Transcript Highlights:

• There's no board of directors, the CEO is a distressed assets consultant, and we learned Monday that.

Bills: HB341 , HB791 , HB1564 , HB1695 , HB1722 , HB1729 , HB1772 , HB2003 , HB2954 , HB2989 , HB3084 , HB3134 , HB3135 , HB3309 , HB3611 , HB3679 , HB3727 , HB3832

Committee: House Transportation

Keywords: affordable housing, zoning, development, community support, local regulations, bicycle lanes, traffic collisions, Texas Department of Transportation, study, public safety, bicycles, electric bicycles, scooters, road safety, transportation study, HB 791, Central Catholic High School, San Antonio, specialty license plate, specialty plates

Transcript Highlights:

• Madam Chair, considering bonds are for capital expenditures, I don't believe any teachers' jobs would
• More than $100,000 in assets are unaccounted for.
• They are not litigation assets. They are certainly not property to be divided.
• Children are not property to be split 50-50 like community assets.
• Otherwise, the court must award attorney fees from the community assets of the parties.

Bills: SB1067 , SB1234 , SB1285 , SB1295 , SB1392 , SB1413 , SB1436 , SB1470 , SB1476 , SB1489 , SB1512 , SB1535 , SB1540 , SB1556 , SB1568 , SB1569 , SB1570 , SB1573 , SB1585 , SB1609 , SB1627 , SB1634 , SB1635 , SB1644 , SB1647 , SB1648 , SB1650 , SB1653 , SB1654 , SB1655 , SB1656 , SB1657 , SB1658 , SB1661 , SB1662 , SB1664 , SB1666 , SB1667 , SB1669 , SB1709 , SB1720 , SB1723 , SB1725 , SB1743 , SB1746 , SB1748 , SB1755 , SB1786 , SB1820 , SB1822 , SB1829 , SCR1027 , SCR1040 , SCR1048

Committee: Senate Judiciary and Elections

Keywords: tax lien, property tax lien, real property tax lien, foreclosure, right of redemption, redeem, excess proceeds, county abatement lien, abatement lien, lien priority, assessment lien, easement, county treasurer, certificate of purchase, tax delinquency, delinquent property taxes, property owner equity, judgment foreclosure, title report, Arizona Revised Statutes

Transcript Highlights:

• Shifting over to the capital asset... note here on Veterans Affairs.
• </c><00:32:14.720><c> asset</c> Shifting over to the capital asset preservation and replacement account
• For example, with this capital building as asset preservation, this request is about $5.5 million.
• Next, the governor recommends funding for the capital asset preservation and replacement account, or
• Next, the governor recommends funding for the capital asset preservation and replacement account, or

Committee: House Capital Investment

Transcript Highlights:

• We have Assistant Commissioner Bob Meyer and Capital Asset Manager Samantha Minkler here today to present
• For the record, Samantha Minkler, Capital Asset Manager.
• For the record, Samantha Minkler, Capital Asset Manager.
• </c><00:01:33.159><c> asset</c><00:01:33.439><c> manager</c> Samantha minkler Capital asset manager Samantha
• </c><00:10:11.000><c> Asset</c><00:10:11.279><c> Management</c> effective Capital Asset Management effective

Committee: House Capital Investment

Transcript Highlights:

• Sound Capital Construction account, P.S.C.C.A and the capital vessel replacement account that was set
• That’s operating and capital.
• Moving back to the sort of ferries operations of these capital assets...
• to maintain those assets.
• There are different asset management categories as far as ferries are concerned, and capital facilities

Committee: House Transportation

Summary: The committee received a detailed staff presentation on Washington State Ferries’ capital program, service levels, fleet age, and long-term funding needs. Staff said the system is operating with 21 vessels, no Sidney, B.C. service, and limited spare capacity, which leaves service vulnerable to disruptions. They described aging vessels, deferred preservation work, dry dock constraints, terminal needs, and the state’s electrification plan, including three new hybrid-electric Olympic class vessels now funded, one Jumbo Mark II conversion, and several terminal electrification projects. Members asked about ridership trends, biodiesel supply, procurement risk, sequencing of terminal electrification with new vessels, and the possibility of restoring international service; staff said many of those questions would need follow-up with the department. The presentation emphasized that current funding covers near-term needs, but long-term ferry capital needs exceed available resources by roughly $250 million to $300 million per biennium, with additional future needs not yet funded. The committee then heard from WSDOT maintenance operations staff on the condition of the highway system. The presentation said maintenance is increasingly reactive because of underinvestment, rising material costs, and the addition of new assets without corresponding operating funds. Staff highlighted winter operations, facilities that are mostly in poor or critical condition, a large equipment fleet, growing guardrail damage, and increasing pavement and bridge preservation backlogs. Members asked about asbestos in facilities, the effect of deferred maintenance, and whether the agency had previously warned about these needs. Staff said the program is funded at only about half of its facility need and that more than 40% of roadways are due or overdue for preservation. A separate preservation presentation focused on highways and bridges. Staff said WSDOT is below the lowest life-cycle cost for preservation and that delaying work can make repairs three to five times more expensive later. They reported that about 40% of roadways need preservation now, bridge conditions are nearing the federal poor-bridge threshold, and the agency is prioritizing the highest-risk bridge and closure threats first. The presentation cited an estimated $8 billion 10-year preservation need to change the trajectory of the system. Members asked about prioritization, whether other states face similar issues, and whether a cost-benefit analysis of earlier repairs versus later costs had been done; staff said they would look into those questions. Finally, the committee heard about bridge strikes and financial recovery. WSDOT bridge staff described recent overheight vehicle strikes on Bullfrog Road over I-90 and SR 410 over White River, noting the safety risks, closures, and repair costs. They outlined countermeasures such as improved trip-planning tools, outreach, and a possible sensor/beacon pilot on SR 410. Financial recovery staff said the agency collects about $20 million per biennium from third-party damage claims, recovering roughly 78% to 80% of billed amounts, with insurance claims and collections used to recoup costs. Members asked about prevention feedback loops and where recovered money goes; staff said recoveries go to the motor vehicle fund and that there is not a formal routine mechanism for design or policy changes from individual claims.

Transcript Highlights:

• The discussion then returned to ferries operations and capital assets.
• to maintain those assets.
• There are different asset management categories as far as ferries are concerned, and capital Different
• asset management categories as far as ferries are concerned, and capital facilities and multimodal-type
• Across all of our assets.

Summary: The committee received a detailed staff presentation on Washington State Ferries’ capital needs, current fleet status, and long-range funding outlook. Staff described the current service pattern, ridership recovery since the pandemic, the aging fleet, and the state’s plan to add three new hybrid-electric Olympic-class vessels under the 2025 budget, with delivery expected around 2030-2032. Members also heard that the fleet is operating with no reserve vessel, that preservation time is below the desired level, and that terminal electrification and vessel conversion plans face timing, cost, and procurement risks. Questions focused on ridership trends, biofuel supply, design-risk allocation in vessel contracts, sequencing of terminal electrification with new vessel delivery, and the cost and feasibility of restoring international Sidney service, which would require a SOLAS-certified vessel. Staff then outlined ferry capital funding, saying recent spending and programmed needs are far above regular ferry-specific revenues and that the system relies on a mix of dedicated accounts, transportation package money, federal grants, and transfers. They said the near-term budget is balanced through 2027-29, but the longer-term capital outlook shows a shortfall of roughly $250 million to $300 million per biennium, with broader unmet needs much higher. The presentation estimated costs for future vessels, life extensions, terminal electrification, and additional Jumbo Mark II conversions, and noted that the current enacted plan does not fully fund fleet replacement, full electrification, or life extension of older vessels. Members asked for follow-up information on terminal seismic/environmental issues, contract options for additional vessels, and the timing and cost of alternative vessel designs. The committee then shifted to WSDOT maintenance and preservation. Pascoe Focktich described maintenance operations, including winter response, guardrail repair, facilities, equipment, and the effects of underfunding and inflation. He said most of the maintenance budget is fixed cost and labor, that material prices have risen sharply, and that many facilities are in poor condition with asbestos issues and deferred upkeep. He also noted growing guardrail damage, increasing pavement claims, and the burden of maintaining aging bridges and facilities. Members asked about prior planning for these needs, the role of asbestos, and whether more proactive sequencing could help budget decisions. Troy Suing then presented the highway preservation program, saying WSDOT is in the early stages of critical failure and has stretched preservation dollars as far as possible. He explained the distinction between pavement, bridge, and other highway asset preservation, said the department is largely reactive, and estimated that delaying work can make it three to five times more expensive later. He said about 40% of roadways are currently due or overdue for preservation, bridge conditions are nearing the federal poor-bridge threshold, and the department’s 10-year preservation need is about $8 billion. Members asked about the cost of deferring work, whether the department could do more if funded, how priorities are set, and whether other states face similar problems. Finally, Evan Grimm and Mike Fay briefed the committee on bridge strikes by overheight vehicles. They described recent incidents on I-90 near Cle Elum and SR 410 near White River, the damage and closures caused, and possible countermeasures such as public outreach, improved trip-planning tools, and a pilot warning system with sensors and flashing beacons. Fay explained the state’s financial recovery process for third-party damage, saying WSDOT recovers roughly $20 million per biennium and about 78% to 80% of billed damages, with money going to the motor vehicle fund. Members asked about prevention, insurance recovery, and whether the state uses claim data to inform future design or safety changes.

Transcript Highlights:

• </c><00:02:10.239><c> plan</c> board today that addresses capital plan board today that addresses capital
• </c><00:02:19.520><c> plan</c> public universities capital plan public universities capital plan overviews
• </c> that uh that that has a unique capital that uh that that has a unique capital uh<00:05:15.919><c
• Your investments in asset preservation and in new capital dollars are very meaningful.
• I'm a capital project manager.

Summary: The meeting opened with prayer and the Pledge of Allegiance, followed by a roll call establishing a quorum. The committee then approved the prior meeting’s minutes. Members were reminded to silence cell phones, and the chair noted an informational item on capital plan amendments made by state agencies during the latest revision period before moving to university capital plan presentations. Eastern Kentucky University President David McFaden outlined EKU’s enrollment growth, strong Kentucky student retention, and signature programs in nursing, occupational therapy, criminal justice, education, manufacturing engineering, and aviation. EKU’s main capital priorities were a new health innovation project to support a proposed osteopathic medical program, including a $50 million escrow requirement until accreditation; a collaborative center for health innovation to address outdated health sciences facilities; a $5 million startup request for an air traffic control program; aircraft upgrades for the aviation fleet; and continued asset preservation funding. In response to questions, EKU said roughly 40% of the new health facility would be dedicated to the medical school, with shared simulation space for multiple health programs, and that aviation maintenance needs are currently being met through KCTCS partners but could be expanded if demand grows. KCTCS representatives then described the system’s scale and capital needs, noting service to 107,000 students, extensive dual credit and workforce training, and a network of 342 buildings across 70 campuses. They said prior legislative support, including $277 million in asset preservation and $90 million released for approved projects, had helped with safety, roofs, energy efficiency, and campus security. Their current priorities include about $30 million for systemwide safety and security upgrades, renovations tied to consolidation and footprint reduction under Senate Joint Resolution 179, and broader asset preservation needs estimated at roughly $300 million to $325 million. Members discussed the need to preserve and expand skilled trades training, and KCTCS said its plan includes construction trades and flexible, multiuse facilities that can adapt to changing workforce needs. No votes were taken beyond approval of the minutes, and the presentations concluded with questions and discussion only.

Transcript Highlights:

• </c><00:32:48.519><c> asset</c><00:32:48.919><c> program</c> minkler our Capital asset program minkler
• our Capital asset program manager<00:32:50.080><c> who</c><00:32:50.240><c> many</c><00:32:50.480><c
• capital capital assets<00:37:53.200><c> we</c><00:37:53.359><c> consider</c><00:37:53.760><c> design
• Regular and consistent capital investment funding is essential to the success of our asset management
• Regular and consistent capital investment funding is essential to the success of our asset management

Committee: Senate Capital Investment

Transcript Highlights:

• tomorrow like real estate, infrastructure, and venture capital.
• Capital, like trust and reputation, compounds over time.
• We all know Texas is big, but in Texas, venture capital is small.
• Yeah, I mean, the way I think about it is illiquid assets typically outperform liquid assets because
• The dollar amount of capital committed or invested in a company project, the dollar amount of capital

Bills: HB 104 , HB2054 , HB3459 , HB3745 , HB4486 , HB4488 , HB4601 , HB104

Committee: House Appropriations

Keywords: Texas Future Fund, investment review board, economic stabilization, innovative technology, national defense, HB 2054, Texas volunteer fire department assistance fund, Rural Volunteer Fire Department Assistance Program, volunteer fire departments, wildfire mitigation, wildland fire, rural fire protection, insurer assessment, insurance premium tax, state appropriations, firefighting grants, emergency services, high-risk wildfire areas, Texas Comptroller, Texas Government Code

Transcript Highlights:

• liquid assets on the value of both hard and liquid assets.
• It capital gains. I assume that's realized with the sale of assets like land. Is that correct?
• </c><01:09:08.839><c> of</c> asset classes that the liquid assets of asset classes that the liquid assets
• in this pool of are no illiquid assets in this pool of capital<01:10:33.520><c> because</c><01:10:33.960
• One of those assets is land and minerals assets.

Committee: Senate Finance

Transcript Highlights:

• </c> Perpich asset preservation. Perpich asset preservation.
• Under the administration, 10 million for the capital asset preservation or replacement account, and 800,000
• :06:56.040><c> asset</c><00:06:56.360><c> preservation</c><00:06:56.840><c> or</c> the capital asset
• preservation or the capital asset preservation or replacement<00:06:57.360><c> account,</c><00:06:57.720
• </c> Board Capital Area trees. Board Capital Area trees.

Summary: The committee took up a large bonding bill and reviewed the final spreadsheet of capital investments. Chairs and members repeatedly thanked staff, House and Senate negotiators, and the Governor’s team for a collaborative process. The bill was described as a statewide package rather than a partisan one, with major funding for higher education asset preservation, DNR projects, public safety, transportation, the Met Council, veterans facilities, corrections, DEED/local projects, and a large water infrastructure section. House Fiscal staff and Senate fiscal staff walked through the bill line by line. Highlights included University of Minnesota and Minnesota State asset preservation, education and language immersion school funding, DNR trail and flood mitigation projects, public safety facilities, local road and bridge grants, Met Council parks and I/I grants, veterans home and armory funding, corrections projects including the Faribault vocational expansion, and many local economic development and public facility projects across Greater Minnesota and the metro. The bill also included Public Facilities Authority water and wastewater grants, housing rehabilitation funding, historical society grants, a Minnesota Zoo operating transfer, airport appropriations, and several cancellations of prior appropriations to help finance the package. Members generally praised the bill and the bipartisan work behind it. Some Republicans emphasized the one-time license fee reduction and affordability, while also saying DEED’s business development infrastructure funding was too low. Senator Nelson highlighted long-awaited transportation projects such as Highway 14 and township roads. Senator Dibble supported the transportation investments but criticized the bill for having no transit funding, calling that a major omission. No vote was recorded in the excerpt, but the discussion centered on final review and support for moving the bonding bill forward.

Transcript Highlights:

• asset allocation moved the asset allocation from one that had no private markets to one that now has
• So we've committed capital, and then we've had less call of capital than we would have expected in normal
• They have not deployed any capital.
• All of the assets under management. Okay. Assets on May 31st in assets under the care of SIB. Okay.
• I would also say the Prairie Capital Summit October 7th in Fargo. 50 South Capital has historically been

Summary: The Legacy Fund Committee received updates from the North Dakota Retirement Investment Office (RIO) on fund performance, liquidity, in-state investments, and internal management. Scott Anderson reported strong returns for the Legacy Fund across multiple time periods, with performance exceeding the policy benchmark and expectations, driven largely by strong equity markets and effective implementation. He also reviewed private market pacing, noting commitments were on plan but that unfunded obligations and distributions were lower than expected, and presented a new liquidity analysis showing the fund had substantial capacity to meet obligations even under stressed market scenarios. The committee also discussed RIO’s internal investment program and cost savings. Anderson explained how internal management of fixed income, equity, and cash overlay strategies has reduced fees and transaction costs, while improving flexibility and portfolio construction. Members asked about staffing needs, and RIO leadership said asset growth has outpaced current staffing, with a request for additional FTEs likely coming to support investment, operations, risk, and legal functions. The committee also reviewed the Legacy Fund’s in-state investment program, including 50 South Capital and infrastructure lending, and heard that one manager’s buildout is progressing more slowly because many opportunities are still early-stage. Adam Odison presented a preliminary estimate of the 2026 Legacy Fund earnings distribution, projecting about $894.8 million under current law, with roughly $237 million to the Highway Fund and $554 million to the Property Tax Relief Fund after the sinking and interest fund allocation. Jody Smith then gave a project update on a new standalone Legacy Fund website required by statute, intended to consolidate performance, holdings, governance, fees, and use-of-funds information for the public, with a planned launch around the October State Investment Board meeting. She also raised a possible future proposal to place the Legacy Earnings Fund back under State Investment Board management so the cash could remain invested longer before being transferred out, though members noted liquidity, accounting, and bank-deposit implications would need further review. Finally, Kelvin Holden of the Bank of North Dakota reviewed the match loan program, explaining how it supports large economic development projects by pairing Bank of North Dakota loans with State Investment Board CDs. He said the program currently has about $272 million outstanding and has supported projects such as Coal Creek Station and the MDU gas line to Gwinner. Members discussed whether the program’s return is appropriate and noted a prior moratorium on new investments so the committee can revisit the policy next session. The committee then elected Senator Klein as chair and Representative Hogan as vice chair, and the meeting ended with members thanking staff and partners for the fund’s progress.

Transcript Highlights:

• This is Charles Ortega, Legislative Affairs, Monty Hall, Capital Asset Management, Cam, sorry.
• Carrie, Carmen, thank you, Capital Assets Management. And David John, Capital Assets Management.
• Among other duties, the capital assets management division within OMS is responsible for managing the
• The Capital Assets Division within OMES is responsible for managing the state's real property assets.
• Of the $171 million budgeted to the Capital Assets Division, $46.3 million is for its operations.

Summary: The LOFT Oversight Committee met with a quorum, approved the prior minutes, and then received LOFT’s report on state office space utilization in Oklahoma City and Tulsa. LOFT presented three main findings: OMES is not fully exercising its statutory authority over state property and relies on flawed self-reported data; state office space is being used inefficiently and often below policy benchmarks; and better use of state-owned space could save tens of millions in private lease costs. LOFT also described errors in the state’s real property inventory, low utilization rates across OMES-owned, agency-owned, and privately leased space, and recommended stronger data verification, clearer space standards, and more active oversight of underused property. OMES responded that it believes it is meeting its statutory obligations and said it tries to balance oversight with being a partner to agencies, placing them in space that best fits their mission and service needs. OMES officials said they rely on agency-reported data, do not have enough staff to independently verify all inventory information, and do not “police” daily occupancy. Members questioned the distinction between meeting statutory duties and exercising full authority, the use of “shall” versus “recommend,” the lack of enforcement for agencies that decline space recommendations, and whether OMES should more aggressively consolidate or divest underused buildings. LOFT and OMES also discussed the methodology behind utilization calculations, including badge-swipe data, space standards, and common-area adjustments. In the final finding, LOFT estimated that relocating agencies from private leases into existing state-owned space could save roughly $16 million to $28.8 million annually, depending on the scenario used. LOFT cited other states and federal reforms as models and recommended that OMES more actively assess underutilized properties, verify data, and use actual utilization analysis to reduce private leasing. OMES said it would review the comments and work to improve. The committee then unanimously approved a rapid-response evaluation request for LOFT to examine DHS child care subsidy verification and reimbursement processes, citing concerns about possible improprieties and the need to confirm whether fraud or waste is occurring.

Transcript Highlights:

• Lee. capital area security upgrades phase capital area security upgrades phase three<00:02:44.560><c>
• </c><00:02:47.519><c> tunnel</c> three 2 million for ADA capital tunnel three 2 million for ADA capital
• </c> Hubert Humphrey statue in the US capital Hubert Humphrey statue in the US capital 325,000<00:03:
• Development</c><00:03:08.159><c> Grant</c> Capital Area Economic Development Grant Capital Area Economic
• Madame capital.

Transcript Highlights:

• capital preservation for different types of assets.
• That doesn't work that way for venture capital.
• Capital, more than any other asset class, has an extremely wide dispersion of returns.
• To net asset value growth.
• BlackRock, the world's largest asset manager, owns $9 trillion in assets under management overall.

Committee: House Investments & Pensions Oversight Committee

Transcript Highlights:

• Moser’s assets.
• on the asset allocation and based on capital market assumptions, the assumptions that were in place,
• across asset classes.
• I was not there at the time, but what I could say is based on the asset allocation and based on capital
• across asset classes.

Committee: House Joint Committee on Public Employee Retirement

Summary: The Joint Committee on Public Employee Retirement held an informational hearing on the Missouri State Employees’ Retirement System (MOSERS) to review its long-term financial condition, funding status, investment performance, experience study results, and possible legislation. MOSERS staff explained that the plan is a statutorily created defined benefit system covering state employees, several colleges and quasi-governmental entities, with an 11-member board and outside actuarial and investment consultants. They reported the June 30, 2025 valuation showed a funded ratio of 55.4%, assets of about $9.6 billion, liabilities of about $17.4 billion, and a FY27 actuarial employer rate of 27.44%, which the board raised to a 32% minimum contribution rate under a policy adopted in 2023. MOSERS attributed the funding decline over time to several factors: reductions in the assumed investment return from 8.5% to 6.95%, mortality assumption updates, a move from open to closed amortization, and especially weak payroll growth and a shrinking active workforce. Staff said the minimum contribution policy is intended to accelerate UAL paydown and could bring the plan to 80% funded by 2037 rather than 2041, assuming all assumptions are met. The committee also discussed the recent experience study, which kept the investment return assumption at 6.95% and made only modest assumption changes, and a proposed 2026 bill package (SB 1557 and SB 1054) that would automatically refund small balances under $1,000 to terminated non-vested members and add auto-escalation to the deferred compensation plan. A substantial portion of the hearing focused on investment strategy and why MOSERS has lagged some peers. The investment consultant said historical underperformance was driven mainly by asset allocation choices that emphasized a more risk-balanced, diversified portfolio with less public equity exposure than peers during a period when equities performed very strongly. He said the board adopted a more equity-oriented allocation in 2024 and is phasing it in over eight quarters, with recent short-term results improving and the portfolio outperforming its policy benchmark. Members also asked about the effect of inactive members, the rationale for the higher employer contribution, and whether the current board should be held responsible for past decisions; MOSERS officials emphasized that the current board is trying to correct course and that pension funding changes take time. The hearing also touched on ongoing litigation against a former private equity manager, Catalyst Capital, with MOSERS saying it has spent about $20 million in legal fees so far and that the case remains on appeal. The committee took no formal vote and adjourned after the informational presentation and questions.

Transcript Highlights:

• Uh, she serves as our capital asset manager at Minnesota DNR.
• Uh, she serves as our capital asset manager at Minnesota DNR.
• need for asset significant capital need for asset preservation. preservation. preservation.
• </c> framework based on our 10-year capital framework based on our 10-year capital asset<00:19:48.400
• > really</c> capital asset portfolio, it's really capital asset portfolio, it's really necessary<00:20

Committee: Senate Capital Investment

Transcript Highlights:

• Yeah, so from an investment perspective, asset allocation decisions, so the board-approved asset allocation
• So I was not there at the time, but what I could say is based on the asset allocation and based on capital
• across asset classes.
• So I was not there at the time, but what I could say is based on the asset allocation and based on capital
• across asset classes.

Committee: House Joint Committee on Public Employee Retirement

Transcript Highlights:

• </c> global demand u for US dollar assets. global demand u for US dollar assets.
• </c> that is holding um offchain assets. that is holding um offchain assets.
• </c> um capital markets, US regulated capital um capital markets, US regulated capital markets<01:51:
• Um and with that asset side of assets.
• </c> tokenizing uh real world assets. tokenizing uh real world assets.

Summary: The Stable Token Study Commission held its first regular meeting, welcomed all remaining appointed members, and completed brief introductions from legislators and agency designees. The chair outlined the commission’s plan to use the first part of the enabling legislation as a “level-setting” discussion, focusing this meeting on the basics of blockchain, the current landscape for stablecoins and tokenized real-world assets, and leaving blockchain-based trust for a later meeting. No votes were taken. The main presentation came from Deanna Bario Zales of the Global Blockchain Business Council, who described stablecoins as increasingly converging toward fiat-backed or asset-backed models, with algorithmic designs viewed more cautiously. She said stablecoins are being used for payments, remittances, DeFi activity, cross-border transfers, retail use in high-inflation markets, and treasury functions, while noting risks such as peg instability, reserve transparency, counterparty and network risk, and possible capital flight from weaker banking systems. She cited growth in supply, wallet activity, and transfer volume, and said U.S.-pegged stablecoins dominate the market, with USDT and USDC leading. Zales also discussed tokenized real-world assets, describing them as digital representations of physical assets that can enable fractional ownership, liquidity, and faster settlement. She said the market is growing quickly, with institutional participation from firms such as BlackRock and Franklin Templeton, and projected continued expansion. She closed with an overview of regulatory developments, emphasizing the new U.S. stablecoin framework under the Genius Act, the proposed Clarity Act, OCC guidance, and similar regimes in the EU, UK, UAE, Singapore, Japan, and elsewhere, all of which she said are shaping compliance requirements and market development.

Transcript Highlights:

• This is Charles Ortega legislative affairs Mote Ha, capital asset Mancam, sorry, uh, erri, carmen, thank
• Capital Assets Management and David John, Capital Assets Management. Thank you. Thank you.
• Among other duties, the Capital Assets Management Division within OES is responsible for managing the
• In total, this division has around 70 employees of the 171 million budgeted to the Capital Assets Division
• The Capital Assets Division has several departments, each of which is dedicated to managing Different

Committee: Senate Oversight Committee for the Legislative Office of Fiscal Transparency (LOFT)