AMENDED IN ASSEMBLY AUGUST 6, 2026

AMENDED IN SENATE APRIL 13, 2026

CALIFORNIA LEGISLATURE— 2025–2026 REGULAR SESSION

97

Introduced by Senator Durazo

February 20, 2026

An act to add Section 53064.3 to the Government Code, relating to local government.

Vote: majority   Appropriation: no   Fiscal committee: yes   Local program: yes

LEGISLATIVE COUNSEL’S DIGEST

Existing law contains various provisions relating to franchise agreements between a local jurisdiction and a service provider for the provision of services such as utilities, waste hauling, and cable television.

This bill would prohibit any franchise contracts, licenses, or permits for solid waste handling services, as defined, entered into or substantially amended, as defined, by a local agency on or after January 1, 2027, from including a force majeure provision that excuses or suspends the service provider’s obligation to perform under the franchise contract, license, or permit in the event of a work stoppage arising out of or in connection with a labor dispute, as defined. The bill would also provide that any force majeure provision in a franchise contract, license, or permit for solid waste handling services is void and unenforceable, regardless of the date on which the contract, license, or permit was entered into, unenforceable to the extent that it excuses or suspends performance due to a work stoppage arising out of or in connection with a labor dispute. By imposing new duties on local governments with respect to the franchise contracts, licenses, or permits for solid waste handling services, the bill would impose a state-mandated local program.

This bill would provide that its provisions are severable.

The bill would include findings that changes proposed by this bill address a matter of statewide concern rather than a municipal affair and, therefore, apply to all cities, including charter cities.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.

The people of the State of California do enact as follows:

SECTION 1.

Section 53064.3 is added to the Government Code, to read:

53064.3.

(a) To promote the public health, safety, and general welfare, a franchise contract, license, or permit for solid waste handling services that is entered into or substantially amended by a local agency on or after January 1, 2027, shall not include a force majeure provision that excuses or suspends the service provider’s obligation to perform under the franchise contract, license, or permit in the event of a work stoppage arising out of or in connection with a labor dispute.

(b) Any force majeure provision in a franchise contract, license, or permit for solid waste handling services is void and unenforceable, regardless of the date on which the contract, license, or permit was entered into, unenforceable to the extent that it excuses or suspends performance due to a work stoppage arising out of or in connection with a labor dispute.

(c) For purposes of this section, the following terms have the following meanings:

(1) “Solid waste handling services” has the same meaning as “solid waste handling” as defined in Section 40195 of the Public Resources Code.

(2) “Substantially amended” means a mutually agreed upon change to a majority of the material terms of a franchise contract, license, or permit for solid waste handling services.

(3) “Labor dispute” has the same meaning as defined in clause (iii) of paragraph (4) of subdivision (b) of Section 527.3 of the Code of Civil Procedure.

SEC. 2.

The provisions of this act are severable. If any provision of this act or its application is held invalid, that invalidity shall not affect other provisions or applications that can be given effect without the invalid provision or application.

SEC. 3.

The Legislature finds and declares that the uninterrupted provision of solid waste handling services during labor disputes, and the prevention of misuse of emergency sanitation, health, or safety authority to interfere with lawful labor activity, are matters of statewide concern and are not municipal affairs as that term is used in Section 5 of Article XI of the California Constitution. Therefore, Section 1 of this act adding Section 53064.3 to the Government Code applies to all cities, including charter cities.

SEC. 4.

If the Commission on State Mandates determines that this act contains costs mandated by the state, reimbursement to local agencies and school districts for those costs shall be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.