GIVEN THE ASSEMBLY COMMITTEE ON
BUDGET. WONDERFUL WHAT A START
WITH THE BUDGET BILL. THE BILL
AMEND THE BUDGET DOING YOUR
PART TO WHICH IS SB ONE OWNER.
WELCOME THANK YOU MISTER CHAIR.
SO THE FIRST BILL BEFORE YOU IS
THE BUDGET JUNIOR SP ONE OH
NINE THIS IS CLEANUP BAIL FOR
THE BUDGET ACT THAT WAS PASSED
IN JUNE AND BASICALLY DOES
THREE GENERAL THINGS FIRST IS
IT MAKES A NUMBER OF TECHNICAL.
OTHER ADJUSTMENTS REFLECTING
THE THREE PARTY. SATISFYING
ADDITIONAL TRAILER BILLS THAT
ARE PART OF THIS WHOLE PROCESS.
GREAT THANK YOU COMING BACK TO
THE COMMITTEE ANY QUESTIONS
COMMENTS DR THIS IS AB ONE
ONLINE. YES IF YOU WANT A SONG
SB ONE NOT IF YOU WANT TO YEAH
I JUST BUT SIMPLY TO SUPPORT
THIS BILL I THINK THAT CHAIR
TING AND STAFF TO THEIR WORK UP
MEANING YOU MAY NOT KNOW BUT IN
MARCH THIS YEAR GOVERNOR
NEWSOME DECLARED A STATE OF
EMERGENCY. I IN MY DISTRICT TO
THE DEVASTATING FLOODS THAT
COST OVER A HUNDRED AND FIFTY
FIVE MILLION DOLLARS IN DAMAGE.
THIS LANGUAGE THE NICEST
HARDSHIP THAT MY DISTRICT FACES
BUT BY PROVIDING ABOUT ONE
POINT. FIVE MILLION DOLLARS FOR
FLOOD RELIEF CLEAN UP TO THE
COUNTY OF CINEMA. MOST OF THE
EXPENDITURES I THINK OR
SUPPORTABLE BUT I WAS STRUCK BY
THE NUMBER OF LEGISLATIVE YOUR
MARKS IN THIS TRAILER BILL ON
IT'S A COMMENT THAT I HAD ABOUT
THE BUDGET BILL IN CHIEF WILL
BE PASSED IN A COUPLE OF MONTHS
AGO AND I WONDER WHY WE HAVE SO
MANY REMARKS IN HERE ONE WOULD
CALL IT PORK COLLOQUIALLY AND
I'M HOPING THAT THIS ISN'T AN
INDICATION OF THINGS TO COME
BECAUSE I DON'T THINK IT'S A
HEALTHY DIRECTION FOR US TO BE
GOING. SO UNDERSTANDING FROM
THE ADMINISTRATION IS THAT.
MOST OF THE CHANGES IN HERE
WHILE THERE MAY HAVE BEEN SOME
SHIFTS IN APPROPRIATIONS.
REFLECT UPDATES TO THE THREE
PARTY AGREEMENT REACHED IN JUNE
SO THERE MIGHT HAVE BEEN
SOMETHING THAT. THE PARTIES
AGREE TO NEGOTIATIONS BUT IN
THE FLURRY OF LAST MINUTE
ACTIVITY. WAS NOT ACTUALLY
REFLECTED IN THE BILL. OR THERE
MIGHT IN PLACES WHERE WE HAVE
TO MAKE SOME TECHNICAL
CORRECTIONS ARE AT. ADDITIONAL
CHANGES. CERTAINLY FROM THE
ADMINISTRATIVE ADMINISTRATION'S
PERSPECTIVE. THE BUDGET ACTING
JUNE IS THE GOVERNING IN TERMS
OF THE REVENUES THAT WERE
EXPECTING. SO THE
ADMINISTRATION DOESN'T LIKE TO
SEE MARK SWINGS IN ADDITIONAL
NEW PROGRAMS AND SPENDING.
BEYOND THAT IN. JUNE AND WE
THINK. THAT THE BUDGET JUNIOR
BEFORE YOU REFLECTS THAT SPIRIT.
OKAY THANK YOU AYE AYE. I AGREE
WITH YOU DOES REFLECT THE
SPIRIT OF WHAT HAPPENED IN JUNE
BUT THAT THE PROBLEM THAT I'M
HAVING WITH IT I DON'T THINK
FROM A PUBLIC POLICY
PERSPECTIVE THAT HAVING LOTS OF
LEGISLATIVE REMARKS IN THE
BUDGET DOCUMENT IS A HEALTHY
THING I'M A BIGGER BUT I PEOPLE
CRITICAL AS A MEMBER OF THE
LEGISLATURE TO SAY THIS BUT I
THINK IT'S A BETTER. IT'S JUST
BETTER FOR POP PUBLIC POLICY TO
THAT GRANT BROAD FUNDING TO
DEPARTMENTS WHAT THE DEPARTMENT
TO PUT THE MONEY WHERE IT GOES
INSTEAD OF BEING SUBJECTED TO
THE POLITICAL PRESSURE THAT THE
LEGISLATURE BRINGS TO BEAR AND-
THAT'S MY CONCERN WITH THIS
TRAILER BILL. MISS LEWIS. THANK
YOU MISTER CHAIR CASE I'M A
QUESTION RELATING TO THE
OFFICES MERGING TO SERVICES IN
SECTION NINE. THERE'S IT
AWARDED TEN MILLION DOLLARS FOR
LOCAL ASSISTANCE SET UNDER
PROVISIONS IT SAYS THE FUNDING
PER DEFINING APPROPRIATED IN
THIS ITEM IS FOR THECALIFORNIA
HEALTH CENTER SECURITY GRANT
PROGRAM TO HELP HEALTH CENTERS
THAT PROVIDE ABORTION SERVICES.
AND MAYBE THE TARGETS FINANCING
VANDALISM UP 25% OF THE AMOUNT
APPROPRIATE IN THIS ITEM MAY BE
USED. FOR ADMINISTRATIVE
SUPPORT OF COSTS. I AM VERY
CONFUSED ABOUT. WANT WHERE THIS
CAME FROM IT WAS THERE SOME
SORT OF POLICY BILL THAT WAS
PASSED THAT THIS SEEKS TO
IMPLEMENT THE FUNDING FOR AND
CAN YOU JUST ELABORATE A LITTLE
MORE THIS IS VERY BROAD. THE
FUNDING IT JUST SAYS. FUNDING
FOR THEM. FOR THOSE THAT MAY BE
THE TARGETS OF VIOLENCE AND
VANDALISM DOESN'T SAY THEY HAVE
TO BE AND IT DOESN'T SAY WHAT
THE MONEY SUPPOSED TO BE USED
FOR. CELL. DO YOU COLLABORATE
ON THAT FOR ME SO WE WOULD HAVE
TO GET BACK TO THE MORE
DETAILED THIS WAS THE RESULT OF
NEGOTIATIONS WITH LEGISLATIVE
STAFF AND THE ADMINISTRATION
DIDN'T HAVE CONCERNS WITH THAT
LANGUAGE BUT HAPPY TO GET BACK
WITH ANY ADDITIONAL QUESTIONS
THAT YOU HAVE. OKAY WHY
DEFINITELY WANT ANSWERS TO THAT
I THINK CALLING THE PROBABLY
WANT THAT TOO IT'S JUST IT'S
VERY BROAD AND VAGUE SO I LOOK.
FORWARD TO HEARING WHAT THE
RESPONSES FROM THAT THANK YOU.
THANK YOU THE CLIP ANYMORE
QUESTIONS FROM THE COMMITTEE.
SEEING NONE A PUBLIC ON. AS
CHAIR OF ONE THANK YOU MISTER
CHAIR VERY BRIEFLY NOT ROBINSON
WAS SHOT YOUR AND WE ARE FULLY
SUPPORTIVE OF THE FUNDING FOR
THE GREEN BUSINESS PROGRAM THAT
IS IN AB ONE ON NINE AND I VERY
MUCH APPRECIATE YOUR STAFF'S.
EFFORTS ON THAT I'VE SO THANK
YOU. THANK YOU MISTER CHAIRMAN
WERE STUCK SERVERS ON BEHALF OF
THE CALIFORNIA PROFESSIONAL
FIREFIGHTERS HERE IN SUPPORT OF
THE- EXPENSE. OF THE COUNTY OF
STANISLAUS URGENCY
COMMUNICATION MAN AND HE'S
COUNTRY THE FIRE PROTECTION
DISTRICT THANK YOU. GOOD
AFTERNOON MR TURN MEMBERS THE
ANTI MINETTI HERE ON BEHALF OF
PLANNED PARENTHOOD.
SPECIFICALLY IN SUPPORT FOR THE
TEN NOT TEN MILLION DOLLAR
GRANT APPROPRIATION FOR
SECURITY AT HEALTH CENTERS OF
THANK YOU SO MUCH FOR THAT.
THANK YOU ANY OTHER ADDITIONAL.
PUBLIC COMMENT. THANK YOU SO
THIS IS NOT I FORGOT TO OPEN
WITH THIS IS AN INFORMATIONAL
HEARING SO WE WON'T BE TAKING
ANY VOTES WE ARE GOING TO BE
HEARING THE ITEMS SO CAN WE
MOVE NEXT TO AB ONE TWELVE AS
WELL. SB ONE TWELVE. SO THE
NEXT BILL IS AS OVER FIRST A
STATE IN GENERAL GOVERNMENT A
COUPLE OF KEY PROVISIONS. WITH
A NEWLY ENACTED OFFICE OF
DIGITAL INNOVATION MAKING SURE
THAT THE DATA PROVIDED THAT
OFFICE REMAINS CONFIDENTIAL AND
ALSO THAT THAT OFFICE. THE
ANNUAL REPORTS TO THE
LEGISLATURE IN ADDITION THIS
ELIMINATES THE GAIN AND LOSS
ACCOUNT WHICH IS A WHICH IS FOR
THE CALCIUM VERS FORMALLY KNOWN
AS CALIFORNIA SICKER CHOICE
PROGRAM THAT CAME LOS AND
COUNTIES ACTION NOT BEING USED
BY THAT PROGRAM SO THIS BILL.
REMOVES THAT PROVISION IT ALSO
CLARIFIES THE USE OF THE BDS
SAY THAT DEFICIT SAVINGS IS NOT
CLARIFY. LAWS FOR WHAT
EMPLOYMENT VERIFICATION AND
THEN FINALLY ALLOWS FOR MORE
DISCRETIONARY AUDITS REVIEWS OF
C. D. C. R. I. WITHOUT PRIOR
APPROVAL FROM THE LEGISLATURE
THE GOVERNOR. THANK YOU LEADING
QUESTIONS MISTER OBERNOLTE. SO
YOU WHEN YOU SAY IT CLARIFIES
THE USE OF THE BDS A ELABORATE
A LITTLE BIT ON THAT. YES SO
THIS WAS BASICALLY THAT PDSA
WAS CREATION FROM A COUPLE OF
YEARS AGO IN TERMS OF THE
TIMING OF TRANSFERS AND THIS
WAS INITIALLY FOR WHAT WAS
GOING TO BE A DISCRETIONARY
DEPOSITED THE RAINY DAY FUND.
AND OTHER AND MAKING SURE THAT
MORE RESERVES ARE IN THE RIGHT
PLACE THE ADMINISTRATION VIEW
IS THAT WE BELIEVE THAT OUR
CURRENT RESERVE ACCOUNTS ARE
SUFFICIENT TO PREPARE FOR THE
DOWNTURN THAT MAY. THAT COULD
COME AT ANY POINT BUT AT THE
SAME TIME WE UNDERSTOOD THAT.
AND NEGOTIATE WITH LEGISLATIVE
STAFF THIS WAS THE VEHICLE
WHERE. FLEXIBILITY MAKE TYPES.
DISCRETIONARY DEPOSITS AND SO
WE WERE ABLE WHAT THIS LANGUAGE.
OKAY SO FIRST BILL PINE THAT SO
WE'VE GOT THE BUDGET
STABILIZATION ACCOUNT THE BSA
AND WE'VE GOT THE BUDGET
DEFICIT SAVINGS ACCOUNT THE V.
D. S. A- AND AS IF THIS WASN'T
CONFUSING ENOUGH FOR OUR
CONSTITUENTS YOU KNOW THOSE ARE
SO CLOSE TO EACH OTHER I REALLY
THINK WE OUGHT TO PICK A
DIFFERENT NAME FOR THE PTSA. I
HAVE A CONCERN WITH THAT
PROVISION OF THIS BILL BECAUSE
AS I READ IT IT WOULD ALLOW THE
LEGISLATURE INDEED THE
DEPARTMENT OF FINANCE TO TAKE
MONEY OUT OF THE MEDIA THE B.
S. SAY THE DISCRETIONARY OVER
FUNDING PSA AND MOVE IT INTO
THE B. D. S. SAY AND THE REASON
WHY I HAVE A PROBLEM WITH IS
THAT THERE ARE SOME STATUTORY
REQUIREMENTS BEFORE. WE CAN THE
MONEY IN THE BSA THAT GOVERNOR
HAS TO FIND A FISCAL STATE OF
EMERGENCY. SO I WOULD SAY WHEN
IT COMES TO THE BSA THERE ARE
THAT MANDATORY IN THE
DISCRETIONARY TO DEPOSITS. THE
RULES FOR THE MANDATORY
DEPOSITS ARE GOVERNED BY
PROPOSITION DOING THE
CALIFORNIA CONSTITUTION SO.
THIS BILL DOESN'T DO ANYTHING
TO CHANGE THOSE AND THE
MANDATORY DEPOSITS ARE THE VAST
MAJORITY. OF WHAT IS IN THE
BSA. WHEN IT COMES TO DATE
DISCRETIONARY DEPOSITS
CERTAINLY IT'S THE
ADMINISTRATION'S POSITION BACK.
YOU KNOW WE'RE GOING TO
CONTINUE TO FILL UP THE
MANDATORY SIDE TO ITS MAXIMUM
OUT AND- CERTAINLY THE
ADMINISTRATION DOESN'T HAVE ANY
TENSION OF TOPPINGS OF THOSE
DISCRETIONARY FUNDS ABSENT SOME
TYPE OF. EMERGENCY SO FOR
SPEAKING FOR THE ADMINISTRATION
DON'T YOU SPELL AS CHANGING
THAT PERSPECTIVE IN ANY AND
THAT THAT THOSE PROVISIONS AND
ANY SIGNIFICANT RESPECT BUT YOU
UNDERSTAND MY CONCERN. THAT
THOSE STATUTORY PROVISIONS
WOULD NO LONGER EXIST IF WE
MOVE THAT MONEY OUT OF THE DAY.
YES CERTAINLY WELL. IN YOU'RE
TALKING SPECIFICALLY ABOUT THE
DISCRETIONARY MONEY YES. YES
AND IT SAYS YOU KNOW RIGHT NOW
IT'S IN THE BSA AS A
DISCRETIONARY AMOUNT SO YOU
KNOW IT IT IS SUBJECT. IT IS
ONLY THE BSA'S AND YOU CREATION
SO I THINK JUST NO PROPOSITION
TWO WAS PASSED IN TWENTY
FOURTEEN. WE ARE CERTAINLY
TREATING ALL THOSE FUNDS
MANDATORY AND DISCRETIONARY AS
YOU KNOW FOR A SOME TYPE OF
BUDGETARY. EMERGENCY BUT
CERTAINLY IF THE LEGISLATURE
WERE TO MOVE THE DISCRETIONARY.
FUNDS TO ANY OTHER FINE DAD
THERE WOULD BE. WE DIFFERENT.
YES WELL I WOULD NEVER PROBLEM
WITH IT IF THE STATUTORY
PROVISIONS EXISTED ON THE PDSA
BUT THEY DON'T AND THAT'S WHY I
HAVE A PROBLEM. THANK YOU
ANOTHER QUESTION COMMITTEE.
SEEING THAT ANY PUBLIC COMMENT
ON THIS ITEM. SINGLE PUBLIC
COMING WE'RE GONNA GO TO AB ONE
THIRTEEN SB ONE THIRTEEN. SO
ONE THIRTEEN IS THE HOUSING
TRAILER BILL AND TO SUBSTANTIVE
ITEMS OF NOTE HERE THE FIRST IS
WITH REGARD TO THE HOUSING
PLANNING AND PRODUCTION GRANTS
THAT WERE IN THE TWENTY
NINETEEN BUDGET ACTS. THIS
MAKES SOME TIMELINE CHANGES
WITH REGARD TO NOTICE FINDINGS
OF ANY VIOLENT ACTIONS AS WELL
AS CLARIFYING THE REMEDIES AND
HOW THEY RELATE TO THE PREVIOUS
REMEDIES THAT WERE IN AB
SEVENTY TWO AND AFTER A COUPLE
YEARS AGO. AND ALSO ALLOWS
COUNCIL OF GOVERNMENTS IN
JURISDICTIONS TO ACCESS UP TO
TWENTY FIVE AND THE FUNDS FOR
THESE PLANNING PRODUCTION
FRANCE EARLY FOR THEIR RENO
TAKE CYCLE PLANNING. THE SECOND
RELATES THE NATIONAL MORTGAGE
SETTLEMENT FUNDING THIS
PURSUANT TO RECENT COURT
DECISION OF THREE HUNDRED
THIRTY ONE MILLION DOLLARS AND
IT IS. THIS IS THE INTENT
EIGHT. TRUST. DO YOU. TO HELP
WITH RENTER AND AS AS
HOMEOWNERS PREVENTING
FORECLOSURE. THANK YOU ANY
QUESTIONS FROM THE COMMITTEE.
MR OBERNOLTE. SO I AM VERY
HAPPY THAT WE'RE FINALLY IN MY
OPINION APPROPRIATELY SPENDING
THIS SETTLEMENT I MEAN IT'S
BEEN YEARS AND YEARS OF LEGAL
WRANGLING AND I THINK THAT THE
STATE WAS IN THE WRONG THE END
OF FIGHTING AGAINST SPENDING
THIS MONEY FOR THE PURPOSE THE
SETTLEMENT. PRESCRIBED READING
THROUGH THE SETTLEMENT DOCUMENT
WHICH I'VE DONE I DON'T SEE ANY
MENTION IN THERE. BEING USED
FOR ASSISTING RENTERS AND I'M
NOT SAYING THAT. THAT THAT'S
NOT A WORTHY CAUSE I'M JUST
SAYING THAT WE'VE SPENT YEARS
AND MILLIONS AND MILLIONS OF
DOLLARS IN LEGAL EXPENSES
FIGHTING. USING THE FUNDS FOR
THE PURPOSE FOR WHICH THEY WERE
GIVEN TO US. WHY ARE WE WHY DO
WE HAVE THIS LANGUAGE ABOUT.
LEGAL AID FOR RENTERS IN HERE
BECAUSE IT DOESN'T SEEM TO LIKE
THAT FORMS TO. HE ARE. THE
LANGUAGE OF THE SETTLEMENT AND
I FEAR THAT WERE LEADING THE
STATE OPEN TO LEGAL ACTION IF
WE IF WE LEAVE THAT AND- SO
I'LL MAKE A COUPLE COMMENTS AND
THEN MAY TURN OVER TO MY
COLLEAGUE FIRST IS
ADMINISTRATION IS AWARE THAT.
EVER WE MAY HAVE THOUGHT OF THE
MERITS THE LAWSUIT IS OVER AND
WE WANT TO FULLY COMPLY. WITH
THAT DECISION. SECOND WHEN IT
COMES SPECIFICALLY TO THIS
PROPOSAL A WE WENT BACK TO THE
ORIGINAL ATTORNEY GENERAL'S
INSTRUCTIONS AT THAT POINT
ATTORNEY GENERAL HARRIS WHEN
THE MOMENT WAS CONCLUDED. AND
MAKE SURE THAT WHATEVER
PROPOSAL WE PUT FORWARD IS IN
ALIGNMENT WITH THAT SO WHEN WE
WENT BACK TO THAT SECTION.
THERE WERE A NUMBER OF
CONSIDERATIONS YOU KNOW IS A OR
B. OR C. OR D. AND IT DIDN'T
HAVE TO MEET ALL OF THEM YOU
KNOW HOWEVER THE LEGISLATURE
CHOOSES TO SPEND THIS MONEY
BUT- IT DOES HAVE TO MEET AT
LEAST ONE OF THEM SO WHEN IT
COMES TO THIS. SPECIFIC
PROVISIONS I DON'T HAVE IT IN
FRONT OF ME WITH REGARD TO HAVE
BORROWER RELIEF. LEGAL. THAT
THESE PROVISIONS. THAT STAND
WE- SHARE YOUR CONCERN THAT WE
WANT TO BE ON VERY FIRM. LEGAL
GROUND IN WHATEVER IT THE
LEGISLATURE INACTION THE
GOVERNOR SIGNS ON THIS COME
NEXT YEAR. OKAY WELL I MEAN
YOU'RE TALKING ABOUT.
CALIFORNIA ATTORNEY GENERAL
HARRIS SHE THAT ATTORNEY
GENERAL SHE WAS THE ONE WHO NET
THAT SETTLEMENT CONCLUDED THAT
SETTLEMENT AND PUT IN PLACE
THOSE INSTRUCTIONS AT THE
JUDGMENT OF THE COURT WAS THAT
THE SPENDING OF THE MONEY TO
YOUR POINT HAS TO BE IN
COMPLIANCE WITH THOSE
INSTRUCTIONS AND SO WHILE I
DON'T HAVE A SPECIFIC SECTION
IN FRONT OF ME I CAN CONFIRM
THAT WE IN THE ADMINISTRATION
WERE VERY CAREFUL THAT THESE
TWO PURPOSE STAYS. DISPEL ARE
OUT WITH THE SENATE VERSION
OKAY I'D BE INTERESTED IN
HAVING A DISTRICT NOW OFF LINE
ABOUT THAT IF YOU COULD GIVE ME
WHATEVER DOCUMENTATION YOU HAVE
THAT JUST TO ME LIKE THAT IS
NOT IN COMPLIANCE WITH THE
TERMS OF THE FEDERAL SETTLEMENT
I'M NOT TALKING ABOUT THE
CALIFORNIA FORTY PORTION OF IT
BUT I'M HAVING SAID THAT I'M
VERY SUPPORTIVE THAT WERE
ACTUALLY FINALLY TAKING THIS.
THIS ACTION I'M JUST CONCERNED
I WANT TO BE I DON'T WANT UP IN
COURT. THANK YOU ANY OTHER
QUESTIONS. TO ANY PUBLIC
COMMENT ON AB ONE THIRTEEN SB
ONE THIRTEEN. OKAY SIGNAL
PUBLIC COMMON WE'RE GONNA MOVE
TO AB ONE FOURTEEN SB ONE
FOURTEEN EDUCATION. SO THE NEXT
BILL IS THE EDUCATION TRAILER
BILL AND MAKES A NUMBER OF
MOSTLY TECHNICAL CHANGES THE
FIRST IS WITH REGARD TO THE
SUPPLEMENTAL PAYMENT OF THREE
POINT ONE FIVE BILLION DOLLARS
TO PERSON STIRS ON BEHALF OF
SCHOOL DISTRICTS DAY THIS BILL
CLARIFIES THAT THOSE PAYMENTS
DO NOT COUNT FOR THE RICH
ROUTINE RESTRICTING MAINTENANCE
CALCULATION. THIS IS A
CALCULATION RELATED TO THE
SCHOOL FACILITIES BOND PROGRAMS
AND THERE WAS A POSSIBILITY
THAT THE SUPPLEMENTAL PAYMENTS
WOULD HAVE POLITICAL DISTRICTS
OUT OF COMPLIANCE THE REQUIRED
PAYMENTS RIGHT AT THIS FISCAL
YEAR THIS MAKES THAT TECHNICAL
CORRECTION ABLE. FORWARD AIR
WITHOUT CREATING NEW
RESPONSIBILITIES FOR THE SCHOOL
DISTRICTS WITH REGARD TO THE
BOND PROGRAM THIS BILL ALSO
DOES SOME FUNDING REQUIRED
FUNDING SHIPS FOR PROP NINETY
EIGHT SETTLE UP AS WELL AS
ACCOUNT FOR ANY SHIFT IN
FEDERAL FUNDS AND FINALLY ON A
MORE SUBSTANTIVE LEVEL. TWO
CHANGES IT BILL FIRST A
DIVIDING THE FOR AT ANY
ADOPTION ETHNIC STUDIES
CURRICULUM WE KNOW THAT THIS IS
BEEN A SITE OF A LOT OF
DISCUSSION AMONGST THE
LEGISLATURE. INSTEAD THE MIX
RATE CHANGE THIS FROM. THE
STAFF IS THE COP WHINES WITH
THE TOWARD ONE BY MOVING THAT
DEADLINES AND SECOND CLARIFIES
THAT THE CHILD SAVINGS ACCOUNTS
THAT WERE ESTABLISHED THAT
FUNDING IN THE TWENTY NINETEEN
TAX ARE AVAILABLE TO ALL
CHILDREN. THINK ANY QUESTIONS
COMMENTS. THE THING NO
QUESTIONS OR COMMENTS ANY
PUBLIC COMMENT ON THIS ITEM.
OKAY SEEING NONE WE'RE GONNA
MOVE TO AB ONE FIFTEEN AS
PEOPLE FIFTEEN WHICH IS GOING
TO BE DISCUSSING THE MANAGED
CARE ORGANIZATION TAX. SO AB SB
ONE FIFTEEN IS THE MANAGED CARE
ORGANIZATION TAX ALSO KNOWN AS
THE NCO TAX AS MEMBERS OF THE
LEGISLATURE KNOW THE CURRENT
VERSION OF THIS TAX EXPIRED ON
JUNE THIRTIETH OF THIS OF THE
LAST FISCAL YEAR. AND SO WHAT
THIS BILL WOULD DO IS
AUTHORIZED A NEW TAX BEGINNING
JULY FIRST OF THE FIRST DAY OF
THIS FISCAL YEAR SO LONG AS OUR
PAPERWORK IS SUBMITTED TO THE
FEDERAL GOVERNMENT BY SEPTEMBER
THIRTIETH THE END OF THIS
MONTH. THAT TAX NEW TAX CAN BE
RETROACTIVE TO JULY FIRST SO
THAT THERE WOULDN'T BE ANY GAP
THIS TAX IS SLIGHTLY DIFFERENT
IN DESIGN COMPARED TO THE- TAX
THAT CAME BEFORE IT OVERALL IT
WOULD RAISE I WOULD HAVE AN
IMPACT REVENUE IMPACT POSITIVE
TO THE GUY. ABOUT ONE POINT
SEVEN BILLION DOLLARS IN THE
CURRENT FISCAL YEAR YOUR LAST
FOR THREE AND A HALF YEARS AND
IN THE LAST AT FISCAL YEAR IT'S
A HALF YEAR BUT AN ANNUALIZED
BASIS WOULD RATE. I WOULD HAVE
AN IMPACT OF TWO POINT FOUR
BILLION DOLLARS IT'S BASED ON A
CUMULATIVE ENROLLMENT BASED ON
THE TWENTY EIGHTEEN PLAN YEAR
AND WHAT IF I DON'T PLANS
REGULATED BY. DMB T. AS WELL AS
A CAL CONTRACTS. DCS AND HAPPY
TO TAKE ANY QUESTIONS THANK YOU
ANY QUESTIONS FROM THE
COMMITTEE. MISTER BROOKS. THANK
YOU MISTER CHAIR SO I THINK WE
ALL UNDERSTAND THE PURPOSE OF
THIS WHICH IS TO DRAW DOWN
FEDERAL. BUT THE WAY THAT I'M
READING IT THEY'LL ALSO CREATED
UNREIMBURSED TAX BURDEN OF
DEPENDING DEPENDING ON WHAT
FIGURES USE BETWEEN SIXTEEN AND
TWENTY FIVE MILLION DOLLARS PER
YEAR THAT WILL BE PAID BY.
ENROLLEES IN PRIVATE HEALTH
INSURANCE PLANS OTHER THAN THE
MANAGED CARE ORGANIZATIONS THAT
WE'RE TRYING T TAX AND I
PERSONALLY WANT TO MAKE SURE
THAT I WAS UNDERSTANDING THAT
RIGHT AND THE SECOND QUESTION
IS IN A WHY WHY DID THAT
OCCURRED WORK WE DO ABOUT IT
BECAUSE I KNOW THAT WAS NOT THE
INTENT. CHECK A ONE APARTMENT
FINANCE SO YOU ARE CORRECT
THERE WILL BE A TAX LIABILITY
FOR HEALTH PLANS ON THE
COMMERCIAL LIVES. IN FISCAL
YEAR NINETEEN TWENTY THAT IS
APPROXIMATELY SIXTEEN POINT SIX
MILLION DOLLARS. HIGH VERY HIGH
LEVEL. IN DESIGNING THIS TAX.
YOU HAVE TO ME TO FEDERAL TESTS
ONE OF WHICH IS TO MAKE SURE
THERE'S NO HOLD HARMLESS FOR
ALL OF THE- MANAGED CARE
ORGANIZATIONS. TO THE EXTENT
POSSIBLE WE TRIED. WITH THE-
TAX LIABILITY FOR THESE PLANS
ON THEIR COMMERCIALIZED BUT
BECAUSE WE COULD NOT. MAKE THE
TAX ZERO FOR THOSE SPECIFIC
LIVES THERE ARE SOME INSTANCES
WHERE THESE PLANS WILL HAVE.
SOME TAX LIABILITY. AFTER
THEY'VE BEEN REIMBURSED WITH
THEIR FEDERAL FUNDS IN THEIR
MANAGED CARE CAPITATION RATES.
SO WE HAVE THE SAME PROBLEM.
SEVERAL YEARS AGO WHEN WE
AUTHORIZED THE MCO TAX AND THE
WAY THAT WE SOLVED IT DOWN WAS
WE CHANGED. OUR CORPORATE TAX
CODE IN THE STATE. TO CREATE AN
OFFSETTING YOU KNOW ROUGHLY
OFFSETTING. A FINANCIAL BENEFIT
FOR THE COMPANY IS THAT WE'RE
GOING TO HAVE TO PAY. IN AN
EFFORT TO TRY AND PREVENT THOSE
COSTS FROM BEING PASSED ON TO
THEIR RATE PAYERS WHY HAVE WE
NOT DONE THAT THIS TIME. IN
TERMS OF THE COMPLEXITY
COMPARATIVELY LAST MCO TEXAS
MCO TAX ONLY HAS TWO TAXING
TEARS. OF THE SIXTEEN POINT SIX
MILLION DOLLARS IS A TAX
LIABILITY FOR THOSE PLANS BUT
IN TERMS OF THE- ACTUAL IMPACT
ON BENEFICIARIES WE ESTIMATE
THAT THAT WOULD BE ABOUT A FIVE
TO. TEN CENT. INCREASE ON THEIR
MONTHLY PREMIUMS. AND SO I
THINK WE'VE MINIMIZE THAT TAX
LIABILITY TO THE EXTENT
POSSIBLE USING THE NCO
STRUCTURE AND I THINK AT THIS
POINT WE'RE NOT PROPOSING ANY
ADDITIONAL TAX CONFORMITY
CHANGES THAT WERE INCLUDING THE
LAST. PROPOSAL SURE I
UNDERSTAND I JUST MY POINT IS
IT WOULD HAVE BEEN EASY FOR US
TO DO SOMETHING
CONTEMPORANEOUSLY WITH THE MCO
TAX THE SAME WAY WE DID LAST
TIME WE AUTHORIZED. IN AN
EFFORT TO HOLD. TOLD RATE
PAYERS HARMLESS AND I'M
DISAPPOINTED THAT WE DIDN'T DO
THAT. GREAT THANK YOU ANY OTHER.
COMMENTS PUBLIC COMMENT. THANK
YOU MISTER CHAIR AND MEMBERS
NICK LOUISE US ON BEHALF OF THE
CALIFORNIA ASSOCIATION OF
HEALTH PLANS FIRST I'D LIKE TO
THINK THE DEPARTMENT HEALTH
CARE SERVICES AND THE
DEPARTMENT OF FINANCE FOR
SPENDING SEVERAL MONTHS WITH US
IN DISCUSSION OVER THE
RESTRUCTURING OF THE MCO TAX
WE'VE LANDED IN A GOOD PLACE WE
DO SUPPORT THE MODEL THAT IS
INCLUDED IN THE TO BUDGET
TRAILER BILLS WE ARE SEEKING
ASSURANCES THAT DURING THE
WAIVER PROCESS IF THERE ARE
SIGNIFICANT CHANGES THAT THE
FEDERAL GOVERNMENT IS REQUIRING
OF THE STATE TO THE TAX. THAT
THOSE CHANGES BE BROUGHT BACK
TO THE LEGISLATURE FOR
CONSIDERATION AND REVIEW. THANK
YOU. MR CHAIRMAN MEMBERS THE
AND CHECK WITH HEALTH THAT WE
TOO ARE IN SUPPORT WE THINK
THIS TAXES LANDED IN A REALLY
GOOD SPOT HAVING BEEN THROUGH.
FOR THESE NOW WE'RE SUPPORT
WITH THE TAX THANK YOU. BECAUSE
THE PART OF A BLUE SHIELD OF
CALIFORNIA WE ARE ALSO IN
SUPPORT OF THE CURRENT
STRUCTURE OF THE TAX THANK YOU.
LINDA WAY WITH WESTERN CENTER
ON LAW AND POVERTY IN SUPPORT
OF THE TAX WE APPRECIATE. THE
PLANS AND THE ADMINISTRATION.
CONVERSATIONS IN GETTING TO AN
AGREED OF TAX STRUCTURE THAT
BRINGS OUT OVER A BILLION
DOLLARS IN FEDERAL FUNDS THANKS.
CHAIR MEMBERS CUT THE MOST WITH
THE LOCAL HEALTH PLANS A
CALIFORNIA WE ARE IN SUPPORT OF
THIS MCO STRUCTURE IN THIS BILL
IT'S CRITICAL DOLLARS FOR THE
APARTMENT LEGISLATURE ALL
ENGAGING ON THIS DISCUSSION.
THANK. THANK YOU SEE NO OTHER
ADDITIONAL PUBLIC COMMENT WE
WILLMOVE ON TO AB ONE
EIGHTEEN. SB ONE EIGHTEEN
WHICH- I BELIEVE COVERS. THE
AGREEMENT THE COVERS THE- AND
WERE USED FOR THIRTEEN
DIFFERENT BARGAINING UNITS. SO
AB ONE EIGHTEEN COVERS
CONTRACTS OF BARGAINING UNITS.
ONE TWO THREE FOUR FIVE SEVEN
ELEVEN THIRTEEN FOURTEEN
FIFTEEN SEVENTEEN TWENTY AND
TWENTY ONE SO THERE ARE A
NUMBER OF CONTRACTS FOR YOUR
CONSIDERABLE CONSIDERATION FOR
RATIFICATION IN THIS TRAILER
BILL. THE CURRENT YOUR ****
ACOSTA THESE CONTRACTS IS FIFTY
MILLION DOLLARS GENERAL FUND
WHEN YOU TAKE OFF FUNDS INTO
ACCOUNT IT'S ONE HUNDRED FORTY
TWO POINT NINE MILLION DOLLARS
AND TO CLARIFY IN THIS IS FOR
RATIFICATION BY THE LEGISLATURE
BUT OF COURSE. THE FUNDS MUST
BE ACTUALLY OPERATED BY THE
LEGISLATURE. ON THE PART OF
EMPLOYEES FOR RETIREMENT
CONTRIBUTIONS AND WHEN IT COMES
TO ANY SPECIFICS AT SOME
COLLEAGUES HERE FROM DEPARTMENT
OF FINANCE AND- HAPPY TO TAKE
ANY QUESTIONS. GREAT THANK YOU
ANY QUESTIONS FROM THE
COMMITTEE. THIS CERTAINLY.
THANK YOU MISTER CHAIR SO A
FIRST OF ALL I WANT TO COMMEND
YOU OUT I KNOW IT'S A
TREMENDOUS AMOUNT OF WORK TO GO
SHOOTING ZAMIL USE AND IN
GENERAL I THINK YOU GUYS HAVE
DONE AN EXCELLENT JOB WITH THEM
I DID HAVE A COUPLE OF SPECIFIC
QUESTIONS IN AUSTIN MOST
GENERAL ONE FIRST WHICH IS THAT.
IN ORDER TO THESE COMPENSATION
STUDIES TIME THESE MO USE GO UP
FOR NEGOTIATION AND IN SOME
CASES THE COMPENSATION STUDY
WILL IDENTIFY AREAS WHERE STATE
EMPLOYEES ARE UNDER COMPENSATED
EITHER WHAT OTHERS IT'LL
IDENTIFIER IS WHETHER OVER
COMPENSATED BUT A NUMBER OF THE
CLASSIFICATIONS THAT IDENTIFIED
AS BEING OVER COMPENSATED IN
THE STUDIES THIS TIME AROUND
ENDED UP GETTING EXACTLY THE
SAME SPREE JUDGMENTS AS
EVERYONE ELSE INSIDE THAT BEGS
THE QUESTION WHY DO WE HAVE
COMPENSATION STUDIES IF WE'RE
GOING TO IGNORE WHAT THE
CONCEIT CONCERT STUDY TELLING
SO I KNOW YOU BUT YOU WERE A
LOT CLOSER TO THE NEGOTIATIONS
AND WE WERE I WONDER. IF YOU
COULD SHED SOME LIGHT ON. ON
WHY THOSE ACTIONS WERE TAKEN.
COMPENSATION STUDIES ARE
CONDUCTED PURSUANT TO EXISTING
STATUTE. BUT AS YOU CAN
UNDERSTAND THE COLLECTIVE
BARGAINING PROCESS IS A VERY
COLLABORATIVE PROCESS. AND
WHILE THERE ARE CLASSIFICATIONS
THAT ARE IDENTIFIED AS
UNDERPAID IN THOSE COMPENSATION
STUDIES. THROUGH THE VARIOUS
COLLECTIVE BARGAINING SESSIONS
THAT WE HAVE. IN THE PRIORITIES
THAT THE BARGAINING UNIT WANTS
TO ADDRESS AS WELL AS THE
ADMINISTRATION WE ALTERNATELY
LAND ON CERTAIN CLASSIFICATIONS
RECEIVING CERTAIN. ADJUSTMENTS
AND OTHERS NOT SO IT'S A MATTER
OF. ALIGNING THOSE
PRIORITIZATION OF THE
ADMINISTRATION THE BARGAINING
UNIT. WHICH MAY NOT ALWAYS
COINCIDE. COMPENSATION SURVEYS
THAT ARE CONDUCTED BY KELLY
CHARM. THAT'S WHAT I EXPECTED
IN NEW YORK BUT- YOU KNOW GIVEN
THE POLITICAL AND BARGAINING
REALITIES THAT YOU'RE FACING
YOU CAN UNDERSTAND WHY BE
CONCERNED ABOUT THAT. THE OTHER
QUESTION I HAD CONCERNED. FOR
JUST A SMALL FRACTION OF THE
BARGAINING UNITS THE SPECIAL
SALARY ADJUSTMENTS THAT ARE
PART OF THE NEW AMMO USE AS
WELL AS- I BELIEVE FOR SOME OF
THE EMPLOYEES THERE'S A TWO
HUNDRED SIXTY DOLLARS A MONTH.
HEALTH INSURANCE COMPENSATION
AUGMENTATION THAT'S TAKING
PLACE I WONDERED IF YOU COULD
GIVE US A LITTLE BIT OF INSIGHT
INTO AND- YOU'RE THINKING ON
THOSE. THANK YOU IN TERMS OF
THE TWO HUNDRED SIXTY DOLLAR A
MONTH STIPEND FOR THE HEALTH
CARE IT'S EALLY TO ADDRESS THE
AFFORDABILITY IN THE
ACCESSIBILITY OF. HEALTH
INSURANCE IN THE PLANS THAT
THOSE MEMBERS ARE FACED WITH SO
BASED ON THE RATES THAT CALPERS
ADOPTS FOR THE VARIOUS HEALTH
PLANS THAT STATE EMPLOYEES HAVE
ACCESS TO. THIS STIPEND
ESSENTIALLY IS TO ADDRESS THE
FACT THAT THERE ARE REAL
IMPACTS TO OUR EMPLOYEES. BASED
ON THE RATES AND THE INCREASES
THAT WE CONTINUE TO SEE YEAR
OVER YEAR FOR HEALTH PLANS AND
SO THIS. MODEL OR THIS PROPOSAL
REALLY IS TO ADDRESS THE
AFFORDABILITY IN THE IMPACT OF
THAT THOSE HEALTH CARE PREMIUM
INCREASES THAT ARE THAT THOSE
MEMBERS SEE ON A MONTHLY BASIS.
ONCE THOSE RATES ARE ADOPTED
AND SO IT'S AN ATTEMPT TO RIGHT
SIZE AND OFFSET SOME OF THE
INCREASED COST THAT THE
EMPLOYEES SEE AS A RESULT OF.
WHAT CALPERS BOARD ULTIMATELY
ADOPTS FOR THOSE RATES IN THOSE
PLANS OKAY BUT THESE ARE THESE
RATES HAVE GONE UP FOR ALL OF
THE PERS PLANS RIGHT SO IT IS
JUST A SMALL. FRACTION OF THE
BARGAINING UNITS THAT WERE ARE
TING. OPPOSITION TO REACH ONE
OF FOR EVERYBODY SO I JUST GOT
MY ATTENTION WHY THOSE
BARGAINING UNITS AND NOT THE
OTHERS. WELL SOME OF THE
BARGAINING UNITS AGAIN IT COMES
DOWN A PRIORITIZATION OF WHAT
THOSE BARGAINING UNITS WANT TO
NEGOTIATE FOR THEIR RESPECTIVE
MEMBERS AND THOSE PRIORITIES
BUT IT ALSO COMES DOWN TO
TIMING IN TERMS OF. WHEN THOSE
DEALS WERE NEGOTIATED IN
RELATION TO WIN CALPERS ADOPTED
THE RATES IN JUNE SO DEPENDING
ON WHERE WE WERE AT THE
COLLECTIVE BARGAINING PROCESS
WHEN THE RATES WERE ULTIMATELY
ADOPTED AND THEN WHERE AND WE
ULTIMATELY. CAME TO A
RESOLUTION AND THAT TENTATIVE
AGREEMENT FOR THOSE GROUPS
THOSE ALL FACTORED INTO PLACE
TO WHY SOME DID HAVE THE TWO
HUNDRED SIXTY A MONTH STIPEND
VERSUS THOSE THAT DID NOT.
THAT'S A LITTLE MORE CLEAR
THANK YOU. THANK YOU ANY OTHER
ADDITIONAL QUESTIONS COMMENTS
MISSED MESSAGES. THE VERY
BRIEFLY I UP AS A FORMER DEPUTY
ATTORNEY GENERAL IN THE
CALIFORNIA DEPARTMENT OF
JUSTICE I KNOW THAT OFTEN YOU
KNOW STUDY AFTER STUDY HAS
SHOWN THAT TO OUR STATE
ATTORNEYS ARE PAID MUCH LESS
THAN OUR OUR LOCAL AND FEDERAL
COUNTERPARTS. IN COULD YOU A.
TALK ABOUT WHETHER THAT
INEQUITY HAS BEEN ADDRESSED AT
ALL IN THIS LATEST CONTRACT FOR
THE STATE ATTORNEY'S. YEP
BETTER CAMPAIGN DEPARTMENT OF
FINANCE. WE'RE YEAH WE'RE AT
THE TABLE WITH CASE WHO WERE
THE ATTORNEYS WE ADDRESS AND
HAVE TALKED ABOUT THE- THE
RECENT SALARY SURVEY THAT WAS
PRESENT BY COUNTY CHAR. AND
THIS ONE YOUR DEAL KIND OF
ALLOWS US TO. TAKE A LOOK AT
CURRENT PAY AND THEN ALSO
CONTINUE THOSE TALKS. THE
CONTRACT ALSO INCLUDES AN
OPPORTUNITY FOR CASE TO WEIGH
IN ON ON THAT SALARY SURVEY AS
WELL. THERE'S A PROVISION IN
THERE FOR THEM TO MEET WITH
COLLEGE ARE. THE FOLKS ACTUALLY
DO THE SALARY SURVEY AND- HAVE
SOME DISCUSSIONS ON THAT AS
WELL AND I ASSUME WE'LL
PROBABLY HAVE SOME MORE
NEGOTIATIONS NEGOTIATIONS ON
THAT. IN A FEW MONTHS WHEN WE
GO TO DO THE NEXT DEAL. OKAY
WELL I JUST WANT TO LET MY
SUPPORT FOR TRYING TO INTEREST
THAT HISTORIC INEQUITY FOR. OUR
STATE ATTORNEYS A WORKER THANK
YOU VERY MUCH. IT IS COMMON.
BEFORE WE ARE GOING TO COME A
COMEDIC ROLE VERY QUICKLY. TING
HERE FOR NINETY HERE ARAMBULA.
MELENDEZ. MULLIN MURATSUCHI
HERE IS ARIAN O'DONNELL. PERSON
RAMOS RIGHT YES RIVAS. STONE
WEBER WICKS YEAH WHAT. COM IS
PRESENT THANK YOU FOR THE
COMMON. FIRST JENNIFER FEARING
HERE TODAY ON BEHALF OF THE
CALIFORNIA WILDLIFE OFFICERS
FOUNDATION THE CALIFORNIA
FISHING GAME MANAGERS AND
SUPERVISORS ASSOCIATION
DEFENDERS OF WILDLIFE IN THE
MOUNTAIN LION FOUNDATION WE
JUST WANNA TAKE OPPORTUNITY TO
EXPRESS OUR GRATITUDE TO C. S.
ELLIE A AN ADMINISTRATION FOR
NEGOTIATING. INCREASES IN THE
BI SEVEN CONTRACT THAT WE
THINK START TO REALLY REFLECT
THE IMPORTANT CONTRIBUTION THAT
CALIFORNIA'S WILDLIFE OFFICERS
MAKE TO PROTECTING OUR STATE'S
EXTRAORDINARY NATURAL RESOURCES
AND AS SUCH WE URGE YOU TO VOTE
I TODAY THANK YOU. GOOD
AFTERNOON MISTER CHAIRMAN OF
THE COMMITTEE NANCY FERRIS WITH
SEIU LOCAL ONE THOUSAND
REPRESENT EIGHTEEN NINETY SIX
THOUSAND STATE EMPLOYEES
INCLUDING. NINE OF THE
BARGAINING UNITS THAT YOU'RE
DISCUSSING TODAY JUST HERE IN
SUPPORT. OF THE BILL AND WE
APPRECIATE YOUR SUPPORT TO
THANK YOU. THANK YOU IS CHEN
MEMBERS BROOKS ALISON ON BEHALF
OF CASE BARGAINING UNIT TO
TOURNEY'S AND JUDGES THAT WORK
FOR THE STATE PRECIADO MISTER
MERRETT TO CHEESE. COMMENTS AND
ALSO FROM FINANCE YOUR THREE
SURVEYS THEY ALSO SET A
SIGNIFICANT DISPARITY AND WE
LOOK FORWARD TO GETTING BACK TO
THE TABLE SOON TO TRY TO WORK
THAT OUT. THANK YOU ANY
ADDITIONAL PUBLIC COMMENT.
CASEY NUMBER GONNA MOVE TO SB
ONE TWENTY ONE AB ONE TWENTY
ONE THANK YOU. SO THE LAST
TRAILER BILL BEFORE YOU TODAY I
EALS WITH SOCIAL SERVICES AND
MAKES ALL HIGH LIKE TO
TECHNICAL CHANGES THE FIRST IS
OUR WITH WITH REGARD TO CAL
WORKS AT STAGE ONE TWELVE
MONTHS CONTINUOUS CHILD CARE
WHERE THE LEGISLATURE MADE
CHANGES IN THE TWENTY NINETEEN
BUDGET ACT. THIS MAKES SOME
TECHNICAL CHANGES INCLUDING
MAKING SURE WE PROVIDE NOTICE
OF LOCAL CHILD CARE RESOURCES
AND REFERRAL PROGRAM FOR PEOPLE
WHO ARE PARTICIPATING THE
SECOND IS A REAPPROPRIATION OF
UNEXPECTED FUNDS IN THE AT
HOUSING DISABILITY ADVOCACY
PROGRAM FROM TWENTY SEVENTEEN.
EXTENDING THAT FOR ONE MORE
YEAR. GREAT THANK YOU THE
QUESTIONS. GOING ONCE. OKAY
SINGLE QUESTIONS WITHOUT A LONG
DAY ANY PUBLIC COMMENT. NO
PUBLIC OKAY WONDERFUL HEY THANK
YOU VERY MUCH FOR THE
PRESENTATION. WE APPRECIATE ALL
YOUR TIME WE WILL ADJOURN THANK
YOU