Transcript Highlights:

• We heard it last year, and last year our state incurred over $6 billion in disaster impacts across the
• Over $6 billion in disaster impacts across the state.
• We can also store drought impacts. We can store intense heat. Not just water.
• We can also store drought impacts. We can store intense heat.
• We can store storm impacts in our parks.

Committee: House Conservation and Natural Resources

Transcript Highlights:

• I was just curious of the impact or why it's on page 501 and 502.
• </c><01:34:21.080><c> to</c> build language there was no impact to build language there was no impact
• <03:19:06.600><c> on</c><03:19:06.760><c> the</c><03:19:06.920><c> entire</c> impact on the entire impact
• That will impact our revenue a little bit, but we planned for that.
• </c><04:33:45.279><c> at</c> the I think the rate of inflation at the I think the rate of inflation at

Summary: The committee reviewed the Department of Corrections budget, with the chair initially noting that the overall numbers looked close to fiscal year 2024 spending, except for federal funds. Department officials explained that prior ARPA expenditures and delayed revenue recognition had distorted the comparison, and that the corrected general fund spend was about $169.7 million. Members then focused on whether the budget’s staffing assumptions were realistic, especially the shift from overtime to full-time lines and the use of vacant positions to offset overtime costs. The department said it is leaning on vacancy savings, but would return for additional appropriations if unforeseen staffing problems arise. A major portion of the discussion centered on recruitment, retention, and staffing levels. Officials reported a 42% vacancy rate in enforcement ranks, down from 51% in January 2023, with 28 new officers headed to the next academy and 33 new hires already tracked. They said overtime is more expensive than regular staffing because of benefits and that it takes about 11 months for a new hire to break even. Members also asked about the split between incarcerated and supervised populations; the department said it oversees about 1,970 inmates in facilities and just over 4,000 people in the community, with 77 positions supervising the community population and the inmate population remaining the most expensive area. The committee also discussed how sentencing and statutory changes affect incarceration levels, including misdemeanor/felony thresholds and theft thresholds, with the department agreeing that such changes can significantly affect prison and jail populations. Members asked about education and recidivism, and the department said base education is the most important foundation, followed by vocational training, while noting that many incarcerated men lack a high school diploma. The department also described a $1.3 million reduction in contracted forensic evaluation services, explaining that these evaluations are court-ordered competency assessments and are not statutorily required to be provided by DOC. Finally, members reviewed victim services funding and staffing, including VOCA-supported positions, and the department explained that a new victim witness specialist would help support survivors at parole hearings and safety planning.

Transcript Highlights:

• Inflated claims costs drive up our premiums.
• And it's the same in the built environment when you use non-combustal on tier. impacts fire behavior,
• I believe there was a report that was just released back in May that studied the impacts of Hurricane
• Businesses that interact with children are being impacted to the point that it affects their ability
• So the study looked into various types of insurance coverage that may be impacting them.

Summary: The Consumer Protection and Business Committee held public hearings on three bills and then moved into a work session on insurance-related topics. House Bill 2428 would require life insurers to send advance written notice of an impending lapse or cancellation, including notice to a designated third party, and to provide proof of delivery; it would also require applicants to be told they may designate such a third party. The prime sponsor and the Office of the Insurance Commissioner supported the bill as a consumer protection measure for older or vulnerable policyholders, while the life insurance industry supported the concept but requested a delayed implementation date and a small technical amendment. The committee then heard House Bill 2399, which would prohibit post-loss assignments of benefits in property insurance. Staff and the prime sponsor described the practice as allowing contractors to step into the policyholder’s shoes and potentially take control of claims, litigation, and settlement, often to the consumer’s detriment. The Office of the Insurance Commissioner, the Washington State Association for Justice, PEMCO, and the National Insurance Crime Bureau all supported the bill, emphasizing consumer vulnerability after disasters and the risk of fraud or inflated claims. Members asked about steering by adjusters, alternative ways for homeowners to authorize others to help with claims, and the $50,000 per-violation penalty, which would go to the general fund. House Bill 2087 would enact a Washington Travel Insurance Act based on the NAIC model, creating a more detailed statutory framework for travel insurance licensing, travel retailers, travel administrators, disclosures, and prohibited sales practices. The sponsor and industry witnesses said the bill would expand consumer choice and standardize rules, while the Office of the Insurance Commissioner supported the compromise language but raised a remaining concern about claims being adjusted by unlicensed adjusters. The Attorney General’s Office testified that the bill should not be read to supersede Washington’s anti-discrimination and consumer protection laws, and the sponsor said amendments were being worked on to address that concern. In the work session, OIC and Department of Natural Resources staff presented the wildfire mitigation and resiliency work group report. They said the group reached consensus on several areas, including the importance of community-level mitigation, better data sharing, improved transparency around wildfire-related nonrenewals and cancellations, and a voluntary grant program to help homeowners retrofit to IBHS wildfire-prepared standards. Members asked about leadership for the recommendations, overlap with existing programs, privacy concerns in data sharing, and how the proposals would fit with broader statewide wildfire planning. The committee also received a briefing on flood insurance markets and claims after the December atmospheric flooding event, with staff noting that private flood policies generally offer broader coverage than the federal NFIP, and that Washington had seen about 700 federal claims and roughly $18 million paid out so far.

Transcript Highlights:

• </c> throughout the day that are impacts throughout the day that are impacts driven<00:27:01.760><c>
• When we are talking about impacted.
• </c> growing two times the rate of inflation. growing two times the rate of inflation.
• </c> decisions impacted by other agencies. decisions impacted by other agencies.
• </c> decisions impacted uh by other agencies. decisions impacted uh by other agencies.

Transcript Highlights:

• So the next three slides really show you the impacts of classification rates in the net tax capacity
• </c><00:10:47.240><c> of</c><00:10:47.880><c> um</c><00:10:48.440><c> of</c> show you the impacts of
• um of show you the impacts of um of classification<00:10:49.440><c> rates</c><00:10:49.760><c> in</c>
• Another way to look at the impacts of classification is on slide 12.
• When this levy was first created, it was indexed to inflation and increased every year.

Committee: House Taxes

Transcript Highlights:

• </c><01:19:36.800><c> in</c><01:19:36.960><c> a</c> haven't had 3% annual inflation in a haven't had
• 3% annual inflation in a long<01:19:37.280><c> time.
• It's worse when you retire, and it gets worse the older you get, and inflation is going to eat it up.
• </c> get and inflation is going to eat it up. get and inflation is going to eat it up.
• </c><01:39:29.440><c> PERS</c> passes a lot of laws that impacts PERS passes a lot of laws that impacts

Transcript Highlights:

• So by suspending it, what will be the impact?
• It will have major impacts upon rates and upon funding.
• It will have major impacts upon rates and upon funding.
• So we do have that impact. We can understand some of those impacts on our priorities.
• So we do have that impact. We can understand some of those impact our priorities.

Committee: Joint Select Committee on Pension Policy

Summary: The Select Committee on Pension Policy executive committee met to approve the November minutes, which were adopted by voice vote. The committee then received an update from the Attorney General’s Office on two ongoing cases, Fowler and Joel Lynn, with briefing and oral argument timelines still pending. Michael Harbour of the Office of the State Actuary provided an actuarial update focused on ESSB 5357, explaining that the bill raised the assumed investment return from 7% to 7.25%, suspended UAL contribution rates for four years, and changed amortization for past benefit improvements; members asked for clarification on how those changes would affect long-term funding and contribution rates, especially for Plan 1 systems. A substantial portion of the meeting was devoted to committee discussion of interim priorities and the need for more analysis of recent pension legislation. Members emphasized the importance of understanding the fiscal impacts of ESSB 5357 and related pension changes before the September economic experience study, and several asked staff to provide a more preliminary walkthrough of the bill’s effects. The committee also discussed the LEOFF 1 study and broader questions about overfunding, including when a plan should be considered overfunded and whether overfunding should be addressed through merger or closure proposals. One member suggested reviewing the operating budget’s excess compensation proviso during the interim as well. Staff reviewed the draft 2025 interim work plan, proposing June topics including election of officers, a presentation on SB 5357 and its actuarial implications, and an initial LEOFF 1 study kickoff based on SB 5085 and HB 2034. The committee also placed excess compensation and demographic experience study items in a parking lot for possible later scheduling. The June agenda was adopted by roll call vote, with three ayes and three members absent or excused, and the meeting adjourned after no further business.

Transcript Highlights:

• And what this does is it allows the VC to leverage additional funds from the state to make a more impactful
• But if the state starts buying up water rights, isn't that going to inflate that rate?
• point, a private individual is not going to be able to purchase water rights because the state has inflated
• fixes technical drafting issues identified by LFC, and now that these issues are fixed, the financial impact
• to the health care authorities' analysis for the bill, where it explains that there are no Fiscal impact

Committee: Senate Senate Finance

Transcript Highlights:

• And quite frankly, I think what we're seeing with compacts is The impact, if you will, of how medicine
• Rather than keep a static number, it doesn't change with inflation.
• We also know that the administrative burdens of children, youth, and families impact our indigenous and
• experience some of the highest rates of intimate partner violence in the nation with devastating impacts
• For your information, this bill does not negatively impact. Medicaid's ability to pay for vaccines.

Committee: Senate Senate Health & Public Affairs

Transcript Highlights:

• It sounds like projects limited to statewide impact, does that rule out the XL request?
• We're already seeing those impacts here in the state of Minnesota.
• We have not had a ton of detailed conversation about the impact of the federal cuts.
• </c> detailed conversation about the impact detailed conversation about the impact of<00:18:04.000><c
• </c><00:24:04.000><c> their</c> Washington and how it impacts their Washington and how it impacts their

Transcript Highlights:

• , specific impacts on the ground of this work.
• So I can follow up more on details on those regional impacts. I would like that.
• You know, I understand the impact on local...
• And fiscal impact.
• Right by the people because at the end of the day, it impacts us all.

Summary: The subcommittee first received an informational update on the Governor’s Office of Service and Community Engagement (GoServe), including California Volunteers, the Office of Community Partnerships and Strategic Communications, and the Youth Empowerment Commission. GoServe reported strong participation in College Corps, Youth Service Corps, and Climate Action Corps, along with outreach results from OCPSC and the Trusted Messenger Network. The Department of Finance said the programs remain a priority but noted prior budget reductions, while the LAO said it had no new recommendations. Committee members raised questions about program diversity, geographic reach, administrative costs, and whether the programs duplicate existing volunteer opportunities; one member criticized the programs as costly and duplicative, while another emphasized the value of volunteerism and asked about the men’s service challenge. The item was informational only. The committee then heard an overview of the Board of Equalization’s property tax responsibilities and its first budget proposals since the 2017 reorganization. BOE described its role in county assessment oversight, state-assessed property valuation, and related tax administration. Members asked about BOE’s interaction with counties, property tax reassessments, and local tax notices; BOE explained it mainly works with county assessors and handles technical property tax questions, while local special district charges are generally outside its scope. The committee also considered a BOE proposal to implement SB 293, which would give additional time for certain intergenerational property tax transfer claims after the 2025 wildfires. BOE requested $154,000 for guidance, public materials, and inquiry response work, saying the change is urgent for wildfire-affected families, especially in Altadena. The LAO had no concerns, and the item was held open. BOE also presented an information technology modernization proposal for its state-assessed property program, seeking $3.2 million in 2026-27 and $3.1 million in 2027-28 to replace a 30-year-old mainframe system. BOE said the current system relies heavily on manual data entry and paper processes, creating inefficiencies, cybersecurity risks, and delays, while modernization would free staff for more audits and valuation studies. The LAO supported the need but urged a high bar for new IT projects; Finance said the project met the threshold of necessity. Members generally supported the upgrade but asked about audit gains, revenue impacts, and implementation risks, and the item was held open. Finally, CDTFA gave its department overview and then discussed a proposal to require all delivery network companies, such as Uber Eats and DoorDash, to be treated as marketplace facilitators for sales tax purposes. CDTFA said the current carve-out creates confusion for restaurants and small businesses because some DNCs collect and remit tax while others do not, and the change would improve compliance and shift reporting to larger platforms. Members debated whether the proposal amounts to a tax increase for consumers, with CDTFA and Finance arguing it is a consistency and compliance measure rather than a new tax, while others said it would likely raise consumer costs. The committee also discussed broader CDTFA issues, including local sales tax districts, revenue-sharing agreements, and the growth of special taxing jurisdictions. No votes were taken, and the agenda items were informational or held open.

Transcript Highlights:

• But this will have some serious, some very serious impacts to my district.
• There's a huge disproportionate impact that happens.
• Thank you so much for your work to mitigate the impacts of HR1.
• Thank you so much for your work to mitigate the impacts of HR1.
• Impacts and changes that are not going to be great for consumers.

Committee: House Budget

Transcript Highlights:

• , specific impacts on the ground of this work.
• So I can follow up with more details on those regional impacts. I would like that.
• some state policies and regulations that could really have statewide fiscal impacts.
• You know, I understand the impact on local— I represent Los Angeles.
• And fiscal impact.

Transcript Highlights:

• They really hadn't been adjusted at all for inflation.
• The exemptions, the inflation exemption is at 513.423. That's a new section of law.
• And this matches how the federal exemptions are kept up to date by an inflation adjustment.
• How the federal exemptions are kept up to date by an inflation adjustment.
• Joplin, we were just getting these adjusted. how the federal exemptions are kept up to date by an inflation

Committee: House Financial Institutions

Summary: The committee first met in executive session on House Bill 2116, which drew comments about children’s education and an amendment offered by Representative Hinman. Hinman explained the amendment would phase out the Missouri tax subtraction for contributions to non-Missouri 529 plans for new users beginning January 1, 2027, while allowing existing users to continue. The committee adopted the amendment, rolled it into a substitute, and then voted the House Committee substitute do pass by a vote of 11 yeas, 3 nays, and 1 present. Hinman also noted concerns from the investment community about the absence of an advisor-sold 529 option and urged the department to work toward restoring it. In public hearing, Representative Lane Roberts presented House Bill 1870, a garnishment and exemption update that would modernize long-outdated exemption amounts, tie some amounts to CPI adjustments, increase the homestead exemption, and create new procedures for garnishment of financial institution account funds. The Missouri Bankers Association supported the bill, saying it was the product of extensive work with stakeholders and would improve efficiency and reduce legal risk for banks, while also protecting debtors’ rights. Questions focused on joint accounts, business accounts, and notice to account holders; a private attorney speaking in opposition argued the bill could improperly shift burdens onto non-debtor account holders and raised concerns about tenancy by the entirety, corporate accounts, and equitable garnishment. Representative Castile then presented House Bill 2586, which would lower the minimum credit union membership share from $25 to $1 and allow credit union board and committee meetings and voting by electronic means. The Missouri Credit Union Association supported the bill, saying it would improve access for members who need the $25 and help boards meet despite weather or distance, while also aligning state law more closely with federal practice. Finally, Representative Oehlerking presented House Bill 3107, the “Safe Harbor” bill, which would shield financial institutions from civil liability under state law when they act in good faith reliance on written guidance from regulators, while excluding fraud, intentional misconduct, willful wrongdoing, and gross negligence. Credit union and banking representatives supported the measure as a defense against costly litigation based on compliance with required forms and guidance, while an opposing attorney argued the bill relied on nonpublic agency guidance, raised separation-of-powers concerns, and could leave consumers without recourse; witnesses also discussed possible examples such as overdraft fee litigation and the need for any guidance to be public and reviewable.

Transcript Highlights:

• primary concerns we have seen throughout the state are the predatory billing practices on consumers, inflated
• primary concerns we have seen throughout the state are the predatory billing practices on consumers, inflated
• consumers</c> predatory billing practices on consumers predatory billing practices on consumers inflated
• charges</c><00:23:07.559><c> during</c><00:23:08.240><c> holds</c><00:23:08.720><c> initiated</c> inflated
• charges during holds initiated inflated charges during holds initiated for<00:23:09.600><c> civil</c

Summary: The House Transportation Committee met with a quorum and approved the minutes from its previous meeting. It then considered several transportation-related bills, beginning with House Bill 157 on special license plates. The bill, as amended by a committee substitute, would create a commercial Friends of Agriculture plate to support agriculture-related programs, with proceeds going to the same fund used by the existing farm tag. Members also discussed the committee substitute’s fee exemptions for military-related plates, and the bill was reported favorably with the substitute attached. The committee next took up House Bill 682 on utility relocation. Testimony from Charter Communications explained that the bill would update outdated law so cable and broadband providers are treated like public utilities for reimbursement when forced to relocate facilities for highway projects, while preserving the Transportation Cabinet’s discretion over reimbursements. Members asked about the current reimbursement process and fiscal impact; witnesses said the bill does not change cabinet discretion and therefore has no fiscal note. The bill was reported favorably. House Bill 443, which would shift the east end signage of the H. Rogers Parkway farther east to US 23 in Prestonsburg to reflect the already four-laned section and support future federal funding efforts, also received favorable expression. House Bill 444, a commercial driver’s licensing measure brought by the Transportation Cabinet and amended by committee substitute, would align Kentucky reporting requirements with federal law and allow drivers age 18 and older to qualify for a hazardous materials endorsement, with limits excluding school buses and interstate transport. Members discussed the safety rationale and the need for drivers in agriculture and propane delivery; the bill was reported favorably with the substitute attached. Finally, the committee heard House Bill 493 on towing and storage of motor vehicles. Representative Pollock and a Kentucky Farm Bureau Insurance witness described it as a cleanup bill aimed at transparency and enforcement against predatory towing and inflated charges, and members noted constituent concerns about towing practices. The bill was reported favorably with a committee substitute attached. The committee also reviewed Administrative Regulation 600 KAR 1:041, which updates disadvantaged business enterprise certification rules to conform to federal nomenclature and related federal changes; the regulation was reviewed without further action.

Transcript Highlights:

• Some will say this bill is a lot of hot air, but I'm glad you're inflating this issue to ensure that
• Some will say this bill is a lot of hot air, but I'm glad you're inflating this issue to ensure that
• ways to do it rather than saying, I understand it became a tradition, but I think the environmental impact
• Wildlife, of course, has a significant impact from this type of litter.
• Collectively, it's going to really make an impact on our industry, and I'm very pleased and happy to

Committee: House Natural Resources & Environment

Transcript Highlights:

• economy and everything else, have you had any type of conversation with them to see how this would impact
• I would like to know what will be the impact on OFR to implement this bill.
• What would be the physical impact? Do we know yet? You recognized? Thank you, Mr. Chairman.
• What's the physical impact? It's indeterminate at this point.
• I just wanted to remind our people who are watching from home that credit card will not be impacted,

Summary: The Insurance and Banking Subcommittee met to hear and vote on several bills, with all measures reported favorably. The first major item was PCS for HB 175 on payment stablecoins, which would create a Florida regulatory framework aligned with the federal GENIUS Act so issuers can choose state regulation instead of federal licensing. Members asked extensive questions about how stablecoins differ from other digital assets, whether Florida would need federal approval, and what impact the bill would have on the Office of Financial Regulation; the sponsor and OFR said the state framework would mirror federal standards and that any workload increase was currently indeterminate. The PCS passed unanimously after testimony from OFR and the Florida Blockchain Business Association in support. The committee then approved CS for HB 961, which streamlines electronic signature requirements for salvage titles and certificates of destruction, and HB 1415, a DFS stablecoin pilot program allowing certain stablecoins to be used for licensing and regulatory fees. HB 1415 was amended to remove authority for a Florida coin, limit the pilot to established stablecoins with at least $1 billion market cap, and require secure custody through a public depository or custodial bank. Members discussed how any interest or revenue would be used, with sponsors saying the pilot was still exploratory and intended mainly to cover program costs. Both bills passed favorably. HB 1039, establishing a state cryptocurrency reserve, also passed after a strike-all amendment moved administration of the reserve from the CFO’s office to the State Board of Administration and tightened eligibility to cryptocurrencies with a $100 billion market cap over the prior 12 months. Supporters argued the bill would create a framework for future diversification and investment in established digital assets, while several members raised concerns about volatility, reporting frequency, and the meaning of new terms such as qualified liquidity provider and secure custody solution. The committee also passed CS for HB 951 on penny rounding for cash transactions, with an amendment clarifying cash transaction definitions and treating money orders and gift cards like credit-card transactions for rounding purposes.

Transcript Highlights:

• As we know, this legislature, and this committee in particular, has made impactful investments in Washington's
• Substance use disorder also disproportionately impacts our industry.
• The Board is here testifying as other, only as we are waiting whether there is a fiscal impact.
• Adjusted for inflation, growers are earning far less today than prior generations.
• Adjusted inflation, growers are earning far less today than prior generations.

Bills: HB2405 , HB2406 , HB2471 , HB2478 , HB2492

Committee: House Labor & Workplace Standards

Keywords: mental health, PTSD, treatment program, research, pilot program, veteran support, trauma, healthcare funding, labor, communication, Department of Labor and Industries, workplace standards, modernization, collective bargaining, labor relations, employee rights, union representation, non-covered employees, wage enforcement, labor standards

Transcript Highlights:

• again, mine continues to grow, uh, but, but to my knowledge, no one's budget has gone down with inflation
• you could execute $1 contracts for position after position after position and grow, artificially inflate
• These shortages can have devastating impacts, jeopardizing the safety of our offices and public at large

Transcript Highlights:

• WSDOT reports a base fiscal impact of $16,000 annually for 0.7 FTE ongoing to provide subject matter
• Commerce reports an indeterminate fiscal impact due to the amount of tribal facilitation and dispute
• That would be a non-transportation impact.
• FIMSIP reports no fiscal impact for its participation in program development, and the impact to local
• FIMSIP reports no fiscal impact for its participation in program development, and the impact to local

Committee: House Transportation