TITLE:
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2026 LEGISLATIVE UPDATE
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DEPARTMENT: CITY MANAGER'S OFFICE
PRESENTED BY: JAY BARKMAN, GOVERNMENT AFFAIRS MANAGER
CONTACT INFORMATION: JAY BARKMAN, GOVERNMENT AFFAIRS MANAGER (714) 754-5347
RECOMMENDATION:
recommendation
Receive and file the update on Federal and State budgets and provide input on identified legislation impacting the City of Costa Mesa.
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BACKGROUND:
On September 16, 2025, the City Council adopted the Legislative Platform and staff's proposed timeline to provide regular updates to the City Council beginning in 2026. This item is brought forward to provide the City Council with a summary of federal and state budgets, along with a preliminary review of state legislation.
The California Legislature's deadline to introduce bills was February 20, 2026. Legislative committees are beginning the process of analyzing bills and considering amendments as needed. During these early stages of the legislative process, many bills are under development or in a "spot bill" format. There will be future opportunities in the coming months for the City of Costa Mesa to request information, amendments, or adopt a position.
Finally, federal and state budget processes are in the early phases of development with state budget committees kicking off their hearings in March and the federal process catching up from their FY 2026 deliberations. Staff and City's lobbyists will provide a more detailed presentation regarding federal and state budget items impacting the City of Costa Mesa.
ANALYSIS:
California Budget
The Governor's proposed California budget was released on January 10, 2026, and despite a projected $2.9 billion deficit, Governor Newsom's proposal was a balanced $348.9 billion budget with no deficit. The Governor's proposal begins the annual budget process, during which the Legislature will review and analyze the Governor's proposals, engage with the Administration and the public regarding the state's resources and p...
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