Transcript Highlights:

• Good afternoon, and welcome to the Assembly Budget Subcommittee No. 5.
• I'm the chief of budgets and accounting.
• CalHR's current-year budget is $132 million and 454 positions.
• budget in 2025-26 of $139 million and 456 positions.
• Will the department have to augment its budget for more...

Summary: The Assembly Budget Subcommittee No. 5 heard updates from the Secretary of State, EDD, the State Controller’s Office, CalHR, and DGS on a range of budget proposals and federal policy impacts. Secretary of State Shirley Weber opened with remarks about California’s election system, emphasizing its safety, transparency, high voter registration and vote-by-mail participation, and the office’s response to bomb threats and other election threats. Her staff then presented funding requests for the Cal-Access Replacement System (CARS) and Help America Vote Act/VoteCal activities, describing them as needed to modernize campaign finance and lobbying disclosure systems and maintain election security and voter services. A major portion of the hearing focused on federal election policy, especially the potential effects of a presidential executive order and the SAVE Act. Secretary of State staff said California would face significant, potentially unquantifiable costs if forced to comply, including new burdens on county recorders, county election offices, and the Secretary of State’s office, and warned of voter disenfranchisement, especially for students, seniors, disabled voters, military and overseas voters, rural residents, and people with limited transportation. Members and public commenters strongly opposed the federal proposals and argued California’s current system is functioning well. The committee also heard that federal HAVA funds were not expected to be at risk because the state draws them down into an interest-bearing account. EDD reported on paid family leave, explaining that recent delays were tied to a system transition and increased claim volume, and said it was simplifying applications and adding staff and automation. Public testimony supported expanding paid family leave to chosen family. EDD also said it is prepared for possible unemployment spikes, citing a recession plan, a command center, and recent hiring. The State Controller’s Office requested funding to continue the Fiscal migration project, which would move the state’s accounting book of record to the new system by July 1, 2026; Finance and LAO had no objections, and the committee expressed support for the project’s progress. CalHR presented a proposal for a statewide recruitment, outreach, and education paid media campaign under AB 1511, saying its current advertising budget is too small to reach diverse communities effectively. The final item addressed Governor Newsom’s executive order requiring a return to office on a four-day schedule. CalHR and DGS said they were working department-by-department to assess space, parking, transit, and other logistics, but had not completed a statewide cost analysis. Members and many public commenters criticized the order, arguing it was rushed, costly, harmful to telework benefits, and potentially disruptive to workers, especially those with disabilities, caregiving responsibilities, or long commutes. No votes were taken during the hearing.

Transcript Highlights:

• Thank you. committee's budget. We believe this committee's budget.
• Each spring, I revise the current budget and build next year's budget.
• Each spring, I revise the current budget and build next year's budget.
• Each spring, I revise the current budget and build next year's budget.
• Each spring, I revise the current budget and build next year's budget.

Keywords: 1187, senate, all

Transcript Highlights:

• Education Committee and the Senate Budget Committee to come to order.
• be seen in Item 6100-0901 when looking at the budget bill.
• Last year we had the same proposal on our budget, other budgets of committee on the housing agency, same
• , in those budget negotiations... ...with you and your colleagues around issues around budget.
• Because budget, we heard... ...we heard about it.

Summary: The joint Senate Education and Budget Committee hearing focused on the Governor’s proposed education governance overhaul, which would shift day-to-day management of the California Department of Education from the elected Superintendent of Public Instruction to a new appointed education commissioner, while giving the Superintendent new voting roles on the State Board of Education and the Community College Board of Governors. Chair Perez opened by stressing that the proposal raises major policy questions beyond the budget process and should be evaluated for its effect on students, local control, and accountability. Brooks Allen of the State Board of Education argued the change would unify policymaking and implementation, reduce fragmented authority, and create clearer accountability, citing decades of reports criticizing California’s “crazy quilt” governance structure and noting the proposal is timed for the 2026 transition. Amber Alexander of the Department of Finance outlined the fiscal and staffing transfers, describing the plan as largely cost-neutral and explaining how positions would shift between the State Board, the Department, and the new Superintendent’s office over 2026-27 and 2027-28. Sarah Cortez of the Legislative Analyst’s Office said the LAO supports shifting management to an appointed commissioner but recommended several refinements: preserving legislative oversight, requiring Senate confirmation of the commissioner, clearly defining the Superintendent’s duties as a public representative/advisor/evaluator, and refining the State Board’s role to focus on major policies requiring public input. She also said the fiscal plan should be cost-neutral and more fully specified. Senators raised concerns about the timing during an election year, the constitutional status of the Superintendent, whether the proposal should instead be a constitutional amendment, and whether governance changes actually improve student outcomes or simply rearrange the org chart. Some members questioned whether the proposal would confuse voters and undermine democratic accountability, while others said the current structure is already confusing and that the reform could improve clarity for districts and local boards. The discussion also covered how curriculum is set, with LAO explaining that the Legislature has broad authority but has delegated much curriculum work to the State Board and the Instructional Quality Commission. Members asked how the new structure would affect local districts, who they would call for guidance, and whether the commissioner would have authority over policy; the presenters said policy authority would remain with the State Board, while the commissioner would handle administration and implementation. No votes were taken during the panel discussion, and the hearing was organized to continue with additional panels and public comment later in the meeting.

Transcript Highlights:

• </c><00:03:42.560><c> uh</c> put $3.6 6 million into this budget uh put $3.6 6 million into this budget
• We'll get into the budget points.
• But yesterday, well, first, in your slides you had your budget request in House Bill 500 as budgeted.
• ><c> as</c><00:35:01.119><c> budgeted.
• </c><00:47:15.760><c> where</c> budget or elsewhere in the budget where budget or elsewhere in the budget

Keywords: 958, all

Summary: The House Budget Review Subcommittee on Postsecondary Education heard presentations from the University of Louisville and the Kentucky Community and Technical College System (KCTCS) on their strategic plans, enrollment trends, and budget priorities. University of Louisville President Bradley highlighted the university’s new five-year strategic plan, its R1 research status, community-engaged and opportunity college classifications, record enrollment of 25,005 students, and its role in serving first-generation, Pell-eligible, military-connected, and rural students. He also emphasized the university’s economic and workforce impact, including athletics, nursing, dentistry, and a recent Speed School building, and previewed major capital and program requests: a $142 million STEMH building, a $15 million one-time request for National Cancer Institute-related cancer research, and $5.3 million for the Kentucky Manufacturing Extension Partnership. He also discussed a planned $260 million health sciences building and the university’s efforts to expand health care access beyond Louisville through regional sites and residency partnerships. Members responded positively, with Representative Tipton asking about agency bond projects and regional health outreach, and President Bradley saying the university is evaluating debt capacity and exploring smaller projects while noting that the STEM building request would rely on state-funded debt service. He described UofL Health’s expansion into places such as Bullitt County, Shelbyville, Madisonville, and Paducah, and its efforts to train physicians for rural practice. Representative McCool praised the university’s military-friendly designation and cancer research priorities and noted personal family ties to UofL. Michaela Aman, a sophomore from Letcher County, also testified about how UofL has supported her as a rural student and emphasized the university’s commitment to opportunity and social mobility. KCTCS President Ryan Quarles and CFO Todd Kilburn then presented the system’s enrollment, completion, and workforce-training results. They said KCTCS now serves more than 110,000 students, graduated a record 24,000 students last May, and has moved from 45th to 4th nationally in graduation rate. They also highlighted that over half of students are first-generation, 60% work while enrolled, 70% of graduates work in Kentucky, and 74% graduate with no student loan debt. KCTCS described its common-course-numbering agreement with Morehead State as part of a broader transfer simplification effort, and said it trains about 200,000 Kentuckians annually when including workforce training and firefighter instruction. The system also outlined efficiency measures, including property sales, a new bookstore contract projected to save $4.3 million over five years, and a new evaluation process for real estate and facilities. KCTCS’s budget and capital requests included operating funding tied to enrollment growth, support for the TRAINs program, the ECTC training facility at Glendale, continued support for Health Force Kentucky, three capital construction projects at Jefferson, Bluegrass, and Gateway, and asset preservation funding focused on safety and security upgrades. Quarles also referenced House Bill 5, saying it would expand KCTCS’s correctional education and re-entry work and could help reduce recidivism. Members asked about the bill and its impact, and KCTCS said it already provides instruction in jails and prisons and sees the proposal as an extension of that work.

Transcript Highlights:

• Subcommittee Number One on Education of 2026, where we will take votes that reflect the Senate's budget
• I want to thank the LAO, our nonpartisan budget... ...isn't necessary.
• And I really think that that's what this budget does.
• The Senate Budget Subcommittee No. 1 on Education is adjourned.
• The Senate Budget Subcommittee No. 1 on Education is adjourned.

Keywords: 987, senate, all

Transcript Highlights:

• The plan is to take up and pass all of the House and Senate budget bills to put us in the posture to
• start budget conference meetings.
• The bills we pass today are identical to the budget bills we passed in regular session.
• Because we are being efficient in our time today, ...in budget conference.
• We will return to the floor at the end of the month and have questions and debate on all budget bills

Keywords: 998, house, all

Transcript Highlights:

• The Senate Budget Subcommittee No. 1 on Education will come to order.
• In the 2020 Budget Act, the state provided $200 million one-time Proposition 98 General Fund for the
• We know this was previously supported in the budget, so we're asking for a reinvestment.
• We know this was previously supported in the budget, so we're asking for a reinvestment.
• We've concluded the agenda for today's hearing, and the Senate Budget Subcommittee is adjourned.

Summary: The Senate Budget Subcommittee on Education heard the Governor’s proposals on dual enrollment, reading difficulty screeners, special education, school facilities, and Commission on Teacher Credentialing programs. For dual enrollment, the Department of Finance described a $100 million one-time Proposition 98 General Fund proposal to expand the Dual Enrollment Opportunities Grant Program, add flexibility for regional occupational centers, support justice-involved youth, prioritize higher-need LEAs, and allow funds for teacher professional development, along with a reduction in required instructional minutes for some dual enrollment students. The LAO recommended rejecting the new funding, saying it did not address a clear implementation barrier, while CDE supported the proposal and suggested reserving $10 million for technical assistance. Members and public commenters largely supported the expansion, with some urging additional technical assistance and broader access, including adult dual enrollment. The committee then discussed the reading difficulty screener proposal, which includes $40 million one-time Proposition 98 General Fund for implementation costs and statutory changes that would delay formal screening until the 91st day for kindergarten and the 46th day for grades 1-2. Finance said the timing was intended to reduce over-identification and align screening with sufficient exposure to instruction; the LAO recommended rejecting the funding and redirecting it to a discretionary block grant. CDE supported the investment but cautioned about the timing restrictions, and several members and public witnesses argued the proposed deadlines were too rigid and could delay early intervention, while others supported the structured timeline as a way to improve accuracy and reduce misidentification. On special education, Finance presented a proposal to increase the statewide base rate to $99 per ADA through a $509 million ongoing Proposition 98 General Fund augmentation, plus COLA and a negative growth adjustment. The LAO said the proposal should be adopted but estimated it could be achieved with less funding; CDE strongly supported the increase, citing rising enrollment and local cost pressures, and district and SELPA representatives described large local funding gaps and growing expenditures. The committee also reviewed school facilities funding under Proposition 2, with Finance and the Office of Public School Construction describing $1.5 billion in proposed bond spending, existing balances for new construction and modernization, and the use of bond authority for natural disaster recovery, including projects related to recent fires. For the Commission on Teacher Credentialing, the committee heard about the Student Teacher Stipend Program, the Golden State Teacher Grant, state operations funding for misconduct investigations and SB 848 implementation, and a $250 million proposal to extend the Teacher Residency Grant Program; CTC supported the proposals and highlighted new data systems and technical assistance, while public testimony broadly backed the investments and urged continued or additional funding for teacher recruitment, literacy screening support, and special education.

Transcript Highlights:

• I'll start with the broader budget context.
• And we've recommended that the Legislature enact a budget with at least the amount of ongoing budget
• I'll start with the broader budget context.
• And we've recommended that the Legislature enact a budget with at least the amount of ongoing budget
• It's a win-win for taxpayers and the state budget.

Keywords: 987, senate, all

Transcript Highlights:

• So that's about a third of their budget.
• About half the budget is victim services.
• It may not come out of your budget, but it's coming out of somebody's budget in the state, usually the
• mental health budget.
• I sat in the budget presentation yesterday about the community-based care agencies that provide The budget

Summary: The committee met to hear an overview of the Appropriations Committee on Criminal and Civil Justice budget area and then received performance-measure presentations from the Department of Corrections, the Commission on Offender Review, and the Department of Juvenile Justice. Staff reviewed the roughly $7.4 billion criminal justice and judiciary budget, noting major funding areas such as corrections, law enforcement, victim services, courts, and due process, along with recent investments in prison health care, security equipment, fentanyl enforcement, court staffing, and juvenile justice salaries and education programs. Secretary Dixon of the Department of Corrections described staffing and population pressures, including growth in inmate population, overtime-driven deficits, and the opening of additional housing units. He emphasized the department’s use of performance measures and highlighted reforms such as incentivized prisons, administrative management units, reentry planning, faith-based programs, and expanded education and vocational training. Members asked about teacher hiring, public defender pay parity, fentanyl funding, staffing capacity, and the role of the National Guard; Dixon said teacher vacancies had improved, public defenders had received comparable pay increases, fentanyl funding would be addressed further by FDLE, and the Guard had helped stabilize staffing. The Commission on Offender Review reported on parole, conditional release, addiction recovery supervision, and revocations, saying its recidivism/success rates had improved over a three-year measurement period. Senator Rouson pressed the commission on clemency and pardons, saying that work was omitted from the presentation and asking for backlog and case data; the commission said it did not have those figures on hand and would follow up. The committee also discussed a conditional medical release pilot study, and members questioned the report’s conclusion that no suitable elderly inmate population could be identified, asking what criteria were used and whether stakeholders were consulted. Secretary Hall of the Department of Juvenile Justice outlined the agency’s prevention-to-residential continuum and its emphasis on education, data-driven decision-making, and evidence-based programming. He said salary increases had reduced vacancies, juvenile arrests and residential commitments had fallen sharply over time, and tools such as civil citations, risk assessments, and quality-improvement reviews were being used to guide placements and services. Hall also described the department’s use of dashboards, monthly data check-ins, and the dispositional matrix to improve outcomes and reduce recidivism.

Transcript Highlights:

• The Senate Budget and Fiscal Review Subcommittee 4 will come to order.
• So we believe what we have in this budget achieves a balanced budget while also preserving the core elements
• The budget change proposal And funding for local schools.
• So this is a policy and budget choice that's involved here.
• And the Senate budget... Yeah, go ahead.

Keywords: 987, senate, all

Transcript Highlights:

• Uh this has no agency budget bill.
• c> from the agency's budget from the agency's budget bill.<00:22:39.200><c> Moving</c><00:22:39.520><
• This is from the department's budget<00:35:31.920><c> bill.</c> budget bill. budget bill.
• </c> opportunity to talk through the budget. opportunity to talk through the budget.
• budget within a budget you're crafting a budget within a budget target<00:49:08.800><c> given</c><00

Keywords: 1187, senate, all

Transcript Highlights:

• Chair, Representative, regarding the Jedi budget, so that's built into our recurring budget.
• So as it relates to our budget, So as it relates to our budget, we're asking for a base budget increase
• What's happened to the DOH budget? Mr.
• Chair, Representative Dow, I just want to—our actual budget, our current operating budget for general
• at for their FY27 budget.

Summary: The committee first recognized Mark Roper of the Economic Development Department for his long service and retirement, with members and the secretary praising his work on economic development across the state. Secretary Rob Black then presented EDD’s budget and special appropriation requests, describing strong recent job and income growth and outlining the department’s strategy around science and technology, site readiness, workforce development, foreign direct investment, and rural/community programs. He highlighted wins in advanced energy, quantum, space and defense, and biosciences, and asked for funding for quantum/DARPA matching funds, additional site readiness work, LIDA closing funds, JTIP training support, New Mexico Partnership, and healthy foods and other community programs. Members asked detailed questions about the quantum proposal, site readiness, the new mapping tool for industrial sites, workforce participation, trade missions, foreign investment, tariffs, water and produced water, tribal site evaluation, and public engagement on major projects. Black said the quantum request was intended to match federal dollars and build a workforce pipeline, that the site-readiness software would be a set enterprise license, and that the department was working with tribes and local partners on future site evaluations. He also said tariffs have created uncertainty but New Mexico’s infrastructure and foreign trade zones could help attract manufacturing, and he acknowledged concerns about transparency and community input while noting that some projects, such as Pacific Fusion, had gone through extensive public processes. The committee also discussed specific projects and funding balances, including Mantis Space’s move to Albuquerque, the status of Virgin Galactic’s spaceport lease, and the current LIDA fund balance and encumbrances. Black and Deputy Secretary Isaac Romero said the department was trying to use State Investment Council-backed venture funds to attract companies and that the new investments were already producing deals and jobs. Members generally supported the department’s direction but pressed for more targeted expertise, faster deployment, and stronger community involvement in future economic development decisions. Later, Secretary de Blassie of the Department of Health presented the department’s budget request and progress report. He said DOH had improved revenue cycle management, reduced old Medicaid-pending cases, increased census at facilities, improved budget and contract timeliness, and responded effectively to the measles outbreak. The department requested additional base funding for epidemiology and response, the DOH helpline, the Vital Records Virtual Vault, state labs, and the veterans home, along with special requests for respiratory vaccinations and marketing and lab equipment replacement. He also noted progress on MOUD and the medical psilocybin program, and said the department was not seeking to launch new programs given the limited time left in the administration.

Transcript Highlights:

• We received the capital budget from Governor AOT and a projected budget from Governor AOT and a projected
• Uh with capital budgets from the house.
• Um the cities obviously can work budget.
• I don't here in a tight budget year.
• </c> budget. That project's been encumbered. budget. That project's been encumbered.

Keywords: 1191, senate, all

Transcript Highlights:

• This year, we are again requesting a flat budget.
• It would equate to $72,000 dollars in our budget.
• I just want to close by saying that this budget, on behalf of the judiciary, is a very streamlined budget
• This year, we have budget requests.
• Per diem payments that augment their budget, their $3.9 billion budget.

Keywords: 914, all

Transcript Highlights:

• When budgeting for when a UC or CSU budgets, is this going to impact their ability to budget?
• We're entering a very tight budget environment.
• not from this state apportionment budget.
• Most importantly, this takes $1.4 million of Mount SAC's budget out of its budget.
• That we have in the budget.

Keywords: 988, house, all

Transcript Highlights:

• Uh, we have passed a comprehensive budget, and we have moved that budget through the process.
• Uh, we have passed a comprehensive budget, and we have moved that budget through the process.
• We have produced a budget.
• </c> budget integrity in the in the budget budget integrity in the in the budget that<00:20:23.440><c
• Our budget forward for next year.

Keywords: 918, senate, all

Summary: A Minnesota Senate leader discussed the end-of-session budget deal and said the Senate had passed a comprehensive budget that addresses several recent crises and federal policy changes. He highlighted funding to respond to gun violence, Metro Surge, and the effects of a federal Republican budget bill, saying the package includes retroactive medical assistance coverage, support to keep SNAP functioning, $10 million for food banks and shelves, rental assistance, and aid for counties and property taxpayers. He also said the Senate secured $205 million for HCMC, a $30 million uncompensated care pool for other distressed hospitals, and a $500 million health care stabilization reserve, along with a one-year license tab fee reduction and a $1.2 billion bonding bill. He said some priorities were left out or rejected in negotiations, including small business relief, low-income rent, energy assistance, rural EMS stabilization, a manufactured home bill of rights, a social media platform data collection tax, and proposals to block private equity from nursing homes and single-family homes. He also said the House Speaker had promised but not brought a gun vote to the floor, and he expressed disappointment that immigration-related action and some gun control measures did not advance further. He defended the rental assistance as available to Minnesotans regardless of documentation status and said it was not tied only to Operation Metro Surge. The leader also addressed concerns about payment withholding and program integrity in human services, saying the goal was to fight fraud without cutting services. He said hospitals seeking access to the stabilization reserve would need to show distress and financial need, and that both the governor and a legislative advisory committee would have to approve. He closed by saying the process had been difficult and too much negotiation had moved into backroom settings, but that the chambers were working toward an orderly conclusion and that he expected the remaining bills to be finalized and sent to the governor.

Transcript Highlights:

• So it looks like hopefully some of our Capital Budget members will be struggling in and listening on
• Is there communication happening with the operational budget now?
• to quantify cost estimates into your budget cycles.
• However, this policy is intended to inform future capital budget funding after 2028.
• However, this policy is intended to inform future capital budget funding after 2028.

Bills: HB2330, HB2338

Keywords: energy systems, capital funding, state campus, school infrastructure, sustainability, weatherization, energy efficiency, community projects, environment, 904, all

Transcript Highlights:

• But we had a budget update this morning, and it started.
• Being a budget sub chair, it's important to be there for the budget updates.
• budget.
• Planning will begin in the budget year with project awards and budget year plus one.
• When you think about it from a budget act or a budget galley perspective, what we're proposing is that

Keywords: 988, house, all

Transcript Highlights:

• units, budget analysis, contract reviews, even legislative reviews.
• Just like the analogy about the car, budget units shouldn't limit themselves to only thinking about AI
• units, budget analysis, contract reviews, even legislative reviews.
• unit being another budget unit, whether it be a business, whether it be one of your constituents.
• And so budget units being able to share that is important.

Summary: The House Artificial Intelligence and Innovation Committee heard a presentation from Steven Garrison of the Cicero Institute on how Arizona state government could use AI to improve service delivery, reduce costs, and streamline procurement. He argued AI should be treated as software, with agencies proactively identifying use cases, tracking outcomes, and avoiding unnecessary agency-level regulation or new bureaucratic structures. Members questioned him about workforce impacts, privacy, agency involvement, and the balance between innovation and guardrails; he said AI would likely augment workers in the short term and create new jobs over time, while legislative oversight should focus on specific harms and gaps in law rather than broad agency rules. The committee then considered HB 2592, which directs the Arizona Department of Administration to require budget units to identify AI opportunities, reduce administrative duties, streamline procurement, and establish AI governance, while also sending emergency or temporary AI rules to the legislature for approval. An amendment added reporting requirements to the governor, legislative leaders, and Secretary of State on efficiency measures and barriers encountered. After limited testimony, including support from Jeannie Magdua of Conservative Ladies of America, the committee adopted the amendment and passed the bill as amended on a 4-2 vote, with one member absent. The final bill, HB 2452, would add data centers and small modular reactors to county comprehensive planning considerations and adjust county planning requirements for land use and energy-related development. Supporters, including Russell Smolden of the Arizona Municipal Power Users Association and Dave Morris of Americans for Prosperity Arizona, said the bill would improve long-term planning for data centers, energy infrastructure, and emerging technologies. The County Supervisors Association opposed it, arguing it improperly singled out specific uses, blurred comprehensive planning with zoning, and reduced local control. The committee passed HB 2452 on a 4-3 vote and then adjourned.

Transcript Highlights:

• What our budget office did is basically they quit giving us the budget the way that they always done
• And the budget director said, no, they're not.
• , and then budgets are set again.
• to save for everybody, and then you adopt the new budget.
• uses every biennium whenever they set their budget, or y'all set your budget.

Keywords: 1184, house, all