Transcript Highlights:

• The other big challenge that we have is that the reasonable standard can be very challenging.
• In addition, it is allowing for establishment and funding of housing trust funds.
• And when it will be funded, it will be funded with state dollars that are competitive and small.
• What are you anticipating as a seed funding for this revolving loan fund, should we be successful?
• for this revolving loan fund.

Committee: House Housing and Community Development

Transcript Highlights:

• </c><00:36:47.880><c> that</c> funding or some public funding that funding or some public funding that
• </c> research funds from federal entities. research funds from federal entities.
• We fund some salaries related to that through that funding.
• We fund some salaries related to that through that funding.
• I’m a fan of C funds.

Bills: HF4698 , HF4608

Committee: House Higher Education Finance and Policy

Transcript Highlights:

• So there are a lot of challenges. I don't know what the answer to that is.
• I think that's maybe where the challenge is.
• I think that's maybe where the challenge is.
• That's the challenge we have. that are in that area, you know, it's, you're not going to take funding
• That's the, that's the challenge we have.

Committee: Joint Health Care Committee

Summary: The committee first approved the minutes and then heard a detailed annual presentation from Dr. Thomas Arnold, chair of the Maternal Mortality Review Committee, on maternal mortality trends and review findings. He explained the committee’s structure, the de-identified review process, and the distinction between pregnancy-associated and pregnancy-related deaths. He said national maternal mortality has declined from its 2021 peak, but mental health conditions, substance use, overdose, suicide, cardiovascular disease, hemorrhage, infection, and embolism remain major causes. He emphasized that many deaths are preventable, with especially high rates among non-Hispanic Black women and in the American Indian/Alaska Native population, and noted that a large share of deaths occur after 42 days postpartum. Committee members asked about suicide, domestic abuse, pregnancy testing in unexplained deaths, and the role of home births and midwife training. Dr. Arnold said the committee is adding a caseworker, exploring post-mortem pregnancy testing in suspicious cases, and working with coroners and forensic officials; he also said home births and untrained midwifery pose safety concerns and that better public education and facility-based care are important. The committee then heard from State Fire Marshal Dr. Matt Clark on cigarette ignition propensity standards and fire prevention. He recommended updating North Dakota’s cigarette ignition legislation to the current national standard and also considering legislation requiring fast-breakaway oxygen tubing, citing fatal fires involving smoking around home oxygen. He explained that his office verifies manufacturer testing and maintains certification for cigarettes sold in the state, but does not itself conduct the testing. Members asked about implementation, cost, and whether the standards apply in tribal communities; Clark said he would follow up with cost information and additional details, and that he had not seen evidence of a major issue on tribal lands but would look further. Christine Greff of the Department of Health and Human Services presented the North Dakota Stroke System of Care report. She described the statewide network of two comprehensive stroke centers, four primary stroke centers, and 30 acute stroke-ready hospitals, along with the stroke registry and quality-improvement efforts. She reported that most strokes are ischemic, that the median stroke patient age is 71.5, and that common risk factors include hypertension, dyslipidemia, obesity, and diabetes. She highlighted improvements in door-to-CT, thrombolytic treatment times, dysphagia screening, EMS pre-notification, and interfacility transfer performance, and said new priorities include hemorrhagic stroke quality measures and standardized EMS stroke screening tools. Members asked about the VA hospital’s participation, and Greff said she would pursue outreach. After a break, the committee heard testimony from Taha Khan of Vertex Pharmaceuticals as part of the prior authorization study, focused on non-opioid pain treatment. He argued that prior authorization can delay access to acute pain treatment and may push patients toward opioids, especially in the critical 24- to 72-hour post-discharge window. He cited data showing that even short opioid exposure can increase the risk of long-term use and said prior authorization is often a barrier for physicians and patients. Khan recommended open access with a quantity limit rather than prior authorization, suggesting a 14-day limit supported by the product’s data and an episode-of-care approach. Members asked about dental use, payer discussions, and cost; he said the product’s wholesale acquisition cost is about $16.10 per tablet, with patient assistance available, and that he would follow up on payer and comparison-cost questions.

Transcript Highlights:

• The second is an endless curiosity to undertake new challenges.
• or to fund those partners.
• I know we've done some reports for some of our funding, federal funding as well, but we track those.
• Because I do think this is going to become a bigger challenge.
• to access that funding because they know best.

Committee: Senate Rules

Summary: The Senate Committee on Rules established quorum and approved several routine items on the agenda, including governor’s appointments not required to appear: Courtney Welsh to the California Housing Partnership Corporation Board, Janessa Goldbeck to the California Veterans Board, and Tom Huntington to the State Parks and Recreation Commission, each by 3-0 vote. The committee also approved reference of bills to committees, the 2026 committee chair/member assignments, the 2026 session schedule, the 2026 holiday schedule, and floor acknowledgments, all by unanimous votes. The committee noted that some 2026 committee changes would take effect February 1, 2026, and that new committees would depend on adoption of a Senate resolution. The committee then heard from Dr. Hernando Garson, nominated as chief medical officer of the Emergency Medical Services Authority. He described his background in emergency medicine, disaster response, and EMS leadership, and members questioned him about EMSA’s strategic plan, data integration, statewide standards versus local flexibility, ambulance patient offload time regulations, stakeholder engagement, and emergency response coordination. Dr. Garson emphasized data-driven decision-making, technical assistance to local agencies, collaboration with hospitals and EMS stakeholders, and the need for safer alternatives to routine ambulance transport such as community paramedicine, telehealth, and nurse triage. He also discussed disaster preparedness for vulnerable and rural communities and the use of regional and state assets, including ambulance strike teams, during fires and floods. The committee approved his appointment 4-0. The final item was Stephanie Weldon’s nomination as Deputy Director of the Office of Health Equity at the Department of Public Health. Weldon, who identified as Yurok-Tolowa and Karuk, spoke about her tribal, county, nonprofit, and state experience, her role as the first Native American woman in the position, and her commitment to health equity, rural communities, and culturally responsive public health work. Senators asked about how the office sets priorities, measures outcomes, addresses behavioral health, tribal consultation, youth mental health, and how it responds to political pressure around DEI language; Weldon said the office focuses on community-driven, data-informed work and transparency. Public commenters strongly supported her confirmation, citing her leadership on the California Reducing Disparities Project and related equity efforts. The committee approved her appointment 4-0, sending it to the full Senate for confirmation.

Transcript Highlights:

• We are just proposing some challenges.
• We are just proposing some challenges.
• We are just proposing some challenges.
• Chair, uh, members, uh, so the likely what would happen is that the funds that, if there are any funds
• that uh if if there are any the funds that uh if if there are any funds<00:24:48.080><c> that</c><00

Transcript Highlights:

• funding was cut by over 60% in 2013, and it's never gotten back to its previous funding levels.
• The goals of the care fund are to optimize the use of public funds by prioritizing research that uses
• by reducing the amount of funding the care fund receives from the vapor products tax.
• by reducing the amount of funding the care fund receives from the vapor products tax.
• We also appreciate funding tobacco cessation and prevention, but respectfully ask that funds go into

Summary: The committee heard briefings, sponsor presentations, and public testimony on several finance bills. HB 2038 would impose an additional B&O tax on businesses operating social media platforms beginning in 2027 and create a youth behavioral health account funded by the tax. The sponsor argued the bill would help address youth mental health harms linked to social media and support implementation of the Washington Thriving plan. Supporters in testimony, including youth advocates and some public health voices, said social media contributes to youth anxiety and addiction and that the revenue should be used for behavioral health services. Opponents, including technology and business groups, argued the tax unfairly singles out one sector, could be passed on to consumers, and may violate federal internet tax law. The hearing on HB 2038 was suspended and later reopened for public testimony; no vote was taken. HB 2297 would create tax incentives for grocery stores in underserved communities, including local B&O preferences, a sales tax exemption for security services, a 30-year property tax exemption program, a B&O tax credit, and a B&O exemption for certain locally owned or employee-owned stores. The sponsor and supporters said the bill is intended to preserve and attract grocery stores in food deserts, especially after recent store closures, and to help communities with limited transportation and access to healthy food. County representatives supported the goal but raised concern about the bill’s sales tax exemption and its effect on local revenues. Public testimony was largely supportive, with advocates, local officials, grocers, and residents describing grocery stores as essential community infrastructure. No action was taken. HB 2382 would raise cigarette taxes by $2 per pack, restructure vapor and other tobacco product taxes, and dedicate portions of the revenue to a time-sensitive emergency system, tobacco enforcement, and the foundational public health services account. The sponsor said the bill would generate needed revenue, support cancer research funding, and strengthen public health and enforcement. Supporters said higher tobacco taxes reduce use and help cover long-term health costs, while some public health witnesses supported the revenue but suggested directing more funds to existing tobacco prevention accounts. Opponents from retail and industry groups argued the proposal is regressive, could increase illicit sales and cross-border purchasing, and would hurt small businesses and low-income consumers. The committee also heard HB 2487, a Department of Revenue request bill that would narrow the B&O exemption for insurers to clarify that it applies only to premium income subject to insurance premium tax, and apply the change retroactively to 2019. The sponsor and supporters said the bill closes a loophole created by a recent Supreme Court ruling and preserves tax equity, while insurers and business groups objected to the retroactive application, warning of higher premiums and unfair taxation. Finally, HB 2018 would increase the solid waste tax by 0.5% per year for five years and direct the new revenue to a local government solid waste assistance account for county and city waste management plans. County officials supported the bill as a way to stabilize funding for solid waste systems, and testimony emphasized rising disposal and infrastructure costs. No votes were taken on any of the bills during the hearing.

Transcript Highlights:

• So right now the fund, under the required deposits, just grows until it reaches 10% of General Fund revenues
• reaches 20% of General... ...and require those deposits until the fund reaches 20% of General Fund revenue
• , as well as paying for the state retiree health care funding plan.
• pre-funding has typically been funded through Proposition 2.
• The first is, I inadvertently have responded to the vice chair's challenge.

Committee: Senate Budget and Fiscal Review

Transcript Highlights:

• account, also known as Fund Nine.
• funds, and other restricted funds.
• Is, you know, 100% of game warden funding from Fund 9, but they use 20% of their time, you know, for
• And so I would encourage you to the extent as we look at this fund, I mean, there's numerous challenges
• some initial funding.

Committee: House Culture, Recreation & Tourism

Transcript Highlights:

• And I probably. fund dedicated to youth prevention and education.
• The CDCR role was definitely challenging.
• And it was definitely a unique department with a lot of challenges.
• You said at the beginning, you challenge your Wonderful.
• You know, it's a challenge. It could be a challenge.

Committee: Senate Rules

Summary: The Senate Rules Committee approved several governor’s appointments not required to appear, including Frank Damrow Jr. to the Alcoholic Beverage Control Appeals Board, Michelle Eddger to the Board of Barbering and Cosmetology, and David Galavis to the State Park and Recreation Commission, each by 4-0 vote. The committee also approved a rule waiver to allow SB 1447 (health) to be heard after the policy committee deadline, and took up floor acknowledgments before moving to appointments requiring testimony. The committee then heard from Clint Kellam, nominee to lead the Department of Cannabis Control. Members focused heavily on cannabis labeling, youth protection, attractive-to-children packaging, the SB 540 educational pamphlet, and the department’s efforts to steer consumers from illicit to legal products. Kellam said the department’s role is not to promote increased consumption but to move existing consumption into the regulated market, and he described enforcement against illicit cultivation and retail, consumer education efforts, and a possible AI tool to help licensees review packaging. He also said the department would consider tighter packaging rules, including one-serving packaging, but emphasized the need for research and legislative collaboration. The committee voted 4-0 to advance his appointment to the full Senate. The committee next heard from Jennifer Osborne, nominee to direct the Department of Industrial Relations. Questions centered on DIR’s handling of Cal/OSHA audit findings, labor commissioner backlogs, PAGA enforcement, staffing shortages, IT modernization, and how her administrative background would help address those issues. Osborne said DIR is working on revised Cal/OSHA policies and procedures, additional staffing and intake changes, new IT systems, and possible use of outside administrative law judges to reduce delays. She also clarified that the Civil Rights Department is not under DIR, but said she would follow up on concerns raised. Public commenters from employer groups, labor, and industry largely supported her nomination, and the committee approved her appointment 4-0 to move to the full Senate for confirmation.

Transcript Highlights:

• , and fund the community-based...
• , and fund the community-based...
• , and fund the community-based...
• , and fund the community-based...
• It is really to close prisons, redirect those funds, and fund the community-based organizations that

Transcript Highlights:

• So that's been a challenge for us.
• This is not a funding issue; it's a workforce issue. The $53.6 million This is not a funding issue.
• access funds.
• We do fund domestic violence programs here. We do fund CAC programs.
• We do fund domestic violence programs here. We do fund CAC programs.

Committee: House Appropriations

Transcript Highlights:

• But I'm just curious because I know that funds these types of services.
• scale, community-based solutions to the challenges facing our mental health system.
• And we all ...retention challenges and limited capacity in care settings.
• Certainly, challenges to the sustainability of our model, however.
• Certainly challenges to the sustainability of our model, however.

Committee: Joint Joint Committee on Mental Health, Substance Use and Recovery

Summary: The Joint Committee on Mental Health, Substance Use and Recovery held a public hearing on 14 bills focused on insurance, parity, opioids, behavioral health access, and mental health system reform. Chair Mindy Domb and Vice Chair Robyn Kennedy outlined hearing procedures and noted the committee would accept written testimony. The hearing featured testimony from legislators, providers, advocates, and behavioral health organizations, with most speakers urging favorable reports on the bills they addressed. A major topic was psychiatric collaborative care, including H. 222/S. 1390, which would raise reimbursement for collaborative care codes to at least Medicare levels and allow billing outside the MassHealth primary care subcapitation model. Supporters said the model improves access, outcomes, and cost savings by embedding behavioral health in primary care, and several witnesses described successful implementation in practices and schools. Committee members asked questions about how the model works, what specialties use it, barriers to adoption, and whether copays, deductibles, and subcapitation rules should be changed. Witnesses also supported related innovation legislation, including H. 2224, which would create a mental health innovation fund and support nontraditional trauma-healing approaches. Other bills discussed included H. 2212, which would require prescribers to discuss opioid and pain-medication risks, alternatives, and addiction/overdose concerns with patients or guardians; H. 2232 and H. 2233, which would address equitable payment and equitable access for behavioral health providers serving MassHealth patients; and S. 1406, which would add opioid maintenance treatment information to MassPAT and allow patient-authorized access to that information. Witnesses also strongly backed S. 1399, which would set targets to increase behavioral health spending within the overall health care cost benchmark, arguing that Massachusetts underinvests in behavioral health and that greater investment could reduce emergency, hospitalization, homelessness, and criminal justice costs. No votes were taken; the hearing concluded after testimony and committee questions.

Transcript Highlights:

• I must also note that their funding is murky at best.
• Public education dollars toward lawsuits challenging California law, funds that should be directed toward
• It is about ensuring that public funds are used responsibly.
• Number six is the education mandate challenges lawsuit.
• So these are funds that are for the education of young people.”

Committee: Senate Joint Legislative Audit

Transcript Highlights:

• us on funding a pilot program for our community and technical colleges.
• You also funded King County Metro to mitigate the traffic congestion and revive I-5.
• So I hope you will consider funding this program in the budget. Thank you.
• We appreciate that both budgets fund a second DOL to go team.
• Third, I wanted to show our support for the additional funding for safety programs.

Summary: The House Transportation Committee held public hearings on a proposed substitute for House Bill 2306, the 2026 transportation supplemental budget, and on proposed substitute House Bill 2711, a transportation resources bill. Staff described HB 2306 as revising the enacted 2025-27 transportation budget, increasing spending by about $1.1 billion to $16.5 billion, largely through reappropriations and new funding for preservation, maintenance, rail, transit, active transportation, ferries, licensing, and State Patrol needs. The chair and ranking member emphasized caution because of downward revenue forecasts, uncertainty around major project bids and future fish passage costs, and the decision to use existing bond authority without new bonding. Public testimony on HB 2306 generally supported preservation, maintenance, rail improvements, dredging, transit access, and local safety projects, while some witnesses urged more support for EV incentives and long-term transportation funding stability. For HB 2711, staff explained that the bill responds to administrative issues in last year’s transportation resources law, including fuel tax inflation adjustments, luxury vehicle/aircraft/vessel taxes, the indigent tow reimbursement program, tire fee language, and other tax administration provisions. The proposed substitute would repeal the luxury aircraft tax, adjust peer-to-peer rental car tax administration, restore authority for the Transportation Commission to exempt transit buses from tolls, waive certain penalties and interest tied to early compliance with the luxury vehicle tax, allow lease payments to be taxed incrementally, add exemptions for tribal members and nonresidents, change transfer timing between accounts, and create a Preserve Washington Account for highway preservation and maintenance. Fiscal notes projected additional revenue from aligning use tax with sales tax and modest administrative costs, while delaying the tow reimbursement program reduced near-term expenditures. Testimony on HB 2711 was mixed. RV dealers asked for a delay to the luxury vehicle tax, arguing the industry is already in decline and the tax could push sales out of state. WFSE supported the new Preserve Washington Account and urged higher bid limits for highway maintenance work. Committee members asked for clarification on the peer-to-peer rental car tax and the transit bus toll exemption. The chair announced that executive session on the bills, along with one other measure, would occur Wednesday, and members were told to submit amendment requests by the next day.

Transcript Highlights:

• Whether in moments of celebration or challenge, you carry yourself with grace and steady belief in the
• And I know that you did that in every challenge that the university faced, and I wanted to thank you
• talking about collective pain, because none of us can negotiate... ...challenging when we're talking
• And they've been challenging, and they've required a lot of nuance and thought and consideration.
• And it requires, it is challenging. It can be difficult.

Summary: The Assembly convened after a quorum call, prayer, and Pledge of Allegiance, then moved through a long daily file with numerous guest introductions and recognitions, including tributes to outgoing University of California President Michael Drake, student and community advocates, and visitors connected to foster care, military appreciation, and college savings. The chamber also took up several procedural items, including concurrence in Senate amendments to ACR 75 on California Farm Week, which passed 59-0. Members then adopted AJR 7 on protecting federal special education funding and services for students with disabilities, with broad bipartisan support and a 65-0 vote after 63 co-authors were added. The Assembly also adopted ACR 82 recognizing Foster Care Month and ACR 85 recognizing 529 College Savings Day by voice vote after adding co-authors, and ACR 89 recognizing Military Appreciation Month, also adopted by voice vote after co-authors were added. These resolutions featured testimony and remarks emphasizing support for vulnerable children, foster youth, military families, and access to higher education. On policy bills, the Assembly passed AB 929 on groundwater and managed wetlands (41-14), AB 1026 on utility connection timelines for housing projects (52-0), AB 1332 on direct shipment of medicinal cannabis under specified conditions (55-0), AB 1356 on follow-up reporting in DHCS death investigations at treatment facilities (54-0), and AB 671 on streamlining restaurant openings through self-certification of certain plans (62-0). The chamber also approved AB 715 on anti-Semitism and school climate after extensive debate and cross-caucus support, 64-0, and AB 33 on autonomous vehicle deliveries requiring a human safety operator, 52-6. Later, AB 5 on election ballot-counting timelines passed 66-0, AB 27 and AB 28 addressing the Chiquita Canyon landfill disaster passed 61-0 and 44-6 respectively, and the Assembly began consideration of AB 43 to extend state authority over wild and scenic rivers.

Transcript Highlights:

• It was referred to aptly as the hunger games of grant funding.
• You apply for the grant, and you demonstrate a need for the funding.
• I also want to say that this is no expense to the general fund.
• It was challenged today. It was challenged in a state or two, and it was allowed.
• That's the part I'm challenged with. So thank you.

Transcript Highlights:

• normal for these one-time surplus funds.
• Per-pupil funding has grown.
• What is the range on that from a base-funded ADA district to the highest concentration-funded ADA district
• However, that funding being timely...
• These challenges are deeply connected and cannot be addressed without predictable funding.

Summary: The Assembly Budget Subcommittee on Education Finance held its first hearing of the year on Proposition 98, focusing on the Governor’s budget estimates for the three-year budget window, the Public School System Stabilization Account (PSSA), and repayment of education deferrals. The Department of Finance said the minimum guarantee would rise by about $21.7 billion over the 2025 Budget Act, with increases in each year, full repayment of the existing settle-up obligation in 2024-25, a new $5.6 billion settle-up obligation proposed for 2025-26, and a higher guarantee in 2026-27. Finance also noted revised downward estimates for transitional kindergarten attendance and Los Angeles County property tax reimbursements, and said community colleges would be funded above the split because of enrollment growth. The Legislative Analyst’s Office emphasized fiscal risk and volatility, warning that recent revenue gains are tied heavily to the stock market and tech sector and could reverse quickly. The LAO argued the Governor’s proposed $5.6 billion delay shifts risk into future years and recommended instead fully funding the current estimate, making a larger reserve deposit, considering advance payments or pension-related uses, and finding additional non-Prop 98 solutions to reduce the state’s structural deficit. On the reserve and deferral items, Finance described revised PSSA deposits and withdrawals that would leave about $4.1 billion in the reserve by 2026-27, and both Finance and the LAO supported paying off the remaining LCFF and SCFF deferrals as good fiscal practice. Committee members questioned the size of the settle-up amount, the degree of revenue volatility, the use of the reserve, and the ongoing K-12/community college split. Finance said the proposal is meant to avoid overappropriation if revenues fall, while the LAO said a buffer of roughly $3.5 billion would address typical forecasting risk. Public commenters, including school boards, county offices of education, teachers, and advocacy groups, largely opposed the $5.6 billion withholding or settle-up delay, calling it a manipulation of Prop. 98 and urging full funding and more stable revenue solutions. Several speakers also urged dedicated funding for students experiencing homelessness. The hearing ended with no vote, and the chair announced that broader program discussions would occur in later hearings.

Transcript Highlights:

• It's a difficult one, which is funding. And it's not general revenue funding, okay?
• General tax is funded not only from general revenue, but also from our operating trust fund.
• If you look at our operating trust fund, it's about $12 million below what it would take to fund that
• Okay, there was an appropriation to fund them; there was a rate to fund them.
• In that trust fund, there were not dollars to fund them.

Transcript Highlights:

• We're funding the Family Empowerment Scholarship as a separate state-funded categorical, as we like to
• through their funding model.
• Now, you know that in the past, because of resource challenges and funding challenges, we've had to,
• What funding sources are there?
• Proceeds and caps the distribution of funds into the Inland Protection Trust Fund.

Transcript Highlights:

• fund allocations or local government funding.
• So, and this is a completely self-funded program. There's no general fund subsidy.
• fund.
• Next summer in July, self-funded program, the modest premium only funds a modest benefit.
• to the Pension Funding Council.

Committee: Joint Pension Funding Council

Summary: The Pension Funding Council met on October 8 with introductions from council members and then heard a 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 were 100% funded as of June 30, 2024, with open plans above 95% funded, and explained that strong investment returns and prior funding policy decisions contributed to that position. The actuaries recommended increasing the inflation assumption from 2.75% to 3%, increasing general salary growth by 0.25%, keeping the Plan 1 membership growth assumption at 1%, and raising the assumed investment return to 7.25% for all plans. They also reviewed estimated budget impacts and explained that investment gains are smoothed over up to eight years, while other assumption changes flow directly into future valuations. The council also heard comments from the Economic and Revenue Forecast Council and the State Investment Board, both of which said their inflation and return outlooks were broadly consistent with the actuary’s recommendations. ERFC discussed inflation trends, the Federal Reserve’s 2% target, and why Seattle-area inflation tends to run above the national average, while SIB said its 15-year inflation assumption is 2.5% and that 7.25% is a reasonable long-term return assumption. Public testimony included support for maintaining Plan 1 funding efforts and caution from the Association of Washington Cities about the budget impact of higher assumptions and the risk of overfunding pensions. The council then considered and adopted a motion to maintain the current prescribed long-term economic assumptions, with a roll call vote of 4-2. It next considered the long-term services and supports trust program and, after hearing an overview from DSHS and OSA, adopted the recommended WA Cares premium rate of 0.58% by a unanimous 6-0 vote. OSA said the WA Cares program is still in its learning phase, with no benefits yet paid, and recommended no premium change at this time regardless of the outcome of the related ballot measure. The council also elected Katie Chapman as chair and then adjourned.