Transcript Highlights:

• </c> facility funding. facility funding.
• Uh the Senate restored the base funding. funding. funding.
• from the Local Correctional Facilities Construction Authority in lieu of using general fund.
• the Senate also increased those fundings from the Local Correctional Facilities Construction Authority
• On page 141, the House had funded the construction of the Central Laboratory expansion, and then the

Summary: The Free Conference Committee on the 2026 General Assembly budget met to reconcile differences between the House and Senate versions of House Bill 500. Leaders opened by thanking the other chamber’s work, asking members to turn microphones on and off to avoid feedback, and stressing the need to clearly note decision points so both chambers record the same actions. Staff then walked through the bill page by page, explaining that the committee was comparing only House and Senate differences, not the governor’s proposed budget. The discussion covered a wide range of appropriations and language items, including next generation non-911 services, school safety reporting tools, restored funding for brain injury, epilepsy, veteran service, homeless veterans, and rocket docket programs, debt service changes, rural infrastructure, disaster aid caps, Attorney General and Medicaid fraud funding, agriculture and county fair grants, auditor and pension-related appropriations, school facilities and SEEK funding, and numerous education programs. Members also discussed charter-related funding such as Star Academy, Dolly Parton Imagination Library, school resource officers, school-based mental health providers, AP/IB exams, Governor’s Scholars and Entrepreneurs, and several pilot or initiative programs in economic development, energy, and labor. Several items were described as technical corrections or restorations of language and funding, while others reflected differences in amounts or how funds would be distributed. There were several questions and comments from members about wording such as “implement and carry out,” the absence of the governor’s budget from the comparison document, and whether SEEK funding should be tied to teacher raises. The chair and other members emphasized that the committee’s role was to reconcile the two chambers’ budgets, not to adopt the governor’s proposal. Members also raised concerns about opioid settlement funds and the Dolly Parton Imagination Library match rate, with one senator urging restoration of the House language. No final vote or formal action was taken in the portion provided; the meeting primarily consisted of explanation, questions, and discussion of proposed budget differences.

Transcript Highlights:

• The funding that the bombers have committed to partially fund child care is the equivalent of one-tenth
• Let's fund patriots for Washington, not disablers of democracy. Thank you.
• and maintenance costs of newly constructed affordable housing, or to acquire... ...to fund the operations
• construction of affordable housing; funding operations and maintenance costs of new units of affordable
• that are facing serious funding pressures.

Summary: House Finance met on February 26 and heard several tax and housing-related bills. Substitute Senate Bill 6343 would extend the deadline to apply for a property tax exemption for improvements to single-family homes damaged by natural disasters, with sponsors citing recent flooding and the need to help displaced homeowners in multiple counties. Local officials from Kent and Algona testified in support, describing flood damage and ongoing recovery needs. The bill was heard but no vote was taken. Senate Bill 6347 would roll back the higher estate tax rates enacted in 2025, while leaving the higher exemption amount in place. Committee staff said the bill would reduce revenue to the Education Legacy Trust account by about $44.8 million starting in fiscal year 2027 and about $389.9 million over the 2027-29 biennium. Supporters argued the higher rates could harm family businesses and encourage wealthy residents to leave; opponents said the bill would mainly benefit very large estates and would worsen budget pressures by reducing funds for education and child care. Public testimony was mixed, and the bill was heard without action. The committee also heard Senate Bill 6244, which would extend a hazardous substance tax exemption for agricultural crop protection products stored in Washington for out-of-state sale until 2038. The sponsor and a logistics witness said the exemption helps farmers get products faster, supports regional distribution, and improves competitiveness; staff said the revenue impact would be small. Finally, Senate Bill 6114 would define “fixture” and “affixed” for real estate excise tax purposes to make tax treatment of attached property clearer, and Senate Bill 6027 would broaden allowable uses of several local affordable housing funding sources, including rehabilitation and operations of existing housing, rental assistance in some counties, and expanded uses for Affordable Housing for All grants. Both of those bills drew support from state and local housing officials and advocates, and the committee adjourned after the hearings with no recorded votes.

Transcript Highlights:

• Buyers of new construction condos are not negotiating equals.
• It also has the effect of undermining condo construction.
• Maybe this is too soon: interest rates, cost of construction, time.
• Maybe this is too soon: interest rates, cost of construction, time.
• The construction is completed.

Summary: The Assembly Judiciary Committee heard several housing- and courts-related bills. AB 768, by Assemblymember Avila Farias, would close a loophole in mobile home rent control by excluding homes not used as permanent residences, such as vacation or short-term rental use. Supporters said it would preserve affordability for full-time residents while preventing wealthy second-home owners from benefiting from rent control; a nonprofit housing operator asked for a technical amendment to avoid conflicts with tax-exempt bond restrictions. The bill was moved and passed as amended. AB 1359, by Assemblymember Arambula, would let people age 80 and older request a permanent jury-service excuse without providing a doctor’s note. Supporters from the California Senior Legislature said the current medical-note requirement is burdensome and unnecessary, while some members raised concerns about reducing older adults’ participation on juries and suggested the exemption should be more flexible or reversible. After discussion, the bill passed to Appropriations. AB 1406, by Assemblymember Ward, would raise the cap on liquidated damages in new condominium pre-sale contracts from 3% to 10% to help developers finance condo projects and increase for-sale housing production. Developers and housing advocates argued the change would improve financing and make more condos feasible, while realtors and consumer advocates warned it would shift too much risk onto buyers, especially first-time homebuyers. Committee members expressed mixed views and asked for stronger consumer protections; the author said he was open to further amendments, and the bill was held open with the roll call not fully completed in the excerpt. The committee also began hearing AB 1157, by Chair Kalra, which would lower and make permanent the rent cap under the Tenant Protection Act and extend protections to single-family home renters, but the transcript excerpt mainly captures extensive public support testimony and the author’s opening presentation, with no final vote shown.

Transcript Highlights:

• One, on the COMPETS fund at the moment, the legislature has an overall in and On the Competes Fund, at
• The Department of Veterans' Services gets their funding through the general fund, so I want to make sure
• in fiscal year 2027 to the Livestock Compensation Fund.
• The bill also outlines the entity for which fund monies will be allocated.
• The bill appropriates $1,250,000 from the Housing Trust Fund in fiscal year 2027.

Summary: The meeting covered a long series of House bills across health, commerce, education, elections, government, and veterans issues, with many measures described as consent-calendar items. In health and human services, members discussed updates to radiology technology standards, a tribal Medicaid waiver bill, an emergency medicine study committee, fetal death certificate and remains-transfer requirements, a physician assistant licensure compact, dementia care telemonitoring funding, and SNAP error-rate reduction and eligibility oversight. Sponsors generally framed these bills as technical updates, workforce or access improvements, cost savings, or support for families and vulnerable populations, while some bills drew brief questions about implementation or opposition. In commerce and finance, the committee heard bills on mobile food vendor licensing, earned wage access services, CPA certification, cash acceptance by retail businesses, unmanned aircraft regulation, timeshare salesperson licensing, social credit score restrictions for lending, and a ban on state assistance to the International Criminal Court. Sponsors emphasized reduced regulation, consumer protections, transparency, and state sovereignty. The committee also considered tax and retirement-related measures, including conformity with the Internal Revenue Code, ASRS technical changes, and a 529 plan update that also addressed Roth IRA rollovers. Education and school governance bills focused heavily on school district oversight and transparency. Members discussed patriotic youth group presentations in schools, school board term limits and mandatory training, bond-advisor requirements, restrictions on school districts buying operating charter or private schools to affect funding formulas, conflicts of interest on the School Facilities Oversight Board, public meeting and travel disclosure rules, limits on long-term school property leases, job-order contracting caps, and a computer science proficiency seal. Sponsors repeatedly argued these bills would improve accountability, prevent misuse of public funds, and increase public access to school board decisions. The meeting also included elections, veterans, government, and other administrative measures. These included changes to sample-ballot mailing deadlines, a requirement that courts ask about veteran status at first appearance, a veterans awareness study, broader military leave protections, SAVE database verification for voter registration and licensing, U.S.-sourced election equipment requirements, Electoral College affirmation, justice court due-process protections, library trustee reporting deadlines, adult protective services reporting cleanup, and procurement transparency. No final floor votes were taken in the excerpt, and most items were presented for questions or moved through consent with brief sponsor explanations and occasional opposition noted in committee testimony.

Transcript Highlights:

• With those funding fits, we can deliver exactly the housing our communities need.
• This reform... ...for each unit of new construction built.
• These funds go directly to municipalities, funding the communities that can be used at their discretion
• These funds go directly to municipalities, funding the communities that can be used at their discretion
• it be interest rates, construction costs, tariffs.

Committee: Joint Joint Committee on Housing

Summary: The Joint Committee on Housing held a hybrid hearing on zoning, Chapter 40B, and related housing bills. Much of the testimony focused on the “Yes in My Backyard” bill (H. 1572/S. 962), which would expand by-right development of missing middle housing, reduce barriers such as minimum lot sizes and parking mandates, and support duplexes, triplexes, and other small-scale housing. Supporters included housing advocates, developers, local officials, and municipal leaders from places like Cambridge, Salem, and Braintree, who argued that state action is needed because local zoning often blocks needed housing and that the bill would help create more affordable, neighborhood-compatible homes. Several witnesses also backed a companion “Yes in God’s Backyard” bill (H. 2347), which would allow faith-based institutions to build housing on their property by right, with testimony emphasizing the potential for new units, added municipal tax revenue, and partnerships between religious organizations and housing developers. The committee also heard testimony on Senate Bill 1021 to modernize Chapter 40R incentives. Senator Pavel Payano and others said the program’s payments have not kept pace with inflation since 2004 and should be increased to better encourage smart-growth zoning near transit and town centers. Another major topic was H. 2298 on site plan review, which would codify and standardize the process in state law. Rep. Kristin Kassner and witnesses from MAPC and NAIOP said current site plan review practices vary widely across the state, creating confusion, delays, and litigation, while a uniform framework would give municipalities clearer tools to review by-right projects without undermining local oversight. The hearing also included testimony on Chapter 40B reform, including S. 1005 and H. 1537. One witness supported further review of 40B and stronger regional planning, while another backed a proposal to allow certain pre-2010 40B condominium owners to sell at market value under a framework that would recapture some of the subsidy benefits. Committee members asked several questions about local zoning changes, housing goals by county, and how the proposed bills would affect communities. No votes were taken during the hearing, and the chairs indicated that written testimony would be welcomed for technical details and additional comments.

Transcript Highlights:

• and improvement of transportation facilities by allowing the use of construction multiple award task
• and improvement of transportation facilities by allowing the use of construction multiple award task
• It directs WSDOT to award multiple task order construction contracts in accordance with apprenticeship
• As we restructure the organization of the accounts, this amendment makes the use of some of the funds
• from this account voluntarily... ...of funds from this account voluntarily.

Summary: The committee took up a series of transportation-related bills and proposed substitutes, with most measures advancing after discussion and roll-call or voice votes. House Bill 2092, creating a Washington State Amtrak Cascades Passenger Rail Advisory Committee, was amended by a proposed substitute that broadened membership and duties, and it passed 20-6. House Bill 2114, allowing fee waivers for replacement defective license plates, passed unanimously. House Bill 2172, clarifying route jurisdiction transfers and abandonments for highways and local roads, also passed unanimously after a substitute requiring agreements or legislative action for longer highway abandonments or those involving bridges. House Bill 2251, which restructures Climate Commitment Act accounts and revenue distribution, drew the most amendment activity. Two amendments were adopted to adjust forest carbon language and clarify Ecology administration funding, while amendments to redirect revenue to transportation infrastructure and to split excess revenue differently failed. The bill then passed 18-8 as amended. House Bill 2374, which redefines e-bikes and electric motorcycles and creates a work group on enforcement and safety, passed unanimously after a substitute added stakeholder representation and asked the work group to explore civil infractions and penalties. House Bill 2410, creating a Commercial Truck Safety and Education Council and increasing a safety fee, passed 25-1 after a substitute changed appointment authority, membership, and other council provisions. House Bill 2552, authorizing WSDOT and a regional transit authority to use MATOC contracting, was amended to add apprenticeship, prevailing wage, and notification requirements and then passed 16-10. House Bill 2588, expanding ferry district authority beyond passenger-only ferries, passed 16-10 amid concerns about taxing authority and voter input. House Bill 2718, setting timelines and processes for permit streamlining and originally including contractor ratings, had the contractor-rating section removed by amendment and then passed unanimously. House Bill 2722, increasing the vehicle weight threshold for transportation benefit district fees from 6,000 to 10,000 pounds, passed 17-9. House Bill 2727, creating an educational transit access grant program for community and technical college students, passed 21-5 after supporters emphasized student access and equity, while some members raised rural access concerns.

Transcript Highlights:

• </c> funds for this this purpose. funds for this this purpose.
• So this language in fund each year.
• </c> construction fund to the operating construction fund to the operating capital<00:08:11.920><c> account
• </c> transfer from the building construction transfer from the building construction fund,<00:08:21.680
• fund, which is fund six, to the general fund<00:08:24.360><c> uh</c><00:08:24.520><c> reserve</c><00

Summary: The conference committee on Senate File 4282 met with a quorum present and heard a walkthrough of the bill, which contains forecast adjustments for several agencies. Senate staff explained that Article 1 makes education forecast adjustments for fiscal years 2026 and 2027, Article 2 adjusts appropriations for the Department of Human Services, Article 3 does the same for the Department of Children, Youth, and Families, and Article 4 increases special transportation services funding for Metropolitan Council programs including Metro Mobility and Metro Move by $8.9 million in FY 2026 and $10.9 million in FY 2027 to match the February forecast. House staff noted that the House language matched Article 1 but did not include Articles 2 through 4. Representative Youakim presented amendment A26-0180, describing six sections that add provisions on paraprofessional qualifications, aid for tribal contract schools tied to revised permanent school fund distributions, expanded allowable uses of school operating capital revenue to include certain utility costs, an extension of an existing appropriation for gender-neutral single-use restrooms, and two school district fund transfer provisions for West St. Paul/Mendota Heights/Eagan and Maple Lake. Members discussed that several items were no-cost and that some fund transfer language had been previously discussed in committee. The amendment was adopted on an 8-0 roll call vote. After adopting the amendment, the committee voted on the bill as amended. The conference committee agreement for Senate File 4282 passed on an 8-0 vote, and the meeting was adjourned.

Transcript Highlights:

• Then a kratom regulation operating fund is directed for the Attorney General's office to fund the parts
• towards construction of the project.
• and $39 million of private funds.
• Yes, we got federal funds of $34 million.
• ...on a funding basis.

Committee: Joint Legislative Management

Transcript Highlights:

• With many of the projects having already begun construction or planning, the cancellation of funding
• fund in order.
• infrastructure fund.
• for construction.
• In the 1970s, the Reclamation Fund was established as a non-reverting fund and is funded by the conservation

Committee: House Water & Natural Resources Committee

Transcript Highlights:

• , federal funds, state funds, community investments.
• , federal funds, state funds, community investments.
• a revolving fund.
• a special fund.
• We have been through dedicated funding for a long time, and that funding has gone away.

Committee: Senate Economic Development and Tourism

Summary: The committee heard several bills, beginning with HB 934 on broadband and digital equity. Testifiers from the Lieutenant Governor’s office, the Office of Enterprise and Technology Services, DCCA, the University system, the Hawaii State Council on Developmental Disabilities, and others generally supported the measure and emphasized the need to coordinate broadband efforts, fund operations, and expand access to high-speed internet, devices, and digital navigation services. The Chamber of Commerce and West Coast Comprehensive Health Center supported the bill but objected to HD1 language excluding broadband infrastructure for retail service, warning it could create unintended consequences and limit community-led or rural projects. The Lieutenant Governor explained the state expects roughly $400 million to $500 million in federal broadband funding, described the bill as consolidating efforts under a broadband office attached to the CIO, and said the office would focus on infrastructure, devices, and training. No vote was taken on HB 934 in the portion provided. The committee then took up HB 97 on travel insurance. The Insurance Division said it had no major problem with the product but requested technical changes to align with licensing requirements and noted the bill largely codifies practices already used in the industry. Industry witnesses from Allianz and the U.S. Travel Insurance Association said the measure would create a consistent framework, add consumer protections, and align Hawaii with the NAIC model adopted in many other states. Members questioned whether there was a specific problem the bill was solving, and the division responded that it was mainly a framework and form-review measure rather than a response to a known enforcement issue. The bill was discussed but no final action was reported in the excerpt. HB 448 on technology enablement drew broad support from the Hawaii Technology Development Corporation, the Chamber of Commerce, the Food Industry Association, and other business representatives. Supporters said the measure would help businesses use technology such as digital platforms, e-commerce, robotics, and AR/VR to improve competitiveness, especially in tourism and other sectors. Committee members pressed for clearer scope, cost estimates, and assurances that local companies would be used; the agency said it would prioritize local-first contracting, use federal NIST-related support where possible, and estimated an initial request of about $200,000, though it could not give a firm total. Members expressed concern that the plan was still too undefined. The committee then began HB 455 on small business loans, where the Attorney General suggested explaining why a special fund is needed, and a witness from H Collaborative said the bill would help startup businesses that struggle most to access capital.

Transcript Highlights:

• </c> aligned to encourage their construction aligned to encourage their construction here<00:37:59.560
• </c><01:02:33.319><c> any</c><01:02:33.520><c> funding</c> public will compare fund any funding public
• will compare fund any funding Cuts<01:02:34.240><c> in</c><01:02:34.440><c> this</c><01:02:34.599><c
• </c> substantial pressure on the general fund substantial pressure on the general fund um<01:15:15.159
• They will be constructed, and you will use it.

Committee: Senate Taxes

Transcript Highlights:

• So LTA was formed to promote development, construction, improvement, expansion, and maintenance of an
• In 2017, the parish pursued a bill grant to try to identify some grant funds, federal grant funds.
• To try to identify some grant funds, federal grant funds, to assist with offsetting the cost of a new
• And so to me— The process, and we were fortunate enough to get some funding.
• Okay, so it would be a multi-year phase-in of the construction. Okay, that's it. Thank you, Mr.

Summary: The Louisiana Transportation Authority met on March 26 and approved the minutes from its prior meeting before taking up the Cameron Ferry privatization proposal from Labmar Ferry Services. Staff from DOTD explained the ferry’s current operational problems, including an aging 1964 vessel, reliability issues, maintenance and dry-docking needs, staffing challenges, and the lack of a spare vessel or backup terminal pair. They reviewed the procurement process, noting that after an unsolicited proposal from Labmar, LTA required a competitive solicitation, received only Labmar’s updated proposal, and then selected Labmar as the preferred proposer. Local input was also described: the Cameron Parish Police Jury issued a no-objection letter and the Cameron Port Harbor and Terminal District gave written support, while no public comments were received at prior public comment opportunities. The board first voted that the privatization proposal serves a public purpose, based on statutory factors such as public need, compatibility with transportation plans, reasonable cost, and improved efficiency. It then voted to approve the proposal contingent on execution of a comprehensive agreement, with members emphasizing that the final contract terms would still need to be negotiated. Discussion highlighted that Labmar currently operates New Orleans ferry routes with high uptime, and that the Cameron crossing is important for local travel, emergency response, evacuation, industry, and tourism. Members also stressed the need to respect and retain current DOTD staff as the transition is negotiated. Staff outlined next steps: negotiations are expected to continue through spring and early summer 2026, with a transition period over the summer and possible full Labmar operations in late summer if an agreement and funding are secured. Two new hybrid ferry vessels are under construction and expected in May and August 2026, temporary dock space and site improvements are underway, and training will include Labmar personnel. A feasibility study for terminal expansion found that adding and improving landing slips could cost roughly $30 million to $50 million, but current funding is insufficient; members asked for a phased, multi-year plan and budget breakdown for future consideration. The meeting ended with adjournment.

Transcript Highlights:

• source, either federal or state highway funds or turnpike funds, to be used on future New Hampshire
• Any reduction in funding has a direct impact on New Hampshire DOT's ability to maintain, construct, or
• or state highway funds or turnpike<04:03:50.080><c> funds</c><04:03:50.319><c> to</c><04:03:50.560><
• or whatever fund like DOT.
• But if you just look at new construction, newly constructed manufactured housing has been built since

Committee: House Housing

Summary: The subcommittee first took up House Bill 1598 and an amendment, 2026-0463H. Elliott Barry and Nick Norman testified that the amendment reflected a hard-fought compromise balancing concerns from all sides, and they urged no further changes. With no questions from members, the subcommittee voted unanimously to recommend the bill with the amendment to the full committee, 3-0, and closed the subcommittee. The housing committee then moved through several executive session bills. HB 1010 was amended with 2026-0274H, described as clarifying and implementing prior housing law (HB 631) governing residential units above office and retail space; the amendment was adopted unanimously and the bill was reported ought to pass as amended on a 17-0 vote and placed on consent. HB 65 was then voted ought to pass and also placed on consent, with members saying it was duplicative of the compromise reached on HB 1010. HB 1349 was reconsidered for a clarifying vote and again received unanimous support for its prior disposition, 17-0, and was placed on consent. The committee next took up HB 1523, which concerned homeowners associations. An amendment, 2026-0380H, removed Section 5’s Attorney General enforcement mechanism, added HOA conflict-of-interest approval language, and delayed the effective date to give stakeholders more time; it was adopted unanimously. The bill then passed 18-0 as amended and was put on consent. The committee also voted ITL on CACR 16, a constitutional amendment related to sleeping or homelessness issues, after debate over unintended consequences and whether it protected a basic right; the vote was 10-8, with a majority report assigned and a minority report to be written. Later, HB 108, dealing with inclusionary zoning, was voted ITL 10-8 after members argued the bill imposed unrealistic burdens and could halt development; a minority report was noted with amendment 0149H. HB 7, concerning ADUs and restrictive covenants, was also voted ITL 10-8 after discussion of unintended consequences and a proposed amendment to encourage second ADUs; it was sent to the regular calendar with a minority report and amendment 0289H. HB 1120, on water-related subdivision requirements, was ITL’d 17-1 and placed on consent, with one member noting a study amendment had been offered. HB 1143, addressing housing-provider obligations and municipal enforcement powers, was ITL’d 17-1 and placed on consent. Finally, HB 1145, a fee/tax proposal tied to housing development, was ITL’d 11-7; members debated whether it would discourage development, and a minority report was assigned.

Transcript Highlights:

• </c> that will'll need some construction that will'll need some construction money<00:09:58.200><c> in
• </c> allocated that money in construction allocated that money in construction money<00:10:01.760><c>
• I certainly appreciate the school facility assistance fund, but without the additional funding I can't
• </c><00:15:16.360><c> but</c> school facility assistance fund but school facility assistance fund but
• do construction.

Summary: The committee took up several measures related to appropriations and school facilities. House Bill 537 was explained as a technical fix to Kentucky’s opioid abatement settlement framework so the state can accept funds from national bankruptcy settlements under the allocation structure now used by the courts; the bill was supported by the Attorney General’s office and local government groups and received a favorable recommendation. House Joint Resolution 34 authorized release of previously appropriated KCTCS funds for three projects, and members discussed whether KCTCS facilities could be used more broadly for community needs such as public health, workforce, and other services. KCTCS officials said they were open to that idea, and the resolution also received a favorable recommendation. House Joint Resolution 30, concerning the Waters program and release of funds for projects that had remained in design, was adopted by committee substitute and passed favorably. The committee then heard extensive testimony on House Joint Resolution 32, which concerns school facility gap funding for districts with low bonding capacity. The chair and sponsor explained that the General Assembly had previously asked the auditor and Blue & Co. to analyze district data because of disputes over project costs and bonding capacity. Superintendents from Marion County, Augusta Independent, Williamstown, and Walton Verona described their projects and financial constraints. Marion County and Augusta argued that full gap funding is necessary for new school or multipurpose facility projects that cannot be phased in; Augusta emphasized its old building stock, high poverty rate, and the need for a gymnasium/multipurpose space used for school and community functions. Williamstown described a STEM center and field expansion, saying the project would be delayed for years without full funding. Walton Verona described rapid growth, overcrowding, and an intermediate school project that had risen sharply in cost from the original estimate. Members asked questions about the accuracy of cost estimates and the scope of the projects, including why some estimates differed from the auditor’s figures and whether the funding requests covered only parts of larger phased plans. The testimony generally supported full funding for the listed districts, with the districts arguing that the projects are necessary for safe, modern learning environments and that local tax effort has already been substantial. Each of the measures considered during the meeting was reported out favorably, with the chair voting no on the resolutions and bills before the committee.

Transcript Highlights:

• fund not to exceed 75% of the appropriation for the fund.
• The ending fund balance, you'll see that's the general fund ending fund balance at the end of their fiscal
• We included their governmental funds, general fund, some of the COVID-19 funds.
• They don't understand special funds versus general fund versus those funds, so that would be an educational
• They don't understand special funds versus general fund versus those funds, so that would be an educational

Summary: The committee met to review its interim schedule and then focused on a referral regarding political subdivision compliance with state law, especially levy limitations and reserve levels. State Auditor Josh Gallion explained the audit process, the Yellow Book standards, and key statutes governing political subdivisions, including the 75% cash reserve cap and mill levy limits. He said the auditor’s office has limited authority to force compliance, has only stepped in a couple of times to resume audits for fiscal irregularities, and is constrained by staffing shortages and a backlog of local government audits. Gallion used Stark County and Mountrail County as examples to show how reserve calculations affect levy decisions. He said Stark County’s 2023 general fund levy calculation should have been zero under the statute, but the county still levied mills, while Mountrail County had recently reduced or eliminated some county levies after building large reserves. Stark County Commission Chair Neil Messer responded that the county chose not to move excess funds into a capital projects fund because it wanted flexibility for future projects and emergencies, and said the county has since reduced its levy and committed reserves to major projects such as road work, a regional airport, and public safety facilities. Committee members questioned whether penalties should apply to auditors or elected officials and whether the statutes should be updated to reflect current revenue conditions. Association of Counties director Linda Svihovec and League of Cities director Matt Gardner both said they have been heavily training local officials on the new 3% property tax cap and reserve rules. Svihovec said the association has held dozens of training sessions and that the standard worksheets used statewide are designed to help counties comply; she suggested that a possible enforcement tool could be requiring an affidavit from taxing districts certifying compliance with the cap. Gardner said city auditors receive required training through the League of Cities and that he was unaware of any cities currently out of compliance. The committee took no formal action and indicated it would continue the discussion at its September 29 meeting, with members asked to review the legislative council memo on possible enforcement mechanisms and statutory changes.

Transcript Highlights:

• portions of the Acts of Assembly of 2025 relating to the Virginia Contractor Transaction Recovery Fund
• Delegate from Fairfax, Delegate Creasy. ...construction exception.
• potential misuse of cooperative procurement processes for large public construction projects.
• potential misuse of cooperative procurement processes for large public construction projects.
• potential misuse of cooperative procurement processes for large public construction projects.

Transcript Highlights:

• ><c> Head</c><00:04:17.519><c> Start,</c> legislation that funded Head Start, legislation that funded
• We have named a landfill fund for you." She goes, "A landfill fund?" And she chuckled.
• that fund because it's mine now."
• </c> funds. Sometimes it all gets spent. funds. Sometimes it all gets spent.
• She also liked a good mystery story like what construction grant have a very special construction grant

Transcript Highlights:

• These smaller construction, rehab, and maintenance projects are not construction; they are painting or
• fund.
• fund.
• We don't have the funds to pay for it. So that's the thing.
• We don't have the funds to pay for it. So that's the thing.

Committee: House Emergency Management

Transcript Highlights:

• We funded 21. Again, zero projects were actually funded in 2016.
• We expect that we will be doing the funding, approving the funding in May.
• You've got your funding, and the north of that has this funding now.'
• Because we're starting in 2025 for the 2026 funding. The 2027 funding would.
• It would be exempted, the 2028 funding and the 2029 funding.

Committee: House New Mexico Finance Authority Oversight Committee

Transcript Highlights:

• We really don't have the funding to keep up.
• , or direct the federal funding where it goes and where we need to put some of that federal funding for
• And we do the funding on those first. And any remaining funding, we then move towards...
• Funding on those first and any remaining funding, we then move towards our pavements.
• necessary, and to get the construction started.

Committee: Senate Transportation

Summary: The Senate Transportation Committee devoted the meeting to state highway preservation needs, with testimony from Troy Suing of the Department of Transportation’s Capital Program Development and Management program. Suing said the department is a national leader in asset planning, but current funding is not enough to keep up with preservation needs. He distinguished preservation from operations and maintenance, and outlined the main highway preservation categories: pavements, bridges, and other highway facilities such as slopes, rest areas, signal systems, retaining walls, and culverts. Suing presented data showing that many assets are already past the optimal “lowest life cycle” point for repair. He said about 40% of roads are overdue for preservation now, and roughly 85% could need some form of preservation within 10 years under current funding. For bridges, he said Washington has about 3,400 bridges, with an average age of 52 years, and about 9.9% are currently in poor condition, putting the state near the federal 10% threshold that could trigger more federal oversight. He also described culvert failures and bridge closures, including the Carbon River Bridge, as examples of how deferred maintenance can quickly disrupt communities. Committee members asked about liability risk, bridge project costs and regulatory burden, traffic data, and whether DOT is using more in-house crews for bridge work. Suing said deterioration increases tort and closure risks, bridge projects can involve significant design, environmental, permitting, and outreach costs, and DOT is relying more on maintenance forces in part because of the volume and urgency of repairs. He said the department’s 2026 supplemental budget identified preservation as one of five underfunded critical priorities and estimated a 10-year preservation need of $8 billion to address the backlog and become more proactive. No votes were taken; the meeting was informational and ended with committee appreciation for DOT staff and a brief birthday announcement from Senator Alvarado.