Transcript Highlights:

• and Washington Management Service.
• The contracts need to be affordable, and they need to be funded by this legislature.
• the contract or changed in the contract?
• That was the first time that we've had the legislature turn down a contract.
• So as you look at these contracts, how do you look at PFML and the contracts that you're negotiating

Summary: The Joint Committee on Employment Relations met on May 8, 2026, to review goals and objectives for the 2027–2029 master collective bargaining cycle and to hear updates on higher education and Washington Management Service bargaining. OFM’s Jenny Sheehan outlined the state workforce, noting that most employees are represented, the workforce remains heavily governed by civil service rules and CBAs, and the state is entering bargaining under a constrained hiring and budget environment. She described the bargaining timeline, the role of the June revenue forecasts in determining whether targeted compensation increases can be funded, and the state’s goals of affordability, maintaining labor relations, supporting equity, and addressing non-economic issues such as AI use, leave, immigration-related workplace concerns, and union access in a hybrid work environment. Sheehan also reviewed the 2025–2027 bargaining cycle, including the prior WPEA ratification issue and the requirement that tentative agreements be submitted by October 1 for financial feasibility review and possible legislative funding. She said the 2025–27 agreements cost about $1.2 billion in general funds and $1.7 billion total, excluding the later-funded WPEA agreements. In response to a question, she explained that paid family and medical leave is not bargained over directly because it is governed by statute and ESD rules. She then presented on Washington Management Service bargaining, explaining that only certain WMS employees are eligible to bargain, that representation remains small, and that current WMS contracts are handled through addenda to existing agreements. She also described interest arbitration for certain groups, including ferries and public safety-related employees, and said arbitration awards still must be financially feasible and submitted by October 1. The committee also heard from Western Washington University and the University of Washington on higher education bargaining. Western described its locally bargained contracts, the importance of local bargaining for workload, tenure, grievance, and safety issues, and the impact of the state fund split on budget planning. Western said it has no state funding for student compensation and has requested inclusion of student employees in the wage base. UW outlined its large workforce and the different bargaining frameworks under RCW 41.56 and 41.80, emphasizing that state funding and tuition make up only a portion of its budget and that the fund split and health care cost increases significantly affect compensation planning. UW also highlighted its request for state funding for academic student employee compensation, saying rising costs are reducing the number of positions and affecting class sizes and the academic pipeline. No votes were taken, and the meeting adjourned after members discussed the upcoming bargaining and arbitration timelines.

Transcript Highlights:

• Today we operate four full-service health centers.
• services at our...
• The significant investment we make in these services is interpreter services at our health centers.
• That's a non-billable service.
• services, get paid the same rates as the PBM-owned pharmacies that provide these same services.

Keywords: 995, all

Summary: The committee held a lengthy hearing on a large docket of pharmacy and drug-pricing bills, with most testimony focused on PBM reform, 340B drug discount program protections, specialty medication access, and medication adherence. Chair James Murphy and Senator Paul Feeney opened the hearing and took testimony from legislators, patient advocates, pharmacists, health center leaders, industry representatives, and policy groups. Several speakers described delays, denials, high out-of-pocket costs, and pharmacy closures tied to PBM practices, while others emphasized the importance of community health centers and independent pharmacies in serving patients. On the 340B program, supporters including Senator Eldridge, Senator Payano, Community Care Cooperative, Fenway Health, the Massachusetts League of Community Health Centers, and several community health center leaders argued that bills such as H. 1107 and S. 819 would stop discriminatory PBM and manufacturer practices, preserve contract pharmacy access, and protect safety-net providers that say they reinvest savings into care, pharmacy expansion, interpreter services, behavioral health, and other services. Opponents including PhRMA, the Community Liver Alliance, and a public policy analyst argued the program lacks transparency and accountability, has grown beyond its original purpose, and may benefit large hospitals and for-profit entities more than low-income patients. They urged more reporting and oversight rather than expanding protections. On PBM reform, testimony supported bills including H. 1157, H. 1234, S. 724, S. 831, and related measures that would require rebate pass-through, ban spread pricing, limit steering to PBM-owned pharmacies, and improve reimbursement for community pharmacies. Independent pharmacists and patients said current PBM practices raise costs, create administrative burdens, and threaten access to local pharmacies. PCMA, representing PBMs, opposed the reforms, arguing PBMs lower costs, that plan sponsors choose to contract with them, and that the Health Policy Commission and CHIA should complete their ongoing study before new mandates are adopted. The committee also heard support for H. 1322 and S. 734 on specialty medications, and for H. 781 and H. 1305 on medication synchronization to improve adherence. No votes or formal actions were taken during the hearing.

Transcript Highlights:

• AB 339 is a simple measure to ensure that civil service employees who have a contract and the expertise
• for particular services or where contracting out is contemplated in the MOU.
• for particular services or where contracting out is contemplated in the MOU.
• Historically, California has contracted out civil service positions within CDCR and the California Correctional
• California should be using its civil service physicians who want to do good work for this state to service

Summary: The Assembly Committee on Public Employment and Retirement met for its first hearing of the session, adopted committee rules, and heard several labor-related bills. The chair reviewed hearing procedures, including limits on testimony and expectations for orderly conduct. Members then took up measures affecting public employee bargaining, contracting, confidentiality, school employee benefits, pay stub information, and state correctional health staffing. AB 672 would require public employers to notify PERB when filing court actions involving statutes PERB administers and allow PERB to intervene; it drew support from SEIU, AFSCME, school employees, labor groups, and no opposition, and was passed out of committee. AB 283 would move IHSS bargaining from the county to the state level; providers and recipients testified about low wages, long delays in bargaining, and care access concerns, while counties and public authorities raised cost, scope, and implementation issues. The bill passed 7-0 after members discussed family care worker concerns and the author said he would continue working on the issue. AB 339 would require local governments to give unions 120 days’ notice before contracting out bargaining-unit work. Labor supporters said the bill would make existing meet-and-confer rights meaningful and protect jobs, while counties, cities, special districts, chambers of commerce, and staffing groups argued it would burden local agencies and interfere with existing MMBA procedures. The committee also heard AB 340, which would make communications between employees and union representatives confidential for PERB purposes; supporters said it codified existing case law, while school administrators, special districts, counties, and business groups warned it could hinder investigations. AB 378 would extend the classified school employees summer assistance program to JPA employees, and AB 374 would require more detailed pay stubs for classified school employees; both had labor support and some education-sector opposition over implementation and cost concerns, and both advanced. AB 393 would require cost analyses before contracting out physician work at CDCR and the Department of State Hospitals; supporters argued the state was overpaying contractors amid high vacancy rates, and the bill also advanced. At the end of the hearing, the committee recorded final votes showing AB 283, AB 340, AB 374, AB 378, AB 393, and AB 672 all passing out of committee, while AB 339 remained on hold with a 4-0 vote and some members not voting.

Transcript Highlights:

• contract.
• of medical services.
• establish contract.
• Are there any services that are going to be excluded from the contract? No, not right now.
• or ability to delivery of services or ability to contract<00:18:38.280> them<00:18:38.520>

Keywords: 958, all

Summary: The committee heard an overview from Department of Juvenile Justice Commissioner Randy White on the state’s juvenile detention network and several facility projects. He identified the currently operating detention centers as Boyd County for females, Breathitt County for low-risk males, Fayette County for high-risk males, Adair County for high-risk youth from Jefferson and surrounding counties, Warren County for high-risk males, and McCracken County for low-risk males. Members asked about capacity and staffing; White said Boyd County houses 33 and is usually near full, Breathitt County is about half full, Fayette County runs about 80-90% full, Campbell County’s operational limit is about 25 due to staffing, Adair County can hold 60 and has hit capacity several times this year, Warren County holds 43 and usually runs near capacity, and McCracken County holds 43 and is not currently full. He said staffing is generally harder in higher-risk facilities and in metropolitan areas because of wages and housing costs. White then updated the committee on the Louisville Detention Center downtown renovation and the Lyon facility project. For the Louisville downtown facility, he said schematic design and design development are complete, construction documents are expected by late February or early March, bids are anticipated in April, and completion is projected for March 2027. He explained the delay is due to extensive renovation work needed to bring the building up to current building, life-safety, ACA, and PREA standards, including security, mechanical, electrical, plumbing, food service, and roof work. The project is designed for 64 beds for high-risk Jefferson County boys, with the facility currently vacant and those youth being housed in Adair County and Campbell County. For the Lyon project, he said the contract was issued November 21, 2024, demolition is underway, completion is expected June 14, 2026, and the facility will have 34 beds in four pods for low-risk offenders; he said the project appears to be on time and on budget within the $4.5 million authorization. The committee also discussed the medical services contract. DJJ officials said they are reviewing whether to continue with the current state contract provider, Wellpath, or pursue an RFP, while retaining current merit staff and continuing oversight through four nurse program administrators. They said DJJ uses a state master agreement to staff nurses, APRNs, and the chief medical officer, and that the current contract is about $20 million per year. Members asked about Wellpath’s bankruptcy filing; officials said they were aware of it, asked questions, and were told it would not affect Kentucky service delivery or contracting, though they could not recall the bankruptcy type and offered to provide more detail later. They also said DJJ is working with the Cabinet for Health and Family Services to become a Medicaid provider, and any future contractual partner will need to be a Medicaid provider. Finally, White described the proposed high-acuity juvenile mental health treatment facility. He said DJJ must accept court-ordered youth even when they have severe mental illness, but detention centers are not equipped to treat those youth and private psychiatric hospitals often refuse them or discharge them early. He argued that a dedicated secure treatment facility is needed for a small number of highly violent, high-need youth who require intensive psychiatric care and are disruptive in detention. The facility would provide behavioral and psychiatric treatment, reduce delays caused by lack of beds or outside placements, and serve youth determined by clinical assessment to need a secure treatment environment. No votes were taken during the discussion.

Transcript Highlights:

• Contracted services cost sometimes less than directly operated service.
• We have a regional goal to contract roughly 20% of regular route services.
• Other providers in the region also contract their services out.
• Other providers in the region also contract their services out.
• c> service<00:13:54.720> is<00:13:54.959> that when we're contracting service is that

Keywords: 919, house, all

Summary: The committee heard a Met Council report from Charles Carlson on high-subsidy transit route analysis required by the transportation bill. Carlson explained that the study uses per-passenger operating subsidy, compares routes by type and service day, and is intended to help providers improve cost-effectiveness while recognizing transit’s importance for access, affordability, safety, and the region’s economy. He noted that routes more than 60% above peer averages are considered the highest-subsidy tier, and that the report also estimates the cost of Metro Mobility associated with those routes. Members asked several questions about why contracted service can cost less than directly operated service, whether contracting affects wages, union membership, or service quality, and why the Met Council targets about 20% of regular route service for contracting. Carlson said contracted service can be cheaper because of lower overhead and other market factors, that the council sets minimum wage and service-quality requirements in contracts, and that customers should not notice a quality difference. He also said the 20% target is meant to balance cost-effective service, geography, and a mix of providers, and that some routes may become more cost-effective with more frequent service depending on local demand. Carlson reported that in 2024, 206 of 264 routes met guidelines, 16 were in the lowest intervention tier, 14 in the middle tier, and 28 were in the highest-subsidy tier. He said the regional share of high-subsidy service was about 4.1%, but the share varied widely by provider, with some at 0% and others much higher. He estimated that discontinuing the highest-subsidy routes would save about $23 million annually and up to $72 million in capital costs. For Metro Mobility, he said the cost associated with trips tied to high-subsidy routes rose from about $368,000 in 2023 to about $6.1 million in 2024, largely because the mix of routes triggering federally mandated paratransit service changed, especially in the Shakopee area.

Transcript Highlights:

• They usually have their boats in service for 25 or 30 years. We have ours in service for 60.
• They come out for annual service.
• So is there actually dates in the contract, or is that not in the contract? So I understand.
• Is there actually dates in the contract, or is that not in the contract?
• to restore full service.

Summary: The committee met to hear an update from Washington State Ferries on capital projects and workforce issues, beginning with a briefing on the agency’s long-term fleet and terminal needs. WSF officials described the history of underinvestment after the late 1990s, the current fleet reduction from 25 to 21 vessels, and the need to keep older boats in service while moving toward a 26-vessel long-range fleet and hybrid-electric operations. They said the agency is transitioning to a new vessel procurement strategy, with Eastern Shipbuilding selected to build up to three 160-car hybrid-electric ferries, and outlined a schedule that includes contract execution, about a year of design work, steel cutting in fall 2026, and several years of construction. Members raised concerns about the higher cost of electrified vessels, the length of the schedule, the adequacy of liquidated damages and incentives, the risks of building in Florida and transporting vessels to Washington, and whether the contract sufficiently protects the state from cost overruns and design problems. The committee also received an update on the Wenatchee conversion, which officials said is days away from entering service as the first large hybrid-electric ferry conversion. WSF explained that the conversion combined required midlife preservation work with propulsion upgrades and battery installation, and that the project took longer and cost more than originally expected because it was a prototype with significant lessons learned. Officials said the Tacoma and Puyallup conversions would follow later, but those decisions were being delayed until after the World Cup to avoid service disruptions. Members asked about the cost-effectiveness of the conversion, the expected fuel and emissions reductions, and what happens to engine crews during long conversion periods; WSF said crews were embedded in the project and that the conversions should reduce diesel use substantially once terminal charging is available. The meeting then shifted to workforce development, with Siegel consultants reviewing their 2021 and 2024 studies of ferry staffing, overtime, recruitment, and workplace culture. They said the earlier problems stemmed from seasonal staffing practices, low winter hours, limited career progression, a narrow maritime recruiting pipeline, and a culture that made retention difficult. Since then, they reported major improvements: staffing has increased from about 1,500 to 1,900, turnover has fallen, captain and engineer shortages have eased, and recruitment has broadened beyond the traditional maritime pool, including more women and other underrepresented workers. They credited new programs such as guaranteed hours, paid pilotage, AB-to-mate pathways, and the “Turning of the Tide” culture campaign, while noting remaining issues with communication, HR access, accountability, and quality of life. Members generally acknowledged the progress but asked whether staffing levels are now sufficient and how interchangeable crews are across vessels and routes. Finally, terminal engineering staff began a presentation on capital terminal work, starting with the Fauntleroy Ferry Terminal. They described the terminal’s age, low elevation, vulnerability to sea level rise and earthquakes, and the need for replacement piles, beams, and improved vehicle circulation. The agency said it has completed a planning and environmental linkage study, is moving into NEPA/state environmental review, and has been working with the community to balance the needs of Southworth and Vashon riders with neighborhood concerns in Fauntleroy. The preferred alternative is a larger offshore dock footprint that would improve capacity and reliability while reducing impacts to eelgrass habitat. The meeting ended before the terminal discussion was complete.

Transcript Highlights:

• And that contract was very effective at the To ensure consistency of services.
• Price, of the Florida contract for domestic violence services.
• Price, of the Florida contract for domestic violence services.
• services.
• that direct service... ...to state what exactly direct services entails, including that direct service

Summary: The committee held a panel discussion on Florida’s domestic violence system, focusing on how state and federally funded services are coordinated, the role of the Florida Partnership to End Domestic Violence (FPEDV), the Florida Domestic Violence Collaborative, DCF, and certified domestic violence centers. Members reviewed the post-2020 restructuring after the dissolution of FCADV, the current hotline, legal services, training, and technical assistance contracts, and the Legislature’s recent work on lethality assessments under SB 1224. Panelists also described prevention, shelter, counseling, child advocacy, and legal support services, along with the statewide network of 41 certified centers serving all 67 counties. Testimony highlighted both collaboration and tension. FPEDV and Women in Distress described overlapping training and technical assistance roles, but FPEDV said its relationship with DCF has been difficult and at times obstructive, while DCF said communication and coordination are ongoing. Women in Distress and other providers emphasized the importance of direct services, the statewide hotline, injunction assistance, child welfare co-located advocates, and prevention programs. Several members asked about funding flows, certification, and whether the current structure is sufficient for rural counties; witnesses said federal FVPSA funds are formula-based, DCF contracts directly with centers, and rural programs face staffing and fundraising challenges that limit beds and services. A major portion of the discussion centered on the lethality assessment work group and implementation of the new statewide tool. FDLE explained that the work group concluded the Maryland model was copyrighted and costly to replicate exactly, so Florida adopted a statutory assessment that is not evidence-based in the same way, with training available online and 46 of about 400 law enforcement agencies having completed it so far. Senators raised concerns about multiple assessments, redacted police reports, and whether the tool will be useful without better coordination and data collection. Witnesses also discussed rising domestic violence, teen dating violence, and strangulation cases, with providers reporting increased demand, full shelters, and greater use of hotels and mobile crisis responses. No formal votes or actions were taken.

Transcript Highlights:

• violated the contracting rules by amending the contract and expanding the project scope.
• Agency-wide contract management standards, as well as centralizing contract management decisions, so
• We issue approximately 2,000 contracts per calendar year, and that is a lot of contract management.
• We issue approximately 2,000 contracts per calendar year, and that is a lot of contract management.
• risk assessments, invoicing, and monitoring plans for all grants, loans, and contracts for all new contracts

Summary: The Joint Legislative Audit and Review Committee subcommittee heard three State Auditor’s Office performance audits: implementation of the Law Enforcement Training and Community Safety Act, Washington’s digital equity planning, and the Department of Commerce’s Digital Navigator Program. In the law enforcement training audit, the State Auditor found the Criminal Justice Training Commission had developed most required training content but had not developed all required topics, lacked a systematic project management approach, and had weak tools to ensure participation and compliance. Auditors said most officers had not completed the required 40 hours, patrol tactics training was a major bottleneck, and the Commission’s reporting did not clearly show statewide compliance. The Commission said it generally agreed with the recommendations and had begun implementing some changes. Committee members raised concerns about staffing, liability, incentives, and whether the law had enough enforcement “teeth.” In the digital equity audit, auditors said Washington lacked a comprehensive, unified statewide plan, a designated leader, and reliable funding for digital equity efforts. They said existing plans were fragmented, with the NTIA-approved plan the most complete but no longer fully funded after federal changes. The State Auditor recommended the legislature establish oversight authority and require a lead organization to coordinate and evaluate statewide digital equity efforts and develop a unified plan. The Department of Commerce and Office of Equity agreed with the need for clearer leadership and coordination, and a public witness described ongoing coalition and local planning work. Committee members asked about best practices from other states and whether the auditor could provide additional research on coordination models. In the Digital Navigator Program audit, the State Auditor concluded Commerce did not consistently follow core grant-management practices, including competitive award processes, vetting of grantees, clear contracts, performance monitoring, and reimbursement controls. Auditors said Commerce expanded grants without a new competition, lacked adequate documentation and reporting, and paid out millions without sufficient support; they also cited management decisions that overrode staff concerns. Commerce said it had already begun major contract-management reforms, created a new contracts and compliance structure, and was working on risk assessments, documentation standards, and staff training. Members pressed Commerce on accountability, possible recoupment of improper payments, ethics issues, and whether the agency had clear performance metrics for the program. No votes were taken, and the hearing ended after public testimony and committee discussion.

Transcript Highlights:

• services.
• through, you know, sometimes they bring services in-house, sometimes they contract out.
• We need a contract for? Generally national experts, literature review, consulting service.
• My question is going to be on the contract services.
• I'm always skeptical of this continued contract funding. Contract services.

Keywords: 987, senate, all

Transcript Highlights:

• Our contract is a deliverable-based contract, 100%.
• our contracts.
• And our current contract at the time was going to be expiring in 2018 after a 10-year contract.
• And then the provider services module... And then the provider services module.
• Where is Florida Digital Service?

Summary: The subcommittee heard updates on several major technology modernization efforts, beginning with the Department of Financial Services’ Florida PALM project, which is replacing the state’s decades-old FLAIR accounting system. DFS described PALM as a statewide effort affecting all three branches of government, with cash management already live and the remaining financial management, payroll, and data warehouse components still in development. Officials said the project began in 2014, was restructured after a 2022 legislative pause, and is now being recommended for a go-live delay from January 2026 to July 2026. Members asked about governance, staffing, contract structure, cost growth, and maintenance costs; DFS said the contract is deliverable-based, the current amendment would add a net $2.2 million, and post-go-live maintenance is expected to be about $13 million annually under the current contract through July 2027. The Agency for Health Care Administration then updated the committee on the FX Medicaid enterprise modernization program. AHCA explained that federal CMS directed states to move from monolithic Medicaid systems to a modular approach, leading Florida to procure separate vendors for integration services, data warehouse, unified operations, provider services, and claims processing, with pharmacy benefits still to be procured. Officials said the project has spent about $334 million to date, with most costs federally matched, and requested $189.95 million for the upcoming year. They also highlighted a 2024 special assessment that produced 81 recommendations, most tied to staffing shortages, and said the Legislature added 47 FTEs, with 17 currently filled or being filled. Members asked about governance changes, production status, data access, and future technology maintenance; AHCA said some components are operational, the data warehouse is nearing certification, and the agency is working to keep the system adaptable and nonproprietary. The Department of Children and Families presented its Access modernization project, which is replacing a mainframe-based eligibility system used for SNAP, TANF, Medicaid assistance, and related programs. DCF said the six-year, $205 million project is in its third year and has already delivered a new customer portal with mobile access, multi-factor authentication, and fraud protections, while also building a worker portal, document management, community partner tools, and workload management functions. The agency said it is requesting $36.625 million for the next fiscal year, the same as last year, and emphasized that the project has remained on schedule and on budget by breaking work into smaller modules and using strong vendor and staff support. Members praised the project’s progress and asked about cybersecurity testing and the long delay before modernization began; DCF said security requirements were built in from the outset and that the remaining work will focus on moving staff off the legacy mainframe and modernizing notices and back-end processes.

Transcript Highlights:

• This is a service that we provide through Medicaid, but it's also a service that's paid for by the PASS
• This is a service that we provide through Medicaid, but it's also a service that's paid for by the passes
• We want to make sure that there's a quality service.
• Things that qualify you for personal care services.
• to evaluate whether someone qualifies for their service.

Summary: The committee approved the December 8 minutes and referred items C1 and C2 to the labor and environment subcommittees, adopting the chair’s recommendations. The main substantive item was a DHS rule package revising the State Plan Personal Care Manual and the Arkansas Independent Assessment (ARIA) Manual. DHS said the revisions would repeal and replace the current manuals with streamlined versions, remove overlapping language, implement Act 853 by shifting licensure/certification for personal care agencies to the Department of Health, lengthen personal care prior authorizations from six months to one year, and keep the 64-hour monthly cap. For ARIA, DHS said it would remove references to state plan personal care, clarify telehealth and in-person assessments, and add/update sections for PASS, AR Choices, Living Choices, and PACE. DHS argued the current independent assessment process is costly and not controlling utilization, citing a 95% approval rate, annual spending of more than $212 million on personal care for about 17,000 people, and an estimated $6.173 million in savings from eliminating the Optum assessment and reducing prior-authorization frequency. Agency witnesses said the new process would reinsert primary care practitioner involvement, use standardized evaluation and prescription forms, and rely on personal care provider nurses for the assessment step, with training already available through an AFMC contract. Several members questioned whether PCPs should be used as gatekeepers, whether the change would delay services, and whether the savings estimate accounted for training or provider burden. Some members also raised concerns about conflicts of interest, the workload on physicians, and whether the agency had adequately worked with the existing vendor to improve the current system. The discussion became contentious, with Senator Irvin and others strongly opposing the proposal as inconsistent with the earlier independent-assessment approach and urging DHS to slow down and work with legislators. Other members asked for clarification on how the new process would work for new applicants and whether it would affect waiver or PASS participants; DHS said the rule would not apply to PASS and should not delay services. At the end of the hearing, the chair offered DHS the option to pull the rule down and work off-record with legislators on a revised proposal, and DHS agreed. The meeting then adjourned without further business or a final vote on the rule.

Transcript Highlights:

• Or have very little money to provide services.
• The maximum contract amount under this contract is $158,000.
• So are the deliverables that are in this contract services, are those similar to what you've done in
• So are the deliverables that are in this contract services, are those similar to what you've done in
• Yeah, I would see a need to have that in a contract. Is that normal, that it's in a contract?

Keywords: 1204, all

Transcript Highlights:

• So we actually do a contract with that business, and it's a yearly contract.
• So we felt like if you're contracting with us, exactly like a temp service type thing, then we are sending
• We have a contract with OU that helps provide those services. So we're in the school.
• To DRS services.
• of services and even different philosophy of services.

Keywords: 914, all

Summary: The committee/task force met with several disability service providers to discuss integrated employment, transition services, and barriers to community jobs for people with intellectual and developmental disabilities. Robin Arder and Belinda Stevens of ThinkAbility described creating their own businesses when community employers were not hiring their clients, and said rigid service rules, employer readiness, bullying, and reimbursement structures often force the person to fit the service rather than the service fitting the person. They said they have not seen clients lose benefits, but they do closely manage reporting to Social Security and related supports. Tina Hannah of South Central Industries described a broad business model that includes manufacturing, janitorial work, city beautification, state-use contracts, a food truck, and an entertainment trailer, along with an adult day program and residential services. She said many employers are hesitant because of productivity and cost concerns, and that businesses are often more open to contracting with her agency than hiring individuals directly. Miranda Figueroa of A New Leaf said her agency is moving toward a more person-centered model with sheltered work, volunteer sites, paid contracts, and a Transition Academy. She said the academy is a two-year program focused first on independent living and then on employment, with internships and an 85% placement rate, but funding is a major barrier because the program is not accredited and students cannot access traditional aid. She also cited dual diagnoses, inconsistent job coaches, and employer uncertainty as major obstacles. Angela Decker and Deborah Copeland of DRTC described DRTC’s long-running enclave contracts, a new Community Skills and Connections program, and a plan to phase out 14(c) subminimum wage use by the end of the year. They said the new program is designed to keep people engaged in community-based skill-building and networking while families still need day supports, and that DRTC has developed more than 100 community partnerships. Senator Kirt, Rep. Hefner, and participants discussed broader system issues, including the need for better school-to-work transition, more social integration, transportation, safety, and employer education. DRS staff said the agency is already required to provide pre-employment transition services in schools starting at age 14 and offers employer accommodations support and job-carving assistance, though they acknowledged federal reporting expectations and service rules can be restrictive. Several participants raised concerns about line-of-sight restrictions, congregate living rules, benefit cliffs, and the difficulty of moving from DDS to DRS services. The group also discussed the need for better data and possible working groups focused on in-school transition, program support and blending services, and community integration. No formal votes were taken.

Transcript Highlights:

• The maximum contract amount... ...under this contract is $158,000.
• So are the deliverables that are in this contract services similar to what you've done in other states
• It's in a contract, and I don't mind doing it.
• I guess it's in other contracts.
• I guess it's in other contracts.

Summary: The committee met to review an audit and recommendations from the Alliance for Opportunity as part of a broader study of social service and workforce development reform under Act 145 of 2025. Members discussed creating a more integrated, regional, and “one door to work” system that would combine eligibility screening, service delivery, and workforce connections across DHS, workforce, and related programs. Much of the discussion focused on reducing administrative overhead, improving coordination, and using tools such as AI and centralized databases to help applicants learn about benefits, training, and job opportunities while still preserving case managers and in-person help for people without digital access. Members also emphasized targeting groups with low labor-force participation, including people in generational poverty, rural residents, individuals reentering from prison, and people involved in the court system who may be employable but are not currently connected to employers. Several members raised concerns about benefit cliffs, the burden of repeated paperwork across agencies, and whether the system should include performance measures tied to cost per person served and return on investment. The committee agreed that quantifiable savings and outcomes should be part of the study and future recommendations. The committee then considered and discussed a draft consultant services agreement with Work Ed Consulting LLC, represented by Mason Bishop, to assist with the study. Bureau of Legislative Research staff explained that the contract would run through June 30, 2027, with a maximum amount of $158,000, billed on actual hours and expenses, and could be expanded by up to 10% if needed. Bishop said he could provide ongoing ROI updates and technical assistance based on his experience in other states. After discussion, the committee voted to move forward with the contract, and the meeting adjourned.

Transcript Highlights:

• So they're migrating services.
• We run all of the state's outpatient services, all of those community-based services.
• And I did not want to put my name on a contract until I understood the contract and the services, etc
• So we had some 800 contracts.
• will provide services.

Keywords: 914, all

Transcript Highlights:

• Most of the services are implemented by managing entities, which contract with local and regional providers
• What is the total amount of funding for ALF services? For the ALF services? For the ALFs?
• have in our contracts as well.
• The service is very important. The service is excellent. We want to provide the service.
• contracted for?

Summary: The Health Care Budget Subcommittee held a panel discussion on Florida’s mental health and substance abuse system, with representatives from DCF, AHCA, two managing entities, and two providers describing how the state’s behavioral health network is funded and operated. Members focused on the implementation of prior legislative investments, especially the $50 million in recurring funding from Representative Maney’s bill and the earlier $126 million community behavioral health appropriation. Witnesses said the newer funds were used mainly for crisis beds, discharge planning, outpatient services, regional collaboratives, and a USF Marchman Act report, while the larger behavioral health appropriation supported CAT, FACT, FIT, forensic teams, residential and outpatient services, and crisis care, with most dollars going directly to services and only a small share to administration. A major theme was access to crisis care and the role of mobile response teams, 988, and central receiving facilities in diverting people from Baker Act admissions and reducing readmissions. DCF and providers said mobile response teams have expanded, are being used to de-escalate crises and connect people to care, and have shown strong diversion results and reductions in Baker Acts in some regions. Members also asked about waitlists, children in crisis, and how to handle people without housing or support; providers said discharge planning is individualized but often constrained by homelessness, transportation, and a lack of safe placements, and several witnesses identified housing as one of the biggest barriers to recovery and stability. The committee also examined provider sustainability, reimbursement, and funding gaps. Witnesses described delays caused by contract timing, cost allocation rules, and Medicaid reimbursement rates that do not always keep pace with labor and operating costs, especially for smaller providers and rural networks. DCF and AHCA said managing entities can provide advances, retroactive rate adjustments, and technical assistance, and that Medicaid managed care plans have network standards and complaint/dispute processes. Members raised concerns about a reported $7 million loss in federal non-sustainable funds, provider closures, and whether there is a formal ombudsman process for disputes; DCF said the federal reductions were known and tied to one-time funds, and that the department generally handles provider issues informally while working with managing entities to preserve continuity of care.

Transcript Highlights:

• For contract slots.
• contracts.
• Services.
• Wraparound services, as well as when it's available for in-state residential services.
• services with the USCIS office and removal services with immigration courts.

Summary: The committee heard an extensive Department of Social Services presentation on child care budget issues, including the Governor’s proposed 2026-27 budget, federal CCDF changes, Prop. 64 revenue adjustments, and a one-time $11.5 million disaster-related infrastructure grant for licensed child care facilities affected by 2025 declared disasters. DSS said federal formula updates and lower Prop. 64 revenues would reduce funding and could result in about 4,176 CCTR slots being reduced, but the department said it was working to avoid impacts to currently enrolled children. The LAO supported aligning general child care funding with lower revenues and asked for more detail on the disaster grant. Members pressed DSS and Finance on why reductions were not being backfilled and why so many awarded slots remain uncontracted or unused; DSS said delays are largely due to providers building new infrastructure, licensing, staffing, and enrollment challenges, and that some unspent funds revert to the General Fund. The committee also discussed whether some contract dollars should be shifted to vouchers and whether more flexibility should be allowed for infrastructure and expansion costs. A second panel focused on the state’s commitment to expand child care and on rate reform. DSS reported that nearly 125,000 new slots have been awarded since 2021-22, but speakers from Stanislaus County Office of Education, Parent Voices California, and the California Budget and Policy Center argued that unmet need remains large and that the system still leaves many families without access. Stanislaus County described a large local shortage of infant and toddler care and said reimbursement disparities between child care programs and state preschool create disincentives for providers. Parent Voices gave testimony about the burdens and instability families face when trying to access care, especially for survivors and low-income parents, and called for a universal, publicly funded system. The Budget Center said only about 16% of eligible children were enrolled in 2024, urged expansion across the mixed delivery system rather than concentrating investment in TK, and called for faster rate reform and new revenue. LAO estimated that bringing certain CCTR adjustment factors up to CSPP levels would cost $88 million to $131 million ongoing. Members and witnesses discussed the single rate structure, automation needs, and the need for deadlines and a ramp-up plan; DSS said the goal is to eliminate disparities, but that policy decisions are still needed before automation can proceed. The committee then reviewed several trailer bill proposals. DSS outlined a 2026-27 COLA proposal that would apply a 2.41% increase through cost-of-care-plus payments, though the department said it had inadvertently excluded CalWORKs Child Care and the Emergency Child Care Bridge Program and would revise the proposal; LAO recommended making the COLA methodology uniform across programs. DSS also proposed replacing the market rate survey with the federally approved alternative methodology on a triennial schedule, limiting temporary absences in family child care homes to 20% of monthly hours, defining excessive unexplained absences as more than 30 days in a year, and aligning family fee deductions with new federal requirements so providers receive the full voucher value. Members generally supported the temporary absence change and asked about implementation timing for the family fee deduction, with DSS saying it was in contact with Riverside County. The committee also heard a brief update on the Early Childhood Policy Council reappropriation, which would extend unused funds through June 30, 2028 because prior costs came in higher than expected.

Transcript Highlights:

• <00:09:47.800> we services and through our JJs Services we services and through our JJs Services
• under which the state would continue to provide contracted services and Dartmouth would reimburse those
• <01:43:57.520> services<01:43:58.199> that provide for the contracted services that
• provide for the contracted services that the<01:43:58.560> state<01:43:58.840> was<01:
• in here um uh based on contracts in here um uh based on Services<02:00:50.800> one<02:00:50.960

Keywords: 1189, house, all

Summary: The Division 3 House Finance Committee opened a work session and announced scheduling updates, including a second Medicaid work session on March 5 at 9:00 a.m. and a reminder that recommendations or budget amendments must be moved to the full finance committee by the end of March. Members were told no motions, roll calls, or votes would be taken, and the chair also reviewed upcoming meeting dates and weather-related cancellation procedures. The day’s presentation was a budget work session on the Division for Children, Youth and Families (DCYF), with officials Marie Nunan and Nathan White introducing the agency’s budget materials and mission. DCYF’s presentation focused on its core mandates and recent operational changes. Officials described child protective services, juvenile justice services, and the Sununu Youth Services Center, then highlighted workforce improvements, including reduced vacancy rates for assessment caseworkers, juvenile justice officers, and youth counselors. They attributed the staffing gains to legislative pay raises, mass recruitment posting changes, a more stable and trauma-informed model at SYC, and broader flexibility after prior budget cuts and hiring freezes. Members asked about full-time versus part-time staffing, and DCYF said most positions discussed were full-time, with some harder-to-fill part-time youth counselor roles at SYC. The committee also discussed DCYF’s emphasis on serving families earlier through its Community Navigator hotline referrals and community-based voluntary services, which are intended to connect families to supports before abuse or neglect escalates. Officials said the Community Navigator program had received 807 referrals since August 2023. On juvenile justice, DCYF described its assessment and diversion process and said it had reduced juvenile probation involvement by 30% from 2019 to 2023; members were directed to slide 17 for 2024 data, and officials said the trend continued toward fewer in-home juvenile justice cases. The agency also reported progress in kinship care, saying initial out-of-home placements with kin now occur 74% of the time and that kinship placements are associated with more reunification. Officials said kinship caregivers are being licensed and paid similarly to foster parents, and that the legislature’s kinship law has helped. Finally, DCYF outlined transition-age youth supports, including the HOPE program, Youth Villages LifeSet, and housing vouchers. No votes or formal actions were taken.

Transcript Highlights:

• It has nothing to do with the quality of the service or a question that the service was provided.
• units—per physician, per recipient, and per service, for date of service.
• units—per physician, per recipient, and per service, for date of service.
• year with active contracts.
• year with active contracts.

Keywords: 00:00:00 Call to Order/Roll Call 00:01:19 Discussion of 25RS HB 785 00:30:25 Roll Call Vote on 25RS HB 785 00:32:15 Discussion of 25RS HB 61 00:36:42 Roll Call Vote on 25RS HB 61 00:38:07 Discussion of 25RS HB 788 00:51:01 Discussion of 25RS SB 14 01:11:09 Discussion of 25RS HB 685 01:44:57 Adjournment, 958, all

Summary: The House Standing Committee on Health Services met with a quorum and took up House Bill 785, as amended by a committee substitute that combined language from HB 785 and HB 787. The bill was described as addressing Medicaid managed care organization (MCO) audits, provider contract notice and amendment procedures, mental health parity compliance, and related transparency requirements. Supporters said the measure would tighten notice to providers, limit repeated contract amendments and rate reductions, require more standardized audit procedures, and add reporting on Medicaid claims, appeals, and grievances. It also includes a provision requiring coverage of at least two evaluation-and-management billable services per physician per recipient per date of service, and a section addressing narcotic/opioid treatment program licensing and reimbursement language. Testimony in support came from Representative Kim Moore, John Inman of BrightView Health, Michelle Sandborne of the Children’s Alliance, and Kelly Cormic of RYSE. They argued that MCOs often use audits and recoupments in ways that are burdensome, opaque, and financially damaging to providers, especially smaller and rural ones. They cited examples of multiple audit requests in short timeframes, large record requests with short deadlines, delayed or absent feedback, and recoupments taken before appeals are resolved. They also said parity laws are not being consistently enforced and that the bill would give the Department of Insurance authority to suspend or revoke an MCO certificate of authority for willful or repeated parity violations. Committee members generally expressed support for provider protections and transparency, while asking for clarification on the narcotic treatment and E/M billing provisions. Tom Stevens of the Kentucky Association of Health Plans testified in opposition, saying the bill is complex to implement and should be handled through the broader Medicaid oversight work of House Bill 9, the MOAB. He said the issues raised were better suited for that bipartisan stakeholder process and noted the committee substitute had not yet been fully reviewed by his group. After discussion, the committee adopted the committee substitute and then moved to a vote on the bill; the roll call began, with several members recorded as voting yes, but the transcript cuts off before the final vote result is shown.

Transcript Highlights:

• Members will now take up HB 427, Public Adjuster Contracts, by Rep. Melo.
• The public adjuster knocks on 395 the door and this 396 man signs a contract signs, the contract to the
• Client without any interim pay is in jeopardy of having their legitimate contract for services canceled
• You work with a client and enter into a contract.
• Scott Jenkins, American Financial Services Association, waiving in support.

Summary: The committee met with a quorum and heard several insurance and banking bills. HB 1399, relating to property insurance affiliates, would increase Office of Insurance Regulation oversight of transactions between property insurers and affiliates, require fair-and-reasonable documentation, review of dividends and asset pledges, contract termination clauses, affiliate registration, and penalties for violations. Members from both parties generally supported the goal of transparency and accountability, though some raised concerns about costs and whether the bill would actually return money to insureds. The bill was reported favorably. HB 427, on public adjuster contracts, would allow vulnerable adults or their legal representatives to rescind public adjuster contracts without penalty, reflecting the sponsor’s personal concerns about protecting elderly and otherwise vulnerable family members from predatory contracting. Public testimony included support from several industry and elder-law groups, while the public adjuster association warned the bill could unfairly target one profession and urged broader language. Members debated whether the bill should be expanded to cover other solicitations and whether legal representatives should be treated differently, but the bill was ultimately reported favorably. The committee also approved HB 893, which aligns bank handling of law-firm trust accounts with Florida Supreme Court rules and supports legal aid funding, and HB 767, a transparency bill requiring insurers to provide consumers with plain-language explanations of rate increases and related factors. Members emphasized consumer education and clearer disclosures, and HB 767 passed 2-0. Later, HB 381, the Office of Financial Regulation agency bill, was amended and reported favorably; it updates financial regulation provisions including cybersecurity-related requirements, money services business rules, credit union and financial institution provisions, and fee timing. HB 777, a related public-records bill protecting nonpublic personal information submitted to OFR, was also heard and moved forward without opposition.