Senate Standing Committee on Budget and Fiscal Review

The Senate Committee on Budget and Fiscal Review will come to order. We are holding our committee hearing here in the 1021 O Street Room 1200, and we would really appreciate it if one more committee member would come. We will have a quorum. I will interrupt whatever's going on whenever they walk in and establish the quorum.

Public comment will be heard after all discussion items have been presented. And let me just talk about our, our process briefly today because we are going to go through with the Department of Finance presenting and the legislative analyst here for questions. We're going to go through 14 budget trailer bills. And then when we're done, we're gonna bring it back to the committee for questions and comments.

And because we have an 11:00 floor session and because we want to hear some measure of public comment, I could, for once, try to lean on the committee members to try to limit it to a comment and a question or two.

So, I'm just warning everybody, although I know the person, whoever they are, that will go longer is the one that's not listening right now. So, I will, I will...

What'd you say?

There you go. Yes. It's when Roger and I have our, our birthdays together, you, you can give us a cake that says, "Happy 155th." So, we can do that. And then we will take public comment, and I will do the usual. I'll take a hand count of the people that wanna do public comments.

There will still be 30 people raising their hands in the hallway and and running in, but I will do my best because we will have to move to a vote twenty minutes at least, if not thirty minutes before our end time, to be able to vote and get over to the floor session.

So, we will just play some of the timing by ear as we go along. Today, the package of budget bills and trailer bills includes AB 113 which is a budget bill junior that amends the budget act that we adopted in June, AB 114, a budget bill junior that amends the last four budget acts, and 14 budget trailer bills on various subjects, and although it's listed on the agenda, we will not be taking up AB 196 at this time.

We don't have a three-party agreement on that item.

These bills represent the culmination of the work of the Senate Committee on Budget and Fiscal Review for this year, and it's been a long, arduous process. And due to the date stamps on the bills, we'll probably be considering them on the floor, providing they pass the committee today, in two tranches and then, the—one of them, the major budget bill, will be taken up tomorrow morning after 09:00 because it was date stamped at, at I think 3:46 AM.

And I really heard the Vice Chair, who was very plaintiff when he heard that time, and, and that's why we will be carrying it over, to the next morning. The bills, include technical adjustments, clarifying changes, additional details on agreements that were made as part of the June budget, and it address—addresses—some new issues that have been arisen since its adoption. That is our quorum. I'm gonna continue that in a moment. Would you please call the roll?

[Roll Call]

We have a quorum. Thank you very much.

And then, the highlights of the package include $2.66 billion for purposes related to the Safe Drinking Water, Wildfire Prevention, and Drought Preparedness and Clean Air Bond Act, Prop 4, to support a variety of projects in that area, and $450 million from the Greenhouse Gas Reduction Fund for the '26-'27 budget year, including $230 million for SB 125 transit, and funding for various legislative priorities, including investments in the implementation of the Community Air Protection Program, wildfire prevention, agriculture and land conservation, and safe and affordable drinking water, among others.

And also, these contain a variety of one-time investments in local priorities through California. Before we begin with the Department of Finance, let me ask the Vice Chair if he has any opening comments.

I certainly do, but I would suggest that we first, given the opportunity we have, quickly establish a quorum. We have 10 people in.

I just did it.

Oh, you did. Okay.

You said here.

Okay. So, we have a quorum. Yes. I—sometimes I think I should record things that I say and catalog them, and then, just bring them back speech number two. The—I have continuously expressed frustration with our process, and this year is compounded.

So, we, three months ago, we adopted the constitutionally required final balanced budget, three months ago. And today, on the last day of the session, we have all of these budget bills. And it was the same thing last year and I said the same thing last year. And as I say every year in June, this budget that we're voting on is not our budget. Just a play—placeholder.

We'll continue to work on that. And even in this case, beyond the end of the session. In addition to that, these bills have an abundance of policy in them that have absolutely nothing whatsoever to do with the budget. And many of the bills, if not maybe all of them, completely violate the single subject rule. Now, nobody's legally challenging that but if anybody did, I suspect that it would—that would prevail.

And Senator Laird, you've said, let me talk about process. Beyond that, what we're seeing in this deadline session are other process issues that everybody has to find extremely frustrating. We have three or four times the number of gut and amend bills this year than we ever usually have. It's almost gotten to be absurd, to the point that there is one bill that was gutted and amended—it was a two-year bill—on June 4th of this year, it was gutted and amended from its original.

A week later, it was gutted and amended again to another bill. One bill has been three bills. I just think that's an abuse of the process. And then, we found a—another clever way to jam some more stuff into the session by just if they can't be dealt with by Friday, which was the deadline for seventy-two hours to get take things up today, well, if they came up on Saturday, we just make them urgent.

And then, they can be taken up after the session is over. The wildfire reform bill is a perfect example of that. They just couldn't get it done until Saturday. Is it an urgent bill?

No. But they marked it urgent so that we can jam it into the process. I, I, I'm hoping that we can find some sanity to this, and I also want to recognize and maybe even apologize to staff on both sides of the aisle. This—because of the late nature of these proposals, staff has been working literally around the clock.

I know our staff got hardly any sleep over the weekend, and I have to believe it's the same for committee staff and majority party staff also. On behalf of the institution, I guess I apologize to them for that. But certainly, I think we have to recognize the yeoman's effort that they put into this, as I said, on both sides of the aisle, and I know we all are very grateful for them to their—for their dedication and significant competence.

With that, Mister Chair, I will minimize any other comments.

And if that call is for me, I'm busy.

Well, it's from Eureka. I don't know who's calling from Eureka.

I found it.

Yeah. That, that was—that was the best part of his speech. Thank you. I appreciate your comments and have and there will be a time I think sometime today when we all get to appropriately recognize the staff for the heroic work that—and, and I can speak from experience. The staff might have not gotten any sleep but I'm aware that the Senate President one night, I'm not sure she ever went to bed. And, and so, I know that was happening all the way around.

So, we will now move to Items 1 through 16, and the way we're going to do it, as I said earlier, is the Department of Finance. We're, we're pleased to have Erica Lee here, the Chief Deputy Director, and she is going to briefly walk us through those 16 items, and then we'll bring it back for comments and questions to the committee. Welcome to the committee.

Thank you. Good morning. Good morning, Chair Laird, Vice Chair Niello, and members of the Senate Budget Committee. Erica Lee with the...

Would you move the microphone a little closer to your lips?

Is that better? Okay. Good morning. Erica Lee with the Department of Finance, here to present on 16 bills that together make up the final '26-'27 budget package. As was stated in June, there were several issues that we would be deciding over the summer, and particularly in the resources area. Additionally, there are cleanup and technical issues that are included as well, as was mentioned by the Chair.

There are 16 bills, two of which are budget bill juniors, and 14 trailer bills, and I've been asked to present on each of them consecutively, and then, happy to respond to committee questions at the end. The first bill is AB—SB—113 and it is a budget bill that amends the '26-'27 budget act. The budget allocates about $2.7 billion Proposition 4, or the Climate Bond, to continue funding critical projects and programs.

It also allocates a total package of $450 million in discretionary greenhouse gas reduction funds over various projects, as was also mentioned by the Chair.

And includes $8 million in the Healthcare Affordability Reserve Fund in the budget—in the current year—and $37 million in '27-'28 and '28-'29 to establish a state-only dialysis program, effective 10/01/2026. It provides $25 million in 9-8-8 Fund, one time in this year, this current year, to the Department of Healthcare Services for 9-8-8 call centers.

It establishes a designation process for 9-8-8 crisis centers. It adds an additional $66 million General Fund to address cash and expenditure challenges, due to federal inaction to approve Department of Rehabilitation's proposed cost containment measures for vocational rehabilitation services, known as order of selection. It clarifies that the $70 million General Fund included in the '26 Budget Act for alternative payment program agencies can be used for family support activities.

It allocates $10 million General Fund in this year, available over two years through 06/30/2028 for Cal Food, which funds food banks for the purchase, storage, and transportation of food grown and/or produced in California.

It adds $333,000 for automation to comply with recent federal terms and conditions, modify—modification—to the Elderly Simplified Application Project population, as federally required by March 2027. It allocates $1.1 million one-time General Fund to allow the state to opt in to the foster youth version of the federal children's savings accounts. This program allows child welfare agencies to act as guardians to open and manage accounts on behalf of foster youth.

It allocates $73.7 General Fund for various community investments, including food assistance, immigration, and sexual assault prevention practices. Excuse me.

The bill also includes appropriate—appropriated—funds that were already included in the 2026 Budget Act, totaling about $58,000,000 General Fund to continue supporting economic development and innovation in California. It allocates $88.9 million General Fund to support various housing and homelessness initiatives. It also allocates $12.5 million for the California Workforce Development Board for various workforce development issue—initiatives.

And the last issue that I'll comment on here is it allocates $15 million non-Proposition 98 General Fund for the Department of Education to allocate funding for LEAs in low-income communities, to provide at least one free meal per day to children during intercessional breaks of less than ten days. That was the first bill.

The second bill is AB 114, which is a budget bill junior that amends previous budget acts. This bill adds to the 2025 Budget Act the same operational efficiencies language that was included in the '26 Budget Act as part of the June budget.

The language authorized the Department of Finance to transfer any portion of any proposition for climate bond appropriation from the state entity receiving the appropriation to another state entity for specified purposes and includes many technical and clarifying amendments that were identified by the Administration and Legislature. The next bill is AB 133, which is the education trailer bill.

This bill also makes largely technical amendments to various TK-12 programs, including community schools, dual enrollment, career pathways, mathematics and literacy coaches, child nutrition, and high-need student support programs.

The next bill is AB 167, the higher education omnibus bill. This bill makes largely technical amendments to various higher ed programs, including the Community Colleges Student Support Block Grant, affordable student housing capital outlay projects, and the Cal Grant transfer eligibility age increase. The next trailer bill is AB 173, the health trailer bill. This bill implements the following significant health proposals. It expands the Department of Health Care Services oversight of Medi-Cal providers.

It makes various changes related to the 9-8-8 Suicide and Crisis Lifeline, including increasing oversight of 9-8-8 crisis centers, requiring system interoperability between 9-1-1 and 9-8-8 protocols. It establishes a process for the development of a specialized LGBTQ+ suicide prevention line, which is subject to federal approval, and it establishes a state-only dialysis program to provide outpatient maintenance dialysis and restricted-scope Medi-Cal, effective October 1 of this year. The next bill is AB 175, which is a developmental services trailer bill.

This bill merges the existing community placement plan and community resource development plan, two, two plans, to align current law with the needs of the community. It includes $78.1 million annually for these two programs.

And this change will provide a clear framework for staff to implement and establish guidelines as regional centers apply for funding. The next bill is AB 178, the public resources trailer bill. This bill makes various changes to the Public Resources Code and includes uncodified language to do the following. It establishes the Farmland Access and Conservation for Thriving Communities Program to be administered consistent with related funding authorized in Proposition 4. It provides $60 million one-time Beverage Container Recycling Fund for local conservation corps, for beverage container litter reduction programs and recycling programs, including education and outreach.

And it requires the Department of Parks and Recreation, in consultation with the California Coastal Commission, the Transportation Agency, and the Monterey County District 5 Supervisor, to prepare and submit a report to the Legislature, summarizing findings and options to reduce traffic congestion and unsafe parking conditions along Highway 1.

The next bill is AB 184, and it is the general government, or state government, trailer bill. This bill states—states legislative intent for the state to work with Alpine, Mono, and San Mateo Counties and other potentially impacted counties to develop a solution to the vehicle license fee revenue shortfall situation known as insufficient ERAF. It also includes contract and procurement efficiencies, cleanup language, and language to close out bonds no longer in use.

The next bill is AB 186, the revenue and taxation, or film tax credit, trailer bill. This bill includes three changes to the film tax credit programs.

It shortens the Program 4.0 credit refundability schedule from five years to two and reduces the discount on refundable Program 4.0 credits from 10% to 5%. It extends a carryforward for Program 2.0 and Program 3.0 credits from nine to 15 years for taxpayers that are actively participating in Program 4.0. And lastly, it exempts credits earned by an independent production that are sold to another party from the temporary credit limitation beginning in 2027, and the permanent credit limitation beginning in 2030. The next bill is AB 187, the employment or labor trailer bill. This bill clarifies various statutes related to new employee orientations and state benefit programs and also reauthorizes the alternative minimum wage for goat herders until 01/01/2029.

The next bill is AB 190, the early care and education trailer bill.

This bill specifies requirements for various policies for the California State Preschool Program, including excused absences, enrollment priorities, program eligibility, professional development days, and family fee deductions. It also authorizes the Department of Education to collect unspent funds for the California State Pre-School Program, exceptional needs set aside, beginning in '27-'28. And lastly, it requires the Department of Social Services to identify the remaining foundational policy frameworks of the single rate structure by January 10th of 2028. The next trailer bill is AB 191, the Olympics and Paralympics trailer bill.

This bill pertains to the 2028 Olympic and Paralympic games and includes changes related to sporting event exemptions, film and television productions, and building codes. The next bill is AB 192, the Transmission Accelerator Trailer Bill. This bill makes various changes to the Transmission Accelerator Program.

Most notably, it extends the Transmission Program—Accelerator Program—from 2031 to 2036. It requires the developer and owner of a transmission project that is funded by the accelerator to use construction and maintenance contractors that meet certain criteria, and it makes other technical and clarifying changes. The next bill is AB 193, which is the climate and energy trailer bill. This bill includes the following changes to the Greenhouse Gas Reduction Fund and the CalShape Program.

For the Greenhouse Gas Reduction Fund, it makes technical and clarifying changes to the Greenhouse Gas Reduction Fund, as proposed in the Governor's budget. Beginning in '27-'28, it requires GGRF interest to flow through the tier structure rather than be available for discretionary purposes. And for the CalShape program, it provides an additional three years for already awarded funds to be spent to allow schools to complete HVAC or plumbing improvements. The next bill is AB 194, the transportation trailer bill.

This bill enhances requirements for the California Highway Patrol's Protective Services.

The state currently has the authority to provide security to, to current and former constitutional officers and legislators. This bill updates this existing authority. This bill also includes a capital outlay appropriation of $189,000 General Fund for the working drawings phase of the Leviathan Peak Tower Replacement Project. And I think this is the last bill. Yes.

AB 195, which is the income tax exclusions trailer bill. Currently, California's wildfire mitigation and home hardening programs are structured to assist low-income homeowners and disadvantaged communities, but state-funded mitigation benefits currently count as taxable income.

This bill amends the Revenue and Taxation Code to broaden the definition of California qualified wildfire mitigation payment to ensure tax-exempt status applies not only to assistance provided under the California Wildfire Mitigation Program, but also to new Prop 4 mitigation programs, administered by the California Office of Emergency Services. And with that, I am done with presentation of the 16 bills.

Thank you.

Thank you. I appreciate your efficiency. This is now back before the committee for comments and questions. And as I said at the outset—I know not everybody was here—we do have to be at the floor session for 11:00, so I would just ask for members to be a little disciplined, a statement and maybe one or two questions.

So, who would like to get into line to do this? McNerney? Durazo?

Blake Spear. Right. Anybody else right now? Okay. Then we're going to go to Senator McNerney first.

Well, I thank the Chair and I thank the staff, it's been a good run. I have been a member of budget two, with Chair here next to me. Thank you for being a Chair good Chair, and I'm also Chair of the legislative Delta Caucus and so I want to talk about water, which is probably a surprise to everybody this morning.

First, the Delta Caucus and I are very pleased to see a significant amount of money going in the budget for essential repairs for the Delta Levees. These levees were built in the 1800's. They could fail at any time, which would be catastrophic.

I'm also pleased to see a significant amount of money going to Great. Repairs on the water conveyance infrastructure in the Central Valley. Again, that's 87% of that water could be lost if these aren't repaired by 2040.

In the last generations before us, folks like Mohalden and Edmund Brown had the foresight to invest in our water infrastructure, which provided water for Californians and helped build our economy into the great state it is now.

And now it's our turn to think about how we can invest in water infrastructure so that we have reliable, safe water for the California for the rest of the century. My bill, SB 847 starts that process.

And we're going to have to continue that in the years to come to make sure that future generations can look at what we've accomplished for their benefit. I also want to talk about the Healthy Soils program.

There was a $24.9 million for Healthy Soils Program. That's very important then, for the agricultural industry. I'm grateful for the $10 million provided for the Farmer Program, which allows farmers, to replace old diesel equipment with clean burning fuel equipment.

Also, we've accomplished a lot this year and I want to thank the, again, the budget Chair, the staff, for working for us to make sure we have these things in mind. Thank you and I reel back.

Thank you very much. Appreciate your comments. Senator Durazo.

Thank you, Mister Chair. Just a quick comment on the funding for the local conservation corps. I've been working on that since the first year that I came that I was elected, and it means a lot to all of our communities.

But as you as you know, Mister Chair, this is not only addressing the issues of the environment but truly, it's addressing the issues of who's going to work in these careers that we are creating and now finally funding in an appropriate way, creating the careers that we want to use to look forward to be able to fill.

So, for all the work that the conservation core does, but this is especially near and dear to my heart. So, thank you. I wanted to make that comment.

Well, thank you very much. Senator Blake Spear.

Thank you, Chair, and I want to say thank you to the budget staff and the late nights and the weekends. I know it's very trying here at the end, and I recognize how much work is put in. So, I just want to say thank you for that. I'm just going to highlight a few things that are important to me and that I think are worth mentioning.

So, this package includes $30 million for implementation of Prop 36. That's something that the voters passed in 2024 in all 58 counties, and it includes $10 million for our courts and $20 million for county behavioral health departments to build treatment capacity.

This is I represent San Diego and Orange County, and both of those counties say that this isn't enough money, but it is some money. So, I'm grateful for that because I know this wasn't the legislature's idea.

This was the voter's idea, but it is something that is important that we fund. So, I just want to, say thank you for the funding, and we need to continue to follow through on the commitments there.

I want to recognize there was $2 million included for the Islamic Center of San Diego for security infrastructure improvements. There was a devastating shooting that took the lives of three community members earlier this year.

And that investment is part of a community, security package, that the state has made a commitment to related to helping congregations to harden their places of worship so that they can be safe.

So, I just want to recognize that as really important. I'm also proud that the budget invests in the University of California's climate research, including new GGRF revenues for the UC Climate Change Research Institute.

I know there was a lot of work for my colleagues, Senator Stern, and also Assembly Member Erwin, on this topic, and we know that with the Federal Government retreating from climate science, California needs to step up and fill in some of the gaps.

And that's what's happening here. There were four universities listed. You see universities listed as, climate centers. UC Irvine, UC Davis, UC Santa Barbara, and UCLA. So, missing from that list is UC San Diego, which does have the esteemed Scripps Institute of Oceanography, one of the world's best climate and ocean science institutes on the planet, in it.

So, I just want to, make sure that there's accessibility for all the UCs. I'm sure everyone who represents them wants their UCs included in that as well. I want to recognize that we saved the goats from going out of state.

So, it really was very much at risk that with a wage herder provision that expired July 1, that the cost of employing a single goat herder jumped to roughly a quarter million dollars a year by the Farm Bureau estimates. This is more than the what the governor makes.

A goat herder would make more than what the governor makes, and the grazing operations in California threatened to shut down completely to slaughter the goats, move out of state, utilize only sheep, which sheep and goats eat different plants when they're doing fire mitigation at different seasons.

So, it's important that we have our goats as part of our fire wildfire crews. Because if you've ever witnessed how much they eat, it's incredible. They clear the brush in places that are impossible for hand crews to get to. Steep slopes, canyons, wildland edges of our neighborhoods, and of course, they're also adorable animals.

They're part of having range animals on our landscape now, and so, it really seems to me like it's something we should be investing in and giving attention to make sure we can continue to employ goat herders. The extension was only for two years, so this will come back to us.

But we need to have a permanent fix to allow people to be appropriately paid, but also, our goat herders to be able to continue to operate in California. I'm also really happy in a similar vein to see the wildlife coexistence funding increase by $5 million in this package.

Wildlife coexistence is something that's important because we share the state with apex predators like, mountain lions and bears and particularly wolves, which we did not reintroduce but came over the border from Oregon.

And we do have them in our communities, and we need to be appropriately funding our approach to them. Finally, I think I'll just mention that transit remains a concern.

There is some money for transit that was in categories where it had been proposed to be zeroed out. But it's not enough money or as much as we promised. But it's certainly, not the absolute devastating cut to the bone that we had feared. So, transit needs our support if it's going to work in California because, fare box recovery is never going to cover the cost of transit.

So, we need to be accepting that we will need to be helping subsidize it if we want it to operate in the state, and I think of it as a priority that we do have a functioning and growing transit sector to help people get where they need to go and also to protect our climate and our environment. So, with that, I'll yield back to the Chair. Thank you.

Thank you very much, and then we'll go to Senator Gomez Reyes.

Thank you, Mister Chair. I want to first acknowledge the collaborative and truly Democratic process that was done here for this with this budget. Our pro tem Senator Limon, our budget Chair, Laird, made abundantly clear at the beginning of the process that it would be one where every Senator would have an opportunity to elevate issues important to their communities.

This was done not just through words, but also through action, and I want to thank you for that. The three-party deal that we have represents an extension of investments here in the entire state of California for all Californians. Specifically, with prop four, as was mentioned by the Chair, a $2.6 billion dollar investment.

When the voters approved this $10 billion-dollar bond, they wanted certain things taken care of. We are investing more than $1 billion in safe drinking water, drought, flood, and water resilience, nearly $330 million in wildfire and forced resilience, over $100 million in parks creation and outdoor access.

And over $1 billion in other areas that improve our environment and natural lands. These are investments that are consistent with what the voters wanted.

On GGRF, as many of you know, the Senate has been vocal about our concerns about the manufacturing decarbonization incentive or MDI, both as a policy and as a fit and the fiscal impact, particularly as a reduction to our GGRF, which came less than one year after agreeing to the in-expenditure plan under SB 840.

The adoption of the MDI, which was approved by CARB earlier this year, has led to and will continue to make GGRF both unstable and reduced further over the long term. This specifically impacts tier three programs.

This three-party budget agreement this year, created a one-time $450 million dollar solution for programs and makes investments in transit, housing, vegetation management, clean drinking water, and air quality. I do want to thank our house for consistently fighting to make sure these funds are available.

I want to thank specifically on prop four. I want to thank Joanne Roy from Senate Budget Committee, for her hard work on Prop four throughout the Year, and on GGRF, I'd like to thank Eunice Rowe and Alisa Wynn for their work on GGRF and all things energy and transportation.

Thank you, Senator Laird, for your leadership here, and special thanks to our president Pro Tem for making sure that and honoring the request of all 40 senators, making sure that we were included in this budget and recognizing the importance of our respective districts. Thank you.

Thank you. Before we start to move to public testimonies, is there anybody that wasn't recognized onto? Joy and Cabaldon. Anybody else? Then after those two, I'll make some comments and we will go to public comment.

Senator Choi.

I would like to point out that the wildfire mitigation program is very, very important because we see annual occurrence of these wild wildfires, and then I've been trying to introduce my bill to underground high power lines.

But the state, I don't see any specific budget allocated to this effort other than the utility company's effort of with the ten-year program, and even though the prop four has $325 million dollars allocated for public financing of transmission projects, but nothing to do with the undergrounding programs.

And I wonder why we neglect the prevention of potential future fires, which is likely to happen and most likely the wildfire happening takes place because of the downlines of high-power lines.

As you know that right now, we are trying to find where to blame and insurance companies trying to collect their money, liability from suing the utility companies, and then that agreement as of now, has been, as I understand, dropped. So, if you can reply to that, state is not going to take up any plan on this project rather than leaving it up to the utility companies?

Yeah. I'd just reiterate the package was agreement between the administration and the legislature on how to spend, prop 4 dollars and there are, as you noted, hundreds of millions of dollars towards, wildfire prevention, as well as some mitigation.

I think you're asking a more specific policy question about undergrounding and that is not that that and perhaps a colleague could come up in here and provide some detail. But the package generally is dollars that are bucketed towards certain efforts, and I think the question you ask is more about a policy decision in terms of how to spend some of those dollars.

Yeah., we hear the wildfire mitigation word so much, but specifically, if you can mention what is the best effective method of fire mitigation? Is it the fuel mitigation around the houses, that is a home hardening project is one of them.

But I believe the utility high power line undergrounding or shielding in the rugged areas or in the pipelines, would be most effective, and we can do so if we plan over even twenty, thirty years. But we'll get there once we begin but I don't I don't see any effort to that direction. That's the reason.

I think we have someone here that wants to address your question.

Andrew Marsh with the Department of Finance. So, I just note, in proposition four, the 322 ish million dollars is going to the transmission accelerator financing program, and so that was a program that was established last year in SB 254. Then there's a trailer bill in front of you today in ABSB 192, to make some changes to that.

So, that program will be for high-capacity transmission lines through the California independent system operators' program, transition planning process program. So, these are really high-capacity lines to help reduce costs for rate payers. I don't know if some of those may be underground lines. I think typically, they're very large above ground structures.

But to your point about, wildfire resilience and prevention, the state's taken an all of the above approach to help reduce the risk of wildfire and you see that here in proposition four with significant investments and then also with funding from the greenhouse gas reduction fund, but there is no specific funding to underground utility lines.

So that's typically been a process through the public utilities commission and the utilities to help fund that process.

Okay. I'm making a suggestion for the future. Thank you.

Thank you very much. Then Senator Cabaldon.

Thank you, Mister Chair. I first want to agree with all of the comments from my colleagues about the important investments that are included in this budget, big and small, and some of the policy solutions as well.

So, not to dwell on that, but to simply also thank the various parties who have been involved in this, that it's for all the things that aren't in this package, and that there are also, you know, also big and small, and I know folks have had lots of different proposals.

Although this is expansive and there's lots here, the humility of this package relative to some, you know, you know, over time, some budget proposals at the last moment, is appreciated because it's digestible, at least if you don't sleep for several days.

It retains the important nature of the regular legislative process on many key policy issues, and then just lastly to reinforce because we this is a moment of making some additional investments and wrapping up the budget. Just to reinforce, our longer-term challenges remain.

We have the fairly dire unlegislative analyst like, legislative analyst warnings, from in the summer, that we need to continue to be, laser focused on our fiscal management and to assure that the kinds of the prosperity and the government efficiency that allows us to make these investments that we're making today, continues, so thanks.

Thank you, Mister Chair, for all of your leadership on this and the vice Chair as well to assure that we're in a position to do this. I mean, we obviously have some additional work to do, to get our fiscal house as strong as possible in the years to come. Thank you.

Thank you very much, and Senator Ochoa Bogh wanted to close us out with a brief question.

Just a quick question. I'm kind of curious on the $5 million that was added for the office of data innovation for citizen assemblies and digital democracy. We weren't able to get a little more information on it and if you could expand a little bit more so that we could have a better understanding of what that encompasses, that would be helpful.

We have heard this also in budget sub four. So, I think the center, we might be able to help as well.

I'm on sub one, so I missed that.

Good morning, members. Danielle Brandon with the Department of Finance. This $5 million is for the engaged California and other activities to make California government operations more efficient. Engaged California is a digital, platform that empowers California to participate in government discussions, influence policy, and collaborate on solutions beyond election cycles.

The first conversations began in early 2025, and this funding helps engage California continue these efforts along with the digital democracy.

I have to explain just a little bit more. So how is that different than, we as legislators through our, what do we call it? The constituent management services platform that we have, in which constituents are able to email us and give feedback on legislation and be part of the process and follow the legislation throughout.

How is that current system that we currently have, which is digital and online platform that allows the constituents to be able to communicate with us, different than this particular one?

Hi. I would just say that the Office of Digital Innovation that was part of the agency, the government operations agency, is a created a statewide platform.

It's something that, as part of the last probably couple of years, we've been attempting to get more Californians, well first aware of and being participants in, so that they can weigh in on and in particular, it started with state workers, actually.

So, we did try to survey to get a better understanding of the state workforce and what their needs were in terms of running government and then expanding that to the public.

So, I think perhaps the difference is, this is a statewide platform, a statewide effort, and to get more engagement from communities in the public process, both for program implementation but also for the legislative process.

So, is this gathering information? So, surveys going out to the constituents across California and giving that information back to this office, and then who decides on legislation? Who's running? Who has access to this information?

I'm not sure if there's that much detail, at this point. I think it's a perspective, rather than anything that's happened, and so, we can get more detail in terms of how that is going to be rolled out, but I don't believe this has happened as of yet.

I'm just kind of curious as to who's going to have access to this information, this tool, on the government side. So, is it the governor, assuming it's going to be deciding the information that's going out, and then, of course, all the feedback that is coming back, because I'm assuming that's going to translate eventually to legislation perhaps or?

Okay, thank you.

Perhaps, we'll have to get you more information as that rolls out.

Mister Chair, can I help out just briefly? Because we passed legislation on this yesterday off the Senate floor as well. The Assembly member Irwins bill and we've had pretty extensive conversations and hearings on this, in sub four as well.

The engaged California platform has been deployed so far, I think, in three areas. One is with state workers and others with wildfire area survivors in LA.

Then, I think, the third most recently is a deliberative democracy project that's centered in Oakland, and it's intended to apply different forms of civic engagement that are not just government announces what issue we're taking up, and now you're welcome to send your feedback.

But instead, for example, with wildfire, survivors and victims, bringing them together with each other, and sharing with them research or contrary positions and having folks, explore like we do. So, the issues and then talk about it and that so that their feedback is collective and it's deliberative and it's rooted in the research. That's one example.

So, trying to come up with forms of civic engagement that are more than just one way, where we announce this is the question, what do people think? But instead doing, allow people to engage with one another and to be more thoughtful about their feedback as well.

So, they neither, I don't think any of those three projects have led to legislation per se. Some have improved the state worker relationship to in terms of the design at the site level.

The LA project has led to some policy execution lessons for the state departments. But I think the hope is that it will also ultimately lead to potential feedback and deliberation that would be useful to the legislature as well.

Thank you. Please. Yeah. Do you have a comment? Because I'm going to try to shut this discussion.

I can ask. I can follow-up afterwards. I was just wondering if a similar release bill on telework, was part of the discussion when you extended it to feedback from Steve Wertens.

Yeah. Senator Cabaldon says he doesn't think so, but the one thing is, if you have any additional information, if you'd forward it to the committee, we'll get it to every member so that we can handle it.

Thank you for for your brief question. Then in a minute and a minute, we're going to move to public comment but I wanna just make a closing comment here.

And I wanna stand back because we have been going into the granular detail of these budget trailer bills. But if you look at the impact of the trailer bills together with the budget that we adopted in June. It basically balances the budget for this year and next year. It gets to a $35,000,000,000 reserve. It cuts the structural deficit through a balanced approach of cuts and revenues.

And that is very significant. And at the same time, we did our best to mitigate the federal cuts and mitigate the things that have happened to us. So I think that is very significant. And and when you look at the greenhouse gas fund and the budget the Senate proposed, in both cases, I think us sticking together as a group with a proposal drew the discussion to us. And that is very significant.

And it couldn't have been done without and I don't have the count in front of me. Last it was 56 subcommittee hearings. I know there were more and and hearings of this and and work around the clock. So I just really appreciate everybody that brought us to this point. I know we'll be thanking them.

I was gonna ask for a show of hands of who want to talk but you've pretty much voted with your feet. Is there anybody that wants to talk that's not standing in line? Okay. That means there's 20 people in the hallway that are gonna run-in and act like they never were part of this hearing before. So we're trying to end public comment about 10:30, which is 32 minutes from now.

Not at 10:30. No 10:30. So we can be on the floor at eleven. If we ended at 11:30, we'll be a mess on the floor. So looking at the number of people, if you could do your best and you're gonna hate this to try to stick to about thirty seconds, we will and it's very important to identify your name, your organization, and the top level thing that you want us to know about the budget.

And, if you go on too long, I will intervene. So welcome, to the committee.

Good morning, Mister Chair, Mister Vice Chair, Members. Amy Costa with Full Moon Strategies on behalf of the Trust for Public Land and strong support and appreciation for the appropriations for Golden Gate Fields. Thank you.

Thank you very much.

Thank you, Mister Chair, Members and staff. Mitch Steiger with CFT, a union of educators and classified professionals. Just wanted to express our disappointment that AB 196 wasn't included in the hearing today. Long story short, this bill would have taken $200,000,000 that the legislature earmarked for air quality and temperature control improvements in t k 12 schools, and it'll give it to utilities. This is not an exaggeration.

This decision will cause asthma. It will cause heat illness and it will cause cancer in school children. And what will we get for that? We'll give it to utilities that made billions of dollars in profits last year. It's It's not too late to revisit this decision.

We'd urge the legislature to do so and send that money back to where it was originally intended. Thank you.

Thank you very much. And in case anybody didn't hear the announcement at the beginning, while that was agendized, we're not voting on it because there was not a three party agreement on it. Obviously, the Senate felt favorable to that. Welcome to the committee.

Mister Chair and Senators, Ben Ebbing on behalf of California Wool Growers Association in strong support of the goat herder language. Senator Blakespear, adequately summarized that so I won't go on. Very important for fire mitigation, obviously. And also wanna express our sincere appreciation of Senator Hurtado for her leadership on this issue. Thank you.

Thank you very much.

Good morning, Mister Chair and Members. Missy Johnson on behalf of the Directors Guild of America and the Entertainment Union Coalition. On behalf of our 170,000 members working in the entertainment industry, we appreciate the work that was done on AB 186 to make sure that the production tax credit program remains competitive with other states and other jurisdictions around the world. Thank you.

Thank you very much. Welcome.

Mister Chair and Senators, Michael Pimentel with the California Transit Association. Just wanna show my thanks and appreciation for the progress that was made on the tier three programs. As you know, not every program under tier three was funded. But for public transit, did wanna show the thanks for the $230,000,000 for SB 125. They carry over for the interest earned for, the SB 840 programs in the years ahead.

And we just wanna uplift the importance of TIRCP, LC TOP, and AHSC being fully funded in years ahead. We look forward to working with you on solutions. Thank you.

Yes. But the only way you got under thirty seconds was to use an endless number of acronyms. Welcome.

Brian Chow with the California Climate and Agriculture Network. First on ABSB 187. Thank you, Senator Hurtado and Blakespear for protecting the livelihoods of goat herders and the health and safety of firefighters and communities on the front lines of wildfires. Second on AB SB 113, thank you for funding the sustainable AG lands conservation program And especially the Chair and Senator Reyes for vigorously trying to defend the promise of cap and invest. Thank you.

Thank you very much. Welcome. Okay.

Christine Smith, Health Access California. We appreciate the legislature allocating funding to allow undocumented people unrestricted scope medical who need dialysis to get this much needed care. And we appreciate utilizing the utilizing HCARF for this important purpose. We look forward to working with the legislature to end the medical freeze for undocumented peoples that all Californians can get the care they need. Thank you.

Thank you very much. Welcome.

Good morning, Chair, Members. My name is Sally King with UDW ask me local 3930. On behalf of CCPU, we wanna thank the legislature and administration for addressing our concerns on AB 150, particularly the removal of the reporting requirements for provider absences. We also appreciate the decision to rely on regular communication between providers and the parents regarding attendance and staffing coverage. And we're pleased with the extension to meet the new training and education requirements.

Thank you.

Thank you very much. Welcome.

Thank you. Mister Chair, Members, Brendan Tuig on behalf of the California Air Pollution Control Officers Association. We appreciate the 10,000,000 in funding for agricultural diesel engine replacements. And, that's through the farmer program. That's gonna the need is significant.

But that investment, will make a difference for public health, and we appreciate all the efforts by senators on this issue. Thank you very much.

Thank you very much.

Sara Flock, California Federation of Labor Unions. Very very strong support for the funding for PERB private sector mediation to avoid labor disputes and strikes. Support for, future fix to the VLF, revenue shortfall for the counties, San Mateo and others. We look forward to working on that. And I just have to say, we do and have opposed any carve outs from labor standards like minimum wage and overtime for any group of workers, including goat and sheep herders, EMTs, nurses, firefighters, police.

They all work twenty four hour shifts doing critical work and we pay them. So we have to find a fix to this and we look forward to working with the legislature on it.

Thank you very much.

Welcome. Good morning, Mister Chair. Jonathan Clay. I'll speak on two issues. On behalf of the city of Encinitas, we oppose language that was inserted into AB 114 that retroactively applies new conditions to an appropriation from 2023.

We feel that's illegal, so we oppose that. And then on the for the alliance for trans youth and for trans family support services, we appreciate the help for trans youth that was included for Medi Cal. Thank you.

Thank you very much. Welcome.

Good morning, Mister Chair and committee Members. I'm Scott Cox on behalf of the East Bay Regional Parks District commenting on AB 113. We'd like to express our strong support appreciation for funds supporting Golden Gate Fields, a critical climate resilience project to offer enriched access to nature for all Californians. And particular appreciation for Senator McNerney and his legislative colleagues for additional funding to complete pond restoration, projects that are vital for livestock grazing and regional wildfire prevention. Thank you.

Thank you very much. Welcome.

Thank good morning, Chair, Members. Monica Madrid with the Coalition for Human Immigrant Rights, Chirla. We thank the committee for not including the proposed autonomous agricultural equipment language in the budget trailer bill. And then, however, we are disappointed in that the budget did not include funding to expand CFAB to humanitarian immigrant populations losing federal funding assistance eligibility under HR 1. Thank you.

Thank you very much. Welcome.

Chair and Members, Reid Addis on behalf of Calvans. Thank you very much for your work to get the prop four funding and for the very important farm worker, Van Pool program. Appreciate Senator Reyes' committee in particular for doing that. Thank you.

Thank you very much. Welcome.

Good morning. Criselda Chavez on behalf of the California Association Local Conservation Corps in support of the funds allocated through the beverage container recycling fund and ABSB 1 seventy eight. These funds will ensure local core members can continue protecting and restoring California's environment while receiving training and experiences that prepare them for future careers.

And we'd like to thank Senator Reyes, for her leadership and support in subcommittee two, as well as Senator DeRosa and the office for being lifetime lifetime friends of the course and for being such sought advocates. Thank you.

Thank you very much. Welcome.

Jake Schultz on behalf of the Conservation Fund and strong appreciation for the $4,600,000 allocated to DOC to improve land access for socially disadvantaged farmers. In addition, on behalf of the land trust of Santa Cruz County and the conservation fund, we'd like to thank the legislature for the $50,000,000 allocated towards the sustainable agricultural lands conservation program. And a special thank you to Senator Laird as well.

Thank you very much. Welcome.

Good morning. I'm Ajaan Worth on behalf of the California State Association of Counties. First, I wanna thank the legislature for not advancing proposals that would have limited public entity recovery for utility caused wildfires. Thank you for rejecting the governor's proposed sustainable aviation fuel trailer bill. Appreciate the GGRF expenditure plan and funding for local priorities and programs.

And on behalf of Cal Cities as well, we wanna thank you for restoring the wage parity for goat herders until 2029. Thank you.

Thank you very much. Welcome.

Jeff Neil For Contra Costa and San Diego County, thank you for funding 988 and saving lives for, Contra Costa and Lake Counties. Thanks for the goat fix. Central Valley Salinity Coalition really appreciate to work finding, funding for the safer drinking water program. We do need to find a long term fix for that as well, but we appreciate the one the one year fix. And lastly, for the Orange County Fire Authority, thank you for providing the funding to help combat wildfires in that county.

Thank you very much. Welcome.

Yesenia Robancha with End Child Poverty California and the Dina Rise Up Coalition. Over 100 plus Eaton Fire survivors came together and organized in support of the care fund. And we celebrate its historic inclusion and thank the governor, legislatures, Pro Tem Limon, and Senator Perez for standing with Eaton Fire survivors to ensure they, they protect the generational legacy of Altadena.

Lastly, while in California, we are making real progress on HR 1 CalFresh administrative response, we are disappointed that this budget does not immediately expand food assistance to immigrants excluded by HR 1 xenophobic policy. And while we did not see the progress we hope for for CalFresh households with children 14 to 17 losing their dependency status, we are celebrating the new hunger free holiday school meal meal program because every child, deserves a right to every meal every season.

Thank you very much. Welcome.

Thank you.

Good morning. Michelle Gibbons with Cheok. Here to express our disappointment that the budget doesn't include a solution for indigent care programs, but not only that, it doesn't adopt any of the technical corrections to AB 85. So what this means in real terms is that some counties without any infrastructure are being asked to stand up that infrastructure without any new resources, but also diverting the maximum amount of resources of 1991 realignment away from them. So they have less to stand up more.

And so we hope that next year we can continue this dialogue and find a solution that helps counties be able to administer the program and or maintain coverage in medical. Thank you.

Thank you very much. Welcome.

Good morning, Kyle Jones. First, on behalf of the Community Alliance with Family Farmers, just wanna thank the committee staff leadership administration on the farm access trailer bill and getting that funding going. That's been a priority of CAF. I also wanna thank our champion, Assembly Member Wilson, for helping getting that across the finish line. And then for the San Joaquin Valley Water Collaborative Action Program, we're pleased to see one time funding this year for safer program and recognize the need to figure out a long going fix there.

Thank you, Senator Reyes, for working on that. Also just wanna flag the need for further water investments from Prop four in the San Joaquin Valley, including groundwater recharge. We look forward to those conversations next year. Thank you.

Thank you. Last few witnesses are slipping a little. So if you can try to keep it to thirty seconds or less so all these people in line can be able to speak.

We'll do my best. Thank you, Mister Chair. Mark Fenstermaker on behalf of the California Council Land Trust, Santa Clara Valley Open Space Authority, expressing our support for the sustainable agricultural land conservation program. And much gratitude to you, Mister Chair, for your leadership on that program for so many years. On behalf of the California Association of Resource Conservation Districts, Save the Goats.

Thank you for, saving the goats. And lastly, on behalf of Earthjustice, wanna thank the Senate for rejecting the sustainable aviation fuel tax credit proposal.

Thank you very much. Welcome.

Good morning. Silvia Solis Shaw here on behalf of the San Joaquin Valley Air Pollution Control District. Appreciate the funding and the budget for air quality improvement programs. And a big thank you to the Senate for its work on making sure that farm the $10,000,000 for in farmer funding was included. Thank you.

Thank you very much. Welcome.

Good morning, Mister Chair and Members. Karen Ling on behalf of the boards of supervisors and Stanislaus, Mendocino, Marin, Humboldt, San Francisco, and Kern in support for various items that were included. Big thank you to Senator Cabaldon for the farmworker housing funding for Napa, Senator Niello for the support on the goat herder thing for Placer County because they definitely need it, and thank you, Senator McNerney, for the delta money. Thank you.

Thank you very much. Welcome.

Good morning. Lizzie Cootsona here on behalf of the San Mateo City County Association governments. Just wanna thank you for the continued focus on the VLF shortfall issue and the signaled intent to work on longer term solutions. Also, on the behalf of Office of Cat Taylor and Tomcat Ranch, wanna express our gratitude for the $50,000,000 for Salk. Thanks.

Thank you very much. Welcome.

Good morning. Brandon Garcia with Advanced Energy United here to express support for the $10,000,000 in geothermal funding for exploratory wells and AB slash SB 113. Also wanna thank the Senate in particular for the rejection of the administration's trailer bill to transfer the participants of DSGS over to ELRP. Thank you much for that. And and special thanks and consideration to SEP two Chair, Senator Reyes, for her hard work there.

Do wanna, obviously, then express disappointment for the lack of DSGS funding for next year? We think this is a critical reliability program that should be included. And also wanna echo the CFT comments about passing AB 196. Thank you.

Thank you very much. Welcome.

Thank you. Welcome.

Good morning. Ryan Souza on behalf of California Food Banks and End Child Poverty California, we just wanna say thank you and we're grateful for the additional Cal Food Funding and the $15,000,000 pilot hunger free holiday school meal program. Thank you so much.

Good morning. Josh Gaugher on behalf of the Urban Counties of California, the California Association of Public Hospitals and Health Systems, and the boards of supervisors of the counties of Ventura, Santa Barbara, and Santa Cruz. We wanna just continue to express appreciation for the HR 1 mitigation efforts that were included in the budget and express continued disappointment that there's nothing in the budget to address the indigent care issue. And even modest, technical changes would be helpful.

But we look forward to partnering with the legislature next year on that issue. Thanks.

Thank you very much. Welcome.

Thank you, Mister Chairman, Members of the committee. Cliff Berg here on behalf of Farceline and Mount Sinai Cemeteries, a large coalition of community organizations including the Armenian, Jewish, Catholic communities of Los Angeles, homeowners associations, and business associations, all in support of AB 194, which contains some language that would ensure that there is a public and transparent process, before the road in front of those cemeteries impacting hundreds of thousands of families in Southern California and our state is narrowed without any public approval.

I urge your support. Thank you. Oh and on behalf of the California Optometric Association expressing disappointment that we have failed to address medical rates for optometrists who have not had an increase in patients.

Thank you very much. Welcome.

Good morning. Mariela Rocha with Leadership Council for Justice and Accountability.

You can pull the microphone down to you.

Mariela Rocha with Leadership Council for Justice and Accountability on GGRF. While we are disappointed that the budget bill does not include guardrails for the MDI and more funding for air quality, drinking water, housing, and transit, we know that the Senate fought hard to secure more funding for, what otherwise would have been, less money for EJ priorities such as SAFER and AB 617. We thank the Pro Tem, Senator Laird, Senator Reyes, and committee Members for fighting hard for tier three GDRF funding. Thank you.

Thank you very much. Welcome. Good morning. Leo Now you can pull the mic back up. Yeah.

Good morning. Leo Dale on behalf of the Climate Center. In support of additional funds for geothermal exploration, I'm grateful for the work on AB 196. We also support returning interest earned from GGRF to GGRF, and although the programs are not being fully funded, we are appreciate the the effort to fund these programs as much as possible, and we're also disappointed that, improving the manufacturing decomposition incentive was not included. Thank you, Senator Reyes, for your comments, and thank you.

Thank you very much. Yes. Yes. Welcome.

Morning. Ryan McCarthy on behalf of North County Transit District. Pleased that the budget protects some SB 1250 emission transit capital program and LC top funding for this fiscal year. Also aligned with comments from the transit association regarding fully funding these funding sources and TIRCP and future budgets. And on behalf of the cities of Chino Hills and Upland, grateful for funding for critical public projects.

Thank you.

Thank you very much. Welcome.

Hi there. McKinley Thompson Morley here on two things. First, on behalf of the Solar Energy Industries Association and Energy Hub, echoing the comments of Brandon Garcia at AU on CalShape and DSGS. Also here on behalf of the Santa Clara Valley Transportation Authority, and Turret County Transportation Commission and San Bernardino County Transportation Authority in their in our transit partner, Omnitrans. Wanted to thank you for the 230,000,000 in ABSB 113 for the SB 113.

If you could just speak up slightly even though you're almost out of time.

Sorry. Yeah. Thank you for the 230,000,000 in ABSB 1 thirteen and for the SB 125 commitments. Look forward to working together next year to continue supporting transportation.

Thank you very much. Thanks. Welcome.

Good morning. Lillian Mirviss with Environmental Defense Fund, here in support of extending the CalShape program. And I wanna echo my colleagues who spoke to ensuring the language in AB 196 is heard, since AB 193 does not go far enough. AB 196 ensures program funds are available are available for projects beyond what's currently in the pipeline. And, ensuring the interest from that program extension goes towards the demand side grid support program, which is extremely important for grid reliability.

Thank you to Senator Reyes and Pro Tem Limon for their leadership. Thank you very much. We also wanna express appreciation for the program, MLRP,

and thank you very much. You're talking and all their time. Welcome.

Good morning, Chair, Members. Trent Murphy with the California Association of Alcohol and Drug Program Executives. Wanna thank the legislature for their support for the Nalox1 distribution project as well as the treatment Atlas program. And finally, the allocation for $20,000,000 to go to the ninety day call centers, all of which address the number 1 cause of years of life loss in the state of California, which is drug overdose. Thank you.

Thank you very much

Dennis Albiani with California Advocates on behalf of the California Grain and Feed, Seed and several agricultural entities. We appreciate the 10,000,000 for farmer program. But as it's been heard that out years we'd like to get that heavier funded. The concern we have is with on behalf of American Beverage and the PRCC, the PET Recycling Council, $60,000,000 taken from the unredeemed bottle bill account.

That is often been a loan opportunity, but this looks like a grant. We need oversight on that so we don't put pressure on out here. Thank you.

Thank you very much. Welcome.

Hi. I'm appearing on behalf of doctor Leah Stokes, a professor at UC Santa Barbara. I wanna echo the comment.

Could, could you tell us who you are?

Oh, I'm Meredith Alexander. Sorry. And I'm reading her statement. Thank you. Echoing the comments of others regarding the Senate not taking up AB 196 to fund the CalShape program and also express gratitude for Senator Reyes and the Pro Tem for their leadership.

And just wanting to highlight that in the in the last week, half a million students were sent home because of extreme heat and the lack of air conditioning. So we still need that 200,000,000 in the Cal shape program. Thanks for doing anything you can.

Thank you very much. Welcome.

Good morning, Mister Chair and Members. Adam Hatafi, on behalf of Generac Power Systems and Ecobee Smart Thermostats, I would like to thank Senator Reyes for her leadership and support of the demand side grid support program as well as the Pro Tem. We are, of course, disappointed that the funding for this program was not included in this year's package and I will echo my colleague's comment from Advanced Energy United on that.

And then secondly, on behalf of the California Coalition of Large Energy Users, echo the comments encouraging the Senate to take up AB 196. Thank you.

Thank you very much. Welcome.

Morning, Chair, Members. George Kavinta on behalf of the Almond Alliance. We support the inclusion of farmer and safer safer funding in the budget.

Thank you. Thank you very much. Welcome.

Good morning. Chloe Eames with NextGen California. First, I wanna thank the committee for all your work on the greenhouse gas reduction funds, returning interest dollars, and funding some tier three programs. We would like to see full funding for tier three. We'd also like to state significant disappointment for not curtailing the manufacturing decarbonization incentive and look forward to working on that next year.

And finally, wanna echo comments from Brandon Brandon Garcia on funding the demand side grid support program. Thank you.

Thank you very much. Welcome.

Good morning, Chair and Members. Jessica Hay with AFSCME California. On behalf of our members who work for the county of San Mateo, we support the language in AB 184 that directs the state to negotiate a solution to the VLF funding crisis to help protect union jobs and fund key community services. We also appreciate the 1,000,000 funding to PERB to provide adequate staff remediation, in a b and SB 113.

We also appreciate the language consideration related to childcare provider attendance and staffing coverage.

Thank you.

Thank you very much. Welcome. Thank you.

Good morning. Shane Levine on behalf of the Partnership for Innovative Action. I just wanna thank the administration and the legislature for supporting the $4,700,000 investment in the California initiative to advance precision medicine for veteran psychedelic research in AB 113. Thank you.

Thank you very much. Welcome.

Thank you. Good morning. My name is Carmen-Nicole Cox. My client, Kanyan Wellness Center, serves 1,200 California families impacted by the lifelong painful disease of sickle cell. The Federal Government has retreated from funding black life in America, including funding for this medically vulnerable population Because California also chose not to continue funding for coordinated care, more than 200 families will lose access to free mental health care, free transportation to hospitals, specialty care and lifesaving blood transfusions.

Kanyan has spent years building a safety net for a community that has historically gone without one. We are eager for meaningful conversations to keep the safety net from disappearing entirely.

Thank you very much. Welcome.

Good morning. Committee Chair, Members, Yarelie Magallon on behalf of the Creative Artists Agency. Appreciate the work on AB SB 186 and thankful for Senator Allen, Assembly Member Zbur for their leadership on this issue.

Thank you very much.

Welcome. Good morning. Rebecca Marcus on behalf of the California Certified Organic Farmers. First, a huge thank you to the legislature and specifically to Chair Laird for the investment in the SALC program. Additionally, we are in support of the prop four investments in healthy soils, the land access language in SB 178, and the goat herder provision for all the reasons laid out by Senator Blakespear.

On behalf of the Union and Concerned Scientists, huge appreciation for not including the SAF tax credit. Thank you.

Thank you very much. Welcome.

Good morning, Chair and Members. Trevor Nelson with the California Alliance of Child and Family Services in strong support of ABSB 173, which includes 5,000,000 to implement a California press three option for LGBTQ plus youth suicide prevention through the ninety day suicide crisis lifeline. Given the federal uncertainty surrounding restoration of a reliable LGBTQ plus lifeline, California must have the ability to ensure this specialized support remains available.

This funding will help restore a lifeline that tens of thousands of Californians have relied on in moments of crisis. Thank you.

Thank you. Welcome.

Good morning, Chair and Members. Tiffany Mok on behalf of CFT, a Union of Educators and Classified Professionals. We're here to express our disappointment that this final budget does not include funding for part time faculty office hours. However, we wanted to thank the Senate for their steadfast, support of this proposition at times and for all the work that the staff in all areas have done. Thank you.

Thank you very much. Welcome.

Good morning. Linda Nguy with Western Center on Law and Poverty. Wanna echo grace in child poverty's gratitude for the work to fight hunger, including creation of a hungry free holiday school meals, but deeply disappointed that nothing was done to expand CFAP and families will lose access due to time limits. We also appreciate continued access for immigrants to access outpatient dialysis and emergency Medi Cal, Medi Cal cleanup language, as well as support for gender affirming care for children and youth. Thank you.

Thank you very much.

Welcome. Good morning. Chelsea Gazzillo on behalf of American Farmland Trust. We thank the legislature and especially Senator Laird for the 50,000,000 for the sustainable ag land conservation program. We are also supportive of the prop four appropriations for the healthy soils program and the farmland access program, as well as the trailer bill language that creates the farmland access program.

So thank you.

Thank you very much. Welcome.

Good morning, Chair and Members. Beth Malinowski of SEO California. The budget that as a whole aims to delay coverage losses and maintain quality care, we are deeply disappointed that we were not able to maintain WQIB for our clinics facilities for one year. This is a missed opportunity both for our workforce, for those who receive care exclusive facilities, and we did regrettably also leave federal dollars on the table. Wanna also align with the remarks made by CHEAC and our counties regarding indigent care.

We look forward to working with all of you in 2027 to address indigent care, to also address other matters that, are before us as we continue to address HR 1 implications to our state. Thank you.

Thank you very much. Welcome.

Good morning, Mister Chair and Members. Greg Hayes here on behalf of the Motion Picture Association of America and the Warner Brothers Discovery in support of AB 186. Thank you for the governor's and legislature's work improving the production tax credit program to preserve the jobs and also grow them for the future. Thank you.

Thank you very much. Welcome.

Good morning, Chair, Members. Alicia Prieto here on behalf of Paramount Skydance in support of AB 186. And thank you for your work on this fix.

Thank you.

Morning, Chair and Members. Catherine Charles on behalf of the Bay Area Council. Just wanna express appreciation for the 230,000,000 GGRF allocation to transportation as well as 6,750,000 to, the Bay Area Housing Finance Authority. And thank you to the members who made that possible. Thanks.

Thank you. And just before you speak, we're going to to start voting in six or seven minutes. And would the one Member that is not here please come so that we don't have to put the bills on call. Welcome.

Good morning, Mister Chair and Members. Steven Stenzler here on behalf of Big Brothers Big Sisters of California. Wanna thank the Senate and the legislature for their investment in youth mental health and AB 113 and specifically the investments in the Orange County, San Diego. Thank you, Senator Blake Spear and Los Angeles. We look forward to working with the legislation next year to expand these investments to other parts of the state.

Thank you.

Thank you very much. Welcome.

Good morning. Staci Heaton with the Rural County Representatives of California representing 40 rural counties statewide. We would first like to thank you for saving the goats. That's very important to our communities. We'd also like to offer strong support for the investment in the wolf livestock coexistence programs, also very important to our communities.

And thank you for your work to get the tax exemptions for wildfire mitigation funding for, individual homeowners. Most of those programs are aimed at lower income residents, and to turn around and tax them on those funds seems unfair and unwise. So, appreciate your support today.

Thank you very much. Welcome.

Good morning. Bryan Little, California Farm Bureau, here to thank you for the provisions in ABSB 187 to restore wage parity for sheep and goats and for goat racing services. Thank you to Senator Blake Spear for her excellent explanation for why it matters and Senator Hurtado for her leadership in making this happen. Thanks.

Thank you very much. Welcome.

Good morning. Good morning. Ronald Coleman Baeza here on behalf of the Coalition for Humane Immigrant Rights. Chirla, we very much are grateful and thankful for the addition of the Care Fund, $15,000,000 that will go to help residents of Altadena to restore them after the Eaton Fire. We also very much appreciate the additional $2,000,000 to expand legal services into the San Fernando Valley.

That has emerged as a hot spot for enforcement, and now this investment will help more lawyers help folks who may be facing deportation. Lastly, we very much in are grateful for the inclusion and the changes in law that will allow for individuals on restricted scope of Medi Cal to also have dialysis. Thank you very much.

Thank you very much.

Welcome. Honorable Chair and Members, Niccolo DeLuca, here we go. Thank you for VLF. Thank you for Golden Gate Fields. On behalf of the goat herders, thank you from Oakland, Hercules, San Gabriel, Sunnyvale, Mission Viejo, South Pasadena, and Laguna Beach.

And then finally, on local public funding opportunities, thank you from Oakland, Berkeley, San Leandro, Union City, Pacific, Sunnyvale, Reedley, Kingsburg, and Samuel Merritt University.

Thank you very much.

Well Morning, Chair, Members. Tiffany Phan, on behalf of two entities. First, on behalf of Sony Pictures Entertainment, in support of AB 186. Thank you for the legislature and and we should just work on that. Also, on behalf of a large coalition of water and water districts and water users, we're disappointed there isn't funding for the state snow the state's snow survey and measurement program, especially with the potentially historic El Nino before us.

Thank you.

Thank you very much.

Thank you, Mister Chairman. Members, Dan Jacobson with Environment California. Wanna echo the comments about CalShape, which was started to help us deal with the COVID crisis, but now we have the extreme heat crisis. And so we need to make sure that we're extending CalShape and doing everything we can. Thank you to the Members of the Senate who really helped us to do that.

We hope we can tackle that this year. Thank you.

Thank you very much. Welcome.

Good morning. I'm Marina Espinosa with the California Housing Consortium. We would like to urge the legislature to work on a permanent solution that addresses the GGRF funding shortfall. We appreciate the augmentation then that some tier three programs, received in the budget package. The affordable housing and sustainable communities program also needs additional resources and, we encourage you to consider that in any future efforts to, backfill GGRF.

Thank you.

Thank you very much. Welcome.

Good morning, Chair and Senators. Edgar Guerra with SEIU California. On the topic of childcare, grateful for the funding for FFN's licensed pet providers who were impacted by the twenty twenty five Los Angeles fires. We also look forward to working with the administration and the legislature to move rate reform forward using the alternative methodology towards a single rate structure.

On the topic of education, we appreciate the recognition of classified food service workers and the funding for intercession meals to help prevent child hunger, especially as families face loss.

Thanks. Snap. Thank you very much. Appreciate it. Welcome.

Good morning, Mister Chair and members.

Raymond Contreras with Lighthouse Public Affairs on behalf of Habitat for Humanity California, Los Angeles County Affordable Housing Solutions Agency, and San Diego Housing Commission. We would like to thank the legislature for the funding of the regional housing financing agencies in Los Angeles, San Diego, and the Bay Area. A special shout thank you to our champions, Senator Durazo, Weber, and Arreguín. This will help protect, build, preserve affordable housing across the state. Thank you.

Thank you very much. Welcome.

Good morning. Anayely Martin with the California Immigrant Policy Center. We share disappointment this bill package does not restore benefits to humanitarian immigrants kicked off of CalFresh due to HR 1. And we also share disappointment disappointment to see that the funding for the California immigrant resilience fund was removed. This funding is essential in building out legal services capacity in our Central Valley, Inland Empire, and Pearl Valley, and other underserved areas in our state.

And finally, I wanna echo the comments of my colleagues, regarding Med Cal. Thank you.

Thank you very much. Welcome.

Josh Wright with the Quality California. Thank you for the swift action taken to ensure trans youth on Medi Cal do not lose access to life saving care. We look forward to continuing to work with you on a permanent Medi Cal billing pathway. We are also grateful for the funding to ensure that LGBTQ plus youth in crisis can be connected with trained counselors through 988. Thanks.

Thank you very much. Welcome.

Good morning, Mister Chair and Members. Alejandro Solis for California Advocacy. We would like to thank the committee for the investments for Mount Saint Mary's University, City Of Alhambra, City Of Rialto, and for the Marine Mammal Care Center of Los Angeles. Thank you to Senator Reyes and Senator Perez. Thank you, Senator Richardson and Senator Allen for your leadership and for recognizing the importance of investing in the Marine Mammal Care Center Los Angeles.

On behalf of the Marine Mammal Care Center and the communities it serves, we're deeply deeply grateful for Senator Richardson's commitment. This investment will provide lasting benefits for public safety and marine wildlife.

Thank you very much. And somehow we lost Senator Perez. If she could come back, we're gonna vote after three speakers and we don't wanna put things on call.

Thank you.

I'll buy you time. Chair, Espa Nunez on behalf with ACTM, on behalf of Parents Anonymous, Incredibly grateful for the investment that will save the parent and youth helpline. And also here on behalf of the 988 consortium, we're grateful for the 20,000,000 to help the call centers in support of AB 113. Thank you so much.

Thank you very much. Welcome.

Alexis Rodriguez with the California Chamber of Commerce is here to express our support for AB 186 related to the film tax credit. Thank you.

Thank you very much. Welcome. Last but not least.

Last but not least. I'll be brief. Thank you on behalf of the city of Los Angeles for the major events funding, and also for the Port Of Los Angeles, the port freight investment program, additional time

to draw down those funds. Also, for LA Metro, we appreciate the major events funding, for the city of Los Angeles. There's also other community level investments that we're very appreciative for. Lastly, for LA DLT on the transit funding, the ink's barely dry on SB 840. It took a lot to cobble together funding and we're grateful for the effort.

Thank you.

Thank you very much. That completes the, public testimony and I just wanna thank everybody for being so succinct and and working with us. We got a lot of of testimony in that period. We're gonna move to votes and we're going to go in the order that we have in the agenda. So we're gonna begin with Assembly Bill 113.

Is there a motion?

Move the bill.

Motion by Richardson. Any further discussion? Please call the roll.

AB 113, the motion is due passed. [Roll Call]

Okay. We have 12 Ayes, 3 Noes, 2 non voting.

We're missing one member. She's here. Okay.

Would you please call the absent member on Assembly bill 113?

Perez. Aye. Perez, aye.

And that's ayes 13, Noes three. That bill is out. We're gonna move to Assembly bill 114. Is there a motion? Motion by, Menjivar.

Any further discussion? Let's move to a vote. Please call the roll on Assembly bill 114.

AB one fourteen motion is do passed. Senator Laird?

Aye.

Laird, aye. Nilo? No. Nilo, no. Archuleta?

Aye. Archuleta? Aye. Archuleta? Aye.

Coy? No. Choi, no. Durazo? Aye.

Dorazo, aye. Grove? No. Groove, no. Hurtado?

Hurtado, aye. McNerney? Aye. McNerney, aye. Menjubar?

Aye. Menjubar? Aye. Menjubar, aye. Ochoa Bogue?

Natalie. Perez? Aye. Perez, aye. Reyes?

Aye. Reyes, aye. Richardson?

Aye.

Richardson, aye. Zarco? No. Zarco, no. Smallwood Cuevas?

Aye. Smallwood Cuevas? Aye. Weber Pearson? Aye.

Weber Pearson, aye.

That's ayes 13, Noes four. That bill is out. We'll move to Assembly bill 133 on education. Motion by Archuleta. Further discussion?

Seeing none, please call the roll on Assembly Bill 133.

AB 133 motion is to pass. Senator Desliere?

There, aye. Nilo? No. Nilo, no. Archuleta?

Aye.

Aye. Archuleta, aye. Blake Spear? Aye. Plaxbeer, aye.

Cabaldin? Aye. Cabaldin, aye. Choi? No.

Choi, no. D'Oroso? Aye. D'Oroso, aye. Grove?

No. Grove, no. Hurtado? Aye. Hartado, aye.

McNerne? McNerne, aye. Menjubar? Aye. Menjubar?

Aye. Menjubar? Aye. Perez, aye. Reyes?

Aye. Reyes, aye. Richardson? Aye. Richardson, aye.

Cierto? No. Cierto, no. Smallwood Cuevas? Aye.

Smallwood Cuevas? Aye. Weber Pearson, aye.

Aye. 13. Noes, five. That bill is out. We're gonna move to Assembly bill 167 on higher education.

Is there a motion? Move it. Motion by Archuleta. Further discussion? Seeing none, please call the roll on Assembly bill 167.

AB 167. The motion is do passed. Senators Laird.

Aye.

Laird, aye. Nilo.

Not voting.

Archuleta.

Archuleta, aye. Blake Spear?

Aye.

Aye.

Blake Spear, aye. Cabaldon?

Aye.

Cabaldon, aye. Choi? No. Doroso? Sorry. Grove? Aye. Hurtado. Aye. Mcnearney. Aye. Cierto

Smallwood Cuevas? Aye. Smallwood Cuevas? Aye. Weber Pearson?

Aye. Aye is 15. No. Zero. That bill is out.

We are going to move to Assembly bill 173 on health. Is there a motion? Move it. I'm sorry. Motion by Cabaldon.

Further discussion, please call the roll on Assembly bill 173.

AB 173. The motion is do pass, senators Laird.

Aye.

Laird, Aye. Nilo.

Aye.

Nilo, Aye. Archuleta. Aye. Archuleta, Aye. Blake Spear. Aye.

Blake Spear, Aye. Cabaldon. Aye. Cabaldon Nye. Choi.

No. D'Orazzo, Aye. Grove. Hirtado. Hurtado.

Hurtado. Aye. McNerney. Aye. McNerney, Aye.

Menjubar. Menjubar, Aye. Ortrobogue? Aye. Ortrobogue, Aye.

Perez? Aye. Perez, Aye. Reyes?

Aye.

Reyes, Aye. Richardson?

Richardson, Aye. Ciearta? Aye. Smallwood Cuevas? Aye.

Aye.

Smallwood Cuevas, Aye. Weber Pearson? Weber Pearson, aye.

Ayes 15. No zero. That bill is out. We're gonna move to Assembly bill 175, developmental services. Is there a motion?

No. A motion by Reyes. Any further discussion? Please call the roll on Assembly bill 175.

AB 125. The motion is do passed, Senator Lair.

Aye.

Ler, aye. Nilo.

Nilo, aye. Archuleta? Aye. Archuleta, aye. Blake Spear?

Aye.

Aye.

Blake Spear, aye. Cabaldon? Aye. Cabaldon, aye. Choi?

Aye. Choi, aye. Durazo? Aye. Dorazo, aye.

Grove, aye. Hurtado? Aye. Hurtado, aye. McNerney, aye.

Mangabar? Aye.

Mangabar, aye. Ochoa Bog? Aye. Ochoa Bog, aye. Ochoa Bog, aye.

Mangabar, aye.

Perez?

CRO, aye.

CRO, aye.

Ayes. 18. No zero. If we just had such a thing as a unanimous roll call, we would have just established. So we're gonna move to item number 7 which is Assembly bill 178 on resources.

Motion by Durazo. Any further discussion? Please call the roll on Assembly bill 178.

AB 178. The motion is do passed. Senators Laird.

Laird, aye. Nilo.

Aye.

Not voting.

Archuleta. Aye. Archuleta, aye. Blake Spear.

Aye.

Blake Spear, aye. Cabaldon? Aye. Cabaldon, aye. Choi?

Napoleon. Doroso? Aye. Doroso, aye. Grove?

Not voting.

Hurtado?

That has 14 Aye votes, 0 no votes. That bill is out. We will move to Assembly bill 184 on state government. Is there a motion? Motion by Reyes. Any further discussion?

Seeing none, please call the roll on Assembly bill 184.

AB one eighty four. The motion is do passed in order to start.

Laird, aye. Nilo?

Aye.

No.

Nilo, no. Archuleta?

Aye.

Archuleta, aye. Blake Spear?

Aye.

Blake Spear, aye. Cabaldon? Aye. Cabaldon, aye. Choi?

No. Choi, no. Durazzo? Aye. Dorazo, Aye.

Grove? No. Grove, no. Hurtado? Aye.

Hurtado, Aye. McNerney? Aye. McNerney, Aye. Aye.

Menjubar, Aye. No. Ochoa Bog, no. Perez? Aye.

Perez, Aye. Reyes? Aye. Reyes, Aye. Richardson?

Richardson, aye. Saerda?

Aye.

No.

Saerda, no. Smallwood Cuevas? Aye. Smallwood Cuevas, aye. Weber Pearson, aye.

Ayes 13. Noes five. That bill is out. We're gonna move to Assembly bill 186 on revenue taxation. Motion by McNerney.

Any further discussion? Please call the roll on Assembly bill, one eight six.

AB 186. The motion is deep fat senators Laird.

Aye.

Laird, aye. Nilo? No. Nilo, no. Archuleta.

Archuleta, Aye. Blake Spear. Aye. Blake Spear, Aye. Cabaldon.

Aye.

Aye. Cabaldon, Aye. Choi. Napoleon. Choi, no.

Navodin. No. D'Orazzo, Aye. Grove. Natalie.

Hurtado. Aye. Hartado, Aye. McNerney. Aye.

McNerney, Aye. Mangjabar. Aye. Mangemar, Aye. Ochoa Bog.

Perez. Aye. Perez, Aye. Reyes, Aye. Richardson.

Aye. Richardson. Aye. Richardson. Aye.

Richardson. Aye.

Ayes 13. One, no. That bill is out. We'll move to Assembly bill 187 unemployment. Is there a motion?

So moved.

Motion by Reyes. Any further discussion? Please call the roll on Assembly Bill 187.

AB 187. The motion is do passed. Senators Laird?

Laird, aye. Nilo?

Aye.

Aye.

Nilo, aye. Archuleta?

Archuleta, aye. Blake Spear?

Aye.

Aye.

Blake Spear, aye. Cabaldon? Aye. Cabaldon, aye. Choi?

Not holding. Durazo? Aye. Drove, aye. Hurtado?

Aye. Hurtado? Aye. McNerney? Aye.

McNerney? Aye. McNerney? Aye. McNerney?

Aye. Menjabar? Aye. Aye. Ochoa Bogue, Aye.

Perez. Perez, Aye. Reyes. Aye. Reyes, Aye.

Richardson. Aye. Richardson, Aye. Sojarto. Smallwood Cuevas.

Smallwood Cuevas. Aye. Weber Pearson. Weber Pearson, Aye.

Aye. 16. Zero no's. That bill is out. We will move to Assembly bill 190 on early education and childcare.

Is there a motion?

Move the bill.

Motion by Richardson. Any further discussion? And please call the roll on Assembly bill 190.

AB one ninety is the motion is do passed. Senators Laird?

Laird, aye. Nilo?

Aye.

Not voting.

Archuleta? Aye. Archuleta, aye. Blake Spear?

Aye.

Blake Spear, aye. Cabaldon? Cabaldon, aye. Choi?

Not voting. Durazo?

Aye. Durazo? Aye. Hurtado, aye. McNerney, aye.

Menjubar? Aye. Menjubar, aye. Ochoa Bogue?

Aye. Ochoa Bogue? Aye. Ochoa Bogue? Aye.

Ochoa Bogue, aye. Perez?

Ayes 14, No. Zero. That bill is out. We're going to move to file item 12, Assembly bill 191 on the bill.