Transcript Highlights:

• Recently, we've seen a little bit of an uptick, particularly in sales taxes.
• Of course, the sales tax is 44%, the B&O tax about 19%, and property taxes make up the other 14%.
• And it impacts the overall rate of return on taxes, etc.
• The color coding on the bar charts indicates which agency the spend is from on this graph.
• Again, the color coding shows the breakdown by agency.

Summary: The Ways and Means Committee held a work session covering the state revenue outlook, caseload forecasts, wildfire costs, budget balance, tort liability, water supply, and pension policy. The Economic and Revenue Forecast Council reported modest near-term U.S. growth, no near-term Washington employment growth in 2026, continued personal income growth, and elevated inflation, with tariffs and federal policy cited as major risks. Revenue forecasts were slightly improved for the current biennium by about $105 million but down about $185 million for the next biennium. Members asked about income inequality and housing permits; staff said personal income is an aggregate measure and housing production remains below long-term needs. The Caseload Forecast Council then reported that most forecasts were unchanged or only slightly changed, but several programs increased, including Washington College Grant, Working Connections, aged/blind/disabled cash grants, nursing homes, home and community services, and developmental disabilities personal care. The largest policy-driven change was in Medicaid low-income adult caseloads, where federal H.R. 1 was projected to reduce coverage substantially through narrower eligibility, community engagement requirements, and shorter eligibility periods. The committee also heard a wildfire funding update and a 2025 fire season review. Staff explained that the state budgets $93 million annually for suppression and uses supplemental appropriations for costs above that level, with an estimated state supplemental need of about $139 million for the current year. Department of Natural Resources officials said 2025 fire activity remained below the 10-year average in acres burned, but fires were more complex and closer to communities, contributing to higher residence loss. They described expanded use of aircraft, firefighters from other states, corrections crews, and the Arcadia 20 hand crew, and said the state did not need National Guard ground support this year. A budget preview then showed that the near general fund outlook had worsened after vetoes, lapses, and forecast changes, and that maintenance-level costs alone would leave a projected negative balance by fiscal year 2027 and about $4.3 billion by fiscal year 2029, before any policy decisions. Jason Seams, the state risk manager, reported a sharp rise in tort claim costs, with indemnity expenses nearly doubling from fiscal year 2023 to 2025 and DCYF accounting for most of the increase. He said the state self-insurance liability account has run deficits for four straight biennia and is now facing nearly $600 million in deficits, driven largely by a surge in DCYF claims, especially juvenile rehabilitation and long-running sex abuse cases. Members asked about the role of old claims, comparisons with other states, excess insurance, and whether more Attorney General staff could reduce special assistant attorney general costs. The committee then shifted to water policy, hearing from tribal leaders, Ecology, and the Washington Water Trust. Tribal witnesses emphasized overappropriation, declining flows, climate impacts, and the need for legislative oversight and tribal participation in water policy. Ecology described major projects in the Odessa sub-area, Yakima Basin, and Dungeness, along with the need for storage, recharge, conservation, and policy changes to support water supply development. The Washington Water Trust argued that climate change is reducing summer flows and that the state needs more funding, enforcement, and long-term commitment to restore instream flows. The final item was a pension update on LEOFF 1 surplus assets; staff reviewed two 2025 bills that would have merged or restructured the plan and used surplus assets, but neither passed, and instead the budget directed the Select Committee on Pension Policy to study the issue and report back.

Transcript Highlights:

• SB 419 Caballero hydrogen fuel tax exemption do pass as amended to make a technical change, out with
• SB 287 Grayson manufacturing tax credit.
• This is a two-year bill Sorry 587 Grayson manufacturing tax credit two-year bill SP-373 Grove, nonpublic
• Property tax exclusion due passes amended to allow the timely filed extension for five years only.
• roll call SB 41 Weiner pharmacy benefit managers do pass with author's amendments to remove insurance code

Keywords: 988, house, all

Transcript Highlights:

• We made sure it does not impact film tax abatements in any way.
• We made sure it does not impact film tax abatements in any way, which was a big issue.
• have to do with technology, and maybe their corporate social responsibility is about teaching kids coding
• or they have board members who are people who will boldly go and engage with businesses that receive tax
• or they have board members who are people who will boldly go and engage with businesses that receive tax

Keywords: 909, all

Transcript Highlights:

• by funding uncertainty can result in shifting priorities, outdated designs, or changes to building codes
• However, we do have education code that directs districts to spend a percentage of their general fund
• It's in Education Code Section 84660, if you were interested in reading it. Okay, thank you.
• I can imagine this is very taxing. Never right now. No pun intended.
• governor's budget proposal to add three positions to the program and try to build language requiring tax

Keywords: 988, house, all

Transcript Highlights:

• of a September 24th estate state tax of a September 24th estate state tax payment.<00:24:31.760>
• and individual income tax was up 2.2%. and individual income tax was up 2.2%.
• Expands the child tax credit. No tax on tips or overtime for 2025 through 2028.
• <01:53:14.560> base construction jobs and excise tax base construction jobs and excise tax
• , ask is a little different on the GT tax, ask is a little different on the GT tax, right?

Keywords: 910, house, all

Transcript Highlights:

• Electricians across our state work tirelessly to ensure that safe code compliant systems are in place
• In the occupations Code chapter 1305, the definition of electrical contractor specifies the business
• Chapters 73.51C of the Texas Administrative Code.
• Chairman and members, um, HB 3012 removes a mandated $3 course fee from the education code.
• Uh, that, that's not the terminology that's used in the code.

Transcript Highlights:

• Here's the code if I'm unconscious. You know, things like that.
• That's a lot of<01:23:13.360> tax<01:23:13.760> money.
• He was a comm community of tax money.
• So as they the right to tax property.
• So look to tax folks correctly on that.

Keywords: 910, house, all

Summary: The committee heard testimony on HB 1588, which would establish a Department of Transportation noise detection program using cameras to enforce noise control laws. DOT supported the measure and said it is already piloting the technology at eight locations, with about 10 sites costing roughly $2 million to $2.5 million to install and operate. The Department of Health said it was willing to work with DOT but noted its current regulations are not designed for vehicular noise sources and that the bill may need clearer standards to be enforceable. Members raised concerns about the lack of a specific decibel threshold and whether the system could accurately identify the source of noise; DOT said the pilot can pinpoint vehicles and that the program would align with existing health standards, but no final number was identified during the hearing. The committee then heard HB 1696, which lowers the minimum age for a commercial driver’s license from 19 to 18 and removes a restriction tied to vehicle category, while requiring DOT rule changes. DOT, the City and County of Honolulu, the Hawaii Transportation Association, Teamsters Local 996, and other stakeholders testified in support. The Hawaii Transportation Association suggested adding a training requirement for drivers ages 18 to 20, proposing at least 320 hours of employer training and recordkeeping. Members sought clarification that the bill would apply to intrastate, not interstate, licensing. For HB 233, the committee considered a measure authorizing DOT to designate airport special district zones statewide to prevent unauthorized access and improve security. DOT and the City and County of Honolulu supported the bill, explaining that defined boundaries would help law enforcement address trespassing, disruptions, fires, theft, harassment, and other incidents around airports and terminals; DOT said commercial airports are ready to implement the proposal, while some general aviation sites would need further work. Members asked about the scope of the boundaries, existing enforcement, and whether the measure would cover state-owned or non-state parcels near airports. The committee also heard HB 2332, which renames the Harbors Division as the Commercial Ports Division and distinguishes “harbor” from “port” in statute. DOT, the Maritime Group, and harbor users supported the bill, saying the change would reduce confusion between commercial cargo/cruise facilities and recreational small boat harbors, and could help with clarity and possibly federal grant competitiveness. Members asked about impacts on small boat harbors and cruise activity, and DOT explained that the bill is aimed at purpose-built commercial ports, not recreational facilities. The committee also took testimony on HB 2283, which clarifies DOT’s consultative role with the Department of Commerce and Consumer Affairs in setting port pilotage standards and requirements. DOT, DCCA, Matson, the Hawaii Pilots Association, and others supported the measure, saying it would improve coordination and ensure pilot licensing standards reflect operational realities in the harbors. Finally, after a recess, the committee heard HB 2217, which would allow driver’s permits, licenses, and ID cards to include a notation for a non-apparent disability. The Hawaii State Council on Developmental Disabilities opposed the bill as drafted, saying voluntary alternatives such as Smart 911 may be better and that the category is too broad. The Attorney General’s office supported the intent but recommended limiting the notation to medically recognized, specifically defined conditions so agencies can train personnel and avoid confusion or escalation.

Transcript Highlights:

• taxes taxes um<00:08:35.760> lastly<00:08:36.120> I<00:08:36.200> got<00:08:36.320
• c> The transit accommodation tax, the GT tax, you know, because these funds support our infrastructure
• <00:24:01.919> values strong tax base and since our tax values strong tax base and since our
• tax code we tiered progressivity to our tax code we tiered our<00:24:39.880> non-owner<00:24:
• up about 48% of our real property tax up about 48% of our real property tax revenue<00:26:24.640

Keywords: 910, house, all

Transcript Highlights:

• AB 1768 does not itself impose a tax.
• before the voters, even if that tax exceeds the current 2% statutory cap.
• California has the highest state-imposed sales and use tax rate in the U.S. at 7.25%.
• California has the highest state-imposed sales and use tax rate in the U.S. at 7.25%.
• I mean, not the actual raising of a tax, and so it felt comfortable with that.

Keywords: 988, house, all

Transcript Highlights:

• We have a duty to spend taxpayers' hard-earned money responsibly and find ways to reduce the tax burden
• And last year we passed a child care tax credit for employers that want to participate in child care
• It's not up to code. It wouldn't pass any inspection.
• It's not up to code. It wouldn't pass any inspection.

Summary: The Health Care Budget Subcommittee began with a roll call confirming a quorum, then heard a presentation of the proposed health care budget. The chair said the overall health care budget would total $46.7 billion, a 2.1% decrease in total spending and a 3% increase in general revenue, while reducing 3,585 state FTE. He highlighted funding for Medicaid, KidCare, developmental disabilities services, opioid settlement spending, mental health facilities, senior services, school health nurses, veterans’ dental care, and veterans nursing home improvements. The chair also presented PCB HCB 25-01, a conforming bill that eliminates the Health Care Innovation Program, the Health Care Innovation Council, and the revolving loan program; makes changes to cancer research and graduate medical education provisions; and adjusts Medicaid rebate-related language. The conforming bill passed favorably after no questions, public testimony, or debate. The committee then considered CS/HB 47 on child care. The bill, as explained by Rep. McFarland, would reduce regulation for child care providers in good standing, speed background screening for child care workers, allow provisional hiring status in some cases, create license-exempt status for certain employer-provided child care facilities and DOD child care facilities, and remove outdated paperwork requirements such as the flu brochure. An amendment restored language protecting large family child care homes from being dropped by residential insurers and cleaned up statutory language; it was adopted. Members debated the bill at length, with supporters emphasizing common-sense deregulation and helping working parents, while some members raised concerns about safety, early learning quality, and the loss of informational reminders to parents. The bill was reported favorably. The subcommittee also heard HB 1553 on a uterine fibroid research database. Rep. Dunkley explained that the bill would require health care providers to submit identified fibroid data to DOH so it can be de-identified for a research database, after the department had been unable to use prior de-identified submissions reliably. An amendment removed the current appropriation and was adopted. Members spoke in strong support, noting the prevalence of fibroids and the value of better diagnosis and treatment data. The bill passed favorably. Finally, the committee heard HB 1529, which addresses the home health aide program for medically fragile children. Rep. Tremont said the bill would direct AHCA to seek a federal waiver so parents’ earnings from caring for their children would not count against Medicaid eligibility, and would revise training requirements and remove mandated annual program assessments. The bill drew supportive public testimony from home care stakeholders, had no debate, and was reported favorably. The meeting then adjourned.

Transcript Highlights:

• This is not a tax.
• First off, it establishes a tax credit that will encourage employers to loan their employees that are
• Speaker, this is simply the historic tax credit bill that continues the historic tax credit program we've
• 44:39.880> tax<00:44:40.200> credit continues the historic tax credit continues the historic
• On page 52 of the calendar, House Bill 438 by Representative Faulkner, relating to income tax.

Keywords: 1136, house, all

Transcript Highlights:

• Um, and I don't know how much *Jumanji: Welcome to the Jungle* received in Hawaii film tax credits.
• Um, and I don't know how much *Jumanji: Welcome to the Jungle* received in Hawaii film tax credits.
• Said Senate bills pass third reading. million worth of tax credits um, from million worth of tax credits
• that it reinvests some of those tax that it reinvests some of those tax revenues<00:48:10.720>
• <00:55:15.599> which residential landlord tenant code which residential landlord tenant code

Keywords: 910, house, all

Transcript Highlights:

• We'll call the House Tax Committee to order. Good morning, members.
• Welcome to the Tax Committee. Okay, let's start with Chair U Akeem.
• I'd like to keep it focused on the tax area; she can talk about that.
• If you turn to the property tax levy tracking spreadsheet...
• Now, I can't raise taxes in our committee.

Bills: HF1049

Keywords: school library aid, education finance, school districts, charter schools, funding eligibility

Transcript Highlights:

• And taxes in general, right?
• Tax is a relatively new one. interests. Tax is a relatively new one.
• Our tax, how we're taxing and who we're taxing.
• Or tax policy.
• <01:46:09.640> Um<01:46:09.920> and tax policy. Um and tax policy.

Keywords: 910, house, all

Transcript Highlights:

• Are you saying that many of these people who are here are not paying taxes?
• You're not supposed to be able to file income taxes.
• You're not supposed to be able to file income taxes.
• Late-filed amendment to the amendment, bar code 26617. 17.
• That is a tax on every law-abiding citizen in the state of Florida.

Summary: The Senate opened with a quorum, prayer, and the Pledge of Allegiance, then read an amended joint proclamation expanding the special session call to include financial penalties for government officials, criminal penalties for offenses committed by illegal aliens, and programs and appropriations to support law enforcement cooperation with federal immigration enforcement. No committee reports, governor’s messages, or House messages were on the desk before the chamber moved to the special order calendar. The main item was Committee Substitute for Senate Bill 2B, the immigration bill, along with a late-filed strike-all amendment by Senator Gruters. Gruters said the amendment aligned terminology with federal law, increased penalties for crimes by unauthorized aliens, added transnational crime organizations to gang definitions, required stronger participation in the federal 287(g) program, created financial penalties for noncompliance, offered a $1,000 bonus for officers assisting ICE in large operations, directed more information-sharing with federal agencies, and barred DHSMV from issuing licenses or IDs to unauthorized aliens. He framed the bill as supporting President Trump’s immigration agenda and focusing on criminal illegal aliens rather than street-level enforcement. A long question-and-answer period followed, with Senators Polsky, Pizzo, Smith, Jones, Roscoe, Berman, and others pressing the sponsor on scope, legality, costs, and implementation. Questions focused on whether the bill would require participation beyond jails and detention centers, whether schools or churches could be affected, liability and immunity for local agencies, the size and purpose of the proposed appropriations, and the impact on undocumented students receiving in-state tuition waivers. Gruters and Senator Fine said the 287(g) provisions were intended to apply to jails and detention facilities, that green-card holders and lawful residents would not be affected, and that the tuition waiver repeal would end discounted tuition for students in the country illegally while not affecting their ability to attend. Fine also defended the mandatory death penalty provision for certain capital offenses committed by illegal immigrants, acknowledging it would likely be challenged in court but arguing the bill was designed to test and advance the policy. No final vote or other action on the bill is reflected in the excerpt.

Transcript Highlights:

• We don't collect Taxes, and we don't spend the money.
• to emphasize that regularly because everybody comes up to me and says, 'I think I'm paid up on my taxes
• we've collaborated to make that happen with them and we've been trying to get some traction with the tax
• Some tax commission payments and income tax refunds can be done electronically, but when you mess up
• We're bringing in more than we're paying out every year, and that's That's not surplus tax revenue.

Keywords: 914, all

Transcript Highlights:

• now hold an executive session pursuant to section 55071,55074, 571139, and 57,140 of the government code
• , find by a preponderance of the evidence that respondent violated Section 253.007 of the election code
• shall read in the context construed under the rules of grammar and common usage, and it cites the code
• Uh, it's set at $200 at a floor of $200 in, in the lobby code. Uh, but it's set by rule at $1000.
• code.

Transcript Highlights:

• will now hold an executive session pursuant to sections 551.071 and 551.074 of the Texas Government Code
• Um, We are pursuant to sections 551.002 and 571.139B of the Texas government code, we are ready to proceed
• The Federal Election Commission has, and the term member is not defined in election code.
• Similar outcome with chapter with with Section 3902 of the penal code, you know, if, if they come by.
• code.

Transcript Highlights:

• They can hire their neighbor, their friend, their relative, but this company helps them with the tax
• > with<00:28:23.440> the<00:28:23.679> background<00:28:24.080> checks, tax
• forms, with the background checks, tax forms, with the background checks, all<00:28:25.039> of
• ><00:38:51.839> section<00:38:52.400> is<00:38:52.960> as fact, I believe the code
• section is as fact, I believe the code section is as vague<00:38:53.599> as<00:38:53.839>

Keywords: 924, joint, all

Transcript Highlights:

• There is another amendment that was brought to us by the MDVA, coded A4, that changes the terminology
• The amendment is coded A5.
• .<00:05:06.400> The<00:05:06.560> amendment<00:05:06.960> is<00:05:07.120> coded
• The amendment is coded A5. Do otherwise. The amendment is coded A5.
• HF 169 and beg for tax cuts for charitable gambling.

Keywords: 1183, house