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2026 California Legislative Roundup: 13 CAMEO-supported Initiatives Signed into Law

The 2026 California legislative session came to a close this fall, marking the final year of Governor Gavin Newsom’s administration amid ongoing challenges surrounding federal funding. Facing a continuing budget deficit, lawmakers were forced to balance fiscal constraints with the need to address affordability and fluctuating federal policy changes. 

Throughout this session, CAMEO Network championed policy proposals that aligned with our 2026 California State Policy Priorities, which focus on four overarching pillars:

  • Promoting investments and policy that support and strengthen local entrepreneurial ecosystems
  • Increasing opportunities and reducing barriers for entrepreneurs
  • Protecting small businesses from predatory behavior
  • Employing a racial and economic justice lens

CAMEO Network sponsored two bills and supported 22 other bills as well as three budget priorities. In total, 11 of those bills (including one of our sponsored bills) were signed into law. Two of our three budget priorities made it into the final 2026-27 budget. Below is a roundup of our 2026 legislative efforts.

CAMEO-sponsored Bills and Budget Priorities

AB 2116 (Schiavo) – Signed Into Law

CAMEO Network has been a leading voice in the fight to increase transparency and prevent predatory practices in small business financing. AB 2116, authored by Assemblymember Pilar Schiavo (District 40), requires that Merchant Cash Advances (MCAs) and their brokers be licensed under the Department of Financial Protection and Innovation, allowing California authorities to enforce existing laws more effectively, increasing transparency in the marketplace and protecting the most vulnerable small businesses. Watch the press conference where CAMEO Network, Assemblymember Schiavo, Speaker Rivas, and our coalition partners – the Responsible Business Lending Coalition, Small Business Majority, and the California Low-Income Consumer Coalition – celebrated this important milestone.

AB 2315 (Arambula) – Held in Assembly Health

AB 2315, the Home Kitchen Opportunity Act, aimed to make the MEHKO program available statewide. While the bill died early in the process, it left us valuable lessons that will be of great use in our continued efforts to expand the success of MEHKOs across California. 

Cal IIP Renewal – In Final Budget

Amidst uncertainty surrounding federal funding for our sector, one of our biggest priorities this year was to make sure California CDFIs (Community Development Financial Institutions) are sufficiently funded to meet the needs of communities across the state. Along with our members and partners at CalCCI, we successfully advocated to renew the California Investment and Innovation Program with $6.4M in the FY2027 state budget.

SEED Renewal – In Final Budget

CAMEO Network joined the effort to renew the Social Entrepreneurs for Economic Development (SEED) Initiative in the FY2027 budget. This initiative funds community-based organizations to provide micro-grants, technical assistance, and entrepreneurial training to individuals with limited English proficiency (LEP) and immigrants to support them in starting a small business.

TAP Increases – Not In Final Budget

Unfortunately TAP (Technical Assistance Program) did not make it into the final budget. It would have given increased security to the business coaching programs in light of uncertainty around federal funding.

Major Supported Legislation

Access to Capital

  • AB 2214 (Jackson) – Held in Assembly Banking and Finance
    Would have set aside 5% to 10% of a state investment fund to deposit in banks and credit unions that help underserved communities.
  • SB 1265 (Richardson) – Held in Senate Utilities and Energy
    Would have codified the GoGreen Financing Program in statute.

Ecosystem of Support for Small Businesses

  • AB 685 (Solache) – Signed into Law
    Creates the Small Business Resiliency and Innovation Fund, which allocates money to the Capital Infusion Program (CIP) and the Small Business Technical Assistance Program (TAP).
  • AB 2221 (Irwin) – Signed into Law
    Streamlines nonprofit compliance by speeding up filing approvals, protecting organizations from penalties for minor errors, and other modernizations.
  • AB 2084 (Kauer-Bahan) – Signed into Law
    Allows California nonprofits to keep their state tax-exempt status even if they lose federal tax-exempt status for certain administrative reasons.
  • SB 1288 (Laird) – Signed into Law
    Ensures charitable gifts left to nonprofits after someone passes away are delivered efficiently and without unnecessary barriers.
  • SB 1240 (McNerney) – Vetoed by Governor
    Would have established the Office of Nonprofit Empowerment.

Reducing Barriers to Entrepreneurship

  • AB 1915 (Gabriel) – Signed into Law
    Reduces red tape for small restaurants by streamlining permits, updating food facility rules, and lowering the cost of opening and operating a business.
  • AB 1857 (Aguiar-Curry) – Signed into Law
    Prohibits grocery stores from using property restrictions that block future grocery stores from opening in the same location, helping expand food access.
  • AB 2006 (M. Rodriguez) – Signed into Law
    Requires new and renovated state office buildings to prioritize space for child care centers, helping expand affordable child care access for state workers and their families.
  • AB 2635 (C. Rodriguez) – Vetoed by Governor
    Would have helped landscapers transition to electric equipment by expanding rebate access, reducing barriers, and preventing fines while businesses make the switch.
  • SB 1340 (Richardson) – Vetoed by Governor
    Would have required standardized reporting to help ensure small businesses receive their fair share of government contracts.

Other supported bills