HomeMy WebLinkAbout2025-02-11; City Council Legislative Subcommittee; 02; Legislative and Advocacy UpdateMeeting Date: Feb. 11, 2025
To: Legislative Subcommittee
From: Jason Haber, Intergovernmental Affairs Director
Staff Contact: Jason Haber, Intergovernmental Affairs Director
jason.haber@carlsbadca.gov, 442-339-2958
Subject: Legislative and Advocacy Update
District: All
Recommended Action
Receive updates on federal and state legislative and budget activity and recent and ongoing
advocacy efforts; discuss and provide feedback to staff, including identifying high-priority bills,
advocacy positions, funding opportunities, and items for future City Council consideration.
Discussion
Staff and the city’s contract lobbyists – Federal: Carpi & Clay Government Relations / State:
California Public Policy Group – will present updates and overviews of federal and state legislative
activity (Exhibits 1 and 4), activity related to the federal funding freeze (Exhibit 2), impoundment
actions and the federal spending freeze (Exhibit 3), fire related state legislation introduced to date
(Exhibit 5), and intergovernmental matters being tracked on behalf of the city.
The Subcommittee is requested to provide feedback to help city staff and the city’s lobbying
consultants focus the city’s advocacy efforts on high-priority bills and to identify bills for future City
Council consideration.
Next Steps
Staff and the city’s contract lobbyists will monitor, evaluate, and engage the Legislative
Subcommittee in a discussion of legislative activity and proposed measures that may impact city
operations and policy priorities throughout the legislative session.
If the Legislative Subcommittee decides to refer any matters to the City Council, staff will work with
the City Manager to place an item on a future City Council agenda for consideration.
Exhibits
1.Carpi & Clay Government Relations – Federal Update
2.Federal Funding Freeze Memorandum
3.Impoundment Actions and Federal Spending Freeze Memorandum
4.California Public Policy Group – State Update
5.Introduced Fire Related Legislation (as of February 5, 2025)
LEGISLATIVE SUBCOMMITTEE
Feb. 11, 2025 Item #2 Page 1 of 29
1
January 31, 2025
City of Carlsbad
Federal Update
www.carpiclay.com
Exhibit 1
Federal Funding Freeze
On January 27th, acting Director of the Office of Management and Budget (OMB) Matthew Vaeth
issued a memo (M-25-13) titled Temporary Pause of Agency Grant, Loan, and Other Financial
Assistance Programs. This memo directed all federal agencies to temporarily pause all federal
grants, loans, and other financial assistance programs effective 5:00 pm on January 28th. Prior to
the 5:00 pm deadline on the 28th, a legal challenge to the memo was brought before a District
Court in Washington, D.C. and a federal judge issued a stay on the funding freeze until February
3rd. On January 29th, OMB issued another memo that rescinded the memo released on the 27th. At
the time, it was believed that the rescission of OMB’s memo would put an end to the funding
freeze. However, about an hour later, White House Press Secretary Karoline Leavitt posted on X,
clarifying that rescinding the memo does not, in fact, lift the funding freeze. Following these
actions, a coalition of 22 state attorneys general sought a restraining order in a District Court in
Rhode Island. They argued that public statements and the X post indicate “the original sweeping
spending freeze is still in effect, even if the OMB memo describing it has been pulled.” In response,
U.S. District Court Judge McConnell stated that he plans to issue a restraining order, stating that
withdrawing the “hugely ambiguous” OMB directive is merely a distinction without a difference,
“based on comments by the president’s press secretary.”
President Trump Issues Slate of Executive Orders
President Trump began his second term by issuing a slate of EOs and memoranda affecting a
broad swath of federal policy, including the recission of policies under former President Joe
Biden’s administration. Notable EOs include:
Regulatory Freeze Pending Review: directs federal agencies to freeze rulemakings,
rescind unpublished rules, and postpones the effective date of any previously published
rules by 60 days.
Declaring a National Emergency at the Southern Border of the United States: declares
a national emergency related to immigration at the US-Mexico border and aligns federal
resources to address immigration concerns.
Putting People Over Fish: Stopping Radical Environmentalism to Provide Water to
Southern California: directs the Secretaries of Commerce and the Interior to “route more
water from the Sacramento-San Joaquin Delta to other parts of the state for use by the
people there who desperately need a reliable water supply.”
Feb. 11, 2025 Item #2 Page 2 of 29
2 www.carpiclay.com
Emergency Measures to Provide Water Resources in California and Improve Disaster
Response in Certain Areas: directs all federal agencies to take all measures consistent
within their authority to ensure adequate water resources in Southern California to manage
the wildfires. Directs the Secretary of the Interior to use authorities to increase hydropower
generation in the Central Valley Project (CVP) to increase water storage and conveyance.
Directs OMB to review “all Federal programs, projects, and activities for all relevant
agencies that impact land management, water supply, water storage and delivery, water
infrastructure, and disaster preparedness and response.” Directs additional federal aid to
restore housing, remove waste, and increase fire preparedness in California, and
additional housing and infrastructure aid to areas affected by Hurricane Helene.
Unleashing American Energy: supports the advancement of energy and natural
resources projects but also seeks to halt EV programs and grants established by the
Bipartisan Infrastructure Law and the Inflation Reduction Act.
Declaring a National Energy Emergency: revokes the Council on Environmental Quality’s
authority to tell agencies how to comply with the environmental review process for energy
projects.
Council to Assess the Federal Emergency Management Agency: creates a 20-member
council to review federal emergency management policies, practices, and authorities to
provide “immediate, effective, and impartial response to and recovery from disasters.”
Temporary Withdrawal of All Areas on the Outer Continental Shelf from Offshore Wind
Leasing and Review of the Federal Government’s Leasing and Permitting Practices for
Wind Projects: rescinds offshore wind leasing areas and directs a review of all permitting
for both onshore and offshore wind.
Removing Barriers to American Leadership in Artificial Intelligence: outlines policies
and provisions related to artificial intelligence (AI), including the development of an AI
Action Plan within 180 days.
Establishing and Implementing the President’s “Department of Government
Efficiency”: creates and authorizes the Department of Government Efficiency (DOGE) to
be led by Elon Musk.
Reforming The Federal Hiring Process and Restoring Merit to Government Service: part
of President Trump’s efforts to remove diversity, equity, and inclusion (DEI) provisions
implemented by former President Biden.
Keeping Americans Safe in Aviation: specifically directs the Federal Aviation
Administration (FAA) to end all DEI-related practices in the agency’s hiring practices.
Immediate Assessment of Aviation Safety: directs the Secretary of Transportation and
Administrator of the FAA to “review all hiring decisions and safety protocols made during”
the previous administration and “to take such corrective action as necessary to achieve
uncompromised aviation safety.”
Return to In-Person Work: requires federal agencies to begin terminating remote work
arrangements and bring the federal workforce back into the office.
Hiring Freeze: orders a federal hiring freeze for civilian positions across the executive
branch. Within 90 days, OMB must develop a plan to reduce the federal workforce through
efficiency and attrition. The freeze will expire for most agencies once the plan is issued,
except for the IRS, where it remains in effect until further notice. The freeze does not apply
Feb. 11, 2025 Item #2 Page 3 of 29
3 www.carpiclay.com
to military personnel, positions related to immigration enforcement, national security,
public safety, or services for Social Security, Medicare, or Veterans’ benefits.
Restoring Accountability to Policy-Influencing Position Within the Federal Workforce:
reinstates and expands Schedule F, reclassifying certain federal positions as "Schedule
Policy/Career" which allows for the reassignment or dismissal of federal employees in
these positions who are deemed underperforming or not aligned with the administration’s
policies, reversing restrictions imposed by the previous administration.
Restoring Accountability for Career Senior Executives: increases accountability among
Senior Executive Service (SES) officials, ensuring they align with the administration’s
policies. The directive calls for new performance plans, reassignments, restructuring of
oversight boards, and potential removal of SES members whose performance is deemed
inconsistent with their duties.
Reforming the Federal Hiring Process and Restoring Merit to Government Service:
reforms federal hiring practices by emphasizing merit-based recruitment and enhancing
efficiency.
Ending Radical and Wasteful Government DEI Programs and Preferencing: terminates
federal diversity, equity, inclusion (DEI), and environmental justice programs. All DEI-
related positions, programs, mandates, and training, including "Chief Diversity Officer"
roles and "equity action plans," are to be ended within 60 days. The Assistant to the
President for Domestic Policy will monitor agency compliance, assess barriers to
implementation, and recommend additional measures to ensure adherence to the order.
Defending Women from Gender Ideology Extremism and Restoring Biological Truth to
the Federal Government: establishes a federal policy recognizing two immutable
biological sexes, male and female, and aims to ensure that all federal policies, regulations,
and enforcement actions adhere to this distinction. Federal agencies and departments
must use sex-based definitions in all regulations, policies, and official documents.
Additionally, federal identification documents (e.g., passports) must reflect biological sex.
The order also dissolves the White House Gender Policy Council.
Protecting Children from Chemical and Surgical Mutilation: prohibits federal funding
for gender transition procedures, including puberty blockers, hormone treatments, and
surgeries, for individuals under 19 years of age. The order also directs federal agencies to
review policies related to insurance coverage, restricting the use of federal funds for
insurers that cover such treatments for minors, and mandates a review of medical
guidelines related to gender dysphoria in children.
President Trump to Address Congress on March 4th
Speaker of the House Mike Johnson (R-LA) sent a letter to President Trump inviting him to give an
address during a Joint Session of Congress on March 4th. This speech will be President Trump’s
first address to Congress in his second term in office.
Treasury Begins Extraordinary Debt Limit Measures
On January 17th, outgoing Secretary of the Treasury Janet Yellen sent a letter to Speaker Johnson
announcing that the Department of the Treasury (Treasury) will begin extraordinary measures to
Feb. 11, 2025 Item #2 Page 4 of 29
4 www.carpiclay.com
prevent default on the national debt effect January 21st. The Fiscal Responsibility Act of 2023 (P.L.
118-5) suspended the debt limit until January 1st of this year, and a new limit was established on
January 2nd. The extraordinary measures include temporarily withholding investments in the Civil
Service Retirement and Disability Fund and the Postal Service Retiree Health Benefits Fund. Both
funds will receive payments once Congress acts to increase or suspend the debt limit. President
Trump announced his desire for the debt ceiling to be increased as part of the budget
reconciliation package under development by House Republicans.
Trump Cabinet Nominations
The following chart provides the status of President Trump’s nominees for his second Cabinet.
Senate Committees continue to hold nomination hearings and committee votes to send
nominations to the Senate Floor.
Dept/Agency Position Nominee Confirmation Acting Official
Agriculture Secretary Brooke Rollins pending Gary Washington
Commerce Secretary Howard Lutnick pending Jeremy Pelter
Defense Secretary Pete Hegseth 1/24 by a vote
of 51-50 N/A
Education Secretary Linda McMahon pending Denise Carter
Energy Secretary Chris Wright pending Ingrid Kolb
Health &
Human
Services
Secretary Robert F.
Kennedy, Jr. pending Dorothy Fink
Homeland
Security Secretary Krisi Noem 1/25 by a vote
of 59-34 N/A
Housing &
Urban
Development
Secretary Scott Turner pending Matt Ammon
Interior Secretary Doug Burgum 1/30 by a vote
of 79-18 N/A
Justice Attorney General Pam Bondi pending James McHenry
Labor Secretary Lori Chavez-
DeReemer pending Vince Micone
State Secretary Marco Rubio 1/21 by a vote
of 99-0 N/A
Transportation Secretary Sean Duffy 1/28 by a vote
of 77-22 N/A
Treasury Secretary Scott Bessent 1/27 by a vote
of 68-29 N/A
Veterans
Affairs Secretary Doug Collins pending Todd Hunter
Feb. 11, 2025 Item #2 Page 5 of 29
5 www.carpiclay.com
Central
Intelligence
Agency
Director John Ratcliffe
Confirmed
1/23 by a vote
of 74-25
N/A
Environmental
Protection
Agency
Administrator Lee Zeldin 1/29 by a vote
of 56-42 N/A
Office of
Management
and Budget
Director Russel Vought pending Matthew Vaeth
Office of
National
Intelligence
Director Tulsi Gabbard pending Stacey Dixon
Small
Business
Administration
Administrator Kelly Loeffler pending Everett Woodel
United States
Trade
Representative
Ambassador Jamieson Greer pending Juan Millan
United Nations
Representative Ambassador Elise Stefanik pending Dorothy Shea
White House Chief of Staff Susie Wiles Confirmation
not required N/A
Trump Administration Appointments
President Trump submitted the following Executive Branch nominations to the Senate following
his inauguration. The White House positions listed do not require confirmation from the Senate
and the listed individuals assumed their position on January 20th.
Dept/Agency Position Appointee Previous Government Position
EPA Deputy Secretary David Fotouhi EPA Acting General Counsel
EPA Region 6
Administrator Scott Mason Director of the American Indian
Environmental Office
EPA
Director of the
Office of Air and
Radiation
Aaron Szabo
Senior Council for the White
House Council on Environmental
Quality
Homeland Security Deputy Secretary Troy Edgar Chief Financial Officer of DHS
Homeland Security
Commissioner of
Customs and
Border Protection
Rodney Scott 24th Chief of US Border Patrol
Housing & Urban
Development
Director of the
Federal Housing
Finance Agency
Bill Pulte N/A
Feb. 11, 2025 Item #2 Page 6 of 29
6 www.carpiclay.com
Interior Deputy Secretary Katharine
MacGregor Interior Deputy Secretary
Justice Deputy Attorney
General Todd Blanche N/A
Justice
Assistant
Attorney General
for the Civil
Rights Division
Harmeet Dhillon N/A
Justice US Attorney, DC John Irving Counsel in the US Attorney’s
Office, DC
Justice Director of the
FBI Kash Patel Chief of Staff to Acting Secretary
of Defense Christopher Miller
Labor Deputy Secretary Keith Sonderling
Member of the Equal
Employment Opportunity
Commission
Labor Deputy Secretary Steven Gill Bradbury DOT General Counsel
OMB Deputy Director Dan Bishop
Former Representative from
North Carolina’s 8th
Congressional District
Office of Personnel
Management Director Scott Kupor N/A
Transportation
Acting
Administrator of
the Federal
Aviation
Administration
Chris Rocheleau Deputy Associate Administrator
of the FAA for Aviation Safety
Transportation
Administrator of
the Federal
Railroad
Administration
David Fink N/A
CONGRESSIONAL ACTIVITY
President Trump Signs Laken Riley Act into Law. On January 29th, President Trump signed the
Laken Riley Act (P.L. 119-1) into law. The bill passed the House and Senate on January 22nd and is
the first law passed by the 119th Congress. The law requires the detention of undocumented
immigrants charged with, arrested for, convicted of, or for admitted acts, including burglary, theft,
larceny, or shoplifting. It also authorizes states to sue the federal government for decisions that
affect immigration enforcement.
Feb. 11, 2025 Item #2 Page 7 of 29
7 www.carpiclay.com
House Passes Bipartisan Federal Disaster Coordination Bill. The House passed the Federal
Disaster Assistance Coordination Act (H.R. 152) on January 14th by a vote of 405-5. The bipartisan
legislation directs the Federal Emergency Management Agency (FEMA) to study and streamline
data collection and damage assessments following a natural disaster to ease the application
process for federal disaster assistance. The legislation heads to the Senate for consideration.
Bipartisan Bill Introduced to Increase SALT Deduction Limit. Representative Mike Lawler (R-
NY) introduced bipartisan legislation (H.R. 232) to increase the State and Local Tax (SALT)
deduction limit for federal income tax filing to $100,000 for single filers and $200,000 for married
couples filing jointly. The current SALT deduction limit is $10,000, or $5,000 for married couples
filing separately, for individuals that itemize income tax deductions. The legislation was referred
to the Committee on Ways and Means for consideration.
House Democrats Urge Support for OSHA’s Heat Injury and Illness Prevention Rule. A group
of 57 House Democrats sent a comment letter to the Department of Labor supporting the
Occupational Safety and Health Administration’s (OSHA) proposed rule to protect workers from
occupational exposure to extreme heat. The Biden Administration released the Heat Injury and
Illness Prevention in Outdoor and Indoor Work Settings notice of proposed rulemaking in
August 2024, with the comment period ending January 14th. The letter requests a comprehensive
standard that provides workers with adequate hydration, rest breaks, areas of rest breaks out of
direct sun or in air conditioning, medical services and training to address heat related illnesses,
and a plan for acclimatization to high-heat work conditions.
House Transportation Committee Announces a Revised List of Subcommittee Leaders. This
week, Transportation and Infrastructure Committee Chair Sam Graves (R-MO) announced a
revised list of the Chairs for the Committee’s six subcommittees:
Subcommittee Chair Ranking Member
Aviation Rep. Troy Nehls (R-TX) Rep. Steve Cohen (D-TN)
Coast Guard & Maritime Rep. Mike Ezell (R-MS) Rep. Salud Carbajal (D-CA)
Economic Development,
Public Buildings, &
Emergency Management
Rep. Scott Perry (R-PA) Rep. Greg Stanton (D-AZ)
Highways & Transit Rep. David Rouzer (R-NC) Del. Eleanor Holmes
Norton (D-DC)
Railroads, Pipelines, &
Hazardous Materials Rep. Daniel Webster (R-FL) Rep. Dina Titus (D-NV)
Water Resources &
Environment Rep. Mike Collins (R-GA) Rep. Frederica Wilson (D-
FL)
Feb. 11, 2025 Item #2 Page 8 of 29
8 www.carpiclay.com
FEDERAL FUNDING OPPORTUNITIES
FAA Publishes Aviation Maintenance Technical Workers Workforce Development Grant
NOFO. FAA published a notice of funding opportunity (NOFO) for the availability of $9 million
through the FAA Aviation Maintenance Technical Workers Workforce Development Grant
Program. The grants will help fund education and recruitment of aviation maintenance technical
workers and the development of the aviation maintenance workforce. Applications are due by
February 5th.
FAA Publishes Aircraft Pilots Workforce Development Grant NOFO. FAA published a NOFO for
the availability of $9 million through the Aircraft Pilots Workforce Development Grant Program for
eligible projects to support the education and recruitment of future aircraft pilots and the
development of the aircraft pilot workforce. Applications are due by February 5th.
FEMA Publishes Safeguarding Tomorrow RLF NOFO. FEMA published a $178 million NOFO
through the FY25 Safeguarding Tomorrow through Ongoing Risk Mitigation Revolving Loan Fund
Program (Safeguarding Tomorrow RLF). States, territories, and tribal governments may apply for
funding to capitalize or recapitalize established revolving loan funds to provide low-interest loans
to communities needing financial assistance for hazard mitigation projects and activities.
Applications are due by September 30th.
Reclamation Announces $95 Million WaterSMART Aquatic Ecosystem Restoration NOFO.
The Bureau of Reclamation (Reclamation) announced a $95 million NOFO through the
WaterSMART Aquatic Ecosystem Restoration program. Funding will support projects to study,
design, and construct collaboratively developed ecosystem aquatic ecosystem restoration
projects. Applications are due by April 15th.
Reclamation Announces WaterSMART Cooperative Watershed Management NOFO.
Reclamation announced a NOFO through Phase I of the WaterSMART Cooperative Watershed
Management Program for up to $300,000 per applicant over a three-year period. Funding will
support development activities, watershed restoration planning, and watershed management
project design. Applications are due by May 20th.
GRANT AWARD ANNOUNCEMENTS
DOT Announces RAISE Grant Awards. DOT announced $1.32 billion in Round 1 awards through
the Rebuilding American Infrastructure with Sustainability and Equity (RAISE) discretionary grant
program to 109 projects across the country.
DOT Announces Reconnecting Communities Grant Awards. DOT announced $544 million in
grants awards or 81 projects through the Reconnecting Communities Pilot discretionary grant
program. The program helps to routes between communities in urban, rural, and tribal areas that
Feb. 11, 2025 Item #2 Page 9 of 29
9 www.carpiclay.com
were cut off by transportation infrastructure decades ago, leaving entire neighborhoods without
easy access to opportunities, employment and key resources like schools, medical offices, and
places of worship.
DOT Announces Intersection Safety Challenge Winners. DOT announced the winners of the
Intersection Safety Challenge Stage 1B: System Assessment and Virtual Testing. The purpose of
the Intersection Safety Challenge, a multi-stage prize competition, is to encourage teams of
innovators and end-users to develop, prototype and test intersection safety systems (ISS) that
leverage emerging technologies including artificial intelligence (AI) and machine learning (ML) to
identify and mitigate unsafe conditions involving vehicles and vulnerable road users at roadway
intersections. DOT awarded 10 teams with prize amounts ranging from $166,666 to $750,000, for
a total of $4,000,000 in prize awards.
DOT Announces Modernizing NEPA Challenge Rewards. DOT announced the winners of the
Modernizing National Environmental Policy Act (NEPA) challenge, which rewarded the use of
accessible and interactive innovations to make the NEPA review process easier to navigate.
Winning projects are aimed at incentivizing collaborative, real-time reviews to save time and
improve the quality of NEPA documents. There were nine recipients of $50,000 each.
FAA Announces AIG Awards. FAA announced $332 million for 171 airport projects across 32
states through the Airport Infrastructure Grants (AIG) program. The grants will be used to fund
airport planning, development, sustainability, terminal expansions, baggage system upgrades,
runway safety enhancements, and noise compatibility projects.
FHWA Announces $229.9 Million in ER funds. The Federal Highway Administration (FHWA)
announced the release of $229.9 million in Emergency Relief (ER) funds to 26 states, Guam, and
Puerto Rico. The funds will be used to support repair needs following natural disasters,
catastrophic events, and extreme weather such as flooding, wildfires, hurricanes, and mudslides.
Repairs resulting from these events will receive federal reimbursement funding under the FHWA’s
Emergency Relief (ER) program.
FHWA Announces Charging and Fueling Infrastructure Program Awards. FHWA announced
$635 million to 49 projects in 27 states through the Charging and Fueling Infrastructure Program.
The grants will help to deploy more than 11,500 EV charging ports and hydrogen and natural gas
fueling infrastructure.
FHWA Announces ATIIP Grant Awards. FHWA announced $44.5 million in Active Transportation
Infrastructure Investment Program (ATIIP) grant awards. The grants help to fund projects that plan,
design, and construct projects for connected networks that lead to destinations and make
communities safer for bikers and pedestrians while increasing access to public transit.
FRA Announces Railroad Crossing Elimination Grant Awards. The Federal Railroad
Administration (FRA) announced more than $1.1 billion to 123 rail projects in 41 states through
the Railroad Crossing Elimination Grant program. The grants will help fund projects that build
Feb. 11, 2025 Item #2 Page 10 of 29
10 www.carpiclay.com
railroad overpasses and underpasses, fund safety upgrades that will save lives, and make
improvements that aiming to help make safer communities for pedestrians and motorists as well
as rail workers and riders.
HUD Announces $12 Billion in Allocations through CDBG-DR Program. The Department of
Housing and Urban Development (HUD) announced $12 billion in allocations through the
Community Development Block Grant–Disaster Relief (CDBG-DR) program in 24 states and
territories. The funding supports disaster relief and mitigation projects not covered by insurance
or other federal or state issues. Allocations were developed based on a formula that considers
unmet needs for housing, economic revitalization, and infrastructure plus fifteen percent for
mitigation activities.
HUD Announces $3.569 Billion in Continuum of Care Awards. HUD announced $3.569 billion
in funding awards to all fifty states and the District of Columbia through the Continuum of Care
program, including $189 million through the Youth Homelessness Demonstration Program. The
funding will support state, local, and tribal government-designated housing entities and non-
profit housing providers with resources to quickly rehouse homeless individuals, families,
persons fleeing domestic violence, sexual assault, and stalking, and youth and promote program
access.
HUD Awards $100 Million through PRO Housing Program. HUD announced $100 million in
grants for 18 projects in 15 states through the Pathways to Removing Obstacles to Housing (PRO
Housing) program. The program funds efforts to address restrictive land use or regulatory policies,
improve and implement housing strategies, increase community resilience, and facilitate the
construction of new housing or repairs to existing housing.
Reclamation Announces $41 Million in FY24 WaterSMART Environmental Water Resources
Awards. Reclamation announced $41 million in grants for 21 projects in 11 states through the
WaterSMART Environmental Water Resources program. Funding supports projects that bolster
water resources, ecosystem health, and resilience in communities facing drought and other
climate-related concerns.
Reclamation Announces $223.2 Million in Title XVI Water Reclamation, Reuse, and
Desalination Grants. Reclamation announced $223.2 million in Title XVI Water Reclamation,
Reuse, and Desalination grants for 18 projects in 8 states. The projects are expected to create
305,936 acre-feet of recycled water annually through water storage, conservation and
conveyance, nature-based solutions, dam safety, water purification and reuse, and desalination.
FEDERAL AGENCY REGULATORY ACTIONS
DHS Publishes Notice Designating Aliens for Expedited Removal. Prior to the confirmation of
Secretary of Homeland Security Kristi Noem, Acting Secretary Benjamine Huffman issued a
Feb. 11, 2025 Item #2 Page 11 of 29
11 www.carpiclay.com
directive providing authority for the Department of Homeland Security (DHS) to engage with
Department of Justice agencies to enforce immigration laws. Federal agents with the US
Marshals, Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms and
Explosives, and the Federal Bureau of Prisons may investigate and apprehend undocumented
individuals. The directive is effective as of January 21st.
REGULATORY ACTIONS TAKEN IN JANUARY UNDER THE PREVIOUS
ADMINISTRATION
The following actions were taken in January by the prior Administration. It is possible that these
actions could be amended or revoked.
EPA Adds Nine Additional PFAS to the Toxic Release Inventory. EPA automatically added nine
per- and polyfluoroalkyl substances (PFAS) to the Toxic Release Inventory (TRI) beginning with
reporting year 2025. The automatic addition of PFAS to the TRI is authorized by the FY20 National
Defense Authorization Act which provides the framework for additions based on EPA activity
related to PFAS. A total of 205 PFAS are now subject to annual TRI reporting requirements.
EPA Releases Draft Sewage Sludge Risk Assessment for PFAS. The EPA released a Draft
Sewage Sludge Risk Assessment for PFOA and PFOS to address potential human health risks
related to PFAS. Perfluorooctanoic acid (PFOA) and perfluorooctanesulfonic acid (PFOS)
exposure risks may be prevalent with all three methods of disposing of sewage sludge: land
application of biosolids, surface disposal in landfills, or incineration. The risk assessment focuses
on individuals living on or near impacted sites and those who rely on food crops, animal products,
and drinking water at risk of contamination. EPA developed a landing page, a general fact sheet,
a fact sheet for wastewater treatment plants, and a frequently asked questions document to
provide more information. Comments on the draft are due by March 17th.
FHWA Publishes Buy America Requirements for Manufactured Products Final Rule. FHWA
published a final rule that amends FHWA's Buy America regulation to terminate FHWA's general
waiver for manufactured products and establish Buy America requirements for manufactured
products concerning federal-aid highway projects. The standards for applying Buy America to
manufactured products are generally consistent with the Office of Management and Budget's
(OMB) guidance implementing the Build America, Buy America Act (BABA) provisions of the
Infrastructure Investment and Jobs Act (also known as the Bipartisan Infrastructure Law (BIL)).
The final rule is effective on March 17th.
FRA Proposes Buy America Waiver for Tier 0, Tier 1, and Non-Tiered Locomotives. FRA is
proposing to waive Buy America requirements for the purchase of used locomotives that would
serve as the underframe or chassis to convert them to all-electric, renewable diesel, battery-
powered, or other renewable-energy locomotives. Such projects would remove highly polluting
locomotives from the national rail network and replace them with more efficient locomotives that
Feb. 11, 2025 Item #2 Page 12 of 29
12 www.carpiclay.com
will reduce overall emissions, address environmental burdens on communities, and create
domestic jobs. Purchases of these locomotives under FRA-funded projects are subject to FRA’s
Buy America requirements. However, given the age of these used locomotives, it is difficult and
may not be possible to verify whether they are fully compliant with FRA’s Buy America
requirements. In this general applicability waiver, FRA does not propose to waive the applicable
Build America, Buy America Act (BABA) requirements. This proposed waiver would not apply to
any other manufactured products, steel, iron, or construction materials. Comments are due by
January 28th.
FRA Publishes ERD for CY 2025. FRA published the emergency relief docket (ERD) for calendar
year (CY) 2025.
FWS Seeks Comment on Proposed Critical Habitat for Foothill Yellow-Legged Frog. The Fish
& Wildlife Service (FWS) is seeking public comment on its proposal to designate 760,071 acres
of critical habitat for the Foothill Yellow-Legged Frog in California. The proposed includes habitats
for four listed and distinct populations: 192,275 acres for the North Feather population
(threatened), 307,777 acres for the South Sierra population (endangered), 249,942 acres for the
Central Coast population (threatened), and 10,077 acres for the South Coast population
(endangered). Comments are due by March 17th.
Reclamation Announces Revisions to NEPA Categorical Exclusions. Reclamation announced
final revisions to seven categorical exclusions under NEPA. The revisions aim to streamline the
environmental review process for water-related contracting, use authorizations, financial
assistance, loans, and funding activities. The revisions are effective as of January 13th.
FEDERAL AGENCY ANNOUNCEMENTS AND PERSONNEL CHANGES
President Trump Appoints Acting FAA Administrator. President Trump has appointed Chris
Rocheleau as Acting Administrator of the FAA with immediate effect. Rocheleau was initially
appointed as Deputy Administrator.
DOE Releases Offshore Wind Action Plan for West Coast. The Department of Energy (DOE)
released the “Action Plan for Offshore Wind Transmission Development in the U.S. West
Coast Region” that details challenges and opportunities offshore wind electricity transmission
on the West Coast. The Action Plan includes information on connecting the first generation of
offshore wind to the grid, supporting Western electric grid development, improving reliability and
resilience, and developing an offshore wind energy workforce.
DOT Publishes Annual Transportation Statistics Report. DOT’s Bureau of Transportation
Statistics published the 2024 Transportation Statistics Annual Report. The report presents an
overview of the national transportation system, including key indicators regarding safety, system
reliability, energy use, and environmental impacts.
Feb. 11, 2025 Item #2 Page 13 of 29
13 www.carpiclay.com
DOT Requests Combating Human Trafficking in Transportation Impact Award Nominations.
The annual Combating Human Trafficking in Transportation Impact Award (the award) is a
component of DOT’s Transportation Leaders Against Human Trafficking initiative that seeks to
raise awareness among transportation stakeholders about human trafficking and increase
training and prevention to combat crime. The award serves as a platform for transportation
stakeholders to creatively develop impactful and innovative counter-trafficking tools, initiatives,
campaigns, and technologies that can be shared with the broader community to help stop human
trafficking. The award is open to individuals and entities, including non-governmental
organizations, transportation industry associations, research institutions, and State and local
government organizations. Entrants compete for a cash award of up to $50,000 to be awarded to
the individual(s) or entity selected for creating the most impactful counter-trafficking initiative or
technology. Submissions are due by March 7th.
DHS Releases Public Sector AI Deployment Playbook. The Department of Homeland Security
(DHS) released the “Playbook for Public Sector Artificial Intelligence Deployment” to provide
government officials with information and best practices related to the effective deployment of
generative artificial intelligence (AI) technologies.
EPA Releases Framework for Permitting Innovation in the Wastewater Sector. EPA issued a
“Framework for Permitting Innovation in the Wastewater Sector” to raise awareness of and
prioritize improving permitting processes to address discharges associated with innovative
technologies and management strategies.
EPA Releases Q&A Document on Potable Reuse and PFAS. EPA released a question and
answer (Q&A) document titled “Potable Reuse and PFAS.” The document was developed in
response to the volume of questions related to EPA’s rules and regulations on potable water reuse
and PFAS.
EPA Releases Environmental Value of Applying Compost Report. EPA issued a report titled
"Environmental Value of Applying Compost: Improving Soil Health for Stormwater
Management, Contaminated Site Remediation, Ecosystem Restoration, Landscaping and
Agriculture.” The report summarized the environmental value of compost used across various
sectors, including green infrastructure, stormwater management, ecosystem conservation and
restoration, contaminated site remediation, and other applications.
FAA Announces Modernization of Pilot Schools Virtual Public Meeting. FAA announced a
virtual public meeting to solicit input on the modernization of pilot school regulations, a first in a
series of meetings. The meeting will be held on March 6th from 10:00 am to 2:00 pm ET.
IRS Announces Filing Extension for Individuals and Businesses Affected by California
Wildfires. The Internal Revenue Service (IRS) announced a 2024 tax filing deadline extension for
individuals and businesses affected by the California wildfires that began in early January.
Affected taxpayers have until October 15th to file and make federal tax payments.
Feb. 11, 2025 Item #2 Page 14 of 29
14 www.carpiclay.com
Reclamation Announces Deputy Regional Director for Lower Colorado Basin Region.
Reclamation announced that Genevieve Johnson will serve as the Deputy Regional Director for
the Lower Colorado Basin region. Johnson previously served as Manager of the Lower Colorado
Basin Region Project and Program Office.
President Trump Asks TSA Administrator to Step Down. On Monday, TSA Administrator David
Pekoske announced he was informed by President Trump's transition team that his tenure as
Administrator would end at the time of Trump's inauguration. Pekoske was originally appointed by
Trump in 2017 to a five-year term and reappointed to a second five-year term by President Biden
in 2022. President Trump has not yet named a new nominee for the position.
## ## ##
Feb. 11, 2025 Item #2 Page 15 of 29
1
February 6, 2025
Federal Funding Freeze
www.carpiclay.com
Over the past week, there has been a significant amount of activity related to the status and availability of
federal funding. This memorandum reviews the events of last week related to the federal funding freeze,
gives the status of where things stand, and offers a glimpse into what may happen next.
Monday, January 27th
Monday evening, the White House Office of Management and Budget (OMB) Acting Director Matthew
Vaeth sent a two-page memo to all federal agencies entitled “Temporary Pause of Agency Grant, Loan,
and Other Financial Assistance Programs” (M-25-13). The memo stated that all federal agencies would
begin a review process of all federal grant and loan programs within their agency to determine if they were
in line with the Executive Orders (EO) President Trump issued in his first week in office. During the time of
the review, agencies were directed to freeze all disbursement of federal grants and loans. OMB provided
agencies with a deadline of February 10th to finish their review along with the following guidance:
“To implement these orders, each agency must complete a comprehensive analysis of all their
Federal financial assistance programs to identify programs, projects, and activities that may be
implicated by any of the President’s executive orders. In the interim, to the extent permissible
under applicable law, Federal agencies must temporarily pause all activities related to obligation
or disbursement of all Federal financial assistance, and other relevant agency activities that may
be implicated by the executive orders, including, but not limited to, financial assistance for foreign
aid, nongovernmental organizations, DEI, woke gender ideology, and the green new deal.”
Tuesday, January 28
Tuesday morning, OMB sent out two additional memos to federal agencies. The first was a brief Q&A
about the funding pause and the second provided guidance on the information federal agencies are
required to submit with each federal program review. Here is the list of questions that agencies must
answer:
•Does the program have any pending funding announcements?
•Does the program have any anticipated obligations or disbursement of funds before 3/15/2025?
•Does this program have any statutory requirements mandating the obligation or disbursement of
funds through 3/15/2025?
•Provide the estimated date of the next obligation or disbursement of funds.
•Does this program provide federal funding to non-governmental organizations supporting or
providing services, either directly or indirectly, to removable or illegal aliens?
•Is this program a foreign assistance program, or provide funding or support activities overseas?
Exhibit 2
Feb. 11, 2025 Item #2 Page 16 of 29
2 www.carpiclay.com
• Does this program provide funding that is implicated by the revocation or recission of the U.S.
International Climate Finance Plan?
• Does this program include activities that impose an undue burden on the identification,
development, or use of domestic energy sources (including through funding under the Inflation
Reduction Act of 2022; and the Infrastructure Investment and Jobs Act)?
• Does this program provide funding that is implicated by the directive to end discriminatory
programs, including illegal DEI and “diversity, equity, inclusion, and accessibility” (DEIA)
mandates, policies, programs, preferences, and activities, under whatever name they appear, or
other directives in the same EO, including those related to “environmental justice” programs or
“equity-related” grants?
• Does this program promote gender ideology?
• Does this program promote or support in any way abortion or other related activities in the Hyde
Amendment?
• If not covered in the preceding columns, does this program support any activities that must not
be support based on executive orders issued on or after January 20, 2025 (including executive
orders released following the dissemination of the spreadsheet)?
• Provide additional information on program or project activities.
Federal agencies were given a deadline February 7th to provide the requested information to OMB.
Tuesday afternoon, U.S. District Judge AliKhan in the District of Columbia issued a temporary injunction
blocking the proposed freeze on federal grants and loans, citing concerns about its legality. The stay was
scheduled to last through Monday, February 3rd. The lawsuit was filed by a coalition of nonprofit
organizations, including the National Council of Nonprofits, the American Public Health Association, and
the Main Street Alliance, arguing that the freeze would cause immediate and irreparable harm to
essential services.
Wednesday, January 29
On Wednesday afternoon, the White House Office of Management and Budget (OMB) issued a brief
memo rescinding its Monday evening directive (M-25-13) titled Temporary Pause of Agency Grant, Loan,
and Other Financial Assistance Programs. The expectation was that the rescission of the memo would lift
the federal funding freeze. However, about two hours after OMB rescinded the memo, the White House
Press Secretary Karoline Leavitt posted on X: “This is NOT a rescission of the federal funding freeze. It is
simply a rescission of the OMB memo.”
Meanwhile, a coalition of 22 state attorneys general (AGs) sought a temporary restraining order, arguing
that public statements and the Press Secretary’s post indicate “the original sweeping spending freeze is
still in effect, even if the OMB memo describing it has been pulled.” U.S. District Court Judge McConnell
indicated that he would be granting the restraining order, stating that the withdrawal of the “hugely
ambiguous” OMB directive is merely a distinction without a difference, “based on comments by the
president’s press secretary.”
Friday, January 31
Following his comments on Wednesday, the Judge McConnell granted a temporary restraining order
(TRO) blocking the implementation of the Trump Administration’s policy halting federal agency grants,
loans, and other financial assistance programs. This ruling effectively stops the funding freeze from
taking effect, at least temporarily, while the legal battle over its implementation continues.
Feb. 11, 2025 Item #2 Page 17 of 29
3 www.carpiclay.com
The order explicitly prohibits the Administration from:
1. Pausing, freezing, impeding, blocking, canceling, or terminating compliance with federal financial
assistance awards and obligations.
2. Impeding states’ access to these awards and obligations, except as allowed under the applicable
statutes, regulations, and grant terms.
3. Reissuing or implementing the funding freeze under another name or method, including actions
referenced in the White House Press Secretary’s statement confirming the freeze remains in
place.
4. Blocking federal financial assistance programs through any agency or administrative mechanism.
The TRO remains in effect until the court rules on the states’ forthcoming motion for a preliminary
injunction.
Monday, February 3
Judge AliKhan extended the TRO against the Trump Administration’s plan to halt federal funding. This
case was brought before the Court on Tuesday by a nonprofit association representing organizations that
rely on federal funding to provide essential services. The judge found that, despite the OMB withdrawing
its original memo directing the freeze, there remained concerns that funding could still be withheld or
reinstated arbitrarily. The Court emphasized that the Administration’s actions of infringing upon
Congress’s authority over federal spending may have overstepped constitutional boundaries. This ruling
is separate from Judge McConnell’s similar decision that blocked the funding freeze in response to a
lawsuit filed by 22 Democratic attorneys general and the District of Columbia.
Current Status of Federal Funding Freeze
At the time of this writing, there are currently two temporary restraining orders in effect related to the
funding freeze. As a result, federal agencies were directed as of 9:00 am on February 3rd that the freeze
has been temporarily halted. Since that time, many grantee recipients have been able to access and
draw down previously awarded federal funding. However, there are still reports of grantees having
challenges communicating with federal agency staff regarding federal funding or financing, as well as
awards that are not yet being released.
What Comes Next?
Currently, neither of the current TROs have an end date. It is anticipated that they will both remain in
effect until the Courts consider additional forthcoming motions for a preliminary injunction. There may
also be additional legal action taken both in response to the federal funding freeze, as well as around the
larger issue of the Administration having the ability to impound funding Congress has appropriated. In
1974, Congress passed the Impoundment Control Act of 1974 (ICA) which explicitly limits the President’s
ability to withhold or delay the expenditure of funds Congress has appropriated. The Trump
Administration has indicated that it is looking to pursue a legal challenge to the ICA that could possibly
make its way to the U.S. Supreme Court. Meanwhile, federal agencies continue to conduct a review of
federal programs to determine conflicts with the President’s executive orders continues.
## ## ##
Feb. 11, 2025 Item #2 Page 18 of 29
1
February 6, 2025
Impoundment Actions and
Federal Spending Freeze
www.carpiclay.com
Introduction
In a significant and unprecedented move, the Trump Administration issued a directive on January
27th, temporarily pausing the disbursement of federal grants and loans while agencies conduct a
review of all financial assistance programs to determine alignment with the President’s newly
issued Executive Orders. The Office of Management and Budget (OMB) initially set a February 10th
deadline for agencies to complete this review. However, after a coalition of nonprofit
organizations filed a lawsuit, a federal judge in Washington, D.C., issued a temporary injunction
blocking the freeze. Subsequent legal actions led to a broader temporary restraining order (TRO)
on January 31st, preventing the Administration from halting funding disbursements or
implementing the freeze under any alternative approach.
Despite OMB’s later withdrawal of its directive, statements from the White House Press Secretary
reinforced that the funding freeze remained in place, prompting further legal challenges. As of
February 3rd, two separate TROs have effectively halted the freeze, allowing many grant recipients
to resume accessing funds. However, reports indicate ongoing challenges with agency
communication and delays in releasing awards. With no set expiration date for the restraining
orders, the legal battle over executive authority in withholding congressionally appropriated funds
continues. The Administration has signaled potential efforts to challenge the Impoundment
Control Act of 1974, raising concerns over the broader implications for Congressional authority
over federal spending.
Congressional Authority Over Appropriations
The Constitution vests Congress with the "power of the purse," primarily through two key
provisions:
1.The Spending Clause (Article I, Section 8, Clause 1) grants Congress the authority to levy
taxes and allocate funds for national defense and general welfare.
2.The Appropriations Clause (Article I, Section 9, Clause 7) mandates that no funds can be
withdrawn from the Treasury without congressional approval.
Congress has further enforced its fiscal control through statutory provisions such as the
Antideficiency Act, the Purpose Statute, and the Impoundment Control Act of 1974. These laws
Exhibit 3
Feb. 11, 2025 Item #2 Page 19 of 29
2 www.carpiclay.com
collectively ensure that federal agencies operate within appropriated budgets and that the
executive branch spends funds as directed by Congress.
The Impoundment Control Act and Recent Developments
The Impoundment Control Act of 1974 (ICA) explicitly restricts the President’s ability to withhold
or delay the expenditure of funds appropriated by Congress. Under the ICA, the President must
formally request the rescission of any appropriated funds, and Congress must approve the
request within 45 days; otherwise, the funds must be released as originally intended.
The recent federal funding freeze has sparked significant legal and constitutional concerns, as it
appears to circumvent the ICA. While the Administration initially framed the pause as a review
process to align federal grants and loans with new executive orders, legal challenges have led to
multiple temporary restraining orders blocking its enforcement. Federal judges have raised
concerns that the freeze constitutes an unauthorized impoundment of congressionally
appropriated funds. With ongoing legal battles, the Administration has hinted at a broader legal
challenge to the ICA itself, potentially seeking a Supreme Court ruling that could redefine
executive authority over federal spending.
What We Know and Questions That Remain
The Administration initially described the funding freeze as a temporary review of federal grants
and loans, but recent court rulings have questioned its legality. Additionally, it remains uncertain
about if the Administration will pursue other ways to attempt to delay or limit funding. The courts'
final decisions could have major consequences for the balance of power between Congress and
the Executive Branch in controlling federal spending.
Key questions remain:
▪ Will the courts uphold Congress’ constitutional authority over appropriations, or will they
recognize expanded executive powers in withholding funds?
▪ What legal precedents could this case establish for future administrations regarding
federal spending and separation of powers?
▪ How will ongoing uncertainty impact critical federal programs, state and local
governments, and private-sector beneficiaries reliant on timely funding?
The situation remains fluid, with the possibility of further legal challenges, congressional
responses, or additional executive actions. Although the Administration claims the freeze is
temporary, there is no guarantee that the withheld funds will be released or that Congress’
authority over federal spending will be upheld without court intervention. Entities relying on
federal funding should stay alert and prepared for potential disruptions as the issue continues to
unfold.
Feb. 11, 2025 Item #2 Page 20 of 29
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 1
Date: February 4, 2025
To: Jason Haber, Intergovernmental Affairs Director
Cindie McMahon, City Attorney
City of Carlsbad
From: Sharon Gonsalves
Managing Director
California Public Policy Group
Re: CPPG Legislative Summary – January 2025
LEGISLATIVE UPDATE
The Legislature Returns
On January 6, 2025, the California State Legislature reconvened for the 2025-26 legislative session.
This session sees the induction of 35 newly elected legislators, comprising 25 Assemblymembers
and 10 Senators. By mid-January, final committee assignments in both houses had been confirmed,
allowing for a clearer evaluation of how each committee may address forthcoming legislation.
Assemblymember Robert Rivas (D-Hollister) continues to serve as Speaker, while Senator Mike
McGuire (D-Geyserville) maintains his position as President pro Tempore. Informational hearings
were conducted in January, followed by the commencement of budget hearings in the first week of
February.
Bills of interest introduced or expected to be introduced include:
•ACWA-sponsored bill related to preventing hydrant water theft.
•CMUA-sponsored SB 72 (Caballero) seeking to improve statewide water supply planning.
This is a re-introduction of their sponsored bill SB 366 (Caballero) from last year’s session.
•CMUA-sponsored bill seeking funding opportunities for low-income rate assistance.
•Water Reuse-sponsored SB 31 (McNerney) currently a spot bill, seeking to clean up Title 22,
pertaining to recycled water.
•CalCities-sponsored reintroduction of AB 2330 (Holden) from last year related to vegetation
management work. Assemblymember Damon Connolly (D-San Rafael) will be the author. AB
300 (Lackey) a similar bill has already been introduced.
•CalCities-sponsored bill related to helping offset cost of remediating PFAS in water supply.
The bill would create PFAS mitigation funds from other regulatory programs.
•CSDA-sponsored AB 259 (Rubio) would remove the sunset on teleconference rules for local
legislative bodies in AB 2449 (Rubio) [Chapter 285, Statutes of 2022].
•CSAC-sponsored SB 239 (Arreguín) would allow non-decision making, advisory bodies of
local agencies to meet using teleconferencing. This is a reintroduction of AB 817 (Pacheco)
from last year.
•Assemblymember Ortega has introduced AB 339 requiring a 120 day notice before issuing a
request for proposal for outsourcing.
•Sponsored by the City of San Diego, SB 92 (Blakespear) will provide clarity to existing Density
Bonus Law.
Exhibit 4
Feb. 11, 2025 Item #2 Page 21 of 29
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 2
Special Session
Governor Gavin Newsom signed two special session budget bills in January to “provide over $2.5
billion for Los Angeles to bolster ongoing response efforts and jumpstart recovery and rebuilding.”
The Governor will also soon sign two additional special session budget bills: one to appropriate $25
million from the 2024-25 budget to fund lawsuits against the Trump Administration, and another to
appropriate $25 million to nonprofit organizations that provide immigration legal and support
services. However, these represent the current proposals, and on January 30, the Assembly delayed
their vote on these bills to consider changes to them, despite the Senate having already approved
them. The Assembly released the following statement after the vote delay: “The actions by
Republicans in Washington this week jeopardize programs and services Californians rely on most,
from health care to school funding. Our residents are confused, fearful and worried. In the Assembly,
we are going to look closely at the special session legal defense bills to ensure they are airtight and
protect all Californians.”
A dozen additional special session measures, the majority of them budget bills, remain active. As
2025 progresses, we will have a better idea of the other policies the Legislature will pursue using
these measures.
By the Numbers
As of February 4, the Legislature had introduced 767 pieces of legislation in the 2025-26 session.
Over the next two weeks, there will be hundreds more pieces of legislation introduced by the
deadline. Many of the measures introduced so far are nonsubstantive “spot” bills, which means that
full bill language has not yet been introduced and we do not yet know their full content. As the 30-
day waiting period before bills can be heard in committee is nearing its end for many bills, these bills
will soon have substantive language added to them that clarifies their intent. Most spot bills will have
their full language added by mid-March. It is likely that many of the measures yet to be introduced
will deal with what are shaping up to be some of the key legislative issues of 2025: affordability,
insurance, and housing.
ADMINISTRATION ACTIONS
Advanced Clean Fleets Truck Regulation Implementation Group
The California Air Resources Board (CARB) met on January 30 for the Advanced Clean Fleets (ACF)
Truck Regulation Implementation Group and said that the reversal of their waiver request does not
impact ACF for state and local fleets. CARB staff said they understand they need to work with them
to ensure they have the support needed to meet the requirements. A full memo from our team is
forthcoming.
Fiscal Year 2025-26 Budget
On January 10, the Department of Finance provided an in-depth look at the Governors’ FY 25-26
budget proposal. CPPG provided an in-depth analysis on January 15; however, some of the highlights
specific to cities are as follows:
• $183.2 million for grants and loans that improve water quality and help provide clean, safe,
reliable drinking water, such as water quality monitoring and remediation of PFAS,
implementation of countywide drought and water shortage contingency plans, prevention
and treatment of contaminated groundwater, consolidation or extension of water or
wastewater systems, and $11.1 million dedicated to tribal water infrastructure projects.
Feb. 11, 2025 Item #2 Page 22 of 29
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 3
• $153.4 million for water reuse and recycling projects that support treatment, storage,
conveyance, or distribution facilities for potable and nonpotable use, dedicated
infrastructure to serve retrofit projects, and multi‑benefit projects that allow use of recycled
water.
• $37.6 million to modify or upgrade fairgrounds to enhance communities’ emergency
preparedness capabilities, particularly in response to climate change.
• $7.7 billion for high-priority transit and rail infrastructure projects that will improve rail and
transit connectivity between state and local/regional services that are designed to reduce
traffic congestion and greenhouse gas production.
• $9.1 million for the Wildfire Mitigation Program, administered by the Office of Emergency
Services and the Department of Forestry and Fire Protection, which offers financial
assistance to vulnerable populations in wildfire‑prone areas throughout the state for cost-
effective structure hardening and retrofitting to create fire-resistant homes, as well as
defensible space and vegetation management activities.
Proposition 4 Briefings
The California Natural Resources Agency (CNRA) held two Climate Bond briefings this month. In his
announcement, Secretary Wade Crowfoot noted that the Climate Bond will “help us build wildfire
resilience in Los Angeles and across the state, and support safe drinking water, build water security,
protect our coast, restore natural places and implement nature-based solutions, protect our
biodiversity, and much more.” They held two briefings—January 24 and 30—for stakeholders to hear
more about CNRA’s planned engagement to solicit stakeholder input on how to build programs that
will allocate bond funding.
Secretary Wade Crowfoot provided introductory remarks and stated that CNRA is committed to
delivering for programs that are most impactful. Internally, they are gathering data on successful
bond-funded projects and hope to memorialize best practices. Externally, they will be gathering
feedback from stakeholders to improve the grant making process.
To ensure better communication, CNRA has started a climate bond listserv.
The recordings of these briefings will be on the CNRA website and can also be viewed here.
As the Governor’s budget proposal moves through the subcommittee process, the water
community’s main focus will likely be on climate bond allocations. Southern California legislators
are likely to advocate for more bond funds for fire recovery and push for earlier funding. Meanwhile,
water purveyors expecting General Fund support for their projects are likely to push back against the
proposed shift to Climate Bond funding, as it could cause further delays. Additionally, with wildfire
victims receiving a tax collection delay, the Department of Finance is once again needing to estimate
this year’s revenue. It remains to be seen whether the state will have enough bonding capacity in the
short term to meet demand.
Los Angeles Wildfires
Governor Newsom took several steps in response to the Los Angeles wildfires, supplementing the
$2.5 billion allocated to aid the region. This included issuing 14 executive orders to direct personnel
and suspend permitting and review requirements under the California Environmental Quality Act and
Feb. 11, 2025 Item #2 Page 23 of 29
1127 11TH STREET, SUITE 300, SACRAMENTO, CA 95814 • 916.974.9270 • PUBLICPOLICYGROUP.COM PAGE 4
the California Coastal Act. The Governor also extended the individual tax filing deadline to October
15 for taxpayers in Los Angeles County.
Water Capture and Storage
On January 31, Governor Newsom announced that he had issued an executive order which “directs
the Department of Water Resources and other state agencies to take action to maximize diversion
of those excess flows to boost the state’s water storage in Northern California, including storage in
San Luis Reservoir south of the Sacramento-San Joaquin Delta.”
CPPG ACTIVITY
CPPG continues to review priority bills—keeping City staff apprised of developments on legislation
during our standing meetings and throughout the month as needed. CPPG continues to work hand
in hand with City staff to gather client-specific information while actively engaging with lawmakers
and agency officials on legislation of interest to the City. CPPG has marked 10 bills as “priority” for
the City and will continue to bring bills of potential interest to staff for review in the coming weeks.
State Audit 2024-109
CPPG is committed to ensuring local planning priorities are heard as the state rebuilds in the wake
of the January wildfires. CPPG will continue to advocate for local agencies with housing and
insurance regulators alongside our legislative advocacy.
CPPG collected information from local government staff pertaining to audit 2024-109 and sent a
letter to the State Auditor on January 24 with our findings. CPPG will continue to monitor the audit
process and report relevant information as it becomes available; the Auditor’s report is expected in
June 2025. CPPG is additionally engaging with the Little Hoover Commission to ensure that local
governments have representation in the creation of the new housing agency put forth in the
Governor’s January budget proposal. We will provide you with additional information as it becomes
available.
LOOKING FORWARD
• February 21: Last day for the Legislature to introduce bills
• April 11-18: Spring Recess
• June 6: Last day for the Legislature to pass bills out of their house of origin
• June 15: Legislature must pass the primary budget bill
• June 30: Governor must sign the primary budget bill
• July 21-August 15: Summer Recess
• September 12: Last day for the Legislature to pass bills
• October 12: Last day for the Governor to sign or veto bills
Feb. 11, 2025 Item #2 Page 24 of 29
Introduced Fire Related Legislation
(As of February 5, 2025)
AB 1 (Connolly) Residential property insurance: wildfire risk.
This bill would require the department, on or before January 1, 2030, and every 5 years thereafter, to
consider whether or not to update its regulations to include additional building hardening measures
for property-level mitigation efforts and communitywide wildfire mitigation programs. As part of this
consideration, the bill would require the department to consult with specified agencies to identify
additional building hardening measures to consider, as well as to develop and implement a public
participation process during the evaluation.
AB 234 (Calderon) California FAIR Plan Association governing committee.
This bill would require the Speaker of the Assembly and the Chairperson of the Senate Committee
on Rules to serve as nonvoting, ex officio members of the governing committee, and would authorize
each to name a designee to serve in their place.
AB 252 (Bains) Wildfire protection: Department of Forestry and Fire Protection: staffing.
This bill would provide that it is the intent of the Legislature to enact subsequent legislation relating
to increasing year-round staffing levels at the department.
AB 261 (Quirk-Silva) Fire safety: fire hazard severity zones: State Fire Marshal.
This bill would, as applied to both state responsibility areas and lands that are not state
responsibility areas, authorize the State Fire Marshal, in periods between the State Fire Marshal’s
review of areas of the state for recommendations regarding an area’s fire hazard severity zone, to
confer with entities, including, but not limited to, public agencies, tribes, nonprofit organizations,
project applicants, and members of the public, on actions that may impact the degree of fire hazard
in an area or the area’s recommended fire hazard severity zone designation. The bill would authorize
the State Fire Marshal to provide a written response to an entity on actions that may impact the
degree of fire hazard, and would require this written response to be posted on the State Fire
Marshal’s internet website.
AB 267 (Macedo) Greenhouse Gas Reduction Fund: high-speed rail: water infrastructure and
wildfire prevention.
This bill would suspend the appropriation to the High-Speed Rail Authority for the 2026–27 and 2027–
28 fiscal years and would instead require those amounts from moneys collected by the state board
to be transferred to the General Fund. The bill would specify that the transferred amounts shall be
available, upon appropriation by the Legislature, to augment funding for water infrastructure and
wildfire prevention.
AB 270 (Petrie-Norris) Office of Emergency Services: autonomous firefighting activities.
This bill would require the Office of Emergency Services to establish a pilot program to equip the
state with the nation’s first testbed autonomous firefighting helicopter and the associated
configuration, familiarization, and training activities to transition the aircraft into operational use.
Exhibit 5
Feb. 11, 2025 Item #2 Page 25 of 29
2
AB 275 (Petrie-Norris) Office of Emergency Services: wildfire response: SoCal Edison-funded
helitanker program.
This bill would state the intent of the Legislature to enact legislation to make the SoCal Edison-
funded Quick Reaction Force firefighting helitanker program permanent and maintained by the
Office of Emergency Services.
AB 300 (Lackey) Endangered species: incidental take: wildfire preparedness activities.
This bill would authorize a city, county, city and county, special district, or other local agency to
submit to the department a wildfire preparedness plan to conduct wildfire preparedness activities
on land designated as a fire hazard severity zone, as defined, that minimizes impacts to wildlife and
habitat for candidate, threatened, and endangered species. The bill would require the wildfire
preparedness plan to include, among other things, a brief description of the planned wildfire
preparedness activities, the approximate dates for the activities, and a description of the candidate,
endangered, and threatened species within the plan area.
AB 307 (Petrie-Norris) Safe Drinking Water, Wildfire Prevention, Drought Preparedness, and
Clean Air Bond Act of 2024: Department of Forestry and Fire Protection: fire camera mapping
system.
This bill would require, of the $25,000,000 made available to the Department of Forestry and Fire
Protection in the Climate Bond, $10,000,000 be allocated for purposes of the ALERT California fire
camera mapping system.
AB 372 (Bennett) Office of Emergency Services: state matching funds: water system
infrastructure improvements.
This bill, contingent on funding being appropriated pursuant to a bond act, as specified, would
establish the Rural Water Infrastructure for Wildfire Resilience Program within the OES for the
distribution of state matching funds to communities within the Wildland Urban Interface in
designated high fire hazard severity zones or very high fire hazard severity zones to improve water
system infrastructure, as prescribed. The bill would require the OES to work in coordination with the
Department of Water Resources, the State Water Resources Control Board, the Office of the State
Fire Marshal, and other state entities as the OES determines to be appropriate, to achieve the
purposes of the program. The bill would require the OES to develop criteria and a scoring
methodology to prioritize the distribution of state matching funds provided under the program to
rural communities based upon specified criteria.
AB 376 (Tangipa) Personal Income Tax Law: exclusions: insurance proceeds: wildfires.
This bill, for taxable years beginning on or after January 1, 2025, and before January 1, 2030, would
provide an exclusion from gross income for any amount received by a qualified taxpayer, as defined,
as qualified insurance proceeds. The bill would define qualified insurance proceeds for this purpose
to mean any amount received under a homeowner’s insurance policy or a renter’s insurance policy
for damages or expenses resulting from a fire occurring in an area that is proclaimed by the Governor
to be in a state of emergency.
Feb. 11, 2025 Item #2 Page 26 of 29
3
AB 389 (Wallis) Personal Income Tax: tax credits: fire-resistant home improvements.
The Personal Income Tax Law allows various credits against the taxes imposed by that law. This bill
would allow a credit against those taxes for each taxable year beginning on or after January 1, 2025,
and before January 1, 2030, to a qualified taxpayer, as defined, in an amount equal to 40% of the
taxpayer’s qualified expenses, as defined, not to exceed $400 per taxable year, or $2,000
cumulatively.
AB 404 (Sanchez) California Environmental Quality Act: exemption: prescribed fire,
reforestation, habitat restoration, thinning, or fuel reduction projects.
The California Environmental Quality Act (CEQA) requires a lead agency, as defined, to prepare, or
cause to be prepared, and certify the completion of an environmental impact report on a project that
it proposes to carry out or approve that may have a significant effect on the environment or to adopt
a negative declaration if it finds that the project will not have that effect. CEQA also requires a lead
agency to prepare a mitigated negative declaration for a project that may have a significant effect on
the environment if revisions in the project would avoid or mitigate that effect and there is no
substantial evidence that the project, as revised, would have a significant effect on the environment.
Existing law, until January 1, 2028, except for the issuance of a permit or other permit approval,
exempts from the requirements of CEQA prescribed fire, reforestation, habitat restoration, thinning,
or fuel reduction projects, or related activities, undertaken, in whole or in part, on federal lands to
reduce the risk of high-severity wildfire that have been reviewed under the federal National
Environmental Policy Act of 1969 meeting certain requirements. Existing law requires a lead agency,
if it determines that a project qualifies for the above exemption and it determines to approve or carry
out the project, to file a notice of exemption with the Office of Land Use and Climate Innovation and
with the county clerk in the county in which the project will be located and to post the notice of
exemption on its internet website together with a description of where the documents analyzing the
environmental impacts of the project under the federal act are available for review. Existing law
requires the lead agency, if it is not the Department of Forestry and Fire Protection, to provide the
notice of exemption and certain information to the department. This bill would extend the above
exemption and requirements on the lead agency indefinitely. By extending the requirements on the
lead agency, this bill would impose a state-mandated local program. This bill contains other related
provisions and other existing laws.
ABX1 3 (Wallis) Personal Income Tax: tax credits: fire-resistant home improvements.
The Personal Income Tax Law allows various credits against the taxes imposed by that law. This bill
would allow a credit against those taxes for each taxable year beginning on or after January 1, 2025,
and before January 1, 2030, to a qualified taxpayer, as defined, in an amount equal to 40% of the
taxpayer’s qualified expenses, as defined, not to exceed $400 per taxable year, or $2,000
cumulatively.
ABX1 6 (Patterson) Forestry: timber operations: maintenance of timberlands for fuels
reduction.
This bill would authorize projects exclusively for noncommercial wildfire fuels reduction in
timberland, paid for in part or in whole with public funds, to prepare a timber harvesting plan as an
alternative to complying with CEQA, and would require these projects to be regulated as timber
operations, as provided.
Feb. 11, 2025 Item #2 Page 27 of 29
4
SB 88 (Caballero) Air resources: carbon emissions: biomass.
The bill would require the State Air Resources Board, on or before January 1, 2028, to adopt a method
of quantification or a lifecycle model for avoided carbon emissions, including, but not limited to,
carbon dioxide, methane, and black carbon, from wildfire from the application of prescribed fire to
forest biomass resources and agricultural biomass resources, and to develop a carbon credit or
offset protocol for biochar and other beneficial carbon-removal products that result from the
avoidance of megafires and prescribed fire using existing methodologies. The bill would require the
Department of Forestry and Fire Protection to require all state-funded forest health projects to
include an appropriate forest biomass resource disposal component that includes a scientifically
based, verifiable method to determine the amount of biomass to be physically removed and the
amount to be burned by prescribed fire. The bill would require the State Energy Resources
Conservation and Development Commission to include the value proposition of using biomass for
low- and negative-carbon liquid and gaseous fuels, including hydrogen, from noncombustible
methods and other emerging and innovative approaches in relevant reports and other agency-
sponsored documentation.
SB 90 (Seyarto) Safe Drinking Water, Wildfire Prevention, Drought Preparedness, and Clean Air
Bond Act of 2024: grants: improvements to public evacuation routes: mobile rigid water
storage.
This bill would include in the list of eligible Climate Bond project grants for improvements to public
evacuation routes in very high and high fire hazard severity zones, mobile rigid dip tanks, as defined,
to support firefighting efforts, prepositioned mobile rigid water storage, as defined, and
improvements to the response and effectiveness of fire engines and helicopters.
SB 222 (Wiener) Climate disasters: civil actions.
This bill allows individuals, insurance companies, and the FAIR Plan to file civil lawsuits for damages
of $10,000 or more against parties responsible for climate disasters or extreme weather events
linked to climate change.
SB 223 (Alvarado-Gil) The Wildfire Smoke and Health Outcomes Data Act.
This bill, the Wildfire Smoke and Health Outcomes Data Act, would require the State Department of
Public Health, in consultation with the Department of Forestry and Fire Protection and the Wildfire
and Forest Resilience Task Force, to create, operate, and maintain a statewide integrated wildfire
smoke and health data platform on or before July 1, 2028, that, among other things, would integrate
wildfire smoke and health data from multiple databases. Under the bill, the purposes for the data
platform would include providing adequate information to understand the negative health impacts
on California’s population caused by wildfire smoke and evaluating the effectiveness of investments
in forest health and wildfire mitigation on health outcomes in California. This bill would require the
State Department of Public Health, in consultation with the Department of Forestry and Fire
Protection and the Wildfire and Forest Resilience Task Force, to develop, among other things,
protocols for data sharing, documentation, quality control, and promotion of open-source platforms
and decision support tools related to wildfire smoke and health data. This bill would authorize the
State Department of Public Health, the Department of Forestry and Fire Protection, and the Wildfire
and Forest Resilience Task Force, where appropriate, to utilize data from existing sources, including
open source data and other external data, for purposes of implementing the act. This bill contains
other related provisions.
Feb. 11, 2025 Item #2 Page 28 of 29
5
SB 234 (Niello) Wildfires: workgroup: toxic heavy metals.
This bill would require, upon appropriation by the Legislature, the Department of Forestry and Fire
Protection, the Office of Emergency Services, and the Department of Toxic Substances Control, in
consultation with specified entities, to form a workgroup related to exposure of toxic heavy metals
after a wildfire. The bill would require the workgroup to do certain things, including establishing best
practices and recommendations for wildfire-impacted communities and first responders to avoid
exposure to heavy metals after a wildfire. The bill would authorize the Department of Forestry and
Fire Protection to contract with public universities, research institutions, and other technical experts
to support the work of the workgroup.
SB 269 (Choi) Personal income taxes: Fire Safe Home Tax Credits Act.
The Personal Income Tax Law allows various credits against the tax imposed by that law. Existing law
requires any bill authorizing a new tax credit to contain, among other things, specific goals,
purposes, and objectives that the tax credit will achieve, detailed performance indicators, and data
collection requirements. This bill would allow credits against the tax imposed by the Personal
Income Tax Law for each taxable year beginning on or after January 1, 2026, and before January 1,
2031, to a qualified taxpayer for qualified costs relating to qualified home hardening, as defined, and
for qualified costs relating to qualified vegetation management, as defined, in specified amounts,
not to exceed an aggregate amount of $500,000,000 per taxable year. This bill would require a
qualified taxpayer to reserve a credit for qualified costs relating to qualified home hardening or
qualified vegetation management to be eligible for the above-described credits and provide all
necessary information for this purpose, as specified.
Feb. 11, 2025 Item #2 Page 29 of 29
CALIFORNIA PUBLIC POLICY GROUP •PUBLICPOLICYGROUP.COM
City of Carlsbad
Legislative Subcommittee
February 11, 2025
Sharon Gonsalves, Managing Director, California Public Policy Group
CALIFORNIA PUBLIC POLICY GROUP • PUBLICPOLICYGROUP.COM
CALIFORNIA PUBLIC POLICY GROUP • PUBLICPOLICYGROUP.COM
2025 Legislative Calendar
•January 10—Governor’s budget proposal
•January 24—Last day to submit bill requests to the Office of Legislative Counsel
•February 21—Bill introduction deadline
•April 11-18—Legislative spring recess
•Mid-May—Governor’s May budget revise
•June 6—House of origin deadline
•June 15—Legislature must pass FY 25-26 Budget
•June 30—Governor must sign FY 25-26 Budget
•September 12—Last day for the Legislature to pass bills
•October 12—Last day for the Governor to sign or veto bills
CALIFORNIA PUBLIC POLICY GROUP • PUBLICPOLICYGROUP.COM
Legislative Update
•More than 900 bills introduced so far
•Many are still spot bills
•Spot bill deadline is March 17
CALIFORNIA PUBLIC POLICY GROUP • PUBLICPOLICYGROUP.COM
Legislative Update: Special Session
•Governor Gavin Newsom signed two special session budget bills in January to
“provide over $2.5 billion for Los Angeles to bolster ongoing response efforts and
jumpstart recovery and rebuilding.”
•The Governor also signed two additional special session budget bills: one to
appropriate $25 million from the 2024-25 budget to fund lawsuits against the
Trump Administration, and another to appropriate $25 million to nonprofit
organizations that provide immigration legal and support services.
CALIFORNIA PUBLIC POLICY GROUP • PUBLICPOLICYGROUP.COM
Legislative Update: Water
•ACWA-sponsored bill related to preventing hydrant water theft
•CMUA-sponsored bill seeking funding opportunities for low-income rate assistance
•CMUA-sponsored SB 72 (Caballero) seeking to improve statewide water supply planning
•Water Reuse-sponsored SB 31 (McNerney) currently a spot bill, seeking to clean up Title
22, pertaining to recycled water
•CalCities-sponsored bill related to helping offset cost of remediating PFAS in water
supply. The bill would create PFAS mitigation funds from other regulatory programs.
CALIFORNIA PUBLIC POLICY GROUP • PUBLICPOLICYGROUP.COM
Legislative Update: Governmental Operations
•CSDA-sponsored AB 259 (Rubio) would remove the sunset on
teleconference rules for local legislative bodies in AB 2449 (Rubio) [Chapter
285, Statutes of 2022]
•CSAC-sponsored SB 239 (Arreguín) would allow non-decision making,
advisory bodies of local agencies to meet using teleconferencing, which is a
reintroduction of AB 817 (Pacheco) from last year
•Assemblymember Ortega has introduced AB 339 requiring a 120 day notice
before issuing a request for proposal for outsourcing.
CALIFORNIA PUBLIC POLICY GROUP • PUBLICPOLICYGROUP.COM
Legislative Update: Miscellaneous
•CalCities-sponsored reintroduction of AB 2330 (Holden) from last year
related to vegetation management work will be authored by
Assemblymember Damon Connolly (D-San Rafael)
•AB 300 (Lackey) a similar bill to AB 2330 has already been introduced
•Sponsored by the City of San Diego, SB 92 (Blakespear) will provide clarity
to existing Density Bonus Law
CALIFORNIA PUBLIC POLICY GROUP • PUBLICPOLICYGROUP.COM
Questions/Discussion
Thank You!
CALIFORNIA PUBLIC POLICY GROUP • PUBLICPOLICYGROUP.COM