A number of proposals identified by the California Chamber of Commerce as Cost Cutters that reduce expenses for Californians are moving in the Legislature.
Following is an update on the status of the CalChamber-supported Cost Cutters.
• AB 1138 (Zbur; D-Hollywood) and SB 630 (Allen; D-Santa Monica) Film Tax Credit: More than doubles the State’s Film Tax Credit to $750 million annually that will help to grow and retain jobs in one of California’s signature industries, and ultimately strengthening the economy. AB 1138 passed Assembly Revenue and Taxation Committee on April 28. Set for hearing May 14 in Assembly Appropriations Committee. SB 630 passed Senate Revenue and Taxation Committee on April 23. In Senate Appropriations Committee Suspense File.
• AB 1308 (Hoover; R-Folsom) Expedites Entitlement Process for Housing Construction: Requires the building department to provide an applicant of a residential building permit with an estimated timeframe in which the inspection of the permitted work will be completed, upon receiving a notice of the completion of the permitted work, to reduce costs and ultimately housing prices. Passed Assembly Housing and Community Development Committee on April 30. Set for hearing May 14 in Assembly Appropriations.
• AB 941 (Zbur; D-Hollywood) CEQA Reform for Electricity Infrastructure Projects: Reduces the time for electricity infrastructure projects to go through permitting, which will allow for projects to be built faster. Regulatory certainty will allow for a reduction in energy costs. Passed Assembly Natural Resources Committee on April 21. Set for hearing May 14 in Assembly Appropriations.
• AB 685 (Solache; D-Lakewood) Small Business Recovery Act: Authorizes the Office of Small Business Advocate to provide funding and technical assistance to small businesses impacted by the January 2025 fires in Los Angeles and Ventura counties. Merged with AB 265.
• AB 609 (Wicks; D-Oakland) CEQA Reform for Infill Projects: Will help to reduce the cost of housing, by reforming the permitting process for infill housing, which will allow for the state to build more housing and drive down prices. Passed Assembly Housing and Community Development on April 30. Awaits action in Assembly Appropriations.
• AB 417 (Carrillo; D-Palmdale) Enhanced Infrastructure Financing Districts: Improves the ability for local governments to build critical infrastructure and provide financing for economic development in targeted districts within their jurisdiction. It will allow economic development projects to receive additional financing, which incentivizes businesses to invest and create more jobs. Passed Assembly on April 1. In Senate Local Government Committee.
• AB 265 (Caloza; D-Los Angeles) Small Business Recovery Act: Allows the Office of Small Business Advocate to provide grants to small businesses impacted by the Los Angeles fires to help them recover and rebuild. Passed Assembly Economic Development, Growth and Household Impact on April 22. In Assembly Appropriations Suspense File.
• AB 231 (Ta; R-Westminster) Work Opportunity Tax Credit: Provides a tax credit to businesses who hire previously incarcerated individuals who are re-entering the workforce, reducing costs on businesses and improving opportunities for workers. Passed Assembly Revenue and Taxation on May 5. Awaits action in Assembly Appropriations.
• SB 540 (Becker; D-Menlo Park) Independent Regional Energy Organization: Authorizes the California Independent System Operator and California utilities to integrate into a broader regional energy market governed by an independent regional organization. Will reduce energy costs for Californians. Passed Senate Judiciary Committee on April 29. Awaits action in Senate Appropriations Committee.
• SB 607 (Wiener; D-San Francisco) CEQA Reform for Infill Projects: Exempts certain housing rezoning projects from the California Environmental Quality Act (CEQA) and improves current CEQA exemptions to make them easier to use for housing projects. Increased housing stock will lead to a reduction in the cost to buy or rent a house. Passed Senate Local Government Committee on April 30. Awaits action in Senate Appropriations.
