Transcript Highlights:

• Nearly 89% of manufacturers are small businesses, and many lack the internal HR capacity or resources
• HR capacity or resources to navigate complex paper-based compliance systems.
• In 2012, a fire at the Chevron Refinery in Richmond endangered 19 workers and resulted in...
• At the Chevron Refinery in Richmond, endangered 19 workers, and resulted in 15,000 residents seeking
• Our local represents the majority of the refineries in the L.A.

Committee: Senate Labor, Public Employment and Retirement

Summary: The committee heard several labor and workforce bills. SB 1059 would modernize the Employment Training Panel by allowing electronic record-keeping, digital attendance documentation, and updated training terminology; supporters said it would reduce paperwork and better match current training systems, while no opposition appeared. SB 966 would codify refinery process safety protections adopted in 2017 after the 2012 Chevron Richmond fire, including worker participation in safety proceedings, anonymous hazard reporting, access to safety information, and stop-work authority; labor supported it, while the Western States Petroleum Association opposed it as conflicting with a 2024 settlement and potentially preempted by federal labor law. SB 1024 would provide 26 weeks of paid postpartum and recovery leave for firefighters who give birth, with job restoration and no requirement to use sick or vacation time first; firefighters and labor groups strongly supported it, and the committee discussed staffing and operational coverage concerns, but no opposition testified. The committee also heard SB 1316, which would strengthen wage theft enforcement by allowing Labor Commissioner liens to be renewed, limiting employers’ late use of records, and requiring Cal/OSHA to report complaints and citations data annually. Supporters said the bill would help workers actually collect wages after long delays and prevent employers from hiding records; it passed the committee on a 5-0 vote. SB 1185 would apply skilled and trained workforce requirements to pharmaceutical facility construction and maintenance, with supporters arguing these facilities require high precision to protect public health and supply chains; construction industry opponents said the bill was an unnecessary expansion of state mandates into private projects. SB 1227 would create apprenticeship pathways into DIR enforcement jobs, including Cal/OSHA and Labor Commissioner roles, to address staffing shortages and improve labor law enforcement; supporters emphasized vacancies and backlogs, and the bill was framed as a way to build a merit-based pipeline into state service. After hearing testimony, the committee took final votes on all six bills once the full membership returned. SB 966, SB 1024, SB 1059, SB 1185, and SB 1227 were all reported out of committee, and SB 1316 was also passed and sent to the Senate Judiciary Committee. The recorded final votes were unanimous or near-unanimous in favor, with the bills advancing on 4-1 or 5-0 votes depending on the measure.

Transcript Highlights:

• I want to underscore the scale of our request relative to our capacity.
• And we just don't have the capacity to do that currently.
• I wonder if part of this rationale is to support the refinery operations and in-state production.
• ... ...kind of created pressure for some of these refineries, or a refinery, to convert or repurpose
• or a refinery to convert or repurpose them.

Summary: The subcommittee first received an informational update on 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 College Corps, Youth Service Corps, and Climate Action Corps, along with outreach results from OCPSC and the Trusted Messenger Network. The Department of Finance said the programs remain a priority but noted prior budget reductions, while the LAO said it had no new recommendations. Committee members raised questions about program diversity, geographic reach, administrative costs, and whether the programs duplicate existing volunteer opportunities; one member criticized the programs as costly and duplicative, while another emphasized the value of volunteerism and asked about the men’s service challenge. The item was informational only. The committee then heard an overview of the Board of Equalization’s property tax responsibilities and its first budget proposals since the 2017 reorganization. BOE described its role in county assessment oversight, state-assessed property valuation, and related tax administration. Members asked about BOE’s interaction with counties, property tax reassessments, and local tax notices; BOE explained it mainly works with county assessors and handles technical property tax questions, while local special district charges are generally outside its scope. The committee also considered a BOE proposal to implement SB 293, which would give additional time for certain intergenerational property tax transfer claims after the 2025 wildfires. BOE requested $154,000 for guidance, public materials, and inquiry response work, saying the change is urgent for wildfire-affected families, especially in Altadena. The LAO had no concerns, and the item was held open. BOE also presented an information technology modernization proposal for its state-assessed property program, seeking $3.2 million in 2026-27 and $3.1 million in 2027-28 to replace a 30-year-old mainframe system. BOE said the current system relies heavily on manual data entry and paper processes, creating inefficiencies, cybersecurity risks, and delays, while modernization would free staff for more audits and valuation studies. The LAO supported the need but urged a high bar for new IT projects; Finance said the project met the threshold of necessity. Members generally supported the upgrade but asked about audit gains, revenue impacts, and implementation risks, and the item was held open. Finally, CDTFA gave its department overview and then discussed a proposal to require all delivery network companies, such as Uber Eats and DoorDash, to be treated as marketplace facilitators for sales tax purposes. CDTFA said the current carve-out creates confusion for restaurants and small businesses because some DNCs collect and remit tax while others do not, and the change would improve compliance and shift reporting to larger platforms. Members debated whether the proposal amounts to a tax increase for consumers, with CDTFA and Finance arguing it is a consistency and compliance measure rather than a new tax, while others said it would likely raise consumer costs. The committee also discussed broader CDTFA issues, including local sales tax districts, revenue-sharing agreements, and the growth of special taxing jurisdictions. No votes were taken, and the agenda items were informational or held open.

Transcript Highlights:

• She greatly appreciates your efforts to assist California's last small refinery and the only refinery
• refineries.
• We need, when refineries go down, to resupply them. We need refineries to have minimum inventories.
• We had a refinery outage.
• We had one refinery running in Northern California, and the prices spiked.

Summary: The Senate Committee on Rules first handled several routine actions, including approving three governor’s appointments not required to appear: Anthony Surich as Executive Director of the California Housing Finance Agency, Craig Snelling J.D. to the Workers’ Compensation Appeals Board, and Nicholas Mueller to the Off-Highway Motor Vehicle Recreation Commission. The committee also approved referral of bills to committees, all by 4-0 votes. It then took up appointments requiring testimony, beginning with Jereen DiAdamo to the State Water Resources Control Board. DiAdamo focused her remarks on safe drinking water, groundwater sustainability, conservation, and Bay-Delta restoration. She said the number of Californians without safe drinking water has fallen from 1.6 million to 800,000 since 2019, credited the SAFER program, technical assistance, and mandatory consolidation authority, and described ongoing work on failing and at-risk systems, domestic well mitigation, SGMA implementation, and the Bay-Delta Plan. Senators pressed her on audit follow-up, measurable goals for reducing the remaining unsafe systems, funding uncertainty, and concerns from environmental and tribal groups that the board has favored water users over ecosystem protections. Supporters from water, agriculture, business, and local agencies praised her collaborative style and consensus-building, while opponents argued she had not done enough to protect the Delta and called for new leadership. The committee ultimately voted 4-0 to advance her appointment to the full Senate. The committee then heard from Sivagunda Gunda for reappointment to the California Energy Commission. He highlighted progress on grid reliability, zero-carbon generation, and planning for California’s energy transition, including transportation fuels, building electrification, and the eventual retirement of Diablo Canyon. Senators questioned him about the future of Kern Energy and small refineries, the state’s transportation fuels plan, fuel imports and costs, and whether California can retire Diablo Canyon by 2030 without harming reliability. Gunda said the state is planning as if Diablo Canyon retires in 2030, that current resource additions make reliability manageable, and that affordability and market coordination remain key issues. The committee then voted 4-0 to advance his appointment to the full Senate, and the hearing recessed afterward.

Transcript Highlights:

• We are already the most competitively disadvantaged refineries in the world.
• The messaging out of California has not been very good, especially to the refinery industry.
• It says, if these regulations are implemented, every California-based refinery will shut down.
• The messaging out of California has not been very good, especially to the refinery industry.
• We've lost, what, two refineries in the last 12 months? industry.

Committee: Senate Joint Legislative Committee on Climate Change Policies

Summary: The committee heard an overview of CARB’s proposed amendments to California’s Cap-and-Invest program, implemented under AB 1207 and SB 840 after last year’s reauthorization through 2045. CARB said the draft rule changes are intended to support affordability, market certainty, and the state’s 2030 and 2045 climate targets, while also addressing offsets, utility allowance transfers, leakage protections for industry, and post-2030 allowance budgets. Members emphasized the importance of completing the rulemaking on schedule this spring so the changes can take effect by September 1, 2026. A major focus was how allowances are allocated among electric utilities, natural gas utilities, industry, and the Greenhouse Gas Reduction Fund. CARB explained that the proposal transfers natural gas utility allowances to electric utilities over time to support electrification and ratepayer protection, while maintaining free allowances for industry to reduce leakage risk and preserve in-state manufacturing and refining. Several members and panelists questioned whether the proposed utility changes could raise rates, whether the transition from gas to electric credits should happen faster, and whether the industrial allocation changes reduce climate credit and GGRF revenues more than necessary. CARB and panelists said they were open to additional data and comments, and noted that the proposal is still in public comment. The committee also discussed carbon capture, carbon removal, and refining. Members asked CARB to ensure that CCUS and CDR are clearly recognized as viable compliance pathways and to keep SB 905 rulemaking on track. On refining, members raised concerns about imported gasoline, leakage, and the need for better data on the carbon intensity of imported fuels; CARB said cap-and-invest applies to fuel suppliers at the rack, while life-cycle accounting issues are handled more through the Low Carbon Fuel Standard and related modeling. CARB said it is continuing technical work on those data tools. In the second panel, the LAO, IEMAC, EDF, and SCAPA representatives generally agreed that the program faces real tradeoffs between affordability, ambition, and leakage protection. The LAO and IEMAC stressed that the Legislature should scrutinize how CARB divides the allowance “pie,” since more free allocations to utilities or industry mean less revenue for GGRF. EDF argued the program could be somewhat more ambitious in the near term without harming affordability, while SCAPA said the proposal would reduce allowances for publicly owned utilities and could undermine early decarbonization investments and ratepayer benefits. No votes were taken during the hearing.

Transcript Highlights:

• When it goes into the pipeline, the refinery is held to the same standard.
• When it goes into the pipeline, the refinery is held to the same standard.
• You said it's only going to affect two or three refineries.
• So exports of petroleum products are now about 30% of refinery output.
• The bill would also add capacity. development of offshore wind.

Committee: House Natural Resources

Summary: The committee heard extensive testimony on AB 1243, the Polluters Pay Climate Superfund Act of 2025, which would direct CalEPA to identify major fossil fuel companies, study California’s climate damages, and assess fees on large polluters to fund resilience, recovery, and related projects. The author and supporters argued the bill would shift costs from taxpayers to the companies most responsible for climate harm, while dedicating funding to disadvantaged communities, home hardening, school resilience, clean energy, and jobs. Supporters included environmental justice groups, health advocates, youth activists, labor-aligned climate groups, and many individual witnesses who described climate impacts in their communities and urged polluters to pay. Opposition came primarily from the building trades, business groups, and petroleum-related organizations, who argued the bill would raise fuel and consumer costs, create uncertainty for business, and accelerate refinery closures and job losses. They said California already has cap-and-trade, which they described as a better tool for funding climate action and reducing emissions, and warned that retroactive liability for past emissions was legally and economically problematic. Committee members questioned both sides on consumer impacts, job effects, and whether cap-and-trade already addresses the problem. After discussion, the committee voted 6-1 to pass AB 1243 to the Judiciary Committee, with Assembly Member Ellis voting no and Assembly Member Muratsuchi not voting. The chair and members noted the bill would continue to be discussed, and the author closed by emphasizing the need to fund climate resilience while holding polluters accountable. The transcript then began a separate presentation on a wildfire mitigation bill, with the author introducing committee amendments and describing wildfire prevention and recovery needs, but that item was not completed in the excerpt.

Transcript Highlights:

• For remind me how much of enrolled capacity? Of 1,100 megawatts enrolled capacity. Okay.
• Yes, the Phillips 66 refinery is closed. So there's no stable storage supply there?
• So the in-state refining capacity So the in-state refining capacity has decreased.
• We've lost refinery and supply.
• If so, how are trade-offs made when staff capacity is constrained? Yeah.

Transcript Highlights:

• We operate with lean staffing, limited administrative capacity, and far fewer local revenue options.
• At the same time, we're often unable to access OPD grants because we simply do not have the staff capacity
• available, but for a similar bill, the CFC estimated needing 0.2 of an FTE, but didn't have the capacity
• can use between 50,000 and 200,000 gallons per day, blowing past municipal water systems' planned capacity
• can use between 50,000 and 200,000 gallons per day, blowing past municipal water systems planned capacity

Bills: HB2104 , HB1903 , HB1909 , HB1982 , HB2034 , HB2105 , HB2210 , HB2215 , HB2271 , HB2345 , HB2355 , HB2384 , HB2389 , HB2397 , HB2418 , HB2429 , HB2442 , HB2479 , HB2481 , HB2681 , HB2688 , HB2714

Committee: House Appropriations

Keywords: aviation, wildland fires, funding, disaster relief, emergency response, energy assistance, low-income, utility costs, state program, energy affordability, court unification, task force, Washington courts, judicial administration, court reform, access to justice, local court rules, uniformity, centralization, rural courts

Transcript Highlights:

• I want to underscore the scale of our request relative to our capacity.
• And we just don't have the capacity to do that currently.
• or a refinery to convert or repurpose them?
• So this, it was after the refineries made the decision to convert to renewable fuel production.
• So this, it was after the refineries made the decision to convert to renewable fuel production.

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:

• Jessica, I'm curious: in that analysis where half of the refinery capacity is left in California, there's
• from refinery operations there.
• Jessica, I'm curious in that analysis where half of the refinery capacity is left California.
• I know that a recent refinery is closing completely to.
• from refinery operations there.

Summary: The committee heard several bills and took testimony on each. SB 6013 would update ski lift terminology in State Parks law to include aerial tramways, tows, and conveyors; the sponsor and Washington State Parks said it is a simple technical update and a companion to a House bill previously passed by the committee. SB 6291 would extend from two to four years the time a non-certified on-site wastewater inspector may work under supervision before becoming certified; the sponsor and local public health witnesses said the change would help retain staff because the certification exam is difficult, offered only twice a year, and often results in turnover if the deadline is missed. The committee also heard ESB 6246, which would change policy for emissions-intensive, trade-exposed facilities under the Climate Commitment Act. The bill would require Ecology to produce a new report on post-2034 allowance reductions and leakage risk, and would require EITEs to submit periodic assessments of technically and economically feasible emissions-reduction options, reviewed by a licensed engineer. Supporters said the bill is a necessary first step to plan for decarbonization while keeping industry in Washington; environmental groups urged stronger third-party verification and clearer reporting, while industry groups supported the general framework but asked for changes on leakage analysis, confidentiality, and penalties. Ecology supported the overall direction but raised concerns about implementation language and resource needs. Finally, SSB 5982 would expand Clean Energy Transformation Act coverage to include port districts that distribute electricity and certain large self-generating or affected market customers, while preserving some exemptions for pre-existing cogeneration and certain PUDs. Supporters said the bill closes loopholes so all new generation is subject to clean electricity standards, especially as ports and data centers explore behind-the-meter or fossil generation. Opponents from industrial and business groups argued the bill could sweep in facilities that were not intended to be covered and could create additional costs during a period of tight power supply. Ecology and Commerce testified that the bill would clarify CETA but noted possible effects on no-cost allowance allocations under the Climate Commitment Act. No votes or final actions were taken in the hearing.

Transcript Highlights:

• When it goes into the pipeline, the refinery is held to the same standard.
• ... ...that I don't believe that the risk of refinery closures was really significant.
• You said it's only going to affect two or three refineries.
• Two refineries in California are going to lead to a 20% reduction in fuel in California.
• A syncrude from garbage and send it to the Marathon, Neste biofuel refinery in Martinez.

Summary: The committee hearing centered first on AB 1243, the Polluters Pay Climate Superfund Act of 2025, which would direct CalEPA to identify major fossil fuel companies, study California’s climate damages, and assess fees on the largest polluters to fund resilience, recovery, and related projects. The author and supporters argued the bill would make polluters help pay for climate harms, protect taxpayers, create jobs in construction and clean energy, and dedicate at least 40% of funds to disadvantaged communities. Support testimony came from environmental justice groups, labor, youth advocates, health organizations, and many individual witnesses, while opponents from the building trades, chambers of commerce, petroleum, and business groups warned it would raise fuel and consumer costs, threaten refinery jobs, and create legal and economic uncertainty. Committee members debated the bill’s impact on affordability, jobs, refinery closures, and whether cap-and-trade already addresses climate funding needs. The committee ultimately voted to give AB 1243 a due pass recommendation to the Judiciary Committee, with the roll left open. After AB 1243, the committee moved to another bill on wildfire mitigation and related resilience work. The author said the measure addresses a long-running wildfire problem and accepted committee amendments, describing the bill as a response to increasingly severe wildfire seasons and the need to help communities stay safe and rebuild after disasters. The transcript cuts off as that presentation begins, so no final action on the second bill is shown in the excerpt.

Transcript Highlights:

• California's health care workforce needs far exceed the current capacity.
• "Students' success and strengthening local capacity.
• If we take, for example, refinery workers, that firsthand.
• If we take, for example, refinery workers, the health and safety knowledge required to operate a refinery
• And it's a lot of—the refinery is a very first workplace to begin with.

Committee: House Higher Education

Summary: The Assembly Higher Education Committee heard several measures focused on access, affordability, workforce development, and campus operations. AB 662, by Assembly Member Alvarez, would create a South County Higher Education Task Force to explore a mixed-use intersegmental higher education institution in Chula Vista to address the lack of nearby public university access in South San Diego County. Supporters, including Southwestern College and the City of Chula Vista, described the region as a “college desert” and said the bill would help coordinate UC, CSU, and community college partners. The committee approved the bill on a due pass as amended motion. Members also heard AB 885, which would establish a College Access for All Fund to help address college affordability and student debt, and AB 730, which would provide funding to support development of a medical school in the Central Valley to address physician shortages. Both measures drew support from higher education and labor groups, and both were advanced to Appropriations. AB 1400 proposed a pilot allowing up to 15 community college districts to offer a bachelor’s degree in nursing; supporters said it would expand affordable BSN access and help meet the nursing shortage, while CSU and nursing education groups opposed it, arguing existing ADN-to-BSN pathways and clinical/faculty limits made the proposal unnecessary or harmful. The committee still moved AB 1400 forward on a due pass vote. The committee also considered AB 1235, requiring CSU design-build projects to use a skilled and trained workforce, which supporters said would improve safety, training, and local job opportunities; it passed on a due pass vote. AB 1247, aimed at limiting contracting out of classified school and community college jobs and requiring stronger training and retirement protections, drew support from labor groups but opposition from school and community college organizations concerned about flexibility, costs, and implementation; it advanced on a divided vote. Finally, the committee heard AB 1470, which would allow student housing loan funds to be used in downtown and commercial districts, and ACA 3, which would require UC to offer limited down payment loans to eligible support staff; both drew support from labor and housing advocates, while UC opposed ACA 3 as inconsistent with its mission and financially burdensome. The transcript ends during discussion of ACA 3, with no final action shown for that item.

Transcript Highlights:

• So how many refineries do we currently have?
• The capacity, it has high density.
• This is a refinery, and this is just an example.
• It goes right into the refinery.
• It goes right into the refinery.

Committee: Joint Advanced Nuclear Energy Committee

Transcript Highlights:

• So how many refineries do we currently have?
• The capacity, it has high density.
• This is a refinery, and this is just an example.
• It goes right into the refinery.
• It goes right into the refinery.

Summary: The meeting opened with remarks about the value of public engagement and the availability of presentation materials, then moved into a series of technical briefings from Idaho National Laboratory staff. Joe Renovitz described recent federal and DOE efforts to streamline nuclear regulation for advanced reactors, including NRC Part 53 and upcoming Part 57 rulemaking, DOE authorization updates, crosswalks between DOE and NRC requirements, and use of AI to speed licensing communications and document review. He emphasized that the goal is to align safety standards for advanced technologies, reduce rework for developers, and support deployment for commercial, defense, and research uses. In response to questions, he said there is no current plan to merge agencies, but there is more information-sharing and embedded NRC staff at DOE facilities; he also noted public outreach is supported through groups like GAIN and NEI. David Tolman then discussed the nuclear fuel cycle, covering uranium mining, conversion, enrichment, fuel fabrication, spent fuel storage, transportation, disposal, and recycling. He explained high-assay low-enriched uranium (HALEU), DOE’s HALEU Availability Program, and the need to expand domestic enrichment, deconversion, and transportation capacity to support advanced reactors and the 2050 nuclear growth goal. He also reviewed used fuel management, including on-site storage at operating and shutdown reactors, the Center for Used Fuel Research at INL, a high-burnup research cask project, and the long-term repository question, which he said is ultimately political as well as technical. He outlined reprocessing approaches—aqueous/Purex, pyrochemical, and fluoride volatility—describing INL’s work on electrochemical processing of EBR-II fuel and noting industry interest from several companies in recycling technologies. Ashley Shields presented on AI for nuclear applications, describing INL’s use of generative AI, high-performance computing, and digital-twin tools to accelerate reactor design, licensing, operations, and materials development. She highlighted the Prometheus effort to pursue highly automated reactor design and operation, the large documentation burden for reactor licensing, and ongoing work on autonomous control, remote operation, and AI-assisted materials qualification through the Vulcan challenge and related data platforms. In questions, she said AI tools are used under data-governance and security controls, with different models chosen for different tasks, and argued that software engineers and human oversight remain necessary. The session ended with a brief recess announcement and a transition to a later presentation on critical minerals and materials.

Transcript Highlights:

• Demand has not disappeared, but refining capacity has.
• The refineries are leaving. I think that's a real issue.
• And so the Iran conflict, did that cause the closure of the Benicia refinery, the Valero 66 refineries
• , the last three refineries we've seen closed since 2018?”
• We know that many of the refineries are already making adjustments.

Summary: The joint hearing focused on CARB’s proposed April amendments to California’s cap-and-invest regulations, adopted under AB 1207 and SB 840. Committee members repeatedly framed the issue as a balance between climate ambition, affordability, leakage prevention, and the Legislature’s budget priorities. Several senators argued the proposal would weaken the Greenhouse Gas Reduction Fund (GGRF), reduce funding for transit, affordable housing, drinking water, wildfire prevention, and other programs, and potentially undermine the Legislature’s intent in last year’s reauthorization. Others emphasized that the program’s core purpose is to reduce greenhouse gas emissions and that any changes should preserve the cap’s integrity and the state’s climate targets. CARB Chair Lauren Sanchez said the amendments were designed to implement legislative direction while responding to public comment and economic uncertainty. She described four main changes: increasing electric bill credits, expanding the manufacturing decarbonization incentive (MDI) to $4 billion, adding about $800 million in additional compliance support for industry, and removing post-2030 allowance allocations from the current rulemaking. CARB said the proposal would still maintain declining caps aligned with 2030 and 2045 targets, provide near-term affordability relief, and support businesses and jobs while reducing emissions. In response to questions, CARB said the MDI has guardrails, is limited to emissions-reducing projects, and would require reporting and repayment if projects do not materialize. The Legislative Analyst’s Office said the amendments are significant and could affect several legislative priorities. LAO highlighted that the MDI would add allowances above the cap, creating uncertainty about environmental ambition and 2030 compliance, while also shifting more allowances to industry and fewer to the GGRF. LAO said the proposal could significantly reduce GGRF revenues and noted that, if revenues fall to CARB’s estimated level, some tiered programs could go unfunded. The Department of Finance explained that GGRF revenue estimates are updated three times a year and are difficult to predict because they depend on auction outcomes and market conditions. Senators pressed both agencies on whether the proposal would raise consumer costs, whether industry savings would be passed through, and whether the Legislature should receive updated revenue estimates before voting on the budget.

Transcript Highlights:

• I'm keenly aware of the damage refinery closures can have on a community.
• Torrance Refinery, PBF Refinery, Chevron in El Segundo, and the closing Phillips 66 in Wilmington—I
• when these refineries close down.
• I'm just a few miles from the Torrance Refinery.
• Every time a refinery closes, you get a big drop in supply.

Summary: The meeting began with procedural announcements, a vote change on SB 414, and adoption of the consent calendar, including ACR 107 on the Diablo Range. Members also agreed to take several Senate messages up without reference to file. A point of order was raised urging members to respect staff by arriving on time after a late-night session. The main floor debate centered on SB 237, a major oil and gas measure. Supporters said it would help stabilize fuel supply and prices, address refinery closures, strengthen offshore pipeline safety, clarify Kern County oil permitting, and allow possible suspension of the summer gasoline blend. Opponents argued it was a giveaway to big oil and a setback for climate goals. The bill passed 59-0. The Assembly then passed SB 254, an energy affordability and wildfire package that would reduce ratepayer costs, strengthen the wildfire fund, and speed utility infrastructure and clean energy permitting; it passed 58-0. SB 840, the cap-and-invest reauthorization and spending framework, drew the most divided debate, with supporters emphasizing climate policy, transit, housing, and community investments, and opponents calling it a tax increase and slush fund; it passed 54-15 on the urgency and 54-15 on the measure. AB 1207, the Assembly’s cap-and-invest reauthorization bill, also passed, 55-10 on both urgency and the measure. Members also approved SB 352 to make the Bureau of Environmental Justice permanent and require more reporting on air quality and AB 825 to create a Westwide electricity market, which supporters said would lower costs, improve reliability, and reduce emissions; AB 825 passed 67-2. AB 8, a cannabinoids bill with Senate amendments, was concurred in 66-0, and AB 383, a firearms cleanup bill, was concurred in 66-0. The session ended with immediate transmittals of the major measures to the Senate or Governor as applicable.

Transcript Highlights:

• Every allowance we give to a refinery for free, we don't give to a household as a climate credit, and
• We are already the most competitively disadvantaged refineries in the world.
• The messaging out of California has not been very good, especially to the refinery industry.
• We've lost, what, two refineries in the last 12 months? I don't want to, I'll be blunt about this.
• It says, if these regulations are implemented, every California-based refinery will shut down.

Committee: Joint Joint Legislative Committee on Climate Change Policies

Summary: The committee heard an overview and discussion of CARB’s proposed amendments to California’s Cap-and-Invest program, implemented under AB 1207 and SB 840. Chairs and members emphasized the program’s role in meeting climate targets while balancing affordability, and CARB described the proposal as intended to preserve market certainty, strengthen cost containment, address utility affordability, and support the state’s 2045 carbon-neutrality goal. CARB also noted the public comment period, the planned board hearing, and the goal of an effective date of September 1, 2026. Members questioned CARB on several implementation issues, including whether the rulemaking would be completed on time, the treatment of carbon capture and sequestration, the timing of the transfer of allowances from natural gas utilities to electric utilities, and the impact on ratepayers. CARB said it was on track to meet the May deadline, that CCUS/CDR could be further refined in the proposal and would also be addressed in a separate SB 905 rulemaking later in the year, and that it was seeking to protect ratepayers while inviting more utility data during the comment period. The committee also discussed refining-sector leakage risk, gasoline imports, and how imported fuel is accounted for under cap-and-invest versus the low-carbon fuel standard. A second panel of outside experts and stakeholders then testified. The Legislative Analyst’s Office and IEMAC representatives explained the major statutory changes, including putting offsets under the cap, shifting allowances from natural gas to electric utilities over time, and changing how allowance value is divided among utilities, industry, and the Greenhouse Gas Reduction Fund. They stressed that CARB has significant discretion in setting the allowance “pie,” and that more free allocations to utilities or industry reduce GGRF revenues. EDF’s representative argued the proposal should be adopted this spring, said the utility transition should happen faster, and urged a tighter near-term emissions cap. SCAPA, representing publicly owned utilities, opposed the proposed utility allocation changes, saying they would reduce expected allowances, undermine long-term planning, and could force higher rates or reduced decarbonization investments.

Transcript Highlights:

• I think this is an incredibly important bill for not just our sick capacity, but our...
• In 2020 and 2021, the Marathon Refinery closure in Martinez and the Phillips 66 refinery closure in Santa
• In October of 2024, the Phillips 66 refinery in Carlin, In 2020, the Phillips 66 refinery in Carson announced
• And we represent the proprietary workers in these refineries.
• a great option, especially now with more and more refinery closures.

Summary: The committee heard extensive testimony on AB 1729, which would update California state telework policy. The author and many unionized state workers argued that telework has improved productivity, reduced emissions and commuting costs, saved the state money on office space, and should be governed by written, evidence-based departmental policies rather than blanket return-to-office mandates. Supporters emphasized flexibility, morale, and the need for transparency through a public dashboard. There was no opposition testimony, and the bill was later moved on a 2-1 vote, with the item placed on call. Members also heard AB 805, which would create a Career Apprenticeship Bridge Program to connect high school career technical education with registered apprenticeships. The author and supporters said the bill implements recommendations from the California Youth Apprenticeship Model report and would expand earn-and-learn pathways, especially for youth facing barriers. The bill passed the committee 3-0 and was placed on call. Two workers’ compensation and labor-relations bills drew sharp opposition. AB 1576 would reform the Subsequent Injury Benefit Trust Fund; supporters said it would reduce litigation and employer assessments, while opponents argued it did not go far enough and preferred the administration’s trailer bill. AB 1582 would make it an unfair labor practice for UC or other higher education employers to disregard arbitration decisions on contracting out; supporters said it would protect arbitration outcomes for service workers, while UC argued it would interfere with bargaining agreements and threaten patient and student services. Both bills were moved on 2-1 votes and placed on call. After quorum was established, the committee also advanced AB 1630, allowing union representatives to invite bargaining-unit members to observe meet-and-confer sessions remotely; AB 2650, a CalSavers cleanup bill to improve retirement savings access and administration; AB 2054, expanding paid family leave eligibility for relatives of military service members on domestic duty; AB 2157, making permanent the Displaced Oil and Gas Workers Fund pilot program; and AB 1838, requiring bidders on local public works projects to disclose recent wage-and-hour violations. AB 1630 and AB 2157 were both placed on call after divided votes, while AB 2650 and AB 2054 passed 2-1 and 3-0 respectively, and AB 1838 was placed on call after a 1-1 vote. The transcript ends as the committee begins AB 2682, which would conform the appeal process for transportation network company driver unionization law.

Transcript Highlights:

• I think this is an incredibly important bill for not just our sick capacity, but our...
• In 2020 and 2021, the Marathon Refinery closure in Martinez and the Phillips 66 refinery closure in Santa
• In October of 2024, the Phillips 66 refinery in Carlin, In 2020, the Phillips 66 refinery in Carson announced
• And we represent the proprietary workers in these refineries.
• , that's not a great option, especially now with more and more refinery closures.

Committee: Senate Labor, Public Employment and Retirement

Transcript Highlights:

• Currently, rural highway improvement projects that propose to add highway capacity, in my experience,
• well as emergency room capacity.
• Nor do foreign refineries have to reduce on-site emissions or pay into cap-and-invest programs.
• Nor do foreign refineries have to reduce on-site emissions or pay into cap and invest programs.
• The Commission recommends a strategic, ...to adopt regulations that impact refineries.

Committee: House Natural Resources

Transcript Highlights:

• What caught my attention was that at the time CARB referenced data from 12 refineries.
• And once capacity leaves, we have not seen it come back.
• Jessica, I'm curious: in that analysis, where half of the refinery capacity is left in California, there's
• I know that a recent refinery is closing completely to...
• from refinery operations there.

Bills: SB6013 , SB6291

Committee: House Environment & Energy

Keywords: ski areas, winter sports, terminology, recreation, economic development, SB6291, on-site wastewater treatment, onsite wastewater treatment, septic system, sewage treatment, wastewater inspection, environmental health, local board of health, public health, professional engineer, land surveyor, certificate of competency, inspection standards, design review, supervised practice