The Senate Budget and Fiscal Review Subcommittee No. 3 on Health and Human Services convened on May 1, 2025, to discuss the proposed diaper affordability initiative in California. The meeting highlighted concerns raised by the Legislative Analyst's Office (LAO) regarding the proposal's effectiveness and targeting.

Jason Contontouris from the LAO presented three main points of concern. First, he emphasized the need for the legislature to weigh diaper affordability against other budget priorities, given the state's limited financial resources. Second, he criticized the proposal for being poorly targeted, as it offers a small benefit to all Californians rather than focusing on those with the highest financial need. He also noted uncertainties surrounding the new distribution model proposed, which could undermine the initiative's success. Lastly, Contontouris pointed out that while the initiative is intended to be ongoing, the funding plan only covers two years without a clear oversight mechanism.

To address these issues, the LAO suggested alternatives, such as increasing the existing subsidy for diaper affordability within the CalWORKs program, which currently provides about $30 a month. This approach would better target resources to those in need and ensure direct benefits to beneficiaries. Another recommendation was to provide additional funding to diaper banks, which have received limited-term funding in previous budgets and represent an established distribution model.

Senator Manjavar expressed support for the initiative but echoed the LAO's concerns about its broad applicability. She suggested that the program should focus on income-specific criteria to better serve those in need, while also considering existing systems like CalFresh to minimize administrative costs. The senator emphasized the importance of finding a viable solution to address affordability without scrapping the program altogether.

The discussions underscored the complexities of addressing diaper affordability in California, particularly in light of the state's financial constraints. As the legislature moves forward, the recommendations from the LAO and the insights from subcommittee members will play a crucial role in shaping the final proposal and ensuring it effectively meets the needs of vulnerable populations.