Department of Finance raises alarm over costly bills

In a recent government meeting, the California Department of Finance expressed opposition to several assembly bills due to significant projected costs that were not accounted for in the 2024 budget. Among the bills discussed was AB 3211, which the Department estimated would require $1.6 million in the first year and ongoing costs of $3.1 million, leading to its placement on the suspense file.

Assembly Bill 2357, also opposed by the Department of Finance, could incur startup costs of at least $300 million for a new University of California medical school branch, alongside ongoing operational costs estimated between $40 million and $45 million. The bill was similarly moved to suspense.

AB 3027 faced opposition due to anticipated costs of $668,000 in the first year for two permanent positions related to transnational repression efforts, with ongoing costs of $663,000. The Department of Finance reiterated its concerns about the bill's financial implications, leading to its suspension.

Other bills, including AB 3172 and AB 1160, were also flagged for their potential to create significant ongoing costs, with the Department of Finance highlighting the need for careful evaluation of any additional resources required through the annual budget process.

Overall, the meeting underscored the ongoing tension between legislative initiatives aimed at expanding services and the fiscal constraints faced by the state, as multiple bills were placed on the suspense file pending further review.