Transcript Highlights:

• frame, conservatively, from 24 hours to 24.5 hours to enable the state to release up to 825 new residential
• time frame conservatively from 24 hours to 24.5 hours to enable the state to release up to 825 new residential
• The state to release up to 825 new residential permit allocations, requiring a majority of these allocations

Summary: The Agriculture and Natural Resources Budget Subcommittee met and first took up CS/HB 973, a broad special districts bill focused heavily on soil and water conservation districts. The bill would dissolve 35 soil and water districts effective December 31, 2025, based on an OPAGA review that found widespread problems such as lack of revenue, inactive boards, poor notice practices, public records issues, and late financial reporting. It also would let special districts use state contracts, authorize FDLE background checks for district employees, preserve fire district taxing/service authority after annexation, extend liability protections for outdoor recreation on certain district lands, tighten eligibility for soil and water supervisors, and shift complaint review to the Commission on Ethics. Supporters argued the districts are often inactive, duplicative, and costly to review, while opponents said many districts provide local conservation, water quality, outreach, and volunteer services and should be given more time to remediate. Public testimony on HB 973 was mixed. Several soil and water district chairs and related advocates opposed the bill, saying their districts provide local conservation, flood, invasive species, education, and coordination services at little or no taxpayer cost, and that abolishing them would remove local representation and collaboration. The bill’s proponent, the Florida Association of Special Districts, supported the measure as a limited-government and accountability reform, arguing that districts with no revenue or contracts should not continue. Members debated whether the bill was relying on the OPAGA report while also eliminating future performance reviews, whether the Department of Agriculture could absorb the added responsibilities, and whether the districts should have been given more time to correct deficiencies. The committee ultimately voted the bill favorably, with one no vote from Representative Hinson. The committee then considered CS/HB 995, which applies to Monroe County and the Florida Keys. The bill would exempt Habitat for Humanity in the Keys from construction performance bond requirements for affordable housing, extend the Florida Keys land acquisition/set-aside authority in Florida Forever for 10 more years, and extend the hurricane evacuation time frame from 24 hours to 24.5 hours to allow up to 825 additional residential permit allocations, phased in over 10 years and directed largely toward vacant buildable lots and workforce housing. An amendment was adopted to codify the 825-unit allocation and the distribution framework. With no opposition offered on the bill, the committee reported HB 995 favorably by unanimous vote.

Transcript Highlights:

• So you feel that residential building inspection is considered infrastructure?
• Some counties have more of a residential base.
• Lucie, founded 65 years ago as a residential community. Port St.
• More than 80% of our tax base is residential and largely homesteaded.
• Lucie was built primarily as a residential community.

Summary: The Committee on Appropriations took up SJR 2-F, a proposed constitutional amendment to reduce property taxes by lowering assessment caps on non-homestead property, expanding homestead exemptions over time, and allowing local governments to increase exemptions further. The sponsor argued the measure would provide broad property tax relief while requiring revenues to be directed to core services such as public safety, education, infrastructure, and natural resource projects, with a trust fund intended to help local governments transition. Senators raised concerns about the lack of a fiscal score, the effect on counties, cities, school districts, and special districts, and whether the proposal would shift costs to fees or other taxes. Several amendments were debated. Senator Polsky’s amendment to explicitly authorize user fees and non-ad valorem assessments to offset lost property tax revenue failed. Senator Avila’s amendment broadening permissible uses of ad valorem revenue to include county constitutional officers and other expenditures approved by local governing bodies was adopted after debate over whether the bill would otherwise underfund essential functions. Senator Smith’s sunset amendment, which would have made the constitutional changes expire after five years, failed. Senator Smith’s amendment to allow tourism development tax revenue to support public safety and education also failed. Senator Graal’s amendment removing the constitutional trust fund language was adopted, with supporters arguing the Constitution should not promise an unfunded account. Additional late-file amendments were considered. Senator Berman’s proposal to change the ballot title to more neutrally describe the measure as affecting property taxes and local community service reductions failed. Senator Trumbull’s amendment removing school board ad valorem taxes from the proposal was adopted, preserving school taxes. Senator Smith’s amendment narrowing the non-homestead assessment cap reduction to small businesses only failed. The committee then returned to the bill as amended and continued questioning the sponsor about eligibility, fiscal impacts, and whether the proposal could lead to local governments offsetting lost revenue through special assessments or other charges.

Transcript Highlights:

• So you feel that residential building inspection is considered infrastructure?
• Some counties have more of a residential base.
• Lucie, founded 65 years ago as a residential community. Port St.
• More than 80% of our tax base is residential and largely homesteaded. Thank you.
• Lucie was built primarily as a residential community.

Committee: Senate Appropriations

Summary: The Committee on Appropriations took up SJR 2-F, the proposed constitutional amendment on property tax relief, which would reduce assessment growth on non-homestead property, expand homestead exemptions, create a new exemption for new homesteaders, and direct counties, cities, and school districts to use property tax revenues for specified core services. Senator Avila presented the measure as the governor’s plan to provide historic relief and argued that local governments should tighten budgets and prioritize core functions. Senators raised concerns about the lack of fiscal scoring, the breadth and ambiguity of the permitted uses, the effect on special districts and local services, and whether the proposal would shift costs to fees or other taxes. The committee adopted several amendments, including Avila’s amendment clarifying that ad valorem revenues could be used for county and municipal operations and administration and other expenditures not prohibited by law, and Trumbull’s amendment removing school board ad valorem taxes from the proposal. Other amendments failed, including proposals to allow user fees and non-ad valorem assessments, add a sunset, redirect tourism development taxes, narrow the small-business provision, and change the ballot title to reference local service reductions. Grall’s amendment removing the constitutional trust fund requirement was adopted, while the committee also rejected Berman’s title-change amendment and Smith’s sunset and tourism-tax amendments. The committee then returned to the bill as amended for questions, including extended debate over whether the proposal would affect noncitizen residents, the impact on local government finances, and whether local governments would respond with higher fees or special assessments. The meeting ended with the bill still under discussion after the final round of questions, with Avila saying he would continue working with the governor’s office on the language before the next vote.

Transcript Highlights:

• Do you know that for the residential program for kiddos and their families who live far from Santa Fe
• certainly in Las Cruces, Doña Ana County, and Crownpoint, for the 42 families that utilize that residential
• Their access, were we to take away our residential support, would be dramatically curtailed for Yazi
• It allows for the residential program to run altogether, so it would be closed if we could not get this
• Custodial staff, residential assistants, and security personnel would all have to be fired because of

Bills: HB95 , HB111 , HJR1 , HM7 , HM17 , HM4 , HM22 , HM3 , HM11 , HM14 , HM15 , HM21 , HM34 , HB2 , HB32 , HB33 , HB61 , HJM2 , HM23 , HM24 , HM26

Summary: The House convened with quorum, offered an invocation and pledges, and then moved through a series of memorials, recognitions, and announcements. House Memorial 49, declaring February 4, 2026 UNM Day, was taken from the Speaker’s table, explained, and debated at length. Members from both parties and several guests praised the University of New Mexico for its role in education, health care, research, public service, and workforce development, with special recognition of President Garnett Stokes, interim provost Barbara Rodriguez, and Health Sciences leaders and students. The memorial highlighted UNM’s enrollment, degrees awarded, scholarship support, patent activity, and the UNM Hospital and Health Sciences Center. It passed 70-0. House Memorial 48, declaring February 4, 2026 Valencia County Day, was also brought forward and passed unanimously. Supporters described Valencia County’s history, culture, economic growth, and traditions, including the annual matanza, Route 66 heritage, and major employers and development projects. Members from the county and local officials were recognized, and the memorial emphasized both historic communities and current business and infrastructure expansion. House Memorial 50, declaring Lincoln County Day, was introduced by title and placed on the Speaker’s table, but not taken up for final passage during this segment. The chamber also recognized the Artesia Bulldogs football team for winning another state championship, Del Norte High School’s class of 1966 on its 60th anniversary, and a number of guests tied to nursing, education, and local community service. Several members used announcements to highlight nurses, school programs, and local events, including a Legislative Sportsman’s Caucus invitation and a reminder that the day was the final day to file bills with the clerk. The session closed with continued announcements and guest introductions, reflecting a day focused heavily on community recognition and celebratory memorials rather than substantive legislation beyond the memorial votes.

Transcript Highlights:

• Community residential services for acquired brain disorders.
• </c><00:55:59.599><c> services</c><00:56:00.240><c> acquired</c> rent uh residential services acquired
• rent uh residential services acquired brain<00:56:01.040><c> disorders.
• </c><00:56:10.799><c> services</c><00:56:11.440><c> for</c><00:56:11.680><c> that</c> community residential
• services for that community residential services for that population. population. population.

Summary: The presentation was an LBA overview of Senate changes to the House-passed state budget, with Michael Kane explaining how Senate Finance updated revenue and spending estimates after April revenue figures and agency discussions. He said the Senate’s revenue outlook was higher than the House’s in some areas, but lower in others, especially video lottery terminal revenue, and that the biggest differences also came from changes to revenue splits between the general fund and education trust fund, lapse estimates, and several policy changes in House Bill 1 and House Bill 2. Kane highlighted several major revenue and policy differences: the Senate changed the business tax, tobacco tax, and real estate transfer tax splits; adjusted liquor revenue dedication; removed the House’s meals-and-rooms distribution cap; delayed the Lakes Region facility proceeds plan; altered the PECARD fund treatment; added a granite patron of the arts tax credit; and changed the treatment of unique funds and video lottery terminal revenue. On spending, he noted Senate changes to judicial, corrections, HHS, human rights commission, and other budgets, including additional settlement costs, higher lapse assumptions, and a different approach to Medicaid premium revenue and retirement savings. He also described Senate additions such as a nursing home bed fee, Hampstead Hospital transition funding, and changes to the YDC claims settlement fund. The presentation focused on comparing House and Senate surplus statements across fiscal years 2025 through 2027, including projected ending balances and rainy day fund transfers. Kane repeatedly emphasized that the numbers were still dependent on final revenues and lapse amounts, and that some balances would be carried forward and trued up later in the biennium. No committee vote or final action was described in the excerpt; it was an informational budget briefing and comparison of the two chambers’ proposals.

Transcript Highlights:

• We've got to make it easier when it comes to building housing, both commercial and residential.
• Relocatable housing units enable entry into ownership of land purchase, activation of existing residential
• The legislature, more than two decades ago, exempted residential customers as well as industrial customers
• NAIOP was a strong supporter of the commercial-to-residential conversion tax credit that was passed by
• I wanted to focus most of my comments here on the proposed section 37, the commercial-to-residential

Bills: H5386

Committee: Joint Joint Committee on Economic Development and Emerging Technologies

Keywords: economic development, innovation, investment, housing, small business, global trade, infrastructure

Transcript Highlights:

• The average California residential utility customer pays between $250 and $490 a year in wildfire-related
• Valero, okay, talk us through column three: increase customer access through state-supported residential
• And for those that are underinsured or don't have insurance, this would be a state-backed residential
• State-backed residential homeowner insurance availability similar to what the CEA provides for earthquake
• And in my opinion, state-backed residential homeowner insurance availability similar to what the C.A.

Summary: The Assembly Committee on Utilities and Energy held a hearing on the California Earthquake Authority’s SB 254 report and broader options for reforming California’s utility wildfire recovery system. The chair framed the discussion around the Palisades and Eaton fires, the scale of wildfire-related costs on utility bills, and the need to weigh trade-offs among survivors, ratepayers, utilities, insurers, and taxpayers. The first panel featured wildfire survivors William Abrams and Joy Chen, who described long delays in compensation, housing insecurity, and what they viewed as a system that protects utility shareholders more than victims. They urged greater transparency, clearer accountability for utility spending and safety performance, faster and fuller compensation for survivors, and reforms such as independent audits and better alignment of utility incentives with wildfire prevention and restitution. The second panel began with Tom Welsh of the California Earthquake Authority, who explained that the SB 254 report was intended as a broad inventory of policy pathways rather than recommendations. He described the report’s process, including stakeholder submissions, workstreams, and a convergence process, and outlined the current wildfire fund structure: utilities remain liable, the fund reimburses eligible claims after a covered wildfire, and the CPUC later determines prudency and possible reimbursement back to the fund. RAND’s Lloyd Dixon summarized compensation data, saying utilities paid about $38 billion between 2017 and 2024, with major shares going to injured parties, insurers, and public entities, while litigation costs and survivors’ own losses remain substantial. He noted that legal fees and delays reduce the amount survivors ultimately receive. Utility and public-interest witnesses offered differing views on the report’s pathways. PG&E’s Tyson Smith said the report shows inaction is the worst outcome and argued for community wildfire risk reduction, equitable allocation of catastrophe costs, and state-led resilience tools. LADWP’s Fernando Valero emphasized the vulnerability of municipal utilities and cities, and supported inverse condemnation reform, a state-sponsored liability insurance framework, damages and subrogation limits, and stronger insurance access. Consumer Attorneys of California’s John Fisk argued that IOU-caused fires are not natural disasters but the result of negligence and sometimes criminal conduct, and opposed reducing utility liability while supporting stronger oversight and audits. The Public Advocates Office’s Nathaniel Skinner focused on affordability, saying ratepayers already bear large and growing wildfire costs and warning against shifting more costs onto bills without measurable risk reduction and tighter accountability. Committee members then began questioning witnesses about what counts as measurable mitigation, how to define full and fair compensation, and how any fast-pay process should work.

Transcript Highlights:

• proposed to put one of the largest hyperscale data centers in the country nestled between three residential
• We'll stay away from residential neighborhoods, and we have a long way to go in permitting, and we obey
• </c> nestled between three residential nestled between three residential neighborhoods.<00:12:31.480>
• We'll stay away from residential neighborhoods, and we have a long way to go in permitting, and we obey
• We'll stay away from residential neighborhoods, and we have a long way to go in permitting, and we obey

Transcript Highlights:

• The next bill is Substitute Senate Bill 6026 requiring that certain cities allow residential uses in
• The next bill is substitute Senate Bill 6026 requiring that certain cities allow residential use use
• from requiring mixed use or ground floor commercial as a condition of permitting development of residential
• Substitute Senate Bill 6026 concerns residential development in commercial and mixed-use zones.
• Substitute Senate Bill 6026 concerning residential development in commercial and mixed-use zones.

Summary: The Ways and Means Committee met in executive session on February 9, 2026, first hearing a staff briefing on Senate Bill 6346, which would impose a tax on individuals earning over $1 million. Staff described the bill’s revenue and spending impacts and reviewed a proposed substitute and 11 amendments addressing items such as public defense funding, charitable deductions, out-of-state tax credits, small business credits, diapers, constitutional issues, and a contingent constitutional amendment. The committee later took up the bill and rejected all of the offered amendments, then advanced the substitute bill with a due pass recommendation to the Rules Committee. Members supporting the bill argued it would help address tax fairness and fund public services, while opponents raised concerns about constitutionality, economic harm, and the effect on businesses and charitable giving. The committee also acted on a series of policy bills. It advanced a substitute bill on grocery store closures in food deserts after adopting a narrower substitute, despite concerns from some members about burdening grocers. It approved a substitute bill expanding voting access for military, overseas, Native American, and disabled voters, adopting a second substitute that removed a cybersecurity review requirement. The committee also advanced bills on tort claim arbitration against governments, victim and witness protections in sexual assault and domestic violence cases, JLARC review of student aid fraud, agricultural collective bargaining, labor relations if federal preemption ends, a cost-of-living adjustment for Plan 1 retirees, workers’ compensation and medical care access, line-of-duty death reimbursements, law enforcement background checks and eligibility, veterans’ discharge definitions, and extraordinary medical placement. Several of these bills had amendments adopted, including changes to tort claim oversight, victim-requested standby counsel, agricultural labor definitions, workers’ compensation penalties, law enforcement volunteer support, and extraordinary medical placement criteria. In the second group of bills, staff briefed measures affecting property taxes, housing, cannabis, disaster-related tax relief, technical tax code changes, aircraft fuel tax revenues, the estate tax, and a pesticide tax exemption. The committee heard that a substitute for the fire protection district bill would alter how city or town levy capacity is reduced and include consultation requirements and board-creation provisions. It also heard that the property tax relief expansion for seniors and disabled retirees needed a substitute to make the consolidated school levy revenue-neutral. Other bills would expand tax exemptions for low-income housing and nonprofit homeownership, authorize local cannabis excise taxes, extend disaster repair tax relief, expand housing-related local sales tax uses, make technical tax code changes, redirect aircraft fuel tax revenues to aeronautics, reduce the estate tax rate, and extend a pesticide tax exemption. The transcript ends during the committee’s consideration of Senate Bill 6346, with the committee debating and rejecting amendments before moving the bill forward.

Transcript Highlights:

• committee on Health and Human Services, to which was referred Senate Bill 37, an act relative to residential
• The bill is a request from the Department of Health and Human Services revising residential care and
• health facility licensing requirements by requiring licensed residential care facilities to have quality
• <01:16:04.600><c> the</c><01:16:04.719><c> results</c><01:16:05.040><c> of</c><01:16:05.239><c> residential
• </c><01:16:05.840><c> care</c> that uh the results of residential care that uh the results of residential

Transcript Highlights:

• There’s residential data, and you can see the average number of beneficiaries receiving Medicaid-assisted
• The number of overdose deaths, as you can see, has dropped from 1,634 to 1,317. month there's residential
• you can see month there's residential you can see the<00:12:29.720><c> average</c><00:12:30.040><c>
• /c><00:13:42.279><c> uh</c><00:13:42.399><c> treatment</c><00:13:42.800><c> per</c> receiving a residential
• uh treatment per receiving a residential uh treatment per month<00:13:43.199><c> has</c><00:13:43.360

Summary: The Budget Review Subcommittee on Health and Family Services held its first meeting and received an overview from the Department for Medicaid Services on Medicaid’s behavioral health and substance use disorder services. Commissioner Lisa Lee and CFO Steve Beal said Kentucky Medicaid serves about 1.4 million members, including over half of Kentucky children, with 485,000 expansion members, more than 69,000 enrolled providers, and total fiscal year 2024 expenditures of $18.5 billion. They said Kentucky covers a broad range of behavioral health services, and behavioral health provider enrollment has grown from a little over 4,500 in 2019 to nearly 8,000 in 2024. They also described how Medicaid spending and utilization are tracked through claims and encounter data, with most members served through managed care organizations. Members focused on sharp increases in certain behavioral health billing codes, especially peer-to-peer services, and asked about reimbursement, utilization review, and whether the growth reflected increased need or expanded coverage. DMS said the rise was partly tied to combining facility and nonfacility behavioral health fee schedules in 2023, choosing the higher reimbursement rate to avoid cuts, and that the department has seen an uptick in peer-to-peer services. In response to concerns about overutilization, DMS said it mailed a letter to behavioral health providers, is considering limits and prior authorizations for some services, and plans to create a standardized monthly behavioral health report to monitor trends consistently and identify when controls may be needed. Lawmakers also asked whether the provider network is sufficient and whether access is adequate, especially for children. DMS said provider enrollment has expanded because behavioral health services were added to Medicaid in 2014 and because demand increased after COVID, but acknowledged studies showing children have less access than adults and said that would be an area of focus. The department said managed care organizations are required to ensure access to needed services and that current trends indicate access is available, though one member disagreed and said workforce shortages remain a major concern. Another member asked about non-emergency medical transportation spending, and DMS explained that it is handled through a capitated arrangement administered by the Transportation Cabinet rather than directly by the managed care organizations.

Transcript Highlights:

• programs are varied, but we support broadband, child care, culture and tourism, infrastructure, residential
• programs are varied, but we support broadband, child care, culture and tourism, infrastructure, residential
• programs are varied, but we support broadband, child care, culture and tourism, infrastructure, residential
• programs are varied, but we support broadband, child care, culture and tourism, infrastructure, residential
• programs are varied, but we support broadband, child care, culture and tourism, infrastructure, residential

Committee: Senate Jobs and Economic Development

Transcript Highlights:

• Number two, for residential, we need 60 days to evaluate once we have satisfactory proof of loss.
• harbor provision in 1892.2 that says after the 60 days of after satisfactory proof of loss for residential
• So what that means is after a catastrophe, they have 120 days from residential after satisfactory proof
• Now it's, this document must be produced, and if it's residential, you've got 120 days effectively, and

Committee: House Insurance

Summary: The House Committee on Insurance met on March 25 and took up House Bill 577 by Representative Glorioso, which would change Louisiana’s bad-faith insurance penalty language from a flat 50% to “up to 50%,” giving judges discretion to award a lower penalty in cases involving minor or technical delays. Glorioso argued the bill would correct an omission from the 2024 consolidation of the bad-faith statutes, reduce unnecessary litigation over nominal delays, and potentially help lower reinsurance and homeowners’ insurance costs. Committee members questioned whether the change would weaken consumer protections or reward insurer misconduct, especially in catastrophe claims after storms, and whether any real rate relief would follow. Opposition testimony came from the Louisiana Association of Justice and Real Reform Louisiana. They argued the current penalty provisions are important guardrails that help force timely payment and fair handling of claims, especially after hurricanes, and that the bill would reduce deterrence without producing meaningful premium reductions. They also said insurers already have substantial time and procedural protections under the law, and that penalties are rarely awarded but serve as leverage in settlement negotiations. Supporters and the Department of Insurance said Louisiana’s penalty structure is an outlier compared with other states and that the bill could make the market more competitive, though the department said it did not have court data on bad-faith judgments and could not quantify the bill’s effect on rates. After debate, Representative Glorioso closed by saying he was open to further language changes but asked the committee to advance the bill. The committee then voted 10 yeas and 6 nays to report House Bill 577 favorably. Afterward, the committee moved on to the next item, House Bill 955.

Transcript Highlights:

• Residential construction, as I said on this floor time and time again, in Housing Committee meetings
• I am a no on this bill, and I hope that we address the all-electric mandates that are stopping residential
• RESIDENTIAL CONSTRUCTION AS I SAID ON THIS FLOOR TIME AND TIME AGAIN, IN HOUSING COMMITTEE MEETINGS AND
• I AM A NO ON THIS BILL, AND I HOPE THAT WE ADDRESS THE ALL ELECTRIC MANDATES THAT ARE STOPPING RESIDENTIAL

Summary: The Senate opened with the Pledge of Allegiance and an invocation by Major Brittany Wooten, then took up Senate Resolution No. 1749 designating March 19, 2026, as West Point Day in New York State. Majority Leader Stewart-Cousins, Senator Skoufis, Minority Leader Ortt, and several other senators spoke in support of West Point, its cadets, and the academy’s history and role in national service. Colonel Daniel R. Stuewe, commander of U.S. Army Garrison West Point, also addressed the chamber, emphasizing the long-standing partnership between West Point and New York and the academy’s mission to develop leaders of character. The resolution was adopted, and the West Point Day observance included recognition of cadets and academy staff. The Senate then moved through a calendar of bills, passing measures including amendments to the Public Health Law, Election Law, Executive Law, Penal Law, Elder Law, Real Property Tax Law, General Municipal Law, and Public Authorities Law. Several bills drew brief explanations of vote or debate. Senator Mayer spoke in support of a bill establishing Fred Korematsu Day, framing it as a reminder of the injustice of Japanese American internment and the need to defend civil rights. Senator Ryan supported a bill streamlining the senior citizen property tax exemption process, calling it a way to reduce burdens on older residents. Senator Helming opposed a local government planning mandate as an unfunded mandate, while Senators Walczyk and Martins criticized a housing-related reporting bill as burdensome and ineffective. The most debated item was Calendar 457, a housing-data and reporting bill sponsored by Senator May. Supporters argued it would improve transparency and help the state understand zoning and housing capacity, while opponents said it imposed new reporting burdens on municipalities and could penalize poorer communities by threatening CDBG funding. After debate, the bill was restored to the non-controversial calendar and ultimately passed by a vote of 37-23. The Senate then adjourned until the next legislative day.

Transcript Highlights:

• This conference report relates to the Virginia Residential Development Infrastructure Pilot Program and
• This conference report relates to a small solar permitting platform for established residential solar
• House Bill 105 relates to the Virginia Residential Landlord and Tenant Act, rental payment methods, and
• The conference report protects residential ratepayers and would require high-energy-use facilities to

Transcript Highlights:

• Mike Truett of Fort Collins, Colorado, to serve as a representative of residential buildings.
• 30:37.760><c> a</c><00:30:37.919><c> representative</c><00:30:38.320><c> of</c><00:30:38.559><c> residential
• </c> serve as a representative of residential serve as a representative of residential buildings.<00:

Transcript Highlights:

• House Bill 276 should pass, an act relating to keeping chickens on residential property.
• act relating to keeping<00:07:13.840><c> chickens</c><00:07:14.319><c> on</c><00:07:14.560><c> residential
• </c> keeping chickens on residential keeping chickens on residential property.<00:07:15.840><c> House

Summary: The House convened with prayer and the pledge, recorded 96 members present, excused absences, and approved the journal from January 27, 2026. The Senate clerk announced passage of Senate Bills 17 and 181 and requested concurrence. Committee reports advanced a number of bills on health insurance, judiciary, local government, and transportation topics, including measures on pharmacist reimbursements, hearing aid coverage, feeding and eating disorders, grooming a minor, local government liability, water fluoridation, cigar bars, chickens on residential property, highway pavement markings, motor vehicle titles, and pedestrian issues; all favorable reports were treated as first readings and placed on the calendar. The House then took up and passed House Bill 320 on human trafficking, with the sponsor explaining it would equalize penalties for promoting human trafficking with those for trafficking itself and increase the penalty when the victim is under 18. A member asked whether the bill included additional funding for cyber enforcement; the sponsor replied it was not an appropriation and would not require new funding, though prior budgets had increased support for anti-trafficking efforts. The House adopted a title amendment changing the bill’s title to combating human trafficking. The chamber also passed House Bill 366, which clarifies that materials portraying a sexual performance by a minor include computer-generated images and requires 85% service of the sentence before probation or parole; the sponsor said it was supported by law enforcement and prosecutors. House Bill 389 on reading and writing in schools also passed as amended by House Committee Substitute 1. The sponsor said it would require annual updates to the state dyslexia toolkit, expand professional development and coaching, require local school boards to develop processes for universal screening and diagnostic tools, and add dyslexia instruction to teacher preparation programs; the substitute added conformity with IDEA and revised the instructional language. Members spoke in support of early dyslexia detection and one member noted the bill updated prior legislation associated with former Rep. Bam Carney. House Bill 56, an omnibus Department of Agriculture bill, then passed; it addressed amusement ride inspections, grain warehousing penalties, egg handler licensing renewal timing, exemptions for small producers, and repealed obsolete tobacco and egg marketing board provisions. All three bills passed by roll call with 95 or 94 votes in favor and none opposed, and clinchers were applied. During announcements, members noted upcoming committee meetings and events, including a suits-and-sneakers day and cancer-related breakfast, caucus meetings, and committee meetings. New bills and resolutions were introduced, including measures on local occupational license fees, early learning and child care, tuition waivers, an adult workforce diploma pilot, motor vehicle usage tax, contract procurement, Fish and Wildlife Resources, adoption, veterans’ benefits, Cabinet for Health and Family Services operations, organ donation safety, hate crimes, prescription drugs, and resolutions on the Kentucky-Japan partnership and veterans’ benefits accreditation. The clerk also reported a petition of impeachment filed against Judge Julie Goodman. The House then referred a group of bills to committees, reported floor amendments for House Bills 321 and 416, and adjourned until 2:00 p.m. Thursday, January 29, 2026.

Transcript Highlights:

• These projects are acquisition, renovation, and construction for non-residential community service facilities
• These projects are non-residential facilities. You can do acquisition, construction, or renovation.
• project that I was involved with here in Vancouver where we're heating 3 million square feet of residential
• Some of our projects include heat pumps, residential solar, and weatherization.

Summary: The committee first received a Commerce overview of capital budget grant programs, including behavioral health facilities, Building for the Arts, Building Communities Fund, early learning facilities, library capital improvements, and youth recreational facilities. Commerce described program eligibility, match requirements, funding cycles, and project examples such as an early learning center in Spokane, a rural library in Stevens County, and a youth clubhouse in Prosser. Members asked about behavioral health capital projects, including how many facilities have been opened and how capital planning aligns with operating funding; Commerce said it could provide more data later and noted it focuses on capital while HCA, DSHS, and DOH handle operating requests. Members also raised concerns about nonprofit financial stability, project licensure, siting, and the burden of non-state match, while Commerce emphasized shovel-ready projects, community match, and efforts to reduce application burden. The committee then heard an update on the Clean Buildings Performance Standard from Commerce. Staff reviewed Washington’s building emissions laws, compliance tiers, exemptions, incentives, and district energy system decarbonization planning under House Bills 1543, 1976, and 1390. Commerce reported nearly 5,000 inquiries in 2025, a fellowship program that has helped more than 250 buildings in 16 counties, and review of nearly 30 district energy plans. The presentation highlighted that over half of Tier 1 buildings are already meeting targets, that Tier 2 incentive applications suggest the 30-cent-per-square-foot incentive often covers compliance costs, and that district decarbonization plans face common challenges such as aging infrastructure, grid readiness, workforce, and inconsistent cost reporting. Members asked what additional legislative action might help, and Commerce said it was still learning from the new rulemaking and implementation changes. Western Washington University and Corex then presented on WWU’s campus heating conversion project and a possible off-campus thermal energy partnership with the Port of Bellingham. WWU described its aging steam system, high emissions, maintenance costs, and the $51 million in Climate Commitment Account funding it has received to transition toward an electric hot-water system using technologies such as geo-exchange, heat recovery chillers, and air-source heat pumps. Corex explained its existing district energy system at the Port of Bellingham, which uses industrial waste heat and is operating at very high efficiency, and said it is exploring a heat transmission line to WWU and possibly sewer-heat recovery. Testimony from WSU and UW supported the broader decarbonization effort but raised concerns about the scale of costs, deferred maintenance, and the need for predictable state funding. A contractor witness urged the state to think bigger about public-private partnerships and other financing tools rather than forcing campuses to compete for limited funds. The committee then held a public hearing on House Bill 2330, which would create a prioritization process for capital funding for state campus district energy system decarbonization projects. Staff said the bill would establish a Commerce committee to score and rank projects, issue a preliminary framework report by December 30 of this year, and provide biennial recommended project lists beginning in 2028, while also studying barriers to energy-as-a-service contracts and public-private partnerships. The prime sponsor said the bill is intended to create a thoughtful, predictable process for deciding which projects to fund, emphasizing energy savings, emissions reductions, operating cost reductions, shovel-readiness, and the value of public-private partnerships. Testimony was mixed but generally supportive: WSU and UW backed the bill as a way to advance compliance and predictability, though WSU warned that compliance costs could be very large and that the university would likely seek state help if fines were imposed. A contractor witness supported the concept but argued the bill should help build a larger funding “pie” through partnerships and financing tools rather than simply dividing scarce resources. The committee then opened and heard testimony on House Bill 2338, which would authorize community-scaled weatherization projects. Commerce staff said the bill would allow weatherization funds and matching funds to be used for neighborhood-scale projects affecting multiple dwelling units, while still prioritizing low-income households; the fiscal note estimated about $273,000 in FY 2027 and about $237,000 per biennium ongoing for administration. Supporters from community action agencies and Spark Northwest said the bill would improve health, safety, affordability, and contractor participation by allowing weatherization to be done at a community scale, especially in mobile home parks and low-income neighborhoods. No votes were taken in the transcript.

Transcript Highlights:

• Under existing laws, cities and counties must allow an increased density bonus for any residential development
• A residential development located on a property owned or controlled by a religious organization qualifies
• as an affordable housing or mixed-use affordable housing development, with a minimum of 50% of residential
• Development, with a minimum of 50% of residential units dedicated to housing for low- or moderate-income

Bills: HB1717 , HB1859

Committee: House Finance

Keywords: affordable housing, sales tax, housing programs, tax incentives, economic development, religious organizations, development, housing opportunities, land use

Transcript Highlights:

• Under existing laws, cities and counties must allow an increased density bonus for any residential development
• Residential development located on a property owned or controlled by a religious organization qualifies
• as an affordable housing or mixed-use affordable housing development, with a minimum of 50% of residential
• The development must have a minimum of 50% of residential units dedicated to housing for low- or moderate-income

Summary: House Finance heard testimony on two affordable housing bills. House Bill 1859 would expand an existing density bonus for housing on religious organization property by lowering the affordability threshold from 100% to at least 50% affordable units, requiring local policies to implement the bonus upon request, and creating a new state and local sales and use tax exemption for qualifying projects with at least 50% affordable units maintained for 10 years. The sponsor and supporters said the bill would help projects on church-owned land pencil out amid high construction and financing costs, while a county association raised concern that the bill would create an unfunded mandate for local planning departments. Several witnesses also asked that homeownership projects be explicitly included, and staff confirmed the exemption would be administered through an exemption certificate. The committee then moved to House Bill 1717, which would authorize cities and counties to create a local sales and use tax remittance program for affordable housing developments. Staff said the remittance would cover 100% of local taxes paid after project completion, with a 50% affordable housing threshold and 40-year affordability requirement, and the sponsor and local government and housing advocates supported it as a flexible tool to reduce development costs. Testifiers generally backed both bills, with some asking for more flexibility on income targeting and clarification on county-city interactions under HB 1717. No votes were taken; both public hearings were closed and the committee adjourned after a separate work session on the Working Families Tax Credit, where advocates urged broader eligibility, higher benefit amounts, and easier access, and a California researcher described data-linking methods used to improve tax credit take-up.