Transcript Highlights:

• investments addressing emergent needs in reproductive health, including midwifery practitioner loan repayments
• then for reproductive health, we are proposing that those investments would go to things like loan repayment
• notably the $90 million away from family planning services to the more narrow workforce and loan repayment

Summary: The Assembly Budget Subcommittee on Health held the first of several hearings on the Governor’s May Revision for health care, with opening remarks focused on the state’s projected $12 billion deficit, looming federal Medicaid changes, and the potential impact on Medi-Cal, public health, reproductive health, and safety-net providers. Several members criticized the proposal as balancing the budget on vulnerable Californians, while others defended the need for cost containment and questioned the administration’s assumptions. The chair set ground rules for respectful, focused questioning and outlined three topics: the Medi-Cal proposals, Proposition 35, and Proposition 56. DHCS Director Michelle Baas presented the May Revision’s Medi-Cal package, saying the department’s budget totals $200.6 billion overall, including $45.2 billion General Fund, and that the proposals are intended to address rising caseloads, pharmacy costs, and managed care spending. She described proposed changes for adults with unsatisfactory immigration status, including a freeze on new full-scope enrollment for those 19 and older, $100 monthly premiums beginning in 2027, elimination of adult dental and long-term care coverage, removal of PPS/RAP payments to FQHCs and rural health clinics for that population, and a pharmacy rebate aggregator. Other proposals included eliminating certain OTC drug classes, removing GLP-1 coverage for weight loss, prior authorization and step therapy changes, reinstating the Medi-Cal asset test, eliminating acupuncture as an optional benefit, allowing utilization management for hospice, raising the managed care minimum medical loss ratio to 90%, reducing PACE capitation rates toward the midpoint of the actuarial range, eliminating the skilled nursing facility workforce and quality incentive program, and suspending the SNF backup power requirement. The LAO said the revised Medi-Cal spending estimate is about $2.5 billion higher than the Governor’s Budget in the budget year, and that the increase appears driven more by higher per-enrollee costs than by caseload alone. The LAO said the budget solutions are concentrated in a few areas, are largely ongoing, and should be considered in light of federal uncertainty, but suggested the Legislature could explore alternatives such as more targeted income thresholds for the undocumented expansion and simpler asset-test rules. Department of Finance officials said the proposals are difficult but necessary to address a third consecutive deficit and rising Medi-Cal costs. Members then pressed the administration on the methodology and impacts of the proposals, especially the enrollment freeze, premiums, asset test, hospice controls, PACE reductions, and the elimination of benefits and provider payments. No votes or formal actions were taken at this hearing.

Transcript Highlights:

• Also, the department suggests that wording be included regarding the repayment of the ... if repayment
• be included suggests that wording be included regarding<00:21:40.520> the<00:21:41.000> repayment

Keywords: 910, house, all

Summary: The Committee on Education met on January 30 and heard testimony on several bills, beginning with an announcement asking testifiers and members to keep remarks brief because of weather. The vice chair also explained that HB 440, relating to immigration issues in schools and state hospitals, was removed from the agenda because the proposal would not create meaningful legal protections and immigration policy is governed by federal law. The committee then moved through a series of education-related measures, with testimony largely from the Department of Education, the School Facilities Authority, the Attorney General’s office, unions, advocacy groups, and individual testifiers. On HB 330, concerning school impact fees, the School Facilities Authority supported the bill as aligning policy with implementation, while the Tax Foundation of Hawaii said the fee accounts have accumulated large balances, including more than $20 million in impact fee funds and nearly $9 million from predecessor fair-share contributions, and urged that collected money be used rather than left idle. DOE said it would follow up on the balance and why it was not being used. On HB 1188, dealing with workforce housing, DOE and the Charter School Commission offered comments or support, the Attorney General suggested clarifying the phrase “within commuting distance” by using a mileage standard and adding repayment language, and HSTA, HGEA, and others supported the bill, with HSTA saying teachers need housing to be able to live and work in Hawaii. On HB 624 and HB 625, both related to school psychologists, DOE said it would participate in a work group on the pathway bill and supported the incentive program bill; school psychologists and related groups supported the measures, while one testifier said DOE should not lead the work group alone because school psychologists may work in many education settings beyond DOE schools. The committee also heard HB 1314 on youth mental health in schools. DOE described its student support process, universal screening tools, and behavioral health services, saying schools already identify and respond to concerns and that staff are trained to report issues, while the Attorney General warned the bill could expose schools to liability and recommended a broad liability waiver. Testimony was mixed, with several supporters and one opponent. On HB 616, concerning school safety and harassment protections for educational workers, the Attorney General sought clarifying amendments on harassment definitions, temporary restraining order costs, and paid leave, while HSTA, HGEA, and individual teachers strongly supported the bill, describing harassment incidents and arguing for a standardized statewide response. DOE said it already has reporting pathways, visitor codes of conduct, trespass notices, and an ethics hotline, but acknowledged implementation varies by school and that staff can escalate concerns if needed. The committee also began hearing HB 88 on a three-year pilot program for athletic travel, but the transcript cuts off before that bill’s testimony is completed or any votes are taken.

Transcript Highlights:

• All right, let me ask about two others: brownfields RLF repayments, accounting unit 20118.
• Yes, that's a repayment account.
• It's all federal money that's been lent, and then when we receive repayments on those loans, it goes
• make grants to the extent of money that's in the account, and so when the money comes in through repayments
• then when it's available we repayments then when it's available we we<05:46:19.360> in<05:46:

Keywords: 928, house, all

Summary: The committee first took up a House Bill 2 amendment to remove a bail-related section that had already passed in another bill and was now considered duplicative. Members discussed the earlier change to how bail commissioners are reimbursed, concerns that the Judiciary was losing money collecting the fees, and whether the magistrate-related language would still be needed. They noted the bill had already crossed over to the Senate, that the section was obsolete, and that any remaining issue about magistrates’ five-year terms might need to be raised with the Criminal Justice Committee. Amendment 997H, deleting section one, was moved, seconded, and adopted unanimously. The committee then reviewed a package of HB 1 position transfers involving the Department of Environmental Services, Fish and Game, and the Department of Natural and Cultural Resources. Staff explained that several positions were being shuffled to correct position numbers and align permitting functions, including one Fish and Game position moving back to Fish and Game, one DEES position remaining funded after ARPA money ends, and adjustments to hours for permitting and environmental services positions. Members discussed whether the Fish and Game position had been intended to be temporary, but ultimately agreed to accept the first four Environmental Services items and the last two Natural and Cultural Resources items as a package; that motion passed unanimously. They then also accepted sections 2 through 8 of HB 1 with the related amendments and footnote language. The committee next turned to dredge-and-fill fee changes in section 11, where one member objected to a 50% fee increase for seasonal docks, arguing it could discourage permitted work and might apply to repairs that only require notification. Staff said the increase was intended to help cover the cost of additional positions in future biennia, but members decided to hold that section for more information, including how many seasonal dock repair fees are actually collected. Finally, the committee began discussing HB 215 and a proposed tipping-fee/surcharge structure to make a solid waste accounting unit self-funded, with members saying the fee could offset about $2.9 million in general fund costs and support the grant program, but no final action was taken on that item in the portion of the meeting provided.

Transcript Highlights:

• There's a 98% repayment rate, so only a 2% default.

Bills: HB2754

Keywords: Arizona Commerce Authority, business development, economic growth, small business support, job creation, Board of Directors, e-verify, grant administration, 1182, all

Summary: The Committee on International Trade heard a presentation from Monica Villalobos, President and CEO of the Arizona Hispanic Chamber of Commerce, who shared trade and economic data on Hispanic businesses and consumers in Arizona and nationally. She emphasized that Hispanics are a major economic driver, that small and medium-sized businesses are central to trade, and that tariffs and border disruptions can disproportionately hurt smaller exporters and importers. She also described the Chamber’s district-level trade profiles and an upcoming business engagement tour to Mexico City aimed at matching Arizona and Mexican small businesses. Members asked about major Mexico trade products, transportation equipment, and what the state could do to support small businesses; Villalobos said access to capital and technical assistance are the biggest needs, especially as some federal support has been cut. The committee then took up HB 2754, which would expand the Arizona Commerce Authority board to include the chairs of the Senate Finance Committee and House International Trade Committee, shift oversight of trade offices to legislative appropriation, require annual reporting on trade office activities to JLBC, and remove the sunset date for the Arizona Competes program. The sponsor argued the bill would restore legislative oversight and give lawmakers a stronger role in trade office decisions and the Competes Fund. Members generally supported the bill’s oversight goals, though some raised concerns about the board changes and indicated they might seek amendments later. The committee voted 5-0 with two present and three absent to give HB 2754 a do pass recommendation. The meeting then adjourned.

Transcript Highlights:

• And because the Legislature has supported efforts to accelerate repayment of this debt, we've saved more

Summary: The Florida House and Senate met in joint session to receive the Governor’s annual message. After opening formalities, prayer, the Pledge of Allegiance, and the appointment of a committee to notify the Governor that the Legislature was ready, the chamber recognized special guests and then received Governor Ron DeSantis and First Lady Casey DeSantis. In his address, the Governor reviewed what he described as seven years of major accomplishments in Florida, emphasizing fiscal restraint, tax relief, economic growth, education reforms, environmental restoration, disaster response, public safety, and immigration enforcement. He highlighted a larger rainy day fund, reduced debt, record job and business growth, universal school choice, higher teacher pay, Hope Florida, Everglades restoration, stronger hurricane response, and tougher laws on crime and illegal immigration. He also warned about property tax burdens, called for a constitutional path to property tax relief, urged informed consent in medical policy, and raised concerns about artificial intelligence. The Governor pointed to several bills already filed and urged lawmakers to send him legislation eliminating DEI in local government, further discouraging illegal immigration, expanding Second Amendment rights, and blocking the spread of Sharia law. He closed by asking the Legislature to continue advancing his agenda. After the address, the joint session voted to dissolve.

Transcript Highlights:

• HB 4186 by McLaughlin relating to the student loan repayment assistance for certain physicians employed

Transcript Highlights:

• HB 4186 by McLaughlin relating to student loan repayment assistance for certain physicians employed as

Keywords: 1184, house, all

Transcript Highlights:

• It also does not put the state at risk for loan repayment. Now, having said that...

Bills: HB52, HB89, HB141, HB52, HB89, HB141

Keywords: income tax, CHOOSE Act, education funding, ABLE account, tax credits, poverty threshold, legislative funding, HB89, Medicaid, pregnant women, pregnancy, prenatal care, ambulatory prenatal care, presumptive eligibility, temporary Medicaid coverage, Alabama Medicaid Agency, maternal health, low-income women, health coverage, eligibility determination

Transcript Highlights:

• We created a program to accelerate the repayment of state debt.

Summary: The Florida House and Senate met in joint session to open the 2025 legislative session, receiving the Florida Cabinet, the Florida Supreme Court, and then Governor Ron DeSantis. The session included a prayer, the Pledge of Allegiance, and a motion to appoint a committee to notify the governor that the joint session was ready to receive his message. The committee was appointed, the governor was introduced, and the joint session recessed until his arrival. In his address, Governor DeSantis highlighted Florida’s economic performance, low unemployment, business growth, tourism, and insurance reforms, and urged further action on property insurance, the My Safe Florida Home program, and tax relief. He also called for continued immigration enforcement, praised school choice and teacher pay initiatives, defended higher education reforms, and discussed Hope Florida, hurricane recovery, environmental restoration, and infrastructure. He specifically urged lawmakers to address petition fraud and the constitutional amendment process, condominium reform, and stronger Second Amendment protections. The governor also reviewed prior legislative accomplishments, including tax cuts, parental rights and education measures, anti-DEI actions, law enforcement bonuses, and other conservative policy changes. He thanked legislative leaders and cabinet officials, encouraged continued cooperation over the next 60-day session, and closed by urging lawmakers to build on Florida’s record of productivity. After the governor departed, the joint session voted to dissolve.

Transcript Highlights:

• requesting approval to enter into an amended local service agreement with the city-parish to evidence the repayment

Keywords: 974, senate, all

Summary: The State Bond Commission met on May 21 with a quorum present and approved the April 16 minutes. The commission then reviewed and approved a large slate of local government and public authority financing requests, including election propositions for the November ballot, water and sewer infrastructure projects, fire protection and recreation district bonds, school board financing, and several refunding transactions. Most items were found to meet technical requirements and were approved on motions by Speaker DeVillier and seconded by Senator Talbot. Among the more notable items were the East Baton Rouge City-Parish refunding bonds for the Greater Baton Rouge Airport District, the City of Kenner’s retroactive approval request tied to a convention center agreement with GMB Basketball LLC, a Louisiana Housing Corporation financing increase for the Federal City Building 10 affordable housing project, and preliminary approval for the Northwest Louisiana Finance Authority’s Petro Tower redevelopment in Shreveport. The commission also approved financing for Southern University’s Scott’s Bluff student housing project and the Crescent City Schools/Harriet Tubman Charter School project. The Crescent City Schools item prompted questions about how MFP funds are used; staff explained that lease payments would support the bonds and that MFP funds are generally split between educational expenses and facilities-related costs. The commission received six monthly cost-of-issuance reports, which required no action, and a status update on the state debt schedule. It also approved Resolution No. 2 authorizing up to $425 million in general obligation refunding bonds to refund the Series 2016 bonds and tender other outstanding bonds for savings, with pricing tentatively set for June 16 and closing for June 30. During other business, New Orleans City Council President J.P. Morel thanked the commission for its role in helping address the city’s fiscal crisis and for approving a charter amendment election item aimed at strengthening budget oversight. The meeting adjourned after no further business.

Transcript Highlights:

• Um, if they need that cash flow, and then to come up with a repayment plan over the next 4 years, uh,

Transcript Highlights:

• plan for the future without clarity, transparency, and consistency around how to set truly fair repayment
• plan for the future without clarity, transparency, and consistency around how to set truly fair repayment
• plan for the future without clarity, transparency, and consistency around how to set truly fair repayment
• 03.319> the<00:54:03.440> disputes<00:54:03.839> about<00:54:04.000> net repayment
• rates the disputes about net repayment rates the disputes about net metering<00:54:04.640> will

Keywords: 1187, senate, all

Transcript Highlights:

• He said loan repayment programs are one example of what works, and noted that Massachusetts administered
• We do that partly through loan repayment programs.
• It is really a reflection of the conclusion of long-term debt service repayment.
• The conclusion of long-term debt service repayments, the roll-off of one-time expenditures, as well as

Keywords: 995, all

Summary: The Joint Committee on Ways and Means held a Health and Human Services budget hearing in Clinton, with opening remarks from Chairs Meg Kilcoyne and Robin Kennedy, local officials, and many House and Senate members introducing themselves. The hearing focused on Governor Healey’s FY27 EOHHS and MassHealth budgets, with repeated themes of rising health care costs, federal funding uncertainty, workforce shortages, and access to care in underserved regions. Members also raised concerns about primary care shortages, rural and regional disparities, behavioral health access, maternal health, food insecurity, and the impact of federal policy changes on Massachusetts programs. EOHHS Secretary Kiame Mahaniah said the FY27 EOHHS budget totals $33.7 billion, reflecting mostly non-discretionary growth from health care costs, labor costs, caseload increases, and provider rate pressures. He highlighted targeted investments in foster care, family resource centers, maternal health, youth services, nutrition programs, immigrant legal services, and human service workforce rates, while warning that federal actions could strip roughly $3.5 billion annually from the state’s health care funding. In response to questions, he defended the administration’s cooperation with federal audits and program integrity efforts, discussed the primary care crisis, and said the state is trying to preserve core services while preparing for a more difficult FY28 budget cycle. MassHealth Undersecretary Mike Levine then described two major FY27 challenges: double-digit cost growth and the expected effects of the federal One Big Beautiful Bill Act. He said MassHealth’s proposed $22.7 billion gross budget includes a 7.5% increase and relies on a moratorium on new expansions plus targeted reductions, including a $1,000 annual adult dental cap, ending GLP-1 coverage for weight loss only, reducing care management to peer-state levels, and work groups to slow growth in PCA, adult foster care, and adult day health spending. Members questioned the impact on Boston Health Care for the Homeless, preventive care, and regional access; Levine said the changes are meant to preserve sustainability, that children and certain disabled populations remain protected, and that the administration will continue working with providers, advocates, and the Legislature on implementation and longer-term reforms.

Transcript Highlights:

• Senate Bill 101, Higher Education Loan Repayments and Scholarships for Correctional Officers.
• 47.359> loan Senate Bill 101, higher education, loan Senate Bill 101, higher education, loan repayments
• <01:05:48.640> and<01:05:48.840> scholarships<01:05:49.440> for repayments and scholarships
• for repayments and scholarships for correctional<01:05:50.200> officers.

Keywords: House streaming session for Monday, April 13, 2026, 957, house, all

Summary: The House convened with prayer, quorum call, and a brief visit from Maryland Comptroller Brooke Lierman, who thanked delegates for their work on the budget and legislation. The chamber then handled several conference committee and Senate messages, including House Bill 153 on residential rental apartment air conditioning requirements. The conference report changed the bill from four to 10 units, removed preemption language, and required existing units with air conditioning to keep it; the report was adopted and the bill passed on third reading with 90 affirmative votes. The House also took up a number of Senate bills on third reading. Among those passed were measures on digital asset and blockchain task force establishment, franchise registration and disclosure law changes, professional licensing portability for foreign service members and spouses, medical cannabis protections for fire and rescue employees, workers’ compensation presumptions for Carroll County correctional deputies, speed monitoring systems approval timing, veterans cemeteries interment, motorcycle safety awareness in driver testing, IT investment fund uses, child care credential funding, school bus fire safety standards, local stop-sign monitoring pilot programs, stalking penalties, divorce records under the Public Information Act, local boards of elections qualifications, local sourcing database creation, and mutual insurance holding company conversions. Most passed overwhelmingly, though several drew notable dissent, including Senate Bills 10, 223, 439, 467, 757, 775, and 877. Members used vote-change time to shift positions on several bills, and the floor leader and committee chairs answered questions on the record. On Senate Bill 10, delegates discussed the bill’s “shot clock” for State Highway Administration responses to local speed camera requests; the chair later clarified that if State Highway does not act within 120 days, approval is deemed granted. On Senate Bill 775, the Judiciary chair explained that the bill requires destruction of firearms in gun buyback programs and serial-number checks to identify stolen or evidentiary firearms, with some firearms potentially returned if stolen. The House also adopted a favorable committee report on Senate Bill 949, which the floor leader said mirrors House Bill 1069 and would allow Maryland to count state-level ballots if federal action prevents counting federal ballots. The chamber also handled an amendment and conference committee process on Senate Bill 141 concerning election misinformation, disinformation, and deep fakes, with the House and Senate appointing conferees after each declined to recede. Several bills were passed by large margins, including Senate Bills 46, 68, 85, 314, 371, 426, 480, 512, 654, 808, 968, and 982, while a few had narrower margins such as Senate Bills 443 and 757. No final adjournment or sine die action occurred in the excerpt.

Transcript Highlights:

• During our review, we continued to see that rating agencies value the rapid repayment of debt, which
• 09:50.239> rapid that rating agencies value the rapid that rating agencies value the rapid repayment
• c> debt,<01:09:52.239> which<01:09:52.480> helps<01:09:52.799> preserve repayment
• of debt, which helps preserve repayment of debt, which helps preserve both<01:09:53.520> long-term

Keywords: 1187, senate, all

Transcript Highlights:

• eventually reached a settlement with the Minnesota Department of Human Rights, which included the repayment
• /c><00:43:51.359> the of Human Right, which include the of Human Right, which include the repayment
• legal<00:43:52.240> fees<00:43:52.480> and<00:43:52.640> monitoring repayment
• of legal fees and monitoring repayment of legal fees and monitoring to<00:43:53.200> prevent<

Keywords: 919, house, all

Summary: The committee took up Senate File 1750, an HOA/common interest community reform bill, and first adopted the DE9 amendment after the chair moved it to put the bill in the form the author wanted. The bill was described by supporters as a consumer and homeowner protection measure intended to add transparency, dispute-resolution rights, conflict-of-interest rules, and limits on fees and late charges in Minnesota HOAs, which supporters said have grown rapidly and are not adequately covered by current law. Supporters, including legal aid, the Minnesota Home Ownership Center, and Twin Cities Habitat for Humanity, said the bill responds to longstanding complaints about HOA abuse, lack of transparency, escalating attorney fees, foreclosure-related problems, and management-company conflicts of interest. They argued the revised bill reflects extensive stakeholder work and would help homeowners resolve disputes without costly escalation while improving fairness and accountability. Opponents, including attorneys and representatives of HOA management interests, argued the bill is too rigid and one-size-fits-all, would raise costs for all homeowners, and could make associations harder to govern. They said fee caps, contract restrictions, procurement mandates, and dispute procedures would increase assessments, reduce flexibility, discourage board service, and create more legal and administrative burden, especially for smaller or financially strained communities. No final vote on the bill itself was taken in the portion provided; the bill was laid over for possible inclusion.

Transcript Highlights:

• More about this program: it offers small and medium-sized loans with a repayment history that exceeds
• offers small and mediumsized loans with offers small and mediumsized loans with a<00:48:33.920> repayment
• 34.839> that<00:48:35.000> exceeds<00:48:35.359> much<00:48:35.599> of a repayment
• history that exceeds much of a repayment history that exceeds much of the<00:48:35.920> private

Keywords: 1187, senate, all

Transcript Highlights:

• Ultimately, both GO bonds and trunk highway bonds are debt, but the repayment is from different sources
• Highway bonds are are debt um but<00:23:52.400> the<00:23:53.080> the<00:23:53.279> repayment
• /c><00:23:53.840> is<00:23:54.039> from<00:23:54.320> different but the the repayment
• is from different but the the repayment is from different sources<00:23:57.120> the<00:23:58.120

Keywords: 1183, house

Summary: The Transportation Working Group met on January 15, 2025, with Chair John Kosnik opening by saying the committee expected to pass a transportation bill this year and emphasizing efficient use of transportation revenues, maintenance of roads and transit, and safety. Members and staff introduced themselves, and several representatives noted their interest in roads, bridges, and regional transportation needs. Kosnik also said he had spoken with Representative Kel about leadership arrangements and stressed that bipartisan support would be needed for a transportation bill. House Fiscal Staff’s Andrew Lee and House Research’s Matt Burus then gave an overview of transportation finance, focusing mainly on highways and transit. Burus explained Minnesota’s highway funding structure, including the constitutional Highway User Tax Distribution Fund and the related Trunk Highway Fund, County State-Aid Highway Fund, and Municipal State-Aid Street Fund. He reviewed the main revenue sources: the motor fuels tax, motor vehicle registration tax, motor vehicle sales tax, portions of the general sales tax tied to auto parts, vehicle rentals and leases, and the retail delivery fee. He noted several changes from 2023 legislation, including indexing of the gas tax, creation of the Transportation Advancement Account, and the retail delivery fee, which began in July 2024 and therefore would affect fiscal year 2025 rather than the fiscal 2024 data shown. The presentation also covered how highway dollars flow through constitutional formulas, including the 95/5 split from the Highway User Tax Distribution Fund, with the 5 percent set-aside used for town roads, town bridges, and flexible highway purposes such as turnbacks. Burus distinguished trunk highway bonds from general obligation bonds and explained that both are debt-financing tools for transportation projects, but with different repayment sources and uses. No votes or formal actions were taken at this informational meeting.

Transcript Highlights:

• amendments in the May Revision, including an alignment of the 2018 Teacher Residency Grant Program repayment
• terms with the 2022 repayment terms, and then some language around facilitating improved data sharing

Keywords: 987, senate, all

Summary: The committee heard the Governor’s May Revision proposals for TK-12 education, beginning with a Proposition 98 overview from the Department of Finance and the Legislative Analyst’s Office. Finance said the May Revision increases the Proposition 98 minimum guarantee by about $6.4 billion relative to the Governor’s January budget across the three-year window, with higher guarantees in each year, continued full payment of the outstanding settle-up obligation in 2024-25, and a reduced $3.9 billion settle-up amount in 2025-26. Finance also described larger mandatory and discretionary deposits into the Proposition 98 reserve, ending with an estimated $10.3 billion reserve balance. The LAO said the overall estimates were reasonable, but urged the state to fully fund the guarantee and use other budget tools, including reserves, to manage volatility rather than delay settle-up payments. Members questioned the remaining settle-up amount, the risk of revenue volatility, and possible alternatives such as advance payments or other reserve strategies. The second panel covered Department of Education proposals and trailer bill language. Finance outlined additional state operations funding and positions for CDE, along with trailer bill changes affecting community schools, preschool, literacy, special education, charter accountability, teacher-related programs, and other technical cleanups. The LAO supported the overall structure of the package but recommended changes to several items, including rejecting some additional one-time community schools, literacy, math, multilingual screener, and inclusive college proposals, while supporting the ongoing LCFF and special education increases and raising concerns about the paid pregnancy disability leave proposal’s cost and implementation complexity. CDE supported the special education increase, community schools, literacy and math investments, homelessness funding, and the paid pregnancy leave proposal, while asking for more funding for county office support, clearer homelessness definitions, and continued preschool parity. Members also asked about immigrant student supports, community schools reporting, and the rationale and cost estimate for the paid pregnancy leave proposal, which Finance estimated at $218 million annually. The final panel addressed the Commission on Teacher Credentialing. Finance proposed additional legal staffing for SB 848 implementation and educator misconduct caseloads, a fee increase for clear credential renewals from $100 to $125, a $5 million one-time Proposition 98 investment to build a transcript review platform, $2 million ongoing for transcript review staffing, and $30 million one-time for the statewide residency technical assistance center. The LAO had no concerns about the legal staffing, supported the transcript review platform if the fee increase and ongoing staffing were adopted, and recommended rejecting the residency technical assistance center expansion because existing funding runs through 2029. The Commission explained that the misconduct workload has grown over several years, that AI would assist but not replace human review in transcript matching, and that the residency technical assistance center helps recruit and retain teachers and support rural districts. Public commenters largely supported special education, discretionary block grants, community schools, literacy investments, homelessness funding, and teacher credentialing alternatives, while some urged rejection of the settle-up proposal and preschool COLA reduction.

Transcript Highlights:

• I have an additional question in terms of the repayment of the reduction.
• In addition to that, we have a proposal for a new loan repayment program, so that when teachers come

Summary: The committee heard presentations on the Governor’s education budget proposals for the Local Control Funding Formula (LCFF), Learning Recovery Block Grant, and Expanded Learning Opportunities Program (ELOP), followed by testimony from State Board of Education President Linda Darling-Hammond. On LCFF, Finance outlined the proposed 2.43% COLA, repayment of prior deferrals, and a trailer bill penalty for LEAs that fail to adopt Local Control Accountability Plans on time. The LAO said its COLA estimate was slightly lower and raised concerns that the Governor’s proposed TK staffing ratio increase may be more costly than estimated. Members also discussed whether the current COLA formula should better reflect California-specific or district staffing costs, and whether TK should be more clearly separated from the K-3 grade span adjustment to avoid larger K-3 class sizes. The chair asked staff to work with the LAO on both the TK/K-3 issue and alternative COLA calculations. For the Learning Recovery Block Grant, Finance proposed restoring the first of three delayed payments, $378.6 million one-time Proposition 98 General Fund, while the LAO recommended adopting the proposal but extending the expenditure deadline by at least a year. The LAO reported that districts had spent $1.6 billion of the $6.8 billion received through 2023-24 and said most districts were only now shifting from federal COVID relief to block grant spending. Members questioned whether the large state and federal investments were improving outcomes, citing declining reading and math trends, while Finance and the State Board president pointed to some signs of improvement, especially in math, attendance, and gains for some student groups. Darling-Hammond emphasized that student needs have grown, that recovery spending has gone to devices, ventilation, staffing, tutoring, summer school, and community schools, and that targeted interventions appear to be helping some districts recover faster than others. On ELOP, Finance proposed adding $435 million to expand universal access by lowering the Tier 1 threshold from 75% to 55% unduplicated pupils, bringing ongoing funding to $4.4 billion. The LAO said the estimate was reasonable but recommended delaying implementation for a year, aligning ELOP with ASES to reduce overlap, moving toward funding based on participation rather than enrollment, and considering a fixed Tier 2 rate. Members and witnesses discussed staffing challenges, the use of funds for students with disabilities, and uncertainty in Tier 2 funding caused by unspent dollars and opt-outs. Darling-Hammond supported ELOP as part of California’s broader after-school and summer learning strategy, said most districts are now offering full-day TK and expanded learning, and urged the state to reduce fragmentation across categorical programs and build more unified systems for funding, reporting, and support.