Bill Talk: The calm before the appropriations slash
A weekly update from Cal Cities, sorting through the state bill buzz
By Cal Cities Staff
Welcome to the (relatively) sleepy week before the torrent of new details about the state budget. Earlier this year, Gov. Gavin Newsom’s office released a $348.9 billion budget proposal. Although the state has exceeded revenue projections, state leaders must contend with a multiyear budget deficit that so far has been creatively papered over. In fact, the Governor has already told some lawmakers to prepare for budget cuts.
In early May, Newsom will unveil a revised budget proposal based on new tax returns. That’s also about the same time as the dreaded suspense file, the Legislature’s twice-yearly bill culling. Unsurprisingly, this week is relatively quiet, as lawmakers prepare for what could be (but rarely is) a decisive reduction in hundreds of pending bills.
Lawmakers have until May 1 to get any remaining non-fiscal bills through committee and until May 15 to get their bills through the powerful appropriations committees.
-Brian Hendershot, Cal Cities Advocate managing editor
Support letters needed for Cal Cities’ fire hazards bill
The Assembly Appropriations Committee will hear Cal Cities’ fire mapping bill, AB 2517 (Calderon) soon — and city support letters are needed. The bill would improve the Fire Hazard Severity Zone (FHSZ) designation process conducted by the Office of the State Fire Marshal by ensuring the office provides consistent and timely updates to local FHSZ maps.
- Melissa Sparks-Kranz, legislative advocate
Cal Cities changes position on SB 79 clean-up bill
Senate Local Government will hear the chair’s bill, SB 1361 (Durazo), on April 29. The measure seeks to address issues with SB 79 (Wiener, 2025). Due to changes from the Senate Housing Committee, SB 1361 would now prohibit cities from reducing the frequency of transit service at an existing or planned transit stop, conditioning the approval of a transit project due to SB 79 density and height requirements, or withholding support from a federal grant application.
Given the new amendments, Cal Cities verbally informed the Senate Housing Committee that it will move from a support if amended position to a neutral position. Cal Cities is encouraging the Legislature to consider a wide-scale cleanup of SB 79 to assist cities with implementation and does not believe this measure will help in these efforts.
- Brady Guertin, legislative advocate
City leaders mobilize in Sacramento in support of Cal Cities’ HHAP funding bill
On April 23, over 20 city officials came in person to support AB 1708 (Solache) during an Assembly Human Services Committee hearing. This bill would require regions to work directly with cities under 300,000 residents to identify programs and interventions that serve unhoused residents and identify funding to help the financial needs of those programs.
With the help of cities, AB 1708 passed out with unanimous support and will be up in the Assembly Appropriations Committee in the coming weeks.
- Serena Scott, legislative affairs analyst
Local officials demand full ERAF backfill
On April 28, the Assembly Budget Subcommittee No. 5 debated whether to backfill an insufficient Educational Revenue Augmentation Fund (ERAF) allocation to the counties and cities therein, of Alpine, Mono, and San Mateo. The Governor’s proposed state budget would not restore funds, the over $100 million in funding, which would significantly impact local programs and services — including homelessness services, housing, and public safety. Several city officials from Cal Cities’ Peninsula Division will testify in support of the funding.
- Ben Triffo, legislative advocate
Zoning overlay bill advances with a caveat
On April 29, Assembly Local Government will hear AB 2741 (Muratsuchi), a bill that could give cities more time to respond to court rulings that invalidate state-certified housing elements with zoning overlays before fines or other accountability measures are imposed. Last week, Asm. Matt Haney, chair of Assembly Housing, expressed concerns about the grace period but allowed the measure to pass out of his committee. He noted that if the author did not address those concerns, he would pull the bill back into committee.
AB 2741 would allow the over 100 cities that likely used zoning overlays with state approval during the 6th Regional Housing Needs Allocation Cycle to use them for the rest of the cycle, as long as they provide specific affordability and housing incentives in tandem with the targeted, optional zoning tool. However, it is unlikely that cities will be able to use them in the long term, given the court ruling in New Commune DTLA LLC v City of Redondo Beach.
Zoning overlays provide flexibility for developers and balance economic development with smart residential growth. Both Cal Cities and affordable housing advocates agree that a longer conversation about the future use of overlays is needed. Cal Cities and a coalition of local government organizations recently submitted a support if amended letter, citing the need for dialogue with the Legislature about these important affordable housing tools.
- Brady Guertin, legislative advocate
Contracting measure could speed up smaller, standardized public works projects
On April 29, the Assembly Local Government Committee will review AB 2033 (Papan). The bill would allow general law cities to use job order contracting — a competitive, unit-price procurement method — for routine repairs, remodeling, and repetitive public works projects. This change would address delays and cost escalation caused by the rigid design-bid-build process, a significantly longer process that discourages contractors from working on ADA upgrades, basic facility rehabilitation, and other small-scale projects.
The bill aligns general law cities with authorities already granted to charter cities, counties, and schools, while maintaining safeguards: Contracts would need to go to the lowest responsible bidder, projects would be capped at $500,000, and existing labor and transparency requirements would remain in place. Cal Cities supports the measure.
- Damon Conklin, legislative advocate
Two homeowner protection bills advance to Assembly Appropriations
On April 29, the Assembly Appropriations Committee will hear AB 1934 (Bennett) and AB 2038 (Harabedian). Both measures are focused on protecting homeowners and residential insurance access for those impacted by wildfires. A January report from CalMatters found that most survivors of last year’s deadly Los Angeles County wildfires have yet to return home, in part because of the statewide residential insurance crisis.
- Serena Scott, legislative affairs analyst
A quick reminder
Bill Talk is a weekly breakdown of the biggest bills, policy committee hearings, and legislative deadlines that city leaders need to know about. To get this list on Monday morning, contact your regional public affairs manager. To access old Bill Talks, visit the archive page. To see all tracked bills by issue area or priority, visit the Bill Search page.