Tuesday, September 1, 2026

Deadline Today For The Final Bills Newsom Will See As Governor

By Lynn La, CALMATTERS

Lawmakers on the Assembly floor at the state Capitol in Sacramento on May 28, 2026. Photo by Miguel Gutierrez Jr., CalMatters

Today is the practical deadline for the state Legislature to pass bills before adjourning and lawmakers are in the final frenzy to cross the finish line. Many proposals still need to be resolved before they’re sent to Gov. Gavin Newsom. It’s his final year in office and Newsom’s last round of signatures and vetoes will be closely examined as he gears up for a likely White House run.

Here are some highlights:

• Climate fund: Legislators and Newsom haven’t agreed yet on how to spend the state’s main climate fund that comes from its carbon-trading program. Under new rules the Newsom administration adopted this year, money the state uses to finance climate programs could shrink by half, putting dollars for various legislative priorities in jeopardy.

• Monopolies: The Legislature late Sunday passed a contentious bill that would give Californians the ability to sue large companies for using monopolistic practices to stifle competition. Unions back it while businesses are strongly opposed.

• Sex assault claims: Lawmakers recently brokered a deal limiting the risk schools face in paying out lawsuit settlements in sex abuse claims. But some survivor advocates are urging Newsom to veto the proposal because it would raise the bar for evidence in older claims. The Legislature passed it Sunday night.

• Data centers: The Legislature still needs to cast final votes on a handful of bills regulating data centers, including ones that would shift electric infrastructure costs toward data center operators and away from residential customers and another to mandate that data center projects undergo environmental review.

• Film tax credit: To help support California’s struggling film industry, lawmakers introduced a last-minute deal that would mitigate some of the effects of a $5 million annual tax credit cap that studios argue undermines their ability to film in the state. Read more from Yue Stella Yu.

Meanwhile, legislators hammered out other deals in recent days, and sent bills to the governor’s desk:

• Utilities’ wildfire liability: The proposal would create a “fast-pay” program for survivors of utility-caused fires and deny bonuses for utility CEOs in the years their companies cause fatal fires. Newsom initially wanted utilities to have to pay less to insurance companies, survivors and local governments for the wildfires they cause, but backed off that proposal after facing strong opposition. Read more from Jeanne Kuang and Levi Sumagaysay.

• CEQA exemptions: This bill would reduce the number of manufacturing facilities that can qualify for exemption in California’s environmental review laws. Environmental groups say the proposal is a viable compromise, but business groups argue they are still stifled by regulations that hinder economic and job growth. Read more from Alejandra Reyes-Velarde.

• Undercover agents: This measure would prohibit law enforcement agencies from targeting certain people in custody under age 26 for operations that involve undercover agents eliciting information from suspects. Critics of these operations say they are coercive and risk false confessions. Read more from Cayla Mihalovich.

CalMatters.org is a nonprofit, nonpartisan media venture explaining California policies and politics.