PASSED. FOR THREE. OKAY LADIES
THANK YOU FOR STANDING BY
WELCOME TO THE EXTENT BUDGET
COMMITTEE UP CALL. GREAT THANK
YOU VERY MUCH. YOU'RE WELCOME.
WHETHER THEY COME HERE THE
AUDIO YEAH. YEAH. BUT THESE MY
BE DIFFICULT. NO IT'S GOT OUT
OF THE OFFICE. AFTER A LONG SO
IT'S NOT BECAUSE ON. OKAY I'M A
FROM IT UP WITHOUT. WE'RE THE
QUESTION IS HOW WELL. IN ORDER
THE ROOM. EIGHTEEN T. OPERATOR
TO HERE'S- YES SIR I CAN HEAR
YOU. ONE OF MY OKAY WE HAVE
SOMEBODY TALK ONE OF THE MIKES
CAN YOU HEAR THIS PERSON WHEN
THEY SPEAK. OKAY. I CAME HERE
WITH THE SPEAKING THE SECOND
ONE OKAY. THAT'S REALLY THE
ONLY. ALL RIGHT WELL YEAH.
THAT'S ALL WE DO IS A LOT ABOUT
THE- CAN'T FIGURE OUT. FOR SO.
MORNING GOOD MORNING EVERYBODY
WELCOME TO THE ASSEMBLY BUDGET
COMMITTEE IT'S ANOTHER WEEK
ANOTHER TIME ON THE FLOOR SO WE
ARE HAVING OUR ASSEMBLY BUDGET
COMMITTEE INFORMATIONAL HEARING
WE HAVE TO BUDGET TRAILER BILLS
THAT WE ARE BEING HURT- SB
NINETY SEVEN ON PROP NINETY
DEFERRALS AS WELL AS SB ONE ONE
FOUR ON REVENUE. WE ARE
UTILIZING TECHNOLOGY AS WE HAVE
THE LAST FEW WEEKS WE HAVE A
LITTLE BIT OF A- SNAFU WITH THE
INTERNET TECHNOLOGIES TOLD THE
WITNESSES WILL BE CALLING IN ON
THE PHONE AS WELL ANYBODY.
WHO'S WILLING TO OFFER PUBLIC
TESTIMONY. I AGAIN JUST WANT TO
REITERATE JUST MY THANKS FOR
ALL THE STAFF WHO HAVE REALLY
WORKED VERY HARD TO. KEEP THE
COMMITTEES RUNNING DURING THIS
VERY VERY- CHALLENGING TIME WE
ARE USING AGAIN ARE MODERATED A
PHONE SERVICE TO- BRING IN BOTH
THE WITNESS TESTIMONY AS WELL
AS PUBLIC TESTIMONY. THE IN
TERMS OF THE AGENDA WERE ASKING
THAT THE WITNESSES PRESENT BOTH
BILLS AND THEY WILL GO TO A
MEMBER QUESTIONS AND THEN TAKE
PUBLIC COMMENT. ON THAT AS WE
KNOW TODAY'S JUNE FIFTEENTH
TODAY IS- BUDGET IT WILL BE
HEARING THESE BUDGET TRAILER
BILLS AND THEN TAKING THEM UP
ON THE FLOOR LATER TODAY WE ARE
DOING THIS INFORMATIONAL
HEARINGS OF THE PUBLIC HAS AN
OPPORTUNITY TO COMMENT AS WELL
AS TO GIVE US FEEDBACK. ON
THESE TWO PROPOSALS IN
PARTICULAR I WANT TO THANK MY
VICE CHAIR BECAUSE HE- NUMBER
YEARS AGO APPROACHED ME AND
ENCOURAGED US TO HAVE THESE
HEARINGS ON ALL THE TRAILER
BILLS I THINK IT WAS AN
EXCELLENT SUGGESTION AND WE
VERY MUCH APPRECIATE HIS. HIS
COMMENTS IN HIS FEEDBACK TO
MAKE THE PROCESS MORE
TRANSPARENT AND MORE OPEN
INSTANCE THIS IS PASSED IN
FIFTEEN BEFORE HE MOVED TO BE
IN I DON'T KNOW IF IT'S A BAD
BUT BEING PLACES YOU KNOW WE
WOULD TO. WISH HIM WELL AND
THINKING FOR ALL THE SHIP THE
LAST HAS BEEN DUBBED OR WITH
WITH RAN PRETTY SURE IT ALL
HERE COMMA ALL HIS HEART WORK
SO THANK FOR THAT. I WAS GOING
TO FEED HIM OF TO SEE IF YOU
NEED COM THAT'S ANY MEMBERS ANY
OF COMMENTS ON THE TWO TROUBLES.
HE AND ALSO ALL OF OUR STAFF
HAS BEEN- FANTASTIC SO HOT ONE
ALSOTHANK YOU FOR YOUR-
DEDICATION TO OPENNESS AND
TRANSPARENCY I THINK THE LAST
COUPLE OF YEARS- REALLY THE
LEGISLATURE'S. EXPRESSED AND
DEMONSTRATED A WILLINGNESS. BUT
IN HOLDING THESE HEARINGS TO
MAKE SURE THAT WE MAKE THE
PROCESS AS OPEN AS POSSIBLE AND
HEAR ALL THE TESTIMONY WHICH
IS- THE PURPOSE OF THE HEARING
TODAY SO. LOOKING FORWARD TO-
SEEING THIS THROUGH WITH YOU.
THANK YOU VERY MUCH ANY OTHER.
COMMENTS DR RENTAL. THANK YOU
MISTER CHAIR AND MEMBERS FOR
CALLING THIS HEARING ON THE
TWENTY TWENTY BUDGET BILL AND
THE TRAILER BILL PACKAGE. THE
PROPOSAL IS BEING PUT FORTH
TODAY ARE RESULT OF MUCH HARD
WORK ON THE PART OF THE BUDGET
STAFF IN BOTH HOUSES. FROM
LEADERSHIP TO MEMBERS AND PUT.
FROM ADVOCATE ADVOCACY FROM
COMMUNITY STAKEHOLDERS FEEDBACK
FROM ADMINISTRATIVE DEPARTMENTS
AND THE EXPERT ANALYTICAL
PERSPECTIVES OF THE LA. AS THE
CHAIR OF SOME ONE I AM PROUD
THAT WE HAVE COLLECTIVELY
ENGAGED IN PUTTING FORWARD THIS
PROPOSAL TO ENSURE THAT OUR
SAFETY NET PROGRAMS ARE
PROTECTED AT A TIME WHEN THEY
ARE NEEDED MOST. BUDGET BUDGET
DECISIONS ARE NEVER EASY. EVEN
DURING YEARS OF PROSPERITY. AND
THAT IS WHY COLLABORATIVE WORK
IS SO IMPORTANT DURING TIMES OF
FISCAL STRESS. I KNOW THAT AS
WE CONTINUE TO WORK WITH OUR
ADMINISTRATION TO REACH AN
AGREEMENT THAT WILL PROVIDE THE
SHORT TERM IMMEDIATE RELIEF
THAT OUR FAMILIES NEED. THAT WE
WILL ALSO BEAR IN MIND THE LONG
TERM RESILIENCY THAT WE WILL
ALSO NEED AS A STATE IN ORDER
TO ACHIEVE A HEALTH RECOVERY.
AS IN MEDICINE THE HEALTH OF
THE WHOLE BODY DEPENDS ON THE
STRENGTH OF EACH WORK IN. THE
LAST FEW WEEKS HAVE BEEN
DIFFICULT FOR MANY REASONS AND
WE HAVE ALL HAD TO REACT AND
ADAPT TO NEW PROCESSES.
ESPECIALLY DURING COMMITTEE
HEARINGS. BUT I'D LIKE TO MAKE
SURE THAT WE ALSO ACKNOWLEDGE
THE HARD ADVOCACY EFFORTS OF
OUR MOST IMPORTANT STAKEHOLDER
THE PUBLIC. AND THAT IS WHY AS
WE CONTINUE TO WORK IN REACHING
A BUDGET AGREEMENT WITH OUR
ADMINISTRATION I WOULD LIKE TO
TAKE THIS TIME TO THANK AND
REMIND US ABOUT. THE YOUNG
MOTHER WHO CALLED IN ASKING FOR
US TO PROTECT THE PROGRAM THAT
PAYS FOR HER CHILD'S HEARING.
FOR THE AYE. WORKERS AND
FAMILIES OF THE AGED BLIND AND
DISABLED WHO DEPEND ON THOSE
SUPPORT SERVICES EVERY DAY. TO
THE CHILD WELFARE ADVOCATES TO
REMIND US HOW IMPORTANT
CONTINUITY OF SERVICES IS FOR
FOSTER YOUTH AND NON MINOR
DEPENDENT ADULTS AND THEIR
FAMILIES. TO THE INTELLECTUAL
AND INDEPENDENT DISABILITY
COMMUNITY MEMBERS WHO HAVE
WORKED SO HARD BEFORE AND
DURING KOPEN. TO ENSURE THAT
CALIFORNIANS WITH IT DE AND
THEIR FAMILIES ARE PROTECTED.
TO THE IMMIGRANT AND HEALTH
POLICY ADVOCATE TO CONTINUE TO
PUSH FOR HEALTHCARE FOR ALL.
AND THE MANY OLDER ADULT
AGENCIES AND NON PROFIT TO OUR
WORKING RELENTLESSLY TO PROTECT
THE DIGNITY AND HEALTH OF ALL
SENIORS. AND AS OUR BEHAVIORAL
HEALTH CHAMPIONS REMINDER SO
CLEARLY. NOTHING ABOUT US
WITHOUT US. TO ALL THOSE
MEMBERS OF THE PUBLIC IN THE
MANY MORE I DIDN'T LIST. PLEASE
NOTE THAT WE TOOK YOUR COMMENTS
TO HEART AND WE LISTENED TO
WHEN YOU CALLED IN. OFTEN
WAITING FOR HOURS AT A TIME ON
HOLD. PLEASE NOTE THAT I WILL
DO EVERYTHING I CAN TO ADVOCATE
FOR PROTECTION OF THESE
PROGRAMS WITHIN MY
SUBCOMMITTEE. TODAY'S
DISCUSSION ON THE TRAILER BILL
PACKAGE IS AN IMPORTANT STEP
TOWARDS MEETING OUR STATE
PUBLICATIONS. THANK YOU. THANK
YOU ANY OTHER COMMENTS FROM THE-
COMMITTEE. OKAY SEEING NONE WE
HAVE TWO BILLS WE HAVE SB EIGHT
NINETY SEVEN WHICH IS OUR PROP
NINETY EIGHT A BILL OR K.
THROUGH TWELVE EDUCATION BILL
THIS BILL IS EXTRAORDINARILY
IMPORTANT AT A TIME WILL BE OF
GREAT UNCERTAINTY IT'S VERY
IMPORTANT TO US THANK YOU- IT'S
VERY IMPORTANT TO ENSURE THAT
WE ARE PROPERLY FUNDING OUR
SCHOOLS SO THAT THEY CAN OPEN
UP AND BE SERVING OUR KIDS IN
THE FALL. ALSO WE HAVE SB ONE
FOURTEEN WHICH IS OUR REVENUES
BILL THIS IS THE GOVERNOR OF
THIS IS A BILL THAT BRINGS IN
ABOUT OVER FOUR BILLION DOLLARS
OF REVENUE IN THIS NEXT FISCAL
YEAR IT'S CRITICAL BUILD
TOWARDS BALANCING OUR BUDGET
WITH THAT THEY LIKE TO. CALL
ROLE. TING YOUR OBERNOLTE.
ARAMBULA BLOOM CHIU COOPER FONG
FRAZIER GALLAGHER GARCIA. JONES
SAWYER KILEY LACKEY LIMON
MATHIS ART MCCARTY MEDINA.
MULLIN MURATSUCHI IS THERE IN.
O'DONNELL PATTERSON RAMOS AS
RIVAS RUBIO STONE WEBER WICKS
WHAT. FORM IS PRESENT. THANK
YOU SO WITH THAT WE WILL START
WITH THE MISTER V. TWENTY THIRD
DEPARTMENT OF FINANCE TO TALK
ABOUT SB NINETY SEVEN. ARE YOU
THERE ON THE PHONE JUST DOUBLE
CHECK. THANK YOU MISTER CHANG
AND MISTER OBERNOLTE AND
MEMBERS OF THE COMMITTEE THAT
THEY COULD SPEND OFTEN FROM THE
DEPARTMENT OF FINANCE ONE
ADMINISTRATIVE NOTES BEFORE WE
START THAT THOSE OF US NOT FROM
FINANCE ON THE PHONE- WE CAN'T
REALLY HEAR- THAT STATEMENT AND
COMMENTS ON THE FLOOR I KNOW
THERE'S SOME. TECHNICAL
DIFFICULTIES I ALSO HAVE THE TV
ON IN MY OFFICE I'M GONNA TRY
TO PIECE TOGETHER WHAT I CAN
FROM THERE BUT WHEN IT COMES TO
ANY QUESTIONS- EITHER SOMEONE
COULD REPEAT THEM ON THE PHONE
LINE OR I CAN KEEP THEM
TOGETHER FROM THE TV. I'M HAPPY
TO REPEAT AND EXPAND THAT-
OTHER FOLKS FROM THE DEPARTMENT
OF FINANCE FOR ON THE LINE- CAN
ANSWER THE QUESTION- BUT WITH
THAT I WILL START WITH. THE
NINETY SEVEN THIS IS A BILL
IT'S PROPOSITION NINETY EIGHT
AND I KNOW THAT- WE GO TO THE
MINISTRATION AND MEMBERS OF THE
LEGISLATURE ARE WORKING TOWARD
FINALIZING OVERALL OPPOSITION
NINETY PACKAGE- BUT THEY'RE
JUST ITEMS OF NOTE IN THIS
PARTICULAR PAL. FIRST ALL
ROLLED UP SOME SPEND FROM THE
CURRENT YEAR IN THE BUDGET YEAR
OF TWENTY DASH TWENTY TWENTY
ONE. IT INCLUDES. TWENTY FIVE.
I SPENDING FOR JUNE AT THE YEAR
TO JULY AS WELL AS THE HUNDRED
THIRTY KNOWING DOLLAR INTO CALL
AND FROM JUNE SUCH A AND THEN
THE ITEM IN THIS BILL IS GOING
TO PROP LIKE FOUR HUNDRED NO
DOLLAR AND THIS IS A SAD
PAYMENT MEANING UNDER THE
PROPOSITION NINETY EIGHT CARE
HE FOR OBLIGATIONS THAT WERE
INCURRED IN PRIOR YEARS SO
THESE ARE THE TWO MAIN ELEMENTS
THAT. THEY'LL AND HAPPY THERE.
GREAT THANK YOU WE'RE WE'RE
GONNA GO TO L. L. MISTER
PATRICK ARE YOU THERE. GET
HEADACHE LEGISLATIVE ANALYST'S
OFFICE I BELIEVE MY COLLEAGUE-
AND PONDERED ON THE LINE TO
DISCUSS THIS ONE. I THINK.
SECRETARY MEMBERS CAN UPON WHAT
THE LEDGE ANALYST'S OFFICE- I
DON'T THINK WE HAVE ANYTHING TO
ADD TO WHAT THE DEPARTMENT OF
FINANCE SAID BUT WE'D BE HPPY
TO ANSWER ANY TECHNICAL
QUESTIONS THAT YOU MIGHT HAVE
ABOUT THIS ONE. OKAY MISTER
ABROAD HAVE QUESTIONS. THE
BIGGEST AT. WE HAVE A MIKE ON
FOR MISTER OBERNOLTE THANK YOU
MISTER CHAIRMAN QUESTIONS FOR-
THE DEPARTMENT OF FINANCE MR
THIS ONE OFTEN. ARE I THINK
WE'RE PROBABLY ALL IN AGREEMENT
THAT THIS IS A WORTHWHILE THING
TO BE DOING- BACK FILLING THE
REVENUE THAT- THIS THE SCHOOLS
ARE DEPENDING ON IN THE CURRENT
BUDGETARY YEAR THERE'S ONLY A
COUPLE WEEKS LEFT IN THAT YEAR
OF COURSE AND SO IT WOULD
BECAUSE REALLY DIRE FINANCIAL
TROUBLE FOR. EDUCATIONAL
INSTITUTIONS ACROSS THE STATE
IF WE WERE TO FAIL TO DO THAT
HOWEVER I'M ALSO PROBABLY NOT
ALONE IN HAVING SOME CONCERN
ABOUT THE FACT THEY WERE USING
A DEFERRAL IS THE MECHANIST FOR
ACCOMPLISHING BACKFILL AND
WONDERING IF YOU COULD DESCRIBE
THE PROCESS THE THOUGHT PROCESS
THAT WAS USED. TO SETTLE ON A
DEFERRAL IS THE APPROPRIATE
MECHANIC AND WHAT OTHER- WHAT
OTHER MECHANISMS WERE
CONSIDERED. YES OBERNOLTE ALL
THIS QUESTION AT THAT THOUGHT
PROCESS BEHIND THE DEFERRAL AND
AS WELL AS OTHER MECHANISMS
I'LL DESCRIBE REACH. AND THEN
MY COLLEAGUES. THAT THE HOME.
MAY WANT TO ADD AS WELL. I
THINK THE FIRST IS THAT- THESE
DEFERRALS WHILE CERTAINLY NOT
IDEAL- YOU RELY ON LOCAL
SCHOOLS AND SCHOOL DISTRICTS
BORROWING. CAPACITY AND THEY
HAVE BEEN USED IN THE PAST
DURING TOUGH TIMES AND THERE'S
NO QUESTION THAT. WE ARE IN A
TOUGH TIME NOW SO WE NEED TO
BELIEVE THAT. A SCHOOL DISTRICT
IN THE STATE YOU HAVE THE
CAPACITY. TO MAKE. IT EASIER
FOR ALL AND THAT CONTINUE. IN
THE TIGHT BUDGET TIME THAT WE
ARE AND- TO TRY TO MEET THEIR
OBLIGATIONS- BUT I DEFINITELY
DO WANT TO KNOW THAT WHILE THE
DEFERRALS ARE ONE PART OF THE
WAY IN WHICH YOU COULD BUDGET.
FIELD YAK. GRABBING YOU. THAT
WE SAW. IN MAY REVISION
COMPARED JANUARY. IT'S
CERTAINLY NOT THE ONLY ONE AND
I THINK TWO OTHER ITEMS. OF
NOTE OUR NUMBER ONE DAY
CORONAVIRUS WHERE WE FIND-
WHICH ARE DELIVERED NINE AND A
HALF BILLION DOLLARS YEAH THE
STATE- WHICH I KNOW. SINCE
RIGHT NOW THE STATE SIMPLEX AND
OR HAVE SIMPLY. IN TERMS HOW TO
SPEND THAT ON A VARIETY OF KOBE
NINE RISK. ACTIVITIES AND THE
ADMINISTRATOR PROPOSAL WHICH I
KNOW A LOT OF MEMBERS THE
LEGISLATURE RIGHT NOW.
SUPPORTED AGENTS. HI ALTHOUGH
THERE IS NO FINAL AGREEMENT
JUST YET IT'S TO DEVOTE ALMOST
HALF OF THAT SPECIFICALLY AT
SOME THESE MORNING LOS
INTEGRITY ISSUES OF THAT WOULD
BE. ON TOP- THE POSITION NINETY
EIGHT NINE AND THAT WOULD NOT
BE A CURE FOR ALL OR SOME OTHER
MECHANISM LIKE THAT BUT IT
WOULD BE. ACTUAL FUNDING FROM.
GOVERNMENT AND THEN THE SECOND%
PART- THAT WAS PROPOSED IN THE
NAY RELATION- WHICH WE THINK
WILL BE INCLUDED IN THE FINAL
PACKAGE. IS PROVIDING A
SUPPLEMENTAL OBLIGATION TO
SCHOOL- ABOUT CRACKS IN THE
LATE YOU KNOW ONE AND A HALF
BILLION- BILLION DOLLARS. IN
EACH OF THE NEXT SEVERAL YEARS
SO WITH. THAT THE STAFF WILL
ALSO HELP RESTORE THE
PROPOSITION. WHILE THE TO WORLD
DOES HELP US GET THROUGH THE-
TIMES IT'S CERTAINLY NOT THE
ONLY NOT. THAT WERE USING A WE
THINK HOW TO MAKE AND BACK. IN
OUR SCHOOLS I'M SO THAT A BRIEF
ANSWER CHAPTER IS THERE
ANYTHING ELSE THAT YOU WANT TO.
FINANCE AND IN. NOTHING I FOR
JOB OKAY AND GETTING AN OPEN
HERE. AND EVERYTHING AT MY
PREGNANT YOU. AND PUT. BELL I
THAT IN NINETEEN TWENTY YEAR
COULD ARE BACK TO THE GAME THE
IMPACT OF THE PHONE MUCH. RIGHT
I'M GONNA OPEN THE PROP. THEY
RAINY SIGN THEY ALSO THANK YOU
FOR. THAT THE FOUR HUNDRED SIX
MILLION IF ANYTHING ANYTHING IN
THE- FROM YEAR YOU CAN. FIND ON
NINETEEN TWENTY. THREE THAT DID
NOT HAVE CUT. MAKE TWENTY. AND
THAT BECAUSE THEY GET. KIND OF
THE POSSIBLY COULD HAVE BEEN A
THAT. ON AND MR MCNAUGHTON AND
I'M NOT A- PUSH. WE'LL GO BACK
TO MR RESPOND AT THE. SECOND ED
AT THE ONE ONE FOUR AND THIS IS
THE- KEY REVENUE MEASURE THAT
IS BEFORE THE LEGISLATURE- AND
THERE ARE A NUMBER OF DIFFERENT
ITEMS IN THE STEALTH BUT I WILL
FOCUS VERY BRIEFLY ON THE
HIGHLIGHTS IN PARTICULAR THERE
ARE Q. REVENUE MEASURE THAT WE
EXPECT COMBINED JERRY RAISED
FOUR POINT FOUR BILLION DOLLARS
IN THAT NEXT YEAR AS WELL AS
ADDITIONAL FUNDS OVER THE PHONE
TWO YEARS. THE FIRST IS THE-
SUSPENSION OF THE USE OF NET
OPERATING LOSSES- FOR TAXPAYERS
THAT HAD INCOME OF OVER ONE
MILLION DOLLARS FOR THE NEXT
THREE YEARS SO THIS WOULD BE
UNTIL THE END OF TWENTY TWENTY
Q. AND THEN THE SECOND THING IS
A CAP ON THE USE- BUSINESS
INCENTIVE CREDIT. AT THE LEVEL
OF FIVE MILLION DOLLARS ALSO
FOR THE NEXT THREE YEARS AND
WHILE WE RECOGNIZE THAT THERE
ARE. WHAT OTHER WHAT. THAT MAY
HAVE CONCERNS OF THAT WE VERY
MUCH ONE TO SPREAD THAT THIS IS
FOR A TEMPORARY PERIOD IT'S
THREE YEARS WE CAPS MAKE SURE
IT'S ONLY FOR ENTITIES HAD
INCOME A ONE DOLLARS FOR THE
AND I. AND THE BUSINESS AND SO
CRIED ALL TECHNICIANS THAT ARE
ADVANTAGE OF ANYTHING LEFT FIVE
MILLION AND CAN CONTINUE TO DO
SO THEIR FULL AMOUNT I THEN THE
MADE THAT I WANT STRESS THAT
WHILE YOU SHOULD BE CREDIT. GET
UP LOSSES MAY GO LET I WILL BE
ABLE TO BE USED AGAINST
STARTING IN TWO THREE I ANY FOR
NET HOPPER LOSS WHAT OTHER WHY
BY EVEN IF THE WORD YOU
SPECIFICALLY THE ONE TO
PROBATION ON THE- WILL BE.
TWENTY TWO THAT THEY CAN BE
USED SO THOSE ARE THE TWO MAIN
EITHER AND NOW THERE ARE ALSO
COME OTHER OTHER ITEM ONE A
THEY KERREY PERIOD FOR THAT
EXISTING FILLED CREDIT AND THEN
THERE IS. A NEW PROVISION ON
THAT USED DEALERS AND MAKE SURE
THAT THEY ARE WE LEADING THE
SALES TAX THAT IS OWED ON THE
TRANSACTION THAT THEY'RE
UNDERTAKING THAT EVERYONE CAN
INDUSTRY IS ON A LEVEL PLAYING
FIELD- AND THEN THE FINAL FEW
MEASURES OF NOTE I WILL MENTION
BUT GET BACK TO THAT YEAH.
BUDGET IS AN EXTENSION ON THE-
EXEMPTION ON THAT SALES AND USE
TAX FOR AT AND MENTAL PRODUCTS
AND THE SECOND EIGHT AT MINIMUM
FRANK I COULD SENSE FOR FIRST
YEAR PARKER'S. ANYONE. THE
LIGHT. I AM BACK OUT BE THE
SPELL GO ON FOR SEVERAL YEARS
SO THOSE ARE MAIN I ALL HAVE TO
CAME ALL THE LINE DEPART OF
FINANCING WE ARE READY UNIT AND
WE'LL BE HAPPY TO TAKE ANY.
AFTER THE LA. THE THING YOU L.
L. ANY A- COMMENTS. AS CHAIR
THIS IS GABE HEADACHE AT THIS
TIME I'M HERE WITH MY-
COLLEAGUE BRAIN YOU ARE FOR ANY
TECHNICAL QUESTIONS BUT IT THIS
TIME WE DON'T HAVE ANY FURTHER
COMMENTS ON. GOING TO THE
COMMITTEE QUESTIONS MISTRAL NOT.
I THANK YOU MISTER CHAIR FOR
THE DEPARTMENT OF FINANCE AND A
QUESTION ABOUT THE LIMITATION
IN THIS BILL OF A FIVE MILLION
DOLLAR CAP ON TAX CREDITS FOR
AN INDIVIDUAL TAXPAYER SO MY
UNDERSTANDING IS THAT THIS IS
A- PROPOSED BE RETROACTIVE THE
BEGINNING OF THIS YEAR. SO MY
QUESTION IS- IN IN A SITUATION
WHERE FOR EXAMPLE A FILM STUDIO
WAS IN RELIANCE ON THE MOTION
PICTURE OF PRODUCTION TAX
CREDIT HAD ARRANGED FOR SOME
FILMING TO BE DONE IN
CALIFORNIA IN THE FIRST QUARTER
OF THIS YEAR. ARE WE SAID WE
ARE ATTRACTIVELY DISALLOW
BUYING THE USE OF THAT TAX
CREDIT STAND THAT REPORT. OKAY
SO. IF YOU WANT A COMPANY'S
CREDIT YOU ARE CORRECT THAT THE
GATE BACK TO THE BEGINNING OF
THE CURRENT YEAR- I WILL SAY
THAT GENERALLY WHEN IT COMES TO
THESE TYPES THAT. TAX MEASURES
AND AT THE CONFORMITY NECESSARY
THAT WE ALL DISCUSSED AND
WORKED ON A YEAR AGO WAS
INNOCENT MORE BOKEH GENERALLY
WHEN WE WERE DISCUSSING THE
SACK. THANK YOU OFTEN GO RECTOR
ACT THE BEGINNING OF THE YEAR
AND I THINK IN THIS YEAR. IN
PARTICULAR BECAUSE THAT YOU
KNOW KOBE IT APPEARED ON THE
SCENE IN JANUARY AN-
IMMEDIATELY BEGAN TO HAVE AN
IMPACT AND THEN BY MARCH IS
WHEN WE SAW THAT STAY AT HOME
ORDER SO WE BELIEVE. IT IS
APPROPRIATE I THINK. WHEN THANK
YOU THE SIDE THAT SOMEONE IN
THE EXTENT THAT YOU JUST GOT
WERE ON A TO YOU THAT CREDIT
RIGHT NOW IT MAY NOT BE IDEAL
THEY MAY WANT USE IT NOW
UNDERSTAND BUT THEY WOULD BE
ABLE TO USE THAT IN A FUTURE
YEAR UNDER OUR- OKAY SO- I FIND
THAT VERY DISAPPOINTING. YOU
KNOW THESE COMPANIES THAT MADE
GOOD FAITH DECISIONS BASED ON
THE EXISTENCE OF STATE LAW WHEN
THOSE DECISIONS WERE MADE AND I
DON'T THINK THE STATE IS ACTING
IN GOOD FAITH. IF WE THEN
RETROACTIVELY REACH BACK IN
DISALLOW THOSE TAX CREDITS I
MEAN WE COULD TALK ABOUT DOING
PROSPECTIVELY BUT BUT TO HAVE
IT BE RETROACTIVE SEEMS TO ME
TO BE- TO BE COMPLETELY ON
JUST. OP I WANT TO SHIFT
DISCUSSION IF I COULD TO THE
DISALLOWANCE OF THE DEDUCTION
FOR NET OPERATING LOSSES A AND
R. I REMEMBER THAT WE DID THIS.
THE END DURING THE GREAT
RECESSION A SIMILAR A
PROHIBITION AGAINST THE USE OF
THEM BUT AS I RECALL. THAT
PROHIBITION WAS ONLY FOR TWO
YEARS AND THAT WAS IN THE MIDST
OF THE GREATEST RECESSION SINCE
THE GREAT DEPRESSION- THIS
PROPOSAL IS FOR A THREE YEAR
DISALLOWANCE OF THOSE NOT A
PROPERTY LOSSES- SO I'M
WONDERING WHY THREE YEARS WHY
NOT TWO YEARS AND WHY IS THIS
SITUATION MORE DIRE THAN THAT
ONE WAS. AND THE QUESTION OF
WHY IT SHOULD BE- WHY WE ARE
PROPOSING A THREE YEAR PERIOD
RATHER THAN A TWO YEAR PERIOD
I'LL COMMENT VERY BRIEFLY IN
NINETEEN CHAMBER WHEN THEY-
WAIT. WHILE WHILE I. A GREAT
VIEW THE PROCESS THE QUE SE IN
THE GRAY RECESSION CERTAINLY
WHAT WE ARE BEING MAINTAINED-
THE MULTI YEAR FORECAST THAT WE
HAVE THE DEPARTMENT OF FINANCE
TO PUT FORWARD. IS THAT ACT
HAVE BEEN USED. HOWEVER THE
THAT WE HAD PROJECTED BY CHEN.
FIRST YEARS YOU KNOW ON YEARS
OR OR EVEN MORE THAN THAT AND
SO WE FELT THAT A THREE YEAR
PERIOD OF WHAT'S APPROPRIATE-
AND WHEN THE ECONOMY DOES NOT
COVER THOSE ENTITIES WITHIN
THAT OPERATING LOSSES WILL BE
ABLE TO USE THOSE CREDITS SO IN
THAT SENSE- THE STATE WOULD
ACTUALLY. BE RECEIVING LESS
READING YOU IN THOSE YEARS AND
WE OTHERWISE WORKED SO I THINK
I CAN SPEAK DIRECTLY WHEN IT
COMES TO THE PROJECTIONS THAT
WE'RE SEEING NOW WHILE WE VERY
MUCH HOPE THAT IN ONE YEAR OR
TWO YEARS. I NEED BE GOING UP
WELL ABOVE OUR PROJECTIONS
RIGHT NOW GIVEN WHAT WE'RE
BEING WE BELIEVE THAT THESE
TEMPORARY CHANGES YOU NEED TO
BE A FACTOR FOR THREE YEARS
BECAUSE THE REVENUE GAP THAT
WE'RE SEEING ARE NOT. WAIT FOR
THE NEXT YEAR BUT ARE FORTY
YEARS AFTER THAT. OKAY I'M I'M
NOT SURE ON FALL THE RE.
BECAUSE NO NO THE PROJECTIONS
THAT I'VE SEEN. INDICATE THAT
THIS RECESSION IS GOING TO BE
MORE SEVERE THAN. THE GREAT
RECESSION. AND YOU KNOW THAT
SEEMS TO BE THE ARGUMENT THAT
THAT YOU'RE MAKING IS THAT- YOU
KNOW THAT THIS IS THIS THAT
MERITS A THREE YEAR.
DISALLOWANCE INSTEAD OF A TWO
YEAR DISALLOWANCE BUT I MEAN
THERE'S A LARGER ISSUE OF
FAIRNESS HERE I THINK WHICH IS
THAT- THE WE HAVE BUSINESSES
ACROSS CALIFORNIA WHO ARE
SUFFERING BECAUSE OF AN ACTION.
THAT THEIR GOVERNMENT TOOK IN
CLOSING DOWN THE ECONOMY IN
RESPONSE TO CORONAVIRUS SO.
THOSE BUSINESSES ARE GOING TO
REQUIRE AN INJECTION OF
CAPITAL. THIS YEAR JUST TO KEEP
THEIR DOORS OPEN SO THAT'S
GOING TO CREATE A NOT OPERATING
LOSS THIS YEAR. THEN TAKE THOSE
BUSINESSES THAT NEXT YEAR SURE
THEIR BUSINESS COVER A LITTLE
BIT TO THE POINT WHERE THEY'RE
MAKING A PROFIT. THAT THEY'RE
NOT I'M ABLE TO RECOGNIZE THAT
LOSS IN THE CAPITAL WAS
REQUIRED TO KEEP THEIR BUSINESS
OPEN. I THINK IT'S VERY UNFAIR
SO- THAT'S ONE OF THE REASONS
THAT I REALLY A PROBLEM WITH
THIS. BUT THANK YOU FOR YOUR
QUESTIONS. THANK QUESTIONS FOR.
FINANCE OR ALEJO. OKAY SEEING
NONE THE WE'RE GOING TO MOVE
TO- PUBLIC COMMENTS IS THERE
ANY PUBLIC COMMENT IN THE
GALLERY OR IN PERSON WE HAVE
ONE. A MESSAGE MISTERCHAIR
MEMBERS A CHRISTMAS KAYLEE ON
BEHALF OF COUNTY THE COMPUTING
TECHNOLOGY INDUSTRY ASSOCIATION
WE ARE OPPOSED TO PROVISIONS OF
YOU AS YOU'VE HEARD ME BEFORE.
ON SB ONE FOURTEEN WHICH IS THE
ANNA WELL SUSPENSION AS WELL AS
THE LIMITATION ON TAX CREDIT
USAGE BY BUSINESSES- OUR
CONCERNS ARE THAT THIS IS
TAKING MONEY AWAY FROM
BUSINESSES AT A CRITICAL TIME
IT WILL LIMIT THEIR ABILITY TO
INVEST- TO HIRE AND PAY WAGES.
AND FRANKLY TO DO MORE ARE IN
D. WHICH IS SO CRITICAL AT THIS
TIME PERIOD I WOULD NOTE IN
ECHO THE COMMENTS OF YOUR VICE
CHAIR- OUR CONCERN IS WHEN
WE'VE DONE THE AND A WELL
SUSPENSION IN THE PRIOR TO
INSTANCES IT WAS FOR TWO YEARS
AND NOT FOR THREE. WE ACTUALLY
URGE YOU TO DO A ONE YEAR AND
RE EXAMINE IT THE OTHER THING
IS THAT WE THE LEAD. AND IN THE
END A WELL FOR TWO YEARS.
PREVIOUS IS THERE TIME IF YOU
WILL SWEETENERS ON THE IN THEY
CAME BACK EXISTENCE. AND SO WE
WOULD LIKE TO SEE THAT AND ON
THE TAX CREDIT THE LAST TIME WE
DID THAT WE'VE ONLY DONE IT
ONCE. WE DID A 50% LIMITATION
SO WE WOULD APPRECIATE AN
EITHER OR AND HAVE PROVIDED
YOUR COMMITTEE SOME SUGGESTED
AMENDMENTS THAT WOULD. HOLD
MOST OF THE REVENUE INCREASE
FOR THIS FISCAL YEAR. BUT THEN
LET'S RE EXAMINE IT NEXT SPRING
THANK YOU MISTER CHAIR. THANK
YOU ANY OTHER PUBLIC COMMENT IN
THE GALLERY. THREE NINE WILL
GONNA MOVE TO OUR PHONE LINE-
ANY PUBLIC COMMENT ON THE
PHONE. AND THIS IS FOR EITHER
BILL EITHER SB NINETY SEVEN OR
SB ONE ONE FOUR. I ACTUALLY DID
SAY YOU'RE GOING TO THE PHONE
NINE CORRECT. OKAY YOU CAN
OPERATE A YOU CAN START. PUBLIC
FROM THE FAMILY. YES OKAY WELL
THAT ALIGN SIXTY PLEASE GO
AHEAD. GOOD MORNING FAIR ABOUT
THIS IS THE CALIFORNIA
ASSOCIATION OF PROFESSIONAL
CALLING. HE SHOULD HAVE A
BALANCED APPROACH THAT
RECOGNIZES THE REALITY THAT
SCHOOL DISTRICT NEEDS ABILITY
PREDICTABILITY APPROPRIATELY-
RE OPENED SCHOOL SAFELY WE ALSO
APPRECIATE THAT LEGISLATIVE
ACTION SIX AND EIGHTY A HOLD
HARMLESS FOR TWENTY TWENTY
TWENTY ONE AND ONE IN THE LOCAL
DISTRICTS TO DEFINE AND
IMPLEMENT EDUCATIONAL LEARNING
ENVIRONMENTS AND THE COMMON
NINETEEN PUT UP. RECOMMENDED BY
THE STATE AND FEDERAL AGENCIES
THANK YOU SO MUCH. NEXT. NINE
FIFTY SIX. ON BEHALF OF AB. CA
NINETY SEVEN WITH THE FOR THOSE
AT. WITH THE EXCEPTION MEASURE
THAT OUT FOR THE CURRENT FISCAL
YEAR FOR THE BUDGET. HELLO
SCHOOL. AND SCHOOLS PROJECT
WHEN THAT IS GOING PROPOSE IS A
100% INCREASE IN THE. ACCOUNTS
OF THE TIME THE MAP BY THE
GOVERNOR AND THE MAYOR VERSION.
ACCORDING TO A GALLON OF THE
FOR. SAME WITHOUT FOREMOST
ABOUT THIS NINETY HOW IN THE
CAR YEAR THE REVENUE AND FALL
OFF THE CLIFF INTO. THEIR
LIKELY BE AN OVER APPROPRIATION
OF MINIMUM. NINETY AT A MINIMUM
FOR IN THE PLEDGE YEAR THIS
SHOULD MAKE FAITH EFFORT TO OUR-
PARTICULAR TO THE EXTENT THAT
PRACTICALLY OVERALL COP. NINETY
TO PROP. DO NOT EXCEED THE
GUARANTEE UNDER THE
ARCHITECTURE OF THE AGREEMENT
IN THE BUDGET YEAR AND FINALLY
ON A TECHNICAL NOTE WHATEVER
THE DOLLAR. LEVEL BUT SHOULD
EXEMPTION I COMMEND THE
LEGISLATURE. BUDGET PROVIDE THE
DIRECTOR OF FINANCE THIRTY TO
INCREASE YOU KNOW HOW TO BEFORE
OUR TRIP TO PHONES WITHOUT
HAVING TO COME BACK TO THE
LEGISLATURE TO ENACT THE MAN AT
NEW MEASURE EXCUSE ME. YOU
ACCESS LINE SIXTY FOUR. GOOD
MORNING MISTER CHAIR MEMBERS OF
THE COMMITTEE MY NAME IS DUSTIN
WHETHER BE WITH THE CALIFORNIA
TAXPAYERS ASSOCIATION AND I'M
SPEAKING ON BEHALF OF A LARGE A
BROAD COALITION OF FIFTY SEVEN
TAXPAYERS THERE IN OPPOSITION
TO NINE POINT TWO BILLION
DOLLAR TAX PROPOSALS CONTAINED
EIGHTY EIGHTY FIVE SB ONE
FOURTEEN WHICH TO SPEND THE AND
A WELL PRODUCTION AND LIMóN
TAX INCENTIVES. THIS TAX
INCREASE FARM CALIFORNIA'S
BUSINESSES AND SIGNIFICANTLY
SLOW DOWN THE STATE ECONOMIC
RECOVERY EIGHTY BUDGET AT FROM
THE LA OUT IT MIGHT MEAN EVEN
CLEAR IF HE BE EIGHTY FIVE SB
ONE FOURTEEN IS EVEN NECESSARY
SO AT THE VERY LEAST WE
ENCOURAGE A LOT LEGISLATURE BE
SURE WHETHER THIS BILL
HAPPINESS AT THE TIME THANK YOU
FOR YOUR- NEXT. LINE. SEVENTY
ONE. HI GOOD MORNING MY NAME IS
NINA WHAT A HORRIBLE CALIFORNIA
APPRECIATE HEARING COULD I JUST
WANT TO AGAIN. I WILL SUPPORT
FOR THE LEGISLATIVE PROPOSAL
BUT THE JUDGE'S PRACTITIONER
PROGRAM. ALABAMA AND ESPECIALLY
AMONG THE NATIONS FEEDBACK
ABOUT THE P. DOESN'T DENY HFA
IN A RESOURCE COMPANIES I MEAN
THERE ARE AND ALSO WITH FOCUSED
ON. FOR THE GOVERNOR'S. FAMILY
ONLINE AND LOOKING FORWARD TO
FURTHER ACTION ALL. QUIRK NEXT
TO MINE SEVENTY THREE. GOOD
MORNING MISTER CHAIR MEMBERS OF
THE COMMITTEE STEPHANIE GOLDMAN
ON BEHALF OF THE FACULTY
ASSOCIATION OF THE CALIFORNIA
COMMUNITY COLLEGES SPEAKING TO
AT EIGHTY SEVEN WE APPRECIATE
AND PREFERRED APPROACH THE CAST
IMPORTANT TO NOTE THAT THE
GIRLS WILL IMPACT EACH
DIFFERENT DISTRICT DIFFERENTLY.
WHAT THE GRATEFUL TO THE
ASSEMBLY PROPOSAL MADE CALTRAIN
TO BRING MORE FUNDING FOR
EXISTING ACCREDITED COLLEGES
FUNDING STRONG WORKFORCE
EXPANDING IT FUNDING FOR PART
TIME FACULTY AT THE STUDENT
CENTER IN MUCH NEEDED.
INVESTMENT THAT. THANK YOU FOR
LEADERSHIP IN YOUR OF ART CALL.
NEXT. SIXTY NINE. HI MY NAME
CRISTINA GARCIA AND I'M CALLING
IN ON BEHALF OF THE U. D. W.
THE UNITED AMERICAN WORKERS I
REPRESENTING I JUST THAT'S
PROVIDERS- WE ARE IN ORDER OF
THE REVENUE PROPOSALS THAT ARE
BEING CONSIDERED TODAY THE
REALITY THAT WE CAN'T BALANCE
THE BUDGET SIMPLY BY PROGRAM
THIRD WORKING FAMILIES AND
QUIRK ANGELA GREEN. THERE HAVE
FAIRS ERROR AND COMPANIES. THAT
HAVE BENEFITTED. FORTUNATELY
FROM THE TRUCK PACKED. NEED TO
BE ABLE TO PAY INTO
CALIFORNIA'S PROGRAM AND THE
REALITY IS WE HAVE SEEN PEOPLE
INCOME AND WEALTH ROLE DURING
THE PANDEMIC THE WEALTHY HAVE
GOTTEN WEALTHIER WE CANNOT
BALANCE THE CALIFORNIA BUDGET
ON THE BACKS OF COURSE PEOPLE
WE HAVE ASKED. FOR HAVE MORE
WEALTH THAN THEY KNOW WHAT TO
DO IF YOU PAY INTO ARE. YOU
NEXT LINE SEVENTY FIVE. GOOD
MORNING CHEN MEMBERS CAME AND
DIMITRI WITH TECH RIGHT KEPT
THAT THE NAME BECAUSE AS P. ONE
HUNDRED AND FOURTEEN CAN
INCLUSION OF THE NOT OPERATING
LOSSES TENSION AND THE X. TAX
CREDIT IMITATION WHEN I
CAROLINA COMMENTS WITH THERE'S
A COUNTY- AS MENTIONED IN PRIOR
YEARS WHEN BOTH AND ALLOW
SUSPENSION TAX LIMITATIONS WERE
USED TO HELP PROVIDE ADDITIONAL
STATE GENERAL FUND RESEARCH
REVENUE RESOURCES THERE ARE
TRADE OFFS AND IMITATIONS TO BE
NINETY YEARS THESE PROPOSALS
WERE USE. VISUALLY AND
IMPORTANT TO NOTE THAT THE
RESEARCH AND DEVELOPMENT TAX
CREDIT IS PRIMARILY BASED UPON
WAGES PAID TO OUR AND THE
PROFESSIONALS THE ACTIVITY THAT
MUST OCCUR IN CALIFORNIA THAT'S
THE ARMY CREDIT COULD BE
CONSIDERED AS A CREDIT TO
HIRING. EMPLOYED WELL PAID AN
ARM THE PROFESSIONALS IN A TIME
OF RECORD. HIGH ON. TURNING
COMMENTS PER ONE AT THE TIME.
ANY OTHER PUBLIC COMMENT
OPERATOR. WE HAVE ONE MORE INCH
HEEL. TWO MORE AND ONE MOMENT
ON THEM AND- BOTTOM LINE EIGHTY.
THEY WERE TRADE OFF THIS YEAR'S
ALMOST. IMPORTANT OUT
EVERYTHING WITHOUT. THEY ARE.
PLEASE PLEASE GO. ACCORDING
PEOPLE INVOLVED ARE. I THANK
YOU CAN'T HEAR HIM YEAH. I
CAN'T HEAR YOU FOR WHOEVER'S
SPEAKING A MAKING PUBLIC
COMMENTS VERY DIFFICULT TO HEAR
YOU DON'T KNOW IF YOU CAN. TAKE
IT OFF ON A SPEAKER PHONE OR-
TAKEN OFF YOUR HEAD SET. WE'RE
GONNA AT SOMEONE IN NEXT NINE
NINE NINE SEVENTY. HEADLINE
SEVENTY SEVEN ZERO. YOU HAVE IT
ON MUTE. YEAH HI HELLO MY NAME
IS MARLIN I FEEL AND I'M
CALLING FROM THE WORLD HEALTH
YOU THINK RUNNING WHERE WE
PROVIDE THEIR DIRECT. MEDICAL
MENTAL HEALTH SERVICES TO A
COLLEAGUE WHEN THEY'RE RELEASED
FROM PRISON AND WE HAVE
DIRECTOR FRANK RIGHT FROM
PRISON AND THEY'VE BEEN
SPENDING. THAT TIME ON THEIR
THEIR PHONE MENTAL HEALTH
SERVICES WITH THAT. WE PROVIDE-
YOU KNOW MEDICATION MANAGEMENT
AND COUNSELING AND I KNOW YOU
KNOW WE SPOKE A LOT ABOUT WHAT
THROW OUT USING CLINIC DOES AND
I WANTED TO CALL IN TODAY TO
REINFORCE THAT. WE ARE VERY OF
THE BRIDGE THAT HAS BEEN
PROVIDING SERVICES DIRECTLY
FROM PRESIDENT TRUMP FOR ALL
THAT HELP THEM. FOR ONLY A
STABILIZE ABILITIES SO THAT
THEY COUNTY FOR EXAMPLE WHEN
THEY DO. GET THE COMMUNITY
BASED SERVICE. I REALLY AM VERY.
CONSIDERATE THAT. I SERVICE
THAT WE PROVIDE THE KIND OF
CARE AND THE BREAD THAT IS
ESSENTIAL IN KEEPING OUR SAY
AND ARE THE STATE AND THIS AND
THANK YOU SO MUCH FOR YOUR TIME.
THANK YOU WE HAVE ANOTHER
CALLER BACK OPERATOR. THERE ARE
NO FURTHER COMMENT. OKAY THANK
YOU SINGLE FOR THE COMMON SAY
NO ADDITIONAL COMMENTS FROM THE
COMMITTEE WE WILL A JERK.