Senate budget panel advances AB 104 to fund School for the Deaf project, reauthorize prison-reentry grants and hospital bridge loans

The California State Senate Committee on Budget and Fiscal Review on June 30 advanced AB 104, a budget-trailer bill that reappropriates construction authority for the California School for the Deaf, Riverside, extends spending deadlines for several reentry and rehabilitation grants, and includes short-term loan provisions for hospitals.

The bill "includes the reappropriation of working drawings authority for the California School for the Deaf, Riverside, to allow its athletic complex project to continue without delay," Rosanna Nguyen, program budget manager at the Department of Finance, told the committee. She said the overall project cost is $60,600,000, with the construction phase estimated at $55,300,000.

Why it matters: AB 104 would remove a potential timing barrier for the Riverside athletic-complex project and preserve funding awarded in the 2024 budget act for several initiatives serving incarcerated individuals. Supporters said the bill prevents delays to construction and helps continue grants created last year.

Key provisions and debate - School for the Deaf, Riverside: The bill extends authority for the working-drawings phase—effectively the final design stage—to keep the athletic-complex project moving. Committee staff said the work will modernize 1950s-era sports fields and add new bleachers and infrastructure. Senator Wahab said she supports the construction but urged attention to staff pay at residential state schools, noting that some faculty earn less than counterparts in local districts and that staff in high-cost regions have reported housing instability.

- Reentry and rehabilitation grants: Nguyen said AB 104 reappropriates $10,000,000 from the 2024 budget act to continue grants that support rehabilitation programs for incarcerated individuals. According to the committee presentation, that $10 million is split equally—$5,000,000 from the General Fund and $5,000,000 from the Inmate Welfare Fund—and the bill extends the encumbrance and expenditure period through 2025–26.

- Hospital bridge loans: Public commenters representing hospitals told the committee the loan provisions are important. Connie Delgado of the District Hospital Leadership Forum and Mark Farouk of the California Hospital Association both spoke in favor of the bridge-loan language during public comment.

Questions and clarifications: Senators pressed staff on project scope and priorities. Senator Laird and others noted the late posting of the bill text (the "budget bill junior" went into print the morning of the hearing), which limited committee briefing time. Multiple senators urged the administration to address compensation inequities at state residential schools while proceeding with capital upgrades.

Vote and next steps: Senator Laird moved to pass AB 104. After roll call the committee recorded a final vote of 15–1 and forwarded the bill out of committee.

Ending: With AB 104 advanced, the budget trailer moves to subsequent legislative steps. Committee members said they expect continued oversight of implementation details, including timelines for the school project and follow-up on staff compensation concerns raised during debate.