Transcript Highlights:

• However, what we found while talking to the program staff is that requirements and internal structures
• But the program structure largely remains the same.
• And people want to figure out the fastest way to get that structure replaced.
• People want to figure out the fastest way to get that structure replaced, and if this is a pathway to
• Now our fatalities are more than our murders and our structure fire fatalities combined.

Committees: Joint Transportation , Joint Joint Transportation Committee

Transcript Highlights:

• Right now, our engagement with the statewide partners is under the tariff structure oversight of the
• A system that must be duplicated or triplicated or quadruplicated when you have a regional structure.
• We can migrate off of the regional structure onto that state provider.
• Although the fund has a sufficient balance, we project the fund to be structurally in balance in the
• Our current funding structure does not allow us to do... ...a particular focus on it.

Transcript Highlights:

• Right now, our engagement with the statewide partners is under the tariff structure oversight of the
• that we deployed, nobody has ever successfully adopted and implemented that structure before, and it
• that we deployed, nobody has ever successfully adopted and implemented that structure before, and it
• We can migrate off of the regional structure onto that state provider.
• Our current funding structure does not allow for us to do... ...a particular focus on it.

Summary: The committee heard an overview from Cal OES on disaster response, LA wildfire recovery, federal FEMA reimbursements, security monitoring, and the state’s 911 transition. Cal OES said its budget supports disaster preparedness and recovery, including ongoing work in Los Angeles, where it reported about 700 FEMA public assistance applications totaling roughly $1.2 billion and about $545 million in state wildfire response and recovery funding already allocated under AB 100. Members pressed for more detail on FEMA delays, hazard mitigation grants, federal event planning, and the status of Operation Stonegarden, while also raising concerns about small-disaster recovery, federal shutdown impacts, and the need for more timely reporting. A major portion of the hearing focused on Next Generation 911. Cal OES described problems with the current regional deployment, especially call-routing and transfer failures, and said it now plans to shift to a statewide provider as an interim step, then run an open procurement for a long-term vendor. The agency said it expects to execute a bridging contract in the coming weeks, release an RFP in the second quarter of 2026, award a long-term contract in the fall, begin transitioning Los Angeles-area PSAPs ahead of the 2028 Olympics, and complete statewide migration by summer 2030. The LAO urged the Legislature to pause further implementation until it has more information on the problems, alternatives, costs, privacy/security issues, and oversight needs, and recommended quarterly and monthly reporting if the project proceeds. Several senators echoed concerns about cost, redundancy, cybersecurity, and whether the statewide model could create new risks, and the chair said she would pursue a joint oversight hearing with the Emergency Management Committee and seek input from the State Auditor. The Department of Justice then presented its overall workload and budget pressures. DOJ highlighted its work on fentanyl enforcement, human trafficking, firearms recovery, housing enforcement, consumer protection, environmental and civil rights litigation, and a large federal litigation workload, saying it has filed 59 lawsuits against the Trump administration and won most of them. DOJ said the added federal cases and other mandates have strained existing staff, though 44 additional hires have been made. Members praised DOJ’s work on immigration, housing, and federal accountability, and asked for more information on detention facilities and staffing. The committee also reviewed DOJ’s firearms-related budget proposals. DOJ requested funding for continued firearms IT modernization, implementation of SB 704 on firearm barrels, and a temporary shift of Bureau of Firearms costs to the General Fund. The LAO supported the IT modernization request but recommended funding SB 704 from the Dealer’s Record of Sale Special Account, with startup costs covered by a loan from the Firearm Safety and Enforcement Special Fund, and suggested limiting the General Fund shift to one year and treating it as a loan. The LAO also asked DOJ to develop a framework by January 10, 2027, for deciding which firearm and ammunition workload should be supported by fee revenue rather than the General Fund.

Transcript Highlights:

• And so the legal structure might be fragmented, but the core business decisions of those entities are
• , to explain to the Franchise Tax Board or anyone else how you're structured and what the benefits are
• It's a lot easier in 1983 if you look at how corporations were structured than how you look at it today
• The LAO has indicated that the California budget deficit is structural now, is not just a downturn.
• The LAO has indicated that the California budget deficit is structural now, is not just a downturn.

Transcript Highlights:

• It includes over 900 physical structures.
• </c><00:02:59.840><c> We</c><00:03:00.080><c> have</c> over 900 physical structures.
• We have over 900 physical structures.
• </c><00:08:34.640><c> So</c> mechanical and structural systems.
• So mechanical and structural systems.

Summary: The committee heard capital plan presentations from the Justice and Public Safety Cabinet, the Personnel Cabinet, and the School Facilities Construction Commission. The Justice Cabinet described its large portfolio of more than 900 facilities across the state and said decades of underfunded maintenance have created a backlog of repairs. Requested projects included a high-acuity mental health treatment facility for juvenile justice youth, two female detention centers to support the regional detention model, major corrections repairs and replacements, a new kitchen at Eastern Kentucky Correctional Complex, a new dormitory at the Kentucky Correctional Institute for Women, completion of a new Eastern Kentucky prison, DOCJT training facility upgrades in Richmond and Madisonville, State Police radio system replacement and post construction, a combined Frankfort headquarters/Post 12 facility, and expanded crime lab and storage capacity. When asked about the high cost of the EKCC kitchen project, staff said construction inside an operating facility raises costs and that building a new adjacent kitchen would be more economical in the long run. The panel also asked about Fish and Wildlife officers training at DOCJT; staff said they do and that the training is funded through the CLEFT fund. The Justice Cabinet also said the recently enacted Senate Bill 4’s AI inventory and registry requirements would be part of its enterprise application and AI inventory system work. The Personnel Cabinet requested funding to replace CHRIS, the state’s human resources and payroll system, which supports payroll and benefits for about 48,000 employees and the Kentucky Employee Health Plan for roughly 192,000 members. Staff said the current SAP-based system went live in 2011, is approaching end of support in 2030, and has not received functionality enhancements since 2016. They said the replacement is estimated at $151 million, with most of the cost tied to professional services and software, and that the project would begin in July 2026, go live by July 2030, and require a stabilization period through 2032. In response to questions about outsourcing payroll or reusing existing systems, staff said the complexity of state HR, payroll, tax updates, and integrations with other agencies makes outsourcing or partial reuse impractical. The School Facilities Construction Commission introduced its role in helping all 171 school districts address unmet facility needs, focusing on core school facilities such as roofs and elementary buildings rather than athletic projects. No votes or formal actions were taken during the excerpted discussion; the meeting consisted of presentations, explanations of requested projects, and member questions.

Transcript Highlights:

• Our policy and advocacy work is largely focused on that structural piece.
• I will also just note that this is a municipal structure, and I'll share a little bit more about some
• Sometimes that caused a lot of delays and challenges within the contract structure, but this is kind
• And as I mentioned on the outset, right, this is a municipal structure.
• And so it's really exciting to see you all in California thinking about what the state structures and

Summary: The joint Senate and Assembly Select Committee on the nonprofit sector held a hearing focused on the importance of California’s nonprofit sector and how state systems can better support it. Chair and co-chair remarks emphasized that nonprofits are essential to the state’s economy and public services, especially as federal cuts and administrative burdens increase pressure on organizations that deliver health care, food assistance, homelessness services, disaster response, and other safety-net functions. CalNonprofits CEO Jeff Green described the sector’s size and complexity, citing roughly 110,000 nonprofits in California, about 1.4 to 1.5 million nonprofit workers, and major concerns about funding uncertainty, delayed reimbursements, and federal threats to nonprofit funding and nonpartisanship. He said many organizations are being forced to use reserves, reduce services, or take out loans while waiting for state payments. The Little Hoover Commission presented findings from its study of state grant and contract administration, arguing that nonprofits often subsidize state services because of late payments, insufficient advance funding, and inadequate reimbursement for overhead. The commission recommended requiring advance payments, expanding prompt-payment protections, matching federal indirect-cost rates, standardizing emergency contract amendments, creating an Office of Nonprofit Empowerment, reducing duplicative reporting, moving to electronic payments, improving feedback to unsuccessful applicants, and using longer grant periods. Committee members expressed support for these ideas and discussed shifting state contracting culture toward outcomes and better coordination. The commission also noted that SB 1240, which would create the Office of Nonprofit Empowerment, and SB 1366, related to payment delays, align with its recommendations. The Attorney General’s Charitable Trusts Section then outlined its rollout of a new online filing system for charities and charitable fundraisers. Elizabeth Kim said the system, launched in stages beginning in 2024, is intended to replace paper filings, reduce incomplete submissions and bounced checks, and speed processing; the final phase is expected to cover renewals, delinquency, raffles, professional fundraisers, dissolution, and complaints. Committee members asked about staffing impacts and complaint handling, and DOJ explained that complaints are reviewed based on allegations, public filings, and, when needed, requests for additional information. A final panel featured Matt Gonzalez of Nonprofit New York, who described New York City’s Mayor’s Office of Nonprofit Services as a model for reducing contract backlogs, increasing advance payments, and improving coordination through ombudsman-style support and chief nonprofit officers. Public commenters from the California Alliance of Child and Family Services, SEIU, and CalNonprofits urged support for stronger state-nonprofit partnerships, transparency, and modernization of contracting systems. No formal vote was taken; the hearing concluded after testimony and public comment.

Transcript Highlights:

• The bill requires a licensed contractor to verify the structural integrity of the roof and its components
• It reduces the local codes a solar energy device installation must meet by removing wind, load, structural
• A couple of changes under the applicable utilities section just to clarify their role in this structure
• for a residence aren't the same thing as when you're putting rooftop solar on a barn or a shaded structure
• Borrowers would still have to show debt authorization from their governing structures, and WIFA would

Committee: House House Natural Resources, Energy & Water Committee of Reference

Summary: The committee heard several water and energy-related measures. SB 1200, as amended by a Griffin strike-everything amendment, addressed the Arizona Department of Water Resources’ treatment of certain “conduit lakes” in active management areas. ADWR testified neutral on the bill but opposed the amendment as written, saying it could grandfather in lakes that are currently in violation of the lakes statute and create water-management concerns. HOA and industry witnesses argued the bill would simply clarify and restore a prior interpretation for existing communities that rely on lakes to move groundwater and effluent for irrigation, while avoiding costly redesigns. The committee adopted the strike-everything amendment and then passed SB 1200 with a due pass recommendation by a 6-3 vote. The committee then considered SB 1419, which would tighten consumer protections for residential rooftop solar sales and installations by adding disclosure, inspection, and contractor-responsibility requirements. County and solar-industry witnesses said the bill was the product of a lengthy stakeholder process and was intended to address misleading sales practices and roof-damage concerns, while noting additional floor amendments were still expected. The committee adopted the Griffin amendment and passed SB 1419 with a due pass recommendation by a 6-1 vote, with two members voting present. SB 1447, which extends certain groundwater withdrawal fee exemptions and fund deadlines in the Pinal Active Management Area, was supported by irrigation and municipal water users as a needed bridge for infrastructure and conservation efforts amid Colorado River uncertainty; it passed 7-1. SB 1560, increasing the maximum single loan from the water supply development revolving fund from $3 million to $20 million, was backed by WIFA as necessary to meet larger rural water project needs; it passed 8-1. Finally, the committee heard SCM 1004, a memorial asking Congress to clearly define the EPA’s powers and duties. One speaker opposed it as unnecessary, but the memorial was approved on a 6-2 vote. The meeting then adjourned.

Transcript Highlights:

• questions about whether the CPUC, especially in its current form, is the most suitable regulatory structure
• a strong advocate for rethinking how our state can transition from a legacy ...legacy regulatory structure
• to a new structure that unleashes investment in a competitive market while protecting consumers.
• challenges to meeting our public policy objectives under the current structure of the CPUC.
• One of the most obvious challenges to the CPUC has structurally is that there are only five commissioners

Committee: House Communications and Conveyance

Transcript Highlights:

• So it all depends on how they structure their transactions with their consumers and the products they
• So it all depends on how they structure their transactions with their consumers and the products they
• I think they tend to take a different structure. So.
• I think they tend to take a different structure.
• Their structure and payments on the short-term side sometimes is six to eight weeks.

Summary: The Consumer Protection and Business Committee held a work session on buy now, pay later (BNPL) transactions, focusing on how the products work, how they are used in Washington, and whether existing state law adequately protects consumers. Department of Financial Institutions staff described BNPL as short-term, usually no-interest installment financing offered at checkout, often with automatic payments, late fees, and varying credit-reporting practices. Members asked how BNPL compares with payday lending and earned wage access, whether it is effectively a loan or credit product, and whether Washington law already covers it. DFI explained that some BNPL structures may fall into a legal gray area under the Retail Installment Sales of Goods and Services Act because pay-in-four products may not meet the statute’s “more than four installments” language, while other structures may be covered; they also noted the Attorney General can enforce the act. DFI and committee members discussed consumer risks such as overextension, automatic debits, and lack of standardized disclosures, and DFI said it would follow up with additional data on defaults and related issues. Molly Gallagher of the Poverty Action Network and Nadine Chabrier of the Center for Responsible Lending argued that BNPL can help consumers but also poses significant risks, especially for lower-income consumers and consumers of color who already carry debt or use other alternative financial products. They said BNPL use has grown rapidly, often involves multiple simultaneous loans across providers, and can lead to overdrafts, late fees, and difficulty tracking obligations because payments are spread across different schedules. They emphasized concerns about weak disclosures, limited dispute protections, automatic payment structures, credit reporting inconsistencies, consumer overextension, and data privacy/dark-pattern marketing. They also described federal retrenchment, including the CFPB’s withdrawal of an interpretive rule that would have treated BNPL like a digital credit card, and pointed to state responses in places like New York, California, and Maryland. Committee members signaled interest in possible Washington legislation and stronger state oversight. Retail and business witnesses offered a more favorable view of BNPL as a cash-flow and sales tool. A Washington Retail Association representative described BNPL as an evolution of layaway and credit-card-style installment purchasing, noting that merchants receive payment up front minus fees while consumers get goods or services immediately and repay over time. A representative from a business using deferred-payment financing said the tool helps customers obtain equipment and helps the business manage inventory and cash flow, while NFIB said small businesses also use BNPL to bridge expenses and avoid higher-interest credit card debt. Members asked about merchant fees, consumer education, and whether BNPL is being used for impulse purchases or essential expenses like rent, car repairs, medical care, and travel. The chair concluded by saying the committee intends to pursue regulatory language and continue working with stakeholders, while also hearing from retailers to avoid eliminating legitimate financing tools.

Transcript Highlights:

• References to the time period, uh, and the governance structure that was in place, uh, when they were
• Structures, just because the statutes themselves provided some substance during the territorial period
• . governance structures.
• So, they've shifted their organizational structure over the past century to try to accommodate that.
• So, governing structure, BLM, and land grants panel.

Committee: House House Rural Development, Land Grants And Cultural Affairs

Transcript Highlights:

• </c><01:31:52.119><c> than</c> give them more absolute structure than give them more absolute structure
• re requiring how to see more structure re requiring how soon<01:32:45.480><c> a</c><01:32:45.639><c>
• tax guidance would create of structured tax guidance would create a<01:37:40.119><c> great</c><01:37
• So Senator Nelson has opened the door up to you and the department and taken away all the structure,
• But in terms of the rest of the structure, there virtually is none.

Committee: Senate Taxes

Transcript Highlights:

• This is for the Child Welfare Structured Decision-Making Assessment.
• this contract that you all have before you today is the maintenance and operation contract for the structured
• The prior contract included all of the work, tools, training, and other pieces that came when structured
• decision The vendor is actually the only one in the United States that offers this type of structured
• I don't think it was before because I do think there are people in the country doing some structured

Committee: All JOINT BUDGET COMMITTEE

Summary: The committee reviewed three DHS service contracts: a $690,000-plus contract for DCFS with Evident Change for child welfare structured decision-making tools, a $1.2 million contract with Sifter Solutions to support a SNAP waiver compliance solution, and a $156,000 contract with Samaritan Integrative Services for psychiatric services at the Southeast Arkansas Human Development Center. The chair and staff explained that the first two were sole-source contracts justified by the proprietary nature of the services, while the third was a standard service contract. Members focused most heavily on the Evident Change contract, questioning DHS about long-term dependence on the vendor, the lack of a competitive bid, and whether there was an “off-ramp” plan. DHS said the contract covers maintenance and operations of the platform used daily for safety assessments and case planning, and that if it were not renewed the system would be turned off and staff would lose access to the tools. The vendor said it was continuing to support DHS in reducing reliance over time, but no detailed off-ramp timeline was provided. Members also noted that the related CQI/review contract is on a different renewal cycle and raised concerns about the state being locked into staggered renewals. For the Sifter Solutions contract, DHS said the waiver was intended to improve the nutritional quality of SNAP purchases by excluding certain foods, and that the vendor would provide a dynamic list and app for retailers and clients to check eligible products. DHS said the contract would be funded with remaining federal SNAP Nutrition Education dollars that would otherwise revert to the federal government, and that the University of Pennsylvania would conduct the evaluation at no cost. Members asked about the long-term value to Arkansas, possible future competition, and whether the app would include nutrition education and budget-friendly cooking information; DHS said it would include educational materials and videos. No objections were raised, and the items were reported as reviewed before adjournment.

Transcript Highlights:

• The ultimate corporate<00:45:19.880><c> structure</c><00:45:20.240><c> is</c> corporate structure is
• ><c> corporate</c><00:45:21.560><c> structure</c> &gt;&gt; Ul- ultimately the corporate structure &gt
• </c><01:02:18.960><c> improvements</c> offsite structure improvements offsite structure improvements
• </c> never recover from that structural never recover from that structural deficit. deficit. deficit.
• </c><01:38:25.120><c> and</c><01:38:25.560><c> recognize</c> farm structures and recognize farm structures

Committee: House Ways and Means

Transcript Highlights:

• I think in January we've been talking about deficits—structural deficits of more than $20 billion.
• Patel, that next year we have this $10 billion structural deficit and the state very likely will owe
• entitlement structure, is a bit different.
• entitlement structure is a bit different. but the funding structure, the entitlement structure, is a
• Assistance structure.

Transcript Highlights:

• This bill updates board structures within the Department of Health and Welfare.
• Second, this bill updates the Idaho behavioral health structure.
• Years ago, the regional behavioral health boards were created to help build out regional structures to
• This bill updates board structures within the Department of Health and Welfare.
• Second, this bill updates the Idaho behavioral health structure.

Transcript Highlights:

• </c><01:54:36.840><c> was</c> If at day 179 the structure was If at day 179 the structure was relocated
• </c> structures. Thank you, Mr. Speaker. structures. Thank you, Mr. Speaker.
• It's right on structure." May permit.
• ,</c> sort of innovative housing structure, sort of innovative housing structure, they<01:59:10.040><
• </c> accusation without structure accusation without structure and<04:15:57.160><c> condemnation</c><

Transcript Highlights:

• I will now go over some key elements of the structure of today's hearing.
• It's about operating within the current structure that is there.
• The two-tiered committee structure, where only the four trustees are really on the committee and the
• And three, the closed structure where the campus has no real... ...input.
• This bill helps support structured pathways for ADN graduates to move into practice.

Committee: House Higher Education

Transcript Highlights:

• We think of the structural facilities as the bones of the building, and then the non-structural facilities
• ... ...the structural facilities, the bones of the building, and then the non-structural facilities like
• So we'll talk a little bit about both structural and non-structural.
• In addition to structural safety, hospitals must continue to upgrade non-structural systems that are
• So let me just go back to the second question here about funding structure.

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:

• you probably could do to 100% stop it, but I think it gives the most fair and honest chance of structural
• 00:04:34.880><c> honest</c><00:04:35.520><c> chance</c><00:04:35.840><c> of</c><00:04:35.960><c> structural
• </c> fair and honest chance of structural fair and honest chance of structural integrity<00:04:36.800
• our state, and if you have a party, then I think it's incumbent upon us to re-reassure that the structural
• </c> us to re-reassure that the structural us to re-reassure that the structural integrity<00:09:39.360

Bills: SB237 , HB541 , SB237 , HB541

Committee: House Ethics and Campaign Finance

Keywords: hemp, hemp beverages, psychoactive cannabinoids, psychoactive hemp products, delta-8 THC, delta-9 THC, delta-10 THC, cannabidiol, CBD, intoxicating hemp, hemp-derived THC, cannabis regulation, marijuana alternatives, alcoholic beverage control, ABC Board, licensing, permit, excise tax, age verification, under 21

Transcript Highlights:

• So it's the premier database for in-stream structures in the state.
• There's approximately 54,000 in-stream structures in the state that we have in the database.
• Approximately 54,000 in-stream structures in the state that we have in the database.
• And so as the salmon work their way upstream, they encounter a structure like this, and they attempt
• the unknown structures.

Committee: House Capital Budget