CaliforniaLocal agencies may round cash payments to the nearest five cents
Starting September 18, 2026, a California local agency may round certain cash payments and refunds to the nearest five cents if its governing body votes to opt in.
What it does
A local agency that votes to opt in may round cash payments, refunds, and other amounts it pays to the nearest five cents.
Argument forIf an agency opts in, rounding cash transactions could help its offices keep handling payments when pennies are scarce.
Argument againstPeople paying or receiving money could get a few cents more or less than the exact amount, and each local agency must choose to use rounding.
More detail
A local agency may round certain cash transactions to the nearest five cents. This covers taxes, fees, charges, and other funds tendered for agency licenses, permits, public services, or trust deposits, along with refunds and other amounts the agency pays. The transaction must be wholly or partly in cash. The agency’s governing body must adopt a resolution by majority vote before this section applies there. The act took effect immediately on September 18, 2026. Rounding applies at an agency only after its governing body adopts the required resolution.
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Where it stands
- Introduced
- Passed Senate
- Passed Assembly
- To Governor
- Became Law
Looking ahead
No hearings or votes scheduled.
History
- 2026
- Sep 18Chaptered by Secretary of State. Chapter 321, Statutes of 2026.Latest
- Sep 18Approved by the Governor Gavin Newsom.Became Law
- Aug 21Enrolled and presented to the Governor at 3 p.m.To Governor
- Aug 17Assembly amendments concurred in. (Ayes 40. Noes 0. Page 5487.) Ordered to engrossing and enrolling.Major
- Vote recorded Unfinished Business SB1005 Caballero et al. Urgency Clause Concurrence. Result: pass.Upper
- Aug 17Urgency clause adopted.Major
- Aug 13In Senate. Concurrence in Assembly amendments pending.
- Vote recorded SB 1005 Caballero Third Reading Urgency By Ward. Result: pass.Lower
- Aug 13Read third time. Urgency clause adopted. Passed. (Ayes 73. Noes 0. Page 6144.) Ordered to the Senate.Passed Assembly
- Jul 2Ordered to third reading.Minor
- Jul 2Read third time and amended.Major
- Jun 8Read second time. Ordered to third reading.Minor
- Jun 4Read second time and amended. Ordered to second reading.Major
- Jun 3From committee: Do pass as amended. (Ayes 10. Noes 0.) (June 3).Major
- Vote recorded Do pass as amended. Result: pass.Lower
- May 4Referred to Com. on L. GOV.Minor
- Mar 26In Assembly. Read first time. Held at Desk.Minor
- Vote recorded Consent Calendar 2nd. Result: pass.Upper
- Mar 26Read third time. Passed. (Ayes 37. Noes 0. Page 3699.) Ordered to the Assembly.Passed Senate
- Mar 19Read second time. Ordered to consent calendar.Minor
- Mar 18From committee: Do pass. Ordered to consent calendar. (Ayes 7. Noes 0. Page 3601.) (March 18).Minor
- Vote recorded Do pass and be ordered to the Consent Calendar. Result: pass.Upper
- Mar 5Set for hearing March 18.
- Feb 18Referred to Com. on L. GOV.Minor
- Feb 10From printer. May be acted upon on or after March 12.
- Feb 9Introduced. Read first time. To Com. on RLS. for assignment. To print.Introduced
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