CCFC Legislative Update: Final Governor’s Actions

On October 13, Governor Newsom completed his actions on legislation in 2025. Most bills signed into law will go into effect on January 1, 2026, with the exception of “urgency” statutes passed by a two-thirds vote, and any budget bills or budget trailer bills, which become effective immediately upon signature by the Governor.  The Legislature is currently in interim recess and will reconvene on January 5, 2026 to kick off the second year of the 2025-2026 legislative session.

Below is an update on bills and policy issues of interest to CCFC.

Signed by the Governor

AB 538 (Berman) – Certified Payroll Records

AB 538 is sponsored by the International Union of Operating Engineers, Cal-Nevada Conference. Under current law, certified payroll records are required to be made available upon request by the public through the Division of Labor Standards Enforcement (DLSE) or the awarding body, and the contractor has 10 days to provide the record after a written request. AB 538 specifies that the awarding body must request the records from the contractor or subcontractor when the awarding body is not in possession of them. If the contractor or subcontractor fails to comply within 10 days, the awarding body shall notify DLSE, who may initiate existing penalties against the contractor or subcontractor. CCFC has a “watch” position on this bill. AB 538 was signed into law by the Governor.

AB 648 (Zbur) – Local Zoning Exemption for Housing

AB 648 is sponsored by Santa Monica College, Los Angeles Community College District, and two housing organizations, with the goal of removing barriers to quickly build student housing. The bill states that student and faculty/staff housing projects are not required to comply with the zoning ordinances of a city or county when the project is both:

• On property owned or leased by the community college district;
• Within a one-half mile radius of the main campus or a satellite campus that existed before July 1, 2025.

If the project includes faculty/staff units, the community college district shall ensure that a portion of the units are “made available at affordable rents to extremely low-income faculty and staff and to lower income faculty and staff.” CCFC has a “watch” position on this bill. AB 648 was signed into law by the Governor.

Vetoed by the Governor

AB 699 (Stefani) – Ballot Label Reform

CCFC is disappointed to report that AB 699 (Stefani) was vetoed by the Governor on October 1. CCFC strongly supported AB 699, which aimed to address the negative effects created by AB 195 (Obernolte, 2017). The bill was sponsored by the Non-Profit Housing Association of Northern California. Current law requires local bonds and other tax measures to state on the ballot label the rate, duration, and amount anticipated to be raised annually. This information is challenging to provide for bonds and creates voter confusion, making it more difficult for some schools and community colleges to pass local bonds or place them on the ballot.

AB 699 provided the option to include an alternative fiscal disclosure directing voters to an enhanced Voter Guide for more information. The bill provided three options for the alternative fiscal disclosure based on the repayment source. Most community college district local bonds utilizing the alternative statement would use the phrase “See county voter guide for how property taxes repay bonds.”

The Governor vetoed the bill due to concerns about transparency. This action coincided with the Governor’s significant efforts to pass Proposition 50, the November 2025 ballot measure on Congressional redistricting.

Other Bills

AB 48 (Alvarez) – Higher Education Bond

AB 48 would place a higher education bond bill on the ballot in 2026. The bond would fund capital outlay projects at UC, CSU, and community colleges. The total dollar amount, as well as the split between higher education segments, is still to be determined. CCFC has a support position on this bill, as it provides recognition of need for additional state funding for community college capital outlay projects. However, we remain concerned about inclusion of the authorization to use bond proceeds for student housing, as the dollar amount will likely not be high enough to meet core educational facility needs as well as student housing.

This bill is pending in the Senate Rules Committee. The Legislature is considering multiple potential bond measures for the November 2026 ballot, including a $10 billion affordable housing bond [AB 736 (Wicks) and SB 417 (Cabaldon)] and a $23 billion scientific research bond [SB 607 (Wiener)].

AB 90 (Jackson) – Overnight Student Parking Program

AB 90 was “held” on the Senate Appropriations Committee suspense file and did not meet the deadline to continue moving forward in 2025. AB 90 requires the governing board of each community college district to include, as part of the annual campus safety plan, a plan of action to establish a student overnight parking program in designated parking lots on each campus. The governing board would be required to vote on whether to establish the overnight parking program. The plan should address campus security, access to bathroom and shower facilities, and the number of parking spots to be designated. CCFC opposes AB 90 due to impacts on facilities and because it mandates one specific approach to address housing insecurity.

Rebekah Kalleen
CCFC Executive Director