Senate Standing Committee on Appropriations

The Senate Committee on appropriations will now come to order. We're holding our hearing today in room 112 of the state capitol. It's a busy morning, and many of our Committee Members are also needed in other committees that are also meeting at the same time.

But we would still like to have all Members of the Committee come to the hearing room. As soon as they can so we can establish a quorum. We have four measures on today's agenda, and since we are past the fiscal deadline, we cannot move measures to the suspense file.

All measures being heard today will be eligible for a do pass motion. Before we begin, I want to remind any witnesses to limit their testimony to the fiscal aspects of the Bill. Please refrain from lengthy policy discussions and repeating prior testimony in your comments.

The Department of Finance has let us know that they do not have files for any of the measures being heard today, so they will not be providing comments on the bills. We're going to start as a Subcommitee, and we have the approval of the Republicans on the Committee to begin as a Subcommitee.

And as they get here, we'll take up the votes. So we'll start today with AB 224 by assemblymember Blanca Rubio, which is eligible for a do pass motion. Welcome.

Good morning, Madam Chair and members. I am proud to join Senator Umberg in authoring AB 224, which would extend the new news carrier's exemption from AB five until 2030. I am thankful to our former Assembly labor chair for his most recent efforts, which this measure simply extends.

The newspaper profession continues to face financial challenges resulting from loss and ad revenue to tech giants, while transitioning to digital platforms and a decline in subscriptions. These reasons, compounded with the unique structure in which carriers contract with multiple publishers, places stress on the industry, which is not seen elsewhere, hence why we are here today.

By providing additional time for this transition, jobs for journalists, editors, and newspaper production workers will be protected while simultaneously supporting the current age of news media.

With me today, I have Brittany Barsotti, on behalf of our sponsor, the California Newspaper Publishers, to answer any technical questions, as well as George Camacho is with me here, he's the President of El Popular newspaper of Bakersfield. Thank you.

Thank you very much. We're going to see if your witness would like to testify in support in regards to the fiscal aspects of it. If not, we'll move on to testimony in support.

Good morning, Madam Chair, members of the committee. I'm a little bit nervous. [It's all good. It's all good.] I'm the publisher of El Popular. We're a small publication in Bakersfield California. And we are of general circulation. And right now, I'm in support of an extension on AB 224.

I think that'll give us a little bit more time, kind of, to transition into the digital format that we're in search of. Right now, a lot of publishers are contracting with companies that distribute multiple publications, and that actually provides a service to the reader. Okay.

But at the same time, it creates a burden to the publishers, and I think one independent carrier can benefit from an extension of AB 224 doing the same service to the community that we serve. So at this time, I respectfully urge you to vote yes on 224.

Very good. Thank you very much. Love your publication.

Thank you.

Is there anyone else who would like to testify in support of the Bill? Anybody who would like to testify in opposition? Any questions from the committee saying, none? You may conclude, and when we get a quorum, we'll take it up.

Thank you, Madam Chair. I respectfully asked for an aye vote.

Great. Thank you so much for being here and for reminding me that we started it at nine. Next up is Assembly Member Wicks, who is not here. So we'll move on to file item number three, AB 535, by Assemblymember Schiavo. Again, this is eligible for a do pass motion. Thank you so much for being here today.

Thank you, Madam Chair. So California has made great strides in reducing the number of veterans experiencing homelessness recently. This month, federal regulatory changes have excluded excluded veteran disability benefits from income calculations for determining eligibility for veterans supportive housing vouchers. This change aligns with federal regulations, and so it doesn't require any additional housing to be built.

And we believe that it also is a huge cost savings because of the simplified income verification process. As a result, AB 535 is a necessary and simple fix that will clear the way for obstacles, clear away any obstacles to getting veterans into needed supportive housing. Thank you very much.

Is there anyone here who would like to testify in support? How about anyone that would like to testify in opposition? The Department of Finance is not with us here today, so we'll ask whether our Committee Members have any questions. Saying, none, you may conclude, and when we get a quorum, we'll take up the Bill.

It is a do pass motion.

Thank you so much. Request an aye vote when you can.

Great. Thank you so much for being here. We're going to move on to file item number four, which is AB 1034 by Assemblymember Grayson. Again, this is eligible for a do pass motion, so the floor is yours.

Thank you, Madam Chair. And AB 1034 extends the exemption sunset date for lawsuits originated under the private Attorney General's act we know as PAGA for contractors in the building and construction trades that are party to a valid collective bargaining agreement that meets specified criteria and have negotiated with their local union to include the waiver in their CBA so the statute does not alter a local union's ability to decide to include or not include PAGA.

The PAGA waiver in their CBA with that 1034, again extends, allows workers to continue the benefit from the important exemption by extending the sunset to 2038, supported by multiple labor contractor groups, and do have a witness here today as well.

Thank you, Assemblyman Grayson. Danny Curtin, California Conference of Carpenters. Madam Chair. So I'm going to address the fiscal aspects. So it'll take about 30 seconds.

Sounds good.

So it is a private sector dispute resolution process. So there is no administrative. And I get sort of a kick out of the analysis saying it could result in unknown, potentially significant annual reduction in penalty revenue relative to existing law.

So that's an interesting way of saying if we prevent violations of law, you do not get the penalties associated with that violation. So this should be really celebrated as the way to go. And it has been policy for 90 years in America to prefer arbitration and collective bargaining resolution over litigation.

So any questions, I'd be happy to deal with it.

Thank you very much. Good summary. Anyone here that would like to testify and support?

Good morning, Madam Chair. Members of the Committee. Eddie Bernacchi, on behalf of the National Electrical Contractors Association and the California Legislative Conference, the plumbing, heating, piping industry, in strong support. Thank you.

Thank you very much,

Madam Chair Members. Paul Gladfelty, on behalf of the Associated General Contractors in strong support.

Thank you.

Madam Chair. Joe Cruz, on behalf of the California State Council of Laborers, also in strong support.

Thank you very much.

Good morning, Madam Chair. Matt Kremens, operating engineers, strong support. Thank you,

Madam Chair Members. Bret Barrow, with United Contractors and the western line constructors, in strong support. Thank you.

Madam Chair. Chris Walker, on behalf of the California Sheet Metal and Air Conditioning Contractors, thank you for the Bill and we urge your support.

Thank you,

Madam Chair. Scott Govenar on behalf of Construction Employers Association, in support. Thank you.

Thank you very much. Anyone else in support? How about in opposition? Seeing none. As I said before, the Department of Finance is not with us here today and seeing no questions or comments from the Committee will allow you to conclude.

Respectfully asked for an aye vote.

Thank you so much. When we get a quorum, we'll take it up. And the motion is, do pass.

Thank you.

Thank you so much. Okay. Okay. The Senate Appropriations Committee is going to recess for five minutes. And we'll be back when we have an authorization.

Members here to be established. Quorum. So we will begin the committee hearing in 30 seconds. 30 seconds for the Senate Appropriations Committee.

Good morning. Senate Appropriations Committee is going to start right now. Secretary, please establish the quorum.

[Roll Call]

Good morning. Thank you. We have a quorum. This committee has been briefed by staff that items 1, 3, and 4 have already been presented by the authors. Our understanding is that Senator Ashby is going to present for Assemblywoman Wicks. And as soon as Senator Ashby is ready, we will receive her presentation.

Okay. On behalf of Assemblywoman Wicks and Jackson, AB 518 requires the Department of Social Services, in consultation with stakeholders, to develop a framework to calculate who is eligible for CalFresh and to use that information to publish data and metrics to develop targeted outreach strategies.

Calfresh is a 100% federally funded program, so identifying and improving outreach to eligible Californians is a good investment. I respectfully ask for an aye vote.

Thank you. Senator Ashby, are there any witnesses in support of Assembly Bill 518? Any witnesses in support? Any witnesses in opposition? Assembly Bill 518 seeing no witnesses in support or in opposition, we'll bring the conversation back to the dais. Members, any conversation on AB 518. Thank you. We have a motion. Do you need to close?

Would you like to close?

Respectfully ask for your aye vote beautiful close.

Secretary, please call the roll.

The motion is do pass to the Senate Floor. [Roll Call]

The current vote is 5-0. We'll leave it open, yhe roll open for the additional members that need to find their way to room 112. Thank you. I like that. That works. Next, we will take up item one for vote only. Item one, please. Secretary, please call the roll.

AB 224.

Sorry, do we need a motion on that? The vice Vice Chair is helping me out over here. Would you like to make a motion, sir? So moved. By Mister Bradford.

224 by Assemblymember Blanco Rubio. The motion is do pass to the Senate Floor. [Roll Call]

Five to zero. Keep the roll open for the remaining members of the committee. We'll move to item three. AB 535. Assemblymember Schiavo, we need a motion on that bill, please. Thank you very much. Motion by Senator Wahab. Secretary, please call the roll.

AB 535 by Assembly Member Schiavo. The motion is do pass to the Senate Floor. [Roll Call]

That motion has seven. That motion has seven votes in the affirmative. It passes. Madam Chair, would you like me to continue on with the last item, or would you like to gavel back? Okay, thank you. I'm happy to do it. Next item is item four, Assembly Bill 1034 by Assemblymember Grayson. We need a motion on that bill.

Thank you, Madam Secretary, can you please read the motion for us, please?

The motion is do passed to the Senate Floor. [Roll Call]

Thank you. That motion has five affirmative votes. It passes and bill will move to the floor. We have two items to reopen. Item number one, AB 224, for additional votes. Secretary, please call the roll.

[Roll Call]

That motion has 7-0. Is seven votes in the affirmative. That Bill moves to the floor. Item number two, Assembly Bill 518, please open the roll.

[Roll Call]

That Bill has six votes in the affirmative. That Bill moves to the floor. Thank you, everybody. Staff, great job. Chairwoman, thanks for leading a great meeting this morning. Appreciate it.

The Senate Committee on appropriations is adjourned.