Transcript Highlights:

• So we can see that the regulations are changing.
• They're critical foundations for the conversation about regulations.
• efficiency of regulations, really has been, in my view, an under-researched area.
• You have to follow those rules and regulations. Maybe we don't need to.
• We have to get a handle not just on one regulation, but on the overall way in which we write regulations

Transcript Highlights:

• And growers are not against regulations for health and safety and things like that.
• So we can see that the regulations are changing.
• They're critical foundations for the conversation about regulations.
• You have to follow those rules and regulations. Maybe we don't need to.
• So we have to get a handle not just on one regulation, but the overall way in which we write regulations

Summary: The Senate Select Committee on California’s wine industry held its first meeting at Napa Valley College, with opening remarks from Chair Senator Christopher Cabaldon and Assembly Majority Leader Cecilia Aguiar-Curry emphasizing the wine industry’s importance to California’s economy, communities, and tourism. The chair said the hearing was intended to gather information and ideas, not to take legislative action that day, and to prepare for future work on legislation, budget, and oversight. The first panel focused on research and trends, with experts from Sonoma State, UC Davis, and Terrain describing a major structural downturn: falling wine production and sales, rising costs, labor shortages, housing pressures, changing consumer habits, tariffs, and the loss of younger consumers. They argued the industry needs to shift toward new-customer acquisition, more accessible products and messaging, evidence-based business decisions, and greater investment in research, education, and innovation, including work on disease, climate stress, and health-related consumer questions. Committee members pressed the panel on whether the industry’s future depends on adaptation by existing producers or market-driven consolidation, and on how California can reduce regulatory burdens while maintaining standards. Witnesses said the state’s universities are a “superpower” but are underfunded for wine research, especially on the business and regulatory side, and they urged review of outdated rules, better data collection, and more efficient compliance systems. They also discussed trade competitiveness, especially with imports and the collapse of exports to Canada after tariffs, and raised the need for transitional support for vineyard removals and replanting. The chair and majority leader emphasized that regulations should be evaluated for effectiveness and that California should use its research capacity to improve both industry practices and regulatory implementation. A second panel included representatives from growers, the Wine Institute, and family winemakers. Michael Miller of the California Association of Wine Grape Growers described a severe grower crisis: grapes left unpicked, vineyards abandoned or removed, falling vineyard values, and a need for relief on regulatory costs, trade barriers, water policy, and vineyard removal expenses. Honor Comfort of the Wine Institute focused on consumer outreach, especially younger drinkers, and described the Share Wine Co-Lab, an open-access marketing platform with research, webinars, case studies, and office hours to help wineries better reach Gen Z and millennials. Jane Lisa Tamayo of Family Winemakers of California was present but her remarks were largely garbled in the transcript. Committee members again stressed the need for education, better messaging, and caution about simplistic policy fixes, while also noting the importance of Canada as an export market and the risks of tariffs. The final panel addressed tourism, farmworker impacts, and water regulation. Visit Napa Valley CEO Lindsay Gallagher said Napa’s tourism economy remains relatively strong but is feeling the same international headwinds as the wine sector, including reduced Canadian visitation; she said Napa is broadening its message beyond wine to cuisine, wellness, and outdoor experiences. Sonia DeLuca of the Napa Valley Farmworker Foundation said declining sales and rising costs are reducing hours, wages, and training opportunities for farmworkers, and urged targeted relief, removal of barriers to sales, wage-loss support, and continued bilingual workforce training. She also said Napa’s workforce-development model is ready to support technology adoption if legal changes allow more automation. Finally, State Water Board official Annalisa Kihar gave an update on the Winery General Order, explaining that it was created in 2021 to streamline and standardize wastewater permitting, with tiered requirements and exemptions for very small wineries; she said 56 wineries have enrolled and 122 are under review, and that the board is working with industry and regional agencies to improve compliance support and flexibility.

Transcript Highlights:

• And growers are not against regulations for health and safety and things like that.
• So we can see that the regulations are changing.
• They're critical foundations for the conversation about regulations.
• You have to follow those rules and regulations. Maybe we don't need to.
• We have to get a handle not just on one regulation, but on the overall way in which we write regulations

Summary: The Senate Select Committee on California’s Wine Industry held its first meeting at Napa Valley College, with Chair Christopher Cabaldon and Assembly Majority Leader Cecilia Aguiar-Curry opening the hearing by stressing the wine industry’s importance to California’s economy, communities, and tourism. They said the purpose of the hearing was informational rather than legislative, with no votes or bill actions taken, and framed the day as a fact-finding session to inform future legislation, budget work, and oversight. The first panel focused on research and trends, with Dr. Damien Wilson of Sonoma State, UC Davis professor Ben Mumpeteet, and wine economist Chris Bitter describing the industry as facing structural change rather than a temporary downturn. The research panel highlighted falling wine production and sales, rising costs, and changing consumer behavior. Wilson argued the industry has relied too heavily on premiumization and technical elitism, pricing out younger consumers and needing to focus more on new customer acquisition, accessible brands, and evidence-based business decisions. Mumpeteet emphasized external threats such as grapevine diseases, extreme weather, water shortages, and wildfire smoke, and called for more public investment in viticulture and enology research, especially through California’s university system. Bitter said growers are dealing with depressed grape demand, a grape glut, vineyard removals, and sharply higher production costs driven largely by regulation and labor, and he urged review of regulatory costs, trade conditions, vineyard removal support, and barriers to replanting. Committee members then asked about how the industry can adapt, whether change will come through existing producers or market turnover, and how California might use its research capacity to improve regulation and compliance. Witnesses said the industry needs cultural change, better marketing to younger consumers, more data on health and consumption trends, and more efficient, science-based regulation. The second panel, with representatives from growers and the Wine Institute, described severe market stress: unharvested grapes, vineyard removals, and closures in some regions. Michael Miller said growers are seeing fruit left on the vine and called for relief on regulatory and trade pressures, while Honor Comfort described Wine Institute’s Share Wine Co-Lab, an open-access marketing platform aimed at helping wineries reach younger consumers through digital and data-driven strategies. A final panel addressed tourism, farmworkers, and water regulation. Visit Napa Valley’s Lindsay Gallagher said Napa remains relatively strong but is broadening its message beyond wine to cuisine, wellness, and outdoor experiences, while noting international visitation, especially from Canada, has fallen sharply. Sonia DeLuca of the Napa Valley Farmworker Foundation said declining sales and rising costs reduce hours and income for farmworkers and called for targeted relief, wage-loss support, and continued workforce training. Annalisa Kiara of the State Water Board provided an update on the Winery General Order, explaining that it was created to streamline and standardize wastewater permitting while protecting water quality; she said 56 wineries have enrolled and 122 more are under review, and noted ongoing coordination with industry sustainability programs. Throughout the hearing, members and witnesses repeatedly returned to the need for updated regulations, better data, and collaborative solutions, but no formal action was taken.

Transcript Highlights:

• Growers are not against regulations for health and safety and things like that.
• So we can see that the regulations are changing.
• They're critical foundations for the conversation about regulations.
• You have to follow those rules and regulations. Maybe we don't need to.
• We have to get a handle not just on one regulation, but on the overall way in which we write regulations

Summary: The Senate Select Committee on California’s Wine Industry held its first meeting at Napa Valley College, with opening remarks from Chair Senator Christopher Cabaldon and Assembly Majority Leader Cecilia Aguiar-Curry emphasizing the industry’s importance to California’s economy and communities. The chair said the hearing was intended to gather information and ideas, not to vote on legislation, and to inform future policy, budget, and oversight work. The first panel focused on research and trends, with speakers from Sonoma State, UC Davis, and Terrain describing the industry as facing structural change rather than a temporary downturn. Panelists said California wine is confronting falling consumption, rising costs, labor shortages, housing pressures, tariffs, and competition from imports. Dr. Damien Wilson argued the industry has relied too heavily on premiumization and must focus on attracting new consumers, especially younger generations, through more accessible products, better marketing, and evidence-based decision-making. UC Davis’s Ben Mumpeteet said grapevine disease, extreme weather, and water shortages require long-term research investment and stronger university-industry-state partnerships. Chris Bitter, a wine economist, reported that California wine sales are down about 25% since 2019, that large amounts of grapes have gone unpicked, and that vineyard removals and falling vineyard values reflect a severe supply-demand imbalance; he urged regulatory review, trade competitiveness analysis, and transition support for growers. The committee then heard from industry representatives. Michael Miller of the California Association of Wine Grape Growers described a crisis in which growers can produce high-quality fruit but have no buyers, leading to abandoned or removed vineyards, lost farm revenue, and pressure to restore market balance. Honor Comfort of the Wine Institute presented the Share Wine Co-Lab, an open-access marketing platform designed to help wineries better reach younger consumers through data-driven, collaborative outreach. Jane Lisa Tamayo of Family Winemakers of California discussed the burden on smaller wineries and growers, including regulatory and market challenges. Members and witnesses also discussed changing consumer preferences, the need to adapt to younger drinkers, and concerns about tariffs and trade policy, with the chair warning that broad tariff calls had harmed export markets such as Canada. A final panel addressed tourism, farmworker impacts, and water regulation. Visit Napa Valley’s Lindsay Gallagher said tourism remains strong in Napa but is increasingly dependent on broader destination marketing beyond wine, while international visitation has declined. Sonia DeLuca of the Napa Valley Farmworker Foundation said declining sales and rising costs reduce hours and income for farmworkers and urged targeted relief, wage-loss support, and continued bilingual training. State Water Board official Annalisa Kihar outlined the 2021 Winery General Order for winery process water, saying it was designed to streamline permitting, improve consistency, and reduce burdens on small wineries while protecting water quality; she reported 56 wineries enrolled and 122 under review, and said the board is working with industry partners on technical support and sustainability-based compliance pathways.

Transcript Highlights:

• And all the regulations that have been put in place now, nuclear energy is the most heavily regulated
• And all the regulations that have been put in place now, nuclear energy is the most heavily regulated
• . regulations that have been put in place now, nuclear energy is the most heavily regulated industry
• And they take that proposal to the Public Regulation Commission.
• And clearly, we need regulation to deal with that.

Bills: SB78 , SB235 , SB22 , SB310

Committee: Senate Senate Conservation

Keywords: nuclear energy, renewable energy, sustainability, carbon emissions, energy regulation, microgrid, zero carbon resources, Public Regulation Commission, energy generation, electric utilities, motor vehicle manufacturers, licensing, dealers, franchise agreements, consumer protection, water supply, sewage improvements, environment, funding, Mora County

Transcript Highlights:

• If they want to regulate religious gatherings, the bill covers that.
• Now we will move to tab 1, SB 218 on land use regulations by Senator Gates.
• Now we'll move on to Tab 7, SB 1020 on the regulation of chickees by Senator Trumbull.
• And then also we would replace land development regulations with regulation, replace residential dwelling
• Your own state statutes and state regulations couldn't meet this standard.

Committee: Senate Community Affairs

Summary: The committee took up a broad agenda of local government, land use, housing, and public notice bills. It reported favorably SB 984 on firefighter cancer benefits, SB 1612 requiring local governments to accept electronic payments, SB 1180 creating a recall process for community development district board members and adding related CDD provisions on synthetic turf and compact urban mixed-use districts, SB 936 on temporary door locking devices, CS/SB 380 expanding options for publishing legal notices, SB 962 clarifying that the Live Local zoning preemption does not unintentionally capture farms and farm operations, SB 1444 on state preemption involving religious gatherings, private clubs, and certain permitting issues, SB 218 narrowing hurricane-related land-use protections to affected counties, SB 1020 regulating chickee huts, and SB 1434 creating a redevelopment framework for environmentally impacted parcels in certain urban counties. Several of these bills were amended before passage, including SB 1180, SB 380, and SB 948. Testimony was mixed on the more controversial measures. Supporters of SB 984 said the bill clarifies benefits for firefighters diagnosed with occupational cancer. On SB 380, the Florida Press Association and Common Cause opposed shifting legal notices away from newspapers and warned that publication would become more fragmented and harder to find, while the sponsor argued the bill would save money and reflect digital practices. SB 1444 drew support from Florida Family Voice on religious freedom grounds, but the Florida League of Cities and Florida Association of Counties warned that the bill was broad, undefined in places, and could create unintended consequences for local zoning, parking, and permitting. SB 1434 on redevelopment of environmentally impacted land drew support from housing advocates but opposition from counties and cities, which said it would bypass local development review and could allow overdevelopment. The committee also heard substantial testimony on SB 948, which would create a statewide framework for starter-home and lot-split regulations in residential areas. Supporters, including housing advocates, a Gainesville city commissioner, and an urban economist, said local regulations have constrained housing supply and that the bill would help produce more starter homes. Opponents, including the Florida Association of Counties, 1,000 Friends of Florida, and the Florida League of Cities, argued it would function as a statewide zoning code, reduce local planning authority, and create infrastructure and litigation concerns. The bill was amended and then laid over for further consideration after extensive debate and public comment.

Transcript Highlights:

• As you probably know, right now sewer systems in Idaho are not regulated.
• We don't regulate sewer, private, for-profit sewer companies.
• Why do we want to regulate this company? Senator Woodward: Thank you for the question.
• Different than the utilities they've been regulating for many years.
• They're not regulated on the sewer.

Committee: House State Affairs

Transcript Highlights:

• How precisely is a county or city supposed to know who they can or cannot regulate?
• The system itself was a regulation was over $50,000.
• It's a 2100 square foot home, which under their regulations would allow 12.
• If we like those regulations, we'd put them on short-term rentals.
• Why don't we stop with the regulations? We've regulated ourselves to death.

Transcript Highlights:

• Office of Insurance Regulation. Senator, I understand you have a delete-all amendment.
• This bill covers the Office of Insurance Regulation.
• Three, it creates transparency and rate regulation.
• And that is one of the reasons why nursing homes are so highly regulated.
• And then Ash Mason, Office of Financial Regulation, waves in support.

Committee: Senate Banking and Insurance

Summary: The committee heard and advanced several insurance, financial regulation, and public safety bills. The most extensive discussion centered on SB 1656, a major Office of Insurance Regulation bill covering reciprocal insurers, rate transparency, data calls, cybersecurity notification, and stronger oversight of continuing care retirement communities (CCRCs). The sponsor and OIR described the bill as aimed at transparency and preventing insolvencies, especially after recent CCRC failures. CCRC residents and industry representatives testified both in support and in opposition, with supporters emphasizing resident protection and opponents warning about liens, reserve requirements, management-company regulation, and higher costs. After debate and assurances that problematic provisions would be refined, the committee adopted a delete-all amendment and then reported the bill favorably. The committee also passed SB 1658, which creates a public records framework for the uniform mitigation verification of inspection form database while protecting policyholders’ personal information; a clarifying amendment was adopted before the bill was reported favorably. SB 1612 on financial institutions was approved after a substitute amendment restored current limits on credit union investments and kept only reimbursement, not salary, authority for certain board members and officers. SB 1740, an insurance bill intended to reduce premiums and insurer insolvency risk, was amended to prioritize rate-decrease filings and prohibit claim denials based solely on AI, then reported favorably. Two public-safety bills also moved forward. SB 1212 on firefighter health and safety would update OSHA-related protections, address toxic exposure in gear, encourage safer replacement equipment, and support best practices and mental health resources; an amendment refined terminology and added related provisions, and the bill was reported favorably. SB 1184 on residual market insurers was amended to preserve existing consumer protections and disclosure rules for excess and surplus lines and to clarify Citizens-related appointment requirements before being reported favorably. Throughout the meeting, members repeatedly noted ongoing stakeholder negotiations and intent to refine several bills further in later committee stops.

Transcript Highlights:

• That concerns me about regulation in this area generally.
• The CEC would have until July 1, 2027, to develop regulations, and CDFA's regulations would stay in place
• I don't anticipate the regulations to be done in six months.
• I don't anticipate the regulations to be done in six months.
• So I have concern that we won't have regulations in place.

Committee: Senate Business, Professions and Economic Development

Transcript Highlights:

• President, Senator Steinborn, are regulated like this?
• If it's in our interest to regulate boxing and if it's in our interest to regulate any industry, whether
• President, I think that we need to regulate most all industries and regulate them smartly, providing
• President, Senator Steinborn, the key responsibilities of the PRC are utility regulations, regulating
• Why is the PRC regulating this industry and this industry?

Transcript Highlights:

• This bill would support compliance with the Innovative Clean Transit regulation by providing transit
• place without understanding fully what the implications of the regulations are.
• We put regulations in place without understanding. what's a growing category of we put regulations in
• place without understanding fully what the implications of the regulations are.
• The federal regulators continued to apply pressure throughout the period.

Committee: Senate Transportation

Transcript Highlights:

• I live in a world of regulation at a financial institution.
• So we really wanted to, if you're already regulated by something, if you're already regulated by HIPPA
• have a set of regulations that's regulated personal data.
• So we really wanted to, if you're already regulated by something, if you're already regulated by HIPPA
• have a set of regulations that's regulated personal data.

Bills: SB292 , HB351 , HB141 , HB273 , SB292 , HB351 , HB141 , HB273

Committee: Senate County and Municipal Government

Keywords: education oversight, subpoena authority, investigation, State Superintendent, school misconduct, ad valorem tax, road funding, local government, referendum, Choctaw County, HB141, Alabama, state employees, salary deductions, payroll deduction, State Comptroller, membership dues, voluntary contributions, insurance premiums, financial instruments

Transcript Highlights:

• It's not that we're against regulation; we're just against unfair regulation.
• We're just against unfair regulation.
• We educate consumers, support responsible legislation, and regulation.
• We want to work with regulation.
• However, I regulation for this industry.

Bills: SB210 , SB225 , HB280 , HB287 , HB94 , HB88 , SB157 , HB7 , HB8 , HB42

Committee: Senate Judiciary

Keywords: hospital liens, medical billing, government healthcare, insurance claims, patient rights, blood tests, DUI, law enforcement, traffic offenses, chemical analysis, public nuisance, event liability, local government, community health, legal action, transparency, reporting, public safety, regulation, accountability

Transcript Highlights:

• When we regulate, we regulate people's lives, not just products on paper.
• Let's regulate it properly.
• Let's regulate it properly.
• Any intoxicating product has to be sold in a regulated market.
• I believe in regulation, and I do support mom-and-pop businesses.

Transcript Highlights:

• Landowners across our state have been grossly misrepresented and mistreated under rules and regulations
• Landowners across our state have been grossly misrepresented and mistreated under rules and regulations
• Landowners across our state have been grossly misrepresented and mistreated under rules and regulations
• It helps to understand the current state of regulation in that.
• Any regulation proposal.

Bills: HB4568 , HB5458 , HB4543 , HB2703 , HB3728 , HCR113 , HCR126

Committee: House Culture, Recreation & Tourism

Keywords: film industry, incentives, grants, Texas, moving image, economic development, production companies, content standards, HB 5458, Texas Parks and Wildlife Department, TPWD, chronic wasting disease, CWD, cervids, deer, elk, moose, wildlife management, game animals, disease management

Transcript Highlights:

• This resulted in the Medicinal and Adult-Use Cannabis Regulation and Safety Act, also known as...
• The Medicinal and Adult-Use Cannabis Regulation and Safety Act, also known as M.A.U.C.R.S.A., establishes
• It's simply cheaper to produce cannabis if you're not complying with laws and regulations through the
• And protection of the regulated markets, and, at least from California and these other states' points
• And hundreds of small farmers are dropping out of the regulated market annually.

Summary: The joint informational hearing focused on the Department of Cannabis Control’s report on the condition and health of California’s cannabis industry. Department staff reviewed the evolution of state cannabis law, the creation of the current regulatory framework, licensing and compliance efforts, and enforcement against illicit cannabis and hemp-derived intoxicating cannabinoids. The department said the licensed market has grown in production and retail units sold, while active licenses and retail sales value have declined, and that the illicit market remains a major competitive factor. The department also highlighted consumer education efforts, product testing and recalls, and coordination through the state enforcement task force and other agencies. The department’s economist said the data show continued growth in licensed production and a rising share of consumption through the licensed market, but falling wholesale and retail prices have reduced overall industry value. He identified major headwinds as taxes and fees, illicit-market competition, local prohibitions that limit retail access, regulatory costs, and broader business pressures, while noting opportunities in product innovation and possible hemp-market changes. Committee members pressed the department on enforcement, public health concerns, equity ownership and employment, delays in grant administration, pesticide testing, and whether the legal market is truly viable for small businesses and farmers. Several members argued that stronger enforcement and lower costs are needed, while one member raised concerns about cannabis-related health harms and said the hearing focused too narrowly on supply-side issues. Public commenters from industry groups and advocacy organizations largely echoed concerns about high taxes, regulatory burdens, limited retail access, and the size of the illicit market. Many urged the Legislature not to let the excise tax rise from 15% to 19% and called for tax relief, compliance reform, more enforcement, and broader retail access. Some speakers said the report was too optimistic and did not reflect business failures, debt, and closures, while others emphasized the need to protect small farmers, address wildfire insurance, and support equity businesses. No votes or formal actions were taken; the hearing was informational only.

Transcript Highlights:

• , with additional regulations tied to the Advanced Clean Trucks waiver.
• But regulations are only part of the story. CARB's portfolio of incentives...
• But regulations are only part of the story.
• , as opposed to just hard regulations.
• So again, there's all these rules and they're important rules and regulations.

Summary: The joint informational hearing of the Select Committee on Electric Vehicles and Charging Infrastructure focused on California’s EV market, charging infrastructure, and the effects of recent federal actions. The chair opened by emphasizing California’s progress on EV adoption and charging reliability, but also noted ongoing challenges with affordability, access, interoperability, heavy-duty electrification, and federal headwinds. She highlighted interest in technologies such as inductive charging and thanked host organizations and staff before moving to the first panel. State agency witnesses from Go-Biz, CARB, and the California Energy Commission described current programs and priorities. Go-Biz outlined its role in coordinating agencies, supporting permitting, and advancing the state’s ZEV market development strategy and equity action plan. CARB discussed federal attacks on its clean vehicle regulations, litigation to defend waiver authority, and the importance of incentives and regulatory programs such as Advanced Clean Trucks, Advanced Clean Fleets, Clean Truck Check, HVIP, and Clean Cars for All. The CEC detailed its funding and regulatory work on charging and fueling infrastructure, charger reliability, payment methods, roaming, and statewide planning, while stressing the need for more charging in multifamily housing and more public DC fast charging. All three agencies said federal rollbacks and permitting delays are major obstacles, but that California remains committed to expanding ZEV adoption. The second panel featured advocates, local government, utility, and research perspectives. CalETC urged continuous state funding through the Greenhouse Gas Reduction Fund and emphasized the low-carbon fuel standard, multifamily charging, and managed charging. An EV advocacy group proposed a conquest-style state incentive for new and used EV buyers and argued that multifamily housing is a major untapped market, while also favoring Level 2 charging over Level 1 for most home and apartment settings. Los Angeles County and LADWP described large-scale local deployment of chargers, fleet electrification, workforce training, and the need for sustained funding, agency coordination, and streamlined permitting and grid interconnection. UCS recommended prioritizing replacement of older high-emitting vehicles, using fuel policy revenues to support cleaner cars, and expanding bidirectional charging. The chair closed by asking for more discussion on Level 1 versus Level 2 charging and noted the importance of education, affordability, and practical deployment strategies.

Transcript Highlights:

• That is on the call and is of great interest to the people of the state of Texas, and that is the regulation
• King put together the most comprehensive, thoughtful THC regulation proposal this state has ever seen
• It's very strict, and this is aimed at regulating recreational use.
• We are now working towards a more harmonious way to regulate THC products.
• They have, I think, close to 70% of Texans wanting regulation.

Bills: SB5 , SB11 , SB12 , SB9 , SB42 , SB15 , SB5 , SB11 , SB12 , SCR1

Transcript Highlights:

• We are still regulating in the same mechanism that we were.
• Why are we adding another regulation, another hurdle on? It's not needed.
• Why are we adding another regulation, another hurdle on?
• I am anti-as-much-as-possible regulation.
• How does government regulation function in day-to-day operation of the business?

Committee: All ALC-MEDICAL MARIJUANA OVERSIGHT SUBCOMMITTEE

Summary: The ALC Medical Marijuana Oversight Subcommittee met to consider rules governing medical marijuana management contracts for cultivation facilities and dispensaries. ABC regulatory staff said the rules are intended to ensure Arkansas license holders retain actual control over operations and are not effectively run by out-of-state management companies. They explained that the rules require commission review of management contracts and use a “commercially reasonable” standard to identify terms that could give undue control to outside entities. Staff also distinguished these management rules from separate future licensing rules that would address any additional dispensary or cultivation licenses, including unresolved issues tied to a Hot Springs license dispute. Representatives of the Arkansas Cannabis Industry Association opposed the rules, saying the industry has matured, no out-of-state management companies remain in Arkansas, and the added review process is unnecessary and burdensome. Their counsel argued the “commercially reasonable” standard is too vague, could lead to arbitrary enforcement, and may exceed the commission’s authority under Amendment 98. They also warned that requiring commission approval before contracts take effect could create delays and operational problems for day-to-day business functions. Committee members questioned both sides about the scope of the rules, whether they apply to in-state as well as out-of-state entities, how they would affect payroll and other service contracts, and whether the commission has authority to review private contracts. Staff said the rules are meant to prevent hidden control arrangements and do not cover ordinary service contracts like lawn care, while industry witnesses said the current filing system already provides oversight. After discussion, the committee reviewed the rule and adjourned without taking a recorded vote in the transcript.