SACRAMENTO — Senate President pro Tempore Mike McGuire (D-North Coast) and the Senate Democratic Caucus on Thursday launched a sweeping legislative package aimed at addressing California’s affordability crisis, unveiling three major bills that tackle the cost of housing, rising utility bills, and barriers to middle-class careers.
The initiative, entitled Investing in Your California Dream, introduces a three-pronged strategy focused on energy, housing, and workforce development. Along with strategic budget actions, the Senate’s plan is designed to accelerate housing construction, stabilize utility rates, and expand career training programs to create new economic opportunities for Californians.
“For too long, hardworking families have struggled to afford the basics—skyrocketing housing costs and utility bills are stretching budgets and folks are struggling to achieve a job that pays a family-sustaining wage,” McGuire said. “That’s why the state Senate is taking bold action to help fix the status quo here in the Golden State. Our plan delivers real, lasting solutions to make our state more affordable—from housing, to utility costs, to expanding career opportunities across California. These three impactful bills should be considered an opening salvo; we know there’s much more work to do.”
The three centerpiece bills are:
- SB 254 by Senator Josh Becker (D-Menlo Park)
- SB 681 by Senator Dr. Aisha Wahab (D-Silicon Valley)
- SB 638 by Senator Steve Padilla (D-San Diego)
SB 254, authored by Senator Becker, seeks to protect Californians from escalating energy bills by requiring utility companies to use the most cost-effective methods to mitigate wildfire risk and streamline clean energy projects. The bill would expedite thousands of megawatts of clean energy production, promote the development of large-scale battery storage projects, and add transparency measures for ratepayers at the California Public Utilities Commission.
“The California Energy Modernization and Affordability Act is California’s most ambitious effort yet to rein in rising energy costs and put ratepayers first,” Becker said. “This bill—which will save Californians billions—ensures wildfire mitigation dollars are spent where they have the greatest impact and sharpens scrutiny of utility budgets through stronger laws that will help control excessive profits and rate increases.”
SB 681, led by Senator Wahab, aims to expand housing opportunities and renter protections across the state. The bill modernizes the Surplus Lands Act and the Permit Streamlining Act to expedite the construction of new housing units, particularly affordable and workforce housing. It also curbs junk fees imposed on renters, boosts the renters’ tax credit, establishes new pathways to homeownership, and strengthens protections against predatory mortgage debt practices.
“It’s time we deliver on our promise to help make California a more affordable place to live, and expand the rights of renters and homeowners,” Wahab said. “SB 681 immediately expands rent relief to millions, makes homeownership more achievable, builds more homes faster in communities big and small, and expedites the development of workforce housing across California.”
SB 638, introduced by Senator Padilla, focuses on expanding and modernizing California’s career training programs to create new pipelines to better-paying jobs. The bill would foster partnerships between K-12 districts, community colleges, and local industries, with a focus on regional labor demands, including emerging fields such as information technology, artificial intelligence, healthcare, and green energy.
“Too many Californians are economically stranded in low wage jobs and don’t have the means to acquire the skills necessary for high wage opportunities,” Padilla said. “SB 638 will supercharge programs that connect people with good paying jobs, reimagine our career technical education system, and expand access to those programs to better prepare Californians for the 21st century economy.”
The legislation proposes expanding apprenticeship opportunities at community colleges and streamlining the career education system to ensure closer coordination between education providers and industry leaders.
The new affordability package stems from months of work by the Senate’s Affordability Working Group, co-chaired by Senators Wahab and Padilla. Other members include Senators Jesse Arreguín (D-Berkeley), Angelique Ashby (D-Sacramento), Tim Grayson (D-Concord), Melissa Hurtado (D-Bakersfield), Sasha Renée Pérez (D-Pasadena), Susan Rubio (D-Baldwin Park), and Lola Smallwood-Cuevas (D-Los Angeles).
The group’s focus has been concentrated on the three areas now reflected in the legislative package: energy affordability, housing production and protection, and workforce expansion.
Senate leaders said Thursday that the package represents only the beginning of a sustained effort to tackle affordability challenges, particularly as California grapples with a persistent housing shortage, rising cost of living, and the economic shifts associated with the state’s transition to a green economy.
