Transcript Highlights:

• going to develop a standard operating procedure for accounts receivable and accounts payable reconciliation
• is going to develop a standard operating procedure for accounts receivable, accounts payable reconciliation

Committee: All LEGISLATIVE JOINT AUDITING-EDUCATIONAL INSTITUTIONS

Summary: The committee opened with prayer, approved the January 8 minutes, and then reviewed education audit reports. The first report concerned Northwest Arkansas Community College, which had two findings: repeat internal control deficiencies that caused material misstatements in the financial statements, and a tuition revenue loss tied to a Workday system issue that failed to charge some students after drop-add changes. College officials said the problems were misclassification and process issues rather than missing funds, described corrective steps including checklists, monthly closing procedures, and approval controls, and attributed some issues to staffing turnover and the Workday implementation. Members asked about accountability, staffing, and whether students should have been billed; the report was filed as reviewed. The next report was Cedarville School District, where auditors found improper personal credit card charges of $794 by a former elementary teacher. The employee reimbursed the district, and the matter was referred to law enforcement, the prosecuting attorney, the attorney general, and the Professional Licensure Standards Board. Members asked whether any licensing action would follow, but staff said they were only aware that no further action had been taken by the board. The final finding was for West Memphis School District, which had a repeat capital assets issue involving failure to capitalize $851,000 in construction expenditures for a baseball-softball complex, along with other asset-recording and inspection discrepancies. The superintendent said the district had recently begun using Arkansas Legislative Audit for the first time after previously using a private CPA firm, and described new controls such as multi-level purchase approval, tagging, separation of duties, and inventory cleanup. Members questioned why the district had not been audited publicly before and how private audits are handled; staff explained that private audits are still reviewed and findings come before the committee. The report was filed as reviewed. The meeting ended with notice that 28 school districts had no findings and then adjourned.

Transcript Highlights:

• claims paid on behalf of clients; fulfillment of the state's expenditure matching obligations; a reconciliation
• A reconciliation of financial information to reports filed by the agency.

Committee: All LEGISLATIVE JOINT AUDITING-MEDICAID SUBCOMMITTEE

Transcript Highlights:

• last several years here, has that current authority for investigation on this, and resolution, reconciliation
• last several years here, has that current authority for investigation on this, and resolution, reconciliation

Bills: SB5223 , SB5928 , SB6071 , SB5995 , SB5966 , SB5841 , SB6061 , SB5944 , SB5520 , SB6087 , SB6076 , SB5916 , SB6016 , SB6137 , SB6009 , SB5833 , SB6161 , SB5890 , SB5973 , SJM8015 , SB5816 , SB5053 , SB5249 , SB5536 , SB5834 , SB5837 , SB5872 , SB5879 , SB5899 , SB5925 , SB6019 , SB6148 , SB6190 , SB6237 , SB6086 , SB5574 , SB5873 , SB5992 , SB5924 , SB6134 , SB6263 , SB5395 , SB6282 , SB5905 , SB6302 , SB5950 , SB6074 , SB6096 , SB5970 , SB5609 , SB5827 , SB5838 , SB5845 , SB5862 , SB5880 , SB5901 , SB5922 , SB5943 , SB5971 , SB5975 , SB5981 , SB5982 , SB5984 , SB5988 , SB5994 , SB6034 , SB6035 , SB6070 , SB6097 , SB6110 , SB6246 , SB6248 , SB6278 , SJM8016 , SB5496 , SB6054 , SB5835 , SB5907 , SB6031 , SB6155 , SB6158 , SB6227 , SB5947 , SB6247 , SB6085 , SB6234 , SB6274 , SB6194 , SB5909 , SB5868 , SB6026 , SB5974 , SB6044 , SB5906 , SB6081 , SB6239 , SB5923 , SB6323 , SB6210 , SB6045 , SB6106 , SB5346 , SB6089 , SB6170 , SB5954 , SB5968

Keywords: criminal offense, fingerprinting, law enforcement, state regulations, public safety, wildfire risk, disclosure, safety, environmental policy, risk assessment, overpayment recovery, modernization, health care, legislation, zero emission, cargo handling, port district, environmental impact, grant allocation, healthcare

Transcript Highlights:

• </c><04:37:34.561><c> the</c><04:37:34.799><c> really</c><04:37:35.080><c> hard</c> in reconciliation
• the really hard in reconciliation the really hard thing<04:37:37.920><c> is</c><04:37:38.080><c> also
• so just doing this and reconciliation so just doing this and communicating<04:41:31.840><c> to</c><04
• So we're going to head towards doing reconciliation.
• We're going to try to do reconciliation policy.

Bills: HR23 , HR22 , HR21

Keywords: proxy voting, remote voting, parental leave, House of Representatives, committee meetings, committee appointments, representation, legislative committees, elections, HR21, legislative process, government structure

Transcript Highlights:

• </c> revolution to reconciliation. revolution to reconciliation.
• I call it no-fault reconciliation.
• I call it no-fault reconciliation.
• I call it no-fault reconciliation.
• It is no-fault reconciliation.

Summary: The Senate convened with prayer, the pledge, and a roll call establishing a quorum of 35 senators. The journal was adopted without objection, absent senators were excused, and there were no house messages, committee reports, motions, or resolutions before the first bill was called. The main item of business was House Bill 1, described as a conditional measure to set a process for electing U.S. House candidates in Alabama’s congressional districts 1, 2, 6, and 7 if a federal court order lifts current injunctions. The sponsor said the bill would only take effect if the court order is issued and would allow quick compliance with federal rulings. Debate centered on whether the bill was truly responsive to the court or instead an attempt at mid-decade redistricting; opponents argued it would violate Alabama’s constitutional limits on elections and ignore the court’s redistricting orders, while supporters said they were trying to comply with the court and that the issue was partisan rather than personal. Much of the discussion focused on Allen v. Milligan, the Voting Rights Act, and the meaning of the court’s injunctions. One senator argued the bill would dilute Black voting strength and was being driven by national Republican politics, while the sponsor and others insisted the legislature was acting only conditionally and that the court had not ordered the specific action being debated. The exchange became lengthy and contentious, but no final vote or other action on HB1 was taken in the portion provided.

Transcript Highlights:

• A final reconciliation involves reconciling a grant's request for payment for a given period with supporting
• </c><00:14:15.199><c> during</c><00:14:15.519><c> those</c> financial reconciliation during those financial
• reconciliation during those monitoring<00:14:16.320><c> visits</c><00:14:16.720><c> to</c><00:14:16.959
• A final reconciliation<00:14:24.160><c> involves</c><00:14:24.639><c> recon</c> reconciliation involves
• recon reconciliation involves recon reconciling<00:14:25.680><c> a</c><00:14:25.920><c> grant's</c><

Committee: House Workforce, Labor, and Economic Development Finance and Policy

Transcript Highlights:

• Line 10 would require that for each grant the department conduct a financial reconciliation for a sample
• in the grant, and also ensuring that department staff have appropriate training on financial reconciliation
• staff have appropriate training on staff have appropriate training on financial<00:30:19.480><c> reconciliation
• </c><00:30:20.400><c> and</c><00:30:20.560><c> fraud</c> financial reconciliation and fraud financial
• reconciliation and fraud prevention. prevention. prevention.

Committee: Senate Finance

Transcript Highlights:

• the Senate's amendment to the budget resolution, an essential step in moving forward with the reconciliation

Bills: HCR22 , HR1039 , HR586 , HR970 , HR877 , HR1228 , HR983 , HR981 , HCR9

Keywords: HIV/AIDS, National Black HIV/AIDS Awareness Day, Black health, public health, HIV testing, HIV prevention, PrEP, antiretroviral therapy, viral suppression, U=U, undetectable equals untransmittable, AIDS, Minority AIDS Initiative, community health centers, culturally competent care, health disparities, racial disparities, health equity, Black Americans, African Americans

Transcript Highlights:

• A large share of those were for the Income Support Division to prepare for the federal reconciliation
• anticipated loss of federal Medicaid funds and enrollment changes that are shifting from HR1, or the reconciliation
• opportunity already to talk about the changes that are coming in Medicaid related to the Federal Reconciliation
• have not made a final decision on this for calendar year 2026, and the reason for that is the reconciliation

Transcript Highlights:

• Um, can we get a motion to roll the three KIA loans and the Cleaner Water Program grant reconciliation
• :42.400><c> grant</c> and the cleaner water program grant and the cleaner water program grant reconciliation
• 44.799><c> into</c><00:26:45.200><c> one</c><00:26:45.360><c> roll</c><00:26:45.679><c> call</c> reconciliation
• uh into one roll call reconciliation uh into one roll call vote?

Summary: The committee first handled routine business, including approval of the June meeting minutes and receipt of several correspondence and information reports. Those reports covered quarterly capital project status updates from state agencies and postsecondary institutions, lease modifications, asset preservation projects, school district debt issuances, and Kentucky Communications Network Authority budget history materials. Members also raised questions about a long-open stream mitigation account and were told the funds are fee-in-lieu stream mitigation monies administered through Fish and Wildlife, with staff promising to follow up on the specific project. The committee then reviewed and approved several capital project actions. These included a new Camp Oralis dining hall project for the Department of Fish and Wildlife Resources, explained as a reauthorization because the funding split changed to 64% federal and 36% agency funds; an appropriation increase for the Shelbyville armory addition due to higher construction costs and security requirements; and emergency repair projects for Fort Boonesboro flood remediation and the Kentucky State Police Supply Branch fire damage. Members also approved a tenant improvement fund request for parking garage safety improvements at the Mayo Underwood Building. The Office of Financial Management presented three Kentucky Infrastructure Authority items and one Cleaner Water Program reallocation. The loans included a Shepherdsville sewer/drainage project and two Auburn water and lead service line projects; the grant reallocation involved unused Cleaner Water Program funds, with staff emphasizing that all ARPA-funded cleaner water dollars must be spent by December 31, 2026 or returned. After discussion, the committee approved the package. The committee also approved six Economic Development Fund grants, and the Cabinet for Economic Development began presenting the first six KPDI projects, though the transcript cuts off before those project details were completed.

Transcript Highlights:

• All right, so now let me move on to OB3, so that's the federal reconciliation bill from last July, and
• various rules about how they needed to pay for that and how they were going to get it through a reconciliation
• want to be clear that the way this works is there's a review of payments, and then there's a reconciliation

Committee: Senate Senate Committee on Intergovernmental Affairs

Summary: The committee heard testimony from Doug Howe of the Mass Taxpayers Foundation and Evan Horowitz of Tufts on the fiscal effects of federal policy changes, especially the OB3 reconciliation law, federal shutdown risks, and Massachusetts budget planning. Howe outlined a framework of direct and indirect federal impacts on the state budget, capital program, and grant funding, emphasizing uncertainty around Medicaid, SNAP, LIHEAP, immigration, NIH funding, and federal tax changes. He said OB3 is expected to reduce federal health spending in Massachusetts by about $3 billion annually when fully implemented, with an estimated 250,000 to 300,000 people losing coverage, and could shift up to $400 million in annual SNAP costs to the state if Massachusetts’ error rate remains above the federal threshold. He also discussed the governor’s proposal to delay conformity with certain federal tax changes and to expand the pass-through entity tax to offset revenue losses. Members questioned the witnesses about SNAP error rates, unemployment insurance, the use of the stabilization fund, and whether the state should adopt a Maryland-style delay in implementing federal tax changes. Howe argued the stabilization fund should not be used to backfill permanent obligations, but could be used for temporary crises, and said the state should improve data-sharing and administrative systems so eligible residents do not lose MassHealth or other benefits because of paperwork barriers. He also said unemployment insurance remains a major problem and that a broader fix should include benefit, tax, and possibly state contributions. Horowitz took a more aggressive view on using reserves for urgent needs like SNAP, argued the state should harden its budget against volatility, and warned that Massachusetts is increasingly exposed to stock-market-driven revenue swings and to a possible income tax ballot question that could significantly reduce revenues. No votes were taken; the hearing was informational, and the chair asked both witnesses for follow-up written recommendations, especially on system integration and accountability.

Transcript Highlights:

• All right, so now let me move on to OB3, so that's the federal reconciliation bill from last July, and
• various rules about how they needed to pay for that and how they were going to get it through a reconciliation
• want to be clear that the way this works is there's a review of payments, and then there's a reconciliation

Committee: Senate Senate Committee on Intergovernmental Affairs

Transcript Highlights:

• Well, this document is a general fund cash reconciliation document that helps inform the Well, this document
• is a general fund cash reconciliation document that helps inform the legislature on the relationship
• A lot of those reconciliation processes are happening now, but I think the jury's still out on how the

Summary: JFAC began with a presentation from Legislative Services on the general fund and the “green sheet,” explaining how the committee tracks starting cash, revenue forecasts, transfers, appropriations, and ending balances. The analyst walked through general fund revenue sources, the difference between transfers and expenditures, structural balance, and how the green sheet is used to compare current-year collections against forecasts. Members asked about continuously appropriated funds, federal dollars, sales tax exemptions, and cash reconciliation issues tied to the state’s new Luma finance system and interest allocations. The discussion also covered the revenue monitor and how the committee can use it to track collections against forecasted amounts. The committee then moved into the Department of Health and Welfare’s overall budget overview. Legislative Services reviewed the department’s size, organizational structure, vacancy rate, five-year spending trends, and the role of continuously appropriated funds such as the Idaho Children’s Trust Fund and Rural Physician Fund. Members asked about personnel vacancy rates, reverted funds, and whether the department could provide a list of subgrants and trustee-and-benefit payments. Department officials explained that some vacancies reflected a department-wide review, hiring freeze, and FTP realignment, including moving positions to State Hospital South and reverting some federal spending authority. They also said the department was actively filling funded positions and would provide additional information on grants and other payments. The committee then heard the first division-level budget presentation for Indirect Support Services. The analyst described the division’s role in centralized administration, IT, legal, communications, and management support, along with its staffing, historical expenditures, and base budget changes. The division’s budget request included a one-time irrigation system project at State Hospital West, a fund adjustment for the background check unit, the transfer of 58 FTP and related costs to the Office of Information Technology as part of modernization, and a request to remove restrictive budget language on personnel and trustee-and-benefit transfers. The governor’s recommendation also included support for some replacement items and a major new item tied to Idaho’s Rural Health Transformation Program, including 12 limited-service FTP in 2026, ongoing FTP in 2027, and $294 million in one-time operating funds. Members questioned the need for the new FTP, the use of AI, the definition of “rural,” and the mechanics of the IT transfer; department and ITS officials explained the transfer was a budget shift of personnel and operating costs, not a net increase in staffing. The committee adjourned after members also raised broader concerns about public input on Health and Welfare budgets and suggested a joint public meeting with the Health and Welfare committees.

Transcript Highlights:

• in rural landscapes, some of the existential threats with the Medicaid changes in the budget reconciliation
• in rural landscapes, some of the existential threats with the Medicaid changes in the budget reconciliation
• Some of the existential threats with the Medicaid changes in the budget reconciliation really pose a

Summary: The committee heard a lengthy presentation from the New Mexico Rural Library Initiative in support of fully funding the rural library endowment with an additional $29.5 million. The presenters described rural libraries as essential community infrastructure that provide not only books and internet access, but also early childhood programs, adult education, workforce support, telehealth, disaster response, and civic meeting space. They argued that the endowment would provide stable annual support for staffing and operations, help sustain libraries in very small towns and tribal communities, and support new or developing libraries. Members asked about eligibility, county coverage, how funds are distributed, and whether the state tracks broader outcomes such as job placements or certifications; the presenters said the State Library administers the funds and that the initiative itself is a nonprofit capacity-building organization, not the fund manager. Some members raised concerns about whether an endowment is the best long-term model versus recurring annual appropriations, and about the need for better reporting and state-library involvement. The committee then heard from food bank leaders Jill Dixon and Katie Anderson about food security and its economic impact. They said New Mexico’s five food banks and more than 500 partner agencies serve all 33 counties, distribute over 45 million meals, and rely mostly on philanthropy, with some state and local support. They emphasized that SNAP is a major economic driver, supporting grocery access, jobs, and local spending, and that recent legislative growth funding helped food banks respond to a surge in demand during a SNAP disruption. They also highlighted food banks as community hubs that can connect people to health care, job training, and other services, including through clinic referrals and closed-loop systems. In response to questions, they said food access gaps remain in some rural areas, that clients can generally seek food at other distribution sites without barriers, and that longer-term solutions should include more grocery access, healthy corner stores, and stronger broadband and health care infrastructure. The final presentations came from the Gallup-McKinley County Chamber of Commerce and the Artesia Chamber of Commerce. Gallup-McKinley described a shrinking workforce, youth outmigration, crime, health care shortages, malpractice costs, and gross receipts tax burdens as major barriers to rural economic growth, and urged action on workforce pipelines, housing, public safety, malpractice reform, and tax/regulatory changes. Artesia highlighted its murals, library, sports tradition, oil and gas, agriculture, federal training center, and refinery, while also noting workforce shortages, health care recruitment challenges, housing constraints, and the need for quality-of-life investments and more flexible regulation. The committee also briefly heard a bill presentation proposing a New Mexico-Ireland Trade Commission to promote bilateral trade and investment, especially in technology, agriculture, and energy sectors. No votes were taken because quorum was not reached, and the endorsement item was not acted on.

Transcript Highlights:

• shake the three-legged stool of the ACA marketplace, which included a marketplace rule and some reconciliation
• shake the three-legged stool of the ACA marketplace, which included a marketplace rule and some reconciliation
• changes that passed this past July. ...the marketplace rule and some reconciliation changes that passed

Committee: Senate Ways & Means

Summary: The committee held a work session to review how H.R. 1 would affect Washington’s Medicaid, long-term care, developmental disabilities, and food assistance programs, with a focus on state budget impacts and implementation challenges. Staff and agency officials explained Washington’s Medicaid financing, eligibility categories, caseload trends, and the role of managed care, then outlined H.R. 1 provisions affecting the expansion population, including work requirements, six-month redeterminations, changes to immigrant eligibility, reduced retroactive coverage, cost sharing, provider tax and state-directed payment limits, and penalties tied to eligibility error rates. Officials also described the need for major IT and systems changes across agencies, including the state’s existing CMS corrective action plan for automated renewals and the difficulty of implementing new federal requirements before guidance is finalized. Health Care Authority and DSHS witnesses said the expansion population would be most affected, with potential coverage losses for about 620,000 Apple Health expansion enrollees and additional impacts for some lawfully present immigrants and a smaller number of long-term care and developmental disability clients. They said many current enrollees already work, but the new requirements would create administrative barriers and could increase uninsured rates, emergency room use, and uncompensated care. Agency leaders also discussed the immediate prohibition on Medicaid funding for Planned Parenthood services, with the state planning to backfill about $11 million so clients can continue care. Members asked about FMAP comparisons, work requirement experiences in other states, waiver possibilities, definitions of exemptions, and whether the changes would affect COFA communities, rural areas, and behavioral health services. The committee then heard a separate presentation on H.R. 1’s food assistance provisions. DSHS said the bill would broaden SNAP work requirements, end certain immigrant eligibility for federal SNAP, eliminate SNAP-Ed, increase the state administrative match from 50% to 75%, and create a future state cost share for SNAP benefits based on payment error rates. Officials estimated a four-year fiscal impact of about $750 million, with significant costs tied to the immigrant eligibility shift, administrative match changes, and possible benefit cost sharing. DSHS also described the state’s integrated eligibility system and the large amount of work needed to update it across multiple quarterly releases while coordinating with other agencies. No votes or formal actions were taken.

Transcript Highlights:

• Technology Infrastructure Stabilization Fund to the Control Agency account, providing for cash balance reconciliation
• Technology Infrastructure Stabilization Fund to the Control Agency account, providing for cash balance reconciliation

Transcript Highlights:

• know and have noted in their sign-in, I think the positive progress on rates still needs more reconciliation
• note and have noted in their sign-in, I think the positive progress on rates still needs more reconciliation

Summary: House Finance met on Friday, January 23rd, and heard three bills. On House Bill 2194, staff explained that the bill would allow a county and a city within that county to both impose the cultural access sales and use tax at the same time, with the county providing a credit for the city tax. Representative Parsley said the change would let more jurisdictions support cultural, arts, science, and school-related programs. Olympia and Thurston County officials testified in support, describing grant funding for cultural organizations, free programming, and school access benefits; a committee member raised a question about how the change could affect county bond obligations. The committee then heard House Bill 2089, which would narrow a B&O tax preference for first mortgage interest by removing the requirement that a financial institution be located in 10 or more states, and direct the resulting revenue to the wildfire response, forest restoration, and community resilience account. Staff said the bill would raise significant revenue and have implementation costs for the Department of Revenue. Representative Scott said the bill was intended to restore wildfire funding and limit the preference to community banks, while opponents from the Washington Bankers Association and Community Bankers of Washington warned the bill could harm community banks and mortgage lending if not drafted carefully. The Department of Natural Resources and a public employee representative supported restoring wildfire preparedness funding. Finally, the committee heard a proposed third substitute for House Bill 1960, which would replace property taxation for new or repowered large renewable energy facilities and battery storage systems with a state and local excise tax structure, while also creating a local investment distribution account and a tribal capacity grant program. Staff and the sponsor described the bill as a way to reduce property tax shifts onto nearby taxpayers and provide more stable, predictable revenue for local governments and tribes. County officials, assessors, treasurers, and some clean energy and conservation groups supported the concept but asked for clearer definitions, payment timing, and rate adjustments; utilities and renewable developers said they supported the goal but opposed the bill as drafted because of concerns about the rates and the treatment of centrally assessed utilities. No votes were taken, and the committee adjourned after closing the hearings on all three bills.

Transcript Highlights:

• there's been decades of commitments made by the State of Hawaii, unfulfilled commitments to pursue reconciliation
• unfulfilled commitments<00:03:36.319><c> to</c><00:03:36.480><c> pursue</c><00:03:36.799><c> reconciliation
• </c> commitments to pursue reconciliation commitments to pursue reconciliation with<00:03:37.680><c>
• claims would foreclose um native lands claims and<00:04:01.840><c> foreclose</c><00:04:02.640><c> reconciliation
• ,</c><00:04:03.680><c> foreclose</c> and foreclose reconciliation, foreclose and foreclose reconciliation

Bills: SB2045 , SB2354

Committee: Senate Commerce and Consumer Protection

Summary: The committees first took up SB 2071 on rent-to-own housing. Testimony was generally supportive from HHFDC and Hawaii Realtors, but Sierra Club of Hawaii and others opposed the bill unless it was amended to exclude ceded lands from the 99-year lease provision. Members discussed the scope of ceded versus non-ceded lands and whether an inventory exists. The committees ultimately recommended passage with amendments, including HHFDC’s proposal to make the fixed-price period flexible by tying it to an option period and Sierra Club’s language limiting the program to non-ceded state or county land. They then heard SB 2191 on limited profit housing associations. HHFDC supported the measure, while the Tax Foundation of Hawaii and the Office of the Auditor urged caution about tax exclusions and asked for clearer, more targeted limits and measurable outcomes. The committees adopted amendments to add a statement of purpose, include measurable metrics, apply the tax provisions to taxable years beginning after December 31, 2025, and delay the effective date to allow for administrative changes. SB 2191 was recommended for passage with amendments. The committees also considered SB 2197, which would have replaced the five-year fixed-price period in rent-to-own housing with an option period set by HHFDC, but deferred it indefinitely because its issues were addressed in SB 2071. SB 2180 on deposits of public funds drew comments from the Hawaii Bankers Association questioning definitions and noting banks are already subject to Community Reinvestment Act requirements; decision-making was deferred to the next day in the CPN committee and to a later date for the housing committee. Finally, SB 2210 on housing discrimination received support from disability advocates and the Hawaii Civil Rights Commission, which asked for one additional investigator; the committees passed it with amendments adding a blank appropriation for one full-time position and planned to notify Ways and Means for possible re-referral.

Transcript Highlights:

• is we move some positions that were part of one unit to, for example, from cash receipting to reconciliation
• unit, uh, to facilitate bank reconciliations, and we eliminate some of the work that's being done there
• We're moving to reconciliation receding.
• We're moving to reconciliation unit<00:54:12.240><c> uh</c><00:54:12.400><c> to</c><00:54:12.559><c>
• and we eliminate some of reconciliations and we eliminate some of the<00:54:16.400><c> work</c><00:54

Committee: Senate Finance

Transcript Highlights:

• who receive payments from the childcare assistance program, or CCAP, the impacts of the federal reconciliation
• who receive payments from the childcare assistance program, or CCAP, the impacts of the federal reconciliation
• who receive payments from the childcare assistance program, or CCAP, the impacts of the federal reconciliation
• who receive payments from the childcare assistance program, or CCAP, the impacts of the federal reconciliation
• The federal reconciliation act of 2025, which we will refer to as HR1, and other recent federal actions

Committee: Senate Health and Human Services