California Science and Health Research Bond Act.

Bond authorization amounts changed from $12 billion / $5 billion to $5 billion / $7.5 billion (exact structure unclear from truncated text).

New provision allocating $1 billion from the fund for UC and CSU construction and modernization of science, health care, technology, and engineering facilities: $250 million to UC and $750 million to CSU.

New provision allowing funds to be allocated to US Department of Energy or NASA laboratories or field centers operating within California, subject to the Federal Laboratory Contracting Act.

The foundation can now enter into contracts with research entities in addition to awarding grants and making loans, expanding how bond funds are distributed.

New requirement that funding support 'certain economic sectors' identified as 'Bet' and 'Accelerate' sectors in the California Jobs First State Economic Blueprint published by the Governor's Office of Business and Economic Development.

The council is now vested with 'full power, authority, and jurisdiction over the foundation,' must provide opportunity for public comment on priorities, develop objectives supporting early career researchers, and consider how research priorities relate to economic and industry considerations.

New legislative finding (n) stating the measure will authorize regulations to recoup part of the state's investment by capturing revenue from highly profitable inventions such as blockbuster drugs without inhibiting startups or harming technology transfer.

Research fields expanded to include 'environmental health' within public health, 'sea level rise' within ocean research, and a new category for 'Seismic and related geohazards.'

The foundation may now enter into interagency agreements with state agencies to administer programs funded under this chapter.

The fund was renamed from 'California Foundation for Science and Health Research Fund' to 'California Foundation for Science and Health Research and Innovation Acceleration Fund' (and similarly for the Benefit Fund).

New definition of 'subject invention' added: any invention of the contractor conceived or first actually reduced to practice in the performance of work under a funding agreement.

Academic medical centers were added as eligible recipients of grants, loans, and contracts.

Out-of-state research collaboratives now require that at least 75 percent of project funds be used for research activities conducted in California, replacing the previous open-ended permission.

New prohibition on awarding funds to any entity constituting a 'foreign entity of concern' as defined in 15 U.S.C. Section 4651(8).

Major new affordability and equitable access framework requiring the council to develop provisions within one year covering: (A) access plans for equitable access in California, the US, and low- and middle-income countries; (B) data sharing with the broader scientific community except for national security or foreign entity of concern requests; (C) pandemic preparedness provisions triggered by WHO public health emergency declarations; and (D) licensing requirements.

New requirement that all grants, awards, and contracts be subject to intellectual property agreements balancing California's opportunity to benefit from inventions, technologies, patents, royalties, and licenses resulting from bond-funded research.

Director salary is now capped at the base salary of the UC Provost and Executive Vice President of Academic Affairs. Oversight of director appointment changed from the Secretary of Government Operations to the Governor.

Council members are now subject to disclosure requirements relating to personal investments and potential conflicts of interest.

The bond act submission date was specified as the March 7, 2028 statewide primary election, replacing the vague 'next statewide general election' language.

Urgency clause added, declaring the bill to take effect immediately upon passage.

The authorized bond issuance amount was reduced from $23,000,000,000 and $12,000,000,000 to $12,000,000,000 and $5,000,000,000, a substantial cut in the total state debt authorized for science and health research.

Removed the requirement that the California Foundation for Science and Health Research Fund be created 'upon appropriation by the Legislature.' The fund is now simply created in the State Treasury with bond proceeds deposited there, removing a legislative gate on fund creation.

Removed the provision stating the main research fund 'may be funded by both private and public funds, including private donations.' Private giving is now channeled exclusively through the separate Benefit Fund rather than being mixed into the main bond-funded account.

Removed the definition of 'interim debt' (interim loans, bond anticipation notes, or commercial paper notes issued to make deposits into the fund).

The Finance Committee cross-reference was renumbered from Section 11899.16 to Section 11899.15, indicating a section was removed or renumbered elsewhere in the bill.

The proposed bond authorization was reduced from $23 billion to $12 billion, cutting the total funding by more than half.

A new California Foundation for Science and Health Research Benefit Fund was created in the State Treasury. It consists solely of private donations and is continuously appropriated without respect to fiscal years. Moneys in the benefit fund are available for the same purposes as the main research fund.

The biomedical research category now explicitly includes 'genetic and chronic diseases that affect children and infants.' A new 'Public health' framing was added to the detecting and responding to emerging health threats category.

Council composition was restructured. The previous structure of 5 scientists plus 3 generic 'members of the public' appointed by the Secretary was replaced with 7 members appointed by the Secretary (5 scientists, 1 with economics background, 1 patient advocate). The total council size remains 11 to 13 members.

New legislative intent provisions direct the foundation to learn from DARPA/ARPA and Operation Warp Speed models, allocate funding for riskier projects than those typically funded by federal agencies, ensure support for early-career scientists (under age 40 or fewer than 10 years since completing a PhD), and create efficient award approval systems that reduce paperwork burden.

The vacancy threshold that prevents approval of grants or loans was raised from more than 3 vacancies to more than 6 vacancies, making it harder for a depleted council to be blocked from operating.

Section references were renumbered: the Finance Committee reference changed from Section 11899.16 to 11899.15, and the peer review panel process reference moved from subdivision (e) of Section 11899.3 to a new standalone Section 11899.4.

The specific requirement that 'a vote of a majority of the members of the council shall be required for the approval of funding of any research project' was removed from the operative text, though the quorum provision remains.

Council size changed from a fixed 10 members to a range of 11 to 13 members.

Council composition restructured: the seat for the President of the Association of Independent California Colleges and Universities was removed. New seats added include one member with an economics background, one patient advocate, one health care provider (appointed by Senate Rules Committee), one climate or environmental advocate (appointed by Speaker of Assembly), and one CEO of the California Council on Science and Technology or their designee.

New conflict-of-interest provisions allow a council member to participate in approving a grant or loan for research into a disease in which the member or their immediate family has a personal interest. Service with educational institutions is deemed not incompatible with council duties, and the financial interest prohibition does not apply if the member recuses from the specific decision.

A quorum provision was added stating that a majority of council members constitutes a quorum for any business, duty, or exercise of power, except as otherwise provided.

Peer review panel criteria changed: 'track record of the researchers and investigators' was removed as a standalone basis for reviewing and prioritizing proposals. The remaining criteria are scientific merit of the proposal, potential benefit to health and well-being of the population/natural resources/environment, and demonstrated background, training, and expertise of the researchers.

The Bagley-Keene Open Meeting Act is now explicitly required to apply to all meetings of the council and scientific peer review panels, with exceptions for closed sessions involving patient or medical/scientific research subject information whose disclosure would constitute an unwarranted invasion of personal privacy.

The research fields list consolidated 'Behavioral' (previously a standalone category) into 'Behavioral health, including, but not limited to, addiction and substance use disorders,' reducing the total number of listed fields from 14 to 13.

Council size changed from a range of 10 to 13 members to a fixed number of 11 members, and the composition rules were restructured: five members must be scientists or hold science/research backgrounds appointed by the Secretary of Government Operations; three public members are appointed by the Secretary; one public member is appointed by the Senate Rules Committee; one public member is appointed by the Speaker of the Assembly. UC and CSU designees and the independent colleges association designee must now also be scientists or hold a science/research background.

The research field previously listed as 'Behavioral' was expanded to 'Behavioral health, including, but not limited to, addiction and substance use disorders,' broadening the scope of eligible research in that category.

Amyotrophic lateral sclerosis (ALS) was added to the list of covered diseases in both the biomedical cures category and the disease prevention category.

New provision requires the foundation to recommend, and the council to adopt, standards ensuring that goods and services purchased with foundation funds come from California suppliers to the extent reasonably possible, with a good faith goal of more than 50 percent of purchases from California suppliers.

New subdivision 11899.1(c) requires the Secretary of Government Operations to oversee the appointment process for the foundation director, set the director's salary level, and authorizes delegation of hiring and compensation decisions for additional personnel to the director subject to secretary approval. Also clarifies that the director and personnel are responsible for implementing council strategic objectives and administering grants and loans.

References to the California Taxpayer Access to Publicly Funded Research Act were added in two places: as part of the open scientific exchange standards for funded research, and alongside the institutional review board eligibility requirement. The Protection of Human Subjects in Medical Experimentation Act was also added to the IRB eligibility requirements.

Peer review panel criteria expanded to include 'the demonstrated background, training, and expertise of the researchers and investigators to conduct the proposed work' as an additional factor alongside track record, scientific merit, and potential benefit.

New provision allows a graduate-level researcher or postdoctoral scholar council member who earns their degree or completes their placement before the end of their four-year term to serve out the remainder of the academic year before a new appointment is made.