Transcript Highlights:

• However, there's also evidence suggesting negative impacts.
• </c><00:22:00.680><c> The</c> suggesting negative impacts. The suggesting negative impacts.
• ,</c> indexes its minimum wage to inflation, indexes its minimum wage to inflation, also<00:25:34.720
• Now, we turn to the business impact.
• </c> &gt;&gt; Now, we turn to the business impact. &gt;&gt; Now, we turn to the business impact.

Committee: House Labor, Industrial and Rehabilitative Services

Transcript Highlights:

• We would just mention that we agree that the impacts of Prop. 36 are still uncertain.
• So we are considering all of that information, how our role would impact that.
• The downside of prison closures is that it does impact public safety.
• costs related to food inflation through salary savings.
• I'm just, just finally, is there a way that you think that impacts the budget?

Transcript Highlights:

• are of inflation when rent increases are outpacing wage increases.
• the impact or built the systems needed to level up.
• You have made a lasting impact on Vermont and on me, and I will miss you.
• To our retiring members, I hope you hold close Each of you have made an impact.
• Her impact will be felt for years to come. Years to come.

Transcript Highlights:

• The payroll employment I mentioned, and then these sort of national indicators: inflation is expected
• I think that's largely due to the impact of New Corp. That's... ...increase of 1,700.
• I think that's largely due to the impact of New Corp.
• Of course, we have higher inflation between 2021 and 2025. The outlook is...
• Of course, we have higher inflation between 2021 and 2025.

Summary: The Senate Finance Committee met with a quorum present and first approved the minutes from the January 15 morning meeting. The main agenda item was the Department of Revenue’s budget and revenue presentation from Secretary Eric Nelson, Deputy Secretary Peter Shirley, and Deputy Secretary Mark Mucco. Nelson said the state remains double-A rated with a positive outlook, the budget includes a 5% personal income tax reduction, and the 2027 general revenue estimate is $5.493 billion, up $170 million from the prior year. Shirley gave an economic overview, saying West Virginia is forecast to see continued but slowing employment growth, continued wage growth, gains in private education/health services and business services, declines in some sectors, improving labor force participation relative to the nation, and strong recent net in-migration. He also noted continued growth in natural gas production and a modest rebound in coal production, though coal faces longer-term demand pressure. Mucco reviewed revenue trends and said 2025 collections were about $5.5 billion, below the prior year but above estimate, with personal income tax and sales tax driving the surplus. He explained that the forecast incorporates the 5% PIT cut and annual conformity to the federal One Big Beautiful Bill Act, including changes such as Section 179 expensing, bonus depreciation, R&D expensing, business interest deductions, and a new manufacturing facility expensing provision. He also discussed the effects of tax credits, severance tax volatility, declining tobacco revenues, and health care provider tax changes tied to federal Medicaid rules. He said road fund revenues are largely flat absent policy changes, and county commission revenues are growing faster than state revenues. Members asked about when new economic development projects like NewCore would appear in the projections, how much 20,000 new jobs would matter, whether the department had a calculator for job-growth impacts, the status of recent tax cuts, road fund growth, tobacco/vape taxation, and whether migration data could be broken down by county. The witnesses said major projects are not yet in the S&P-based forecast but would likely add jobs, wages, and tax revenue over time; they estimated 20,000 jobs would be a significant increase. They also said the state is unlikely to hit the current personal income tax trigger in the near term. No substantive votes were taken beyond approving the minutes, and the committee adjourned after a motion carried by voice vote.

Transcript Highlights:

• Now, however, inflation growth is backed down and that aid has dropped.
• due to temporary Revenue surpluses due to pandemic<00:05:13.479><c> induced</c><00:05:14.080><c> inflation
• induced inflation and because of<00:05:15.039><c> the</c><00:05:15.199><c> stimulus</c><00:05:15.720
• </c> and families now however inflation and families now however inflation growth<00:05:22.039><c> is
• He added that statewide, there may be things they can look at to see if there has been any impact so

Summary: The House Standing Committee on Appropriations and Revenue met on January 8, 2025, with a full roll call and a welcome to new members. The committee took up its only agenda item, House Bill 1, sponsored by Chair Jason Petrie, which would implement a further 0.5% reduction in the individual income tax rate, effective January 1, 2026, with conforming date changes tied to the state’s existing tax-cut framework under House Bill 8 and the budget director’s certification of reserve and revenue conditions. Jason Bailey of the Kentucky Center for Economic Policy testified against the bill, arguing that Kentucky’s recent permanent income tax cuts were enacted during an unusual period of temporary pandemic-era revenue surpluses and federal aid, and warning that another cut could worsen future budget pressures. He said the proposed reduction would cost about $718 million annually when fully phased in and would increase risk to state services, especially in poorer rural areas that rely heavily on state funding. In response to questions, the sponsor and other members described the bill as limited to the income tax rate and said any future reversal would require statutory change. Representative Gentry asked about the broader policy goal of moving toward a more consumption-based tax structure and whether the income tax cuts were intended to support growth and population retention. He said he had seen anecdotal signs of housing and population activity in Jefferson County and surrounding areas, though he acknowledged the difficulty of proving causation. He ultimately passed on the bill, saying he wanted more data and was concerned about benefits flowing more to higher-income taxpayers. The committee then voted 17-0 with 3 pass votes to report House Bill 1 favorably to the House floor.

Transcript Highlights:

• so we won't have to is tied to inflation so we won't have to keep<00:04:36.320><c> coming</c><00:04:
• It says the fiscal note is back and it says no impact.
• That will probably change a little bit when we get the fiscal impact on the committee substitute.
• I don't know if there is a statement, so I don't know what the fiscal impact would be other than what
• </c><00:09:31.839><c> would</c> don't know what the fiscal impact would don't know what the fiscal impact

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:

• Inflation is very profitable for the credit card industry, but it hurts consumers.
• The bill will not only impact the credit unions, but more importantly will also impact the members they
• I don't know if they will be able to, and that has an impact on consumers. Thank you.
• I mean, I think your point earlier, too, about the impact of tariffs and inflation, how this is going
• It wasn't more than we saw inflation during that time, but it was real.

Summary: The Assembly Banking and Finance Committee heard several bills, beginning with AB 407, which would expand the California Pollution Control Financing Authority. The author said the measure would increase flexibility and access to resources, and the bill was approved 7-0 and sent to the Committee on Local Government. The committee also adopted the consent calendar, which included AB 76, by a 7-0 vote. A lengthy portion of the meeting focused on AB 1065, which would prohibit swipe fees on the sales tax portion of credit card transactions. Supporters, including small business owners, restaurant and grocery representatives, and a payments-policy expert, argued the bill would reduce costs for merchants and consumers and rein in dominant card networks. Opponents, including banks, credit unions, and payment industry groups, argued the bill is likely preempted by federal law, would be difficult to implement, and could disproportionately affect community banks and credit unions. After extensive questioning about preemption, fraud, implementation, and consumer impacts, the committee rejected the bill on a 6-0 vote, but then granted reconsideration by a 7-1 vote. The committee then heard AB 1365, which would create the Cal Account Program, a zero-fee, zero-penalty state banking account for unbanked and underbanked Californians. Supporters said the program would help low-income households, survivors of abuse, and others facing barriers to traditional banking, while opponents from community banks and credit unions argued existing low-cost accounts and the Bank On program already address the need and raised concerns about cost, feasibility, and duplication. The bill advanced on a 6-0 vote and later received enough votes on the reopened roll to move forward to the Committee on Labor and Employment. The committee also approved AB 1052, which would create a legal framework for digital assets and address unclaimed digital property and restrictions on public officials issuing or promoting digital assets, and AB 1180, which would create a pilot program for paying state fees with digital financial assets and require a report on broader adoption. Both bills passed with broad support after brief testimony and discussion. Final roll calls later confirmed AB 1052 and AB 1180, along with AB 407 and AB 1365, were moved out of committee.

Transcript Highlights:

• Inflation is very profitable for the credit card industry, but it hurts consumers.
• The bill will not only impact the credit unions, but more importantly, it will also impact the members
• So, I think it's important to think about the impact of tariffs and inflation, and how this is going
• It wasn't more than we saw inflation during that time, but it was real.
• So the savings that were achieved did not supersede the inflation that was there.

Committee: House Banking and Finance

Transcript Highlights:

• COLAs can be tied to different metrics: inflation, service, flat...
• And that amount increases with inflation.
• Again, the bill impacts LEOFF 2 only. Thank you.
• And so I'm just curious how that the spousal difference might impact the...
• spousal difference might impact the cost.

Committee: Joint Select Committee on Pension Policy

Transcript Highlights:

• No matter the business, the challenges are consistent—from managing inflation and capital to hiring a
• I am committed to serving all who are impacted, from North Carolina to California to Hawaii.
• And my prayers are with the people of Georgia and all impacted.
• Businesses secure and ensuring wasteful taxpayer spending is not driving up inflation.
• Inflation is the number one problem, not only facing families, but small businesses.

Committee: Senate Small Business and Entrepreneurship Committee

Transcript Highlights:

• If the minimum wage had simply kept up with inflation and the cost of living, since it last went up,
• If the minimum wage had simply kept up with inflation and the rise in economic productivity, it would
• You talked about if we had kept up with inflation, whatever...
• You talked about if we had kept up with inflation, whatever, it'd be $23 an hour is what the minimum
• I said inflation and productivity gains. Okay.

Committee: Senate Local & Municipal Affairs

Transcript Highlights:

• Common inflation is really the product. The product of Florida's inflation is a product of COVID.
• what is the fiscal the average yearly fiscal impact for counties in the state?
• People are Representative Bartleman: impacted by property insurance.
• And it was millions of dollars of an impact on different counties.
• by Hurricanes Helene and Milton are still recovering from those impacts.

Transcript Highlights:

• They're still concerned about inflation. Inflation is still above their target rate.
• </c><00:08:44.320><c> Inflation</c><00:08:44.720><c> is</c> concerned about inflation.
• Inflation is concerned about inflation.
• Uh but that's going to impact impact impact what<00:15:38.959><c> we</c><00:15:39.199><c> can</c><00:
• </c> to impacted citizens. to impacted citizens.

Transcript Highlights:

• </c> Hollins' bill and the ability to impact Hollins' bill and the ability to impact our<00:03:42.920
• </c> negative impact on building occupancy. negative impact on building occupancy.
• It came back without inflators. Amazing.
• </c> It came back without inflators. Amazing. It came back without inflators. Amazing. Amazing.
• </c><00:48:31.680><c> on</c> And we proposed putting an inflator on And we proposed putting an inflator

Summary: House File 4845 was presented as a tax modernization and local aid bill that would adjust Minnesota income tax brackets for inflation, add a new top bracket of 10.85% for high earners, and increase local government aid and county program aid beginning in 2026. Representative Hollins said the bill would strengthen local government funding and require the Department of Revenue to recertify aid distributions. The chair noted the bill would be laid over for possible inclusion in the 2026 tax bill. Supporters, including St. Paul Mayor Melvin Carter? no, Mayor Kelly Her of St. Paul, AFSCME Local 34, and Rebuild Minnesota, argued that cities and counties need more stable revenue to cover rising costs, public safety, human services, and property tax pressure. They said the bill would help local governments meet unmet needs and reduce reliance on property taxes. Opponents from the Minnesota Business Partnership and Minnesota Chamber of Commerce argued the new top rate would hurt competitiveness, talent recruitment, and business investment, especially because many businesses pay through the individual income tax code. Some testifiers also opposed directing more aid to cities that they said restrict housing development, while others urged the committee to address unfunded mandates and fraud instead of raising taxes. During member discussion, Representative Joyce opposed creating another bracket and suggested using cannabis tax revenue instead. Representative Wiener said the state has a spending problem and cited fraud concerns, while Representative Roach questioned whether the bill truly helped greater Minnesota and noted the current LGA appropriation is just over $644 million. Representative Hollins responded that the proposal would mostly benefit greater Minnesota by shifting more of the tax burden to high earners in the metro area. No vote was taken; the bill was laid over for possible inclusion in the 2026 tax bill.

Transcript Highlights:

• So, that 2025 is inflated to what our current year is. The current year is.
• .. from constituents who are, you know, doing their own calculations and I think anticipating CLA impacts
• times over in multiple committees of jurisdiction and did not actually have any statutory change impact
• It did not actually have any statutory change impact.
• We originally proposed to the Senate to use the NEPA as an inflator, which would have been a lower inflator

Transcript Highlights:

• It also includes a provision to adjust for inflation every 10 years.
• The only benefit enhancement that state retirees have seen since then is a small adjustment impacting
• . ...meaningful impact on the lives of our retired state workers.
• Capital appreciation, which is certainly above the rate of inflation.
• If you're at 4 or 5 percent, you're losing out to inflation.

Committee: Senate Finance

Transcript Highlights:

• News, what the impacts are expected to be.
• There's a $5 million per year impact.
• So, how this impacts...
• So inflation does raise revenues.
• This is impacted in the longer term by.

Committee: House Revenue Stabilization & Tax Policy Committee

Transcript Highlights:

• So when it has zero impact on...
• This endeavor has already demonstrated tremendous impact.
• This endeavor has already demonstrated tremendous impact.
• That investment has already made a meaningful impact across the state.
• That was very impactful. Thank you, students, for joining.

Bills: HB40 , HB100 , HJR1 , SB64 , SB19 , SB44 , SB83

Committee: House House Education

Keywords: educational retirement, annuity adjustments, cost of living, non-compounding payments, retirement benefits, STEM funding, education, innovation, public education, New Mexico, nominating committees, boards of regents, student representation, political party registration, New Mexico constitution, special education, office of special education, deputy secretary, public education department, IEP

Transcript Highlights:

• It's time to prioritize. both by making the investment we that will have the greatest impact on Texas
• For too long, we've asked our educators to do. more or less while inflation erodes their salaries.
• Adjust the basic allotment to at least keep up with the rate of inflation.
• Adjusted for inflation it should be $1,300 or more. This is not school finance reform.
• When we're having a discussion about teacher pay and it has an impact. or could have an impact on the

Bills: HB2 , HB2

Committee: House Public Education

Keywords: public education, teacher compensation, certification, funding, school finance, educator rights, education funding, charter schools, staff compensation, state aid, retention allotment, disaster preparedness, emergency management, flooding, mass fatality, mass casualty, fatality tracking, body recovery, autopsy, justice of the peace

Transcript Highlights:

• Commenting the misability of artificially inflated incurred medical costs.
• And so those are those are all things that would impact the cost of that care.
• So, it's a big impact on Texas businesses, it's a big impact on Texans just citizens, and then you got
• That's what impact it all makes. commerical Thank you, Mr. McMaster.
• But whether it's supply chain issues, inflation, reinsurance.

Bills: SCR37 , SB60 , SB226 , SB231 , SB264 , SB387 , SB570 , SB596 , SB651 , SB769 , SB855 , SB863 , SB991 , SB1079 , SB1085 , SB1151 , SB1191 , SB1214 , SB1243 , SB1247 , SB1314 , SB1364 , SB1372 , SB1401 , SB1409 , SB1504 , SB1522 , SB1625 , SB1662 , SB1663 , SB1728 , SB1759 , SB1762 , SB1804 , SB1818 , SB1838 , SB1839 , SB1851 , SB1855 , SB1872 , SB1873 , SB1874 , SB1877 , SB1879 , SB1901 , SB1919 , SB1921 , SB1923 , SB1936 , SB1937 , SB1968 , SB1977 , SB2034 , SB2053 , SB2066 , SB2077 , SB2124 , SB2143 , SB2166 , SB2180 , SB2204 , SB2231 , SB2237 , SB2243 , SB2321 , SB2569 , SJR39 , SJR68 , SCR29 , SCR42 , SB22 , SB30 , SB33 , SB37 , SB75 , SB217 , SB240 , SB331 , SB393 , SB505 , SB530 , SB546 , SB552 , SB584 , SB586 , SB618 , SB626 , SB636 , SB732 , SB762 , SB769 , SB825 , SB844 , SB870 , SB884 , SB926 , SB964 , SB1080 , SB1099 , SB1150 , SB1177 , SB1184 , SB1261 , SB1262 , SB1314 , SB1325 , SB1364 , SB1398 , SB1455 , SB1506 , SB1524 , SB1577 , SB1596 , SB1620 , SB1624 , SB1642 , SB1643 , SB1646 , SB1667 , SB1727 , SB1760 , SB1789 , SB1791 , SB1804 , SB1806 , SB1851 , SB1868 , SB1870 , SB1901 , SB1923 , SB1927 , SB1951 , SB1960 , SB1962 , SB2010 , SB2023 , SB2024 , SB2037 , SB2051 , SB2052 , SB2056 , SB2066 , SB2122 , SB2129 , SB2180 , SB2183 , SB2185 , SB2207 , SB2226 , SB2252 , SB2323 , SB2361 , SB2368 , SB2405 , SB2420 , SB2425 , SB2569 , SB2717 , SB2949 , SB1 , SJR36 , SJR50 , SJR39 , SJR63 , SJR68 , SCR12 , SCR39 , SCR38 , SCR37 , SCR42 , SCR29 , SB1596 , SB33 , SB505 , SB37 , SB62 , SB666 , SB847 , SB284 , SB854 , SB1073 , SB810 , SB1539 , SB1505 , SB583 , SB957 , SB1502 , SB507 , SB1026 , SB1349 , SB1433 , SB1434 , SB264 , SB1364 , SB1376 , SB1585 , SB1772 , SB2016 , SB1163 , SB619 , SB1122 , SB1877 , SB732 , SB731 , SB397 , SB508 , SB1436 , SB964 , SB287 , SB2143 , SB261 , SB1247 , SB1882 , SB618 , SB393 , SB2243 , SB2226 , SB1919 , SB1791 , SB22 , SB651 , SB1080 , SB826 , SB1079 , SB1243 , SB1504 , SB1851 , SB1879 , SB2237 , SB1257 , SB2034 , SB1522 , SB1151 , SB596 , SB1191 , SB226 , SB570 , SB870 , SB991 , SB60 , SB1401 , SB1728 , SB586 , SB529 , SB217 , SB209 , SB1923 , SB1839 , SB387 , SB1874 , SB1872 , SB1873 , SB1921 , SB1883 , SB1620 , SB1838 , SB2024 , SB2429 , SB1999 , SB511 , SB2309 , SB2166 , SB510 , SB2420 , SB1860 , SB1314 , SB1398 , SB855 , SB2425 , SB2037 , SB1759 , SB1924 , SB1818 , SB1762 , SB1968 , SB1977 , SB2077 , SB2321 , SB1662 , SB1663 , SB2124 , SB2204 , SB1855 , SB863 , SB2252 , SB1962 , SB2253 , SB825 , SB1577 , SB1184 , SB2018 , SB2206 , SB1901 , SB2368 , SB1963 , SB1960 , SB1643 , SB1625 , SB1299 , SB841 , SB668 , SB584 , SB231 , SB1085 , SB2431 , SB2231 , SB1490 , SB530 , SB1261 , SB552 , SB1099 , SB1646 , SB2180 , SB1804 , SB1937 , SB1936 , SB2569 , SB1372 , SB1506 , SB1806 , SB1868 , SB2361 , SB2314 , SB769 , SB1409 , SB2122 , SB434 , SB1214 , SB1951 , SB2183 , SB2046 , SB1667 , SB1870 , SB1727 , SB2405 , SB2127 , SB1975 , SB1760 , SB1734 , SB1335 , SB2066 , SB2129 , SB2246 , SB2439 , SB1624 , SB1244 , SB1468 , SB2717 , SB1612 , SB1262 , SB604 , SB2395 , SB2185 , SB1832 , SB1745 , SB1746 , SB2207 , SB2023 , SB1784 , SB1524 , SB626 , SB528 , SB437 , SB269 , SB1137 , SB968 , SB636 , SB747 , SB1325 , SB1789 , SB1455 , SB2056 , SB75 , SB1940 , SB2052 , SB1927 , SB2010 , SB1579 , SB2068 , SB3034 , SB844 , SB1920 , SB1177 , SB1558 , SB1236 , SB1044 , SB926 , SB884 , SB463 , SB331 , SB227 , SB240 , SB517 , SB1200 , SB1410 , SB1626 , SB1845 , SB1863 , SB2216 , SB2681 , SB1717 , SB2053 , SB546 , SB2141 , SB2949 , SB2323 , SB2200 , SB2332 , SB2199 , SB1642 , SB1150 , SB1757 , SB2050 , SB1138 , SB2051 , SB2626 , SB2458 , SB1864 , SB30 , SB2201 , SB1862 , SB1583 , SB1055 , SB2660 , SB1898 , SB2662 , SB2161 , SB2964 , SB2881 , SB1065 , SB801 , SB2743 , SB2533 , SB1413 , HJR4 , SB2073 , SB3014 , SB3013 , SB2774 , SB2702 , SB2629 , SB2443 , SB2349 , SB2167 , SB2145 , SB2121 , SB758 , SB648 , SB647 , SB512 , SB438 , SB1721 , SB2268 , SB1495 , SB2705 , SB2366 , SB1422 , SB1369 , SB1013 , SB682 , SB2692 , SB2570 , SB2797 , SB2111 , SB1896 , SB1164 , SB1020 , SB663 , SB2371 , SB1152 , SB2196 , SB2383 , SB2581 , SB2798 , SB330 , SB646 , SB843 , SB1998 , SB1418 , SB2788 , SB1169 , SB2873 , SB1754 , SB1534 , SB1718 , SB2779 , SB2004 , SB1143 , SB1756 , SB912 , SB2119 , SB2032 , SB527 , SB1580 , SB1952 , SB2601