Gov. Gavin Newsom signed Sen. Jerry McNerney’s SB 1406, closing the so-called “Montana Loophole,” which costs California approximately $20 million a year in lost tax revenue.
SB 1406 cracks down on tax scams in which wealthy Californians create phony shell companies to buy luxury vehicles in Montana and other states to avoid paying California sales taxes and vehicle license fees.

Gov. Gavin Newsom today signed Sen. Jerry McNerney’s SB 947, the No Robo Bosses Act of 2026 — a groundbreaking new law that requires human oversight of artificial intelligence systems in the workplace to prevent abuses.
SB 947 bars California employers from relying solely on AI systems, known as automated decision-making systems (ADS), to fire or discipline workers. It also mandates human oversight and verification when employers use ADS to assist in termination and disciplinary decisions. It is the first such law in the nation.

Gov. Gavin Newsom has signed Sen. Jerry McNerney’s SB 925, which accelerates the development of fusion energy in California – a potential clean power gamechanger.
SB 925 requires the California Energy Commission (CEC) to develop a strategic plan to advance fusion energy in California. The plan will identify opportunities to expand research and development, locate potential sites for fusion power plants, and create licensing and permitting processes for fusion facilities.