Transcript Highlights:

• So you plan on doing both then? Yeah. Okay.
• But there has to be transparency accountability.
• When you start tying the local hands, you start tying up local communities and court battles with federal
• local communities should be able to do.
• When you start tying the local hands, you start tying up local communities and court battles with federal

Committee: All HOUSE RULES

Summary: The committee first considered House Resolution 1016, presented by Rep. Marcus Richmond, which sought permission to file a bill aimed at consumer protection in certain housing arrangements where buyers purchase an interest in an entity rather than the property itself. Richmond said the measure was intended to improve transparency, prevent deceptive real estate practices, and ensure disputes would be handled in Arkansas or federal courts rather than private tribunals. Members raised concerns about overlap with existing law, possible effects on homeowners associations, arbitration clauses, hunting clubs, religious organizations, and the bill’s 25-acre exemption. After discussion, the committee voted down the resolution. House Resolution 1006, by Rep. Bart Schultz, proposed increasing the homestead tax credit by $75, from $600 to $675, using a fund created for property tax relief. Schultz argued the increase was supported by the annual report on the fund and was timely because of higher costs for gas and groceries. Members asked about using special language instead, whether the increase could be made retroactive later, and whether the governor had included it on the call. The committee approved the resolution. The committee then heard House Resolution 1007, presented by Sen. Brian King and Rep. James Eaton, which would have changed how turnback sales tax revenue is distributed to counties, with the first $150 million of sales tax revenue going into a fund for county infrastructure and each county receiving an equal share. Supporters said it would help counties with roads, jails, water, sewer, and other critical needs, while opponents questioned whether taking revenue off the top would harm other state services and whether the issue was urgent enough for a fiscal session. The resolution failed. House Resolution 1008, by Rep. Jim Wooten and Sen. King, sought changes to the LEARNS Act and school choice funding, including performance-based eligibility and reporting requirements. Wooten argued the program was financially unsustainable and that accountability was needed; members questioned whether the proposal would create a larger emergency and whether it should instead be handled through budget language. The resolution failed after a point of order interrupted the closing remarks. Finally, House Resolution 1009, presented by Rep. Ron McNair and Sen. King, aimed to restore local control over crypto mines and data centers, citing concerns about water use, electricity demand, Chinese ownership, and litigation tied to prior legislation. Members questioned whether the issue was truly emergent and whether the resolution was the right vehicle. The resolution failed. House Resolution 1015, by Rep. Howard Beatty, proposed amending the prior IDA bill to address concerns raised by constituents, including board accountability and removing eminent domain authority. Supporters said it would improve the bill before next session, but the resolution also failed. The committee then adjourned.

Transcript Highlights:

• accounts.
• The repealed accounts are the climate investment account, the climate commitment account, and the natural
• climate solutions account.
• of the new accounts.
• into the capital account.

Summary: The committee first heard a briefing on the proposed Senate capital budget, Substitute Senate Bill 6003, which would spend about $723 million total using debt-limit bonds, Climate Commitment Act funds, and other cash resources. Staff described major investments in housing and homelessness, human services, local infrastructure, flood response, water conservation and clean energy, K-12 school modernization and seismic work, and higher education projects. Members then took public testimony from a wide range of advocates and project sponsors, most of whom urged the Senate to preserve or increase funding for specific projects in the final budget, including affordable housing, permanent supportive housing, child care facilities, food banks, behavioral health and substance use treatment centers, tribal courthouse relocation, school modernization, community colleges, university projects, floodplain restoration, community forests, and local civic or cultural facilities. Several witnesses also asked the Senate to match or approach House funding levels on items such as the Housing Trust Fund, permanent supportive housing, the Community Forest Program, Floodplains by Design, and CCA-supported clean energy and water projects. The chair noted that amendments to the capital budget were due the next day at noon. The committee then received a briefing on Engrossed Second Substitute House Bill 2251, which would restructure Climate Commitment Act accounts by repealing three existing accounts and replacing them with two new accounts: a CCA operating account and a CCA capital account. Staff explained that the bill would preserve most existing uses while changing revenue distribution formulas, capping Ecology administrative costs, expanding allowable uses for EV-related costs, housing, and carbon capture/sequestration, and changing reporting and tribal consultation provisions. The bill also shifts some reporting from annual to biannual and modifies the thresholds for tribal-supported and overburdened-community investments. The fiscal note was described as relatively small, with the main impact being the revised revenue allocation structure. Public testimony on the CCA bill was mixed. Supporters, including the League of Women Voters, said the restructuring better aligns spending with the intent of the CCA and could improve investments for tribes and overburdened communities. Critics, including the Washington Policy Center, argued the bill still lacks strong requirements to ensure CCA spending is effective and objected to reducing the frequency of the state’s climate-spending report. No votes were taken during the portion of the meeting provided.

Transcript Highlights:

• Another two big problems with it: one, it oversteps local plans completely.
• This only gives local governments the short end of the stick. This is a 50-year vested plan.
• One, it oversteps local plans. to be housing at all. Another two big problems with it.
• One, it oversteps local planning completely.
• Local communities want to be able to plan their way of life.

Summary: The Committee on Rules heard a long agenda of growth-management, elections, education, housing, and professional-licensing bills. The first major item was SB 354 on “Blue Ribbon Projects,” a framework for very large planned developments on at least 15,000 contiguous acres with 60% reserved area. After adopting a strike-all amendment, senators debated whether the bill adequately protected conservation land, local government authority, neighboring property, concurrency, and multi-county projects. Supporters argued it would create more orderly, master-planned growth and preserve large areas of land; opponents said the reserve areas were too weakly protected and the bill preempted local control. The committee adopted the amendment and then reported the bill favorably on a party-line style roll call, with Chair Pasadomo and Vice Chair Jones voting no. The committee then approved SB 620 on candidate qualifying, which requires candidates to disclose any foreign citizenship and, through amendments, adds a 2026 congressional qualifying framework tied to apportionment and redistricting, including revised petition rules and deadlines. Members discussed disclosure, redistricting, and candidate vetting, and the bill was reported favorably. CS/CS/CS/SB 1452, a Department of Financial Services bill, was also amended and approved; the amendments addressed My Safe Florida Home, unclaimed property, firefighter hiring, workforce housing code accommodations, and related financial-services issues. CS/CS/SB 1620, the school board members’ bill of rights, was narrowed by substitute amendment to focus on access to records, fiscal transparency, NDAs, and related rights, and it passed after supportive testimony from school board and superintendent representatives. The committee also passed CS/HB 245, which replaces the term “child pornography” with “child sexual abuse material,” after debate over whether the terminology change could affect the seriousness of the crime or existing case law. SB 1548, a Live Local/affordable housing update, was reported favorably with little debate. Finally, the committee approved the veterinary medicine bill creating veterinary professional associates, after amending it to require immediate supervision by a licensed veterinarian. Throughout the meeting, many public commenters and senators weighed in on the balance between development and conservation, local control, and the scope of state regulation, with several bills drawing both strong support and strong opposition before final votes.

Transcript Highlights:

• These are fundamental legislative decisions taken by local government agencies who need to be held accountable
• these things, especially since general plans have, you know, you're planning well into the future and
• And that's local safety goals, local congestion goals, noise goals, even small business district goals
• This bill is about accountability.
• AB 2263, do pass to Local Government, Avila Farias. AB 2263, due pass to Local Government.

Committee: House Transportation

Transcript Highlights:

• This is nothing more than a Jeffersonian-Madison principle about allowing local governments and local
• Allow them to do future planning.
• Do you think local communities have the money to fight something in local court? They don't.
• If we want accountability, I want accountability, but I'm not going to start, now that we're where we
• The press wasn't even for accountability for public schools. But I'm for accountability.

Transcript Highlights:

• But once again, it will—I plan. Let's look at a jail expansion.
• hands of what local communities should be able to do.
• When you start tying the local hands, you start tying up local communities in court battles with federal
• to say yes or no to it without us tying their local hands.
• Because I do believe that my local governments have rights.

Committee: All HOUSE RULES

Transcript Highlights:

• And I think the accountability measures are really vitally important. What locals are doing.
• And I think the accountability measures are really vitally important.
• combating the problem at the local level.
• Regarding the accountability measures and the priorities for those accountability measures, I would just
• These range from housing element compliance to local encampment policies.

Summary: The Assembly Budget Committee opened its hearing on the Governor’s 2026-27 budget with remarks emphasizing the start of a months-long process, the need for fiscal responsibility, and concerns about structural deficits, federal funding losses, housing and homelessness, and oversight. The vice chair echoed those concerns, warning against budgets built on short-term fixes and urging accountability. The Department of Finance presented a balanced budget year proposal of about $349 billion in total expenditures, including $248 billion General Fund, while acknowledging a structural imbalance in the out years and proposing a workload budget with limited new spending or cuts. Finance said the budget relies on stronger-than-expected revenues, but also on constitutional obligations such as Proposition 98 and Proposition 2, and on suspending a rainy-day fund true-up deposit to cover a projected $2.9 billion budget-year deficit. The administration highlighted higher education funding, climate and wildfire resilience investments, a new ZEV incentive, added Health and Human Services costs tied to H.R. 1, child care funding, and three tax proposals: third-party delivery tax compliance, a sustainable aviation fuel tax credit, and an extension of the California Competes tax credit. The LAO, by contrast, warned that the budget is “precariously balanced,” cited downside risk from stock market-driven revenues, and urged the Legislature to use reserves, avoid suspending rainy-day deposits, and begin shrinking multi-year deficits sooner rather than later. Member questions focused on wildfire mitigation and insurance, transit and GGRF funding, federal cuts affecting CalFresh and Medi-Cal, the proposed tax credits, homelessness accountability language, and education funding. Several members pressed for earlier partnership on deficit solutions and for more scrutiny of budget choices. The committee also discussed declining enrollment in K-12, community colleges, and CSU, with concerns about whether funding formulas are aligned with actual student demand. No formal votes or final actions were taken in the hearing.

Transcript Highlights:

• And I'm just curious, do we work with local jurisdictions on local revenue assessment tools?
• local schools.
• Accelerate the planning.
• I'm a proud member of Local 326.
• I'm a proud member of Local 326.

Summary: The subcommittee first heard an informational overview from the Governor’s Office of Service and Community Engagement (GoServe), including California Volunteers, the Office of Community Partnerships and Strategic Communications, and the Youth Empowerment Commission. GoServe reported strong participation in programs such as California Service Corps, College Corps, Youth Service Corps, Climate Action Corps, and the new men’s service challenge. Testimony emphasized enrollment, retention, and completion outcomes, outreach results, and efforts to reduce administrative costs. The Department of Finance said the administration supports the programs but has already made reductions to help address the budget deficit, while the LAO said it had no new recommendations on the informational item. Committee members raised questions about program scale, demographics, and effectiveness, especially for Climate Action Corps and whether the programs are duplicative of existing volunteer opportunities. One member criticized the programs as too fragmented and costly, while others asked for more data on who is being served and whether the programs increase actual participation in state services. GoServe said it would follow up with demographic and regional impact information. The committee also discussed the men’s service challenge, which GoServe said has formed partnerships with organizations such as YMCAs and Big Brothers Big Sisters and has already attracted more than 2,000 participants. The item was informational only. The committee then heard a BOE overview and a budget request to implement SB 293, which gives wildfire-affected families additional time to claim intergenerational Prop. 13 property tax transfers. BOE requested $154,000 for guidance, public materials, and inquiry response, explaining that the work is urgent and tied to disaster relief in Los Angeles County, especially Altadena. The LAO had no concerns, and Finance had no comment. Members asked how many cases might be affected and whether more funding would be needed later; BOE said the full number is not yet known and that future requests are possible. The committee also heard BOE’s IT modernization proposal for the state-assessed property tax system, a 30-year-old mainframe replacement costing $3.2 million in 2026-27 and $3.1 million in 2027-28. BOE and Finance supported the project as necessary, while the LAO said it had no concerns but urged a high bar for new IT spending. Members generally supported modernization but cautioned about implementation risk. Finally, CDTFA presented an overview and two policy proposals. The department described administering 42 tax and fee programs, collecting $98 billion in FY 2024, and improving administrative efficiency. Members then discussed local sales tax tools and revenue-sharing agreements, with concerns raised about transparency, consultant-driven tax allocation disputes, and the impact on local communities. CDTFA and the LAO explained that local jurisdictions control how district sales tax revenues are spent and noted the Legislature could revisit the statutory cap on local add-on sales taxes. The committee then heard CDTFA’s proposal to treat all delivery network companies as marketplace facilitators so they must collect and remit sales tax on delivery-app orders. CDTFA said the change would resolve confusion, shift compliance from thousands of small restaurants to a few large platforms, and raise about $44 million annually. Several members questioned whether the proposal would effectively raise consumer costs and whether it would create a competitive advantage or disadvantage among delivery platforms. The item remained under discussion, with no vote taken in the transcript.

Transcript Highlights:

• </c> direct aid to the plan. direct aid to the plan.
• </c> Local Government Committee. Local Government Committee.
• . plans. plans.
• </c> in that plan. in that plan.
• 539 local 455 within the metro local 539 local 455 always<00:31:08.280><c> happy</c><00:31:09.160><c

Committee: Senate State and Local Government

Transcript Highlights:

• of the 2013 integrated plan, and specifically within that plan the state agreed to no more than 50%
• And what that habitat conservation plan... ...for state forest, a habitat conservation plan.
• There are local boards, you know...
• There are local boards, you know, You know, communities, there are local boards, you know, other folks
• I think it is fantastic to have that local accountability.

Committee: Senate Agriculture & Natural Resources

Transcript Highlights:

• The State Court Facility Account is used to fund court security, emergency preparedness, local court
• In the vitality plan, it didn't look like a sustainable plan, and so, just under responsibility, also
• So that is the plan.
• So that is the plan.
• , I think the ODF work plan.

Summary: The Emergency Board approved a series of consent federal grant applications from the Natural Resources and Public Safety subcommittees, along with several budget and position requests. The board approved grant applications for parks, transportation, judicial, emergency management, higher education, school nutrition, and other programs, including retroactive approvals where deadlines had passed. One member objected to the Natural Resources consent grants over concerns about future funding needs, but the motion still passed. The board also approved a one-time increase for Judicial Department court security, including digital privacy protections, circuit court security, and a statewide facilities assessment. A major discussion centered on Southern Oregon University’s financial stability. The Higher Education Coordinating Commission reported on SOU’s structural deficits, declining enrollment, and projected cash shortfall. The subcommittee recommended, and the board approved, allocating $7.5 million from the special appropriation for short-term stability, with a required update at the September 2026 Emergency Board meeting and a future request for the remaining funds. Members debated the broader crisis in higher education, with several saying SOU’s situation reflects systemwide enrollment and funding pressures and that long-term restructuring will be needed. The board also approved an AmeriCorps volunteer generation grant, an apprenticeship expansion grant, and a Department of Education nutrition equipment grant. In public safety, it approved funding for Oregon Military Department readiness facilities, a statewide evacuation planning tool, and a juvenile justice information system modernization report, while requiring a follow-up viability report. The Department of Justice received approval for additional antitrust positions and expenditure limitation, though several members raised concerns about the funding structure and incentives tied to settlement revenues; the motion passed despite objections. In natural resources, the board approved funding for the Water Resources Department’s well abandonment, repair and replacement grants, an assistant water master position in Washington County, groundwater data collection in the Lower Umatilla Basin, a wetlands remote sensing pilot, and parks-related grant applications for operations, maintenance, and capital improvements. Members generally supported the requests but raised concerns about geographic equity, long-term sustainability, and whether some county responsibilities were being shifted to the state. The meeting also included discussion of a Department of Emergency Management evacuation tool as an urgent wildfire preparedness measure, with members emphasizing its potential to save lives.

Transcript Highlights:

• And so we produced a business plan at the beginning of last year.
• And I mentioned earlier, in local governments or our local government partners, for whom the tools could
• So as far as the split between types of local governments or even types of local government programmatic
• , commonly referred to as Trump accounts, which are tax-deferred accounts established for children under
• , accounts.

Summary: The subcommittee heard May Revision proposals from the Department of Food and Agriculture, the Government Operations Agency, the Department of Technology, and the Franchise Tax Board, with public comment to come later and all items held open. CDFA presented funding for the animal care program implementing Proposition 12, including a one-time $5.2 million General Fund transfer to the Ag Fund and $2.8 million ongoing, and the LAO recommended approval while noting the Legislature should revisit the funding once litigation and federal preemption questions are resolved. CDFA also proposed ending state oversight of industrial hemp and moving to the federal USDA program by January 1, 2028, with an $8.3 million General Fund transfer to cover startup and transition costs; the LAO supported the transition. Additional CDFA items included $204,000 ongoing and one position to preserve agricultural statistics reporting after USDA reorganization, and trailer bill changes to clarify the department’s 5% indirect cost cap; both drew no objections from Finance or LAO. The Government Operations Agency and Cradle to Career items focused on implementing the new federal Workforce Pell program. Finance described trailer bill language establishing state eligibility processes, with the California Student Aid Commission as the authorizing entity in consultation with the Workforce Development Board, and proposed $1.3 million one-time General Fund for Cradle to Career to build data linkages. The LAO urged caution because federal rules were just finalized and said more information was needed on workload, costs, and whether existing data systems could support the work. Senators raised policy concerns about limiting the program to public institutions and about aligning the proposal with broader workforce and labor goals. The committee also briefly discussed SB 53/Cal Compute, with GovOps saying no appropriation had been provided for its consortium work, and Finance saying the administration was not proposing funding at this time. The Department of Technology presented a $30 million operational backstop for the Middle Mile Broadband Initiative, intended to cover any shortfall if expected revenues from the Golden State Net third-party administrator do not materialize in time. The LAO initially recommended rejection over broad spending authority, then suggested amendments with stronger reporting and legislative review; committee members questioned the revenue assumptions, oversight, and whether the request could recur. CDT also sought $1 million for Poppy, the state’s GenAI digital assistant, to expand secure statewide use; the LAO had no concerns, and members asked about data security, model bias, training restrictions, and possible local-government use. Finally, FTB proposed realigning CalFile resources after the federal Direct File program was discontinued, retaining three ongoing positions and returning the rest of the funding and positions to the General Fund; the LAO said the reduced scope was reasonable, and members discussed keeping the free filing system user-friendly and ready for future federal changes. The committee also heard the administration’s digital pre-written software tax proposal, which would extend sales tax to electronically delivered software and SaaS beginning January 1, 2027, generating an estimated $450 million General Fund in 2026-27 and $900 million ongoing, plus local revenue. The LAO supported modernizing the tax base but recommended broadening the proposal to include more digital products while considering a business-use exemption or reduced rate, and flagged a newly added video game exemption as a revenue downside. Senators generally supported the goal of raising revenue and aligning California with other states, but questioned the local revenue distribution and equity effects, and one senator said they would not support expanding the tax to books, music streaming, and similar consumer products. All items were left open without votes.

Transcript Highlights:

• So that's the plan, and we'll start with House Bill 2343 with a staff report from Jacob.
• the Department of Ecology for approval and then implement a program based on that approved plan.
• It requires reasonable planning, monitoring, and accountability, the same expectations already placed
• State funding for local hazardous waste programs is very static.
• And many of our laws are based on that plan.

Summary: The committee heard House Bill 2343, which would require the Department of Fish and Wildlife to obtain CAFO or individual discharge permit coverage for its game farms, and to treat game farms with at least 5,000 birds as large CAFOs. The prime sponsor and local officials from Centralia said the WDFW pheasant farm has contributed to nitrate contamination in a critical aquifer, affecting drinking water and public health, and argued the state should be held to the same standards as private operators. WDFW testified that it has already voluntarily secured the permit the bill would require and is working with Ecology and local partners. Testimony from county health and residents largely supported the bill, citing elevated nitrate levels and health risks, especially for infants and pregnant people. The committee then heard House Bill 2301, which expands Washington’s paint stewardship program to cover additional paint-related products, aerosol paints, and certain non-industrial coatings. The sponsor and industry supporters said the existing paint recycling program is working well and should be broadened to keep more materials out of landfills and reduce local hazardous waste costs. Local government witnesses supported the expansion but asked for changes on convenience standards, packaging coverage, and reimbursement for local collection costs. Ecology supported the overall concept but raised implementation concerns, including the need for uniform standards, full reporting, and more time for rulemaking. A wood preservatives industry representative opposed including wood preservatives, saying they are not paint and have different handling requirements. The committee also took testimony on House Bill 2515, a proposed substitute addressing emerging large energy use facilities, defined mainly as large data centers and virtual currency mining facilities. The bill would require utilities to adopt tariffs or policies to protect other ratepayers, require long-term contracts, demand response or curtailment provisions, reporting on energy and water use, and new clean energy targets for these facilities, while also changing how no-cost allowances under the Climate Commitment Act are allocated and creating an annual fee for the facilities. Supporters, including environmental groups, community action agencies, some utilities, and labor and tribal representatives, said the bill would protect ratepayers, improve transparency, and keep Washington on track for climate goals. Opponents, including data center and business groups, some ports, and several labor organizations, argued the bill is too prescriptive, could raise costs or discourage investment, may affect existing contracts and other large industrial loads, and could reduce construction jobs. No votes or final actions were taken in the transcript.

Transcript Highlights:

• THE PSYCHOLOGIST COMPROMISE LANGUAGE BY THE LOCALS, THE STATES 7 1/2% OF THE LOCAL CSC COLLECTED THROUGH
• THE WAY IT'S BEEN EXPLAINED TO ME IS IF THEY DECRYPT ONE ACCOUNT THEN EVERYBODY'S ACCOUNTS ARE OPEN.
• IN THE SAME WAY A DISTRICT IS ASKED TO PLAN AND IS PLANNING. >> Sen.
• ON THE BASIS OF HAVING LOCAL RIGHTS.
• THIS BILL PROPOSES TO ELIMINATE LOCAL AUTHORITY WITHOUT OFFERING ANY MEANINGFUL STATEWIDE PLAN TO ADDRESS

Transcript Highlights:

• , how much have we moved forward in our plan?
• It is a three-year plan. My comment: It is not easy.
• I mean, it is an extraordinary plan.
• It's really the regional partnerships that, at the local level, meet the local workforce needs and career
• They're really at the local level to meet the local workforce needs and career education needs and working

Transcript Highlights:

• control over local issues and project-specific ...preserving local control over local issues and project-specific
• But data center water usage best practices, nothing mandated, and local planning guidance for our localities
• Judicial accountability is not a substitute for local governance.
• plans would reduce the environmental and health impacts of local plans.
• members with the goal of mitigating environmental health impacts in local planning.

Summary: The committee heard several housing, local government, coastal, and infrastructure bills. AB 306 would create a statewide appeal and code-interpretation process for building code issues at the California Building Standards Commission; supporters said it would reduce inconsistent local interpretations and speed housing delivery, while no opposition testified, and it was moved on a do-pass-as-amended vote to Appropriations. AB 956 would clarify ADU law to allow up to two detached ADUs on a property and address ADUs in HOAs/common interest developments; supporters framed it as a flexibility and housing-supply measure, while local government and county groups raised concerns about ministerial approval, parking, density, and impacts on neighborhood character. After committee questions, the bill was moved do pass as amended to Appropriations on a 2-0 vote, with the bill remaining on call. Members also considered AB 1751, which would create a ministerial approval path for qualifying townhome projects and allow local inclusionary ordinances for larger projects. Supporters said it would expand attainable homeownership and help produce missing-middle housing, while cities and counties objected to reduced density, by-right approval, and potential housing-element net-loss issues. The bill was moved do pass as amended to Appropriations on a 2-0 vote and remained on call. AB 912, which would revise the governance structure of the Vallejo Flood and Wastewater District board, drew unanimous support from the district, city, and county; it passed 3-0 to Appropriations and remained on call. AB 1710, aimed at preserving housing project entitlements from later regulatory changes, also advanced on a 4-0 do-pass-as-amended vote after opponents said they were awaiting the committee amendments. The committee also heard AB 2080, which would make county treasurer investment authority delegations ongoing until revoked rather than requiring annual renewal; supporters said it would reduce technical noncompliance and administrative burden without reducing oversight, and it was moved to the Senate Floor. AB 1740, a coastal bill for Santa Monica, would set timelines and reporting for a local coastal program and create an expedited Coastal Commission process for bike, transit, and pedestrian projects; supporters said it reflected a negotiated path forward with the city and commission, and it passed 3-0 to Appropriations. AB 2181, backed by Unite Here, would limit use of hypothetical density bonus value in hotel and motel appraisals; supporters said it would protect hospitality jobs from speculative lease-rent increases, and it was moved to the Senate Floor on a 4-0 vote. Finally, AB 2469 on data centers and water use drew the most extended debate. The bill would require water supply and water use assessments before approval, and shift infrastructure costs to project proponents; supporters said it would improve transparency, protect ratepayers, and ensure local governments have information before approving water-intensive facilities. Opponents, including business, city, county, and tech groups, argued existing law already covers water assessments and fees, warned the bill could create a separate permitting regime, and raised concerns about privacy, security, and investment impacts. The committee had not yet taken final action on AB 2469 when the transcript ended, and members were still asking technical questions about data center cooling and water reuse.

Transcript Highlights:

• </c><00:10:55.440><c> uh</c> agencies Health Systems Health Plans uh agencies Health Systems Health Plans
• </c> rasmon welcome to the state and local rasmon welcome to the state and local government<00:15:42.160
• accounting shortage that public account accounting shortage that the<00:16:26.079><c> state</c><00:16
• Demand for accountants continues to rise due to complexity, but the supply of accountants is declining
• </c> like our extension committee planning like our extension committee planning committee<00:42:51.520

Committee: Senate State and Local Government

Transcript Highlights:

• back in the hands of local districts.
• Our plan was not part of it at all. None of the things that we put forward were in the plan.
• In year one, we co-create a plan and pilot ideas.
• The Thrive Act offers a better plan.
• Every single teacher has accountability.

Committee: Joint Joint Committee on Education

Summary: The Joint Committee on Education heard testimony on several bills centered on school accountability, receivership, graduation requirements, charter school access, community schools, school libraries, and student voting rights. Much of the discussion focused on the Thrive Act, S. 374, which would end state receivership and change the state’s accountability approach. Supporters, including educators, parents, advocacy groups, and students, argued that receivership has not improved outcomes in districts such as Lawrence, Holyoke, Southbridge, Boston, and the Dever, and that local communities should have more control, with greater emphasis on community schools, wraparound services, and broader measures of school quality. They also supported related bills on community schools and school library standards, and several witnesses backed a bill to expand student representative voting rights on school committees. Opponents of S. 374, especially charter school leaders, parents, students, and some education advocates, focused on Section 4 of the bill, which would change the charter school net school spending cap in the lowest-performing districts. They argued that the provision would reduce access to charter seats in communities where families are seeking more options, and that schools such as Roxbury Prep, Excel Academy, Brook, Veritas Prep, and Libertas Academy have produced strong results for students, including students of color, low-income students, and students with special needs. Several witnesses said the section would force schools to shrink or close and would remove opportunities for families in districts with long waitlists. Committee members questioned witnesses on both the effectiveness of receivership and the charter school cap language. Chair Lewis and Chair Gordon emphasized the need for a better accountability system and noted concerns about whether current measures, including MCAS-based designations, accurately reflect school quality. Some witnesses said they had discussed the possibility of removing Section 4 from the Thrive Act and suggested it might be addressed in separate charter reform legislation. No votes were taken during the hearing; testimony was received and the committee later closed testimony on S. 374 and several related bills before moving on to the student voting rights bill, S. 367.

Transcript Highlights:

• , and AB 16 requires, authored by the Chair, that the Fair Plan finally deliver real coverage, real accountability
• accountable.
• No, there's, so for that Fair Plan policy, that's the risk score for the Fair Plan policy.
• We know how, and this is going to inform local planning issues, how we build, where we build.
• And so that's the plan.

Committee: House Insurance

Transcript Highlights:

• So we worked with them on that plan. The president presented that plan last month.
• “They’ve given us a plan.
• And so all of these plans that I'm talking about are three-year plans.
• We're currently working with a three-year plan. Three-year plan, okay.
• We're currently working with a three-year plan. Three-year plan, okay.

Summary: The joint Assembly Higher Education and Budget Subcommittee hearing focused on the California State University system’s enrollment trends, fiscal pressures, and how state funding should be allocated across campuses. Chairs and members emphasized CSU’s importance to California’s workforce and economy, but also raised concerns about declining enrollment at some campuses, unmet enrollment targets, and whether funding is aligned with student demand. The hearing was framed as preparation for the 2026 budget, with particular attention to campuses such as Humboldt, Sonoma, San Francisco, Channel Islands, and others that have received significant state support or are below target enrollment. In the first panel, CSU Academic Senate Chair Dr. Elizabeth Boyd urged the Legislature to protect academic freedom, strengthen faculty governance, provide stable ongoing funding, end unfunded mandates, support student food and housing security, expand flexible scheduling, improve transfer systems, and maintain regional access rather than over-centralizing programs. Cal State Student Association Vice President Katie Karam said students are feeling the effects of budget shortfalls through fewer course sections, reduced advising and services, longer time to degree, and rising tuition, and she called for transparency, meaningful student involvement in budget decisions, and sustained state investment rather than one-time fixes. In the enrollment panel, CSU Chancellor’s Office and campus administrators described a systemwide strategic enrollment plan under CSU Forward, with efforts to expand access, improve recruitment, and better align programs with workforce needs. Dr. Delcy Perez said systemwide resident enrollment and applications are up, and highlighted direct admissions and outreach partnerships. Campus representatives from Chico State, Cal State L.A., and San Diego State described local recruitment, transfer partnerships, and retention strategies. Members pressed CSU officials on discrepancies between reported enrollment growth and public data, the per-student funding formula, and the use of reserves and reallocation to shift money from lower-enrollment campuses to high-demand campuses. CSU officials said they are reviewing all campuses’ fiscal health, developing turnaround plans, and expect to provide reports to the Legislature in the spring, while also acknowledging the need for longer-term changes to enrollment management and academic program alignment.