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Papan PPT

Belmont City Council
December 9, 2025

Document
Papan PPT
Meeting
December 9, 2025
Body
Belmont City Council
Original file
4.1 MB
Text extracted from the city's file for reading and search. Open the original on belmont-ca.granicus.com. That file is the official record.

LEGISLATIVE UPDATE
2025
Assemblymember Diane Papan
2025-2026 CALIFORNIA STATE BUDGET
• Budget Total :
$321.1B
• Shortfall of $12
billion closed via:
⚬ fu n d s h ift s
⚬ reserve
drawdowns
⚬ program
a d ju s t m e n t s
Current
• Continued revenue declines
• Sustained operating deficits
• Sp e n d in g g ro w t h t o exceed
revenue growth
• Unstable Revenue
• Rising Costs fo r C o n t in u in g
Ob lig a t io n s
• Federal Instability
2026 -27 Projections & Future Challenges

VEHICLE LICENSE FEE (VLF)
2004
2004 VLF Backfill Deal : State reduced Vehicle
License Fees significantly but agreed to backfill the
VLF loss to counties from the Educational Revenue
Augmentation Fund (ERAF).

Persistent shortfall : This ERAF payment structure
uniquely disadvantages SM County due to a shortfall
in the ERAF pot of money used to backfill the VLF loss.

Shortfall:
$32.8 million
restored to the
County
Shortfall:
$114 million
Backfill (2/3):
$76.5 million
restored to the
County
2025
Shortfall:
$70 million
restored to the
County
2023 2024
2026 Projected Shortfall: $162 million
Pro je c t io n s fo r C o m in g Ye a rs : Larger shortfalls 2026 and Beyond
Distributed from the State General Fund
2 years after being allocated in the budget
2025

LEGILSATIVE EFFORTS
• Bans the manufacture and
sale of cosmetic products
containing musk ingredients
starting January 1, 2027
• Aligns California with
European Union regulations
• Reduces harmful chemical
exposure
• Requires the California
Natural Resources Agency
(CNRA) to develop a new
stewardship plan in the 2027
30x30 progress report
reflecting:
⚬ St e w a rd s h ip b e n e fit s
⚬ Workforce needs
⚬ Ba c klo g g e d , c rit ic a l, re c u rrin g ,
and future needs
• Establishes consistent
recertification standards
across all transit operators
• Modernizes recertification
options to be phone, mail -in, or
online submissions.
• Implements a uniform five -
year recertification cycle
• Reduces administrative
burden on transit providers
2-YEAR BILL
• Requires energy providers to
credit Caltrain for the energy
generated by new electric
trains.
• Caltrain will be compensated
at Net Billing Tariff rates,
saving taxpayers $2M
annually.

Sought to improve the housing
e le m e n t re vie w p ro c e s s in t w o ke y
ways:

1. St a rt t h e Re g io n a l Ho u s in g
Ne e d s As s e s s m e n t (RNHA)
p ro c e s s 6 m o n t h s e a rlie r
t h e re b y a llo w in g m u n ic ip a lit ie s
m o re t im e t o e n g a g e w it h t h e
De p a rt m e n t o f Ho u s in g a n d
C o m m u n it y De ve lo p m e n t (HC D)

2.Re q u ire HC D t o p ro vid e
c o n s is t e n t fe e d b a c k

TO BE RE-INTRODUCED
• Required data centers to
self - certify their anticipated
and actual water use during
the business license
process.
• Provides a pragmatic
solution that balances
resource sustainability and
revenue benefits of data
center expansion

TO BE RE-INTRODUCED
Equity & Local Safeguards :
• Requires >40% of funds go to projects benefiting
low -income or disadvantaged communities
• Disadvantaged communities are determined using
area median income
⚬ Ensuring San Mateo County remains fully
eligible for grant funding
Early Deployment & Local Benefits :
• 2025-2 6 fu n d in g s t re a m s in c lu d e :
⚬ $ 1.0 7 b illio n fo r water infrastructure
⚬ $325 m illio n fo r wildfire/forest resilience
⚬ $286 m illio n fo r biodiversity/nature -based
solutions
C A vo t e rs a p p ro ve d Pro p 4 in No v. 2 0 2 4:
• Au t h o rize d $10 billion in b o n d s fo r c lim a t e a n d e n viro n m e n t a l re s ilie n c e .

PROPOSITION 4: CLIMATE BOND
AB 156 7 (Papan c o - authored) got Prop 4 o n t h e b a llo t .

CAP & INVEST HAS BEEN REAUTHORIZED THROUGH 2045
California’s “Cap and Invest” Program is a market -based system for reducing greenhouse gas (“GHG”) emissions.

CAP
St a t e im p o s e s a GHG e m is s io n s
C AP o n p o llu t e rs b y is s u in g a
c e rt a in n u m b e r o f “Allo w a n c e s .”
Po llu t e rs p u rc h a s e a d d it io n a l
Allo w a n c e s a t a u c t io n s
INVEST
Re ve n u e g e n e ra t e d fro m t h e
a u c t io n o f Allo w a n c e s is
in ve s t e d in t o p ro g ra m s t o
c o u n t e ra c t p o llu t io n .

Declining CAP
Ove r t im e , t h e St a t e w ill re d u c e
t h e n u m b e r o f Allo w a n c e s t o
e n c o u ra g e p o llu t e rs t o in ve s t in
c le a n e r t e c h n o lo g ie s .

CAP & INVEST
$1.5B
in wildfire prevention

1.6M acres
conserved or restored
$9.2B
benefitting communities most
severely impacted by climate
change
116.1 MMTCO2e
(Million Metric Tons of Carbon
Dioxide )
e s t im a t e d GHG re d u c t io n s

13.6K
a ffo rd a b le h o u s in g u n it s
1,386
122K t ra n s it p ro je c t s jo b s c re a t e d
560K rebates
for zero - e m is s io n ve h ic le s
$15B
in u t ilit y b ill c re d it s

INVESTMENTS IN STATE AUTHORIZED PROJECTS
AROUND TOWN!

THANK YOU
Stay Connected
@asmpapan

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