Transcript Highlights:

• This is made worse when the Department of Revenue treats the parents like potential criminals rather
• This is made worse when the Department of Revenue treats the parents like potential criminals rather
• So the data that I have is from since 2021 from the Department of Revenue.
• I believe in the Department of Revenue and in the governor's budget proposal.
• And I believe in the Department of Revenue and in the governor's budget proposal.

Keywords: 1183, house

Transcript Highlights:

• levy to pay debt service reported tax levy to pay debt service reported upcoming<00:05:14.639> Revenue
• <00:05:15.039> Bond<00:05:15.360> issues<00:05:15.960> those upcoming Revenue
• Bond issues those upcoming Revenue Bond issues those entities<00:05:16.639> were<00:05:16.840
• I have three KHC multifamily conduit revenue bonds.
• I have three KHC multifamily conduit revenue bonds.

Keywords: 00:13 Call to Order and Roll Call 01:00 Election of Co-Chairs 03:38 Approval of Minutes 04:09 Information Items 05:55 Project Rpt from Finance and Admin Cab 12:13 Lease Rpt from Finance and Admin Cab 17:48 Ky Infrastructure Authority 28:50 Economic Development - EDF Grants 32:50 Ofc of Financial Mgmt 36:30 SFCC Debt Issues 40:50 Adjournment, 958, all

Summary: The committee first reorganized by electing new co-chairs for the Capital Projects and Bond Oversight Committee: Senator Fanny Fromom? as Senate co-chair and Representative McPherson as House co-chair, both by acclamation. The committee then approved the minutes from the prior meeting and received quarterly capital project status reports from the Administrative Office of the Courts, Finance and Administration Cabinet, and postsecondary institutions. Those reports noted University of Kentucky equipment purchases, several school districts planning general obligation and revenue bond issues, a notification of non-approval for PR 3567, and Kentucky Community and Technical College System asset preservation projects. Kevin Cardwell of the Finance and Administration Cabinet reported two action items: a $5,100 federal-funded Transportation Cabinet renovation of the Rowan County east and westbound rest areas, and a $1 million federal fund increase for the Capitol City Airport terminal building project, bringing the total federal support to $10 million and reducing the need for restricted funds. The committee also received a no-action report on a $1,363,000 Kentucky State University exterior repairs project funded through the 2024 asset preservation pool. Both action items were approved unanimously after roll call votes. The committee approved four lease renewals presented by Natalie Bronner for Cabinet for Health and Family Services locations in Bell, Lee, and Clay counties, plus a parking lease for the Department of Corrections in Jefferson County. Members asked about lease pricing and were told renewals must remain at existing terms and conditions. The committee then approved a $57,000 Kentucky WATS emergency grant for Wood Creek Water District to cover part of arrears tied to the City of Livingston; members discussed the city’s audit delinquency, possible regional water/sewer solutions, and concerns about rates and private involvement, but the grant was approved. Finally, the committee approved a $1 million line-item water grant to the City of Williamsburg with no action required, three Economic Development Fund grants for Bell, Franklin, and Shelby counties totaling $8 million in state support for site acquisition and infrastructure work, and five SFCC-supported school debt issues for Elizabethtown Independent, Erlanger Independent, Boyd County, Henderson County, and Union County. The school projects included middle school, high school, and vocational school renovations or new construction, and members requested a breakdown of the space funded by the debt. All action items were approved, and the meeting adjourned.

Transcript Highlights:

• In this case, it was a loss of revenue because it was getting rid of the fee, so you see a loss of revenue
• It will tell you the fund that the cost is to, or the increased revenue is to.
• this case it was a loss of Revenue this case it was a loss of Revenue because<00:07:34.199> it
• <00:07:37.639> of you see a loss of Revenue of you see a loss of Revenue of $265,000<00:07
• is two or two or the increased revenue is two or um<00:07:52.319> what<00:07:52.560> have<

Keywords: 1183, house

Summary: The Judiciary Finance and Civil Law Committee met for an introductory session focused on committee organization, staff roles, and an overview of the committee’s jurisdiction. Members and staff introduced themselves, and the chair explained that one member was absent due to a meeting with the governor. House fiscal staff member John Walls reviewed the committee’s budget spreadsheet and explained the agencies under the committee’s jurisdiction, including the Supreme Court, Board of Civil Legal Aid, Court of Appeals, district courts, Guardian ad Litem Board, Tax Court, Uniform Laws Commission, Board of Judicial Standards, Board of Public Defense, Human Rights Commission, Office of Appellate Counsel and Training, and the Competency Restoration Board. He also explained how fiscal notes work and how costs or revenue impacts are tracked for bills. Nathan Hopkins then described the committee’s broad civil law jurisdiction, covering areas such as property, torts, contracts, civil rights, consumer protection, employment, family law, remedies, statutes of limitations, damages, burdens of proof, due process, and attorney general enforcement. He also outlined the committee’s role in government data practices under the Minnesota Government Data Practices Act, emphasizing the distinction between transparency and privacy and noting that bills affecting Chapter 13 are often re-referred to this committee. Ben Johnson added that he handles appropriations and court-related policy provisions, with most budget drafting expected later in the session. A member asked about the Competency Restoration Board, and Johnson explained that it was created to address cases involving criminal defendants found incompetent to proceed, with the goal of coordinating placements and services to restore competency rather than serving as long-term civil commitment. The chair also noted the importance of privacy and technology issues, mentioning past bipartisan work on body cameras, license plate readers, and drones. The meeting ended with a brief announcement about a law school for legislators program and an invitation to attend upcoming Zoom sessions, after which the committee adjourned.

Transcript Highlights:

• government special Revenue government special Revenue fund<00:04:25.199> at<00:04:25.320>
• It's not great for raising revenue.
• Those are our two largest sources of revenue at the present time.
• So you also generate revenue from credentialing and things like that.
• <00:28:05.760> and a growing gap between revenues and a growing gap between revenues and expenditures

Keywords: 1183, house

Transcript Highlights:

• Those could, in the case of $1 revenue, add about $38,000 to a fee for us to be able to do that.
• In addition, and just so the state understands, as far as revenue, which is important to the state as
• In addition, and just so the state understands, as far as revenue, which is important to the state as
• In addition, and just so the state understands, as far as revenue, which is important to the state as
• In addition, and just so the state understands, as far as revenue, which is important to the state as

Keywords: 1191, senate, all

Transcript Highlights:

• costs in the program, the DMV can barely cover our expenses, and we're having trouble distributing revenue
• With the estimated revenue projections of the current fee, the Tahoe Regional Planning Agency will not
• receive any revenue, while the Department of Agriculture will experience a reduction of $1 million.
• With the estimated revenue projections of the current fee, the Tahoe Regional Planning Agency will not
• receive any revenue, while the Department of Agriculture will experience a reduction of $1 million.

Keywords: 909, all

Transcript Highlights:

• Uh the one being the department<00:06:53.280> of<00:06:53.440> revenue<00:06:53.840>
• department of revenue has some technical changes<00:06:55.680> uh<00:06:55.840> just<00
• <00:07:18.000> The first part technical from revenue.
• The first part technical from revenue.
• >> This may be a question for revenue >> This may be a question for revenue department

Bills: HB517, HB520, HB233, HB354, HB517, HB520, HB233, HB354

Keywords: underground damage prevention, one-call notification system, utility locating, excavation safety, dig safe, call before you dig, 811, utility lines, underground utilities, pipeline safety, gas pipeline, electric utility, telecommunications, water utility, wastewater, cable television, locate request, premark, tolerance zone, positive response

Transcript Highlights:

• Seeing none, I do hope that members will consult the revenue estimate, as we see there is a property
• <00:04:42.919> um um uh will consult the um the revenue um um uh will consult the um the revenue
• And the revenue note, and I do want to talk about it because it's actually kind of interesting, says
• The revenue note, and I do want to talk about it because it's actually kind of interesting, says there
• <00:16:02.319> that was about 1.3% of our gross revenue that was about 1.3% of our gross revenue

Keywords: 1187, senate, all

Transcript Highlights:

• Welcome everyone to the sixth meeting of the Appropriations and Revenue Committee for this session.
• Thank you, Chairman McDaniel and the Senate Appropriations and Revenue Committee members for allowing
• Thank you, Chairman McDaniel and the Senate Appropriations and Revenue Committee members for allowing
• streams are very that um the revenue streams are very limited<00:32:54.320> so<00:32:54.840><
• My district is a little larger and we're growing, and we have a high tax rate, so we had the revenue

Keywords: Meeting Start 00:00:00 Roll Call 00:00:05 HB 537 Discussion 00:00:40 HB 537 Vote 00:02:45 HJR 34 Discussion 00:03:30 HJR 34 Vote 00:07:45 HJR 30 Discussion 00:08:30 HJR 30 Vote 00:10:25 HJR 32 Discussion 00:11:00 HJR 32 Vote 00:41:00, 958, all

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

Transcript Highlights:

• In addition, the grant amounts were up to $50,000 based on your revenue.
• up to $50,000 based on your Revenue up to $50,000 based on your Revenue there<00:04:29.440> was
• <00:04:31.800> less<00:04:31.960> than that had Revenue less than that had Revenue
• geography under a million dollar Revenue geography under a million dollar Revenue because<00:56:
• <01:03:28.480> cap are the million dooll gross revenue cap are the million dooll gross revenue

Keywords: 1187, senate, all

Transcript Highlights:

• Half a year late, you might see that revenue come back in. We know that.
• :20:00.160> that Half a year late, you might see that Half a year late, you might see that revenue
• revenue come back in. We we know that. revenue come back in. We we know that.
• sources including Medicaid and Title 6B or provide documentation as to why these other revenue sources
• sources are to be applied by the revenue sources are to be applied by the district<00:53:07.920>

Keywords: 928, house, all

Summary: The subcommittee opened its second meeting on House Bill 742, which would require catastrophic special education aid to be drawn from the education trust fund, and discussed whether to also examine differentiated aid within the adequacy formula. The chair said the committee had previously heard from HHS/Medicaid officials and now wanted to hear from local special education directors about how the aid system works in practice, including billing, training, data collection, and whether districts handle claims consistently. Members also referenced Arkansas as a possible comparison state and said they hoped to develop ideas by November to address the current funding process. Committee members focused on the current special education aid thresholds and the impact of proration. The chair described the existing formula as requiring districts to absorb costs up to 3.5 times the state average per student, with the state paying 80% from 3.5 times through 10 times and paying above that, and said FY25 appropriated about $34 million while actual claims were about $50.1 million, leaving roughly a $16 million shortfall that caused proration. Members also raised the possibility of lowering the threshold to 2.5 times and asked how that would affect the number of eligible students and costs. Another member asked about how districts decide whether services are education-related or medical-related and how Medicaid or private insurance reimbursement affects later state aid claims. District representatives from Boothby Therapy Services, Bedford, and Guilford introduced themselves and described their roles. Guilford’s director said the district tracks students with paraprofessional support, nurses, transportation, or specialized programming, uses a data system to log every service touchpoint, and tries to maximize both Medicaid and special education aid; she said a lower threshold would likely capture all students with paras or nurses and that rising staffing and service costs would increase the number of students over the cap. Bedford’s assistant director said the district uses a different system, tracks roughly 60 to 80 students a year, and pursues Medicaid and special education aid simultaneously but does not pursue private insurance if it would affect FAPE; she said reducing the threshold to 2.5 times would likely double the number of qualifying students. Members asked follow-up questions about software, data entry, and how districts decide whether to bill Medicaid or seek state catastrophic aid, and the directors explained that their systems log services by staff type and student, with some districts using the same data for both Medicaid and state reimbursement claims.

Transcript Highlights:

• We foresee a $600,000 shortfall in revenue, but we don't see if we spur the revenue or spur development
• , will we see more revenue?
• , but we don't see if we spur the revenue, but we don't see if we spur the revenue<00:30:59.160> or
• more revenue? more revenue?
• revenues will be replaced. revenues will be replaced.

Keywords: 916, all

Transcript Highlights:

• I want to see ideas that save money, generate revenue, or increase efficiencies.
• directed the agency to create an external working group to look at opportunities to generate new revenue
• It's about $300 million worth of local revenue that we're going to have to figure out how to replace.
• The hunting and fishing license fee revenues, for example, were some of the main revenue streams, and
• there was... ...license fee revenues, for example, were some of the main revenue streams, and there

Summary: The Senate Agriculture and Natural Resources Committee held a work session with an update from the Department of Natural Resources (DNR). Commissioner Dave Upthe Grove outlined DNR’s size and scope, previewed agency-request legislation, and emphasized budget priorities. He said DNR will seek authority to sell ecosystem service credits, better use underutilized water rights with tribal consultation, add a tribal representative to the State Board of Natural Resources, make minor timber-sales efficiencies, and include wildland firefighters in the LEOFF pension system. He also urged restoration of wildfire prevention and preparedness funding, warning that reduced funding would mean fewer firefighters, less forest health work, and less support for rural fire districts. He noted DNR’s wildfire suppression costs are rising and argued prevention spending can reduce larger, more expensive fires. State Forester George Geisler followed with a detailed wildfire season review. He said Washington now responds to fires year-round and also assists other states, including Texas. He described DNR’s use of 31 aircraft, 691 firefighters, and corrections-based crews, and said the agency’s success rate for keeping fires under 10 acres improved slightly from 93.7% to 94.1%. He highlighted increased arson activity, especially around Spokane, and described the Crescent Road Fire as an example of early detection, rapid response, and the use of bulldozers, aircraft, and hand crews to contain a fire to 182 acres with no structure losses. Senator Saldan praised the emphasis on prevention and the use of bulldozers as cost-effective tools. Assistant deputy supervisor Dwayne Emmons then reviewed the trust land transfer program, which was codified in statute in 2023 after being funded through the capital budget for decades. He said more than 130,000 acres of underperforming trust land have been transferred since the 1990s to other public or tribal entities for more appropriate use, while DNR acquires replacement lands to keep the trust whole. He described the current application and ranking process, including tribal input, and said DNR is requesting funding for remaining parcels from the last round, including portions of Tract C, Babcock Bench, and Middle Fork Snoqualmie. In questions, Senator Wagoner raised concerns about DNR’s decision to remove some acres from timber harvest rotation and its impact on local revenue and mills; the commissioner responded that current five-year harvest plans provide short-term stability and that any changes would be explored through the Board of Natural Resources process, not through immediate reductions in supply. The committee then received a history briefing from staff member Jeff Olson on the Washington Fish and Wildlife Commission and agency structure. He traced the evolution from early fish and game commissioners to the current commission-appointed director model adopted by voter-approved Referendum 45 in 1995. Olson explained the commission’s statutory duties, membership requirements, and how Washington compares with other states. Chair Chapman said he had no plans to hear a bill this session changing the commission’s makeup, but he expressed personal interest in exploring reforms, accountability, and possibly a future broader coalition or referendum process. No votes were taken; the meeting was informational only, and the chair adjourned the session with holiday and New Year’s wishes.

Transcript Highlights:

• It is a revenue bond. So when they pay it off, it's revenue back to the state.
• It is a revenue<00:05:14.560> bond.
• So when they pay it off, revenue bond.
• <00:05:18.320> So<00:05:18.479> it's it's revenue back to the state.
• So it's it's revenue back to the state.

Keywords: 1183, house

Transcript Highlights:

• Revenue Stabilization and Tax Policy Committee. It is the Senate's turn to chair this year.
• The Revenue Stabilization and Tax Policy Committee chair will be Senator Kerry Hamblin.
• Alright, next we're gonna go to tobacco settlement revenue oversight. OK, our. 3 appointments.
• Transportation Infrastructure revenue Subcommittee.
• Senate appointments to the Transportation Infrastructure Revenue Subcommittee.

Transcript Highlights:

• It also authorizes augmentations to backfill property tax revenue lost in 2024-25 and 2025-26 by cities
• would be in the future, and, you know, projections are always more art than science, whether it's revenues
• of specific stakeholder claims, but generally, you know, Medi-Cal is a sizable share of hospital revenue
• And so if that revenue were to notably decline, that would sort of, that could raise questions for some
• Nearly all of the library district's revenues come from the property tax and from a parcel tax.

Summary: The Assembly Budget Committee held an informational hearing on SB 100/AB 100, the early action budget bills, with a focus on Medi-Cal funding, wildfire recovery, and several smaller budget adjustments. The Department of Finance explained that the bill would add $2.8 billion General Fund and $8.3 billion federal funds for Medi-Cal, along with other items including wildfire-related local assistance for Los Angeles County, property tax backfills for fire-damaged local agencies, Cal OES wildfire monitoring authority, nonprofit security grants, the Property Tax Postponement Fund, FARMER and Clean Cars for All funding, foster family home insurance claims, Proposition 98 technical assistance for LA wildfire-impacted schools, teacher credentialing authority, and Proposition 4 climate bond appropriations for wildfire and forest resilience projects. Much of the member discussion centered on rising Medi-Cal costs, the recent $3.4 billion cash-flow loan, and whether the new appropriation would cover payments through June. Finance said the new funds were for program costs and cash flow, not repayment of the loan, and that no additional loan authority remained. Members also debated the causes of higher Medi-Cal spending, including expanded eligibility, higher enrollment, pharmacy costs, and federal policy changes. The LAO noted that forecasting errors are not unusual but that current revisions are somewhat higher than typical, though not unprecedented. Several members emphasized that Medi-Cal supports access to care and hospital stability, while others raised concerns about sustainability and future federal cuts. Public commenters largely supported the bill, especially the Medi-Cal funding and wildfire-related provisions. Health and labor advocates argued that the program is functioning as intended by covering more low-income Californians and preventing uncompensated care. Representatives of special districts and the Altadena Library District supported the property tax backfill provisions tied to the Eaton fire. The hearing ended without a vote, with the chair noting that the committee would adjourn for floor session and that the Assembly would vote on one of the early action bills later that morning.

Transcript Highlights:

• appropriation of $310,000. ...provides a general fund appropriation of $310,000 to replace the lost revenue
• So it just replaces that lost revenue. I guess, simply put, that's about all.
• Okay, so it's just replacing that lost revenue. Correct. Any other questions? That lost revenue.
• This would result in a $1.5 million decrease in revenue to DOCR over two years.
• It also generates minimal revenue. The fee also generates minimal revenue.

Keywords: 908, all

Summary: The committee met to review fiscal aspects of House Bills 1417 and 1425, both part of a broader criminal justice reentry package. HB 1417 would eliminate the $35 public defender application fee and end court-ordered reimbursement of indigent defense costs, while also removing the $55 monthly community supervision fee. Testimony from the Commission on Legal Counsel for Indigents and the Department of Corrections said the bill would replace lost revenue with general fund appropriations of about $310,000 for indigent defense and $1.5 million for supervision fees, and that the fees are rarely collected and can hinder reentry. Representative Clemene said the bill is intended to reduce barriers to successful community reintegration and improve data and supervision practices. HB 1425 would create and fund front-end diversion, deflection, and pretrial services programs. Supporters described it as allowing prosecutors and local jurisdictions to divert appropriate low-level offenders from prosecution, establish deflection programs for people with behavioral health needs, and expand pretrial services. The bill includes a pilot program in three counties, a $1 million appropriation to DOCR for one FTE and contracts with local providers, $750,000 to DHS for treatment services, and $55,000 for a study of pretrial services cost savings. Committee members asked several questions about how the pilot counties would be chosen, how the consultant study would be procured, and what services the DHS funds would cover. The committee also heard House Bill 1603, which would provide a $500,000 matching grant for Native American Graves Protection and Repatriation Act compliance, with $100,000 available to each of North Dakota’s five tribes if matched. Sponsor testimony said the funds would support a Historical Society NAGPRA compliance committee and help catalog and repatriate human remains and cultural items in coordination with tribes. After questions about the federal mandate and the difficulty of identifying artifacts, the committee voted 4-0 to give HB 1603 a do-pass recommendation, with Senator Meyer assigned to carry it forward.

Transcript Highlights:

• Recommendations include maintaining the $19.9 million in GR and general revenue-dedicated Water Resource
• Item 3, data center services, recommends an additional $0.4 million in general revenue to maintain current
• Fund and 24%, or $819,000, from the General Revenue Dedicated Water Resource Fund.
• For example, in an electric base rate case, it's not unusual to hire four or more experts: a revenue
• On page three, this just highlights that recommendations maintain $320,000 in general revenue funding

Bills: SB1

Keywords: appropriations, budget, state funding, education, healthcare, infrastructure

Summary: The Senate Finance Committee met to review Article 8, regulatory agencies, and began Article 9, general provisions, before recessing for floor action. The committee first heard budget presentations from the Public Utility Commission (PUC) and the Office of Public Utility Counsel (OPUC). The PUC budget recommendation was about $5.07 billion in all funds, including an additional $5 billion for the Texas Energy Fund, plus funding for staffing and technology needs tied to contested cases, infrastructure resiliency, and outage mapping. PUC witnesses emphasized the agency’s growing workload, the need for more staff and modern systems, and oversight of the Texas Energy Fund. OPUC’s recommendation was about $6.9 million, with a reduction in authorized FTEs to better match actual staffing; the agency requested additional funding for salaries, expert witnesses, and budget flexibility, and members highlighted OPUC’s role representing residential and small commercial consumers in utility proceedings. The committee then heard from the Behavioral Health Executive Council (BHEC), whose recommendation was just over $11.2 million. BHEC’s main requests included funding to fill vacant positions, money for continuous National Practitioner Data Bank queries, and a proposed Texas-owned psychology licensing exam in response to concerns about changes to the national exam. Agency leaders also discussed a rider request that would shift responsibility for certain judgments or settlements to the comptroller. Members asked about prior complaint backlogs, and BHEC said those backlogs had been cleared. The Board of Chiropractic Examiners followed, with a recommendation of just under $2.4 million; the board sought support for staffing, training, broadband, and salary retention, and described its work regulating chiropractors and workers’ compensation-related doctors. The Board of Dental Examiners was the last agency heard before the committee recessed. Its recommendation was just under $10 million, and it requested a 10% salary increase for eligible staff, three additional licensing staff, one staff member to handle required background checks, an additional attorney, and an executive director salary adjustment. Dental board witnesses said licensure growth, increased complaints, and low salaries were straining licensing and enforcement operations, even though the agency reported strong performance and high case completion rates. The chair ended the hearing early because the Senate had to return to the floor, and the committee remained in recess.

Transcript Highlights:

• its own Revenue its own Revenue generation<01:00:15.359> that<01:00:15.559> said<01
• you know like I said 70% of our revenues you know like I said 70% of our revenues are<06:13:20.080
• <06:13:26.200> now so if you look at our total revenues now so if you look at our total revenues
• <06:19:18.200> to you know generating more Revenue to you know generating more Revenue to
• Revenue stream but that positive Revenue Revenue stream but that positive Revenue stream<06:21:30.920

Keywords: 910, house, all

Summary: The Committee on Finance held an informational briefing with the Department of Labor and Industrial Relations on its budget, staffing, and operations. The director reviewed department leadership and reported on recruitment and retention efforts, including a 14% vacancy rate, a 10.5% workforce increase from filling 189 positions, and the Hela Imua internship program, which has placed 516 interns since inception and led to 62 permanent hires. The department also described modernization efforts, including the UI Huakai project and the Disability Compensation Division’s electronic case management system, and said the unemployment compensation trust fund exceeded $71.5 million, triggering Schedule C for calendar year 2025. The department’s main budget requests included $2.9 million for fiscal year 2026 to support maintenance and operations of the electronic case management system, plus restoration of two enforcement specialist positions. Officials said those positions are needed to address a decline in investigators from 11 to six since 2009, improve compliance, and handle Hawaii Compliance Express certificate work. Additional requests included two human resources specialists to address recruitment backlogs, two labor enforcement specialists to reduce a backlog of Chapter 104 prevailing wage and wage cases, and two positions for the Office of Community Services to expand immigrant services and access centers. The department also discussed federal funding for unemployment insurance and workforce programs, including National Dislocated Worker Grants and Workforce Innovation and Opportunity Act funds, and said some funding is received in increments and may require extensions. Members asked about Kauai inspection coverage, federal funding uncertainty, the size of the special unemployment insurance fund, and whether the department could ramp up staffing during a future crisis. Officials said Kauai is currently served by inspectors from Honolulu and there are no plans to open a permanent island position because of staffing constraints. They said the department is meeting federal guidelines and is not in jeopardy, and that the special unemployment insurance fund has about $10 million, with current UI operations funded at a little over $15 million, meaning the fund may need to cover roughly $5 million if federal support declines. The director said the department would use the special fund to supplement shortfalls, but noted that federal funding cuts and the loss of ARPA support have already affected operations.

Transcript Highlights:

• <03:22:07.279> from 53FN would distribute the revenue from 53FN would distribute the revenue
• mistaken, in running my revenue mistaken, in running my revenue projections,<03:28:49.600> we're
• with group two and to use this revenue with group two and to use this revenue from<03:29:19.520>
• While under 53.5 million in revenue.
• than increase revenue sharing to our than increase revenue sharing to our coveted<03:32:55.840><

Keywords: 1191, senate, all