Senate budget panel advances AB 105 and package of trailer bills, including Prop. 4 spending plan

The Senate Committee on Budget and Fiscal Review advanced AB 105 — the budget bill junior that amends the 2025 budget act — and a package of associated trailer bills after an hours‑long hearing featuring Department of Finance presentations and extended member questions.

AB 105 and its trailer bills package front‑load an appropriation plan for implementation of voter‑approved Proposition 4 and other program adjustments. Teresa Calvert, program budget manager at the Department of Finance, told the committee the package reflects “technical or clarifying” changes and items delayed into the end of session. Calvert said the package includes one‑time planning resources to respond to federal changes related to HR 1 and other federal actions.

Why it matters: The package sets how the state begins spending a large climate and resilience bond passed by voters and adjusts state programs to respond to federal policy changes that will affect CalFresh and Medi‑Cal. The measures include new appropriations and statutory language that will affect transportation, health, housing, wildfire resilience, and local infrastructure.

Most important items

- Proposition 4 (the Safe Drinking Water, Wildfire Prevention, Drought Preparedness, and Clean Air Bond Act of 2024): the package appropriates about $3.2 billion in bond proceeds for drinking water, wildfire prevention, coastal resilience, nature‑based climate solutions, parks and outdoor access, and clean air programs. Departments will use a mix of competitive grants and formula allocations to deliver projects.

- Greenhouse Gas Reduction Fund: roughly $540 million for 2025–26 was identified, including $368 million for transit and intercity rail capital programs and $100 million for implementation of the Community Air Protection Program created by AB 617.

- HR 1 implementation and food support: the budget bill junior contains…