summary
Introduced
02/20/2025
02/20/2025
In Committee
05/23/2025
05/23/2025
Crossed Over
06/04/2025
06/04/2025
Passed
Dead
Introduced Session
2025-2026 Regular Session
Bill Summary
An act to amend Sections 53601, 53601.6, and 53895 of the Government Code, relating to local government.
AI Summary
This bill modifies several provisions related to local government investments and financial reporting. Specifically, it extends until January 1, 2031 the current rules regarding commercial paper investments and zero-interest securities, which were previously set to change in 2026. For commercial paper investments, local agencies will continue to have different investment limits based on their total investment assets, with agencies having less than $100 million in assets allowed to invest up to 25% in eligible commercial paper. The bill also allows local agencies to invest in zero-interest securities issued by the U.S. government during periods of negative market interest rates. Additionally, the bill requires the California State Controller to evaluate whether existing financial transactions reports can be replaced by machine-readable audited financial statements mandated by federal law, and to provide a report to the Legislature by December 31, 2026. The bill also modifies the penalties for local agency officers who fail to file financial reports, maintaining the requirement that they forfeit money to the state based on the agency's total revenue, but changing the filing deadline to 10 months after the end of the fiscal year.
Committee Categories
Budget and Finance, Government Affairs
Sponsors (1)
Last Action
In Assembly. Read first time. Held at Desk. (on 06/05/2025)
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