Transcript Highlights:

• </c><00:30:53.679><c> that</c> involved with any sort of tariffs that involved with any sort of tariffs
• You know, talk about tariffs.
• You know, talk about tariffs.
• </c> out farmers from tariffs. out farmers from tariffs.
• </c> Billion to bail out farmers for tariffs.

Bills: HJR88 , HJR78

Keywords: HJR88, H.J.Res. 88, Congressional Review Act, CRA, EPA waiver, California waiver, Advanced Clean Cars II, clean cars, vehicle emissions, auto emissions, motor vehicle pollution, engine pollution, California Air Resources Board, CARB, zero-emission vehicles, ZEV, electric vehicles, EV mandate, preemption, federal disapproval

Transcript Highlights:

• </c><00:35:28.760><c> don't</c> Builders but high tech tariffs don't Builders but high tech tariffs don't
• Tariffs are in the news a lot, and so it's interesting we're talking about tariffs here and the whole
• tariff issue.
• Tariffs are in the news a lot, and so it's interesting we're talking about tariffs here and the whole
• tariff issue.

Committee: House State-federal Relations and Veterans Affairs

Transcript Highlights:

• If we're not going to be importing foods due to, you know, tariffs or things of that nature, then maybe
• foods due to, not going to be importing foods due to, you<00:07:16.240><c> know,</c><00:07:16.400><c> tariffs
• c> or</c><00:07:16.880><c> things</c><00:07:17.039><c> of</c><00:07:17.199><c> that</c> you know, tariffs
• or things of that you know, tariffs or things of that nature,<00:07:18.400><c> then</c><00:07:19.120

Transcript Highlights:

• We've got fees on the municipal side, other costs, labor shortages, tariffs and supply chain issues,
• Other costs, labor shortages, tariffs and supply chain issues, and also the cost of ownership.
• We haven't hit the full impact of tariffs on inflation, which means we might have some upward pressure
• We haven't hit the full impact of tariffs on inflation, which means we might have some upward pressure
• we have certainty about what the policies are, these policies are not conducive to growth, namely tariffs

Summary: The Finance Advisory Committee met for its January session to review Arizona revenue and economic conditions ahead of the budget process. JLBC staff presented the January baseline, noting projected positive cash balances through FY 2029 and about $577 million to $578 million in discretionary capacity, but also highlighting major unfunded items not included in the baseline, including federal tax conformity costs, ongoing one-time spending for state employee health insurance and school facility repairs, and administrative costs tied to H.R. 1. Staff also reviewed revenue trends by category, saying FY26 general fund revenues were running above forecast overall, with strength in retail, restaurants and bars, and individual income tax payments, while contracting and utility-related collections were weaker or flat. They also compared JLBC and executive revenue assumptions and discussed the executive’s proposed revenue changes, including border reimbursement assumptions, sports betting tax changes, data center-related tax and fee proposals, and other non-general fund measures. A major topic was income tax conformity with recent federal tax law changes. Staff explained that current Department of Revenue forms assume “straight conformity,” but the governor’s proposal and vetoed SB 1106 do not fully match those forms, creating possible amendment and timing issues for taxpayers and the department if the legislature adopts a different policy. Members also discussed the difficulty of forecasting revenues amid volatile monthly collections and uncertainty over how much of the current revenue strength will persist in the second half of the fiscal year. Danny Court of Elliott Pollack gave a broader national and state economic outlook, arguing that the U.S. has avoided recession despite several warning indicators, largely because of AI and data center investment, while employment growth has softened and inflation remains above the Fed’s target. He said Arizona remains relatively resilient, with strong population and job pipelines, but faces housing affordability constraints, slowing employment growth, and a more concentrated population forecast in the Phoenix area. Panelists generally agreed that Arizona remains in better shape than many states, though they cautioned that job growth is slowing, population estimates may be revised, and budget and revenue forecasts should be treated carefully given uncertainty in the data. No votes or formal actions were taken.

Transcript Highlights:

• We're talking about a guy that slapped a 10% tariff on an island populated only by penguins.
• sitting down at their kitchen tables trying to figure out how they're going to afford the president's tariff
• :04.800><c> afford</c><00:41:05.040><c> the</c><00:41:05.280><c> president's</c><00:41:05.599><c> tariff
• </c> to afford the president's tariff tax. to afford the president's tariff tax.

Transcript Highlights:

• scenarios, with the assumption that businesses are going to have a much harder time passing along tariff
• </c> harder time passing along tariff harder time passing along tariff increases<00:05:08.560><c> and
• impacts, the uh lack of household tariff impacts, the uh lack of household formation,<00:23:16.880><
• </c><00:28:41.919><c> cost</c><00:28:42.320><c> increase</c> to pass along um tariff cost increase to
• pass along um tariff cost increase whether<00:28:43.120><c> they'll</c><00:28:43.360><c> have</c><00

Summary: The meeting focused on reaching consensus on official Kentucky revenue estimates for fiscal years 2026 through 2028, using updated S&P Global economic forecasts compared with the September presentation. Staff explained that the updated forecast relied partly on alternative data because of the federal government shutdown, and they walked through changes in national and Kentucky economic assumptions across control, optimistic, and pessimistic scenarios. The control forecast was described as slightly more optimistic in the near term but more cautious in fiscal 2027 and 2028, with GDP growth revised up for the current year and down somewhat in the outer years. The pessimistic scenario now assumed a two-quarter recession beginning in the current quarter, while the optimistic scenario was given a higher probability weight than before. The presenters highlighted several Kentucky-relevant variables that changed since September, including weaker manufacturing employment, weaker housing starts, weaker consumer sentiment, and lower expected non-farm employment in fiscal 2026. At the same time, wage and salary disbursements were revised upward in fiscal 2027, reflecting higher disposable income from tax changes, and real consumer spending was expected to be stronger in the near term. They also discussed assumptions about tariffs, business profits, the Federal Reserve, unemployment, oil prices, retail sales, vehicle sales, exports, and consumer sentiment, noting that some indicators were little changed while others shifted materially. Consumer sentiment was attributed to affordability concerns, tariff impacts, and a general sense of malaise, but was expected to improve in later years from a low base. Members asked follow-up questions about why the forecast worsened in later years and about the consumer sentiment assumptions. Staff responded that the forecast assumed larger take-home pay and refunds from tax withholding changes, along with some easing of tariff effects, which they believed would help offset a negative wealth effect from stock market declines. They also noted that S&P Global’s December forecast, which had already been published, was essentially consistent with the presentation and that the firm believed its earlier assumptions had tracked recent data well. No vote or final action was recorded in the portion provided, but the discussion was aimed at settling the revenue estimates that will underpin the upcoming branch budget bills.

Transcript Highlights:

• Imposing additional tariffs. on these imports will lead to higher material costs, which will ultimately
• So when we hear the president talking about beautiful tariffs, I think the American people need to be
• He estimates the tariffs, once fully phased in, will add anywhere from $7,500 to $10,000 to the cost
• For 250 years, economists have generally thought that tariffs... will impose costs on consumers.
• But certainly, if tariffs stay high, they're going to impose costs.

Committee: Senate Banking, Housing, and Urban Affairs Committee

Keywords: affordable housing, government investment, barriers, legislative solutions, public testimony

Summary: The committee meeting focused on addressing the significant issue of affordable housing in America. Members expressed concern over the persistent barriers faced in the housing sector, despite substantial government investment aimed at alleviating these issues. It was highlighted that government interference plays a critical role in complicating the housing landscape, and discussions revolved around potential legislative approaches to mitigate these challenges. Several witnesses provided testimony, contributing to a thorough exploration of the topic.

Transcript Highlights:

• This bill will require the PUC to create a special tariff for large energy users like data centers to
• companies promised to pay for all grid upgrades needed to power the data centers through utility tariffs
• companies promised to pay for all grid upgrades, needed to power the data centers through utility tariffs
• believe the state of California should be requiring at least as much from these companies as they tariffs
• And I appreciate the amendments that were made and separating it out the tariffs, because that might

Summary: The committee first heard SB 804, the Hydrogen Pipeline Safety Act, from Senator Arreguín. He said the bill would designate the State Fire Marshal as the safety regulator for intrastate hydrogen pipelines and require hydrogen-specific standards, while not mandating any pipeline construction or bypassing environmental review. Supporters included labor groups, utility employees, and the City of Burbank, while Air Products opposed unless amended, citing concerns about the bill’s specificity, fee structure, and the need for a hydrogen-specific rulemaking process. The committee discussed safety, fees, and regulatory certainty, and later passed SB 804 on a 9-0 vote to Emergency Management with commitment to take amendments. The committee then took up SB 905 by Senator Becker, aimed at reducing electricity rates by changing utility incentives. The bill would tie part of executive compensation to keeping rates below inflation, require more performance metrics, and allow the CPUC to consider lower returns on equity for certain lower-risk investments and alternative financing options. Support came from consumer, environmental, agricultural, and large energy user groups, while Southern California Edison, CalChamber, PG&E, and utility labor groups raised concerns that the bill could reduce investment, create regulatory uncertainty, and raise borrowing costs. After extensive discussion about utility affordability, wildfire costs, and capital markets, the committee passed SB 905 on a 7-1 vote to Appropriations. SB 913, also by Senator Becker, would create a clearer pathway for distributed energy resources such as batteries and smart thermostats to participate in the resource adequacy market and compete with utility-scale resources. Supporters said the bill would better use existing grid capacity, lower costs, and build on the state’s Demand Side Grid Support Program; PG&E opposed unless amended, saying the use case was not yet proven and was already being addressed in other rulemakings. After the committee accepted amendments, one opposition group moved to neutral and another said it might do so after reviewing the changes. The bill passed 8-0 to Appropriations and was placed on call. Several other measures were heard and advanced, including SB 1196 on faster utility hookups for small energization projects such as ADUs and EV chargers, SB 931 reauthorizing the Diablo Canyon Essential Services Mitigation Fund through 2028, SB 1158 reducing the frequency of joint reliability assessments from quarterly to twice yearly, and SB 1245 directing further study of California’s gasoline market and potential use of non-CARBOB fuel during supply disruptions. SB 1196 and SB 931 both passed with broad support and no opposition after amendments, SB 1158 passed without testimony, and SB 1245 drew strong support from consumer and environmental advocates but opposition from fuel industry and business groups concerned about costs, confidentiality, and fuel standards.

Transcript Highlights:

• You know, we don't know exactly what will come next from this president related to tariffs.
• You know, we don't know exactly what will come next from this president related to tariffs.
• You know, uh we uh from these tariffs.
• </c> from this president related to tariffs. from this president related to tariffs.
• on China goods and the uh tariff on China goods and the reciprocal<01:11:02.000><c> tariffs</c><01:11

Transcript Highlights:

• And as a point of basically macroeconomic fact, that's where the tariffs come in.
• That if the government creates a basically a price floor using tariffs, that would achieve the same outcome
• Well, that's, you know, the Trump had tried to put various tariffs and then they got repealed.

Committee: House Commerce, Consumer Protection, Energy and the Environment

Summary: The committee first called the roll and established a quorum, then heard Senate Bill 1553, sponsored by Senator Curtis Gregory. The bill is aimed at reshoring critical supply chains to the United States through tax credits and related incentives for production of pharmaceuticals, critical minerals, materials, and metals. Gregory said the Senate version added clarifying language tying eligible materials to federal critical-materials and FDA lists. Witnesses in support described the bill as a national security measure and an economic development tool for Missouri, citing dependence on China and India for medicines and materials, forced labor concerns in cobalt supply chains, and examples of Missouri companies and institutions already working in pharmaceutical and mineral production. Several supporters noted the bill’s incentives would be difficult to use without additional federal support, and one witness said the transferable tax credits were a key strength, though the scope could be narrowed in the future. Support testimony came from Douglas Jost of Jost Chemical Company, Jared Hankinson of the Missouri Chamber of Commerce and Industry, Matt Thompson of the API Innovation Center, Michael Givens of Doe Run Company, and Matthew Smith of Associated Industries of Missouri. Their comments emphasized supply-chain vulnerability, national security, and Missouri’s existing manufacturing base. No opposition or informational testimony was presented, and there were no substantive questions after the witnesses. The committee then moved into executive session and voted unanimously, 9-0, to report Senate Bill 1553 do pass.

Transcript Highlights:

• Not to mention the impact that we now may see from tariffs.
• A recent Insurify report says that tariffs could raise home insurance costs up to 38% faster, meaning
• Tariffs are an issue.
• The federal government is playing the holly-gully on the tariff issues, one foot in, one foot out.
• Are there kind of jurisdictional agreements where, you know, certain adjusters have certain tariffs?

Committee: Joint Joint Committee on Financial Services

Summary: The Joint Committee on Financial Services heard testimony on a wide range of insurance-related bills, with much of the discussion focused on affordable housing insurance, homeowners insurance practices, climate resilience, and consumer protections after property losses. Senators and representatives testified in support of a resolve to create a commission on affordable housing insurance (S. 768/H. 1279), arguing that rising premiums and deductibles are threatening the viability of affordable housing properties and new development. Supporters also backed bills to establish private flood insurance standards (S. 719), create climate-resilient home retrofit grants (S. 720), expand the MVP climate resilience program (H. 1310/S. 686), and protect urban trees and limit insurer-driven tree removals (H. 1316). Several lawmakers and advocates said these measures would help reduce risk, preserve insurability, and address the effects of increasingly severe storms and flooding. The committee also heard testimony on bills addressing insurer use of aerial imagery (H. 1242/H. 2142) and notice periods for nonrenewals or repairs (H. 4042 and related measures). Supporters said insurers should be allowed to use drones and satellite images but with stronger guardrails, including current photos, disclosure of risk factors, an appeals process, and time to cure defects. They argued that homeowners are sometimes blindsided by nonrenewals based on inaccurate aerial photos or given too little time to make repairs. Opponents from the insurance industry said aerial imagery is already regulated by the Division of Insurance, that additional statutory requirements could create confusion and litigation, and that existing notice rules already provide 45 days for nonrenewals and 60-day limits on cancellations. Industry witnesses also warned that some proposed timelines conflict with current law and could restrict useful underwriting tools. Another major topic was H. 1077, which would restrict solicitation by restoration companies and public adjusters at fire scenes. A homeowner described being approached immediately after a house fire by restoration and public-adjuster representatives and said the experience was intrusive and overwhelming; supporters said homeowners need time and space to make informed decisions after a disaster. Public adjusters and restoration contractors opposed the bill, saying they provide needed guidance, emergency mitigation, and claims assistance when homeowners are under stress, and that some existing protections already allow consumers to cancel contracts. The hearing ended after all listed witnesses testified, and the committee voted to close the hearing; no bill dispositions were taken during the session.

Transcript Highlights:

• This is looking at enabling programs, tariff designs, contract frameworks, and market participation mechanisms
• country, as well as at the FERC level, and international developments as well, particularly around how tariff
• We have an online accessible map of flexibility load tariffs, largely looking at interruptible and curtailable
• tariffs, which are the precursors, if you will, of the next generation of tariff designs that may feature
• the right here, we have published earlier this, actually in November, a landscape review of retail tariffs

Summary: The committee held a work session covering PFAS regulation and impacts, no-cost allowance allocation for emissions-intensive trade-exposed industries (EITEs), and regional resource adequacy and data center load growth. Senator Victoria Hunt was welcomed as a new member. The Department of Ecology reviewed Washington’s Safer Products for Washington PFAS work, including completed restrictions on PFAS in outdoor furniture, carpets, rugs, stain/water-resistant treatments, and newer rules adopted in November restricting PFAS in most apparel, cleaning products, and automotive washes, with reporting requirements for some other products such as cookware and firefighting gear. Ecology also described Cycle 2 PFAS reviews now underway, including artificial turf and paints, and answered questions about compliance, online sales, sell-through periods, and how Washington’s approach differs from broader bans in states like Maine and Minnesota. The Department of Ecology also presented on PFAS in biosolids, describing a 2024 sampling study, limitations in testing methods, and a 2025 statutory amendment requiring additional sampling between 2027 and 2028 and a report to the legislature in 2029. The Department of Health then updated the committee on PFAS in drinking water, reporting that most Group A public water systems have completed sampling, that 317 sources and 188 systems are expected to exceed new contaminant levels, and that treatment costs for public systems are estimated at about $970 million, leaving a large funding gap; members also asked about private wells, health effects, bathing exposure, and home filters. The Board of Health’s new state action levels are being aligned with federal MCLs, and the department said it expects to continue monitoring and notification under state rules. Ecology also briefed the committee on no-cost allowance allocations to EITEs under the Climate Commitment Act, explaining the leakage-mitigation rationale, the current allocation schedule through 2034, and a forthcoming report on policy options for 2035-2050; members asked about industry barriers, competitiveness, and whether facilities might leave the state. Finally, E3 presented a regional resource adequacy study showing rising load, retirements outpacing additions, limited winter reliability value from wind, solar, and batteries, and a projected shortfall beginning in 2026 that could grow to about 9,000 MW by 2030 if planned projects are not built. The presentation emphasized winter cold-weather events, hydro variability, the importance of permitting and transmission, and longer-term options including nuclear, geothermal, hydrogen, carbon capture, and long-duration storage. EPRI then introduced its DC Flex initiative, which is studying how data centers can provide flexible load through workload shifting, cooling optimization, and on-site backup or bridging resources to reduce grid stress and protect ratepayers.

Transcript Highlights:

• I thought you might be interested in the tariff issue.
• Generally, the conventional wisdom on tariffs is that they're likely to have an inflationary impact,
• So, in other words, a tariff goes on, a good that shows up as inflation for one year, and then a year
• looking at a much longer period, but just something that we can think about in general: we expect these tariffs
• The only difference, of course, is a little higher in the near term due to the tariffs that I mentioned

Committee: Joint Pension Funding Council

Summary: The Pension Funding Council met on October 8 with introductions from council members and staff, then received a detailed presentation from the Office of the State Actuary on long-term economic assumptions and the state pension systems’ financial condition. OSA reported that the combined pension systems are currently 100% funded on a smoothed basis, with open plans above 95% funded, and that legacy Plan 1 systems remain on a path toward full funding under current policy. The actuaries recommended updating assumptions to 3% inflation, 3.5% general salary growth, and a 7.25% investment return, while keeping Plan 1 membership growth at 1%. They also explained asset smoothing, the role of recent strong investment returns, and the expected budget impacts of the recommended changes. Representatives from the Economic and Revenue Forecast Council and the State Investment Board offered supporting perspectives, generally describing the assumptions as reasonable and consistent with their own outlooks. The council also heard an overview of the Long-Term Services and Supports Trust Program (WACares) from DSHS and OSA. Program staff described the program’s social insurance structure, premium collection, benefit eligibility, and upcoming implementation milestones. OSA reported that the program’s first actuarial valuation showed a positive actuarial balance under the base scenario and recommended no change to the current 0.58% premium rate during the program’s early learning phase, noting that future changes would depend on experience and the program’s risk-management framework. OSA also said the recommendation would remain the same regardless of the outcome of the pending ballot measure affecting investment options. During public comment, a representative of the Washington State School Retirees Association urged continued work on Plan 1 funding and related legislation, while the Association of Washington Cities cautioned against increasing pension assumptions in a way that could raise future employer costs and reduce flexibility for current local government services. In action, the council adopted a motion to maintain the current long-term economic assumptions by a 4-2 vote, adopted the recommendation to keep the WACares premium rate at 0.58% by a 6-0 vote, and then elected Katie Chapman as council chair by unanimous vote. The meeting then adjourned.

Transcript Highlights:

• We're talking about a guy that slapped a 10% tariff on an island populated only by penguins.
• sitting down at their kitchen tables trying to figure out how they're going to afford the president's tariff
• :05.120><c> afford</c><00:20:05.360><c> the</c><00:20:05.600><c> president's</c><00:20:05.919><c> tariff
• </c> to afford the president's tariff tax. to afford the president's tariff tax.

Transcript Highlights:

• , and a win for our farmers who provide healthy and nutritious foods. going on right now with the tariffs
• , which I oppose, these proposed tariffs, with input costs, with weather, which is not in our control
• livestock operator I heard from. are losing critical domestic markets, at the same time when retaliatory tariffs
• President Trump pushes for the largest peacetime tax increase in modern U.S. history through sweeping tariffs
• As the tariffs take effect and the cost of groceries rise my Republican colleagues are planning to slash

Bills: SB222

Committee: Senate Agriculture, Nutrition, and Forestry Committee

Keywords: whole milk, school lunch, school meals, National School Lunch Program, Richard B. Russell National School Lunch Act, Child Nutrition Act, USDA, nutrition standards, dairy, nonfat milk, low-fat milk, reduced-fat milk, lactose-free milk, nondairy beverages, plant-based milk, milk substitution, parental consent, legal guardian, food allergies, allergic reaction

Summary: This meeting of the committee focused primarily on the Whole Milk for Healthy Kids Act, S222, which aims to permit schools to offer a fuller range of milk options, including whole, reduced, and low-fat varieties, that have garnered bipartisan support. Chairman Bozeman opened the session by highlighting concerns over children's nutrition and the obesity epidemic, emphasizing the significance of nutritious school meals in addressing these issues. Experts from various organizations were invited to discuss the implications of this bill as well as the current challenges facing school meal programs, including budget constraints and food supply issues. The meeting included passionate testimonies about the direct impacts of current dietary guidelines and federal funding reductions affecting schools' abilities to provide healthy meal options.

Transcript Highlights:

• putting together the different discussions throughout the state and the, you know, we're dealing with tariffs
• These impacts of my business for tariffs and the rising costs, they hit us at each step of the way.
• Tariffs and rising of cost of goods sold have added a layer of difficulty.
• Expenses have steadily increased, driven by factors such as tariffs, supply chain disruptions, inflation

Committee: House Economic Development, Growth, and Household Impact

Transcript Highlights:

• Tariffs driving up fuel on the fire.
• 10:39.519><c> cuts</c><00:10:39.760><c> to</c> solutions, not tariffs and cuts to solutions, not tariffs
• ,</c> president's authorities on tariffs, president's authorities on tariffs, maybe<08:46:42.080><c>
• That's was tariffs. Trump presidency. That's was tariffs.
• That mechanics, tariffs, customs duties.

Bills: HR1005 , HB4305 , HB2965 , HR1049

Keywords: digital workers, creators, platform economy, independent contractors, portable benefits, income stability, transparency, algorithmic systems, small businesses, fair treatment, small business, regulatory burden, advocacy, government oversight, compliance assistance, Red Tape Hotline, regulatory budget, Small Business Administration, fiscal responsibility, rulemaking

Transcript Highlights:

• Groceries are up thanks to the tariffs. Rent is up. Child care is up.
• They defend Trump's tariffs that are raising costs on working people.
• They def they they defend Trump's<02:26:14.720><c> tariffs</c><02:26:15.120><c> that</c><02:26:15.280
• ><c> are</c><02:26:15.439><c> raising</c><02:26:15.760><c> costs</c> Trump's tariffs that are raising
• </c> tariffs. That's a tax on every American. tariffs. That's a tax on every American.

Bills: HR1115 , SB3971 , HB4294

Keywords: rules resolution, special rule, House procedure, floor consideration, lead ammunition, lead tackle, fishing tackle, hunting, wildlife management, federal lands, federal waters, Department of the Interior, Department of Agriculture, immigration and nationality act, inadmissible, deportable, public benefits fraud, fraud against the United States, alien deportation, law enforcement animals

Transcript Highlights:

• Tariffs.
• And then also we're dealing with tariff issues as well.
• It's a difficult environment with supply chain tariffs and then other project delays.
• We’re very happy that PG&E has amended its contract, or its proposed tariff.
• The interim tariff that we adopted last year did not include the cost allocation piece.

Summary: The joint informational hearing of the Assembly Committees on Utilities and Energy and Privacy and Consumer Protection focused on the energy impacts of AI and the rapid growth of data centers in California. Chairs and members emphasized that the state wants to support innovation and data center development, but only under terms that protect ratepayers, preserve reliability, and avoid stranded grid costs. Testimony from Lawrence Livermore National Laboratory, the California Energy Commission, the CPUC, CAISO, PG&E, Silicon Valley Power, and the Data Center Coalition described the scale of projected load growth, the uncertainty in forecasting, and the need for coordinated planning across agencies. Dr. Nate Gleason of Lawrence Livermore said data centers are a major and fast-growing share of electricity demand, with planning challenges driven by short construction timelines for data centers versus long lead times for transmission and generation. He urged stochastic planning, co-optimization of generation, storage, and transmission, and greater use of flexible load and demand response. CEC Director Alicia Gutierrez described the CEC’s bottom-up forecasting approach, based on utility energization requests and load profiles, and said California has over 23,000 megawatts of data center capacity requests in the CAISO footprint. CPUC Deputy Executive Director Luan Tesfai outlined recent actions on energization timelines, flexible service connections, PG&E’s Rule 30 tariff, and the commission’s resource planning and transmission permitting work. CAISO’s Neil Miller stressed that large loads affect transmission planning, interconnection, and reliability standards, and said the agency is preparing additional stakeholder work on technical issues. Utility and industry witnesses said California is already seeing substantial data center interest and is building out infrastructure accordingly. PG&E’s Mike Medeiros said the utility has more than 10 gigawatts of data center interest in its territory, has shifted to cluster studies, and is using flexible interconnection tools such as FlexConnect to speed service while protecting reliability. Silicon Valley Power’s Nico Prokos said data centers account for about 55% of its power use and that the city is investing heavily in transmission and local system upgrades to support projected load growth. He also warned that AI loads may be more variable than traditional cloud loads and that backup generation and air quality constraints complicate curtailment strategies. The Data Center Coalition’s Karabonder argued that data centers are also driving efficiency gains and support critical digital services, while urging better forecasting methods, more transparency, and regular backcasting. Members asked about statutory authority, data availability, flexible load, and whether current forecasts are sufficient for long-lead infrastructure planning. Witnesses said California already has authority to pursue flexible service and rate design, and that the CEC and CPUC have access to utility data, though out-year demand remains highly uncertain. CPUC representatives noted an advanced rate design rulemaking and said the commission is opening additional work on ratepayer impacts. No votes were taken during the informational hearing, and the discussion ended with continued questions about how California should structure planning, pricing, and reliability rules as AI-related load grows.

Transcript Highlights:

• I think one of the biggest challenges we have is that tariffs for Washington state, like if you just
• look at large vehicles, trucks, tariffs are projected to eat up 25% of the costs of buying a vehicle,
• 10% increase for lumber, things like that, that are related to tariffs in the most trade-dependent state

Summary: Legislative leaders from the Washington Senate and House discussed the start of session, emphasizing efforts to respond to Trump administration policies while advancing state priorities. They said floor action had begun with bipartisan bills and identified several measures moving through committees, including a law enforcement masking bill, a bill regulating flock cameras, a bill on preserving access to preventive health services, land banking for housing, regulation of large energy-use facilities, and bills related to survivor protections and blood alcohol standards. They also said the Senate’s masking bill would likely be the mover and expected committee action on the camera bill within the next week or two. A major topic was tax and budget policy. Leaders said there was not yet a complete draft of the proposed income tax on high earners, but technical work was underway to ensure the tax mechanics were correct and to avoid double taxation of pass-through business owners. They said offsets were still being negotiated, with ideas including the working families tax credit, small business tax credit, sales tax changes, and property tax reductions. They also discussed other revenue ideas, including tobacco tax increases and ending certain tax exemptions, while saying broad-based increases to major taxes were unlikely. Other issues included affordability, child welfare, and public accountability. Leaders argued Democrats were focused on affordability through housing, health care, and child care measures, and cited bills on medical debt interest rates and public hospital support. On the Keeping Families Together Act, they said they shared concerns about child safety and were reviewing related proposals and DCYF data showing a decline in critical incidents. They also said they were open to bills improving accountability for public funds and fraud prevention, and noted that Washington’s systems had generally identified fraud early. No formal votes were taken in the exchange, but leaders said several bills were expected to move out of committee or come to floor votes soon.