Legislature Closes Out the 2023-24 Session

The Legislature closed out its second year of the 2023-24 legislative session near midnight on Saturday, August 31. The final four weeks were hectic, with the Legislature moving at a rushed pace to take up measures that were still moving so that the bills could make it to the Floor by August 16, which was the last day for fiscal committees to meet and report bills to the Floor. August 19 to August 31 was reserved for Floor session only, except for “off the floor” hearings, which is when a committee chair calls an impromptu hearing of their committee during a Floor session held in a nearby committee room.

In the days leading up to final adjournment shortly after midnight on August 31, advocates representing public entities, labor unions, private sector companies, and various trade associations worked around the clock to make final pitches to lawmakers and staff to advance client interests.

Bills that passed the Legislature by the final deadline of August 31 now have until September 30 to be signed or vetoed by Governor Gavin Newsom. Although during most of the legislative session the Governor must sign or veto a bill within 12 days of its passage by the Legislature (otherwise it automatically becomes law), during the final two weeks of session this is extended to 30 days. We will therefore not have a full picture of how 2024 faired for legislation until September 30. Any bill that includes an urgency clause, relates to the budget, or modifies the elections code will go into effect immediately upon the Governor’s signature. All other bills will go into effect on January 1, 2025, unless stated otherwise in the legislation (for example, a delayed implementation).

On August 9, Senator Marie Alvarado-Gil announced that she had switched her party affiliation from Democratic to Republican. The party composition of the Senate is now 31-9 in favor of the Democrats.

Bills by the Numbers

Of the 2,157 bills introduced since the start of the year, approximately 1,200 made it to the Governor’s desk (note: a total of 2,523 measures were introduced, but not all march toward the Governor for potential enactment, such as resolutions and constitutional amendments). As of September 5, there are 991 bills on the Governor’s desk awaiting his signature or veto. Thus far this session, 210 have been signed and 5 have been vetoed.

End of Session Talk of The Town

Hundreds of pending bills impacting local government touching on housing and land use, mental health, public safety, climate, and operations advanced this year. The following measures were focal points in the final weeks and days of session, with a large number of groups in support or opposition working the items heavily in the halls of the Capitol. This is a truncated list of key measures that RPPG has been tracking that recently passed the Legislature and are on their way to the Governor’s desk to be signed or vetoed. If there are any measures omitted on this list, or if you would like more information about measures listed below, please contact us and we would be happy to assist.

• AB 2561 (McKinnor) Local public employees: vacant positions. AB 2561 would require a public agency to present the status of vacancies and recruitment and retention efforts during a public hearing before the governing board at least once per fiscal year and entitles the union for a bargaining unit to make a presentation at the public hearing. RPPG worked throughout the year to remove the most concerning provisions, including a meet and confer requirement linked to vacancy rates in the prior bill language. The bill was passed by the Legislature late in the day on August 31.
• SB 399 (Wahab) Employer communications: intimidation. SB 399 would prohibit an employer from taking any retaliation against an employee who refuses to attend an employer-sponsored meeting the purpose of which is to communicate the employer’s opinion about religious or political matters. SB 399 may apply to employees required to be present where legislation or regulations/ordinances are debated, such as city council or board meetings, and even to such tasks as seeking input or analysis from employees as to the implementation of proposed or enacted legislation. Advocates worked to have the bill amended to resolve and remove this part of the bill, but the bill was passed with the provision by the Legislature on August 31.
• SB 937 (Wiener) Development projects: fees and charges. SB 937 would prohibit a local agency from requiring the payment of impact fees or charges until the date the first certificate of occupancy or temporary certificate of occupancy is issued, whichever occurs first. This bill was amended right at the deadline for amendments to be submitted, and the language was crafted without stakeholders at the table and with no time left to alter the bill. The new provisions create a short list of projects allowed to require payment in advance of the certificate of occupancy—and leave out parks and open spaces, stormwater drainage, and utility connection charges (as well as creates legal question for utility billing and leave out essential projects for schools, among others). A broad coalition in opposition formed in the last day of session due to these amendments, and the bill—once eligible for unanimous consent—passed by narrower margins. This measure represents a change in legislative support for impact fees and making locals whole. The bill passed the Legislature on August 31.

Timing

The fall and early winter are the time for your organization to get ready for the 2025-26 session, which hits the ground running when the Legislature reconvenes on January 6. During this time, it is recommended that you revisit your legislative platform, identify any sponsored legislation desired, and consider any state budget priority asks in the event that funding opens up so that your organization is pre-positioned to submit a request.

Final Recess and Extraordinary Session Called

The “Final Recess” for the regular 2023-24 legislative session began on September 1 and the Legislature will officially adjourn the two-year session on November 30. On November 5, the 2024 General Election will take place, with half of the California State Legislature’s Senators and all of its Assemblymembers up for reelection. The new Legislative class will begin the 2025-26 legislative session by convening for Organizational Session on December 2. This meeting lasts a single day and allows each house to elect their leadership, as well as to introduce some legislation. Additionally, all legislators that had been elected on November 5 are officially sworn in on this day by their respective houses.

However, on August 31, Governor Newsom issued a press release that called an Extraordinary Session for the second time since the start of the 2023-24 legislative session to address high gasoline prices. In a move that he had previously threatened to make should SB 950 (Skinner, see above) not be released by the Assembly and passed by the Senate, the Governor was forced to make good on his threat. Speaker Rivas released a statement saying that the Assembly had questions that needed to be publicly vetted and that the Assembly would not be voting on the bill. Once the Special Session was announced, however, the Assembly immediately voted to convene and organize the session. Senate Pro Tem Mike McGuire (D, Geyserville), who had previously stated his desire for the bill to be released to the Senate and shared that the Senate had the support to pass it and send it to the Governor and did not desire a Special Session, stated that the Senate would not convene for it. Senator McGuire rejects the Governor’s assertion that the Legislature can be required to come back to Sacramento for this session, stating that the Senate has the votes and does not need the additional debate. This is new territory, and legal opinions will have to weigh in on the apparent showdown between the Senate, Governor, and Assembly. The special session must be convened and finished prior to the next group of legislators being sworn in. The Legislature has until November 30 to pass any legislation related to the Second Extraordinary Session. On September 3, Governor Newsom announced the introduction of ABX2-1 (Hart and Aguiar-Curry), a reintroduction of SB 950 (Skinner).

By Alyssa Silhi

California Public Policy Group