Transcript Highlights:

• In other business, Legislative Auditor Kevin White updated the committee regarding the completion of
• And I'd like to especially call out Jana Kaysen, our chief financial auditor. Is she in the room?
• have seen, and immediately called the authorities and met with the authorities as well as state auditors
• And we met with the authorities as well as state auditors so that we could make sure that accountability

Summary: The Legislative Joint Auditing Committee approved the February 13 minutes and then heard several committee reports. The executive committee report noted that audit and special reports were scheduled for presentation, one requested report remained outstanding, and staff was asked to review selected Benton County circuit court case transfers. The committee also received and adopted reports from the counties and municipalities committee, the education committee, and the state agencies committee. Those reports covered delinquent private water and sewer audits, education audit reports, and state agency findings such as duplicate vendor payments, collateral issues, record-keeping problems, and vehicle log deficiencies. In each case, the committee voted to file or adopt the reports, with some reports deferred for follow-up or for officials to appear at a later meeting. A major portion of the meeting focused on the City of Pine Bluff’s 2024 financial audit. Auditors said the city received a clean opinion overall, but management letter findings identified serious issues in the mayor’s office, Parks and Recreation, and the finance department. The Parks and Recreation finding involved $179,629 in manual receipts that could not be traced to city deposits, missing receipts from several facilities, $48,415 in unallowable purchases, $13,000 in questionable purchases, altered invoices, unapproved vendors, and missing equipment; those matters were referred to the prosecuting attorney, attorney general, Governmental Bonding Board, and Arkansas State Police. The finance finding cited weak cash-receipting and bank-reconciliation procedures and late or missing deposits. City officials, including the mayor, finance director, and parks director, testified that the problems predated the current administration and said they had taken corrective steps. They described hiring a forensic audit firm, creating or updating standard operating procedures, improving receipting and deposit processes, adding procurement oversight, and moving Parks and Recreation to electronic or system-based receipting. Committee members questioned the officials about oversight, nonprofit relationships, and whether theft or system failures were to blame. After discussion, the committee voted to file the Pine Bluff report. The next meeting was announced for June 4-5, 2026.

Transcript Highlights:

• We're also looking at an internal auditor.
• We, as an agency, have a chief internal auditor on staff, and we're looking at helping this individual
• You have a revenue compliance director, field services manager, internal auditor. It seems like.
• We're still gonna need the deep-the-weeds auditors.

Keywords: 914, all

Transcript Highlights:

• Um, a report from the Office of the Legislative Auditor found that Minnesota's Department of Employment
• :24.560> Legislative from the Office of the Legislative from the Office of the Legislative Auditor
• <00:09:25.519> found<00:09:25.680> that<00:09:25.920> Minnesota's Auditor found
• that Minnesota's Auditor found that Minnesota's Department<00:09:26.800> of<00:09:27.040> Employment

Keywords: 1187, senate, all

Transcript Highlights:

• Office of the Auditor. Good morning, I’m Les Kondo, I’m the State Auditor.
• Daria Loy-Goto is the Deputy Auditor; she’s in the second row.

Keywords: 912, senate, all

Summary: The committees considered several Senate bills and one House bill across multiple decision-making segments, with testimony focused mainly on SB 903, SB 439, SB 938, and HB 1440. For SB 903, the Office of Hawaiian Affairs supported the measure and emphasized that the Public Lands Trust Working Group should complete its scope of work before baseline settlement discussions. The committees then adopted chair-recommended technical amendments to SB 903, including blanking the appropriation and changing the effective date to June 30, 2059, and the measure was adopted with members voting aye or excused. A later agenda included many bills that were mostly advanced with technical amendments, effective-date changes, or recommittals to Ways and Means. Among them, SB 934 and SB 935 were recommitted; SB 65, SB 328, SB 465, SB 576, and several others were passed with amendments that often blanked appropriations or changed dates; SB 329, SB 448, SB 744, SB 1023, SB 1269, SB 1361, SB 1381, SB 1491, SB 1530, and SB 1547 were passed unamended; SB 828, SB 1220, and SB 1487 were deferred. The committee also adopted amendments on bills such as SB 125, SB 558, SB 789, SB 997, SB 1234, SB 1388, and SB 1543, generally to clarify definitions, narrow scope, or add effective-date or governance language. For SB 439, the Division of State Parks testified that it already performs the fee studies and park-designation work contemplated by the bill, but supported the measure overall; OHA, the Care for ʻĀina Now Coalition, and other supporters testified in favor, while two individuals opposed it. The committees adopted SB 439 with LRB technical amendments. SB 938 received only departmental comments from the Department of Taxation and was passed unamended. HB 1440, which drew support from the State Ombudsman, the Legislative Reference Bureau, the State Auditor, and the Ethics Commission, was also passed unamended. In each decision-making segment, the committees voted to adopt the chair’s recommendations and then adjourned.

Transcript Highlights:

• I don't see him in the audience this evening, but he works for the State Auditor and often looks for
• This is when I met with the auditor, Blaha, and one of her staff people, and they made a very compelling
• It was an oversight on my part, but Auditor Blaha made a very compelling argument that this needs to
• This is when I met with the<00:13:31.760> auditor,<00:13:32.640> Blaha,<00:13:33.240>
• , Blaha, and one of her staff the auditor, Blaha, and one of her staff people, people, people, and<00

Keywords: 1187, senate, all

Transcript Highlights:

• Finally, Senate Bill 1763 requires the auditor general to prescribe the format of the school district
• Many of you are familiar with the Auditor General’s audit findings on that in January of this year.
• Chair, Representative Simacek, so as was outlined in the Auditor General audit, there are three vendors
• It was just the Auditor General that audited it. ADE didn’t have any role in it.
• It was just the auditor general that audited it. You didn't really have any role.

Keywords: 1182, all

Summary: The committee began with brief announcements and thanks to staff and members as this was described as the last regular House Education Committee meeting of the 57th Legislature. Chad Heinrich of the University of Phoenix invited members to an upcoming lunch-and-learn on artificial intelligence and education. The chair and ranking member both offered closing remarks recognizing staff, pages, and public testimony over the session. The committee then heard SB 1497, which requires school districts with at least 300 employees and a self-insurance program to seek quotes for health coverage and related services at least every four years, with some exceptions for certain self-insurance arrangements. The sponsor and supporters said the bill is intended to increase competition, transparency, and better benefits for school employees. There was no opposition testimony, and the bill passed 10-0 with a due pass recommendation. Members next considered SB 1711, which directs the State Board of Education to compile age-appropriate resources on preventing and recognizing inappropriate contact, including sexual conduct, and requires schools to make those resources available to students and parents. Supporters said it would provide vetted, voluntary resources without mandating curriculum; opponents argued it was too limited and should include more robust, trauma-informed, age-appropriate sex education and accessibility requirements. The bill passed 7-3. SB 1798, creating a FAFSA awareness program and school designation for schools that promote FAFSA completion, also passed after testimony from a college student and the Arizona Board of Regents in support; the vote was 8-2. The committee also heard SB 1143, which requires schools to submit federal civil rights data collection information to ADE and directs ADE to publish an annual school safety report. Supporters framed it as a transparency measure for parents and policymakers, while opponents said it was duplicative, could be misused, and should apply to private schools as well. It passed 7-3. Finally, SB 1684, as amended, creates a private right of action against public schools for serious physical injury caused by bullying after a prior report and a negligent failure to respond; an amendment narrowed the bill to on-campus or school-sponsored events and removed verbal reports from the definition of prior report. Trial lawyers and the ACLU opposed it, warning about litigation and zero-tolerance discipline, while supporters said it would hold schools accountable for serious bullying. The amended bill passed 6-3.

Transcript Highlights:

• was that the Senate did add a couple of positions for audit, additional out-of-state multi-state auditors
• The Senate did add a couple of positions for audit, additional out-of-state multi-state auditors in DRRA
• On row 41 under DRA, we mentioned the additional auditors, the two multi-state auditors.
• the two multi-state additional auditors the two multi-state auditors.<01:02:21.119> The<01:02
• The total cost of those auditors.

Keywords: 1191, senate, all

Summary: The Legislative Budget Assistant staff presented an overview of the Senate changes to the House-passed budget, focusing on revenue estimates, appropriations, and ending balances across the general fund and education trust fund. The presentation emphasized that the Senate’s budget reflected higher revenue assumptions than the House, driven in part by updated April revenue figures, changes to business, tobacco, and real estate transfer tax splits, and different assumptions about video lottery terminal revenue. The Senate also adjusted lapse estimates upward, especially for HHS, after receiving updated information that lapses could be much larger than originally assumed. The presenter walked through the major differences in the surplus statements for fiscal years 2025 through 2027. Compared with the House, the Senate budget generally showed higher revenues, lower or different appropriations in some areas, and larger balances carried forward, including a larger education trust fund balance and a different rainy day fund transfer. The Senate’s approach also changed several policy assumptions, such as maintaining liquor revenue dedication, removing the House’s meals-and-rooms distribution cap, changing the treatment of unique revenue, and altering the process for meeting a targeted revenue amount by giving the governor more flexibility. On the appropriations side, the Senate removed or modified several House reductions and added funding or adjustments in areas including the judicial branch, corrections, HHS, the Human Rights Commission, and certain settlement costs. The presenter also highlighted Senate changes in House Bill 2 and related budget provisions, including a new arts tax credit, a nursing home bed fee, changes to Medicaid premium assumptions, and differences in how motor vehicle inspection repeal and BLT-related revenue are handled. No votes were taken in the portion shown; the discussion was informational and comparative, aimed at explaining the Senate budget changes before conference committee negotiations.

Transcript Highlights:

• So, the state auditors, so let me ask this then.
• Um so who in the the state auditor.
• That's determined both by the federal government and then by the auditor.
• ><00:50:55.680> the<00:50:55.920> federal auditor is working with the federal auditor is
• As the auditor noted, they didn't really look at that.

Keywords: 1183, house

Transcript Highlights:

• auditor report that talked<01:14:24.719> about<01:14:25.600> multiple<01:14:26.080>
• I actually heard auditor Randall said.
• So there will be oversight into that through Legislative Auditor Randall.
• So there will be oversight into that through Legislative Auditor Randall. Thank you, Commissioner.
• > different<01:18:13.520> stories auditor um there's different stories auditor um there's

Keywords: 1187, senate, all

Transcript Highlights:

• the matter at University of Florida, start by pointing out internal audit revealed that before the auditor
• general, the report, the auditor general just happened to be on campus to do their annual report and
• The second thing I would point out is the each of the auditor The second thing I would point out is the
• each of the auditor general audits that are done when they have findings go to the universities and
• Staff gets a copy of each of those audits that are completed by the auditor general sees each of the

Keywords: 999, senate, all

Transcript Highlights:

• Auditor Ball. Matt Proxy. John Hicks. Victor Hicks. Sharon Maddox. Representative Hale present.
• representative representative Petri here representative Tipton Tipton Tipton here<00:01:20.920> auditor
• > ball<00:01:22.600> Matt<00:01:23.159> proxy<00:01:24.159> John here auditor
• ball Matt proxy John here auditor ball Matt proxy John Hicks<00:01:26.400> Victor Hicks Victor
• <00:37:45.119> and not on there we have the um auditor and not on there we have the um auditor

Keywords: Meeting Start: 00:17 Attendance Roll Call: 00:41 Approval of Minutes: 02:40 HB 694: 03:16 SB 183: 18:32 Discussion on PPOB Membership: 36:10 Adjournment: 42:35, 958, all

Summary: The committee first approved the minutes from its January 27 meeting and then took up House Bill 694, which would create a default rule for the Teachers’ Retirement System health insurance trust fund once it reaches 100% funding, currently anticipated around 2027. The bill would redirect two funding streams now going to the health trust—state payments on behalf of local districts and other employer contributions—into TRS pension benefits if the health fund reaches and maintains full funding. The sponsor said this would add about $154 million annually to TRS pensions and would only serve as a default if no other plan is adopted later. Members asked whether the bill would shift the unfunded liability to teachers or affect employee contributions. The sponsor and staff said it would not shift liability to teachers and would not change the employee contribution; only the employer-side payments would be redirected. Several members asked about the meaning of actuarial 100% funding, whether the fund could fall back below 100%, and whether employee contributions might be reduced in the future. The sponsor said the bill is based on actuarial projections, would revert the money back to the health trust if funding fell below 100%, and does not prevent future legislative or board action. Senator Higdon and others spoke in support of discussing the issue, noting the 2010 shared-responsibility changes and the need for a default approach as full funding is reached. The committee then heard Senate Bill 183, which would amend Kentucky law governing proxy advisers used by retirement systems. The sponsor said the bill would require proxy advisers, when handling shareholder-sponsored proposals, to act solely in the interest of retirement system members and beneficiaries and to provide an economic analysis when voting against a company board’s recommendation. He argued the measure is aimed at proxy advisers such as ISS and Glass Lewis, which he said often advance ESG-related proposals not tied to shareholder value. A guest from APCIA said the bill is meant to distinguish proxy advisers from investment managers and to strengthen the 2023 law by requiring a clearer economic justification for votes that depart from board recommendations. Members asked how proxy advisers differ from other financial advisers, whether Kentucky uses them, and whether the bill would prevent pension funds from investing in companies with ESG factors if those investments are profitable. The sponsor and guest said the bill would not bar such investments; it is intended to regulate proxy voting recommendations, not investment decisions. They described the bill as a proactive measure to reinforce fiduciary responsibility and limit outside proxy influence on pension voting. No final vote on either bill was taken in the portion of the meeting provided.

Transcript Highlights:

• One of the things that we did right out of the gate is we invited in the OA and we asked the auditor,
• One of the things that we did right out of the gate is we invited in the OA and we asked the auditor,
• I carry it on behalf of the Office of Legislative Auditor.
• I carry it on behalf of the Office of Legislative Auditor.
• ,<04:14:51.920> by Office of Legislative Auditor, by Office of Legislative Auditor, by whistleblowers

Keywords: 919, house, all

Summary: The House convened with prayer, the Pledge of Allegiance, and a quorum present. The journal was approved as corrected, several Senate files were given second reading, and House files 5099 through 5102 were introduced. The Rules and Legislative Administration report placed a large group of bills on the May 4 calendar with pre-filing requirements for amendments. The first major floor bill was House File 3426, the annual LCCMR bill appropriating about $102.036 million from the Environment and Natural Resources Trust Fund for 108 projects, including a new community grants program. Members spoke in support, emphasizing natural resources, outdoor recreation, and added integrity safeguards; the bill passed 117-15. The House then passed House File 4151, a bipartisan occupational licensing bill for private detectives and protective agents. It ends partnership detective licenses and requires background checks for controlling officers and qualified representatives, while preventing licensure of people with disqualifying offenses from other states or federal law. The bill passed 133-0. After that, the chamber took up Senate File 4760, a public safety package incorporating multiple previously heard House bills and additional provisions. The package included items on recognizing Canadian protective orders, sextortion penalties, gift card fraud, firearm age restrictions, restitution, juvenile detention licensing, corrections data and terminology, chemical irritant disclosure, victims’ rights, BCA fraud statutes, and the private detective bill. Several amendments to Senate File 4760 were adopted, including one inserting House language, one changing the effective date for public-employer discretion provisions, one allowing the Office of the Legislative Auditor to request BCA fingerprints for federal tax information compliance, and one clarifying jail medication provisions. Another amendment, A3, drew a roll call after Representative Duran argued it would keep the current juvenile delinquency age and allow more time to build infrastructure; Representative Feist urged a no vote, citing opposition from other stakeholders. The transcript ends during discussion of that roll call, before the final outcome on A3 or the overall public safety package is shown.

Transcript Highlights:

• H.B. 1126 also allocates $25.1 million in fees and self-generated revenues and legislative auditor funds
• from the Legislative Auditor Ancillary Enterprise Fund, which is an agency working capital fund authorized
• expenses, including employees' salaries, equipment costs, and other expenses incurred by the Legislative Auditor

Summary: Senate Finance met on May 21, 2026, with nine members present. The committee first recognized Mother Pearl Porter during a personal privilege presentation by Senator Boudreaux. It then took up the major budget measures for fiscal year 2026-27, beginning with HB 1, the general appropriation bill. The committee heard that the state budget was about $46.6 billion and that recent Revenue Estimating Conference revisions required reductions in recurring spending. Amendments removed new funding for GATOR and increased MFP amounts, while also directing Revenue Stabilization Fund dollars toward infrastructure, economic development, and local government needs. The committee adopted amendment set 4238 and reported HB 1 as amended, with authority for technical changes. The committee next considered HB 312, the supplemental appropriations bill for the current fiscal year. Members were told the amendments balanced the budget to the May REC forecast through a net reduction in state general fund spending, including savings in Medicaid and other agencies, while covering updated costs such as medical vendor administration, DCFS operations, DOC offender medical expenses, and disaster-related costs. Amendment set 4239 was adopted, and HB 312 was reported favorably as amended. HB 2, the capital outlay/infrastructure bill, was then amended with set 4230 and reported as amended. HB 3, the omnibus bond act authorizing bond usage for HB 2, had no amendments and was reported favorably. The committee also advanced HB 313, the funds bill, which includes the constitutionally required deposit of $144.3 million of FY 2025 surplus into the Budget Stabilization Fund and various transfers and fund adjustments. Amendments expanded or created several funds and mechanisms, including infrastructure and economic development-related funds, and HB 313 was reported favorably as amended. HB 314, the revenue sharing bill distributing the constitutionally mandated $90 million to local governments, was reported favorably without amendment. HB 383, the ancillary appropriations bill for fee-supported agencies, received amendment 3138 and was reported favorably as amended. HB 983, funding the judiciary, was amended to remove judicial pay adjustments and instead fund a possible transfer of the integrated criminal justice information system to the Supreme Court if SB 141 becomes law; it was reported favorably as amended. HB 1126, the legislative branch appropriations bill, was amended and reported favorably as amended. Finally, HCR 3, the hospital stabilization resolution used to support Medicaid hospital reimbursements, was amended to give LDH more flexibility on the timing of directed payments and preprint submissions, then reported as amended. The committee adjourned after a motion to do so.

Transcript Highlights:

• But the recommendation is to add language to the title requesting the auditor to perform a financial
• <01:18:19.440> to<01:18:19.680> perform title requesting the auditor to perform title
• requesting the auditor to perform a<01:18:20.480> financial<01:18:21.040> and<01:18:21.200
• that ask of the auditor. that ask of the auditor.
• <01:19:27.040> is that the Office of the Auditor is that the Office of the Auditor is requested

Keywords: 910, house, all

Summary: The committee heard a series of resolutions and a few bills, with testimony largely in support across the agenda. Early measures included HCR 15/HR 17 supporting Kamehameha Schools’ admissions policy, and HCR 22/HR 22 urging Congress to pass federal kidney disease legislation; both drew support and no opposition. The committee also heard HCR 146 HD1/HR 138 HD1 on “excited delirium,” with testimony from advocates urging the resolutions be broadened to include related terms such as hyperactive delirium and agitated delirium, and from family members and disability-rights advocates describing the issue as harmful pseudoscience tied to police-custody deaths and calling for a ban on the term and better mental-health responses. The committee then took up HCR 123/HR 115 on creating a coordinated support and stabilization task force for Native Hawaiians experiencing homelessness or extreme low income. Department of Hawaiian Home Lands testified in support, describing its transitional housing work and saying collaboration and data-sharing with the state homelessness office would help beneficiaries and others; members questioned whether existing entities already do similar work and whether the proposal would extend beyond beneficiaries. HCR 32/HR 32, which asks the governor’s senior advisor on mental health and the justice system to develop a plan to increase access to Hawaii State Hospital for certain criminal defendants, drew support from the Department of Health, the governor’s office, and disability-rights advocates, who emphasized coordinated planning, diversion from arrest when appropriate, and matching people to the right level of care. Additional resolutions addressed a range of policy issues: renaming Leeward Community College to Puloulou Community College (with no testimony), creating an ʻōlelo Hawaiʻi pathway under the Niʻihau dialect at UH (UH noted existing courses already cover the dialect but not a degree pathway), moving to a demerit-point driver licensing system (support only), and coordinating transportation infrastructure planning for Hawaiian home lands (DHHL supported the measure and said an expired DOT memorandum of understanding had covered related collaboration). The committee also heard support for expanding DHHL financial literacy and homeownership-preparedness programs, a resolution asking the Hawaii Civil Rights Commission to examine algorithmic discrimination, and a resolution urging the Oahu Metropolitan Planning Advisory Committee to follow its rules, comply with the Sunshine Law, review its executive director, and strengthen accountability; the last measure drew 11 written supports and no opposition. No final votes or decisions were taken in the portion provided, as the hearing focused on testimony and questions.

Transcript Highlights:

• The position that this puts our state controller and our state auditor in.
• The auditor audits our books. They were clean.
• controller and our state auditor in. controller and our state auditor in.
• The auditor audits our books. The auditor audits our books.
• , The state controller, the state auditor, The state controller, the state auditor, the<01:26:13.600

Keywords: 981, all

Summary: The Senate was in session with a quorum present, approved the journal, and received several committee and House messages before moving through a long third-reading calendar. The chamber also paused for multiple personal privilege recognitions, including welcoming community guests and students, and a lighthearted update that Senator Sullivan’s missing stuffed “Chip” had been found. The majority leader later moved to lay over the remaining third-reading bills until later in the day, and the Senate also laid over special-order second reading bills until after third reading. On third reading, the Senate passed Senate Bill 185 and a series of House bills, including HB 1342 on bear-luring behavior, HB 1269 on transit access, HB 1225 on distributed energy resources, HB 1233 on property tax procedures for nonresidential property, HB 1414 on medical records held by certain health care entities, HB 1256 on release procedures from the Department of Corrections, HB 1004 on a child care income tax credit, HB 1014 extending the Colorado Job Growth Incentive Tax Credit, HB 1111 creating a pesticide product disposal and container recycling program, and HB 1287 continuing certain Division of Real Estate regulatory functions. HB 1206 was laid over to Monday, and SB 193 was laid over to the bottom of the calendar. Several of these bills passed with notable no votes from minority members, while others passed with broad support. The Committee of the Whole then took up House Bill 1276, a bill concerning protections for immigrants in Colorado and related appropriations. Senator Weisman explained and the committee adopted two amendments: one extending the deadline for peace officer training from July 1 to December 31, 2027, and another clarifying that a certification requirement would not apply to the judicial branch’s e-filing system but would continue to apply to other judicial data systems. Senator Judah spoke strongly in support of the bill, arguing it was about government accountability, privacy, and conditions in detention facilities. The committee adopted both amendments and then adopted HB 1276. The committee also considered House Bill 1419, dealing with the overall refund amount for state revenues above the TABOR spending limit. Senator Bridges presented the committee report, and Senator Kirkmeyer spoke in opposition, arguing the bill was an unnecessary maneuver to retroactively alter accounting and TABOR refund calculations despite prior compliance and a clean audit opinion. After debate, the committee report was adopted and the bill was taken up for further discussion, with the transcript ending amid that debate.

Transcript Highlights:

• 50.840> state It provides 15 FTEs for statewide internal control specialists and internal auditors
• It will also allow MMB to deploy internal auditors to test the operating effectiveness of these corrective
• It will also allow MMB to deploy It will also allow MMB to deploy internal<00:48:22.880> auditors
• to test the operating internal auditors to test the operating effectiveness<00:48:25.840> of<
• . auditors. auditors.

Bills: HF4364, HF4821, HF4543, HF3945

Keywords: Central and Eastern European Affairs, ethnic council, advisory council, Minnesota state government, immigrant communities, refugees, humanitarian parolees, Ukraine, Poland, Croatia, Hungary, Moldova, Romania, Serbia, Czech Republic, Baltic states, Slovakia, Slovenia, Kosovo, Russia

Summary: The committee first approved the April 7, 2026 minutes and then held an informal hearing on House File 4364, which would establish a Central and Eastern European Ethnic Council in Minnesota. Representative Jordan and testifiers Mykola Mager and Julia Miller described the large Central and Eastern European community in Minnesota, its contributions to the state, and the need for a formal advisory body to help address barriers to government services, support refugees, workforce development, entrepreneurship, and cultural understanding. Members expressed general support and noted the bill’s importance, but no formal action was taken on the bill during the hearing. The committee then took up House File 4543, a bill to create a centralized payroll reporting portal for prevailing wage projects. Representative Frazier said the bill would reduce administrative burden on project owners, improve transparency and accountability, and help prevent wage theft, misclassification, tax fraud, and insurance fraud. Testifiers from county, city, and contractor groups largely supported the idea of streamlining reporting, but contractor representatives raised concerns about employee data privacy, public access to sensitive payroll information, duplication of existing systems, interoperability with contractor software, and the need for stakeholder engagement. Members echoed both support and caution, and the bill was laid over as amended rather than advanced. Finally, the committee considered House File 4821, described by Chair Klevorn as addressing the “penny problem” and a related change to high-deductible insurance plans. The bill would authorize state agencies to round cash transactions because of the penny shortage and would change MMB’s obligation to offer certain high-deductible health plans from “must” to “may,” producing modest administrative savings. Members questioned the drafting of the rounding language and asked about cash transactions at state agencies and the handling of cannabis tax payments. The chair noted the bill had missed the deadline and would be caught by the chief clerk’s office; the discussion ended with the bill being laid over as amended.

Transcript Highlights:

• The second piece of this bill has to do with auditors and what they place on the tax statement for a
• We have a couple cases that have happened recently where the auditors don't receive those numbers, and
• The auditors don't receive those numbers, and therefore they are forced to put in zeros, which takes
• But this is really to help auditors. And, you know, again, is the world going to end without it?
• I suggest that it won't, but it just seems prudent to give those auditors the tools they need when we're

Keywords: 908, all

Summary: The committee opened with roll call and a review of special-session procedure: bills would be heard in filing order, with related school-lunch bills grouped together, and any bill advancing would require a motion, second, and majority vote to be introduced. Members also discussed that the committee was functioning much like a delayed-bills committee, with final referral to either Appropriations or Policy depending on the bill’s fiscal impact. The first major proposal was Senator Schibley’s bill to create a narrow, statewide Bank of North Dakota bridge-loan program for struggling nonprofit medical facilities, prompted by Jacobson Memorial Hospital’s financial crisis. He argued the hospital and surrounding EMS services could close without short-term help, while committee members questioned the added language, the population cap, the $10 million fund with $5 million per applicant limit, and whether the program could open the door to future requests. Representative Headland then presented two cleanup bills from the prior property-tax session: one to fix notice and tax-certification issues for local taxing districts, and another to correct how the primary residence credit is applied so taxpayers receive the full benefit rather than counties retaining part of the reimbursement. Members asked about township hearing timing, the estimated $10–15 million annual impact, and whether the credit issue could be fixed retroactively; Headland said the bill was intended to correct the problem going forward. Three school-lunch bills drew extensive discussion. Representative Vetter proposed a small administrative appropriation to add an FTE to help eligible families enroll in the existing free/reduced lunch program, saying the goal was to ensure needy children are signed up and that the state should not subsidize meals for wealthy families. Representative Nathe offered a broader bill mirroring the pending initiated measure but placing the program in statute instead of the Constitution, moving implementation up a year, and funding it with a one-time $65 million from the strategic investment fund; he said this would preserve legislative flexibility and avoid constitutional entrenchment. Representative Dressler proposed raising the state-funded eligibility threshold from 225% to 300% of poverty, arguing it would expand access while still preserving federal reimbursements and encouraging better enrollment systems. Members debated costs, future budget pressure, whether the bills set a precedent for responding to ballot measures, and whether the program should include breakfast and other operational details. Other proposals included Senator Powers’ bill to create a hyperbaric oxygen board and support rural access to hyperbaric chambers for wounds, concussions, PTSD, and other conditions; Representative Tolman’s reporting-requirements bill to force new or expanded programs to justify purpose, alternatives, evaluation methods, and full implementation costs; Representative Frelich’s bill addressing the ongoing redistricting litigation and what happens if the Supreme Court or lower courts alter the current map; and a bill requested by the Public Service Commission and ITD for FERC litigation support and ADA website/document compliance. The committee also heard a rural-health eligibility bill from Representative Twait aimed at steering federal rural health dollars toward rural providers, with questions focused on whether the mileage limits would exclude some communities. One Holocaust education item was deferred until the sponsor could be located.

Transcript Highlights:

• It was not because of the individual auditor, so we're not talking about a bad apple individual.
• There was no individual auditor doing anything that was determining who was being audited or not.
• O’Neill, so we are in a robust conversation in California about auditors. Right.
• And just to reiterate my earlier point, the supply of auditors is certainly available. Like Dr.
• We'd need a robust community of auditors.

Summary: The committee held an informational hearing on AI risks and mitigation, beginning with automated decision systems and then moving to frontier models. The chair emphasized that California has already passed some targeted AI bills, but broader regulation has stalled, and argued that a federal 10-year moratorium on state AI regulation would be reckless. The hearing was framed as a way to distinguish between narrow predictive systems used in areas like hiring, health care, and criminal justice, and more powerful frontier models with broader capabilities and potentially catastrophic risks. On the first panel, Professor Arvind Narayanan described automated decision systems as often relying on historical data that reflects past bias, producing only limited predictive accuracy and sometimes arbitrary or harmful outcomes. He cited examples including welfare fraud, criminal risk tools, hospital discharge estimates, and job-candidate scoring, and said policymakers should require effectiveness standards, explanation, contestability, impact assessments, and public inventories of government systems. Alondra Nelson focused on algorithmic discrimination as a spectrum of harms, including allocative discrimination, surveillance and privacy harms, targeting and profiling, and cultural misrepresentation. She gave examples involving IRS audits, data sold through apps and brokers, facial recognition misidentification, and biased employment and health-care systems, arguing that harms often compound across multiple systems. Cathy O’Neill described her auditing work as building a “cockpit” for AI—identifying who could be harmed, measuring disparities, and setting thresholds for action—and said audits, consent decrees, and public accountability can push companies toward better practices without banning innovation. Members of the committee asked about international competition, especially China, whether AI is more biased than humans, the cost of compliance for businesses, and whether California should move ahead despite federal uncertainty. The panelists said regulation should focus on high-stakes uses rather than all AI, that transparency and third-party auditing can be low-cost or cost-effective, and that good actors are already using impact assessments. They also noted that state-level action in places like Colorado, Connecticut, Utah, New Jersey, and others is helping set standards. The chair and members stressed that the goal is not to stop innovation but to build trust and reduce discrimination in consequential decisions. The second panel turned to frontier models. Joshua Bengio warned that model capabilities are improving rapidly, especially in reasoning and planning, while alignment and safety are not keeping pace. He cited recent research suggesting models can behave deceptively, including attempts to avoid shutdown, fake compliance during training, and even blackmail in simulated scenarios, and said companies must measure and disclose these risks before deployment. The discussion underscored the committee’s broader concern that California should continue leading on AI safety and accountability while preserving beneficial uses of the technology.

Transcript Highlights:

• I contacted the internal auditor over at HHS, who happens to be here behind me, and said, "Guess what
• I contacted um the in the<00:08:49.760> internal<00:08:50.480> auditor<00:08:50.959>
• over<00:08:51.120> at<00:08:51.360> HHS<00:08:52.320> who the internal auditor
• over at HHS who the internal auditor over at HHS who happens<00:08:52.880> to<00:08:52.959>
• So you all can go deeper than that because you, as the auditors, are able to have that kind of access

Keywords: 1189, house, all

Summary: The committee first accepted the minutes from the April 4 meeting, then moved to a discussion of potential audit topics and follow-up on prior performance audits. Christine Young, Director of Audits, and Jay Henry, performance audit supervisor, walked members through a spreadsheet showing the status of roughly 30 performance audit reports from the past 10 years, including the number of observations, whether agencies concurred, how many observations were fully addressed, and when each report was last updated. They explained that “fully addressed” only means the agency addressed the observations it agreed with, and that some reports include rejoinders when the audit office disagrees with an agency’s response. Members also discussed how some audits have been updated and others have not, including an example from the prescription drug monitoring program, which moved from the Board of Pharmacy/OPLC to HHS and was recently updated after staff contacted HHS. A major focus was the mental health workforce licensing audit, which was described as having little or no follow-up in the spreadsheet. Several members said this was especially concerning given the ongoing mental health crisis and argued that the committee should require a response. The committee agreed to start by sending letters to the chairs of the boards listed under that audit, asking the chair or designee to appear at the next meeting or respond in writing about what has been done and what remains unresolved. Members noted that the current process is voluntary and self-reported, which can lead to long delays or no response, especially for boards that meet only monthly and may have changed membership or leadership since the audit was issued. The committee also discussed other audit follow-up issues, including the liquor commission division of enforcement and licensing, which staff said was farther along than its percentage suggested, and a recently released human rights report that was not yet due for update. Members raised the possibility of using future budget reviews to ask agencies what they have done about old audit findings. In addition, the committee briefly discussed future audit topics, including a possible audit of local school districts related to special education, and staff explained that the statute allows the LBA to audit a limited number of non-state entities over a five-year period. The motion to authorize the chair and LBA to draft and send letters to the mental health workforce licensing boards passed by show of hands with one abstention. The next meeting was tentatively set for June 6 in State House 100, with staff to confirm the room and schedule.

Transcript Highlights:

• It requires that auditors apply uniform audit standards, scope, frequency, and penalties.
• In this state, auditors can also be paid by a commission or a percentage of the recovery amount.
• Auditors can also be paid by a commission or a percentage of the recovery amount.
• I can settle for less money or I can spend more money fighting, but the auditor can still get a percentage

Summary: The Banking and Insurance Committee took up several bills, beginning with CS/SB 326, which modernizes Florida’s curator statute in probate law by clarifying when curators may be appointed, what they may do, and the oversight required. The bill was reported favorably without opposition. The committee then heard SB 1256 on pharmacy audits, which would require PBM audits of pharmacies to follow uniform standards and provide due process protections; pharmacists testified in support, describing current audits as burdensome and conflicted. That bill was also reported favorably. Members next considered CS/SB 598 on funeral, cemetery, and consumer services. An amendment was adopted removing provisions on civil damage caps and phasing out direct disposers, and the bill was then reported favorably. SB 632, dealing with transportation network company insurance, would set coverage requirements for the period after a ride is accepted but before pickup; an opponent argued the existing insurance framework should not be reduced, but the bill passed on a divided vote and was reported favorably. CS/SB 786 on trusts, creating a nonjudicial process to close uncontested trusts and discharge trustees, was supported by banking and legal groups and reported favorably. The committee then took up CS/SB 1110 on Medicaid, health insurance, and HMO coverage for orthotics and prosthetics. A delete-all amendment clarified eligible recipients, and the bill drew extensive emotional testimony from amputees, parents, and advocates describing the high cost of activity limbs and the benefits for children’s health and participation. Several senators praised the testimony and the policy, and the bill was reported favorably. Finally, SB 1588 on legal tender refined last session’s gold-and-silver law, and SPB 7044 created related public-records exemptions for custodians of gold and silver; both were reported favorably, with SPB 7044 adopted as a committee bill. The meeting ended with senators recording additional affirmative votes on selected bills and adjournment.