Paul’s Policy Prospectus – August 12, 2026

The Legislature has returned for its final push before the close of the 2025-26 legislative session after spending July on Summer Recess. All bills must clear the Legislature by August 31st before heading to the Governor for consideration and final action. The lead-up to this critical deadline includes several significant milestones in the legislative process, one of the most notable being the Appropriations Committees’ review of bills with fiscal impacts.

Most legislation introduced each year is referred to either the Assembly or Senate Appropriations Committee, where bills with substantial costs are typically placed on the committee’s “Suspense File.” Bills are sent to suspense if they are estimated to cost the state at least $50,000 in the Senate or $150,000 in the Assembly. Twice each year, the committees hold a hearing known as “Suspense Day,” during which committee chairs announce, often rapidly and with little debate, which measures will move forward and which will be held.

The Suspense File was originally intended to provide lawmakers with a mechanism for evaluating costly policy proposals collectively and balancing them against available state resources. Over time, however, it has also become a tool for quietly sidelining controversial legislation, accommodating competing political interests, and managing the Legislature’s workload. Decisions are generally made behind closed doors prior to the hearing, with the public proceeding serving largely as a formal announcement of those outcomes.

CCAH will be closely monitoring Suspense Day on August 13th, when the fate of one of our sponsored bills, AB 2748, will be decided. We remain hopeful that the measure will advance through the legislative process and ultimately secure passage by the Legislature.

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