Office of Legislative Affairs - "The Friday Wrap-Up"

 

 
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CEO/Office of Legislative Affairs - The Friday Wrap-Up
July 2, 2026 Volume 12 Issue 26
 
Board Actions

The Board of Supervisors is not scheduled to meet in the month of July.  

The next Board of Supervisors meeting is scheduled for August 11, 2026, at 9:30 am.

 
Table of Contents
orange arrow Board Actions
orange arrow County Legislation Position
orange arrow Sacramento Update
orange arrow Washington D.C. Update
orange arrow Weekly Clips
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County Legislation Position

 
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Sacramento Update
Prepared by Precision Advocacy

The legislature is finishing up the final week of policy committee hearings before the summer recess, with members scheduled to leave Sacramento until August 3. When they return, the legislature will have the month of August to move remaining measures through fiscal committees and complete floor votes before the end-of-session deadline. As a result, the next several weeks will be important for tracking which policy bills continue to advance, which measures are held in fiscal committees, and which issues are carried into the final negotiations of the legislative year.

This report provides an update on several issues of importance to Orange County, including the final 2026-27 State Budget Act, new recommendations from the California Voter Foundation to improve ballot processing and speed election results, and the Legislative Analyst’s Office review of 2011 Public Safety Realignment. Together, these items highlight the continued pressure on counties to implement major state and federal policy decisions while managing local fiscal constraints, service demands, and public expectations.

Final 2026-27 Budget Act

The final budget agreement between the legislature and governor, signed into law on June 29, balances the state General Fund for both 2026-27 and 2027-28. The budget includes $351.7 billion in total expenditures, including $251.5 billion General Fund, and lowers the projected structural deficit compared to both the governor’s May Revision and the legislature’s June 15 budget plan. The final budget was aimed at protecting core programs, delaying certain cuts, building reserves, and cutting the long-term structural deficit in half.

During the Assembly Budget Committee hearing reviewing the budget package, Chair Jesse Gabriel (D-Encino) framed the final agreement as an effort to balance compassion and fiscal responsibility while protecting core programs for families, seniors, veterans, and vulnerable communities. He also specifically credited Assemblymember Sharon Quirk-Silva for her leadership on housing, stating that her “fingerprints” were on the affordable housing funding and housing bond work included in the budget package.

H.R. 1 and County Eligibility Administration. One of the most important Orange County outcomes is the inclusion of county eligibility administration funding tied to H.R. 1 implementation. The final budget includes approximately $197 million General Fund for Medi-Cal county eligibility workload, matching Orange County’s 2026-27 statewide request. This funding will help counties respond to increased Medi-Cal workload, redeterminations, and beneficiary support needs resulting from federal changes.

The final budget also includes $223 million one-time General Fund for CalFresh county eligibility related to H.R. 1 implementation, available through June 30, 2029. This is above Orange County’s 2026-27 request of approximately $102 million statewide, although the net increase for 2026-27 is closer to $180 million because of underlying base adjustments. The human services trailer bill also includes a three-year CalFresh county match waiver, allowing counties to draw down the full amount of federal and state funds once they reach 2024-25 county contribution levels.

These county administration investments were also highlighted during public comment in the Senate Budget Committee, where the County Welfare Directors Association thanked the Senate for listening to county directors and eligibility workers and said the funding would help preserve the “human touch” needed to help residents navigate red tape and keep health care and food assistance.

However, the final budget does not include Orange County’s requested funding for indigent care funding. This is significant for counties preparing for residents who may lose Medi-Cal coverage because of H.R. 1 and turn to county safety-net systems. The final budget also does not include H.R. 1-related behavioral health backfill.

Medi-Cal and Health Care. The final budget protects or delays several Medi-Cal cuts but does not fully eliminate future risk. The budget keeps the current Medi-Cal asset limit in place for 2026-27 and delays implementation of a lower asset limit until July 1, 2027, when it will be set at $21,000 for an individual and $31,000 for a couple, rather than the Governor’s proposed immediate return to $2,000 and $3,000.

The budget also delays restricted-scope Medi-Cal changes for asylees and other qualified immigrants until 2027-28 and provides funding to maintain full-scope Medi-Cal for those populations through the 2026-27 budget year. It prevents an automatic premium increase next year for Medi-Cal enrollees with unsatisfactory immigration status and instead requires the 2027 May Revision to set a premium level of up to $50 per month, effective July 1, 2027.

The budget moves forward with transitioning Medi-Cal beneficiaries with unsatisfactory immigration status from managed care to fee-for-service effective January 1, 2027. To support that transition, the final budget includes $39 million for care coordination resources, clinic and community-based organization navigators, language access, member outreach, and related transition supports.

The budget also includes $250 million General Fund to support designated public hospitals, $90 million General Fund for distressed hospitals, and authority for an additional $50 million augmentation if needed. These investments are important for the broader health care safety net, though they do not substitute for the county indigent care funding Orange County requested.

The final budget includes $42.2 million one-time General Fund to extend the Medi-Cal community-based mobile crisis response benefit until June 30, 2027. This is a partial win for Orange County, which supported continued funding for mobile crisis teams dispatched through 988 centers. However, it remains a short-term bridge rather than a permanent solution for counties.

In-Home Supportive Services (IHSS), CalFood, and Human Services. Counties secured a major win with the rejection of the proposed In-Home Supportive Services cost shift. The final budget rejects the administration’s proposal to shift the cost of growth in IHSS assessed hours to counties, avoiding a significant new county cost exposure beginning in 2027-28. The final budget also rejects the proposed elimination of the IHSS Backup Provider System and rejects automatic termination of IHSS eligibility when Medi-Cal eligibility is lost.

The budget also rejects the governor’s proposed Adult Protective Services (APS) cuts and preserves the APS expansion and enhanced case management. This is important for Orange County’s older adult and dependent adult safety net.

The final budget provides $108 million General Fund for CalFood, including $70 million above the governor’s proposal, to help keep food banks stocked. This is particularly important as counties prepare for increased food insecurity resulting from federal CalFresh changes.

Homelessness and Housing. The final budget provides $900 million one-time for Homeless Housing, Assistance, and Prevention (HHAP) Round 7, $400 million more than the governor’s proposal. The funding will be administered as additional supplements to Round 6 rather than requiring an entirely new application, and 97% of the funding is expected to go out as grants to counties, cities, and continuums of care. This is a positive outcome for Orange County and local homelessness response partners, although the final budget does not authorize HHAP Round 8 or provide an ongoing funding commitment.

Assemblymember Sharon Quirk-Silva focused her Budget Committee comments on housing and homelessness funding. She noted that the legislature had fought for several years to bring more funding not only into HHAP, but also into programs that have shown results, including the Multifamily Housing Program, Low-Income Housing Tax Credits, and the housing bond. She said she was “very happy” to see HHAP funded at $900 million but also raised a concern that surrounding cities often experience homelessness impacts without receiving the same direct funding as larger jurisdictions. She specifically referenced Fullerton and the North Service Planning Area as an example of local communities that are trying to respond to homelessness with limited direct resources.

Senator Catherine Blakespear also highlighted the importance of HHAP Round 7 during the Senate Budget and Fiscal Review Committee hearing, stating that the $900 million is critical for local governments trying to move people off the streets and into shelter, housing, and services. Her comments reinforce the local government case for flexible, sustained homelessness funding.

The final budget also includes $500 million for enhanced state Low-Income Housing Tax Credits, $200 million for the Multifamily Housing Program, and $100 million for housing stability programs, including $25 million for the Housing Disability Advocacy Program, $50 million for Home Safe, $15 million for Bringing Families Home, and $10 million for the CalWORKs Housing Support Program.

One Orange County-specific housing item included in the budget package is $500,000 to the Department of Housing and Community Development for Orange County United Way for a regional pilot program to build more online awareness about affordable housing opportunities.

However, the budget also adopts housing trailer bill language limiting counties’ ability to impose certain non-utility development impact fees on state-funded affordable housing grants when the county is the lead applicant. Beginning July 1, 2027, lead-applicant counties must waive certain fees as a condition of receiving state affordable housing grants, or the state may reduce the grant award by that amount. This is a significant implementation issue for Orange County and any county considering whether to serve as a lead applicant for state affordable housing funds.

Proposition 36, Courts, and Public Safety. The budget includes a net-zero shift of Proposition 36 General Fund resources to provide $20 million for pretrial services, $10 million for courts, and $20 million for behavioral health. It also includes $3.5 million General Fund to establish a CARE Court Referral and Petition Pipeline and makes technical changes to CARE funding.

Senator Blakespear questioned how Proposition 36 implementation funding would be distributed and emphasized that, for implementation to be effective, the state needs to continue supporting behavioral health capacity. She noted that counties had requested substantially more funding and underscored that the behavioral health component is particularly important to making Proposition 36 work. She also asked about the CARE referral and petition pipeline, noting that CARE Court is only useful if families, providers, and local systems can actually access it and move through the process.

The final budget includes $150 million in 2026-27 for courthouse deferred maintenance and $100 million in 2026-27, plus $44 million ongoing, for new judgeships and associated facility costs, resulting in 13 new judgeships over the next five years. The courts trailer bill also extends remote hearing authority until 2032.

Other public safety investments include $50 million one-time General Fund for Victims of Crime Act funding, $80 million ongoing for the Nonprofit Security Grant Program, $20 million for Court Appointed Special Advocates, $10 million for human trafficking vertical prosecution grants, $10 million for human trafficking victim programs, $20 million for the RIGHT Grant, and one-time funding for Next Generation 9-1-1 implementation.

Veterans Services. The final budget includes $6 million General Fund for County Veterans Services Offices and $7 million General Fund for Support to Self-Reliance for Veterans, which supports at-risk or homeless veterans.

Elections. The final budget includes $34 million in one-time resources for county election administration to expedite vote counting and support voter outreach and education before the November 3, 2026, statewide general election.

Natural Resources, Climate, Transportation, and Local Infrastructure. The final budget defers Proposition 4 climate bond allocation decisions until August budget legislation. This means Orange County will need to continue monitoring the August budget package for potential wildfire prevention, climate resilience, coastal, parks, water, and related funding opportunities.

The budget includes $356 million for clean trucks, buses, and cars, including $85 million over five years for Clean Cars 4 All for low-income households. It also includes $150 million General Fund for the Community Air Protection Program.

Senator Blakespear raised several natural resources and transportation issues during the Senate Budget Committee hearing. She supported investments tied to natural and working lands, habitat restoration, public access, climate resilience, the State Parks Library Pass Program, and improvements to the state parks reservation system. She also noted disappointment that the budget did not include funding for a wildlife coexistence program and expressed concern that transit farebox relief is not the same as long-term transit stabilization.

The Sustainable Aviation Fuel tax credit proposal was deferred to additional summer negotiations. This remains an item to watch because CSAC has opposed the proposal due to concerns that it could reduce funding for county streets, roads, and bridges.

Revenues and State Fiscal Package. The final budget reflects several major revenue-related actions, including digital software sales tax changes, business tax credit limitations, and a revised federally compliant Managed Care Organization tax framework. The budget also advances a “Fair Share from Big Corporations” discussion, requiring the Department of Finance to provide draft options by March or April 2027 to hold large employers accountable when employees rely on Medi-Cal.

The final budget also includes tax-related provisions reducing the annual minimum franchise tax for limited liability companies from $800 to $400 for the first taxable year in 2027, 2028, and 2029, extending CalCompetes tax credits through the 2034 taxable year, and making technical tax conformity changes.

Overall, the final budget delivers meaningful near-term support for Orange County and county government generally. It funds Medi-Cal and CalFresh county eligibility workload tied to H.R. 1, protects counties from a major IHSS cost shift, rejects APS cuts, increases CalFood support, funds HHAP Round 7 at $900 million, provides partial Proposition 36 implementation funding, supports courts and public safety programs, and includes targeted veterans and housing investments.

At the same time, the final budget does not fully address the downstream county impacts of H.R. 1. Orange County should continue to monitor trailer bill implementation, August budget legislation, the 2027-28 budget process, and future negotiations around homelessness funding, Proposition 4, behavioral health, county indigent care, and affordable housing fee limitations.

California Voter Foundation Recommends for Efficiencies in Ballot Processing

The California Voter Foundation (CVF) recently released California’s Long Count: Examining Efficiencies in Ballot Processing for Earlier Election Results, an in-depth review of California’s ballot processing challenges and potential ways to produce faster election results without reducing voter access. The report comes at a critical time, only a few months before the November election and shortly after California’s June primary, which again took several weeks to fully process and certify statewide. CVF’s central finding is that California’s long count is not simply a function of the state’s size or its vote-by-mail system; instead, ballot-processing practices, equipment, staffing, space, voter behavior, and statutory requirements all contribute to the pace of results.

For Orange County, the report is particularly relevant because the county was one of three counties examined in CVF’s case studies. The report notes that Orange County has already made significant improvements through investments in ballot-processing equipment, personnel changes, and warehouse reorganization. CVF specifically cites Orange County’s purchase of two ballot sorters, eight extractors, and a new inserter, supported by a $4 million one-time investment authorized by the Board of Supervisors in 2022-23.

The report identifies several factors that affect how quickly counties can tabulate ballots. One of the largest is when voters return vote-by-mail ballots. Ballots returned on Election Day create a “pig in the python” effect, because they arrive all at once and require signature verification, envelope opening, ballot extraction, flattening, scanning, and in some cases, signature curing or duplication before they can be counted. Orange County’s June primary demonstrates the scale of that challenge. The county’s Registrar reported that the county received more than 268,000 vote-by-mail ballots on or after Election Day yet still reported results from at least 95% of accepted ballots within seven days.

The state’s accessibility and voter protection laws also add time to the count. Signature curing is an important protection that allows voters to correct a missing or non-matching signature so their ballot can be counted, but it requires counties to notify voters and then wait for voter action. CVF notes that missing or non-matching signatures are the leading reason vote-by-mail ballots are rejected, and that the curing process is important for maximizing voter participation even though it adds administrative complexity. Provisional and conditional voter registration ballots also require additional verification, including coordination through VoteCal and checks to ensure a voter has not already cast another ballot.

The report comes as California’s vote count continues to receive national attention. Criticism of California’s slow results has grown, particularly in close races where delayed results can fuel public distrust or misinformation. At the same time, the U.S. Supreme Court recently upheld Mississippi’s grace period for counting mail ballots postmarked by Election Day but received afterward, holding that federal law does not require those ballots to be received by Election Day. That ruling is relevant to California because it preserves the broader legal framework for postmarked mail ballots, while leaving the state and counties to continue addressing the operational challenge of counting ballots more efficiently.

The CVF report includes the following recommended interventions intended to maintain current voter access to the ballot while not impacting ballot protection laws designed to maximize voter choices and minimize vote-by-mail ballot rejection.

  • “Sign, Scan, and Go” (or “Sign and Go”) voting. Allowing voters to return their completed vote-by-mail ballots in-person and scanned and processed in real-time. This voting option is being advanced by CVF through SB 1420, which would help raise voter awareness and support county implementation. In the June 2026 primary, 31 of the 58 counties offered voters this option, which eliminates many administrative steps involved in mail ballot processing.
  • Electronic signature curing. Offering voters the option of using a secure text platform to cure their signature. CVF is co-sponsoring legislation, AB 2604, to make this ballot signature curing option more widely available; it is currently utilized by an estimated 21 counties. It reduces the amount of time needed to cure a ballot envelope signature by allowing voters to use their smartphone to log into a secure portal and make and submit a signature via their phone screen for immediate submission rather than using the mail.
  • Voter education and outreach promoting early ballot return and early in-person voting. CVF is advocating for lawmakers to include $35 million in the 2026-27 California Budget to encourage voters to return mail ballots earlier than Election Day or vote in person, and to explain to voters the steps California takes to securely and accurately count ballots which can lead to delays in election results. Funding was included in the final budget for this purpose.

The report also calls for increased resources for counties, including additional ballot-processing equipment, improved ballot-processing space, more consistent VoteCal guidance and training, and additional ballot-processing personnel. CVF recommends state funding for near-term solutions, including voter outreach, and notes that ongoing county funding should be explored as a more sustainable model for election administration. For Orange County, this is a key point: the County has shown that targeted investment can materially improve ballot-processing speed, but elections offices are being asked to meet higher expectations at the same time counties are facing broader fiscal pressure, including Medi-Cal-related funding losses and structural deficits.

Funding has been a major point of contention in recent public discourse. Cal Matters recently reported that Orange County vastly improved their vote counting times, crediting a $4 million investment in new mail-in ballot processing equipment. For the June election, the Orange County Registrar processed more than 807,000 ballots in about a week, with staff working from 8 a.m. to 7 p.m. on weekdays as well as a shift on Saturday. By contrast San Diego County is still reporting results in July according to the Secretary of State’s website, with 5,600 ballots still being processed. All this is coming when counties are already facing a financial squeeze with the loss of federal and state Medi-Cal dollars along with structural deficits that have forced departments to trim their budgets.

Overall, the report positions Orange County as both a case study and a practical example of how state and county investments can improve ballot processing without reducing voter access. The takeaway for Orange County is that faster results are possible, but they require continued investment in equipment, staffing, facility improvements, technology, and voter education. CVF is expected to issue additional recommendations with the twin goals of delivering more timely results and strengthening public confidence in California elections.

CVF is expected to issue additional recommendations to improve the ballot counting process with the twin goals of delivering timely results and strengthening confidence in its elections.

Legislative Analyst’s Office Report on 2011 Public Safety Realignment

The Legislative Analyst’s Office (LAO’s) report on 2011 Realignment, released this week, reviews the long-term results of the 2011 public safety realignment, which shifted responsibility for certain adult felony populations from the state to counties. Realignment permanently moved more criminal justice responsibility to the county level, especially for nonserious, nonviolent, non-sex felony offenders, Post Release Community Supervision (PRCS) populations, and supervision violators, while also shifting dedicated sales tax and vehicle license fee revenues to counties to help cover those costs.

The report shows Orange County in the lower per-capita realignment revenue category, roughly the $30–$40 per-capita range. Because Orange County has a large population, its total realignment funding is still significant, but the per-resident allocation appears lower than many smaller or higher-crime counties. The report also notes that, as part of the 2011 fiscal structure, vehicle license fee revenues that had previously gone to cities and Orange County for general purposes were redirected to help fund realignment.

On sentencing, Orange County appears in the LAO’s county comparison suggesting Orange County uses a mix of straight jail, split jail, felony probation, and prison sentences, with felony probation remaining the dominant disposition. Orange County appears above many reporting counties in the use of straight and split jail sentences combined, though still far below the highest-use counties. This matters because realignment made county jail and probation systems more central to managing felony populations that previously would have been handled by the state.

Orange County has absorbed a more complex county-level criminal justice population since 2011, including people on PRCS who the LAO notes tend to have higher risk scores and higher reconviction rates than people released to state parole. That places pressure not only on the Sheriff and Probation Department, but also on behavioral health, housing, substance use treatment, employment, and reentry services.

The LAO also emphasizes that realignment’s impacts changed over time because of later policy changes, especially Proposition 47, pandemic-era policies, probation term reductions, and now Proposition 36. This means realignment cannot be evaluated in isolation; the county is managing overlapping state policy decisions that collectively affect jail population, probation caseloads, treatment needs, and local public safety operations.

The state continues to rely on counties to carry out major public safety responsibilities, but statewide data remains limited and realignment funding may not fully reflect local operational realities. The LAO specifically notes that limited county-level outcome data makes it difficult to evaluate whether counties have achieved better results than the state. The report’s conclusions underscore the necessity of continued advocacy for stable funding, flexibility, and recognition of county-specific costs tied to jail capacity, probation supervision, reentry services, behavioral health, and public safety impacts.

 

Grant Opportunities

Below is a list of the latest grant opportunities released by the state. All opportunities for local jurisdictions may be found here.

 

Application Deadline: 8/17/26 10:00

Title: Division of Boating and Waterways Clean Vessel Act Education and Outreach Grant FY 2026

State Agency / Department: Department of Parks and Recreation

Match Funding? 25%

Estimated Total Funding: $720,000

Funding Method: Reimbursement(s)

 

Application Deadline: 6/30/27 11:59

Title: Division of Boating and Waterways Local Assistance Pumpout/Dump Station Installation Grant FY26

State Agency / Department: Department of Parks and Recreation

Match Funding? 25%

Estimated Total Funding: $243,000

Funding Method: Reimbursement(s)

 

Application Deadline: 6/30/27 11:59

Title: Division of Boating and Waterways Local Assistance Pumpout/Dump Station/Floating Restroom Operation and Maintenance Grant FY26

State Agency / Department: Department of Parks and Recreation

Match Funding? 25%

Estimated Total Funding: $24,000

Funding Method: Reimbursement(s)

 

Anticipated Open: Summer 2026

Title: 2026 Wildfire Resilience Block Grants

State Agency / Department: Department of Forestry and Fire Protection

Match Funding? No

Estimated Total Funding: $10,000,000

Funding Method: Advances & Reimbursement(s)

 

Governor’s Press Releases

Below is a list of the governor’s press releases beginning June 24.

July 1: Crime reaches historic lows, California’s public safety investments deliver results

July 1: Governor Newsom proclaims Independence Day 2026

July 1: Governor Newsom swears in Rohit Chopra as Secretary of the new California Business and Consumer Services Agency

July 1: Governor Newsom, State Treasurer Fiona Ma, CPA announce collaboration with Early Wealth July 1: Partnership to help families better access financial resources

June 30: Governor Newsom signs legislation 6.30.26

June 30: Governor Newsom announces appointments 6.30.2026

  • Tomiquia Moss, of Oakland, has been appointed Secretary at the California Housing and Homelessness Agency
  • Sasha Kergan, of Sacramento, has been appointed Undersecretary at the California Housing and Homelessness Agency
  • Dhakshike Wickrema, of Los Angeles, has been appointed Deputy Secretary of Homelessness at the California Housing and Homelessness Agency
  • Christina Mun, of Alameda, has been appointed Deputy Secretary of Housing Finance at the California Housing and Homelessness Agency
  • Erica Gonzalez, of Pico Rivera, has been appointed Deputy Secretary of Civil Rights and Strategic Initiatives at the California Housing and Homelessness Agency
  • Kaitlin Talbot, of Sacramento, has been appointed Deputy Secretary of Communications at the California Housing and Homelessness Agency
  • Anastasia Carney, of Sacramento, has been appointed Deputy Secretary of External Affairs at the California Housing and Homelessness Agency
  • Vishesh Anand, of Los Angeles, has been appointed Senior Advisor at the California Housing and Homelessness Agency
  • Patricia “Patti” Ochoa, of Elk Grove, has been appointed Special Assistant to the Secretary at the California Housing and Homelessness Agency
  • Jennifer Hanson, of Sacramento, has been appointed Deputy Director of Communications at the California Department of Housing and Community Development
  • Kevin Hefner, of Sacramento, has been appointed Assistant Director of External Affairs at the California Department of Housing and Community Development
  • Angela Kim, of Sacramento, has been appointed General Counsel at the Housing Development and Finance Committee
  • Dave Rand, of Agoura Hills, has been appointed to the California Housing Finance Agency Board of Directors

June 30: Governor Newsom swears in Tomiquia Moss as Secretary of new California Housing and Homelessness Agency

June 30: Honor Dorm opens as California reaches record-high rehabilitation success, record-low recidivism

June 30: Governor Newsom signs legislation ensuring California won’t subsidize Trump’s January 6 slush fund

June 30: Governor Newsom announces major progress in salmon recovery efforts

June 30: The Constitution prevails, Governor Newsom statement on birthright citizenship

June 29: Governor Newsom signs legislation 6.29.26

June 29: Governor Newsom signs historic balanced state budget, cementing California’s fiscal strength and investing in the state’s future

June 29: Governor Newsom announces appointments 6.29.2026

  • Anna Naimark, of Sacramento, has been appointed Undersecretary at the California Environmental Protection Agency
  • Thomas Gibson, of West Sacramento, has been appointed Director at the California Department of Water Resources
  • Chris Esguerra, of Pasadena, has been appointed Deputy Director and Chief Quality and Medical Officer at the Department of Health Care Services
  • Beatriz Berumen, of Sacramento, has been appointed Chief Deputy General Counsel, Operations in the Office of Legal Affairs at the California Department of Corrections and Rehabilitation
  • Dao Vang, of Stockton, has been appointed Warden of the California Health Care Facility at the California Department of Corrections and Rehabilitation
  • Clifford Kusaj has been appointed to the Board of Parole Hearings. Kusaj has been Clinical and Forensic Psychologist at Private Practice since 2024
  • Rachel Stern has been appointed to the Board of Parole Hearings. Stern has been Deputy Commissioner and Administrative Law Judge I at the Board of Parole Hearings at the California Department of Corrections and Rehabilitation since 2021
  • Jonathan Moscone, of San Francisco, has been appointed to the 1st District Agricultural Association – Cow Palace Fair Board
  • Regina Callan, of San Francisco, has been appointed the 1st District Agricultural Association – Cow Palace Fair Board
  • Anthony Schlander, of San Francisco, has been appointed to the 1st District Agricultural Association – Cow Palace Fair Board
  • Michael Moodian, of Rancho Mission Viejo, has been reappointed to the Commission on Peace Officer Standards and Training

June 29: Governor Newsom signs bipartisan measure giving judges stronger tools to protect public safety, preserve access to mental health treatment

June 29: ICYMI: California’s best-in-class workforce drove nation-leading productivity growth in 2025

June 29: California’s historic investment in youth behavioral health delivers results across the state

June 29: California leaders on Supreme Court upholding access to democracy for millions of Americans

June 29: Governor Newsom announces a first-of-its-kind partnership, providing Anthropic tools to state agencies and improving services for Californians

June 26: Governor Newsom proclaims LGBTQ Pride Month

June 26: Governor Newsom announces appointments 6.26.2026

  • Anthony Serna, of San Diego, has been appointed Deputy Secretary for Rail and Transit at the California State Transportation Agency
  • Peter Ambler, of Oakland, has been appointed to the Milton Marks “Little Hoover” Commission on Government Organization and Economy
  • Jared Blumenfeld, of Belvedere, has been appointed to the State Water Resources Control Board
  • Dorene D’Adamo, of Turlock, has been reappointed to the State Water Resources Control Board
  • Courtney Henderson, of Truckee, has been appointed to the Lahontan Regional Water Quality Control Board
  • Edwin Alonzo, of Victorville, has been appointed to the Lahontan Regional Water Quality Control Board
  • Jim DeBoo, of Sacramento, has been appointed to the Central Valley Flood Protection Board
  • Priti Vakharia, of Newport Beach, has been appointed to the 32nd District Agricultural Association – Orange County Fair Board
  • Michelle Murphy, of Costa Mesa, has been appointed to the 32nd District Agricultural Association – Orange County Fair Board
  • Peter Cipponeri, of Modesto, has been appointed to the 38th District Agricultural Association – Stanislaus County Fair Board

June 26: Governor Newsom, Legislative leaders announce 2026-27 balanced budget agreement that ensures $0 deficit, while funding healthcare and key services

June 26: Governor Newsom announces Judicial Appointments 6.26.2026

  • Stephanie Shirkey, of Sacramento County, has been appointed to serve in an interim appointment as a Judge in the El Dorado County Superior Court.
  • Irene Lee, of Orange County, has been appointed to serve in an interim appointment as a Judge in the Los Angeles County Superior Court
  • Leah Boucek, of San Diego County, has been appointed to serve in an interim appointment as a Judge in the San Diego County Superior Court
  • Haaris Syed, of Los Angeles County, has been appointed to serve as a Judge in the Los Angeles County Superior Court
  • Jennifer Lee, of Alameda County, has been appointed to serve as a Judge in the Los Angeles County Superior Court.
  • Stephen Meister, of Los Angeles County, has been appointed to serve as a Judge in the Los Angeles County Superior Court
  • Thomas Fay, of Orange County, has been appointed to serve as a Judge in the Orange County Superior Court
  • Diana King, of Orange County, has been appointed to serve as a Judge in the Orange County Superior Court
  • Juan Higuera, of Santa Barbara County, has been appointed to serve as a Judge in the Santa Barbara County Superior Court
  • Jeremy Kroger, of Santa Clara County, has been appointed to serve as a Judge in the Santa Clara County Superior Court
  • Bhanu Sadasivan, of Santa Clara County, has been appointed to serve as a Judge in the Santa Clara County Superior Court
  • Brandon Kimura, of San Diego County, has been appointed to serve as a Judge in the San Diego County Superior Court.
  • Desirae Sanders, of San Diego County, has been appointed to serve as a Judge in the San Diego County Superior Court
  • Shaundeep Wahid, of Stanislaus County, has been appointed to serve as a Judge in the Stanislaus County Superior Court.

June 26: California celebrates nearly 3.5 billion universal school meals served

June 26: Governor Newsom signs executive order to accelerate new technologies and services for California’s local transit and passenger rail networks throughout the state

June 25: Governor Newsom signs historic housing bond set for voters on the November ballot

June 25: Governor Newsom announces $227 million to combat illicit cannabis activity and protect California communities

June 25: California becomes the first state to launch a tool to monitor and track artificial intelligence’s impacts on the workforce

June 24: What they’re saying: Leaders thankful for continued resources to help Los Angeles fire survivors

June 24: California’s earthquake warning system notified over one million people ahead of Northern California quake

June 24: Governor Newsom welcomes FEMA extension to help Los Angeles fire survivors continue recovery

 
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Washington D.C. Update
Prepared by Townsend Public Affairs

LEGISLATIVE BRANCH ACTIVITY

House Leaves For July 4 Recess Early, Pushing Back Votes on Appropriations Bills

On June 30, the House of Representatives failed to pass a procedural motion needed to continue voting for the week, ultimately leading House Speaker Mike Johnson to cancel votes and send members home until July 13. Among the measures to be considered was the National Security, Department of State and Related Agencies appropriations bill, the third of the 12 to be considered on the floor of the House this year. The House Committee on Appropriations has passed all 12 bills out of Committee, while its Senate counterpart has yet to begin markups due to the ongoing hospitalization of Senate Appropriator Mitch McConnel and disagreements on topline spending between non-defense discretionary and defense.  

The loss of two voting days and the cancellation of some committee hearings further complicates the schedule for the remainder of the year. The House is now left with just eight days of session before August recess, the Senate has 16, though is taking an extra week in September. Generally, the House aims to pass all 12 appropriations bills off the floor individually before the August recess, so conference negotiations with their Senate counterparts can begin and final bills are ready before the September 30 deadline. These compounding delays are increasing the likelihood of a government shutdown or continuing resolution on September 30.

Delays Threaten White House Supplemental Spending Package, HR 1 Follow Up

The loss of voting days in the last week of June and the first week of July are threatening the House’s ability to move forward on a number of key priorities for the Majority. Following passage of HR 6644, the 21st Century ROAD to Housing Act, and the President’s decision to postpone signing it over non-passage of a voter-ID bill complicating the House floor, House Speaker Mike Johnson is facing a difficult path ahead to pass a HR 1, One Big Beautiful Bill Act follow up before the midterm elections.

The Republican Study Committee released a draft framework earlier in the year and the House Budget Committee Chair had hoped to pursue a budget resolution, the first step in the reconciliation process, before the July 4 recess. As budget reconciliation allows a bill to bypass the 60-vote threshold usually required in the Senate, it requires extra procedural steps to ensure consensus amongst the majority party pursuing it, these steps consume significant resources and time on the legislative calendar. Discussions continue about the possibility of abbreviating the process and bypassing the House Budget Committee, which generally begins the process, and incorporating the White House’s $87.6 billion supplemental funding request to cover the conflict in Iran and other miscellaneous needs.  

Additionally, there a number of must pass bills or extensions that are needed before the end of the fiscal and calendar year, including the National Defense Reauthorization Act (NDAA), Surface Transportation Reauthorization Act, Water Resources Development Act (WRDA), and parts of the Farm Bill. These macro policy bills set maximum funding levels and policy for competitive and formula programs that provide significant federal resources for state and local governments.

Office of Management and Budget Director Discusses Earmarks and Federal Funding Rule in Appropriations Oversight Hearing

On June 30, White House Office of Management and Budget (OMB) Director Russ Vought testified at an oversight hearing before the House Committee on Appropriations. Among the topics discussed was a recent proposed rule concentrating OMB’s authority over the federal grantmaking process and making sweeping changes to pre and post award compliance requirements, and the rule’s potential affects on Congressional earmarks, also known as Community Project Funding and Congressionally Directed Spending requests.

During the hearing, the Director stated that the proposed rule, and the Administration’s proposed ability to unilaterally withhold, terminate, suspend, or delay funding, would likely not be applied to earmarks in the bills secured by Members of Congress and Senators. Democrats expressed significant opposition to language in the rule requiring grantees to “advance the President’s policy priorities” among other changes giving political appointees more direct control over the flow of federal funding.

The hearing was generally acrimonious, though appropriators are expected to continue to insert more proscriptive language into the appropriations bills requiring the Administration to expend funding in a more timely manner and make certain policy changes to federal programming.

House Transportation and Infrastructure Committee Postpones WRDA Markup

On June 30, following House Speaker Mike Johnson cancelling the week’s remaining votes, the House Committee on Transportation and Infrastructure cancelled a scheduled markup of their draft 2026 Water Resources Development Act (WRDA).  WRDA sets maximum funding levels for US Army Corps of Engineers (USACE) water projects across the country on a biennial basis.

The markup is likely to be rescheduled shorty after the July 4 recess, when the House will return to session on the week of July 14. The Senate Committee on the Environment and Public Works has yet to schedule a markup or release their draft bill. While inclusion in the bill makes a project eligible for USACE investment, it does not guarantee that USACE will include the project in their annual work plan.

Legislative language is included in the bill to expedite completion of Orange County’s Westminster, East Garden Grove flood control project. Section 402 of the House’s draft bill directs the USACE to expedite completion of certain projects, among them is the County’s project aimed at protecting residents from severe floods. This language would allow the County to move forward on the project which has been slowed due to USACE policies.  

EXECUTIVE BRANCH ACTIVITY

Judge Rules Against Previous HUD Continuum of Care NOFO

On June 29, a federal judge in Rhode Island ruled against the Department of Housing and Urban Development (HUD) following lawsuits regarding the FY25 Continuum of Care (CoC) Notice of Funding Opportunity (NOFO). The FY25 CoC NOFO would have changed the amount of funding in the program dedicated to permanent supportive housing (annual renewal demand) from 90% to 30%, potentially jeopardizing the long-term housing for 170k permanent supportive housing recipients.

Congress resolved the issue with the passage of the FY26 appropriations bill funding the program, requiring the FY25 NOFO to proceed as in prior years and allowing HUD to make some changes in the FY26 NOFO. The litigation proceeded anyways on the basis HUD did not provide due consideration to recipients when deciding how to make changes to the program.

The judge ruled that HUD had not fully considered the impacts of their proposed changes, or offered reasonable alternatives for the program’s beneficiaries, as required under the Administrative Procedures Act. The judge also declined to enjoin HUD from continuing with the changes in the FY26 NOFO, which reduces the share of funding for annual renewal demand from 90% to 60%, which was permitted under the FY26 appropriations bill.

Supreme Court Ruling Allows Mail In Ballots to Arrive Post-Election Day

On June 30, the Supreme Court ruled in Watson v. Republican National Committee that state laws allowing mail-in ballots to arrive up to five days post-election can be counted. The ruling follows efforts being led by the President to disallow ballots received after election day. Proponents of the grace periods argue that postal service delays or weather events affecting delivery should not disenfranchise voters.

The ongoing litigation threatened to significantly change election operations close to the midterm elections in November. County governments, which generally run elections, have usually printed ballot and educational materials well in advance including instructions for returning ballots and general guides on how much time voters should allow for the postal service to return their ballots.

On June 28, the Postmaster General in testimony before the Senate Committee on Homeland Security and Government Affairs indicated that the postal service may not return mailed ballots in states that do not provide their voter rolls to the federal government. While that proposal has been barred from proceeding, the Administration is continuing to pursue changes to election law and administration in advance of the midterm elections, posing potential risks for county registrars who may be asked to significantly change procedures close to the election.

EPA Introduces NEPA Reforms, Simplifying Permitting Requirements

On June 24, the Environmental Protection Agency (EPA) announced proposed implementation changes to the National Environmental Policy Act (NEPA), potentially simplifying the process for federal funding recipients to pass NEPA reviews.

 The proposed rule, with a public comment period open through July 27, would not weaken or rescind any environmental standards, but would set an 150 page limit for final Environmental Impact Statements (EID), enforce a two-year shot clock on EPA to finish EIS analysis, limit NEPA reviews to immediate impacts and waives requirements for analysis on indirect impacts, and simplify the categorical exemption (CE) process.

The proposal follows continued efforts in Congress to modify NEPA and simplify the NEPA process to make reviews faster and less costly. California’s own law, the California Environmental Quality Act (CEQA), imposes higher environmental standards but its reviews are generally less costly and less time-consuming than NEPA reviews.

Orange County Delegation Press Releases

Legislation Introduced by the Orange County Delegation

Bill Number      

Bill Title      

Introduction Date      

Sponsor     

Bill Description      

Latest Major Action      

H.R. 9434

REG Act of 2026

06/24/26

Rep. Young Kim (R-CA-40)

A bill to increase Congressional oversight and accountability for the Securities and Exchange Commission (SEC).

Referred to the House Committee on Financial Services 6/24/2026

 

 
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Weekly Clips

Thursday 07/02/2026

California strips Bay Area city of local housing control over delays with massive development -- In a dramatic move, California housing officials have ruled that Brisbane is no longer in compliance with state housing laws, a determination that strips the small city south of San Francisco of its local land use control and makes it ineligible for certain state funds. J.K. Dineen in the San Francisco Chronicle -- 7/2/26

California homicide rate falls to historic low as police make more arrests in killings -- California’s homicide rate reached a new record low last year, part of an ongoing national decline in homicides that set historic lows in major cities and reverses three years of a pandemic-related spike in the homicide rate. Nigel Duara Calmatters -- 7/2/26

Judge Blocks Postal Service From Imposing Restrictions on Mail-In Ballots -- The ruling, based on agreements the service made in a 2021 legal settlement, was the second time a judge has blocked new curbs by President Trump on voting by mail. Zach Montague and Adam Sella in the New York Times -- 7/2/26

Wednesday 07/01/2026

Trump administration sues California over ‘Glock ban’ law targeting machine gun pistols -- The Trump administration sued California on Wednesday, arguing the state’s new restrictions on Glock-style weapons violate the 2nd Amendment. The law goes after Glock-style pistols, which can be converted into fully-automatic machine guns. Gavin J. Quinton in the Los Angeles Times Megan Cassidy in the San Francisco Chronicle -- 7/1/26

After threat of cuts, California expands subsidized child care by more than 20,000 spaces -- After talk of potential cuts, California is increasing the number of subsidized child-care spaces. The expansion helps address child-care affordability in California, where many families eligible for financial support are unable to access it. Kate Sequeira in the Los Angeles Times -- 7/1/26

San Diego uses $8.5M from developers to create long-awaited fund to preserve low-rent apartments -- New affordable housing preservation fund complements 2025 city law that requires apartment owners to give city first right of refusal when they decide to sell. David Garrick in the San Diego Union Tribune -- 7/1/26

Tuesday 06/30/2026

California lawmakers pass $351.7B budget deal. Here’s what it does -- California lawmakers approved a $351.7 billion state budget Monday that increases some business and health care taxes and bolsters the state’s reserve funds. The budget bills lawmakers passed will enact the plan they negotiated with Gov. Gavin Newsom. It will be his final state budget as governor. He is expected to sign it soon. Sophia Bollag in the San Francisco Chronicle Andrew Graham and Stephen Hobbs in the Sacramento Bee Taryn Luna in the Los Angeles Times -- 6/30/26

Supreme Court upholds birthright citizenship, rejecting Trump’s proposed limits -- The Supreme Court on Tuesday upheld a broad conception of birthright citizenship, rejecting President Donald Trump’s executive order declaring that children born to people who are in the United States illegally or temporarily are not American citizens. Mark Sherman Associated Press David G. Savage in the Los Angeles Times Josh Gerstein Politico James Romoser in the Wall Street Journal Abbie VanSickle in the New York Times Justin Jouvenal in the Washington Post Rachel Leingang in The Guardian -- 6/30/26

California revives $900 million homelessness program after Newsom reverses course -- It’s a shift for Newsom, who has slammed cities and counties for not making enough progress on homelessness and threatened to withhold funds. Grant Stringer in the San Jose Mercury -- 6/30/26

Monday 06/29/2026

California leaders cheer Supreme Court ballot ruling while eyeing other ways to speed count -- California officials cheered a U.S. Supreme Court ruling Monday that allows states to continue counting mail ballots postmarked by election day but received in the days after — calling it a win for voter participation and access, including in the upcoming November midterm. Kevin Rector in the Los Angeles Times Blake Jones, Marisa Guerra Echeverria and Lindsey Holden Politico -- 6/29/26

California hospitals say new nursing rules are closing psychiatric beds -- New nurse-to-patient ratios are intended to make psychiatric hospitals safer. They’re driving workforce transformations and closing some psych units. Grant Stringer in the San Jose Mercury -- 6/29/26

Aiming to boost government efficiency, San Jose trains its 1,000th worker on AI tools -- As California becomes the first state in the nation to track AI-related job losses, San Jose is aggressively training its workforce to use artificial intelligence tools to increase local government efficiency — a move expected to help employees preserve their jobs. Ryan Macasero in the San Jose Mercury  -- 6/29/26

Weekend 06/27-06/28/2026

Newsom, California Legislature reach $351.7-billion budget deal -- Gov. Gavin Newsom and Democratic lawmakers struck a $351.7-billion budget deal that taps an income-tax windfall to avert major cuts while boosting childcare and affordable housing programs. The plan increases revenue through taxes on corporations, software and managed-care organizations, saves billions in a new reserve account, and asks voters to expand California’s rainy day fund in November. Taryn Luna in the Los Angeles Times Stephen Hobbs in the Sacramento Bee Kaitlyn Schallhorn in the Orange County Register -- 6/27/26

State Superintendent will no longer manage California schools under deal Newsom cuts with Legislature -- The department’s control will shift in January to a new Director of Education, who will report to the governor, under a deal announced Friday as part of budget negotiations between legislative leaders and Gov. Gavin Newsom. The Legislature is expected to approve the plan, along with the 2026-27 state budget bills, on Monday or Tuesday. John Fensterwald EdSource -- 6/27/26

Trump Administration to Investigate California’s Powerful Coastal Agency -- Howard Lutnick, the commerce secretary, has accused the state of “environmental extremism” amid a federal push for oil production. Soumya Karlamangla in the New York Times -- 6/27/26

 
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