the California Health and Human Services Agency, which described its 2026-27 budget, major departments, and strategic priorities, including behavioral health, housing and human services integration, children and youth, and aging/disability services. The agency also explained a technical CalHHS/CalHires budget adjustment tied to HR1 compliance and eligibility system work. No LAO concerns were raised on that item. The committee then heard from the Office of Youth and Community Restoration on its budget, its SB 823 realignment report, and related issues. OYCR said county-based realignment has generally succeeded but outcomes and readiness vary widely, and it recommended more climate surveys, youth advisory councils, stronger behavioral management, better programming, improved transition planning, and integrated longitudinal data systems. Members pressed OYCR on “net widening,” county-by-county trends, and the gap between the detailed recommendations discussed in hearing and the more general recommendations in the public report. OYCR also described problems with federal Title II grant timing and a pending $14 million administrative funding adjustment, and discussed implementation of the juvenile justice realignment block grant formula. The Ombudsperson division separately requested two new positions due to rising complaints, site visits, and records-access disputes with counties; LAO noted the proposal would create ongoing General Fund costs. Several other departments presented budget change proposals. The State Council on Developmental Disabilities requested $730,000 General Fund ongoing to cover an interagency administrative support gap with DSS; LAO had no concerns. EMSA presented its department overview, said its AB 716 ambulance-rate report has been delayed after resources were reduced, and requested funding for disaster-response vehicle replacement, IT security assessment work, and additional HR/legal staff; members questioned delays, compliance, and the ongoing General Fund impact. The Department of Community Services and Development sought reappropriation of LIWIP funds and explained a new Proposition 4 process for continuing the farmworker housing component. The Department of Rehabilitation requested authority for $60 million in additional federal funds and 54 positions to meet growing vocational rehabilitation demand, with no General Fund impact. The Department of Child Support Services presented its budget and a supplemental report on full pass-through of child support collections. Members questioned why local agency funding was being restored despite declining caseloads, and staff explained that staffing costs have risen faster than caseload declines and that additional funding is needed to maintain service levels. The supplemental report estimated full pass-through would cost about $150 million General Fund annually, or about $80 million for a state-and-county portion, with $3 million to $5 million in automation costs. Finally, the Department of Public Health gave a broad overview of its $5.1 billion budget and its State of Public Health report, highlighting improved mortality and life expectancy, declining overdose deaths and STI rates, persistent racial and regional disparities, and increasing public health emergency demands. CDPH also warned that federal funding threats and policy changes are creating major uncertainty for state and local public health systems.

Transcript Highlights:

• Okay, going to slide six, I'm going to jump into our budget request.
• In your budget request, I think you have two parts of the compensation request.
• Going into the DOIT request, this slide presents the DOIT budget request, which is detailed in the accompanying
• This is the budget request for the Office of Cybersecurity.
• If I'm looking at the OBAE request sheet that was handed out to us with a budget request, how will I

Transcript Highlights:

• Turning to the fiscal picture, as requested, the Governor's budget projects for ECM $1.2 billion total
• On behalf of the Alzheimer's Association, we are sponsoring the budget request for Dementia Care Aware
• Chair Andrew Mendoza, on behalf of the Alzheimer's Association, we are sponsoring the budget request
• Here in support for three budget asks: one, the $4 million one-time funding request to build on H-Kai's
• I want to just put in my support for the budget request for that.

Summary: The hearing began with testimony from Let California Kids Hear and supporters urging action on pediatric hearing aid coverage. Advocates said California has repeatedly failed to enact a workable solution over the past eight years and argued that children need early access to sound to support development. The proposal discussed would limit the coverage mandate to the large-group market, which advocates said would cover roughly 70% to 80% of affected children and avoid the exchange-related cost issue that contributed to prior vetoes. Supporters, including parents, audiologists, and children’s health groups, backed the proposal, and the chair expressed sympathy and support while noting hope for a federal solution for exchange plans. The Department of Finance then gave opening remarks about the state’s structural deficit and the need to balance new investments against projected out-year shortfalls. HCAI followed with a broad overview of its programs, including CalRx insulin and naloxone initiatives, reproductive health grants, the Office of Health Care Affordability, hospital seismic compliance, workforce programs, and the diaper access initiative. Members asked about geographic targeting of workforce funds, the behavioral health workforce pipeline, and the status of the 21st Century Nursing Initiative, which HCAI said had reverted funds. The committee also discussed a proposed transfer of the Data Exchange Framework and Office of the Patient Advocate to HCAI, new reporting on long-term care staffing and health coverage waiting periods, and a Behavioral Health Services Act workforce proposal that would use BHSA funds to support training, stipends, and technical assistance while offsetting $100 million in General Fund spending; members and LAO questioned the offset and asked for more detail, and the item was held open. HCAI also presented the Rural Health Transformation Program, explaining that California received $233.6 million in federal funds for the first year and had to revise its proposal so that $35 million in provider payments would be tied to specific transformative activities rather than general financial relief. The program will fund rural care model redesign, workforce development, and technology/infrastructure improvements, with grants to be rolled out on a tight timeline and subject to CMS approval. Members asked about the size of California’s award, the use of funds for maternity care, labor and delivery access, dialysis, tribal set-asides, and the role of a technical assistance contractor. The department said the program will use supply-and-demand workforce modeling to target funding and that all funds must be obligated by October 30. Finally, the Department of Managed Health Care outlined its budget and two major bill-related proposals: SB 41 on PBM reform and SB 306 on prior authorization transparency. DMHC said SB 41 would require PBM licensure, ban spread pricing, require rebate pass-through, and regulate pharmacy network practices, while SB 306 would require reporting on prior authorization and create a list of services exempt from prior authorization. DMHC requested additional positions and funding to implement both measures.

Transcript Highlights:

• And also thank you for your generosity on a lot of our criminal justice requests in the budget this year
• request.
• And also thank you for your generosity of a lot of our criminal justice requests in the budget this year
• Senator Smith continued, asking how the criminal justice budget reflects specific requests made by Secretary
• He asked Chair Garcia to speak generally about how the budget compares to Secretary Dixon's requests

Summary: The Senate began with prayer and the Pledge of Allegiance, then moved into floor consideration of the 2026-2027 budget. Appropriations Chair Hooper presented Senate Bill 2500, describing a $115 billion budget that reduces overall spending from the prior year, maintains reserves, and includes a 3% pay raise for state employees and 5% raises for state law enforcement, firefighters, correctional officers, and park rangers. Committee chairs then outlined major spending in their areas, including K-12 education, higher education, health and human services, criminal and civil justice, transportation/tourism/economic development, and environmental and agricultural programs. Highlights included increased funding for school scholarships and safety, workforce and university programs, Medicaid and child welfare, corrections operations, affordable housing, rural communities, Everglades and water quality projects, and infrastructure. Members then asked detailed questions about several budget items. Senators sought clarification on the Emergency Management Trust Fund, arts and cultural grants, Florida Forever land acquisition versus conservation easements, teacher salaries, charter school capital outlay funding, EASE grants, New College funding, DOC inmate counts and reimbursement, lottery staffing, concealed weapons licensing positions, election security funding, iBudget waiver support, ADAP funding, Medicaid hospital rate reductions, and scholarship and enrollment supplements in K-12 education. Chairs explained that some reductions reflected technical shifts or right-sizing, that some funds were being moved below the line for better tracking, and that several items—such as ADAP and corrections operations—would likely remain conference issues with the House. After questions, the Senate substituted House bills for the budget and implementing measures and adopted amendments placing the Senate language onto the House vehicles to prepare for conference. The chamber passed the budget-related bills and several conforming measures, including bills on retirement, fuel taxes, the state agency law enforcement radio system, court trust funds, judgeships, and K-12 and higher education conforming changes. Votes on the major bills were overwhelmingly unanimous or near-unanimous, and the Senate repeatedly voted to accede to the House’s request for conference on the substituted bills.

Transcript Highlights:

• And then lastly, in our 24 to 26 budget request, we had two additional budget requests.
• And then lastly, in our 24 to 26 budget request, we had two additional budget requests.
• And then lastly, in our 24 to 26 budget request, we had two additional budget requests.
• And then lastly, in our 24 to 26 budget request, we had two additional budget requests.
• And then lastly, in our 24 to 26 budget request, we had two additional budget requests.

Keywords: Meeting Start 00:00:00 Attendance Roll Call 00:00:30 Office of the Attorney General 00:01:50 Kentucky River Authority 00:12:50, 958, all

Summary: The Budget Review Subcommittee on General Government met without a quorum at first, then heard an update on child exploitation enforcement efforts from the Office of the Attorney General and the Department of Criminal Investigations. The presenters described the specialized investigation and prosecution unit funded in House Bill 6, saying the added resources allowed them to hire four staff members and expand work on cyber tips, search warrants, arrests, forensic processing, victim advocacy, and training for local law enforcement. They highlighted a recent rescue of a 5-year-old victim from a Discord-related case and said the office had also filed a civil lawsuit against Roblox, alleging the platform lacked adequate age verification and allowed predators access to children. Senators asked about the lawsuit, and the presenters said Kentucky was one of only two states to sue Roblox and that the complaint was based on evidence collected by the office. The committee then received an update from the Kentucky River Authority on lock and dam repairs funded in the 2024-2026 budget. The authority reported progress on three capital projects: upper guide repairs at Locks 2 and 3, design and repair work at Dam 7, and design work to reopen Lock 5 for navigation. Officials explained that river construction is limited by flooding and fish-spawn restrictions, and they described the engineering and safety issues involved in replacing guide walls and repairing Dam 7’s spillway. They also said the authority had demolished three obsolete lockmaster houses and filled a fifth lockmaster position, while continuing to work on pay retention for those employees. Members asked about the transfer of the lock and dam properties from the U.S. Army Corps of Engineers, the permitting process through the Division of Water, and the timeline for reopening navigation. The authority said the Corps had transferred the properties to Kentucky, that permits for river work are handled through the Division of Water and the Army Corps, and that Locks 1 through 4 are open seasonally from Memorial Day weekend through the end of October. Officials said Lock 5 would add 14 miles of navigation if reopened, but that it would still take a few more years before that project is complete.

Transcript Highlights:

• If we don't get the funding we need, and frankly, Our funding, our budget, and our requests are a drop
• We were asked to come back with a revised budget request. We did so, and that was adopted by HAFC.
• And then going over to the recurring budget, so the LFC requested a recurring increase of 2.7 million
• We don't have a standing meeting where we get together and try to coordinate budget requests and requirements
• We're requesting for MVD $1.6 million and other state funds be added to the MVD budget as a result of

Keywords: 996, all

Transcript Highlights:

• So first, let me say that our budget request reflects the need to account for these higher costs when
• This request is for just one year. We've come forward with budget requests.
• of $95 million for the expenses listed in this budget request.
• of $95 million for the expenses listed in this budget request.
• costs, but because of the declining vacancy rate, this is no longer enough, hence the budget request

Keywords: 987, senate, all

Transcript Highlights:

• </c> background of the legislative budget background of the legislative budget office<00:03:10.560><c
• </c> process the FIS the legislative budget process the FIS the legislative budget office<00:03:35.799
• And the first is a fiscal request is submitted to the Legislative Budget Office, and we'll talk in a
• </c> included in the most recent um budget included in the most recent um budget and<00:09:26.800><c>
• There also are substantially fewer requests, so again, we talked about in a regular operating budget

Keywords: 1183, house

Transcript Highlights:

• operating budget.
• The FTE you requested, 26, correct? Mr. Chair, we requested funding for 16 FTE.
• The FTE, you requested 26, correct? Mr. Chair, we requested funding for 16 FTE.
• LFC budget did give us $1 million of that, but did not give us any of the general fund that we requested
• This federal budget proposal was the executive's budget proposal.

Keywords: 996, all

Transcript Highlights:

• So first, let me say that our budget request reflects the need to account for these higher costs when
• This request is for just one year. We've come forward with budget requests.
• And the department does not typically come forward with specific budget requests for these kinds of expenses
• of $95 million for the expenses listed in this budget request.
• For this proposal, we're respectfully requesting $885,000 for a permanent budget augmentation from the

Summary: The Senate Budget Subcommittee heard several Caltrans, CHP, and DMV budget and trailer bill items. On Caltrans fleet replacement, the department requested a one-time $225 million augmentation to replace aging medium- and heavy-duty vehicles and expand zero-emission vehicle infrastructure. LAO said the request was consistent with state policy, but senators criticized the high cost of electric fleet purchases and Caltrans’ delayed zero-emission fleet report; the chair said the report must be delivered within 30 days before the request could be fully considered. Caltrans also presented trailer bill language to replace an originally intended $50 million federal transfer for the High Road Construction Careers Program with $30 million in state Highway Account funds after federal eligibility problems prevented use of the federal dollars. Members questioned the reduction, the delay in implementation, where the remaining funds would go, and whether the program would keep jobs in California and meet labor standards; Caltrans and the Workforce Development Board said the program had prior success and that the state-funds transfer was intended to preserve the original policy goal. The committee then reviewed CHP’s request for a $60 million augmentation for equipment and operating costs, which CHP said was needed because vacancy savings no longer covered rising fuel, vehicle, and other operating costs. CHP argued that recruitment success had reduced vacancies and that costs had risen sharply since 2006, while LAO recommended rejection, citing that the expenses were ongoing, CHP still had vacancies above pre-pandemic levels, and the Motor Vehicle Account faces structural insolvency by 2028-29. Members discussed whether the account can sustain these costs and whether the Legislature should consider broader funding changes. CHP also sought a permanent $885,000 augmentation for seven analyst positions for the Highway Violence Task Force; CHP said freeway shootings had fallen sharply since 2021 and that analysts were essential to solving cases, while LAO noted the request was smaller than prior years but would create an ongoing commitment. Senators generally supported the task force but asked for clearer metrics and reporting, especially because the data categories had changed over time. Finally, the DMV presented the State-to-State verification system and related modernization work under DXP. DMV said State-to-State is required for Real ID compliance and that California must join the system by February 2027, with live testing planned for the summer. Senators focused heavily on privacy and data security, especially the inclusion of Social Security number digits in the system, the role of the American Association of Motor Vehicle Administrators, and whether Californians understood their information would be shared in a nationwide database. DMV said the system only shares federally required data, uses encryption, and is designed to de-duplicate records across states, but members pressed for more information on governance, audit authority, and whether the Legislature had explicitly approved the data-sharing approach. The chair asked DMV to follow up with the Attorney General and indicated the committee would continue reviewing the issue.

Transcript Highlights:

• Staff have prepared our LAR based on the instructions provided which includes a base budget request for
• These figures set the tone for our budget request and the work we anticipate moving forward.
• On the budget and I've got my I try to get them side by side size up with the current budget request.
• That is back in the base budget, though, because it was one of the exceptional item requests that we
• as laid out. consideration of this budget request will allow the Texas Parks and Wildlife Department

Keywords: 1184, house, all

Transcript Highlights:

• OBEI requests the executive budget recommendation.
• The first one is the highlights of our budget request.
• Into our budget.
• We could get the budget that we were requesting. Thank You.
• Carver, I would just suggest that on The highlights of the Sentencing Commission budget requests I would

Keywords: 996, all

Transcript Highlights:

• Senator Nichols: That is the exceptional item request. Okay, and so how much is in the budget?
• I have three tiny requests from the Office of the Attorney General Budget.
• I have three tiny requests from the Office of the Attorney General Budget.
• I have three tiny requests from the Office of the Attorney General Budget.
• I have three tiny requests from the Office of the Attorney General Budget.

Bills: SB 1

Keywords: campground safety, youth camp regulations, flood safety, emergency evacuation, health and safety standards, 1185, senate, all

Transcript Highlights:

• We will hear from the Judiciary on their budget requests. Good afternoon.
• This brings us to our budget requests in total.
• This brings us to our budget requests in total.
• Do you have those back yet, or is that something you requested in this budget, in this supplemental budget
• </c><00:37:38.640><c> request</c> is it is it going to be a budget request is it is it going to be a

Keywords: 912, senate, all

Summary: The Joint Committee on Labor and Judiciary heard the Judiciary’s budget presentation from Brandon Kimura and other court administrators. The Judiciary outlined its mission and access-to-justice programs, including specialty courts, self-help centers, online small claims dispute resolution, and e-reminders. It requested an operating budget of $6.17 million in FY 2026 and $6.25 million in FY 2027, along with 17 permanent and one temporary position, and described a series of staffing and program requests tied to specialty courts, district court operations, technology, and public guardianship. Major program requests included making women’s court permanent by converting seven temporary positions to permanent and adding a substance use counselor; expanding truancy court and the Early Education Intervention Program on Oahu; and making the driving while impaired court permanent. The Judiciary also sought staffing and funding for the new Wahiawa District Court, including security, janitorial, IT, clerical, bailiff, and social worker support, plus an additional district court judge and staff in Kona. Technology requests included cybersecurity tools and a cybersecurity unit, enhanced email protection, and replacement of aging network switches. Other operating requests included continued funding for the Criminal Justice Research Institute, restoration of 12 positions cut during the pandemic, and added support for the Office of the Public Guardian. For capital improvement projects, the Judiciary’s top priorities were $4 million to design a new South Kohala District Court, $900,000 to replace an aging AC chiller on Kauai, and $5 million for lump-sum facility preservation work. Members asked questions about purchase-of-service contract rates, implementation of court-appointed fee increases, federal grant dependence, specialty court effectiveness, truancy court outcomes, and the condition of the Ewa District Court site. Judiciary witnesses said they were working to raise provider rates through contracts and a separate bill, cited low recidivism and reduced petitions as evidence that specialty courts and truancy efforts are working, and said the Ewa site has significant foundation issues that may require further assessment or a different location.

Transcript Highlights:

• and budget recommendations.
• I noticed that part of the budget requests.
• I mean, like, we budgeted 200. $100 million for this project, but now the request is an additional $104
• Haley did a very good job of laying out the baseline and the overall agency budget request.
• So we heard today that there were requests for $7 million. And TJJ put in their budget $5 million.

Keywords: 1184, house, all

Transcript Highlights:

• THE AGENCY REQUESTS BUDGET AUTHORITY OF 333 EXCUSE ME, 339,000,908 83 THOUSAND $549 IN GRANTS DONATIONS
• TO FUND OF THE MENTAL HEALTH PORTION OF THIS PROGRAM ADDITIONAL BUDGET AUTHORITY IS REQUESTED IN THE
• THE AGENCY REQUESTS BUDGET AUTHORITY AND THE AMOUNT OF $922,464,608 IN GRANTS DONATIONS TRUST FUND.
• AMENDMENT REQUESTING BUDGET AUTHORITY TO IMPLEMENT THE PHYSICIAN SUPPLEMENTAL PAYMENT AND THE PUBLIC
• AGENCY REQUESTS ADDITIONAL BUDGET AUTHORITY IN THE AMOUNT OF $1,998,046 IN GRANTS DONATION TRUST FUND

Keywords: 999, senate, all

Transcript Highlights:

• six-year budget plan.
• First item is our budget process. We started to. First item is our budget process.
• The request of agencies this year was to look for a 2% reduction in their budgets.
• They are budget, anticipated budget gaps that have to be solved.
• The Legislature requested an increase to their budget of $252,000.

Keywords: 994, senate, all

Transcript Highlights:

• In the Budget Act of 2023, rather than giving us the complement of positions that we had requested as
• of the 2024 budget.
• That's why we urge support for this budget request, ensuring that CARB has the resources that they need
• That's why we urge support for this budget request ensuring the car can do both at the same time and
• That's why we urge support for this budget request, ensuring that CARB has the resources that they need

Summary: The committee hearing focused heavily on CARB’s broad trailer bill request for regulatory fee authority. Finance and CARB argued the proposal would let CARB develop fees to recover reasonable costs for implementing and enforcing regulations, while the LAO recommended rejection because the authority was too broad, could apply to an entire division of code, and would delegate core legislative taxing/fee-setting power without enough guardrails. Members from both parties raised concerns about the breadth of the authority, accountability, affordability impacts, and whether the Legislature would be put in an up-or-down position after CARB had already developed regulations. CARB responded that fees would still go through a budget change proposal and legislative approval before collection, and cited existing examples such as transport refrigeration units and commercial harborcraft fees. The committee then reviewed CARB’s request for permanent resources to implement SB 905 on carbon capture, utilization, storage, and carbon dioxide removal. CARB said the Legislature had previously authorized limited-term positions and funding, but it had struggled to recruit and retain staff with specialized regulatory and technical expertise, and that the work had included pre-rulemaking contracts, technology review, and permit-related preparation. Members questioned the pace of work, the use of limited-term positions, and whether additional permitting authority would be needed. CARB said it hoped to begin rulemaking later in the year if permanent resources were approved. Members also discussed the cap-and-trade spending plan, noting lower-than-expected auction revenues but higher interest earnings, and the need to monitor the Greenhouse Gas Reduction Fund and possible May Revision changes. The committee then heard overviews of the zero-emission vehicle package, the Community Air Protection Program, demand-side grid support, and e-bike incentives. CARB described ongoing investments in community-based transportation equity, drayage trucks, harbor craft, and other clean technology demonstrations, while members pressed on affordability, program duplication, and whether enough funding was being directed to incentive programs. No formal votes were taken during the portion provided, and the chair repeatedly indicated that the hearing was intended to surface concerns for later budget negotiations.