Budget Committee Spotlight: 02/26/26

Subcommittee #1 (Education) Pérez (D-Pasadena) Chair, Ochoa Bogh (R-Yucaipa), and Archuleta (D-Pico Rivera

Subcommittee #1 did not meet this week.

Key Topics to be Heard Next Week: California State University and University of California budgets, including proposals to partially restore recent cuts, plus challenges with affordability and crumbling infrastructure.

Subcommittee #2 (Resources, Environmental Protection, and Energy) Reyes (D-Colton) Chair, Choi (R-Irvine), Blakespear (D-Encinitas), and McNerney (D- Pleasanton)

Continuing Concerns About State's Ability to Deliver Major Water Projects. State officials could not provide a timeline for advancing the Delta Tunnels project during the subcommittee hearing this week, raising fresh questions about the state's ability to overcome a glacial regulatory process and to deliver major water infrastructure projects for Californians. During the hearing, Senator Steven Choi (R-Irvine) asked whether the State Water Resources Control Board is close to issuing the water right needed to move the project forward. Agency officials acknowledged the permitting process is complex but did not offer an estimate for when a decision would happen. The Delta Tunnels proposal would protect Southern California's water supply from earthquakes and sea level rise. Choi said long-term water reliability "cannot remain stuck in regulatory uncertainty."

Key Topics to be Heard Next Week: California's energy budget and how the state plans to address energy reliability amid soaring utility costs.

Subcommittee #3 (Health and Human Services) Menjivar (D-San Fernando Valley) Chair, Grove (R-Bakersfield), and Weber Pierson (D-San Diego)

Democrats' Policies Continue to Endanger the Public. Just off the recent news that a repeat child molester will be released back into the community, the subcommittee reviewed the implementation of the policy Democrats enacted last year to slowly remove operational funding for secure juvenile offender facilities. These facilities house juveniles and young adults under age 25 who were convicted of homicide, rape, and similar violent offenses. The Democrats' 2025 budget included a plan to squeeze the funding for county probation departments that run these facilities over the next three years, thereby forcing judges to send new juvenile offenders immediately to community residential placements instead. Given the emphasis on rehabilitation and reform for juvenile offenders, transitioning them into the least restrictive setting at the appropriate time is a worthy goal, but sending these offenders immediately back into the communities they preyed upon is dangerous. Throughout the budget process, Senate Republicans will continue to call for sensible changes to these Democrat-approved laws that continue to disregard public safety.

Key Topics to be Heard Next Week: Subcommittee #3 will not meet next week.

Subcommittee #4 (State Administration and General Government) Hurtado (D-Bakersfield) Chair, Niello (R-Fair Oaks), Cabaldon (D-Yolo), Smallwood-Cuevas (D-Los Angeles)

More Than $27 billion for Homelessness Cannot Overcome Newsom's Misguided Policies. The subcommittee met to discuss state and local homelessness efforts. The 2026-27 budget includes $500 million for the Homeless Housing Assistance and Prevention (HHAP) program, but local entities and advocates are asking for an additional $500 million. Since 2018-19, California has spent more than $27 billion to address the state's homeless crisis, yet during Governor Newsom's tenure, the number of homeless Californians has increased from 129,972 in 2018 to more than 187,000 in 2024 (the latest official count). Local efforts can be enhanced with flexibility that is an integral part of the HHAP program, but Senator Roger Niello (R-Fair Oaks) commented that providing flexibility should not be tempered by the state's narrow approach of only funding "Housing First" programs. Local homelessness efforts benefit from a multi-pronged approach that may better meet the needs of homeless Californians.

Key Topics to be Heard Next Week: Subcommittee #4 will not meet next week.

Subcommittee #5 (Corrections, Public Safety, Judiciary, Labor, and Transportation) Richardson (D-San Pedro) Chair, Seyarto (R-Murrieta), and Durazo (D-Los Angeles)

Court Facilities Funding Falls Short as Backlog of Needs Grows. The subcommittee discussed the Judicial Branch's courthouse construction program, maintenance backlog, and other facilities needs. The state continues to woefully underfund court facilities, resulting in a system where a shocking percentage of courtrooms statewide are seismically unsound, falling apart, or otherwise in need of major repairs or outright replacement. After pointing out that the state's General Fund budget has grown by nearly 70 percent since 2019, Senator Kelly Seyarto (R-Murrieta) called out the misplaced priorities of the Governor and legislative Democrats, saying, "This is just a symptom of what happens when you don't prioritize correctly and you ignore things just because they're not right there in front of you, or they're not the most popular things."

Key Topics to be Heard Next Week: Implementation of Senate Bill 580 (Durazo, 2025), which expanded California's sanctuary state laws beyond law enforcement agencies to encompass all state and local agencies.

Related Topics

• Budget