Transcript Highlights:

• If we take a look at that specifically, that is allocated based on...
• it enables them to determine how to best allocate those resources.
• What would you fund with your allocation? What types of activity?
• I am more than happy to do what I can with the resources given, but I do not have the resources to configure
• methodology as the best way to proportionally allocate those funds.

Summary: The committee heard an overview of the May Revision’s Proposition 98 changes for K-12 and community colleges. The Department of Finance said the minimum guarantee rises by $6.4 billion over the Governor’s Budget across the three-year window, with higher guarantees in each year, full payment of the prior settle-up, and larger deposits into the school rainy-day fund. The LAO said the revenue and LCFF updates were reasonable, but urged caution about the settle-up approach and recommended using more of the available funding to protect ongoing programs and build budget resilience. Members focused heavily on the size of the proposed $3.9 billion settle-up, the $10.3 billion reserve deposit, declining K-12 enrollment, and how much of the new funding should be ongoing versus one-time. The committee then reviewed the community colleges portion of the budget. Finance described the May Revision’s higher SCFF COLA, additional funding for enrollment growth, a student support block grant, apprenticeship adjustments, and continued funding for deferred maintenance, Calbright, Common Cloud, and credit for prior learning. The Chancellor’s Office supported the core investments but asked for more funding for enrollment growth, changes to the growth formula, and a COLA for Student Equity and Achievement. The LAO recommended prioritizing the statutory COLA increase, noted that more than half of districts are already above current-year growth targets, and said the new adult learner demonstration project should be rejected because districts already have tools to support similar services. Members also discussed a $52 million current-year apportionment shortfall, which Finance said was discovered too late for the May Revision and would need to be addressed later. Finally, the committee took up the proposed implementation of the federal Workforce Pell program. Finance proposed one-time funding for the California Student Aid Commission and Cradle to Career to build eligibility and data systems, along with trailer bill changes to set up state approval processes. CSAC said the program is promising but highly complex, that California lacks the needed infrastructure, and that the state will need emergency regulations, data linkages, and ongoing funding beyond the one-time proposal. The LAO agreed that some initial funding is needed but warned that the amounts and ongoing costs remain uncertain and that the Legislature should carefully draft the trailer bill language. Members asked about timing, other states’ actions, and how the state would ensure the program is ready for students and institutions.

Transcript Highlights:

• A supermajority of that is resource entities.
• That is a push of— resources, including battery energy storage system. 2141 resources, including battery
• "Inspecting, providing resources as well to help do those things.
• . allocation.
• They were all thermal, long-duration, dispatchable resources.

Summary: The Senate Committee on Business and Commerce held its first interim hearing on securing critical infrastructure and supply chain integrity, with a focus on Texas’s electric grid and the Lone Star Infrastructure Protection Act. The chair also highlighted Texas’s relatively low electricity prices and welcomed new committee members. ERCOT, the Public Utility Commission (PUC), and the Attorney General’s office were invited to explain how the state screens market participants and grid equipment for ties to China, Russia, Iran, and North Korea, and how the agencies respond to noncompliance. ERCOT testified that it has implemented the requirements of three related Senate bills by requiring attestations on corporate affiliations and on critical grid equipment and services. ERCOT said it has processed thousands of attestations, used additional requests for information and third-party verification tools such as Dun & Bradstreet, and terminated nonresponsive market participants. ERCOT also said it has not seen a case requiring direct Attorney General involvement, but it does refer matters to the PUC when needed. The PUC said it can investigate suspected violations and impose penalties of up to $1 million per violation per day, and that most investigations into late or missing attestations have been resolved through compliance, market exit, or removal by ERCOT. The Attorney General’s office said its role is currently limited to audits and court involvement, and that it lacks broad independent investigatory authority under the act. Members pressed the panel on whether the current system is too reliant on self-reporting and whether it adequately addresses indirect foreign influence, especially through supply chains for batteries, inverters, transformers, and other equipment with routable connectivity. ERCOT acknowledged that the current attestation process has gaps and said it plans to refine definitions of critical grid equipment and grid services, improve information requests, and continue stakeholder rulemaking. The panel also discussed possible legislative changes, including tying prohibitions to the Department of Defense Section 1260H list and the Texas Prohibited Technologies list, clarifying warranty and service access, and expanding the statute to cover grid services more directly. Several senators raised concerns about cost, reliability, and the extent to which foreign-sourced components remain embedded in Texas infrastructure, while others suggested incentives for domestic manufacturing and stronger verification tools, including possible work with national labs such as Sandia.

Transcript Highlights:

• The 2025 Budget Act did appropriate one-time resources.
• So we've allocated $15 million for that.
• to historically under-resourced communities.
• So we are trying to give ourselves, the regional centers, a ramp to develop resources, resources that
• So we are trying to give ourselves, the regional centers, a ramp to develop resources, resources that

Keywords: 987, senate, all

Summary: The hearing opened with Department of Finance and Legislative Analyst’s Office remarks on the May Revision, which both described efforts to reduce large out-year operating deficits through a mix of revenue increases, spending reductions, and reserve use. Finance said the May Revision more than halves projected deficits in later years, while LAO stressed that revenues are at unprecedented levels yet the state still faces a significant structural deficit and is drawing down reserves; LAO urged maintaining at least the administration’s level of budget solutions and adding to reserves rather than new ongoing commitments. The chair echoed concern about cuts to vulnerable populations and noted the tension between service reductions and requests for additional administrative positions. The committee then heard a series of California Health and Human Services and HCAI proposals, including additional legal support for CalHHS to respond to federal HR1 changes; a net-zero transfer of positions for a centralized eligibility/data-sharing platform; 988 crisis line implementation funding and continued work with the Trevor Project to train crisis centers to better serve LGBTQ youth; EMS data system maintenance funding; HCAI implementation of AB 1312 hospital charity care screening; SB 660 data exchange framework funding; CalRx biosimilar insulin reappropriation; and a diaper access initiative that would provide free diapers to newborns in participating hospitals and support a future direct-to-consumer purchasing option. Members questioned the diaper program’s universal design, the use of a Public Contract Code exemption, and the selection of Baby2Baby, with the chair expressing concern about optics and the lack of an income threshold. The committee also discussed distressed hospital funding, with HCAI requesting up to $50 million for another round of grants to hospitals in immediate financial distress. HCAI said it receives annual and quarterly financial reports but the data lag limits real-time monitoring, and the LAO recommended stronger program parameters and turnaround plans. Members argued the repeated need for distressed hospital aid reflects a structural problem, not a short-term gap, and raised broader concerns about hospital reimbursement and patient flow. Other items included reverting $19.6 million in unused opioid settlement funds from HCAI to DHCS for General Fund offset, and a Rural Health Transformation Program request to increase HCAI spending authority to cover the full federal award. Later, DMHC presented funding requests to implement PBM licensing and financial review requirements under AB 116, modernize the managed care complaint system, and build an electronic claims settlement data system under AB 3275. The final major discussion focused on the Behavioral Health Services Oversight and Accountability Commission, which opposed the May Revision’s proposed reduction of its Innovation Partnership Fund from $20 million to $10 million and a $6.7 million cut to community advocacy grants. The Commission argued these programs are core to Proposition 1’s goals of statewide innovation and community accountability, while Finance said the proposal is consistent with Proposition 1’s maximum funding levels and reflects a broader effort to prioritize direct services and use unspent prior-year funds; members pressed for more information and questioned whether the cuts would undermine the new behavioral health framework.

Transcript Highlights:

• Mayor Bennett, Brian Cash from the Natural Resources Agency.
• Brian Cash from the Natural Resources Agency.
• that we find really valuable, our water resources, our recreation resources, et cetera.
• But in the era of limited resources, just where are the priorities as you allocate that?
• Their resources across the state, their emergency response resources, will continue.

Summary: The subcommittee began by announcing a change in the agenda order, moving item 6 ahead of item 1 and then item 7, and noting there would be no votes taken on any items that day. Item 6 covered a proposed operational efficiencies control section for the Natural Resources Agency that would let multiple departments jointly fund landscape-scale or multi-jurisdictional projects and allow Finance to transfer climate bond funds to a lead state entity. The LAO said the proposal was reasonable but suggested the Legislature consider requiring summary notification on how it is used; Finance said it would consider that request. Item 7 focused on the 2026-27 biodiversity and nature-based solutions spending plan. Finance and the Wildlife Conservation Board described the climate bond funding for habitat restoration, wildlife crossings, public access, tribal nature-based solutions, and related work, including $111 million proposed for WCB and $30 million for Salton Sea habitat and public access projects. The LAO supported the overall approach but flagged the San Andreas Corridor Program as an area where the Legislature may want to specify geographic priorities. Members discussed the pace of Salton Sea work and whether the proposed projects would count toward disadvantaged community goals. Item 8 addressed Cal Fire’s aviation contract and staffing needs for wildfire response. Cal Fire said year-round fire activity, a larger and more complex aircraft fleet, and labor market pressures justified the proposed contract increase, including more mechanics, pilots, and maintenance support. The LAO recommended approval, saying the proposal addressed health and safety concerns. Members asked about contractor staffing, competition in the bidding process, and future technology for early fire detection and suppression. The committee then took up item 1 on golden mussel containment. Fish and Wildlife described the invasive species’ spread in the Delta, the task force and response framework, and a request for eight new positions funded by Prop. 4 to support control plans, outreach, monitoring, research, and coordination with partners and law enforcement. Members pressed the department on whether the state should fund more direct decontamination infrastructure and grants to local water managers, and on the realistic goal of containing the mussel. The chair and several members emphasized the urgency of the threat and requested an itemized breakdown of the $20 million request. The hearing then moved to a broader LAO overview of wildfire prevention and response funding, where the LAO summarized the state’s funding mix and warned that ongoing wildfire resilience funding will likely decline as one-time bond and GGRF funds are exhausted, prompting discussion of long-term funding options and the balance between prevention, suppression, and community hardening.

Transcript Highlights:

• Efficiency, which means that the system aligns resource allocation...
• Efficiency, which means that the system aligns resource allocations at every level to the goals of the
• needs and districts where local resources are most limited.
• All three of those allocations go into the DESE Fund account.
• resources.

Keywords: 1204, all

Summary: The House and Senate Education Committee first approved minutes from February 2 and 3, then heard an interim study proposal on Arkansas adult education, presented by Goodwill Industries of Arkansas and the Excel Center network. Witnesses described the state’s adult diploma gap, arguing that roughly 300,000 Arkansans over age 19 lack a high school diploma or GED and that the Excel Center provides a supported, diploma-based alternative with child care, transportation help, tutoring, and career services. Goodwill officials said the Arkansas campuses are the state’s only public adult charter high schools, are not state-funded, and have produced strong enrollment growth and graduation outcomes. A University of Notre Dame researcher testified that a study of Excel Center graduates found higher employment and earnings, more credential and college-credit attainment, and lower criminal justice involvement, with a high estimated return on public investment. Some members questioned the framing of Arkansas’s adult education challenges and whether the state was being portrayed too negatively, while others asked about wraparound services and the role of nonprofit providers. The committee ultimately adopted the interim study proposal, though there was some procedural confusion and debate about whether questions should have come before the vote. The committee then received a detailed Bureau of Legislative Research presentation on Arkansas K-12 education funding as part of the adequacy study. Staff reviewed national funding principles and Arkansas’s funding structure, including state, local, and other revenues; the Public School Fund; Department of Education operations; and the Facilities Partnership Program. They explained that 2025 K-12 state and local revenues totaled about $6.6 billion, with foundation funding, categorical funding, supplemental funding, and additional funding distributed to districts and charters. The presentation covered the matrix used to calculate foundation funding, the role of the uniform rate of tax, the Educational Excellence Trust Fund, the Educational Adequacy Fund, and how charter schools are funded differently from traditional districts. Staff also discussed categorical programs such as alternative learning environments, English learner funding, enhanced student achievement, and professional development, as well as supplemental categories including transportation, special education high-cost occurrences, teacher salary equalization, declining enrollment, and student growth. Members asked numerous questions about the funding formulas, the meaning of specific staffing categories, how categorical funds are used, and the number of districts receiving teacher salary equalization or ALE funding. One member noted that the Excel Center’s funding appeared in the broader state-local totals and asked for clarification. Staff said some of the more detailed spending questions would be addressed in the next day’s presentation and offered to provide follow-up information, including district lists and historical changes. The meeting ended after the chair noted that the department was present mainly to answer questions, not to deliver a separate update, and no further business was taken up before adjournment.

Transcript Highlights:

• In this last legislative session, we invested significant additional resources into that program.
• or $1.2 billion is allocated to the A&M system.
• Is allocated to the A&M system.
• allocation period ends in fiscal year 25.
• Research performance funding is allocated to the educational institutions. 25% must be allocated to the

Bills: SB1, SB 1

Keywords: appropriations, budget, state funding, education, healthcare, infrastructure, campground safety, youth camp regulations, flood safety, emergency evacuation, health and safety standards, 1185, senate, all

Transcript Highlights:

• In order to inform its transmission planning and resource adequacy measures.
• We strongly support the PUC's efforts to revamp transmission cost allocation.
• allocation; they may not be provided a megawatt allocation.
• To allocate these costs that are coming.
• That was the whole 4CP allocation methodology.

Keywords: 1184, house, all

Transcript Highlights:

• A supermajority of that is resource entities.
• We're having to use inverter based resources, including battery energy storage system. resources, including
• resources and inverters in general.
• Allocation of electricity. Yes, sir.
• You become a controllable load resource.

Summary: The Senate Committee on Business and Commerce convened to discuss critical infrastructure and supply chain integrity, particularly focusing on Texas's power grid and associated vulnerabilities. The meeting highlighted Texas's recent ranking as 10th in electricity affordability, emphasizing the state's commitment to maintaining a reliable and resilient electric grid. New committee members introduced themselves, and the agenda included testimony from ERCOT and the Public Utility Commission regarding the implementation of the Lone Star Infrastructure Protection Act, which aims to mitigate risks posed by foreign entities to the power grid. Chad Sealy from ERCOT presented updates on the attestation process for market participants, revealing that over 1,500 entities had submitted attestations regarding their corporate structures and affiliations with designated foreign countries. Concerns were raised about the adequacy of the current vetting process, particularly regarding indirect relationships with foreign adversaries. Testimonies from the PUC and the Attorney General's office underscored the challenges of enforcing compliance and the need for improved legislative measures to enhance oversight and security. The committee also heard from experts, including Dr. Emma Stewart from Idaho National Laboratory, who discussed the evolving threats to the grid from foreign adversaries and the importance of securing communication systems. Recommendations included prioritizing inspections of critical components and enhancing collaboration with national laboratories to address vulnerabilities. The discussion concluded with an acknowledgment of the balance needed between ensuring grid security and maintaining affordability for consumers.

Transcript Highlights:

• resources.
• resources.
• resources.
• So we know, and so then we can start allocating our limited resources, which we do have, in the right
• > which allocating our limited resources which allocating our limited resources which we<01:06:32.720

Keywords: 928, house, all

Summary: The subcommittee began its first meeting on retained education funding bills, focusing on HB 366, which concerns school building aid for eligible projects, and HB 295, which would make school building aid program funds non-lapsing. The chair framed the discussion around broader questions about how school building aid should work, noting the state’s limited available funding, the existing debt service obligations, and whether the current formula should continue or be changed. He also raised concerns about the state’s overall revenue constraints and the need to consider renovation, new construction, and possibly leasing within any future program. Members and the Department of Education representative discussed whether school building aid is a state or local responsibility, the current backlog of projects, and the condition of school facilities statewide. Tim Carney of the Bureau of School Facilities described his background and answered technical questions about current programs. Representative Luno argued that under the ConVal decision the state has responsibility for school buildings, including construction and renovation, and that the program also serves an equity function by helping districts with less property-tax capacity. Representative Papich urged the committee to focus on policy structure and fairness rather than just available dollars, saying the current system creates winners and losers and suggesting a simpler per-capita or similar allocation model, while acknowledging a possible transition for projects already in the pipeline. The discussion also covered CTE facilities and leasing. Carney explained that charter schools, and possibly CTE centers, can receive limited leasing aid, and that CTE capital requests are funded through a state capital process, while federal Carl Perkins funds cannot be used for construction. He and others described a separate rotational funding approach for CTE centers, but several members said that model can leave programs waiting too long and may not match changing workforce needs. The chair and others noted that a report from a related study group on CTE policy and funding was still pending, and that its absence could affect legislation for FY28. No votes were taken and no bill was acted on in the portion of the meeting provided; the discussion ended with interest in modeling alternatives, reviewing the waiting list, and examining the tradeoffs of reducing upfront state aid versus funding more projects overall.

Transcript Highlights:

• And that's what we typically think of as lump sum allocations.
• This includes the total allocation to Florida for 24, 25.
• We go to resources with the district. We are... I don't know. We go to resources with the district.
• So we need more resources for people to go out.
• districts that don't have that resource.

Summary: The committee held its first meeting and received an overview of the Pre-K-12 education appropriations jurisdiction and base budget. Staff explained that education funding is driven largely by enrollment and per-student formulas, with most money coming from state and local sources. The presentation highlighted the major budget areas: early learning, the Florida Education Finance Program (FEFP), non-FEFP K-12 programs, federal programs, and the State Board of Education. Members asked about instructional materials funding and how scholarship students who return to public schools are counted and funded; staff explained that instructional materials remain in the base and that funding depends on survey timing, with districts ultimately funded through the enrollment count process. The committee then reviewed federal IDEA funding for students with disabilities. Department of Education officials explained how IDEA Part B funds are split between state set-asides and local educational agencies, and noted that Florida ranked fourth nationally in total IDEA Part B funding and received a 95% state determination for meeting IDEA requirements. They also described the bureau’s responsibilities, including monitoring, dispute resolution, instructional support, and the Hope Florida unit for ages 3 to 5. Members asked for more information on student performance outcomes and how the state measures success beyond compliance, and the department agreed to provide follow-up data. The final major topic was the Florida Diagnostic and Learning Resources System (FDLRS), including associate centers, multidisciplinary centers, and specialized centers for deaf/hard of hearing and visually impaired students. Presenters described services such as child find, family support, assessments, professional learning, accessible instructional materials, and technical assistance. Committee members focused on whether families and schools have equal access to services across the state, how IEP disputes and reevaluations are handled, and whether more support is needed for parents, teachers, and rural districts. FDLRS representatives said they do not write IEPs but help connect families to districts, provide training and assessments, and support compliance and data collection; they also emphasized staffing and resource needs, especially for low-incidence disabilities and multilingual family outreach.

Transcript Highlights:

• Department of Labor use in allocating us our money?
• So that means we have a pot of money that's allocated to the U.S.
• Now, once that amount is allocated for that business, it's kind of off the table for us to allocate out
• So what you're seeing here is the difference between the allocation, which is the full amount we've allocated
• We don't have a set dollar amount per region that we allocate.

Summary: The subcommittee met to receive an informational presentation from CareerSource Florida President and CEO Adrian Johnson, joined by Anthony Gagliano of CareerSource Suncoast, on the structure, funding, and services of Florida’s workforce development system. Johnson explained that CareerSource serves job seekers and businesses through 21 local workforce development boards and nearly 100 career centers, using federal and state funding streams such as WIOA, Wagner-Peyser, SNAP Employment and Training, and TANF. She described services including case management, training, wraparound supports, job matching, rapid response for layoffs and disasters, and business services such as recruitment, customized training, and on-the-job training. She also highlighted the REACH Act’s role in consolidating local boards from 24 to 21, creating the Master Credential List and Credential Review Committee, and implementing performance-based letter grades for local boards. Members asked detailed questions about funding formulas, letter grade metrics, apprenticeships, youth services, small business access, and the demand occupation list. Johnson said federal allocations are driven largely by unemployment and poverty formulas, which has reduced Florida’s WIOA funding by about $27 million over four years because of the state’s low unemployment rate. She explained the letter grades measure outcomes such as increased earnings, reduced public assistance, employment and training outcomes, work-based learning, business engagement, and service to individuals in certain programs, and said the system is being reviewed for possible changes, including removing extra credit and adjusting weights. On youth services, she said Florida has a waiver allowing a 50/50 split between in-school and out-of-school youth funding, and that local partnerships drive outreach. On the demand occupation list, she said it is based on state labor market data and projections, but local boards can submit evidence of local demand when data does not reflect conditions in their area. A substantial portion of the discussion focused on apprenticeships and workforce training grants. Johnson and Gagliano described apprenticeship navigators funded by the $7.75 million apprenticeship expansion allocation, which help employers navigate registration and expand apprenticeships into nontraditional fields such as IT, health care, education, and hospitality. Gagliano gave examples from CareerSource Suncoast and said navigators helped employers move faster through registration and develop programs with local education providers. Johnson also discussed Incumbent Worker Training Grants and Quick Response Training Grants, noting recent awards of nearly $3 million to 69 businesses and $6.5 million to 24 businesses, respectively, and said these programs are targeted toward high-skill, high-wage occupations and priority industries. The meeting ended with no votes or formal action; the chair thanked the presenters, invited follow-up questions, and adjourned the meeting without objection.

Transcript Highlights:

• that they're allowed to allocate.
• allocation.
• allocation.
• So the city of Oakland still is fully eligible for that full allocation. their received allocation.
• full allocation, and then the region that has its allocation is also still in play.

Keywords: 988, house, all

Summary: The committee heard a series of May Revision budget items, beginning with the State Controller’s Office. SCO described requests for Fiscal Book of Record stabilization, payroll system implementation, ACFR reporting support, and unclaimed property outreach funding. Members focused on the Fiscal system’s July go-live, the improved timeliness of the ACFR, and the unclaimed property program’s roughly $15 billion balance and outreach efforts. The Department of Finance and LAO raised no major concerns, and the item was closed after discussion of how the new outreach funding would be used. The committee then considered several revenue proposals. Finance presented a proposal to tax pre-written digital software and SaaS, with estimated General Fund gains of $450 million in 2026-27 and $900 million ongoing; LAO suggested broader digital tax changes and a business-use exemption, while industry groups opposed the measure as a tax on essential digital tools. CDTFA also presented an administrative request tied to the software tax, and later a $10 million budget reduction reflecting lower operational needs. The committee then heard a federal conformity proposal for new children’s tax-deferred accounts, which LAO supported, and a proposal to cut the first-year LLC/LP minimum tax from $800 to $400, which Finance said would aid small business formation but LAO argued was poorly targeted and would reduce revenue. Another major item was a permanent business tax credit limitation beginning in 2027, capping credits at the greater of $5 million per corporation or 50% of pre-credit liability. Finance said it would raise about $850 million in 2026-27 and more in later years, while LAO noted it would mainly affect large firms using the R&D credit and could also touch California Competes and other programs. Public testimony split sharply between business groups opposing the cap and advocates supporting it as a progressive revenue measure. The committee also heard FTB’s CalFile realignment proposal, which would retain a smaller staff to continue improving the free filing system and return most of the prior funding to the General Fund. The hearing concluded with the California Arts Council’s request to reauthorize the Keep Arts in Schools voluntary contribution fund, which brings in about $221,000 to $266,000 annually for arts grants and teacher stipends. Members and advocates supported the item but also urged larger arts funding, including the Performing Arts Equitable Payroll Fund. The Governor’s Office of Business and Economic Development then presented proposals for the California Civic Media Program, CA RISE reappropriation, and a reversion of unused Chips for America facility funds; LAO supported the latter two but was cautious about new civic media spending. Members raised concerns about the civic media program’s scope, including the exclusion of broadcast and the lack of a specific ethnic media set-aside, while GoBiz said funds would begin going out in the fall if approved.

Transcript Highlights:

• All of those things take resources.
• All of those things takes resources.
• The resources will also be provided to local communities, giving counties and partners the resources
• The resources will also be provided to local communities, giving counties and partners the resources
• One-time allocation.

Keywords: 988, house, all

Summary: The Assembly Budget Subcommittee on Health heard presentations on several May Revision proposals, beginning with an overview from the Legislative Analyst’s Office and the Department of Finance on the state’s budget condition and the administration’s efforts to reduce out-year deficits through a mix of revenue measures, fund shifts, and program reductions. The chair expressed support for some administration proposals, such as added health IT funding, county administration support, a delay in Medi-Cal cuts for some immigrants, and additional Covered California subsidy backfill, but also criticized proposed Medi-Cal premiums, changes to senior eligibility, the lack of a Medi-Cal dental solution, and other cuts affecting counties, workforce, and rural access. The LAO said the budget still relies heavily on reserves and borrowing and urged more reserves and caution on new commitments. The Department of State Hospitals presented several proposals, including reduced county bed billing authority, limited contract exemption authority for online clinical subscriptions, reversion of unspent prior-year funds, additional lease revenue authority for the Metro Central Utility Plant replacement, funding for electronic health record implementation, and a shift of workforce development costs to Behavioral Health Services Act funds. The department also described savings and realignments in its IST and CONREP programs, including making the Independent Placement Panel permanent and adjusting funding for jail-based competency treatment and conditional release services. Members questioned the BHSA workforce funding swap, and the administration said it was part of a broader General Fund offset strategy. The Emergency Medical Services Authority requested funding for statewide behavioral health crisis response guidance and for continued operation of its enterprise systems, and the Department of Managed Health Care sought funds to modernize its complaint system and claims settlement data systems. The largest debate centered on the administration’s proposed use of Behavioral Health Services Act revenues to offset General Fund spending and fund state-directed behavioral health programs. The Department of Finance said the proposal would support population-based prevention, workforce programs, mobile crisis services, and other state-directed uses, while the LAO said it was still reviewing whether the uses comply with Proposition 1 and whether the non-supplement and eligible-use requirements are met. The Commission for Behavioral Health strongly opposed proposed cuts to its Innovation Partnership Fund and community advocacy grants, arguing that both programs are central to community voice, culturally responsive services, and statewide innovation. Commissioners and many public commenters said the cuts would reduce grants to community-based organizations, tribal groups, veterans, LGBTQ communities, youth, and other underserved populations, and that the advocacy program helps communities participate in local planning and access services. The Department of Finance defended the reductions as a way to prioritize direct services and said the programs fit within Proposition 1, but members criticized the proposal as a midstream shift that would weaken community engagement and redirect funds away from prevention and advocacy.

Transcript Highlights:

• All of those things takes resources.
• The resources will also be provided to local communities, giving counties and partners the resources
• The resources will also be provided to local communities, giving counties and partners the resources
• It's part of their annual realignment allocation, so we just wanted to note what the size of the allocation
• Tweedo with the Southeast Caesar Resource Action Center.

Summary: The Assembly Budget Subcommittee on Health held a May Revision hearing covering several health-related budget proposals and broader concerns about the state’s budget structure. The Chair opened by praising some May Revision changes, such as added health IT funding, county administration support tied to Medi-Cal changes, a delay in Medi-Cal cuts for some lawfully present immigrants, and additional support for Covered California subsidies, while criticizing proposed increases in Medi-Cal premiums, changes to senior eligibility, the lack of a Medi-Cal dental solution, and other reductions affecting counties, mobile crisis units, workforce incentives, and physician shortages. The Legislative Analyst’s Office said the state’s budget condition remains weak despite progress on the structural deficit, and the Department of Finance said the May Revision uses a mix of reductions, reforms, revenue proposals, and fund shifts to cut out-year deficits. The committee first heard Department of State Hospitals proposals, including adjustments to county bed billing authority, contract exemption language for online clinical/pharmacy subscriptions, reversion of unspent funds, a revised Metro Central Utility Plant replacement project, electronic health record implementation, and workforce development funded partly through Behavioral Health Services Act resources. DSH also described savings and realignments in incompetent-to-stand-trial and conditional release programs, including extending the independent placement panel program and shifting funds to support additional bed capacity and a mental health rehab center. Members asked about the use of BHSA funds for workforce programs, and the department said the proposal would replace General Fund support with BHSA reimbursements. The Emergency Medical Services Authority proposed funding for statewide behavioral health crisis response guidance and for enterprise system development, and the Department of Managed Health Care proposed modernization of its complaint system and claims-settlement data system to improve oversight and comply with AB 3275. The largest discussion centered on the administration’s BHSA spending plan under Proposition 1, including state-directed prevention, workforce, and other uses, plus General Fund offsets for existing programs. The LAO questioned whether some proposed offsets fit Proposition 1’s non-supplant and eligible-use requirements, while the administration argued the uses were consistent with the measure and that the state-directed share can be adjusted annually. The Commission for Behavioral Health’s proposals drew the most public and member concern. The administration proposed cutting the commission’s Innovation Partnership Fund from $20 million to $10 million and reducing the Community Advocacy Program by $6.7 million, while redirecting BHSA dollars to other state purposes and direct services. Commissioners, advocates, and several members argued the cuts would weaken community voice, reduce support for underserved populations, and disrupt grants already in process; they also objected to using BHSA funds to backfill General Fund commitments. Public commenters, including youth, disability, behavioral health, LGBTQ, tribal, veteran, immigrant, and community-based organization representatives, overwhelmingly opposed the cuts and urged preservation of prevention, advocacy, mobile crisis, and innovation funding. No votes or final actions were taken during the hearing.

Transcript Highlights:

• Is this allocation paying back that loan? This allocation is not paying back that loan.
• So we are augmenting that from a $2.8 million allocation to $19.8 million, a $17 million additional allocation
• I'd like to know more about this allocation, the decision to allocate more, and who this is going to
• I'm assuming that either Natural Resources or the Air Resources Board has a portal on the utilization
• I'm assuming that either Natural Resources or the Air Resources Board has a portal on the utilization

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

Transcript Highlights:

• to steward these resources.
• California allocated $40 million in 2020, New York City allocated $20 million in 2020.
• So as we're thinking about allocation of resources, also just understanding, like, the further west and
• a really useful resource.
• The data collected determines how billions of dollars in federal and state resources are allocated for

Keywords: 995, all

Summary: The Senate Committee on the Census held an early planning hearing on how Massachusetts can maximize participation in the 2030 census, with Chair Will Brownsberger and Vice Chair Rebecca Rausch emphasizing the need to start well in advance. The first panel, made up of leaders from the Massachusetts Voter Table, MassVOTE, MIRA, and MESA, stressed that grassroots community organizations are trusted messengers and should be funded early to do multilingual outreach, training, and direct assistance in hard-to-count communities. They described lessons from 2020, including the shift to internet response, reduced federal census infrastructure, the importance of coordinated statewide networks, and the need to begin messaging several years before Census Day because building trust and staffing outreach takes time. Panelists repeatedly warned that immigrant communities are facing heightened fear because of federal immigration enforcement and the possibility of a citizenship question or other federal changes, making census participation more difficult. They said 2020 funding arrived too late to fully staff and train outreach teams before the pandemic, and argued that future resources should be deployed earlier and more flexibly. In response to committee questions, they estimated Massachusetts should invest roughly $8 million to $10 million or more in state census outreach, with one proposed model of about $3 million to $5 million at the start, additional funding in the middle years, and a larger final push closer to 2030. They also suggested that funding should support communications infrastructure, translation, social media and ethnic media outreach, and possibly a permanent complete count structure or trust fund to preserve institutional knowledge. A second panel from Common Cause Massachusetts and the ACLU of Massachusetts echoed the call for stronger, earlier investment and stronger privacy protections. They urged the legislature to expand existing census line items, consider a trust fund or other dedicated funding stream, and coordinate census outreach with other state programs that already work through trusted community messengers. The ACLU testimony focused on racial inequities in census counts and warned that federal efforts to exclude non-citizens or add a citizenship question would deepen distrust and undercount immigrant communities. Committee members asked about the 2020 overcount/undercount results, funding levels, timing of grant distribution, and whether census outreach should be routed through the Secretary of the Commonwealth or other state mechanisms; no votes were taken, and the hearing moved on to a later panel on immigrant-community outreach.

Transcript Highlights:

• are raised, allocated, and managed across multiple levels of government.
• Efficiency means that the system aligns resource allocations at every level to the goals of the statewide
• In FY 2025, they received $2.4 billion for K-12 education for this allocation.
• there to create the full Public School Fund allocation for the year.
• resources, and these are all combined to get a total per-student amount.

Summary: The House and Senate Education Committee first approved minutes from February 2 and 3, then took up an interim study proposal on adult education and the Excel Center model. Representatives from Goodwill Industries of Arkansas, the Excel Center network, and the University of Notre Dame’s Lab for Economic Opportunities testified that roughly 300,000 Arkansans over age 19 lack a high school diploma or GED, and argued that the Excel Center provides a supported diploma pathway for adults who struggle with GED testing. Witnesses highlighted wraparound services such as free child care, transportation assistance, tutoring, life coaching, and career services, and cited outcomes including high retention, growing enrollment, and research showing higher employment and earnings and lower criminal justice involvement for graduates. Committee members raised questions about the state’s role, existing adult education programs, and how the study would be structured; the motion to adopt the ISP passed, though there was some procedural disagreement about when questions should have been taken. The committee then heard a detailed adequacy funding overview from BLR staff Katie Walden and Adrian Beck on Arkansas K-12 education finance. They reviewed national funding principles and explained Arkansas’s system, including state and local revenue sources, the Public School Fund, the Educational Excellence Trust Fund, the Educational Adequacy Fund, and the Facilities Partnership Program. Staff said K-12 state and local revenues totaled $6.6 billion in 2025, with foundation funding making up the largest share of district and charter funding, followed by additional, categorical, and supplemental funds. They also explained the matrix-based foundation formula, the role of the uniform rate of tax, and how categorical and supplemental funds support areas such as alternative learning, English learners, special education high-cost cases, teacher salary equalization, declining enrollment, and student growth. Members asked several follow-up questions about how specific funding categories are defined and used, including student support staff, instructional aides, special education high-cost occurrences, ALE funding, teacher salary equalization, and the inclusion of Excel Center amounts in state-local funding totals. Staff said some of those details would be addressed in a later presentation and offered to provide additional records, including district lists and historical information. The meeting ended after the funding overview, with no additional votes or actions beyond the ISP adoption and adjournment.

Transcript Highlights:

• We're sort of in one again this year where there's no monies allocated other than those that were allocated
• were allocated to pay off those that were allocated to pay off debt. debt. debt.
• allocating allocating you<00:11:10.240> know you know you know $30<00:11:12.160> million
• resources.
• > which allocating our limited resources which allocating our limited resources which we<01:06:32.720

Keywords: 1189, house, all

Summary: The subcommittee opened its first meeting on retained education funding bills, focusing on HB 366, which concerns school building aid for eligible projects, and HB 295, which would make school building aid program funds non-lapsing. The chair framed the discussion broadly around whether school building aid should remain a state program, how to address limited revenues, and whether the current system should continue to prioritize debt service and the existing formula or move toward a different model such as per-pupil allocations, a dedicated fund, or a split between new construction and renovation. He also raised questions about whether leasing should be included and how to manage any new fund under current law and the school building authority structure. Representatives and department staff discussed the current backlog of applications, the age and condition of school facilities, and the possibility that large projects can consume available funding for a year while other districts go unsupported. Tim Carney of the Bureau of School Facilities introduced himself and provided technical context on the program and current debt levels. Representative Luneau argued that under the ConVal decision, the state’s responsibility includes school buildings, construction, and renovation, and that the program also serves an equity function by helping districts with less property wealth. He noted that construction and renovation have long been recognized categories and asked about leasing, which staff said is already supported in statute for charter schools and possibly CTE, with a cap of 30% of annual lease cost or $50,000. The discussion also covered CTE facilities: staff explained that capital funding for CTE centers is state-funded, that federal Carl Perkins funds cannot be used for construction, and that the current rotational capital model means only a few centers are funded each year, which may not match changing program needs. A committee studying CTE capital needs was referenced, along with concerns that the report from that work had not yet been received. Representative Papich urged the subcommittee to focus on policy, principles, and structure rather than just numbers, saying the current system produces a few winners and many districts that never receive aid. He favored a simpler, more equitable per-capita or formula-based approach, while acknowledging the need for a transition plan for projects already in the pipeline. The chair later cautioned against mixing maintenance and operations with construction and renovation, noting that operation and maintenance are already part of the adequacy formula and should not be confused with capital funding. No votes were taken during the meeting; the discussion was exploratory, with members and staff laying out competing approaches and identifying issues for further work.

Transcript Highlights:

• By allocating resources to this project, we are not only investing in the present, but also securing
• The $25 million allocated has been essential in this preparation.
• The $25 million allocated has been essential in this preparation.
• The 25 million allocated has been essential in this preparation.
• And just because our federal funds, they have to be allocable, reasonable, right?

Summary: The committee heard a series of budget proposals focused on education finance, with repeated questions about whether the state’s investments are coordinated, targeted to the highest-need students, and likely to produce measurable results. On the first item, the administration proposed $1 million for a study of California’s curriculum framework, standards, and instructional materials process, plus $250,000 for supplemental ELA/ELD guidance. CDE and Finance said the study would examine how other states organize standards, frameworks, and adoptions, while the chair and members questioned why California has gone so long without updating some standards, what the study would actually accomplish, and whether the proposal was too vague to justify the cost. The issue was held open. The committee then took up a proposed $25 million statewide literacy network within the system of support. CCEE and CDE said the network would coordinate multiple existing literacy leads, create a clearinghouse of evidence-based resources, and improve coherence across the state’s many literacy initiatives. Members pressed on how a one-time, five-year allocation could support a long-term system, how the work would reach distressed and rural districts, and whether the proposal would translate into classroom change rather than just another layer of coordination. The issue was also held open. Next, the committee reviewed a $500 million proposal to expand literacy coaches and reading specialists and to create a math coaches program. CDE described the existing literacy coach cohorts as producing positive reports from participating LEAs, while the LAO recommended modifications, especially for the math coach portion, including limiting eligibility to elementary schools, setting minimum grant amounts, directing funds to eligible school sites, and making eligibility automatic rather than application-based. Members focused on whether coaches were actually being placed at the schools with the greatest need and whether the state has a coherent long-term strategy for literacy and math investments. The committee also heard a $40 million proposal for training and implementation of K-2 reading difficulty screeners, which the LAO said was reasonable but could be reduced because $25 million had already been provided for training; CDE said the new funds were needed for full implementation, procurement, and sustainability. Finally, the committee heard a $10 million proposal for a developmentally appropriate TK multilingual learner screener, with CDE explaining why the preschool language-identification process is different from K-12 EL assessment and the chair asking staff to explore whether a single, more consistent approach could be developed. The meeting concluded with a presentation on universal school meals and kitchen infrastructure, including a $31.5 million backfill, an $84.1 million increase for projected meal growth, a COLA adjustment, and $150 million for kitchen upgrades and training to support freshly prepared meals.

Transcript Highlights:

• The provisional language does have language in there that does say 'promptly allocated.'
• These schools have all the resources that they need.
• Access to a very wide range of existing resources.
• allocated.
• I think it's very appropriate to point out that we don't have unlimited resources.