Transcript Highlights:

• This is for medical professional liability insurance premium reduction.
• That is really one of our reduction in poverty initiatives that helps families.
• As you can tell here on slide four, we have a vacancy rate of 17.8 percent.
• We have increased our FTE and lowered our vacancy rate.
• Our goal and strategy is to reduce the vacancy rate by another 4% within the next 60 days.

Transcript Highlights:

• So in view of that fact, we certainly would not request any reduction, and we might need an increase
• <00:09:37.920> or would not request um any reduction or would not request um any reduction
• They have made a decision to examine a revenue reduction every December.
• Currently there are no vacancies on the board, and every member is serving in a concurrent term,
• <01:27:01.840> for utilization of our vacancies for utilization of our vacancies for stakeholders

Keywords: Appropriations - Room 216, 22 January, 2026; 8:00 AM, 925, all

Summary: The hearing began with the State Board of Architecture’s budget presentation. The executive director described the board’s mission to regulate architecture, landscape architecture, and certified interior design to protect public health and safety. He highlighted the board’s consolidated structure, license totals, high reciprocity rate, recent rule changes to reduce barriers to practice, and a proposed FY 2027 budget of $368,123, which included a 5% staff salary increase and higher operating costs. He also noted a newly identified need to modernize the licensing system, estimated at at least $25,000, and asked that the board not be reduced below the requested level. A board member also praised the small staff’s responsiveness and effectiveness. The State Board of Public Accountancy then presented its budget and policy requests. The executive director said the board regulates CPAs and CPA firms, oversees the CPA exam process, and has about 3,600 active individual licensees and 800 firms. The board requested only a 3% compensation increase for staff, plus a special request to allow an audit supervisor to repay the cost of a Becker review course through payroll deduction as part of succession planning. She also described a board-approved waiver program that began January 1, eliminating application fees for CPA exam candidates and retakes; 42 candidates had used the waiver in the first two weeks. In response to questions, she said the board does not assist CPAs with IRS disputes, but it does investigate complaints from the IRS, SEC, PCAOB, or others. Finally, a representative presented for the Board of Licensed Professional Counselors. She explained that the board regulates licensed counselors and psychotherapy providers, meets frequently, and has two staff members. The board’s main request was for additional investigative capacity: a full-time investigator and related funding, because complaints are currently handled by part-time investigators, contractors, and sometimes board members, which can require recusals from hearings. She said the state auditor had recently flagged complaint backlogs at regulatory agencies, supporting the request. The board also sought funding for a contractual administrative position, salary progressions, and a one-time technology increase to modify its new licensing system for the counseling compact and better search functions. Members questioned the board about its large cash balance, which was reported at about $860,000, and whether it should provide fee relief or other benefits to members; the presenter said the board would look into that and noted that revenues had increased significantly in recent years, partly due to out-of-state and telehealth-related licensing demand.

Transcript Highlights:

• If you account for my um vacancies.
• of Transportation, I have a 30% vacancy of Transportation, I have a 30% vacancy rate<02:23:22.640
• We have 24 vacancies. We have a class that's supposed to start in March.
• We<02:30:42.319> have<02:30:42.560> 24<02:30:43.040> vacancies.
• We have a class We have 24 vacancies.

Keywords: 910, house, all

Summary: The committee heard testimony on HB 1790 HD1, which would require law enforcement and oversight agencies to collect and report data on stops, use of force, and complaints to the Hawaii Crime Lab, which would publish incident-level information and annual reports. Supporters, including the Office of the Public Defender, Office of Hawaiian Affairs, the ACLU of Hawaii, Hawaii Justice Rising, and the Policing Project, said the bill would improve transparency, help identify disparities, and support better policy and accountability. OHA requested amendments to ensure Hawaiians are identified as a distinct category in the data, and the University of Hawaii’s Ashley Rubin said the Crime Lab would work with agencies to make implementation as seamless as possible. The Department of Law Enforcement supported the bill’s intent but asked for a longer timeline and culturally appropriate methodology, while HPD opposed the bill as written, saying it would require too many new data points, create a significant administrative burden, and rely on subjective perceptions of race and ethnicity; HPD also noted it is piloting an e-citation system that could help with data collection. Committee members questioned HPD about current manual processes and technology options. The chair reported 18 testimonies total: 15 in support, one in opposition, and two with comments, and no vote was taken in the excerpt. The committee then heard HB 1611 HD1, which would phase down the general excise tax on groceries and nonprescription drugs until a full exemption takes effect in 2034. The Department of Taxation offered technical recommendations, including clearer definitions for groceries and nonprescription drugs and a technical change regarding the county surcharge exemption. Supporters, including the Hawaii Public Health Institute and the Hawaii Food Industry Association, argued the GET on groceries is regressive and worsens food insecurity, especially for low-income households, and said the bill would provide needed relief. The Tax Foundation of Hawaii offered technical concerns, including a possible wholesale-tax enforcement issue once the exemption is fully phased in. The excerpt ends during testimony on HB 1611, with no final committee action shown.

Transcript Highlights:

• House Bill 475 is relative to the reduction of the default budget for official ballot town meeting.
• House Bill 475 is relative to the reduction of the default budget for official ballot town meeting.
• <00:36:57.200> in<00:36:57.440> a um propose a uh a reduction in a um propose a uh
• Because there was a vacancy in special education. We got a paraprofessional filling that job.
• Um in that case I think it's reduction.

Keywords: 1191, senate, all

Transcript Highlights:

• We have a number of vacancies, but nothing like what they're facing. And I think...
• say once again that in our city, since 1996, we have a great data set to work from, and we see reductions
• We see reduction in injury, reduction in death. Thank you. And we know it works for our community.
• We currently have over 600 sworn vacancies.
• You know, I heard that you have a deficit in the number of officers, many vacancies right now.

Bills: HB2163, HB2256, HB2305, HB2367, HB2369, HB2669, HB2772, HB2916, HCM2007, HCR2004, HR2003

Keywords: lighting laws, construction equipment, farm equipment, vehicle safety, Arizona Revised Statutes, salvage vehicles, insurance claims, abandoned vehicles, salvage auction dealers, vehicle title, towing regulation, private towing carriers, vehicle impound, towing rates, preemption, law enforcement, neighborhood electric vehicles, alternative fuel, vehicle license tax, tax exemption

Transcript Highlights:

• I understand that some of the issues is that the governor is not appointing people to fill vacancies
• a separate annual recruitment process that we actually reran more times this year because of the vacancies
• Um it why aren't vacancies quick enough.
• So we have a separate annual vacancies.
• federal level is the inflation reduction federal level is the inflation reduction act<01:46:04.960

Bills: HB1527, HB1823, HB2490, HB2223, HB2325, HB2104, HB2593, HB2592, HB1927, HB1553, HB1964, HB1918, HB1990

Keywords: gambling prohibition, Aloha Stadium, University of Hawaii, amateur athletics, state lands, coastal resilience, Maui, Mantokuji Bay, coastal erosion, environmental protection, Native Hawaiian, spiritual sites, historic preservation, economic development, burial sites, Department of Hawaiian Home Lands, cultural history, archaeology, Hawaii Revised Statutes, civil service

Summary: The committee first heard HB 1527 relating to gambling. The chair outlined hearing rules, including a two-minute limit and a warning that bills not heard would die. Testimony was overwhelmingly in support from a prosecutor, Honolulu Police Department, and Stop Predatory Gambling, all arguing that casinos and sports betting increase crime, sex trafficking, harassment of athletes, and broader social harm. No opposition testimony was presented, and the committee moved on without questions or action taken on the bill. The committee then heard HB 1823 relating to coastal zone management and HB 2490 relating to coastal resilience. For HB 1823, DLNR, the Office of Planning, and Maui County testified, with Maui County supporting the measure and its proposed amendments. For HB 2490, DLNR expressed concern about exempting a proposed Mokuji Bay pilot project from permits and regulation before a long-term plan is finalized, while the County of Maui, the Mokuji Soto Zen Mission, and the Office of Planning supported the bill as a coastal resilience pilot. The mission described severe erosion, sea-level rise impacts, and years of unsuccessful efforts to stabilize the shoreline; its consultant said the study is leaning toward nature-based and hybrid solutions. In questioning, members and DLNR discussed whether the bill should say the project “shall” or “may” be exempt, and the chair indicated the language would be adjusted to preserve DLNR discretion and to change the lead agency reference to OPSD. No vote was taken in the transcript. Finally, the committee took up HB 2223 relating to historic preservation reviews. SHPD said it stood on its written comments, while OPSD and DHHL supported the bill. DHHL argued the measure would streamline reviews, improve transparency, and help address long wait times for its projects, saying it could alleviate burden on SHPD and better serve beneficiaries. Representative Shimizu questioned whether the bill would create redundancy and expand government rather than strengthen SHPD, noting a separate staffing bill already exists. SHPD responded that DHHL is uniquely subject to 6E review and that the bill would not waive federal or state historic review requirements; the discussion also touched on possible federal-style grant support and the existing memorandum of agreement between SHPD and DHHL. The transcript ends during questioning, with no final committee action shown.

Transcript Highlights:

• I mean, you keep talking about reductions in population, reductions of kids in placement, reduction of
• kids on probation, reductions of contact with system.
• I mean, are we talking about just the reductions for the sake of the reductions?
• I mean, what are we getting for those reductions? Mr. Wu: Why are we seeking those reductions? Mr.
• Chief Rosie Medina: We average between 20 to 30 percent vacancy rating.

Transcript Highlights:

• We have one reduction proposed in Cal OES’ budget. This is a reduction of $49.7 million.
• Related to the reduction, we did just want to flag for you that the proposed reduction could reduce service
• It is a reduction in light of the state's fiscal budget condition.
• Like, when we say service reduction, what specifically are we talking about?
• Well... ...are the service reductions we're talking about.

Summary: The subcommittee heard May Revision presentations for the Office of Emergency Services, Judicial Branch, CDCR, and the Department of Justice, with the LAO offering comments and recommendations throughout. For Cal OES, the administration outlined funding for relocating the Red Mountain communications site, increased FEMA reimbursement authority, cybersecurity grants, next-generation 911 support, and a reduction to the Flexible Cash Assistance for Survivors of Crime program. Members raised concerns about VOCA backfill and disaster reimbursement, while the LAO recommended approving the 911 request with reporting, adding contingency planning for cybersecurity grants, clarifying the FEMA reimbursement language, and increasing reporting on emergency spending. For the Judicial Branch, the May Revision included funding for implementation of the Trial Nations Access to Justice Act, reductions tied to court facilities and employee benefits, and General Fund solutions such as a reduction to the pretrial release program, a reversion from the Trial Court Trust Fund, and elimination of the jury duty pilot program. The LAO cautioned that the pretrial reduction could affect detention and release decisions and recommended tighter legislative oversight over the trust fund transfer and reallocation language. Members questioned the impact of the pretrial cut, the lack of Prop. 36 court funding, and the rationale for the jury pilot elimination; the Judicial Branch said it was generally supportive of the budget as proposed. CDCR presented requests for roof repairs, fire alarm replacements, CalAIM-related costs, and trailer bill changes on incarcerated college students, mental health hiring, and tuberculosis testing, along with a planned prison closure by October 2026. The department also proposed reducing or delaying several items, including radio replacement, ADA improvements, COVID mitigation, and some facility upgrades, while adding a $125 million placeholder for consultant-driven operational savings. The LAO recommended rejecting or reducing several San Quentin-related proposals, questioned the staffing and contract medical requests, and urged more transparency on the consultant savings plan; members expressed concern about the realism of the savings targets and the potential legal or operational risks from delaying ADA and radio projects. For DOJ, the May Revision proposed ongoing funding and 44 positions to defend against federal actions, IT and accounting system upgrades, implementation funding for AB 1877, and a special fund loan. The LAO supported the KLETS connection but asked for a contingency plan if the new DMV link is delayed, noted that AB 1877 would not be fully implemented without additional funding, and recommended limiting and reporting on the federal accountability workload. Members questioned the size and permanence of the DOJ request, the use of the earlier $25 million special session appropriation, and the pace of federal litigation; DOJ said the new request would support ongoing litigation, expert assistance, and coordination across multiple cases and states.

Transcript Highlights:

• We currently have an overall vacancy rate of 27% across the system and a 38% vacancy rate across our
• We've had a chronic vacancy in San Juan County.
• You've talked about the difficulty you have filling positions with a chronic vacancy.
• because you've described the difficulty you have filling these positions, you called it a chronic vacancy
• You said 20 plus percent vacancy, but again, if this is a condition that we're going to see around the

Transcript Highlights:

• The DOC has traditionally relied on major vacancy savings and funds saved due to unfilled positions.
• However, with the vast majority of these positions filled, vacancy funding is no longer a viable strategy
• Some of this is new information as we look at the reductions in costs that have been passed along.
• It's an appropriate punishment, and it comes with reductions in civil liberties—that's the definition
• You may have heard recently about the reduction in North Minneapolis.

Transcript Highlights:

• Page 3, for selected fiscal and policy issues, item 1 discusses a base reduction to the agency's FCE
• Page three, for selected fiscal and policy issues, item one discusses a base reduction to the agency's
• I would like to note an error in our calculation of the reduction amount.
• The correct reduction should be 125.8, which would provide a revised FTE cap of 2,840.5 FTEs.
• When we originally submitted our funding needs, I feel as though the vacancies that were reduced in our

Bills: SB 1, SB1

Keywords: campground safety, youth camp regulations, flood safety, emergency evacuation, health and safety standards, appropriations, budget, state funding, education, healthcare, infrastructure, 1185, senate, all

Transcript Highlights:

• My concern is that a reduction in growers, a reduction in participation by the growers we have, and in
• several of the districts that we had interviews with during the course of the performance review had vacancies
• , had difficulty filling vacancies.
• There are other issues, you know, you mentioned earlier about the reduction in the acreage of orange

Summary: The Senate Committee on Agriculture heard an update on the Florida citrus industry from Matt Joyner of Florida Citrus Mutual and Shannon Shepp of the Department of Citrus. Both described the industry’s steep decline over the past two decades due to citrus greening (HLB), hurricanes, freezes, and aging groves, but emphasized ongoing recovery efforts through research, replanting, and new therapies. They highlighted promising tools such as plant growth regulators, protective screens and covers, direct oxytetracycline application, CRISPR-based breeding, and the CRAFT program, which has expanded to more than 10,000 acres of solid-set plantings and over 20,000 acres including resets. Members discussed disaster relief, property tax pressures, grower participation, and the need for assessment relief and other state support. No votes were taken on the citrus presentation. Shepp also outlined the Department of Citrus’s marketing and research role, noting strong consumer demand for Florida orange juice, global advertising efforts, and clinical research tied to health messaging. She said the industry remains a major economic contributor, with thousands of jobs and billions in economic impact, and that the department is working to maintain demand while growers replant and reset groves. Senators asked about the CRAFT program, new grower participation, and how advertising and state policy could help sustain the industry. The committee then received a performance review of the Opa-locka Soil and Water Conservation Districts from David Jahossky of Malden and Jenkins. The review found wide variation among the 49 districts studied, with many lacking recurring revenue, staffing, proper meeting notices, records retention, formal performance goals, and timely financial reports. The report identified nearly 400 recommendations and noted that some districts had already dissolved or were considering dissolution. Senators questioned whether the districts were duplicative of other agencies and whether they still served a useful purpose; the presenter said there was overlap and collaboration but no duplication. A public commenter from Jefferson County argued that local boards still provide trusted, community-based support for producers and help connect them to cost-share and best management practice programs. The chair indicated the review would inform possible legislation to improve or restructure the districts, and the committee adjourned without taking a vote.

Transcript Highlights:

• Well, I mean, a one percentage point reduction in average daily attendance, even with.
• The same number of kids is a $380 million reduction in district budgets. Okay. Statewide.
• But it is a reduction in the property tax rate. beyond what currently exists in fiscal year 25.
• This explains the small reduction in the early draft of the 2026 UTP.
• And, uh, And I think those factors are helping to drive a reduction in fatalities that we hope.

Keywords: infrastructure, water supply, flood mitigation, Texas Water Fund, community projects, funding allocations

Summary: During this committee meeting, the focus was on discussing critical infrastructure funding, especially related to water supply and flood mitigation projects. Chairwoman Stepney and the Water Development Board presented extensive details regarding the Texas Water Fund, which included $1 billion appropriated to assist various financial programs and tackle pressing water and wastewater issues. Additionally, funding allocations aimed at compromising the state's flood risk and improving water conservation were hotly debated, emphasizing collaboration among committee members and the necessity of addressing community needs in such projects.

Transcript Highlights:

• But have they had any reductions in the reported case? I'm not aware.
• Has California even had a reduction? Who knows, but I can tell you we won't— not right off the bat.
• And if you plan to hold them to that, you will not see a reduction immediately.
• You asked, have they had a reduction? I don't know. There probably won't be one right off the bat.
• You said, A reduction? I don't know. There probably won't be one right off the bat.

Bills: HB4, HB20

Keywords: district composition, congressional election, Texas, legislature, voting districts, fraudulent solicitation, disaster relief, nonprofit organizations, criminal penalties, consumer protection, fraud prevention, charitable donations

Summary: The committee first took up House Bill 2853, which would allow the UT System Board of Regents to adjust the University of Texas at El Paso student union fee above the current statutory cap, subject to student approval, to help fund a new student union building. Senator Blanco explained the bill and the committee substitute, there were no questions or witnesses, public testimony was closed, and the committee adopted the substitute and left the bill pending subject to the call of the chair. The committee then heard House Bill 610, which would limit severance payments for terminated independent school district superintendents to six months’ salary and benefits. Senator Paxton described large severance payouts and said the bill had passed the House overwhelmingly. There were no witnesses, public testimony was closed, and the bill was left pending. A lengthy hearing followed on House Bill 4623, which would waive school district immunity in certain cases involving negligent hiring, supervision, or employment of professional school employees who commit abuse or related misconduct against students. Senator Paxton and several witnesses, including survivors and parents, argued the bill was needed to address cover-ups, delayed reporting, and repeated failures to remove dangerous employees; some members raised concerns about liability caps, litigation, and how the bill would interact with the Tort Claims Act. The committee also heard from TEA staff and employee-group witnesses who discussed possible injunctions and stronger no-hire protections. Public testimony was then closed and the bill was left pending. Finally, the committee heard House Bill 4, an accountability and assessment bill that would restore A-F ratings, change the state testing system, and replace STAAR with shorter, more instructionally useful assessments. Senator Bettencourt explained the committee substitute, including annual ratings, limits on taxpayer-funded lawsuits, and a phased-in testing redesign with beginning, middle, and end-of-year assessments. Testimony was generally supportive from education and business groups, though some witnesses favored norm-referenced testing while others emphasized criterion-referenced, TEKS-aligned assessments; one witness noted social studies assessments were restored in the bill. The hearing concluded with additional invited testimony and no final vote reported in the transcript.

Transcript Highlights:

• For example, research shows that turnover and vacancy rates are factors in quality.
• However, it also shows that vacancy rates and turnover tend to increase, sometimes significantly, In
• Can we incentivize reductions in turnover and vacancy rates, or increase training opportunities and efforts
• The magnitude of those potential reductions, of course, worries us.
• This could lead to federal funding reductions again for VR services.

Keywords: 988, house, all

Transcript Highlights:

• According to CHI's most recent workforce survey in 2023, vacancy rates were above 10% for physicians,
• in emergency room visits, look at the reduction in surgeries for chronic care, et cetera, et cetera?
• I'd expect to see reductions in emergency room visits and hospitalizations because it's really those
• a 56% reduction in risk.
• have only 5% vacancies.

Keywords: 995, all

Summary: The Joint Committee on Health Care Financing held a public hearing on a large docket focused on primary care, workforce development, and medical debt. Chairs Cindy Friedman and John Lawn outlined hearing procedures and noted that testimony would be taken on 17 matters. The committee first heard testimony on bills to establish a community health center nurse practitioner residency program and to strengthen mental health centers. Senator Keenan, Rep. Keefe, and health center leaders described the Worcester nurse practitioner residency as a successful pipeline and retention strategy, citing workforce shortages, training needs in community health centers, and the cost of the program. Rep. O’Day also supported the mental health centers bill, saying it would raise payment rates, improve reimbursement for behavioral health services, and help clinics retain staff and expand access. The committee then took testimony on bills to address medical debt through hospital financial assistance reform. The Attorney General’s Office, Health Care for All, Health Law Advocates, the Leukemia and Lymphoma Society, and individual patients supported the measure, arguing that hospital financial assistance policies are inconsistent, hard to find, and difficult to navigate. Witnesses said the bill would standardize eligibility criteria, create a uniform application, improve notice requirements, and expand access to discounted care up to 400% of the federal poverty level. Several personal stories described medical bills being sent to collections, confusion over insurance billing, and the burden of debt on low-income and chronically ill patients. Committee members asked about hospital concerns, the role of the health safety net, and whether the bill addressed root causes of medical debt; testimony emphasized that the proposal was meant to improve transparency and access rather than replace broader insurance reforms. The hearing also focused heavily on “Primary Care for You” legislation, H. 1370 and S. 867, which would increase primary care investment and create a new payment model. Rep. Haggerty, physicians, a patient, community health center leaders, and the Massachusetts League of Community Health Centers described a primary care crisis marked by low reimbursement, staffing shortages, long waits, burnout, and difficulty recruiting clinicians. Supporters said the bills would shift spending toward preventive, team-based care, improve access and equity, and reduce long-term costs. The Massachusetts Association of Health Plans said it was directionally supportive of increased primary care investment but warned that any new spending must stay within the cost growth benchmark and preserve existing contracting structures. The hearing ended with additional testimony on a community health center workforce and loan repayment grant bill from Rep. Stanley, and with further discussion from Dr. Alan Garo about the need for payment reform in primary care.

Transcript Highlights:

• The number of medical provider vacancies shows that Arizona and Texas had higher vacancy rates than New
• The vacancy rate, you're right, but you also have to overlay that with population growth.
• targeting the setting and the continuum, we need to decide whether we want to focus on treatment, harm reduction
• Focusing on harm reduction, we are looking at the capacity of our behavioral health and health system

Transcript Highlights:

• So how many vacancies are on the board right now? No vacancies. So that's good.
• The second part simply allows the trigger, so if there's a reduction in federal Medicaid funding, we
• bill seeks to ensure that the state can sustain the Medicaid program regardless of federal funding reductions
• in federal match only in compliance with that rule, among other things, to be allowed without reduction
• Section 433.68(b)(3) states that a state may receive health care-related taxes without a reduction in

Transcript Highlights:

• So are we—you're abolishing positions with vacancies?
• All right, so looking at program ID HH100... the vacancy shortage I think mostly the vacancy shortage
• two vacancies two vacancies if<01:53:23.679> there<01:53:23.800> is<01:53:23.920><
• Thank you. reduction um Recycling and reduction um Recycling and sustainability<02:26:05.240> um
• us help the department fill vacancies us help the department fill vacancies and<02:37:01.399>

Keywords: 912, senate, all

Summary: The joint Ways and Means and Health and Human Services committees heard Hawaii Health Systems Corporation’s biennium budget request, with testimony from HHSC leadership on the Hilo/Big Island region (HTH 212) and the Oahu region (HTH 215), plus discussion of capital improvement projects and systemwide partnerships. HHSC described its role as the rural healthcare safety net, serving a high share of Medicare, Medicaid/Quest, and uninsured patients, and said its costs are elevated by state employee fringe benefits, which it said are about 64% compared with roughly 30% in the private sector. HHSC also said pandemic-era federal aid, including relief funds and PPP loans totaling about $100 million, reduced the need for general fund support in prior years. For HTH 212, HHSC said its general fund request for fiscal years 2026 and 2027 was higher than the governor’s recommendation because of rising insurance, pharmaceutical, and contractor labor costs, and because it includes $13.2 million in FY 2026 and $2.3 million in FY 2027 for Epic electronic medical record implementation in East Hawaii. For HTH 215, HHSC said the requested general funds were aligned with the governor’s recommendation, in part because of increased Medicaid reimbursement rates for long-term care facilities under prior legislation. HHSC also said it was restoring a special fund ceiling so the region could spend its cash collections on operations. Members asked about the 64% fringe rate, and HHSC explained the difference was mainly due to defined-benefit pension and retiree health insurance costs, which private hospitals generally do not bear at the same level. Members also asked about the Daniel K. Akaka State Veterans Home, and HHSC said operations would be funded through the general fund corporation for the home when it opens, with management by Ohana Pacific, but no additional legislative operating funds were being requested at that time. Other questions focused on staffing and vacancies, including an abolished procurement position and an ongoing IT help desk recruitment need. HHSC highlighted several capital and partnership projects, including a $25 million state CIP request matched by $25 million from the Benioff family for the Benioff Health Center, an ER expansion and reconfiguration at Corner Community Hospital, and $7.5 million in each fiscal year for Kauai EMR capital funds to join the Epic platform. Testimony also described collaborations with Queen’s, the University of California San Francisco, Hawaii Pacific Health, the Hawaii Cancer Consortium, the Department of Health, and the state hospital to improve specialty access, clinical trials, behavioral health, and patient placement across the system.

Transcript Highlights:

• So reduction there.
• And so we see reduction in sales, reduction in revenue, more businesses closing.
• The loss would mean service reductions inside the county.
• So at this point, we have some vacancies.
• So we would work slowly to potentially fill those vacancies.

Summary: The subcommittee first heard an informational presentation on the May Revision’s proposed reorganization of the Business, Consumer Services and Housing Agency into separate housing-focused and consumer/business-focused entities. Administration officials said the split would improve oversight, streamline decision-making, and create a dedicated California Housing and Homelessness Agency with a new housing development and finance committee. The Department of Finance said funding was needed in 2025-26 to begin implementation, while the LAO recommended rejecting the proposal without prejudice because the Little Hoover Commission review was still pending and the plan would require ongoing General Fund costs. Members raised concerns about the timing, the lack of alignment with the budget process, and whether the reorganization would improve accountability for homelessness spending; several public witnesses supported the concept but stressed it could not substitute for new housing and homelessness dollars. The committee then took up the Department of Veterans Affairs. CalVet requested funding for phase three of its electronic health care record project and a trailer bill to preserve authority for federal background checks, but the May Revision withdrew requests for deferred maintenance and additional administrative support. The LAO noted deferred maintenance can prevent larger future costs, and the chair criticized the withdrawal of less than $1 million for veterans’ homes as short-sighted given existing repair needs. No vote was taken. Next, the Department of Housing and Community Development presented its budget. HCD said the May Revision provides no new affordable housing or homelessness funding, but does retain existing rounds of funding and proposes a $31.7 million reversion from undersubscribed housing programs. Members from both parties expressed concern about zeroing out ongoing housing and homelessness investments, especially for LIHTC, the Multifamily Housing Program, and HAP. HCD also defended its homelessness accountability and compliance work, saying the unit includes about 30 program staff and six attorneys, with three additional attorneys requested mainly to handle public records and litigation workload. Public commenters largely opposed the lack of new funding and urged continued support for housing and homelessness programs, while some supported the reorganization and accountability efforts. Finally, the committee heard Go-Biz proposals. The administration requested authority to increase funding for a federal trade program match if needed, plus reappropriations for administrative funds tied to the Containerized Ports Interoperability Grant Program, zero-emission vehicle operations, and the Women’s Business Center Enhancement Program. It also proposed withdrawing the Cal Competes grant request and reverting remaining funds from the Performing Arts Equitable Payroll Fund. The LAO said Cal Competes is generally effective but could be cut as a budget solution, while warning that the performing arts fund was close to awards and should be considered carefully. Members objected to pulling back committed funds for performing arts organizations and questioned why the state would withdraw support after applications had already been submitted.