- 2 days ago
Gov. Gavin Newsom (D-CA) signs the Fiscal Year 2025-2026 budget into law.
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NewsTranscript
00:00Good evening and this is a very good evening. We're here today to celebrate
00:12the passage of SB 131 and AB 130, two really transformational bills that will
00:24put California on a strong path to get things done. And when you look at the
00:32political dynamic in the country today there's deep deep frustration about
00:39whether government is actually able to work to meet the needs of people, to make
00:45life more affordable for people, to allow people to survive and thrive, raise
00:51families and so forth. And that frustration and the perceived failures
00:57sometimes real failures by government whether around housing or childcare or
01:03energy or so many other critical needs can lead people into a certain political
01:10space and we saw that happen in the last election where it opens the door for
01:15people to come in and make all sorts of claims and get elected. And it is so
01:21critically important for California to show that we can get things done to make
01:27people's lives better and more affordable and that's what these bills are about. To
01:33make it easier and faster to build more homes, to build childcare, to build food
01:42banks, to build so many health centers, so many of the things that people need to
01:48survive and thrive and to advance California's economy including with
01:54advanced manufacturing which is so important in terms of building and
02:00expanding our great economy and creating jobs in a sustainable way. And with these
02:07bills not only did we advance each of these needs but we did something very
02:13difficult. We reformed and modernized CEQA, the California Environmental Quality Act,
02:20which is an incredibly important law, a law that most people have never heard of but
02:26that touches everyone's daily life in California and affects the way that all
02:31levels of government function. And that does a lot of good in protecting the
02:37environment and protecting communities but also at times has been abused and has been
02:44used to obstruct things like housing and clean energy and other needs of our state.
02:50And so today we took a huge step forward with these two bills. I want to thank our
02:56leadership both the Pro Tem and the Speaker as well as Governor Newsom for their
03:00leadership and is now my great honor to bring up my partner. We're sort of brain
03:08merged in a lot of ways. Assemblymember Buffy Wicks who is just a force of nature
03:14and we feed off of each other and lift each other up when we're down and I'm so
03:19grateful for her leadership. So Assemblymember Wicks. Thank you. Thank you. It's an honor to be
03:25here today with this illustrious group. I want to thank Senator Wiener for his
03:29stalwart commitment and dedication since the second he got here to building more
03:34housing. I definitely stand on his shoulders, the shoulders of a giant. So
03:37thank you, Scott. I want to obviously thank the governor who just put a ton of
03:42skin in the game on this issue. I remember standing here, I don't know what it was
03:46three months ago and Ashley asked, well the governor could force this, couldn't he?
03:50You know, and we knew the governor would do that because he is ready to make
03:56change, structural change on an issue that has been such an impediment for us
04:00in housing. Obviously, we wouldn't have been able to do any of this without Speaker
04:05Revis, who's just been such a tremendous ally. We came in together since day one
04:10pushing on this issue and Pro Tem Mike McGuire, wherever he's at. Where are you?
04:17There you are. He's back there for assuring your Senate colleagues to support this as
04:22well. So a huge, huge gratitude to the leadership across the board. And what I
04:26think you saw today is leadership in the Assembly, in the Senate and the governor
04:31saying enough is enough. We're ready to take courageous votes, courageous action to
04:37solve one of the most vexing problems in our state. The cost of housing is
04:43outrageous. It is too damn hard to build housing and all the other things that we
04:48care about. And today we took affirmative action to say we are ready. We told the
04:53world we are ready to be open for business, the business of building housing,
04:57that that is what we need to do in the state of California, housing at all income
05:00levels, low income subsidized housing, market rate housing, missing middle housing. And
05:06what we voted on today in AB 130 was a clean CEQA exemption for infill housing. And I think
05:12none of us thought this would have been possible when I introduced AB 609 a couple months ago.
05:18But I think the winds of change were with us on this. And really the reason for that is
05:22because the crisis has metastasized to such a level that our constituents are demanding it.
05:28And they deserve it because they are the ones bearing the brunt of our inaction. And that day
05:33is now over. That day is over with this leadership. It's over with the leadership of the Carpenters
05:38Union, who has stood with us side by side on this day in and day out, pushing for more change. And
05:45the enforcement mechanisms that we put in that bill to make sure that we're holding unscrupulous
05:49developers accountable, which is a critical piece of this. And it is with us with the whole
05:54coalition of the yes in my backyard, saying no housing in my community is no longer state
06:01sanctioned. That is not allowed anymore in the state of California. So very honored to
06:06be here working with folks. We had many conversations with under the leadership of Assemblymember
06:12Ramos around the tribal consultation piece. He has been such a leader for us in the Assembly
06:18on this and many other issues as it pertains to our tribes. And so great gratitude for his
06:23work. And I know that will continue in the months and years ahead. I'm serving with him to
06:28make sure that our Native American community is fully represented in these conversations,
06:32which is so critical. So just very happy to be here. You're going to hear from a lot of
06:36speakers today. I am very honored to introduce, where's he at? He's over there. Come up here,
06:43Jay. My brother, my brother from another mother, Jay Bradshaw. Thank you, the Carpenters Union,
06:49for being so fantastic. Thanks, Buffy. Thank you, Buffy, very much. Good evening, everyone. It's an
06:57honor to be here. I feel like we put the band back together. We've been here before. Fantastic budget,
07:04boss. Appreciate it. But focusing on the housing issue and a big step forward with AB 130. Again,
07:11Jay Bradshaw, I represent the NorCal Carpenters Union, speaking on behalf of the California Conference
07:14of the Carpenters, with Sean behind me, President of the Western States Regional Council. That's 80,000
07:21plus hardworking men and women in the Carpenters Union in our state, mission driven. For the working
07:28class in general, I would say, and for those suffering in our state and for our membership, certainly,
07:33and any workers, housing is the number one obstacle and issue and threat to the security of working
07:42families' lives. The reason I say I feel like I put the band back together is we have been mission
07:48driven at the Carpenters from the top all the way to our hundreds and hundreds of members who've marched
07:53in this Capitol over the last three years to push for solution, to blow through obstacles, and to break
08:00down politically motivated barriers that forget about the majority of Californians, which is the
08:06working class. No secret that there's a housing crisis and challenge, but with the passage of AB 130, it has the
08:14strongest labor enforcement language period in our state. For the first time, it brings liability, not just to
08:23criminal contractors, but to those that retain them and use them to drive down the conditions of the most
08:29exploited workers in our state in the residential construction industry. 300,000 workers unrepresented in
08:37housing construction in our state at a minimum. Some of them are subject to labor trafficking, cash pay, and
08:45threats all every day. Our brothers and sisters to the south and SoCal have film literally of 9 and 11 year olds
08:52working drywall scrapouts and residential projects in the area of Los Angeles. That's outrageous. Without a doubt,
09:01unabashed, the Carpenters speaking on behalf of the Carpenters Union today, this is a pro housing production
09:07bill. It is a pro worker bill. It'll help us bring justice in any of those that will join us in those nights and
09:15weekends talking to those workers on those jobs. I used to pull them up and in to get justice and housing
09:25productions. Thank you, governor, because housing is the number one thing creating every social challenge
09:30that our membership faces and workers face across the board. Without a doubt, there's more to do, but I
09:36will say to the brave leaders also recognizing our speaker and our pro tem to get this done. It's a major step
09:44forward. And we are so honored to be a part of it. Count us shoulder to shoulder with anyone who will
09:51continue to drive to pull those workers up and in as they should be to support union labor and protect
09:59that, but to make sure that union labor should be held to account to represent all workers and put skin
10:08in the game. And we would love to have them next to us as we're out there the nights and weekends and
10:14holding those criminals to account with the help of our attorney general and local district attorneys. This is a huge
10:21step forward. We're very excited and honored to be here. Speaking of housing and champions,
10:28it is my honor to introduce my friend and a real housing champion, Secretary Moss. Come on up, sister.
10:41All right. Well, good evening. How are we doing? Today is a celebration. I don't hear celebratory energy in the room.
10:48All right. My name is Tamika Moss, and I serve as the Secretary of our Business, Consumer Services and Housing
10:54Agency for Governor Newsom. And this is what partnership and leadership looks like. As someone who's been
11:00working more than 25 years in the state of California on these issues, this is exactly what I want to see from my
11:06government. I want to see our legislature, our governor, our citizens demanding the kind of housing outcomes that this, that our
11:15state deserves. And as one of the implementing agencies who will be implementing this transformative
11:21package of bills, it is such an incredible honor to continue to build on the leadership. This is not new,
11:27y'all. We've been working at this since this governor came into office. This legislature has been pushing
11:32the envelope. This one here in the pink. Can we talk about it? Uh, for years to address this crisis with
11:39urgency, accountability, and the responsibility that we have to make sure that everyone in California has
11:45a place to call home. This is a critical step to that process. And I just, you know, what's exciting
11:51to me about this is that we are talking about housing, cutting the red tape, getting out of the
11:56way to help local jurisdictions not only be accountable for delivering housing, but making it easier for them
12:02to say yes to housing. And so it is my honor to be able to be up here with this, this illustrative group,
12:09but also just to know that you have committed, dedicated public servants who are ready to take up
12:16the mantle, get this stuff implemented, and get housing built. So thank you so much for your leadership
12:23colleagues. I can't tell you how grateful I am. And it's my distinct honor to introduce Speaker Rivas.
12:32I certainly appreciate those words and the message from Secretary Moss, and I appreciate all the work
12:40you do. And you know, at the start of this year, we set out on a bold new path with one urgent goal,
12:47to make California more affordable and to expand opportunity for everyone who calls California home.
12:55And we focused on building more housing, building it now and with urgency.
13:01And as I reminded my colleagues just a moment ago on the assembly floor, at the start of this year,
13:06I said very, very clearly, affordable, decent housing is the civil rights struggle of our time
13:15here in California. And today we make, we take a transformative step forward in that fight.
13:23And California's working families are teachers, nurses, police officers, firefighters, housekeepers,
13:30chefs, public workers, everyone who keeps our communities thriving. They deserve to live near
13:38their jobs in the places that they call home. But for decades, our policies made that harder. Housing became too
13:49expensive, too slow to build, too tangled in bureaucracy. The result, a shortfall of 2.5 million homes.
13:59And that's just not a number. It's a hardship felt every single day by Californians forced into long commutes or pushed out of the
14:11neighborhoods that they grew up in. It's reality. And look, I'm a living example of what access to affordable housing can do.
14:19When my family moved out of the tract of farm worker housing that I grew up in, in Piscenis, about three hours south of here,
14:27where my family had lived there for, for some decades, since the 60s. When we moved into our first home in the
14:34small city of Hollister, it was a, it's a home that my grandmother and mom still live in right now. It changed
14:42everything. It was transformative for our lives. That home, it gave us stability. It opened the door to
14:51opportunity. Opportunity, that's what we want for every child in California to have that same chance in 2025. With
15:01Assembly Bill 130, we're changing course. This landmark reform, it goes into effect immediately. It cuts approval
15:10times. It removes needless, uh, some delays, protects our environment, uh, and it gets homes built now
15:18with urgency, all without new costs to our state, which I know the governor appreciates very much.
15:27California will always be at the vanguard of environmental protections, but we also must be
15:33honest with ourselves. Too often, CEQA, CEQA has been used to stop housing, to block smart infill housing,
15:43housing that needs to achieve environmental goals. That irony that was, uh, never the lost purpose,
15:52the road to our housing crisis was paved with the best intentions. The solutions that we are
15:59delivering today, this evening. They are long overdue. This is a seminal shift, seminal shift in how
16:09California builds new homes for all of our residents. And this kind of significant change, it didn't happen
16:15alone. You know, it took a strong partnership, as has been mentioned. We worked together, Assembly Member
16:22Buffy Wicks, our budget chair, Mr. Jesse Gabriel, Assembly Member Ramos, Assembly Member Nick Schultz,
16:29Assembly Member Isaac Bryan, our Assembly Democrats who passed this legislation with bipartisan support,
16:36Pro Tem McGuire, our colleagues in the Senate, and of course, our governor, Mr. Gavin Newsom.
16:42These reforms are backed by a super majority of Californians. I can't emphasize that enough,
16:48because they know what we know. More housing means more affordable housing. And that's how we keep
16:56California equitable, livable, and strong. And with that, I want to invite my partner,
17:03State Senate Pro Tem, Mike McGuire.
17:11Thank you so much, Speaker Rivas, and I apologize. I've been fighting a cold, so if I start coughing,
17:17Buffy Wicks is going to step back. So, um, I do apologize.
17:21I want to take a moment to say thank you. You know, there's a lot said about politics and how
17:28ugly it is across this nation, but this is what teamwork looks like, putting aside politics and
17:34putting aside our differences and putting people first. I want to say thank you so much to Speaker
17:39Rivas for his hard work, to his caucus, to Ms. Wicks, Mr. Ramos, Mr. Schultz, Mr. Bryan, and the entire
17:48Assembly Democratic Caucus. Thank you. I'd like to acknowledge our budget chair, Senator Wiener,
17:55who has been tenacious in his fight for housing, not just here, but on the Board of Supervisors. And
18:01he, along with Ms. Wicks, aren't afraid to take on tough stuff. I want to say thank you. I also want
18:07to acknowledge Senator Wahab, Dr. Wahab, for your work on SB 681, that is now moving here to the
18:14Governor's desk. Grateful for your leadership and your work on housing in the State Senate.
18:20And I also want to say thank you to the Governor. The Governor has been very clear. Times are tough
18:26in this nation, but what we can't do is back away from our values in California. So Governor, thank you
18:33for your leadership on making sure this is a priority, not just for us, but 40 million Californians.
18:38We had to make some tough decisions this year, but as I said, when is crafting a budget for the
18:45fourth largest economy in the world ever easy? This year's budget does put people first. I'd like
18:51to talk about why we all voted yes today. You know, it's no secret that we have our challenges right
18:57here in the Golden State. And one of the biggest challenges we face for decades is a shortage of
19:02affordable housing. And for some, I get it, this is not an easy vote. Anytime we do big things
19:11in this building, anytime we do things worth doing in life, it's hard. And I want to take a moment to
19:18say thank you to so many in the Senate and the Assembly who stretched to be able to get these bills
19:24across the desk to the Governor. But here's why it's so important. We are living in a crisis that's
19:31priced out working families, strained our communities, made it harder for people to be
19:34able to live where they work. And we all know housing at every level in the state of California
19:40is the foundation of a healthy economy. And without it, nothing else works. And in recent years,
19:46we have made significant progress in housing, making large investments and critical strides to boost
19:51home ownership and increase housing stock. And this year's budget backs up that progress with action,
19:57investing nearly a billion dollars in affordable housing and homelessness. And I want to say thank
20:02you to the leaders who are up here now for their hard work. But what we also know is that we have a
20:10lot more work to do to help folks live the American dream. And for decades, hardworking families have had to
20:15make tough choices in the state of California, just scrape by to keep the lights on, or put money towards
20:21the roof over their head. And we can't just talk about it, we need to move. And that's exactly what
20:26happened here today. California Democrats, California Democrats have advanced a spending plan, a housing
20:35plan, and an economic development plan in these two bills that will develop housing in a scale not seen in
20:41decades, and continue to help grow our fourth largest economy. These four bills, they're bold, they're
20:48forward-thinking, and it's the solutions that we need to be able to cut cuts and delays, and streamline
20:53approval processes to get housing projects off the ground along with important economic development
20:58projects. I'm going to end it right here with this. And I don't talk a lot about it. They started
21:06getting a little emotional, but my mom, my mom and I struggled growing up. Said this on the floor.
21:12And at the end of the day, if you see struggle as a kid, you want to fix it as an adult.
21:22And that's what this investment means. It's helping a generation of kids, ensuring that they have
21:28housing. And the California dream, it starts at home. And it's more important now than ever to
21:35fulfill our promises and put that dream within reach of millions of Californians. This budget,
21:41it's not about politics. It's about people. It's about uplifting our communities, growing our economy,
21:48and giving Californians a fair shot. Because in California, we stand strong for working families.
21:53We take on big challenges with bold solutions, and those who win are everyday Californians.
22:00And again, we would not be here without the gentleman to my right. And we do need to take a moment to
22:06acknowledge Governor Gavin Newsom for his leadership, his vision, and getting the job done. If you could
22:11please join me. And let's welcome him to the podium.
22:16Thank you. Thank you, Mr. Pro Tem. And thank you, Mr. Speaker, for both leading with values and
22:24putting a human face on this moment. I want to thank Jay as well. Thank you
22:29to the Carpenters, you know, as you said, putting the gang back together. I think this is the third
22:36of the last four years we've been together signing landmark housing reforms. And it simply would not
22:42have happened without the Carpenters, not just the Northern California Carpenters led by Jay, but
22:49the remarkable leadership of Don McCarron, who's really asserted himself in very powerful and meaningful
22:54ways. And have had the back of a process, knowing that at the end of the day, we'd have the back of
22:59workers. And so I just want to thank all of you for being here on behalf of the Carpenters, because in
23:04so many ways, we wouldn't be here without you. Before I wax on about the person on my left and the right,
23:11I want to just briefly make a few observations. You know, in so many ways, we struggled over the course of
23:19the last many decades to reform our housing rules and regulations. That began to change, at least
23:25from my perspective, in a meaningful way in 2017, 2018, where you started to see a series of reforms
23:34advanced by Senator Atkins, Senator Skinner, many other leaders in the Assembly and the Senate. We saw
23:43that leadership expand and grow with the extraordinary dynamism of Senator Wiener and his commitment
23:50and resolve to this issue and Assemblywoman Buffy Wicks. Their resolve, their commitment to continue
23:57to do more is demonstrably and foundationally the reason that I can lay claim to having the privilege of
24:05affixing my signature to these particular bills today. Their tenacity has led to this moment,
24:12supported by those you see around me, and they're called to do more and be better. We recognize
24:19in California, as the Senator was saying, as he opened up the conversation today, the abuses of the
24:25CEQA process. I recall those abuses intimately as a member of the County Board of Supervisors in San
24:29Francisco, trying to expand bike lanes in San Francisco, only to see CEQA used against expanding
24:37environmental bike lanes in the City and County of San Francisco. That was not what I think CEQA was
24:44intended for. We've seen this abuse over and over again. We've fallen prey to litigation as a strategy,
24:53as delay as a strategy. And as a consequence of all of that, we have too much demand chasing too little
25:00supply. It's not complicated. This is Econ 101, supply demand imbalance. I've said it before,
25:06I'll repeat it. This issue of housing explains more things in more ways and more days than any other
25:13issue to explain the challenges and the plight of so many Californians. So many of the challenges that
25:20ALS can be connected back to this issue. Unless we address this issue head on, we'll continue to be vexed
25:28by so many of these challenges as it relates to the challenges of the middle class and working folks,
25:33the issues of what's happening on our streets and sidewalks. All of these things are foundationally
25:38and fundamentally connected. So that's why today is a big deal. This is, and I can humbly say this,
25:45as someone's been a student of this and a practitioner of sorts in the last six plus years,
25:50the most consequential housing reform that we've seen in modern history in the state of California.
25:58Long overdue, absolutely. This budget that is connected to that is a budget that builds,
26:06and it is a point of pride to be able to advance these bills and what are promoted and promised.
26:12It's not just a housing package. It's also about infrastructure. It's also about the high-speed rail.
26:19Senator Wiener mentioned it's about child care facilities, about health care facilities.
26:23It's about broadband in the last mile, not just the middle mile. It's about getting things done.
26:29It's not just about homeowners that was referenced. It's also about renters,
26:33more than doubling the rent tax credit, almost forexing it for those with dependency. Significant
26:40increase to the renter's tax credit. It's about reforming permitting, coastal commission, getting in line
26:47in line. Again, the abuses that we've seen there with most other state agencies. Across the board,
26:55the spectrum of reforms that are in these two bills that I'm about to sign are transformative.
27:02And so I want to again just thank everybody for being here and the speaker and his commitment and
27:07resolve for being there throughout this process, being there late at night. I can attest to that.
27:13I think it turns out you were in the room when I was complimenting you, thank God, with the speaker,
27:21to the Senate for stewarding this process, for allowing us to indulge in an extractive process of
27:29sorts. I'm not naive. I said this is a budget that builds because this is linked to the budget.
27:37I may have signed a budget bill on Friday, but it means nothing unless these bills are signed tonight.
27:43And so that's why I want to extend one final point, and that's gratitude and appreciation
27:48to the leaders allowing for this process.
27:53To the speaker and the pro tem, I am deeply mindful of what you must have gone through in terms of the
28:03quiet commentary. I've heard some publicly, but I can't imagine the quiet commentary from
28:08your members about this process. I heard a little bit at it on the floor today, and I recognize that.
28:15But this was too urgent. This was too important to play chance. It was too urgent, too important
28:22to allow the process to unfold as it has for the last generation, invariably falling prey to all kinds
28:32of pratfall. And I was too concerned that that would indeed occur again if we allowed this process to
28:39unfold in the traditional way. So I am deeply mindful of what was asked of you and deeply grateful.
28:48Senator, Assembly members, thank you for that indulgence as well. And thank you for your contributions
28:55as co-authors of this effort for all of the nuances and amendments and reforms that are reflected
29:02in your authorship and your stewardship. To Miles, thank you. To the Ledge team for going toe-to-to-toe on VMT.
29:15Miles today. I was watching.
29:19To Christine Herrera, who's in absentia. It was just Christine. It was masterful throughout
29:26this process. To former staffers that have been pounding me, Jason Elliott and others,
29:32on this process for some time. To the mayors out there that said, look, you're going to sue us
29:39with this Housing Accountability team. Give us the tools to get into compliance with the housing element.
29:45Give us the tools to meet our RENA goals. To the NIMBY movement that's now being replaced
29:52by the YIMBY movement. Go YIMBYs. Thank you for your abundant mindset. It's a plug to Ezra.
30:02And it really is about abundance. And to the movement that they represent, which I think was reflected in
30:09the comments made a moment ago about getting big stuff done. The world we invented has been
30:15competing against us. We have got to perform. And if we can't address this issue, we're going to lose
30:22trust. And that's just the truth. And so this is so much bigger in many ways than the issue itself.
30:31It is about the reputation of not just Sacramento and legislative leadership and executive leadership,
30:40but the reputation of the state of California. And so our state of mind has been resolved. And with
30:46gratitude and deep respect to the extraordinary leaders, capital L leadership, assembled here today,
30:54I thank you and it is my pleasure to sign these two important bills.
31:02unless you have any objections. No, please sign. Which one's yours? That's the assembly one.
31:07That's to say, you're interested in that one? Yeah. It's thicker outside. We're a rowdier bunch.
31:14You are a rowdier bunch. Congratulations. Thank you.
31:17I'm surprised this one's not as thick as that one with all the amendments.
31:30Sure and sweet.
31:36And with that, we're here to answer any questions. I know it's late and we'll have another chance
31:43tomorrow as well. Oh, I have a press conference about 40 minutes away on topics perhaps that are
31:49not necessarily germane to this. Please, anyone?
31:52So, I have a
31:53There was a confusion between the two houses and the past few days.
31:58There's a difference of FB1
32:04and the health of the business around here.
32:06I'm going to let the senator speak because he leaned in, and I heard it for 131.
32:34Yeah, so when we introduced the 131, it was originally SB607 to make some reforms and modernizations to CEQA.
32:45We decided that we did not want that to facilitate fossil fuel extraction. Fossil fuels are not the future.
32:54Clean energy is. And so, in fact, we saw the oil industry sue the city of LA under CEQA,
33:04when LA decided to phase out oil extraction. And so, when we talk about CEQA being abused for
33:10non-environmental purposes, that was like one of the poster children. And so, the bill did not apply to
33:18fossil fuel. But it's not about hookups.
33:21Okay, but it's oil and gas.
33:24Yeah, so they can't use this if they're going to build a new oil refinery or a new oil field.
33:29Yes, they cannot.
33:29So, this is inaccurate what they're sent to you?
33:31Yes. Yes, that's inaccurate.
33:33May not be the first time.
33:35That's why I stepped aside for that editorial comment.
33:48Well, look, not from my perspective, as long as I'm here. Look, I've had the privilege of
33:53assigning my signature to 42 CEQA reform bills. I think reforming, modernizing CEQA is incredibly
34:01important. That said, eliminating it? No. I believe in sort of foundational core tenants process.
34:10Same with NEPA. But the abuses, time to delivery, addressing urgency of need, addressing the imperative
34:18of transitioning to a low carbon green growth future and changing the way we produce and consume
34:23energy, addressing the issue of the housing crisis and affordability. I absolutely find that there are
34:28areas where we can advance some common sense reform that can bring people together and not divide folks.
34:33But from my perspective, no, I would not sign any bill to eliminate foundationally the core tenants of CEQA.
34:39Well, I'm open argument, interested in evidence. As I said, 42 proof points of that in the past. But this is the
34:49most comprehensive. This is the most foundational. This is the most common sense as well. This has been the
34:55holy grail for the housing movement for decades now, just getting to this point on infill. This is the stuff,
35:03you know, as a former mayor. Boy, I only wish we had. By the way, as a future ex-governor, you're welcome
35:12to the next governor of California. Please remember that when they announce record-breaking housing starts
35:18into the future.
35:26These folks, folks to my left and right, their tenacity, their willingness. Look, we had
35:33private conversations. If I had your back in this process, would you willing to have my back as it
35:38relates to sort of challenging the process? You know, it was a lot at stake. $321 billion, in fact.
35:49It's the budget that now formally and officially has passed in the state. And as I said, the reputation
35:56of the fourth largest economy in the world. And so that was an important commitment that was made
36:02and on the basis of relationship that we've had with these folks. And that relationship extended to
36:07the pro tem and the speaker and the relationship of trust that we have in terms of their commitment
36:12to steward this process and do it in a fair-minded way. So you combine that sort of anchor of those four
36:21leaders and the wisdom of their members that are assembled here, the backing of the carpenters that are
36:29willing to go to bat on behalf of working folks and had a reputation for delivering a combination
36:35of all those factors. And yes, a more abundant mindset, literally and figuratively, as it relates
36:41to this issue and not wanting to play. I don't think we've been playing small ball. I want to be
36:47careful there, but not playing in the margins as it relates to incremental reforms. We needed to go bold and
36:54big on this Holy Grail reform.
37:05No, I mean, I just, this is just getting stuff done. I mean, it's just, we've had this, we've had
37:10this mindset for years. We've been, again, um, the last six years, no one's been dormant. The
37:15policy makers have been advancing, um, significant reforms across the spectrum on housing and homelessness.
37:21It wasn't a priority of course of decades, many, many different administrations. So we've been at
37:26this. I think it's a flywheel. It's momentum. Again, just building coalitions. The YIMBY movement
37:32has grown and grown and grown. Um, and, uh, just a recognition. You can't continue to do what you've
37:37done. You'll get what you've got. And, uh, for these cities, you know, when we, I think the day I came
37:41here, we totally changed things with the first announcement, which was suing, um, or putting on notice,
37:48just 46 cities in the state. What I've noticed is they were out of, uh, their housing compliant
37:52elements, suing Huntington Beach, uh, meeting and negotiating with 46 others, um, in Northern
37:59California and Southern California, creating the new housing, housing and accountability unit with
38:03the leadership that you see up here, funding that unit, now incorporating homelessness into it.
38:09The billion dollars that the pro tem mentioned today, that's another component part, increasing our tax
38:15credit program, uh, increasing, uh, our supports for home ownership, first time home buyers. Uh,
38:20those were not priorities in the past. Uh, so we've had a more abundant mindset. We were missing,
38:25however, uh, this foundational component.
38:37Well, here's the great thing. It's bottom up, not top down. And, and, and there is another Holy
38:42Grail as a former mayor. It's sacrosanct and localism will be determinative in those questions,
38:48but, but we won't have the abuses of doing zoning at the local level and then project, uh, investment
38:55at the local level that have to go through a redundant process of, uh, of extended, uh, the CEQA analysis.
39:03And so local, local control in that respect, uh, within the frameworks of local leadership. Uh, but again,
39:10with the ability now to move, not even in a expedited timeline, the 270 day judicial process,
39:17which has been incredibly effective at sites dam, incredibly effective with one of the largest,
39:22solar and battery projects in the world. Uh, second proof point of its effectiveness. This is
39:27significantly, uh, more impactful. Uh, but, uh, but local government will make that determined.
39:33Um, I want, you guys all talk about that.
39:39Just speak for what we see in the future.
39:45Well, um,
39:46Two by five million.
39:46Yes, exactly. As many, as many as possible. I mean, the, listen, there are a couple things. Um,
39:55what we see is that when we pass housing laws and then truly remove all the loopholes, because sometimes when
40:01you pass a law, um, some, some, most cities do their very best to comply. I want to be clear.
40:07I don't want to broad brush, but the cities that, uh, don't want to comply are very ingenious at finding
40:13loopholes. And then we have to close them. If you look at what happened with ADUs, accessory dwelling
40:18units, uh, and it was 2015-16 that the legislature really started putting teeth into that law. It took a
40:24good five, six years for ADU production to really ramp up. It takes a lot for the market to adjust. Of course,
40:30the last five years, we've had a pandemic, a supply chain disaster, and now super high interest rates.
40:36Um, but what we've seen is that it takes some time, but then the laws really start, uh, to take off.
40:42And so at some point, interest rates, I pray will, will come down. And, and to me, the goal is set up
40:48the right structure for the longterm. This isn't about what's going to happen necessarily in the next
40:52year or three years. It's about decades to come. And, and when the economic conditions are right to build
40:58a ton of housing, um, it'd be that we want to make sure that the structure is there to facilitate
41:03that. And I'll, I'll just add to that. You know, I think part of our job also as lawmakers is to
41:08doggedly follow these laws to see if they're actually being implemented the right way and if
41:12they're being effective. Um, and a lot of what I've done and many of us have sort of tracked as we've
41:16done these streamlining stuff, what's working, what's not working, how can we make sure it's effective?
41:21And that's honestly why we landed here today, right? We've gone at these CEQA reforms in prior years,
41:26but what we've realized is we really need this sort of broader infill exemption. Um, so at least
41:31while I'm in the legislature, it's, it's tracking and seeing how effective are these things being
41:36because we don't want to sit here and ram our head against the wall in the politics and then have
41:39nothing to show for it, right? Our job is to deliver for our constituents and making sure that we're
41:44actually doing what we're saying we're doing when you hear us talk about how great this is going to be.
41:48So it is our job to then follow it and follow it all the way down to make sure it's actually being
41:52implemented in the way that we hope it will be. I was joking about the two and a half million,
41:57but I'm not. It's legally binding under arena. And, and it's meaningful because we're, we mean
42:02business as it relates to, uh, requiring and enforcing, uh, which as component parts from the building,
42:09builders remedy to broader issues as it relates to future funding, uh, which the state is now
42:14stipulating with more enforcement, uh, capacity, including now on homelessness. Uh, one of the reforms,
42:20and thank you to legislature. I appreciate on camp and prioritization, the ability to redirect
42:25money as it relates to the HAP funding, which is the new round of money going to the cities and
42:29counties and the COCs, these regional bodies, um, and making sure they're in compliance with their
42:35housing element. They're not in compliance, no money. So all these things are connected. So
42:41carrots and sticks in ways we haven't seen in the past I hope not to have to do this again. I, uh,
42:59just, uh, seeing less than unless you appreciate that process. I, I'm happy to get all of it done.
43:05In fact, uh, in a budget, uh, but, uh, no, look, I, I'm not trying to create any precedent here.
43:11I just think we're, we have an unprecedented crisis of affordability in this state and, uh,
43:17and it's, it's just growing. I mean, the, look, I forgive me, uh, you saw the pro tem and speaker,
43:24I I'll end as I began, um, very emotionally attached, uh, to this reality. I can extend the same,
43:31uh, with a sister who quite literally lived in a cutout of, uh, the hallway because we didn't have
43:37more than one bedroom, uh, where I slept on the couch, uh, where the mom was working two,
43:42almost three jobs, two and a half jobs, uh, and renting and then rented out the spare bedroom,
43:47uh, for most of my childhood. Uh, the emotional attachment to the issue of affordability is real
43:54and raw and for too many people. And so I think, uh, this issue deserved, um, if not a precedent,
44:02uh, to challenge perhaps at least one off a precedent.
44:06Uh, they're working on that, right? They're working on that. I'll leave it at that. I'm intimately
44:27familiar with the conversations around that and have great confidence that we'll achieve
44:32our stated goals. I have great confidence. I've never, you cannot quote me saying I would sign a
44:39bill that I haven't read, um, or at least analyzed in detail, um, before that, but I'm confident that,
44:48uh, we'll achieve the goal as stated.
45:04Well, it's, uh, you, I don't know that you can be, uh, superintendent, uh, or even, uh, do anything
45:14without, you know, the multitask. I can get in the weeds if you'd like on some of the component parts
45:20of the bill, the 233 million to add to the 2.1 billion to finish out the job on pre-K for all.
45:28Uh, the work we're doing with an hundred additional $60 million to finish out universal meals, the 525.9
45:35million dollars to finish out after school and summer school for all. Um, I say all this not to impress
45:41you, but to impress upon you, uh, uh, an appetite, uh, for getting in the weeds and policy making. So, uh,
45:48that includes housing always has homelessness, uh, point of pride. And again, I just refer you back to, um,
45:55my first state of the state, uh, where we prioritize these issues and a subsequent state of the state
46:01where we extended the entire focus on the issue of housing and homelessness. Uh, so our ability not to get
46:09distracted on that. Um, I, I think it's been relatively consistent. So, uh, but, but very proud of my staff
46:17for, uh, their, their handling and stewardship.
46:19How did you get to?
46:22Well, there's, uh, 2,000 bills, including the one that was just referenced. Uh, I have an unbelievable team,
46:30and, uh, I empower Tamika, uh, to do good work. I have great trust and confidence. So,
46:35uh, by definition, uh, that's the only way anyone can govern, particularly a state larger than 21 state
46:41populations combined. Um, but, uh, I assure you, um, there's a reason I was giving Miles a hard time
46:49about, uh, Senator Groh's conversation back and forth. I tend to enjoy this as well. Thank you all very much.
46:57Thank you. Thanks.