On January 10, 2018, Governor Brown released his FY 2018-19 State Budget proposal.

The Governor’s Budget proposes a total budget of $190.3 billion and a projected surplus of $6 billion. The Governor proposes spending much of the surplus to augment the Rainy Day Fund.

Key proposals of interest to counties include:

• Additional funding to the Rainy Day Fund to prepare for recession.
• $27.5 million in additional funding for IHSS county administration.
• $117.3 million for Incompetent to Stand Trial changes and investments. This includes $2.5 million from the Mental Health Services Act to help counties develop innovative plans to address the IST population.
• Implementation and funding for transportation projects through SB 1.
• Additional funding to HCD to implement SB 2.
• $134 million to counties for elections systems upgrades.

Attachment A is the Budget Action Bulletin provided by the California State Association of Counties (CSAC).


State Budget Hearings Set

The Assembly and Senate have set most of the budget hearings for 2018. Here are some key dates and issues of concern for the urban counties:

IHSS - March 8 and March 14, 2018

Cap and Trade - March 21 and March 22, 2018

Child Support - April 12 and April 18, 2018

Medi-Cal - March 5 and March 22, 2018

Fact Sheets on the Cap and Trade Budget Priority and the Child Support Budget Priority are attachments B and C.


Legislation of Interest

AB 626 (Garcia) - California retail food code: microenterprise home kitchen

This bill would allow home kitchen operations that have no more than one full-time employee and no more than $50,000 gross annual sales to operate as a food facility. This bill passed the Assembly Appropriations Committee last week with some amendments.
Status: Passed the Assembly Floor on January 29, 2018. Currently pending in the Senate for assignment.

Urban Counties of California (UCC) and CCC Position: Oppose.

AB 1964 (Maienschein) - Organized camps

This bill would make changes to the definitions of organized day camps, require day camps to follow certain procedures, and require county public health officers to inspect these facilities.
Status: Introduced on January, 30, 2018.

UCC Position: Pending.

AB 1999 (Chu) - Local government: broadband services

This bill would provide that a local agency engaged in the provision of broadband Internet access service shall not impair or degrade lawful Internet traffic on the basis of Internet content, application, or service, or use of a nonharmful device. In addition, a local agency engaged in the provision of broadband Internet access service shall not engage in paid prioritization, or unreasonably interfere with, or unreasonably disadvantage, an end user's ability to select, access, and use broadband Internet access service or the lawful Internet content, applications, services, or devices of the end user's choice.
Status: Introduced on February 1, 2018.

UCC Position: Pending.

AB 1886 (Carillo) - Payment of expenses

This bill would require the state to pay all expenses necessary to prepare for and conduct special election vacancies that were incurred on or after January 1, 2017.

Status: Introduced on 1/18/18.