Transcript Highlights:

• This contract is submitted for review by the Office of State Procurement, and staff took the opportunity
• , and finally, because this specific contract exceeds the amount for review under state procurement law
• Number one, it wasn't a state procurement decision, but that was corrected from the first.
• As you all know, OSP has started to implement some training on procurement for state agencies and institutions
• You're just out-of-state.

Summary: The subcommittee first considered a used tire program contract for Arkansas District 4, an $88,000 one-year contract with LTR Intermediate Holdings. Senators raised concerns that the tire district’s revised business plan had not yet been approved and that the contract could leave the district unable to pay. Questions also focused on solicitation language that excluded bidders under corrective action plans. On motion, the committee held the contract until next month and encouraged the tire board to appear. Members then reviewed and, without objection, moved forward a series of methods of finance, alternative delivery projects, and discretionary grants. These included multiple university and college projects such as renovations, roof replacements, a new UCA multipurpose arena, and a revised financing package for UA Fayetteville’s Maple Hill residence hall. The committee also reviewed DHS and Department of Health grants for aging services, substance abuse prevention, mental health, nutrition outreach, hearing-loss follow-up, HIV services, maternal health, and rural hospital quality improvement. The committee next handled contract items, including a UAMS ratification for FMLA Source after an amendment was not submitted for review and payments continued past expiration; UAMS said it had retrained staff and would review for other missed contracts. Members also reviewed numerous construction, intergovernmental, out-of-state, and in-state contracts across state agencies and universities. Questions were raised about an out-of-state aeronautics study, a U of A Fayetteville parking guidance system, and a Veterans Affairs nursing contract. Most items were reviewed without objection, and the meeting adjourned after informational reports on contract amendments and minor contracts.

Transcript Highlights:

• I work for a state agency. Okay, yeah. I represent a state agency.
• He thinks the state needs that.
• But the employees are not state employees. You don't go through the state HR office.
• State actions moving forward.
• its states and developers.

Summary: The meeting focused on finalizing recommendations from the Delaware Nuclear Energy Task Force, with most of the discussion centered on how the state should organize itself to evaluate and potentially pursue nuclear power. Public commenters strongly supported nuclear energy, emphasizing energy reliability, economic competitiveness, data center demand, and the need for Delaware to act quickly. Several speakers argued that Delaware is falling behind neighboring states and should not delay if it wants to attract developers and preserve access to federal tax incentives. Members then worked through revisions to the recommendations, especially the section on state actions moving forward. There was broad agreement that Delaware needs a clearly empowered leadership structure, but disagreement over the best form: a cabinet-level energy agency, an expanded existing agency such as DENREC, a dedicated coordinator, an expanded Sustainable Energy Utility, or a separate quasi-independent authority. Some members favored a nimble, one-off entity with bonding and financing authority; others cautioned against creating a new body outside state government and stressed the need for coordination with existing agencies, public oversight, and cost discipline. The group also discussed adding responsibilities such as site identification, public engagement, coordination with PJM and federal agencies, and financing tools, while removing or folding in items that seemed duplicative or too broad. The committee also revised earlier modules to broaden the focus from small modular reactors to nuclear power more generally, while keeping the task force’s original SMR work in view. Members agreed to keep recommendations on state and local regulatory readiness, financial mechanisms, permitting coordination, and public engagement, and to add a recommendation for Delaware to participate as an observer in the Advanced Nuclear First Mover Initiative through NASEO and NARUC. The committee approved the revised Module Four recommendations by vote, with one abstention from Tom Noyes. Minutes from the prior meeting were also approved with minor corrections.

Transcript Highlights:

• 03:50.000> budget Janice Thomas, deputy state budget Janice Thomas, deputy state budget director
• funded 50% federal funds and 50% state funded 50% federal funds and 50% state maintenance<00:05:
• On the very first one, Kentucky State On the very first one, Kentucky State Pentry<00:09:25.839>
• So that's, in a nutshell, how our roof procurement works and all of our procurement for any of these
• compliance states. compliance states.

Keywords: 00:01 Call to Order and Roll Call 01:49 Approval of Minutes 02:06 Information Items 03:48 Project Rpt from Finance and Admin Cabinet 14:38 Lease Rpt from Finance and Admin Cabinet 18:50 OFM – Ky Infrastructure Authority 26:40 OFM – Cabinet for Economic Development 31:50 Office of Financial Management 40:40 Remaining 2025 Meeting Dates 41:25 Adjournment, 958, all

Summary: The meeting opened with prayer and a quorum call, then the committee approved the prior meeting minutes. Staff reported several informational items, including University of Kentucky medical and research equipment purchases, school district debt issues, leasehold improvements, and Kentucky Community and Technical College System bond allocations. The committee then approved a line-item appropriation increase of $350,000 in federal funds for the Department of Fish and Wildlife Resources’ Cumberland Forest Conservation Program, along with two Department of Military Affairs projects: the Ashland Readiness Center window replacement and the MATES HVAC replacement at Fort Knox. It also approved four larger maintenance-pool projects without further action: HVAC and smoke evacuation work at the Kentucky State Penitentiary, HVAC and hot water tank replacements at Oakwood, a Green Bank energy-savings performance project across state facilities, and roof replacement at Lake Barkley Lodge. Members asked about the prison project, the roof procurement process, and whether minority-owned firms receive special bidding preference; staff said capital projects are awarded through open low-bid procurement with qualification and warranty requirements, and that minority participation is preferred but not a bidding criterion. Two lease modifications were approved for Franklin County agencies: an expansion and renovation for the Auditor of Public Accounts and a downsizing and renovation for the Kentucky Workers Compensation Funding Commission. The committee also approved Kentucky Infrastructure Authority items, including a Monticello sewer loan, several Cleaner Water Program grants and reallocations, and a House Bill 1 water grant that required no action. Members questioned engineering costs and were told the KIA board reviews technical details and anomalies before approval. Finally, the committee approved six economic development grants: one EDF grant for V Simple in Jefferson County and five KPDI EDF grants for projects in Breckinridge, Erlanger, Todd, and Washington counties. The last action item was approval of Western Kentucky University’s up-to-$10 million general receipts revenue bond issue for athletic facilities. An informational Kentucky Housing Corporation multifamily bond item prompted concern from members about rising per-unit costs for affordable housing, and they requested further explanation from the housing corporation at a future meeting.

Transcript Highlights:

• State Auditor with the State Auditor's Office.
• State Procurement, are y'all the State Procurement Department? Is that correct?
• It is the Chief Procurement Office for the state, yes.
• The Controller is the Chief Procurement Officer of the state, and then by my position...
• As you all know so well, the state of Texas is one of the largest employers in the state. state, and

Keywords: 1184, house, all

Transcript Highlights:

• So now we'll proceed to the State Auditor for the status report.
• Are there questions for the State Auditor?
• ... ...colors of money, be it local, state, or federal.
• We strongly thank the Senator for bringing this to the committee for state retirees and state employees
• California State Retirees, and I'm executive vice president.

Summary: The Joint Legislative Audit Committee met to hear new audit requests and receive a status update from the State Auditor. The auditor reported 10 JALAC audits in progress, noted that all 2025-approved audits are underway, said the first 2026 audit is focused on DMV license revocations, and described several statutory and high-risk audits already in progress. The committee also approved a consent calendar of four audit requests: UC library resources, law enforcement information sharing, EDD unemployment insurance claims, and Housing and Community Development housing development monitoring. The committee then considered Assembly Member DeMaio’s audit request on SANDAG road project management. DeMaio argued the audit was needed to examine whether transportation funds, including voter-approved and restricted revenues, were used for allowable purposes and whether past management failures warranted outside review. SANDAG’s CEO and CFO said the agency already undergoes extensive oversight and audits, that funds are tracked by multiple “colors of money,” and that internal controls have improved. Several members questioned whether the issues were already addressed in public records or existing audits, and the request failed on a roll call vote. Next, Senator Valadares presented an audit of the Board of State and Community Corrections’ Proposition 47 grant administration, arguing that more transparency is needed on outcomes, recidivism data, and oversight of grantees. The BSCC said it already has oversight mechanisms, that the State Controller conducts biennial audits, and that program data shows positive outcomes. The committee approved the audit unanimously. Senator Cortese then presented an audit of CalHR’s dental benefits procurement and Delta Dental contract, citing long-standing benefit caps, provider network concerns, and retiree out-of-pocket costs. CalHR said its network remains strong, that it recently completed an RFP adding MetLife as a second carrier starting in 2027, and that contracts include performance guarantees. Members from both parties expressed concern about access and competition, and the audit was approved unanimously. The committee then completed add-on votes on the consent calendar and adjourned.

Transcript Highlights:

• But there are, in the first sections, provisions to do with procurement for Kentucky's three largest
• So this bill, as Senator Frommeyer mentioned, streamlines the procurement for Kentucky's largest airports
• So this bill, as Senator Frommeyer mentioned, streamlines the procurement for Kentucky's largest airports
• for ky's largest airports by procurement for ky's largest airports by tying<00:04:27.720> the
• Now, this is a little bit different in the sense that there is only one entity in the United States..

Keywords: Roll Call 00:20 Approval of Minutes 01:00 SB 87 Discussion 01:23 SB 87 Vote 09:45, 958, all

Summary: The committee met with a quorum, approved the minutes from the February 12 meeting, and then took up its only agenda item, Senate Bill 87. A committee substitute was adopted before testimony. Senator Shelley Funke Frommeyer presented the bill with representatives from CVG, describing it as an efficiency measure for Kentucky’s aviation sector. The bill’s main provisions would streamline procurement rules for Kentucky’s three largest commercial airports by tying the acquisition threshold to the FAA’s simplified acquisition threshold, which adjusts with inflation. Testimony also explained that the bill directs the Council on Postsecondary Education and the Transportation Cabinet to study workforce needs in aviation, especially the shortage of air traffic controllers, and to examine ways Kentucky postsecondary institutions could help create a path to additional training and possibly a second site for final credentialing. Committee members and the Senate President spoke in support of the bill’s workforce and aviation goals. The President said CPE should be doing this kind of planning without needing extra funding, and noted the bill fits CPE’s coordinating role. The chair announced the fiscal note on the underlying bill showed no impact, though it may change with the substitute. The committee then voted to report Senate Bill 87 favorably with the committee substitute attached, and adjourned after no further business.

Transcript Highlights:

• But it's especially challenging in state government.
• The first one is on the first page here: procurement compliance.
• The goal is 45 call centers for state agencies utilizing AI technology.
• Just for reference, we have about 700 certified procurement officers at state agencies.
• I've continually been told to make procurement faster and simpler.

Keywords: 914, all

Transcript Highlights:

• We think that's the right thing to do because the state has... ...the state has already invested and
• One, we are looking at infrastructure private sector financing against a state backstop, which is state
• And if the answer is we can't do this in this state right now because of the way the state is, that's
• Does it comply with state law?
• I want to remember that as we look at the rail procurements and different procurements that he has stated

Summary: The Senate Transportation Committee held an informational hearing on the California High-Speed Rail Authority’s 2026 draft business plan, with testimony from the authority, the Legislative Analyst’s Office, and the High-Speed Rail Inspector General. Chair Cortese framed the hearing around the project’s recent changes: a new CEO, revised delivery strategy, loss of federal funds, renewed interest in private financing and value capture, and proposed adjustments to the Merced-to-Bakersfield segment. He also raised concerns about statutory compliance, transparency, and whether the draft plan fully reflects required elements and true costs and timelines. Authority CEO Ian Chaudhry said the project has made substantial construction progress in the Central Valley and is moving toward track installation, with the state’s $1 billion annual cap-and-invest funding providing a stable base. He argued the plan uses design optimization, direct procurement of materials, and revised sequencing to reduce costs and support an early operating segment by about 2032-33. He also promoted broader commercialization of the corridor through real estate, energy, broadband, logistics, and public-private partnerships, saying private sector interest is now real. Several senators pressed him on station locations, tax increment financing, utility relocation authority, permitting delays, transparency, and whether the project can realistically reach Los Angeles and San Francisco on the current timeline and budget. The LAO and Inspector General were more skeptical. LAO analyst Helen Kirstine said the draft plan assumes major scope changes, including a shorter segment, a Merced station outside downtown, more single-tracking, and several statutory changes that have not yet been enacted. She warned that the plan may not comply with recent legislative requirements, that funding may still be insufficient even for the reduced segment, and that borrowing against future cap-and-invest revenues is risky because those revenues are uncertain and volatile. Inspector General Ben Belknap said the draft plan fails to comply with newer statutory requirements, especially regarding the Merced-to-Bakersfield scope, the funding plan, and missing procurement milestone dates. He said the presentation obscures cost increases and schedule delays and limits the Legislature’s ability to compare current estimates with prior reports. Committee members generally supported continued oversight and some form of project delivery reform, but several expressed concern that the plan relies on legislative changes that have not been approved and on private financing that may not materialize. Chaudhry said the authority would address the Inspector General’s findings in the final business plan and continue to pursue federal grants, private capital, and corridor commercialization. No vote was taken at the hearing.

Transcript Highlights:

• So Oregon Committee members, please unmute yourself and state that you are present and state whether
• I'm looking for good competition in that procurement process.
• So we go through a two-step procurement process.
• governments from two states, and also includes local partners as well as state partners that are listed
• governments from two states, and also includes local partners as well as state partners that are listed

Keywords: 904, all

Transcript Highlights:

• procurement process.
• <00:08:57.680> Again,<00:08:58.640> uh the state procurement process.
• Again, uh the state procurement process.
• That's vehicles in the procurement code.
• I represent Georgetown Scott the state.

Keywords: Meeting Start: 00:00 Roll call: 01:22 HB 577 discussion: 03:04 HB 577 vote: 05:26 HB 392 discussion: 06:55 HB 392 vote: 09:54 HCR 16 discussion: 11:00 HCR 16 vote: 14:07, 958, all

Summary: The House Standing Committee on Economic Development and Workforce Investment met for its first meeting, reviewed housekeeping procedures, and established a quorum. The committee first considered House Bill 577, relating to economic development. The bill sponsor and a representative from Blue North said it would modernize Kentucky’s economic development statutes to better support startups and high-growth companies, rename the innovation center program as the Kentucky Entrepreneurship and Innovation Hub program, clarify statutory definitions, expand the Kentucky Enterprise Fund, allow certain out-of-state companies to qualify if they commit to becoming Kentucky-based within 180 days, and broaden the angel investment program to include pass-through entities. The committee approved HB 577 with a favorable expression. The committee then took up House Bill 392, relating to local public agency transactions, and adopted a committee substitute negotiated with stakeholders including the Kentucky Press Association and the Kentucky Association of General Contractors. The sponsor said the substitute removed the original bill’s best value and reciprocal bidder provisions, lowered the small purchase threshold from $60,000 to $50,000, and would increase that threshold by $10,000 every five years to account for inflation. It would also allow local governments to use certain state contracts with price ranges, permit independent evaluation of some small non-evaluative equipment, and exempt law enforcement vehicles and related equipment from procurement code requirements. HB 392, as amended by committee substitute, passed with a favorable expression. House Concurrent Resolution 16 was then heard. The sponsor, who had co-chaired the Air Mobility and Aviation Economic Development Task Force, said the task force held six meetings and heard from airports, aviation and education stakeholders, logistics companies, and others. She said the group found there was no real strategic plan for advanced air mobility and recommended that state agencies study infrastructure needs and that the General Assembly develop a strategic plan and legislation for AAM vehicles. Members discussed airport and drone-related issues, and the resolution passed with a favorable expression. Finally, House Bill 593, relating to data centers, was announced but passed over for a later hearing, and the committee adjourned.

Transcript Highlights:

• Keenan: procurement reporting. Amendment number 38 by Mr. Keenan: procurement reporting.
• goods and services should be procured.
• The General Appropriations Act, the state budget. And Mr.
• United States House of Representatives.
• Steve was a proud member of the United States Marine Corps Reserves.

Keywords: 995, all

Summary: The Senate continued debate on a package of amendments to its rules, with many proposals focused on floor procedure, transparency, attendance, remote participation, and budget timing. Several amendments were debated at length, including changes to the dilatory timeline for laying matters on the table, reporting Senate procurements, electing Senate counsel, requiring best efforts for in-person attendance, identifying whether members vote remotely, and adjusting deadlines for budget documents and amendments. Most of the procedural and transparency amendments were rejected, while a few were adopted, including an amendment allowing another minority caucus member to call a caucus if the minority leader is absent, a change to the filing deadline for amendments on Thursday-dated bills, and a corrective amendment from Senator Lovely. An amendment to create a Senate Committee on Reproductive Rights and Freedom was also offered and supported in debate but was not adopted. The Senate also adopted amendments extending the time for members to receive the Senate Ways and Means General Appropriations Act from five to seven days and increasing the minimum filing time for budget amendments from 48 to 72 hours. Another amendment requiring a two-thirds roll call vote to continue past 10 p.m. was rejected, as were proposals related to remote-vote designation and shortening the late-session tabled-bill rule from 14 days to seven days. The chamber briefly recessed several times during the amendment process, and votes were taken both by roll call and by voice vote, with many amendments failing on recorded votes. The Senate paused to honor Brockton Fire Captain Stephen A. Montero, who died after a battle with occupational cancer. Senator Brady offered a motion that the Senate adjourn in his memory, and members observed a moment of silence. The Senate then completed its formal business, adopted an order to reconvene the following Tuesday at 11:00 a.m., and adjourned in memory of Captain Montero.

Transcript Highlights:

• and making sure they understand how to properly be procured and what those procurement requirements
• And making sure they understand how to properly be procured and what those procurement requirements are
• Is it within the state, or is it only for out-of-state efforts? Thank you for the question.
• It's the in-state need.
• and outside of the state.

Keywords: 914, all

Summary: The committee held a budget hearing for the Oklahoma Office of Emergency Management, with Director Annie Verst presenting the agency’s FY26/FY27 request and explaining the agency’s role in disaster response, recovery, preparedness, and mitigation. She said OEM remains a lean agency focused on coordinating resources for local governments, supporting recovery after disasters, and helping communities build resilience. She highlighted recent activity including wildfire response, multiple fire management assistance declarations, $83 million in public assistance payouts, use of the new state disaster revolving fund, and implementation of an Oklahoma resilient recovery strategy and ARPA-funded rural public safety grants. Verst emphasized uncertainty in federal funding and FEMA operations, saying hazard mitigation assistance has been canceled for the first time since 1988, some obligations were delayed under DHS’s “Defend the Spend” review, and the emergency management performance grant period was shortened before later being resolved. She said OEM has restructured by eliminating obsolete administrative work, repurposing positions to regional coordinators, ending warehouse leases, and assigning fleet vehicles more efficiently. Her budget request included $3.7 million to cover a possible loss of federal operating support, $1 million for a required state hazard mitigation plan update, $3.8 million for the state emergency fund to cover anticipated 12.5% state shares and replenish prior expenditures, and $800,000 for anticipated other-needs/temporary sheltering cost share. Members questioned her about Oklahoma Task Force One, the revolving fund, and whether OEM is shifting toward a response-focused agency. Verst said response remains local and OEM’s role is coordination, recovery, and mitigation, not replacing local emergency management. She explained Task Force One is used when local capacity is exceeded, is not currently funded by OEM for routine operations, and the revolving fund helps bridge reimbursement delays. She also said the hazard mitigation plan update would likely be done by an outside contractor or university partner. No votes were taken; the hearing ended after questions and thanks from the chair.

Transcript Highlights:

• Please come up and state your name for the record.
• Seeing none, members, we do have written testimony and support from the State Procurement Office, as
• > as<00:11:54.560> well the state procurement office uh as well the state procurement office
• Director of Finance for the State of Hawaii.
• Director of Finance for the State of Hawaii.

Keywords: 910, house, all

Transcript Highlights:

• Next, we have the State Procurement Office with comments. written comments and be available for written
• <00:23:47.799> procurement state procurement state procurement office<00:23:50.279> with
• Bonnie Kakoi, Administrator, State Procurement Office.
• <00:31:32.200> procurement 809 first up we have state procurement 809 first up we have state
• Bonnie Kcoy, State Procurement Office.

Keywords: 910, house, all

Summary: The committee heard testimony on several bills related to consumer protection, liquor regulation, construction procurement, and state contracting. On House Bill 565, DCCA and the Office of Consumer Protection stood on written testimony, and a committee member raised a question about whether creators of remains would have to hold them indefinitely if family members did not respond; the member indicated language would be fixed to address that issue. No vote was taken. House Bill 208, dealing with liquor law changes, drew strong support from Scarlet Honolulu and Maui Brewing Company, who said the measure would modernize liquor rules and add guardrails, while the Wine Institute and Anheuser-Busch opposed it as a special tax break or unnecessary expansion of liquor-related authority. Members questioned whether anonymous complaints should be allowed and whether the bill could lead to retaliation; the supporter said complaints should not be anonymous and suggested the Liquor Commission had been accused of writing complaints to target licenses. No action was taken. House Bill 939, concerning taxation of low-ABV spirits-based beverages, received support from Maui Brewing Company and Johnson Brothers, who said it would align tax treatment with existing categories and reduce confusion, while the Wine Institute and Anheuser-Busch opposed it as a narrow tax break that could reduce revenue and should instead be considered in a broader alcohol tax review. House Bill 808, on construction defect insurance or related protections for state projects, drew comments from DAGS, the State Procurement Office, and the Subcontractors Association, with the latter warning it would make state contracting harder and shrink the contractor base; the chair questioned what recourse the state has when defects appear after a project is completed. House Bill 809, addressing procurement and subcontractor-listing corrections, drew opposition from SPO, DAGS, and the Subcontractors Association, while the General Contractors Association supported it; members debated whether a 24-hour correction window would create abuse or simply allow minor ministerial fixes, and the bill’s sponsor said the goal was to reduce bid protests and procurement discretion. No votes or final committee actions were recorded in the excerpt.

Transcript Highlights:

• this is provided to us from the state this is provided to us from the state accounting<00:01:48.880
• them and you're satisfied that it's all good under the procurement laws.
• I don't know it's a procurement process with that.
• <00:10:14.320> uh I don't know it's a procurement uh I don't know it's a procurement uh process
• for that recommended it go to a state for that recommended it go to a state government<00:13:13.839

Keywords: 958, all

Summary: The commission first returned from executive session and reported that no action was taken. It then approved a motion finding there was no reason to believe the respondent in case 25 LAC1 had committed or was about to commit a violation of the code, and dismissed the complaint under KRS 6.86(1)(b)3. Members next reviewed and approved the September financial report, which staff said was based on state accounting data and showed the commission within year-to-date budget parameters. Staff also reported that all required forms for the recent reporting period had been filed and that there were no outstanding forms. The main substantive discussion concerned a proposed one-year, $6,000 contract with Tyler Technology/Kentucky Interactive to add an online payment portal for the commission’s re-registration process. Staff said the system would let employers pay registration fees online using an employer ID, reduce manual handling of 3,000 to 3,500 forms and hundreds of credit card payments, and improve security by keeping credit card information out of commission staff hands. Members asked about user fees and procurement concerns; staff explained that users would still pay the existing credit card processing fee, that an e-check option would also be available, and that the $6,000 cost was viewed as below the de minimis threshold. The commission approved the contract. In other updates, staff said informal opinions were included in the materials and remained confidential, reported on a presentation to the UK Martin School, noted that the regular session calendar would likely require meetings to shift during the legislative session, and said the commission’s statutory recommendations had been received by LRC and referred to a state government committee. The meeting then moved into executive session to discuss a personnel matter.

Transcript Highlights:

• Several states have already done this, and so I encourage your questions.
• tools for goods and services from small businesses that state agencies currently have.
• It's going to go to State and Local Government, so Senator Pa is going to State and Local, where she
• To me, it looked like it states it whether if it's permanent, you're kind of done.
• To me, it looked like it states it whether if it's permanent, you're kind of done.

Keywords: 1187, senate, all

Transcript Highlights:

• So now we'll proceed to the state auditor for the status report.
• Are there questions for the state auditor?
• And I believe that a state audit I believe that a state audit is going outside the sandbox because it's
• We strongly thank the Senator for bringing this to the committee for state retirees and state employees
• California State Retirees, and I'm executive vice president.

Keywords: 987, senate, all

Transcript Highlights:

• The first page of Item E is a letter from the Office of State Procurement Director, Ms.
• Number four, State Police. State Police. Can you come down?
• State police. State police. Can you come down? for state police state police. Can you come down?
• Special Procurement Justification Form.
• Number three is critical emergency procurements, which were procured on an emergency basis.

Summary: The ALC-Review Subcommittee reviewed seven methods of finance, including university projects at ASU Jonesboro and Mountain Home, Black River Technical College deferred maintenance, UA Batesville’s Farm Project Gateway Center, UAMS PET cyclotron equipment, a new allied health building at UAPB funded by a federal grant, and UCA’s multi-purpose arena design work. The committee also approved an alternative delivery construction project for UAPB’s Allied Health and Sciences Building, with East Harding Construction selected and AMR Architects as designer. Members then approved discretionary grants from the Department of Health and DHS, including support for a heart attack center designation, community health worker training, homeless services funding corrections, behavioral health transition support, and an enabling technology pilot. In the contracts section, the committee reviewed RFQs, construction-related contracts, intergovernmental contracts, and a large slate of out-of-state and in-state contracts covering topics such as seatbelt survey data collection, Medicaid and DHS systems, state hospital staffing and services, veterans’ services, education assessments, and state IT and procurement projects. Several contracts drew extended questioning. Senators and representatives pressed DHS and the Department of Veterans Affairs about heavy reliance on contract nursing and staffing costs, and officials said they were using pay incentives and recruitment efforts to increase state employee staffing. Members also questioned AEDC’s lithium supply chain study and the Department of Education’s security contract, with concerns about projected costs and repeated amendments. The committee held three in-state contracts—Department of Education security services and two DHS staffing contracts—until Friday, then adopted the remaining contracts and received informational reports on contract amendments, executed contracts, and emergency procurements before adjourning.

Transcript Highlights:

• state medical examiner or Kentucky state state medical examiner or Kentucky state police<00:22:51.440
• agency, and any of these state agencies would have had to in terms of procurement, so the bidding processes
• <00:35:48.240> uh<00:35:48.400> there state dollars as a as a state uh there state
• impatient hospitalizations in the state. impatient hospitalizations in the state.
• states are doing better.

Keywords: 0:00:01 Call to Order and Roll Call 0:01:19 NKU Capital Project Update 0:38:57 DJJ High Acuity Services Update 1:03:53 Adjournment, 958, all

Summary: The interim Budget Review Subcommittee for Justice and Judiciary received an update on Northern Kentucky University’s capital project to house the Northern Kentucky Medical Examiner’s Office and the Northern Kentucky Crime Lab in the former Highland Heights Civic Center building on NKU’s campus. NKU and Justice Cabinet staff described the project timeline: the building was identified in late 2022, lease terms were agreed to in early 2023, a pre-construction evaluation agreement was executed in May 2023, the General Assembly authorized $21 million in April 2024, and the lease and construction agreement were finalized in spring 2026. The project is now being prepared for bid, with construction expected to start in August and occupancy targeted for January 2028. About $1 million has been spent so far on design and related investigations. Testimony emphasized that the vacant building was structurally sound but required major upgrades, including HVAC, plumbing, electrical, roof, windows, a generator, specialized mechanical systems, security, and geothermal work to meet the needs of two separate operations sharing one facility. NKU said it is contributing $3.7 million to the project. Committee members asked about the condition of the building, the urgency of the project, and why the process took so long. Justice Cabinet and real properties officials said the medical examiner’s office had been shut down since roughly late 2017 or 2018, that the state had first sought funding in the 2022 budget for staffing, a lease, and equipment, and that it took time to find a suitable leased location because the facility has highly specialized requirements. Members also asked about operating costs, annual lease costs, and the impact of the office’s absence on families and counties in Northern Kentucky. Officials said the lease cost is based on NKU’s expected maintenance-related expenses, while utilities and staffing are covered through the Office of the State Medical Examiner or Kentucky State Police, with seven medical examiner positions funded in House Bill 500 and two additional KSP positions requested for the crime lab. They explained that, until the new facility opens, bodies from Northern Kentucky are generally transported to Louisville for autopsy, with transportation costs borne by the coroner’s office. No votes were taken, but the committee requested follow-up information, including lease cost numbers and additional details on facility usage and timing.

Transcript Highlights:

• This had previously been identified by the State Procurement Office, and a letter of a procurement violation
• There seemed to be some confusion with the letter received in the State Procurement Office and the Racing
• at the Racing Commission, the State Procurement Office recommended that the Commission reach out to
• the State Procurement Office on any level two or higher purchases.
• Chairman, members of the committee, my understanding was that in that letter it said the State Procurement

Summary: The committee was called to order, the Pledge of Allegiance and prayer were offered, and the minutes from the previous meeting were approved. Members then received a memo summarizing major audit items and began hearing audit presentations from the State Auditor’s Office and private auditors on a range of state agencies and organizations. Several audits were reported as clean, including the Bank of North Dakota, the North Dakota Guaranteed Student Loan Program, the Office of the Governor, the Office of the State Treasurer, the Office of Management and Budget, the Department of Transportation’s flexible transportation fund, Lake Region State College, and the Department of Environmental Quality. The North Dakota Stockmen’s Association also received an unmodified opinion, though repeat findings were noted for limited segregation of duties and financial statement preparation due to its small staff. The Council on the Arts audit found two findings: payroll charged to federal awards without adequate timekeeping records, and unallowable expenditures from a restricted cultural endowment fund. The Department of Public Instruction audit identified unsupported scholarship applications in the paraprofessional-to-teacher program, though additional testing showed the funds were used for their intended purpose. The most extensive discussion centered on the North Dakota Racing Commission audit, which identified four findings: overspending the promotion fund’s 25% operating limit, grant conditions not being met, improper Breeders Fund awards, and improper procurement for advertising services. Racing Commission director Bruce Johnson acknowledged complacency and weak controls, said the agency would tighten procedures, and explained that the commission had since worked with procurement and would follow the rules more closely. Auditors also explained that the commission would now be audited every two years because of the findings. Another major discussion involved the University of North Dakota School of Law, where auditors found a lack of documentation supporting admissions decisions for post-baccalaureate programs. UND officials said they remain in good standing with the American Bar Association but agreed better documentation and tools are needed; the committee pressed for more transparency and follow-up on admissions criteria. The committee also received an update on Dakota College at Bottineau, where Minot State University reported that bank reconciliations had been brought current after a significant backlog and would now be maintained through shared services. Members requested a written follow-up report on the issues and corrective actions. Finally, the North Dakota Fair Association explained that its foundation has been dissolved and remaining funds were transferred to another nonprofit for continued support of the state fair, and the Department of Public Instruction provided an update on school meal debt, saying the reported amount was about $1.1 million from a partial district survey and that debt remains a local issue, though it could be revisited if school meal funding changes.