Transcript Highlights:

• RESOLUTION 1908 ON BUDGET STABILIZATION FUNDING AND SENATOR HOOPER.
• WE HAVE A BUDGET STABILIZATION FUND AS YOU KNOW AND HAVE DISCUSSED.
• WE ARE LOOKING AT FEDERAL BUDGET CUTS.
• YEAR AND THEN THE BUDGET STABILIZATION FUND THINK OF IT AS A RETIREMENT ACCOUNT.
• THIS IS A HUNDRED 50 MILLION DOLLAR BUDGET.

Keywords: 999, senate, all

Transcript Highlights:

• I've got state budget pressures here.
• at that time when uh counties the budget at that time when uh counties faced<00:04:07.360><c> budget
• <c> situation,</c><00:15:00.399><c> what</c> but the state budget situation, what but the state budget
• happened to your personal budget?
• </c> have the incorrect budget. have the incorrect budget.

Bills: HF3396

Keywords: property tax, task force, assessment, state revenue, local government, 1183, house

Transcript Highlights:

• </c> up the uh the budget up the uh the budget bill.<00:01:17.159><c> Um</c><00:01:18.159><c> I've</c
• </c> budget uh conversation. Lay that over. budget uh conversation. Lay that over.
• </c> our budget omnibus. our budget omnibus.
• ><c> budget</c><01:31:41.120><c> is</c> This budget is forward-looking.
• </c> the context that we have on our budgets. the context that we have on our budgets.

Keywords: 1187, senate, all

Transcript Highlights:

• Again, Elyse Bailey, Budget Director of the Department of Human Services.
• we had previously presented in this committee on the governor's budget.
• There are a few new the governor's budget, and I'll quickly go over that.
• The revised governor's budget updates that to 2% per year.
• We are including two additional budget-neutral items in this page.

Transcript Highlights:

• All told, this budget would recommend an investment of nearly $9.5 billion in local aid.
• The FY26 budget is the third year that the revenue from the Fair Share Amendment will be implemented.
• working together on top of countless supplemental budgets and other bills, and he still talks to me.
• Speaker, thank you for your commitment to the budget here.
• In closing, I think this is a budget we could all be proud of.

Keywords: 995, all

Summary: The House met in a floor session that began with routine procedural motions, including quorum checks, roll calls, and brief recesses. Members also welcomed guests and observed a moment of silent tribute for Frederick Pat Waller of Dracut, a 101-year-old World War II veteran and longtime farmer, before taking up the day’s major budget business. The principal item was the FY2026 appropriations legislation. House leaders described the conference report as a roughly $61 billion budget that reduces spending from earlier proposals while increasing Fair Share spending to $2.4 billion. They highlighted funding for education, including Chapter 70 aid, universal school meals, higher education financial aid, MassReconnect, and school clean energy projects; transportation, including MBTA and regional transit authority support; housing and homelessness programs; food assistance; and a new $5 million immigration legal assistance fund. Supporters emphasized fiscal stability, timely passage, and aid to cities and towns, while noting uncertainty from the federal government. The House first passed the supplemental appropriations bill to be engrossed by a roll call vote of 142-0, then later passed it on final enactment by 143-1. The House then accepted the conference report on the main FY2026 budget by a roll call vote of 139-6, adopted the emergency preamble by a recorded vote, and finally enacted the budget by another 139-6 vote. The session ended with adoption of an order to adjourn to the following Thursday at 11 a.m., and the House adjourned.

Transcript Highlights:

• budget.
• and reflects a 0.4% decrease over the current year budget.
• of $850 million in recurring budget reductions.
• We were going over the budget. Any questions? I'd like to ask you a question. ...with a budget.
• They are hungry because the food budget is not funded properly.

Bills: S0054, S0156, S0296, S0298

Keywords: cognitive function, psychotropic drugs, violent offenders, autopsy procedures, medical records, school safety, public records, open government, sunshine law, victims of dating violence, domestic violence, address confidentiality program, confidential address, voter registration, voting records, elections, supervisor of elections, Department of State, Attorney General, privacy

Summary: The Appropriations Committee on Criminal and Civil Justice heard a presentation on the Governor’s fiscal year 2026-2027 public safety budget, which totals $117.4 billion overall and includes $8.2 billion for the public safety silo. Caitlin Dawkins of the Governor’s Office outlined proposed funding and reductions across FDLE, DJJ, DOC, and related justice agencies. Agency heads then presented major budget requests: FDLE sought funding for fentanyl enforcement, a career offender registry unit, a missing persons alert system upgrade, alcohol testing modernization, officer wellness, criminal intelligence, and illegal immigration-related intelligence work; DJJ requested funds for the Florida Scholars Academy, uniforms, residential services, a new Broward detention center, and facility repairs; and DOC requested major increases for officer pay, 500 additional FTE, facility construction and maintenance, communications technology, inmate health care, pharmaceuticals, and food service. Members questioned FDLE about the scope of immigration-related enforcement and public records burdens, and DOC about staffing, inmate health care, substance use treatment, prison capacity, and whether prison beds were being used for immigration detainees. A public commenter also urged attention to basic conditions in prisons, including clothing, food, medical care, and facility maintenance. The committee then considered several bills. CS/SB 156, the Jason Rayner Act, was presented as a response to the killing of Daytona Beach Officer Jason Rayner and would clarify that a person may not use violence against an officer performing official duties, while also increasing penalties related to manslaughter involving law enforcement. An amendment conforming the bill’s language was adopted, and the bill was reported favorably after debate and a roll call vote. CS/SB 54, dealing with substances affecting cognitive function and law enforcement access to certain medical records, also received an amendment clarifying that only records relevant to an investigation of a violent offender may be furnished; the amended bill was then reported favorably. The committee next heard CS/SB 296, the Haven Act, which would direct a study of a secure web-based alert system for domestic violence victims so they can contact 911 without alerting an abuser, and would expand the Address Confidentiality Program to include dating violence victims. Testimony from advocates and survivors strongly supported the measure, and the bill was reported favorably. Its companion, CS/SB 298, a public records exemption for victims of domestic and dating violence in the Address Confidentiality Program, was also reported favorably. The meeting concluded after the committee approved all four bills and adjourned.

Transcript Highlights:

• On our budgeted full-time equivalents, we have 133.5 budgeted FTE at this point.
• On our budgeted full time equivalents we have 133.5 budgeted FTE at this point of those48 are funded
• On your budget, sorry, incremental budget request number one on the church, I know it's an old church
• Representative Newton recognized for a question thank you chairman on your budget sorry incremental budget
• re budget work program to OMES in July.

Summary: The committee first heard a presentation from the Oklahoma Department of Commerce on its FY26 priorities, recent performance, and budget requests. Commerce said it had helped announce about 8,000 direct jobs and nearly $14 billion in investment year-to-date, while noting challenges such as tariffs, workforce recruitment, staffing/FTE management, and the condition of its 100-year-old office building. The agency highlighted projects and initiatives including a new Taiwan trade office, Route 66 Centennial planning, the National Main Street conference in Tulsa, Olympic-related coordination, census outreach, and continued improvements to its grants and CRM systems. Requested funding included $8.3 million for building repairs or relocation planning, census support, $300,000 for EDGE, $135,000 for IT/cybersecurity upgrades, $250,000 for the Taiwan office, and additional support for Head Start, senior nutrition, and the Strategic Air and Space Commission. Members asked about the meaning of the investment totals, the building condition, delays in senior nutrition distributions, and staffing vacancies; Commerce said the investment figures reflected formal company capital announcements, the building had significant facade and roof damage, delays were due to multiple contracting layers, and several open positions were expected to be filled soon. The Oklahoma Tourism and Recreation Department then presented its FY26 budget and goals. New director Amy Blackburn and special advisor Sterling Zearley said the department oversees 38 state parks, six lodges, seven golf courses, and nine travel information centers, and emphasized tourism’s economic importance. They reported savings from bringing marketing and tracking functions in-house and from shared services, but said the department faces more than $271 million in deferred maintenance needs, staffing shortages, and connectivity problems at parks. Their goals include increasing park visitation to 10.2 million, raising occupancy to 36%, and growing travel to Oklahoma, with major marketing tied to the Route 66 Centennial, America 250, the FIFA World Cup, the Olympics, and other events. The department also discussed a request to raise its purchasing exemption cap from $25,000 to $75,000, a possible TravelOK.com redesign, and efforts to improve restaurant operations at lodges through a new RFP structure. Members questioned the apportionment cap, the size and timing of deferred maintenance requests, park revenue, and the use of parking pass funds; tourism said annual park-related revenue is about $32 million to $34 million and parking pass revenue is about $2.5 million. Finally, the OSU Veterinary Medicine Authority presented its budget request and program updates. The authority said it supports the veterinary teaching hospital and related student training, and that its FY26 budget is entirely state-appropriated. It requested continued support for hospital operations, the large animal scholarship program, and a new $12.5 million annual payment tied to the $250 million Legacy Capital Fund authorization for the veterinary teaching hospital, along with additional funding to expand in-state enrollment. Officials said in-state enrollment had increased from 58 to 69 students after prior funding, with a goal of reaching 90 of 106 total seats, and that there were 195 in-state applicants this year. Members asked whether standards would be lowered; the authority said academic standards would not change and noted strong board-pass rates and retention outcomes. It also said accreditation concerns tied to faculty shortages and off-site teaching had been addressed by bringing students back to the main campus and improving staffing. The committee ended by thanking the presenters and announcing its next meeting date.

Transcript Highlights:

• The governor's budget. In the bill. Budget. Uh, we...
• So like I said, the next four budget proposals are budget-neutral, and I'll just touch on them briefly
• Regarding the hunger relief in the governor's budget, is there hunger relief in the budget or is there
• not hunger relief in the budget?
• With the budget deficit, it does make it difficult.

Bills: HF2436, HF470, HF2643, HF2456, HF102, HF1367

Keywords: child welfare, economic assistance, child care, grant program, video security cameras, early education, scholarships, funding, children, families, Minnesota education, child care licensing, family child care, child care center, Minnesota Department of Children, Youth, and Families, correction order, conditional license, fix-it ticket, documented technical assistance, license suspension

Transcript Highlights:

• &gt;&gt; HERE WE ARE ON OUR FIFTH BUDGET EXTENDER, THREE WEEKS Late on the budget now.
• And, you know, budgets, as you know, all of these budgets are a lot of work.
• AND, YOU KNOW, BUDGETS AS YOU KNOW, ALL OF THESE BUDGETS ARE A LOT OF WORK.
• President. >> On the bill. >> Here we are on our fifth budget extender, three weeks late on the budget
• &gt;&gt; HERE WE ARE ON OUR FIFTH BUDGET EXTENDER, THREE WEEKS LATE ON THE BUDGET TO DATE.

Keywords: 993, senate, all

Summary: The Senate opened with routine formalities, approved the journal, welcomed a SkillsUSA student delegation, and then moved into budget and policy business. The chamber accepted a Rules Committee report and took up a supplemental budget extender, Senate Print 9963, which would extend state operations through April 22 and authorize $12.7 billion, including about $5.1 billion in new funding for Medicaid, payroll, and school aid. Senator O’Mara questioned the delay in the budget, the lack of public detail, and unresolved issues such as CLCPA changes, auto insurance, and SEQR reforms; the sponsor said negotiations were ongoing and that school aid would likely build on the executive budget. The extender passed 57-1, with Senator Weik voting no. The Senate then adopted Senate Resolution 1887, sponsored by Senator Brisport, memorializing the Governor to proclaim April 2026 as Arab American Heritage Month. Senators Brisport, Fahy, Salazar, and Gounardes spoke in support, emphasizing Arab Americans’ cultural, civic, and economic contributions in New York and condemning anti-Arab and anti-Muslim bias. The resolution was adopted by voice vote and opened for co-sponsorship. The chamber next considered several bills on the calendar, including a bill by Senator Cleare to prohibit state-chartered financial institutions from investing in private correctional facilities. Supporters framed it as a moral response to private prisons and rising federal use of detention facilities, while opponents argued it would overregulate state-chartered banks and affect private investment decisions. The bill passed 36-22. The Senate also passed a bill by Senator Krueger raising the nonprofit lobbying disclosure threshold from $5,000 to $10,000, after debate over transparency and whether the change would reduce oversight; it passed 35-23. Finally, the Senate passed Senator May’s bill on advanced transmission technologies and utility planning, after extensive debate over ratepayer costs, battery storage, and data center growth; supporters said it could lower energy costs through more efficient grid use, while opponents said it would raise rates and duplicate existing studies. The bill passed after being restored to the non-controversial calendar.

Transcript Highlights:

• This is based on Governor Ayotte's budget.
• </c> putting aside we were cutting the budget putting aside we were cutting the budget by<01:10:07.239
• <01:10:39.520><c> in</c><01:10:39.719><c> the</c><01:10:39.880><c> figure</c> budget in the figure budget
• That's not the governor's entire budget; that's the bonded area of the budget that this committee is
• <04:11:12.840><c> no</c><04:11:13.560><c> in</c><04:11:13.760><c> that</c> budget no in that budget no

Keywords: 928, house, all

Summary: The committee held a public hearing and work session on House Bill 25A, the capital improvements appropriations bill, which Representative David Mills said was based on Governor Ayotte’s budget and included appropriations for capital improvements and extensions of prior appropriation lapses. The hearing drew testimony on several requested additions to the bill, with the chair noting the unusually large turnout and moving quickly through speakers. No questions were taken on the initial bill presentation, and the public hearing on HB 25A was later closed. The Community College System of New Hampshire asked for an additional $2.6 million, including $800,000 for IT infrastructure, $1.3 million for critical maintenance, and $500,000 for energy management systems. The witness said the money would address cybersecurity and online learning needs, replace failing boilers and a roof at several campuses, and prevent costly damage such as frozen pipes. The New Hampshire Veterans Home requested $1.5 million for ADA compliance and safety improvements, including floor replacement and wider doors, citing an upcoming VA inspection and the importance of preserving federal funding. Testimony also focused on career and technical education and airport funding. Milford CTE sought to keep $9.9 million in the budget for renovations after a local vote fell short, explaining the project had been scaled down from an earlier $60 million concept and that the school board wanted another chance to seek voter approval. On aviation, Concord, the New Hampshire Municipal Association, and Department of Transportation representatives urged restoring state matching funds for FAA airport grants, saying roughly $3.6 million in state money would leverage about $62 million to $65 million in federal funds for safety and infrastructure projects at public airports. Committee members asked about project selection, matching requirements, and the airport priority process, and witnesses said the program is driven by FAA-approved capital improvement plans and safety needs rather than business-return rankings.

Transcript Highlights:

• </c><00:54:06.040><c> let's</c> to fund their $2 million budget let's to fund their $2 million budget
• </c> decided to use that U fill that budget decided to use that U fill that budget Hole<00:55:07.799>
• </c> their budget you know it's their budget their budget you know it's their budget it's<01:10:19.560
• </c><01:45:10.599><c> and</c><01:45:10.800><c> that's</c> District budget and that's District budget
• school budget.

Keywords: 928, house, all

Summary: The committee held a work session focused on school funding formulas, adequacy aid, and special education aid, with the chair outlining a schedule for the next several Tuesdays and noting that the committee would likely need multiple executive sessions to narrow down the bills. Members discussed the FY 26 formula, including base cost, differentiated aid, extraordinary needs grants, hold harmless provisions, and the roughly $28 million in excess statewide education property tax (SWP) funds that are not currently returned to the state under the existing formula. The first bill discussed was HB 137, which would allow excess SWP funds to remain with the local municipality for school and municipal purposes. Representative Spilsbury argued the issue is fundamental and suggested the state should require excess funds to be remitted back to the state, while Representative Damon said the bill appears to codify current practice and may be unnecessary, especially given possible court action. The discussion then shifted to a related bill from Representative Fellas that would redefine SWP as local money rather than state money and keep the current adequacy aid numbers revenue-neutral for now. Representative Fellas explained that SWP was created in 1999 after the Claremont lawsuit as part of the state’s effort to show increased school aid, but that it effectively labeled part of the local property tax as state money without changing property tax bills. She argued the state should not be tapping local property tax revenue and said her bill would preserve the current distribution while removing the SWP tax label, with future work possible on a different measure of local capacity such as income, home values, or poverty rate. Members also referenced prior discussions of fiscal capacity aid, relief aid, and other formula changes as part of the broader effort to restructure school funding.

Transcript Highlights:

• Keith Duncan, Caltrans Budget Officer.
• We've come forward with budget requests.
• Madam Chair, Senators, Keith Duncan, Caltrans budget officer.
• for the expenses listed in this budget request.
• budget to pay for high-speed rail or whatever it is.

Summary: The subcommittee heard several California transportation and public safety budget proposals. Caltrans requested a one-time $225 million augmentation to continue replacing its aging fleet and build out zero-emission vehicle infrastructure. Caltrans said the funding would replace about 1,100 vehicles, including many heavy-duty units, and acknowledged its overdue report on zero-emission fleet efforts would be delivered by mid-to-late April. The LAO said the request raised no concerns, but one senator strongly criticized the cost and policy emphasis on making the fleet the “greenest” rather than prioritizing road maintenance. The chair pressed Caltrans to submit the overdue report within 30 days, saying it was necessary for oversight before the request could be considered. The committee also discussed a Caltrans proposal tied to SB 150 and the High Road Construction Careers Program. Because federal highway funds could not be used as originally intended for workforce training, Caltrans and the Department of Finance proposed replacing the federal dollars with $30 million in state Highway Account funds. The Workforce Development Board said the program had a track record of connecting participants to apprenticeships and jobs, while one senator questioned why the original $50 million federal set-aside had not been implemented and asked for more detail on where the remaining funds would go. Finance said the state funds were already set aside and expected to begin flowing in May over a two- to three-year period. The California Highway Patrol presented two requests. First, CHP sought $60 million from the Motor Vehicle Account for equipment and operating costs, citing inflation, higher vehicle prices, and the end of its ability to cover costs through vacancy savings as hiring improved. The LAO recommended rejection, arguing the costs were not new, CHP still had a substantial equipment budget, and the Motor Vehicle Account faces insolvency by 2028-29. Second, CHP requested $885,000 ongoing to fund seven crime analyst positions for the Highway Violence Task Force. CHP said the task force had reduced freeway shootings from 477 in 2021 to 179 last year, though some data categories had changed over time. The LAO did not object, but noted the request would create a permanent funding commitment. The DMV presented two modernization items: the State-to-State verification system required for Real ID compliance and the DXP system to replace aging legacy technology. The LAO raised no concerns with either, but noted DXP has had cost overruns and delays and will require continued legislative oversight. Senators focused heavily on privacy and data-sharing concerns in the State-to-State system, especially the use of Social Security number digits and the role of the AAMVA network. DMV said the system is required for Real ID compliance, uses encrypted data, and is intended to prevent duplicate credentials across states. The committee also discussed customer service improvements from DXP, with DMV saying the project should better integrate systems and improve service delivery by the end of the calendar year.

Transcript Highlights:

• I think there's a budget coming up, a variety of other tax bills.
• The operating budget conference committee is meeting at 10.
• Although just because it's assumed in the budget doesn't require its passage.
• The operating budget conference committee is meeting at 10.
• So we're going to pass a budget tomorrow that will leave $3 to $5 billion.

Keywords: 904, all

Summary: House and Senate Republican leaders held a media availability on day 59 of the session focused mainly on the House-passed income tax on high earners, the pending operating and transportation budgets, and several late-session tax and policy bills. Republicans argued the income tax was unconstitutional under existing state precedent, would lead to capital flight and broader tax expansion, and was being rushed through without adequate public input. They also criticized the budget process as overspending revenues, relying on gimmicks, and setting up future deficits and tax increases. The leaders said the House was preparing to consider a transportation bond bill requiring a three-fifths vote, along with bills on data centers, pharmaceutical wholesale taxes, K-12 funding, highway construction, direct electric vehicle sales, abortion-related funding, and an electric transmission measure. They said Democrats could pass the bond bill without Republican votes if all 59 House Democrats supported it, but Republicans opposed bonding for maintenance and preservation. They also said the budget could be balanced even if some of the tax bills failed. Much of the discussion centered on the 24-hour House debate over the income tax, which Republicans said they extended to force daylight debate and highlight objections. They said the bill passed by two votes and that several Democrats privately opposed it. Republicans also criticized the use of Climate Commitment Act funds in the budget, saying the money should be returned to taxpayers or used for transportation or the Working Families Tax Credit rather than special interests. In closing, they said House Republicans had been successful in opposite-house cutoff, killing 54% of Senate bills sent to the House and helping produce one of the lowest numbers of bills passed in years.

Transcript Highlights:

• I'm referring to the specials budget. And that CTE, I'm going to second the...
• Again, not referring to this budget, I'm looking at the specials budget that they're working with in
• We also have, I think, some budget considerations for you all to consider.
• I mean, it all has budget implications, but certainly is very policy heavy.
• Chair: in the language for the budget, it says if a district...

Transcript Highlights:

• approved budget.
• budget.
• So the cap would be the amount that we are budgeted.
• What is in that budget?
• So this just removes that since it’s its own standalone budget account within the executive budget and

Bills: SB507

Keywords: SB507, Nevada, governmental administration, Office of Nevada Boards Commissions and Councils Standards, Department of Business and Industry, professional licensing boards, occupational licensing, regulatory fees, state account, nonreverting fund, Commission on Postsecondary Education, taxicab, taxi technology fee, Nevada Transportation Authority, Taxicab Authority, transportation network company, TNC, rideshare, Uber, Lyft

Transcript Highlights:

• You'll find along the left side the agencies, the budget programs and budget activities, including all
• </c><00:03:28.000><c> programs</c><00:03:28.319><c> and</c><00:03:28.560><c> budget</c> respect to budget
• programs and budget respect to budget programs and budget activities,<00:03:29.440><c> base</c><00:03
• activities</c> budget programs and budget activities budget programs and budget activities including<
• I'll pivot on a budget target since we do not currently have a budget target.

Keywords: 1183, house

Transcript Highlights:

• A breakdown of the different sections of the budget, as well as the agency budget, the PED, and the reform
• budget language, as including.
• Means for you all in the budget.
• And then where there is budget language to accompany those appropriations, we include the budget language
• The budget. And, Mr.

Transcript Highlights:

• For a budget conference.
• We will embrace any and all ideas that curb the state budget.
• This budget would bank all the extra money into reserves.
• When we finally put a budget on the desk for its 72-hour waiting period, let it be a budget that was
• When we finally put a budget on the desk for its 72-hour waiting period, let it be a budget that was

Summary: The House convened with prayer, the Pledge of Allegiance, and a quorum present. The chamber received a Senate message regarding SB 2510, the pre-K through grade 12 education conforming bill. Representative Persons-Mulicka explained that the bill was a Senate conforming measure tied to budget policy, including changes affecting acceleration course weighting and the CAPE program. The House adopted a strike-all amendment to place the bill in the proper posture for conference, then advanced and passed SB 2510 on final passage by a vote of 88 yeas to 10 nays. After SB 2510 passed, the House agreed to accede to the Senate’s request for a budget conference. Speaker Perez then delivered extended remarks criticizing the Senate for breaking the budget framework agreement and arguing that the state budget has grown too large. He said the House remained committed to reducing state spending and revenue, discussed possible budget and tax-cut alternatives, and emphasized that property tax reform and state revenue reduction were separate issues. He also noted the House’s work on property tax relief and said the chamber would continue negotiating. The House then took up HCR 1633, a concurrent resolution extending the 2025 regular session until 11:59 p.m. on June 30, 2025. Representative Garrison explained that it was identical to an earlier extension resolution except for the new end date. The resolution was adopted, and the House then approved a motion to adjourn for committee and subcommittee meetings and other House business, to reconvene upon call of the chair.

Transcript Highlights:

• This particular budget has a strong emphasis on affordable housing.
• The strong bipartisanship of this budget continues in this particular budget this session.
• We have one more session for the Capital Budget Committee.
• So we'll have to wait for all of our exciting comments on the capital budget until the final budget gets
• So we'll have to wait for all of our exciting comments on the capital budget until the final budget gets

Summary: The committee first heard Substitute Senate Bill 5901, which would change the School Construction Assistance Program formula for school facilities on military bases. Staff explained that the bill would exclude instructional space on military bases from a district’s available inventory and add an extra 15% to the state funding assistance percentage for projects located on a military base. Senator Leonard Christian said the bill was intended to help districts such as Clover Park and Medical Lake, where base facilities reduce eligibility for off-base school construction funding. Testimony was strongly supportive from OSPI, Clover Park, and Medical Lake, while one citizen raised broader concerns about school funding and common school trust lands. The hearing on the bill was then closed. The committee then heard Engrossed Second Substitute Senate Bill 5061, which would require annual adjustments to prevailing wage rates in most public works contracts, with exemptions for small works, residential construction, and certain other projects. Staff described the bill’s delayed effective date of July 1, 2028 and reviewed fiscal impacts, including significant L&I operating costs and an indeterminate but potentially substantial capital cost impact. Senator Steve Conway said the bill was a technical fix to align contract wages with regularly updated prevailing wage rates and noted that the bill had been amended to exempt small works and low-income housing projects. Proponents from labor and mechanical contractors said annual updates would better reflect negotiated wage schedules and help retain skilled workers, while opponents from contractor groups warned of unpredictability, higher project costs, and the need for a change-order safeguard if wage increases exceed 5%. L&I testified that the fiscal note reflected the need to rework its IT system to track annual adjustments. The hearing was then closed. The committee also received a briefing on a proposed substitute to House Bill 2295, which would add funding for several new projects and make technical and language changes. Staff said the substitute would increase spending by $611,000 in bonds and $3 million from the Waste Tire Removal Account. The committee then moved into executive session and, by a vote of 18-0 with one excused, reported proposed substitute House Bill 2295 out of committee with a do-pass recommendation. The chair also announced plans for future executive sessions, including one on Substitute Senate Bill 5901, and adjourned the meeting.

Transcript Highlights:

• If we just make this a product of budget discussions and we pass a budget at the same time we pass it
• A couple of things regarding the budget: we will do a budget this year.
• It will be a balanced budget.
• Budgeting in the Arizona legislature should budget for services for Arizona.
• to balance the budget, and I am willing to commit that... ...million dollars a year in this budget to

Keywords: 1182, all

Summary: The joint House Ways and Means and Senate Finance committees met to hear identical conformity bills, HB 2153 and SB 1106, which would align Arizona tax law with the federal Internal Revenue Code as of Jan. 1, 2026, including some retroactive provisions for tax year 2025. Staff explained that the bills would exclude three federal provisions: the higher federal SALT deduction, the new senior deduction as written in H.R. 1, and the deduction for interest on new car loans. They would instead include a $6,000 retirement-income deduction for taxpayers age 60 and older, a $6,000 Roth IRA contribution deduction, a higher dependent tax credit, and a deduction for child and dependent care expenses above the federal credit. JLBC estimated the package would reduce general fund income tax revenue by about $441.3 million in FY 2026. Members also discussed that the Department of Revenue’s forms had been issued assuming full conformity, and staff and supporters argued the bills were needed quickly to avoid confusion and amended returns during filing season. Committee members and sponsors largely framed the bills as tax relief and a way to provide certainty for taxpayers and preparers. Supporters said the package would help families, seniors, and workers, and noted that the Arizona version was negotiated to keep the overall tax relief roughly comparable to full conformity while shifting benefits away from the SALT deduction and toward child credits, retirement income, and child care. The sponsors also criticized the governor’s executive action and urged prompt passage so taxpayers would know how to file. Opponents argued the bills would reduce state revenue, worsen the budget outlook, and disproportionately benefit higher-income taxpayers and corporations. Several witnesses and members also raised concerns about the child care deduction, the retirement-income deduction, and the business expensing provisions, while supporters responded that the bill was designed to help working families and encourage saving and investment. Public testimony was mixed. The Arizona Society of Certified Public Accountants and the Arizona Free Enterprise Club supported the bills, emphasizing early conformity, filing certainty, and reduced confusion for taxpayers and software providers. Opponents included Save Our Schools Arizona, the Arizona Center for Economic Progress, Opportunity Arizona, and several individuals, who argued the package would deepen budget problems and favor the wealthy. One witness objected to a federal school-choice-related provision she said was being tied to the bill, though committee members said the measure before them was a tax conformity bill and not a school finance bill. The hearing included extended debate over the fiscal impact, the governor’s prior requests for some of the same tax changes, and whether taxpayers would need to file amended returns if the legislature later changed course. The transcript ends during testimony from NFIB, with no final committee vote or action shown in the excerpt.