Transcript Highlights:

• If we hear of an issue, sometimes through the OIG, we'll do an audit or they might suggest that we add
• We also, if we hear of an issue—sometimes through the OIG—will do an audit or they might say to us, "
• There is also independent auditing of the work done by the MCOs.
• We conduct audits, investigations, inspections, protections, and clinical utilization reviews using our
• visit produces a record that supports claim validation, program integrity, SIU investigations, and audit

Keywords: 1184, house, all

Transcript Highlights:

• I did stop by another committee and asked them to take a look at all of the, I guess, management audit
• . audit. audit.
• Okay, I'm Curt Meier, treasurer<00:21:05.440> of I did stop by and ask that the management audit
• know, as much as I can on that because uh but, I hope that we get some good stuff out of management audit
• know, as much as I can on that because, uh, but I hope that we get some good stuff out of management audit

Keywords: 916, all

Summary: The Joint Revenue committee met with a quorum and heard a series of interim topic proposals focused on tax policy. Representative Brown raised two ideas: reinstating an exemption reporting requirement for corporations and entities receiving tax exemptions, with loss of the exemption for the current and prior year if they fail to report, and revising property tax treatment for wind turbines and related infrastructure by shifting the taxed footprint from agricultural to industrial classification. Senator Case and others then discussed energy taxation more broadly, including a possible generation tax for electricity, how to handle large data-center electricity loads, and whether sales tax revenue from very large electrical loads should be shared statewide rather than concentrated locally. The committee referenced prior bills and studies, including House Bill 300 and Senate File 76, and discussed using a mechanism that would keep local electricity bills net neutral while redirecting revenue distribution. The committee also took up problematic gaming and program funding. Senator Case described personal experiences with gambling addiction and the lack of available resources, while the presenter said the topic had been requested in multiple committees and that the biggest concern from House Bill 171 was protecting county and municipal funding. Members discussed whether the issue belonged in Revenue, Health, Labor, or Transportation, and several suggested it should stay with the standing committee handling gaming. Ideas raised included using gaming-related revenue for prevention and treatment, fully funding the 988 lifeline, and creating a broader trust fund for addiction-related services and law enforcement. The committee appeared to agree to continue the topic for educational purposes and to examine taxation of HHR and other gambling activity. Senator Case then proposed a severance tax on wind energy, arguing that wind development creates permanent landscape impacts and that the state should be compensated similarly to coal, oil, and gas extraction. Curt Meier, the state treasurer, supported reviewing lease agreements and said Wyoming should get more from wind resources, noting the state’s unique wind potential and the loss of viewshed. Finally, the committee heard a proposal to reform property tax relief by extending it to motor vehicle registration. Former Revenue director Dan Noble argued that vehicle taxes should be treated like other property taxes, using fair market value, depreciation, the residential assessment ratio, and local mill levies, which he said could provide broad relief but would be expensive, with an estimated fiscal impact of about $120 million. Representative Chestek followed with a related reform proposal based on Pennsylvania’s base-year assessment model, arguing that Wyoming’s current statewide relief measures treat symptoms rather than the underlying problem of rapidly rising local valuations.

Transcript Highlights:

• McGuire had inquired of the Department of Education whether there had ever been consideration of an audit
• single student, there would be a sampling of students with IEPs reviewed much as the IRS does not audit
• there had ever been consideration<02:26:54.319> of<02:26:55.040> an<02:26:55.920> audit
• of an audit approach to special<02:26:58.240> ed<02:26:58.560> where<02:26:58.800>
• every single as the IRS doesn't audit every single tax<02:27:18.160> return.

Keywords: 1189, house, all

Transcript Highlights:

• We've survived a variety of different audits, got clean audits on a lot of our major programs.
• major changes in the aging program due to a new final federal rule and some training and in-person audits
• major changes in the aging program due to a new final federal rule and some training and in-person audits
• :05.680> training<00:51:06.480> and<00:51:06.800> in-person<00:51:07.440> audits
• <00:51:07.920> that some training and in-person audits that some training and in-person audits

Keywords: Appropriations - Room 216, 28 January, 2026; 8:15 AM, 925, all

Summary: The committee heard a budget presentation from the Mississippi Development Authority (MDA), including its consolidated tourism and agency request. MDA said it has had strong recent results, citing about $65 billion in capital investment since 2020, roughly 25,000 jobs, record tourism, clean audits, and oversubscribed incentive programs. For FY27, the agency requested $26.4 million in general funds, level special-fund operating support, restoration of eight pins reduced in the LBR process, and several general-fund increases for a career ladder, a new HR system, training, and operating costs. MDA also discussed a $1.25 million request for America 250 activities, including a Mississippi event and participation in the National Mall “Great America State Fair,” plus an energy accelerator program tied to the governor’s energy initiative and a broader three-tier energy preparedness strategy. MDA also explained its incentive refill requests, saying it was not seeking additional funding for the ACE grant program this year and had shifted that support toward the governor’s port/rail/road investment fund and energy-ready sites. The agency highlighted a renewed request to restart funding for the small municipal and limited population counties grant program, which it said had previously helped smaller communities with water, sewer, downtown, and other projects. On tourism, MDA presented a breakout showing what the budget would look like if tourism were separated into its own department; officials said the current tourism budget within MDA is about $5.7 million in general funds and $7.9 million total, and estimated about $1.3 million in additional cost would be needed to stand up a separate tourism agency. A significant portion of the discussion focused on criticism from Senator Wiggins that MDA has not delivered enough economic development for the Mississippi Gulf Coast. He argued that constituents believe MDA does little for the coast and objected to the agency’s role in the GCRF and coastal projects, saying the coast has not seen meaningful results in years. MDA officials responded that complaints about uneven distribution are common across the state, that MDA works with local economic development partners rather than dictating project locations, and that it has helped support major coastal projects such as Relativity Space, Lockheed Martin expansions, PCC Gulf Chem, BWC Terminals, and AWS. The exchange also touched on the Port of Pascagoula and local leadership disputes, with both sides disagreeing over whether the port and the coast have been adequately supported. No votes or formal actions were taken in the excerpt.

Transcript Highlights:

• sure they are doing things right, and MDE within the bill says they can come and do some checks and audits
• sure they are doing things right, and MDE within the bill says they can come and do some checks and audits
• they can come check on us they'll do H they can come check on us they'll do some<00:47:29.359> audits
• summary<00:47:31.880> uh<00:47:32.000> house<00:47:32.280> file some audits
• so in summary uh house file some audits so in summary uh house file 167<00:47:33.440> provid<

Keywords: 1183, house

Transcript Highlights:

• operating and nonoperating expenses for three months, as calculated from the prior fiscal year's audited
• operating and nonoperating expenses for three months, as calculated from the prior fiscal year's audited
• operating and nonoperating expenses for three months, as calculated from the prior fiscal year's audited
• operating and nonoperating expenses for three months, as calculated from the prior fiscal year's audited
• <00:07:07.280> financial fiscal year's audited financial fiscal year's audited financial statement

Keywords: 958, all

Summary: The committee first took up Senate Bill 77, which would allow comprehensive universities to pursue doctoral programs under a new approval process and, in the original bill, would also change who may serve on the EPSB board for small colleges and universities. The sponsor and Council on Postsecondary Education representative explained that the committee substitute removed the current statutory prohibition on comprehensive universities offering certain doctoral degrees, but added eligibility guardrails: a 77% first-to-second-year retention rate, a 56% six-year graduation rate, and three months of unrestricted cash reserves. They said the thresholds were based on national data placing institutions in roughly the top quartile, and that CPE would still review proposals for mission fit, workforce need, fiscal impact, and, where applicable, programmatic accreditation and legislative appropriations. EKU President David McFaden supported creating a pathway for comprehensive universities, said Kentucky is unusual in having an explicit statutory prohibition, and urged the committee to keep the standards attainable and durable. The committee approved the bill and adopted a title amendment, with the motion passing unanimously. The committee then heard Senate Joint Resolution 55, which addresses antisemitism on postsecondary campuses. Senator Tichenor said the resolution responds to a rise in antisemitic incidents after October 7, 2023, and would require campuses to notify students each semester of Title VI rights, complaint procedures, existing harassment policies, and available Jewish student resources. It would also direct campuses to disband student organizations found to provide material support to known terrorist organizations, report such matters to law enforcement, and collect and report antisemitism data to CPE for posting on its website. A guest speaker from the Kentucky Jewish Council described a sharp increase in reported incidents, including harassment, threats, vandalism, and hostile campus activity, and argued that schools have often done too little to respond. He said the resolution was amended to protect free speech while ensuring Jewish students receive the same protections as other protected groups. The transcript ends while testimony on the resolution was still underway, before any committee vote on SJR 55.

Transcript Highlights:

• The system was an audit, and then they cleaned it up, they improved on it. When was the audit?
• But it doesn’t seem like it’s cleaned up now, so that’s even more troubling that there’s an audit and
• <00:48:36.480> and<00:48:36.640> then doing it system was an audit and then doing it
• system was an audit and then they<00:48:36.920> cleaned<00:48:37.280> it<00:48:37.400>
• that was 2013 yeah when was the audit that was 2013 yeah but<00:48:42.000> it<00:48:42.200>

Keywords: 912, senate, all

Transcript Highlights:

• are all trying to provide dual credits, which is great, as opposed to using a more standardized procurement
• are all trying to provide dual credits, which is great, as opposed to using a more standardized procurement
• So I think there's an opportunity to improve procurement, unless you obviously go the route that Senator

Keywords: 908, all

Transcript Highlights:

• are all trying to provide dual credits, which is great, as opposed to using a more standardized procurement
• So I think there's an opportunity to improve procurement, unless you obviously go the route that Senator
• So I think there's an opportunity to improve procurement, unless you obviously go the route that Senator

Summary: The committee met to hear presentations on dual credit programs from North Dakota higher education leaders, a school superintendent, and teachers. Valley City State University described its dual credit model, emphasizing quality control through annual teacher training, syllabus and outcomes alignment, faculty qualification review, school visits, and pathways aimed at the College Studies Certificate. Members asked about teacher employment, course scheduling, revenue, scholarships, and whether a centralized model might improve efficiency; VCSU said most instructors are K-12 employees, online offerings are still small, and centralization could weaken local relationships and choice. Lake Region State College similarly stressed access and partnerships, noting about half of its headcount is still in high school, with both online and face-to-face dual credit options, district reimbursement arrangements, and support for rural schools. Lake Region also said dual credit helps students who might not otherwise see themselves as college-bound, but reduced tuition can still be a barrier for some families. Fargo Public Schools reported continued growth in dual credit, with 50 courses offered in partnership with several NDUS institutions and a 12.61% increase in participation. The superintendent highlighted a growing education pathway, including students completing Introduction to Education and field experience, and said the district is exploring a grow-your-own teacher pipeline. He also raised concerns about inconsistent institutional processes, teacher credentialing requirements, and transfer clarity, arguing for more aligned statewide systems. In response to questions, he said AP and dual credit can coexist, with AP often better for highly selective out-of-state colleges and dual credit better for students targeting North Dakota institutions, and he described some use of Arizona State online courses in earlier rural partnerships but said Fargo is focused on local institutions. Two teachers then testified on the classroom perspective. A West Fargo anatomy and physiology teacher said dual credit has expanded access, lowered costs, and prepared students well, but agreed that foundational science courses may be more effective when taken later in high school to reduce knowledge loss before college. A Drake-Anamoose English teacher, who has taught dual credit for more than 20 years, said the program has supported many students who went on to a wide range of careers and emphasized that small rural schools rely on dual credit to provide opportunities they otherwise could not offer. No formal votes or actions were taken in the portion of the meeting provided.

Transcript Highlights:

• . >> Senate Bill 5, an act relating to Kentucky-grown agricultural product procurement.
• And this beginning, more our preschool through 12th grade and getting procurement right to get our cafeterias
• The speaker said this begins with preschool through 12th grade and getting procurement right so cafeterias

Keywords: 958, all

Summary: The Senate convened with prayer, the Pledge of Allegiance, roll call, and approval of the prior journal. The House communicated that it had passed House Bill 4 and requested concurrence. The chamber then received second-reading reports for Senate Bills 18, 33, 85, and 132, and committee reports indicating Senate Bills 136, 183, 2, 4, and 71 should pass, with some substitutes and title amendments. The Senate also introduced Senate Resolutions 79 and 80 honoring Joseph Harden McFarland and Jeremiah Parsons. The main floor action centered on Senate Bill 5, relating to Kentucky-grown agricultural product procurement. The sponsor described it as a way to improve school nutrition, support Kentucky producers, and keep food dollars in local communities. Several senators spoke in support, including references to the Make America Healthy Task Force and the idea of using food procurement as a tool for rural prosperity and better nutrition in schools. Senate Bill 5 passed by roll call, 38-0. The Senate also passed Senate Bill 73, which would allow home-based processors to use beef tallow in cosmetic products. The sponsor said the bill would expand existing home-processing authority beyond food products to cosmetics. It passed unanimously, 38-0. Senate Bill 12, relating to medical provider coverage and level four trauma centers, drew the most extended debate. Supporters argued it would help rural hospitals join the trauma network by allowing nurse practitioners and physician assistants to work under physician supervision, including remote supervision, and said it would improve access and save lives in underserved areas. Opponents, including a physician senator, argued the bill would lower trauma-care standards and could put patients at risk by allowing non-physician staffing in facilities that need immediate hands-on medical expertise. After lengthy discussion, the bill was advanced and then passed by roll call, with supporters emphasizing rural access and opponents warning about patient safety and the adequacy of physician coverage.

Transcript Highlights:

• the development agreement as well<00:21:53.200> as<00:21:53.520> the<00:21:54.080> procure
• <00:21:54.559> the<00:21:54.880> particular well as the procure the particular well
• as the procure the particular contracts<00:21:55.919> with<00:21:56.159> our<00:21:56.320

Keywords: 912, senate, all

Transcript Highlights:

• strategic meetings to be like, we’re going to discontinue buying super expensive and super hard to procure
• strategic meetings to be like, we’re going to discontinue buying super expensive and super hard to procure
• strategic meetings to be like, we’re going to discontinue buying super expensive and super hard to procure

Keywords: 910, house, all

Summary: The joint informational briefing from the House Committee on Agriculture and Food Systems and the Senate Committee on Agriculture and Environment focused on the Department of Agriculture and Biosecurity’s update on Hawaii’s biosecurity framework, especially implementation of Act 231 (2024) and Act 236 (2025). Chairs Corey Chun and Mike Gabbard opened the meeting by framing the briefing as an update on investments to fight invasive species and improve statewide evaluation and coordination. Department leaders Sharon Her and Richard Kim described historic legislative and executive investments that have allowed the department to rebuild and modernize biosecurity infrastructure to better prevent, detect, control, and eradicate invasive species. The presentation emphasized the importance of biosecurity to Hawaii’s agriculture, economy, environment, and public well-being, citing threats such as rapid ohia death, little fire ant, coconut rhinoceros beetle, brown tree snake, and red imported fire ant. Staff explained the state’s layered approach—pre-border, border, and post-border—and compared it to New Zealand’s model, stressing that Hawaii must act as a “net, not a wall” and that prevention before entry is far more cost-effective than response after establishment. They also outlined agency roles across the system, including agriculture, natural resources, health, transportation, enforcement, and university partners, and noted that Act 231 strengthened authority over high-risk imports, offshore treatment, compliance agreements, and pest management plans, while Act 236 renamed the department and clarified statewide biosecurity coordination. Jonathan Ho then walked through specific program areas and progress. He said pre-border risk analysis is being supported by Act 231 funding and a university contract, while offshore compliance and treatment efforts have improved substantially, including Christmas tree inspections from Oregon and Washington and airline declaration systems that provide advance passenger information. For border work, he highlighted inspections, surveillance, detector dogs, and port monitoring. For post-border response and readiness, he discussed the invasive pest hotline and dashboard, trace-forward/trace-back and diagnostics, preparedness for future threats, and the need to build stronger internal capacity. He also described a developing transitional facilities program authorized by Act 236, modeled on New Zealand’s certified facilities system, and said the department has already begun outreach to industry groups such as the Hawaii Floriculture and Nursery Association. No votes or formal actions were taken; the meeting was informational only.

Transcript Highlights:

• money coming in and more about money going out, and I think a lot of times cash gets held up in the procurement
• money coming in and more about money going out, and I think a lot of times cash gets held up in the procurement
• money coming in and more about money going out, and I think a lot of times cash gets held up in the procurement

Keywords: 910, house, all

Summary: The Committee on Water and Land heard testimony on several measures, beginning with HB 347 relating to goats. The Department of Land and Natural Resources offered comments and said its Division of Forestry and Wildlife was available to answer questions. Testimony on the bill was largely opposed, with speakers arguing it would amount to a “free-for-all” rather than game management and urging deferral. DLNR responded that bag limits can be adjusted by area and game management unit under adaptive management rules, and that hunters typically take out their catch. No vote was taken in the portion provided. The committee then took up HB 1278, on which DLNR testified in support. The record in the excerpt does not include discussion of the bill’s substance beyond the department’s support, and no action or vote is shown. A substantial portion of the hearing focused on HB 144, relating to the Mauna Kea Stewardship and Oversight Authority and proposed exemptions from Sunshine Law requirements during the transition period. The authority’s vice chair testified that the body is a startup agency with a complex transition from the University and needs to be able to discuss strategic planning, operational formation, and other day-to-day matters with more than two members present. Opponents, including the Public First Law Center, Hawaiʻi Environmental Alliance, and community members, argued the bill would cut the public out of the deliberative process, allow decisions to be hashed out in private, and set a poor transparency precedent. One testifier also raised cultural and environmental concerns about Mauna Kea. Committee members questioned whether existing law and narrower guardrails could address the authority’s concerns, and the authority said it had already proposed a narrower alternative but the bill returned in similar form. The excerpt ends before any final committee action on HB 144 is shown.

Transcript Highlights:

• So it pulls in sections that have to do with including audited... >> Motion prevails.
• So there's no audit or penalties, as was in the original bill.
• <00:45:11.280> just<00:45:11.520> specifically<00:45:12.079> for audit or is
• this just specifically for audit or is this just specifically for those<00:45:12.480> that<00
• versus, you know, say operational audit versus, you know, say actually<00:45:36.160> what<00:

Keywords: 1187, senate, all

Transcript Highlights:

• So is it your desire to have both training and auditing as well as the penalties?
• Now, if you want to get better compliance, you're going to train and audit as well.
• a particular forensic audits of a particular community<01:29:38.880> in<01:29:39.000> the<
• First of all, this citizen audit happened after the recount election of Senator L.
• First of all, this citizen audit happened after the recount election of Senator L.

Keywords: 1189, house, all

Transcript Highlights:

• These are all auditioned members from freshman to seniors and also very good scholars.
• Management Audit Committee didn't meet last night because the House was a tad bit late.
• Management audit<01:28:04.880> committee<01:28:05.280> didn't<01:28:05.679> meet
• <01:28:06.000> last<01:28:06.320> night audit committee didn't meet last night audit committee

Keywords: 916, all

Transcript Highlights:

• grant program and evolving fund for the purposes of grant application execution, reporting, and auditing
• Um, we will add a new section for enforcement, add a new section for third-party audits.
• enforcement, add a new section for enforcement, add a new section for thirdparty<02:10:19.440> audits
• c> will<02:10:20.480> add<02:10:20.560> a<02:10:20.800> blank thirdparty audits
• . we will add a blank thirdparty audits. we will add a blank date<02:10:21.280> to<02:10:21.520

Bills: HB1602, HB2246, HB1707, HB2216, HB2594, HB2595, HB2155, HB2113, HB2207, HB1832, HB2015, HB2152, HB2548

Keywords: agriculture, grant specialist, financial support, farmers, Hawaii, federal grants, grant administration, revolving fund, department of agriculture and biosecurity, grant compliance, transportation, reimbursement, food security, local production, sustainability, agricultural loans, financing, Department of Agriculture and Biosecurity, Hawaii agriculture, loan portfolio

Transcript Highlights:

• In addition, the EPA lab performed an audit of the Navy sampling techniques.
• Another aspect of our oversight is we did send our lab team out to audit the Navy's samplers to make
• lab<00:37:30.320> team<00:37:30.640> out<00:37:30.960> to<00:37:31.280> audit
• is we did send our lab team out to audit is we did send our lab team out to audit the<00:37:31.920

Keywords: 910, house, all

Summary: The House Special Committee on Red Hill received an update from the Hawaii Department of Health and EPA Region 9 on regulatory oversight of the Red Hill facility, the Navy drinking water system, and ongoing environmental investigation and cleanup. The agencies reviewed the authorities governing the work, including DOH’s emergency orders, EPA’s 2023 administrative consent order, and the older 2015 agreement, and explained that the newer framework is being used for most current oversight because it includes closure, remediation, drinking water protections, and stronger community engagement requirements, even though some requirements overlap. EPA and DOH reported major milestones and current work. Defueling was completed in March 2024, with about 104 million gallons removed, and the agencies said this eliminated the risk of another catastrophic release. They described the current tank-closure phase, expected to finish in July 2029, along with site assessment, site investigation, remediation, and long-term monitoring that may continue through at least 2040. They also summarized drinking water actions: emergency response flushing and sampling after the 2021 spill, lifting of the public health advisory in 2022, completion of extended drinking water monitoring in 2025, and ongoing system improvements such as repairs, flushing plans, valve work, complaint-response protocols, and upgrades to storage tanks and pumps. Members asked several questions about monitoring results, the meaning of TPH, the status of the 2015 agreement, and the Navy’s groundwater model. EPA said its sampling and the Navy’s results were in alignment during extended monitoring, and that it plans to issue a summary report covering the full response period. On the groundwater model, EPA and DOH said they have not yet approved it for decision-making, are reviewing it iteratively with outside experts and University of Hawaii data, and may approve it for specific uses in the future. DOH said its latest comment letter states the model cannot yet be used for decision-making purposes, and noted that UH’s separate modeling work is contingent on funding and may not be completed until next spring. The agencies also said they continue community outreach through open houses, webinars, neighborhood boards, legislative hearings, and fuel tank advisory committee meetings.

Transcript Highlights:

• I have to say, being a former Manchester school board member, I do remember once we did an audit on how
• usage, I have to say, being a former Manchester school board member, I do remember once we did an audit
• usage, I have to say, being a former Manchester school board member, I do remember once we did an audit
• usage, I have to say, being a former Manchester school board member, I do remember once we did an audit
• Thank you, Representative. ...audit on how many times a personal cell phone was able to ding a pornography

Keywords: 928, house, all

Summary: The committee took up Senate Bill 206, which requires public schools to adopt policies limiting student cell phone use. Supporters argued that cell phones and personal devices contribute to student mental health problems, bullying, distraction, and disruptive behavior, and said teachers and administrators want a clear statewide rule rather than having to enforce policies themselves. Opponents raised concerns about local control, the breadth of the term “personal communication device,” and whether the bill would interfere with instructional uses of devices, especially in schools that rely on bring-your-own-device or have limited access to school-issued laptops. Members debated Amendment 2249H, which added an exception for teacher-led instruction and clarified that superintendent-approved exceptions could still apply for medical, disability, or language-proficiency needs. After discussion about whether the amendment was too restrictive or too broad, the committee adopted the amendment on a 9-8 vote, with one member not voting. The committee then voted 9-8, with one not voting, to recommend Senate Bill 206 ought to pass as amended. The committee then moved to Senate Bill 96, concerning mandatory disclosure by school district employees to parents. The sponsor offered Amendment 2199H to replace language that would have required referral to DCYF whenever an educator withheld information due to concern about possible abuse at home. The amendment instead allows a district to withhold information if a reasonably prudent person would believe disclosure would result in abuse, abandonment, or neglect, and requires the decision to be documented in the student record. The amendment was discussed as a narrower, more workable safeguard, and the committee was still in discussion on the bill at the end of the transcript.

Transcript Highlights:

• And as you folks well know, we are the—I don't know if we're the most audited agency in the state, but
• uh<00:03:58.079> we<00:03:58.159> have<00:03:58.239> a Annually, the LBA audit
• Yeah, and certainly they audit and, um, if you're interested, next month we go before, uh, fiscal for
• our review of the findings the LBA audit team had.
• We’ve exceeded that annually, and the LBA audit team has pointed that out, so we were looking to increase

Keywords: 928, house, all

Summary: The committee heard a budget presentation from New Hampshire Lottery Director Charlie McIntyre and CFO Jim Durus. McIntyre said the Lottery has more than tripled its return to the Education Trust Fund since 2011, from $62 million to $207 million in FY 24, while keeping expenses relatively flat over time. He explained that the Lottery operates like a business, is heavily audited, and that the governor’s budget raises the FY 26-27 revenue estimate to $185 million, up about $12 million annually from prior estimates. He attributed FY 24’s unusually strong results to record Powerball sales driven by a spike in billion-dollar jackpots tied to higher interest rates, and said scratch tickets still make up most gross sales, though Powerball is the highest-margin product. Members questioned the Lottery about the difference between gross revenue and profit, the steep rise in operating expenses, and the reasons for requested budget increases. McIntyre said the main drivers were payroll, benefits, advertising, added regulatory responsibilities from expanded gaming, and a new Salesforce customer-tracking system. He also described requested capital needs, including an outdated security system, building access and ADA improvements, and upgrades to the front office for employee safety. He said the security system is still running on an old Windows 7-based setup and that the requested upgrade would modernize cameras and add redundancy. The discussion also covered staffing and gaming expansion. McIntyre said the Lottery has 84 employees including three commissioners, with 13 funded vacancies, and that it plans to fill positions as two new gaming rooms come online in Rochester and Derry. He said the Lottery’s revenue estimates were revised upward because sports betting in Massachusetts had less impact than expected and historic horse racing machines have been more profitable than forecast. He also explained the governor’s proposal to shift historic horse racing toward slot-style machines, saying the physical machines would look largely the same but the content and math would change, and that the state’s revenue share would increase under the proposal. No votes were taken; the committee mainly asked questions and received explanations about the Lottery’s budget and revenue assumptions.