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California Downtown Association Wraps Up a Successful 2025 Legislative Session
The 2025 California legislative session has officially concluded, with Governor Gavin Newsom’s bill-signing deadline now behind us. This year, legislators introduced 2,397 bills, sending 917 to the governor’s desk. Of those, he signed 794 and vetoed 123, resulting in a 13.4 percent veto rate. The session focused on housing affordability, regulatory streamlining and supporting economic recovery for local communities and small businesses.
The California Downtown Association (CDA) achieved a strong and highly successful session, advancing key priorities that will directly benefit downtowns across the state. CDA’s government affairs program played a pivotal role, demonstrating strategic leadership, proactive advocacy and effective coalition building to secure victories that will strengthen California’s urban cores.
Key CDA Legislative Wins
All CDA-supported legislation that reached the governor’s desk was signed into law, including major policy wins that will revitalize downtowns, boost local economies and enhance community vibrancy:
Accelerates the conversion of vacant office and commercial buildings into housing, turning underused spaces into dynamic downtown revitalization opportunities.
Extends streamlined permitting for outdoor dining and parklets, making permanent one of the most successful urban innovations to emerge from the pandemic.
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AB 1445 (Haney) – Downtown Revitalization and Economic Recovery Financing Districts
Provides cities with new financing tools to invest in infrastructure, small business programs and public amenities that strengthen downtown economies.
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SB 71 (Weiner) – CEQA Streamlining for Transit Projects
Reduces unnecessary delays for public transit improvements by expanding CEQA exemptions, improving access to downtowns and helping reduce vehicle traffic.
Additionally, the governor signed SB 79 (Wiener), which facilitates housing development near transit. While CDA did not take a formal position, the association actively engaged with the author and coalition to ensure downtown perspectives were represented.
Looking Ahead to the 2026 Legislative Session
As we prepare for 2026, the Legislature will experience notable changes, including a leadership transition in the Senate, with Pro Tem Mike McGuire succeeded by Senator Monique Limón (Santa Barbara, Ventura, Oxnard). CDA will continue to engage with lawmakers to shape the 2026 policy agenda.
Key issues expected to return next year include:
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AB 342 (Haney) – Extended “Last Call” Pilot Program
Would allow local governments to opt into a pilot program extending bar service hours to 4 a.m., supporting nightlife, tourism and downtown investment.
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SB 692 (Arreguin) – Abatement of Abandoned Vehicles
Seeks to authorize cities to expedite the removal of abandoned or inoperable vehicles posing health and safety hazards.
- Local Transfer Tax Reform
Expected to reemerge as a priority, giving cities more flexibility to finance development and housing projects.
Select Committee on Downtown Recovery Gears Up for 2026
Assemblymember Matt Haney (D-San Francisco) will continue as chair of the Select Committee on Downtown Recovery, highlighting the vital role downtowns play in our communities and identifying opportunities for revitalization.
CDA remains a key partner with Assemblymember Haney’s office, helping shape the committee’s agenda and collaborating on a robust package of bills designed to support vibrant and thriving downtowns in 2026.
Celebrating CDA’s Government Affairs Success
The 2025 session underscores the effectiveness and impact of CDA’s government affairs program. Through strategic advocacy, strong relationships with legislative offices and focused coalition engagement, CDA successfully advanced policies that will make California downtowns more livable, economically vibrant and resilient.
These wins are a testament to the dedication, expertise and hard work of CDA’s team—ensuring that downtown priorities remain front and center in state policy.
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