Transcript Highlights:

• of these places, but that's not legal medicine because this stuff is not recognized as legal pharmaceuticals
• I could make the same argument for a lot of pharmaceuticals. Same effect.
• Because that's something we can take up with the Pharmaceutical Board or FDA. Right.

Bills: SB5, SB11, SB12, SB9, SB42, SB15, SB5, SB11, SB12, SCR1

Keywords: hemp regulation, consumable products, cannabinoids, occupational licenses, criminal offenses, SB 11, Texas attorney general, election crimes, election law enforcement, criminal prosecution, Election Code, Government Code Chapter 402, local prosecutors, county attorney, district attorney, grand jury, probable cause reports, state election offenses, voter fraud, election integrity

Transcript Highlights:

• it is a threat to our readiness and to the potential health of our service members that DOD's pharmaceutical
• For these reasons, the DoD report recommends boosting the production of finished drugs, active pharmaceuticals
• , and other drugs. pharmaceutical ingredients, and other key starting materials so that we are making

Keywords: Air Force modernization, fighter aircraft, autonomous systems, air superiority, national security, recapitalization

Summary: The meeting primarily focused on military procurement and modernization, with significant discussions surrounding the Air Force's capabilities and strategic needs. Key topics included the urgent need for recapitalization of the Air Force's fighter squadrons, as well as the importance of integrating new technologies like autonomous systems to bolster military effectiveness. Several senators raised concerns about the current resources available to the Air National Guard and the potential loss of skilled service members if recapitalization plans are not swiftly developed. There were also discussions on the importance of maintaining air superiority in light of evolving threats, particularly from adversaries like China.

Transcript Highlights:

• the Nutrition Advisory Committee. is not allowed to maintain an ownership interest in a farm pharmaceutical
• Honestly, if you own 3% of a pharmaceutical company, you own a lot of it, so.
• Consanguinity is not allowed to maintain an ownership interest in a pharmaceutical food. company.

Bills: SB502, SB513, SB622, SB670, SB731, SB732, SB916, SB961, SB1122

Keywords: SB 502, Texas peace officers, Health and Human Services Commission, HHSC Office of Inspector General, OIG investigators, law enforcement classification, Schedule C, state employee benefits, injury benefits, peace officer status, commissioned officers, state auditor classification, Government Code, Code of Criminal Procedure, human services, health and human services, law enforcement compensation, public employee benefits, Texas state law enforcement, child welfare

Transcript Highlights:

• prohibiting public schools from performing diagnostic tests or surgical procedures or prescribing pharmaceutical
• prohibits surgeries such as minor surgery for birth control implants and prohibits the prescribing of pharmaceutical
• implants and prohibits the prescribing implants and prohibits the prescribing of<05:27:06.080><c> pharmaceutical
• </c><05:27:06.760><c> drugs</c><05:27:07.400><c> on</c><05:27:07.600><c> school</c> of pharmaceutical
• drugs on school of pharmaceutical drugs on school grounds. grounds. grounds.

Keywords: 1189, house, all

Transcript Highlights:

• A temporary two-year annual non-compounding payment to eligible para retirees.
• So adding to the compounding COLA is very costly. We're looking at another 15 to 17 years.
• The only difference is we now give a compounding COLA.
• , they would still get the compounding effect of that.
• But that 2% does not compound. So it's not truly a 4.5% bump. Thank you so much, Madam Chair.

Keywords: 996, all

Transcript Highlights:

• Uh, one is that 503B compounding facility should be added to the definition of compound.
• identifying which facility compounded it and on what date it was compounded.
• . compound. compound.
• identifying which facility compounded it and on what date it was compounded.
• </c><00:17:41.800><c> So,</c> saying compound. So, saying compound.

Bills: HB2323, HB2324, HB1509, HB2164, HB2165, HB2367, HB2619, HB1765, HB2187, HB1864, HB1452, HB2314, HB1898, HB2558, HB2319, HB1643, HB2121

Keywords: workers' compensation, treatment plans, vocational rehabilitation, electronic submission, reporting requirements, occupational safety, hoisting machines, discrimination protection, Department of Labor, safety standards, treatment plan, injured worker, medical treatment authorization, employer response deadline, secure electronic transmission, facsimile, fax, mail submission, denial of care, medical necessity

Summary: The committee heard several administration bills related largely to workers’ compensation and unemployment insurance. On HB 2323 HD1, which would modernize workers’ compensation notice and filing procedures, DLIR and other agencies testified in support of the original bill language but said HD1 removed key components and weakened the bill’s clarity and continuity. HB 2324 HD1, which would repeal state hoisting-machine certification requirements and the separate crane operator certificate, drew support from DLIR; members asked about whether the change would affect safety or local operators, and DLIR said OSHA-compliant certifications already exist and the union supported the change. HB 1509 HD1, which would require faster employer responses to treatment plans and impose penalties for nonresponse, received support from DLIR and others, while DHRD said it wanted an amendment. The committee also took up HB 2164 HD1 on compounded prescription drugs in workers’ compensation. DLIR supported the bill as a way to define compounded drugs and curb inflated pricing, but DHRD and a medical provider opposed it and asked for amendments. Testimony focused heavily on whether the definition should include 503B compounding facilities and whether physician dispensing should be limited to the first 30 days after injury. HB 2165 HD1, dealing with unemployment insurance eligibility and removing the two-year limit on recouping overpayments, was supported by DLIR but opposed by Unite Here Local 5, which argued it would make it harder for striking workers and other claimants. Members questioned the impact of changing reporting deadlines from calendar days to business days and raised concerns about future benefit offsets; DLIR said the bill was needed for federal conformity and that the committee would revisit the offset percentage and effective date. Later, the committee heard HB 2367 on pay transparency, requiring salary ranges in job postings and removing the small-employer exemption. The Hawaii Civil Rights Commission, AAUW, Hawaii Women Lawyers, and an individual testifier supported the bill, saying pay transparency promotes fairness, trust, and pay equity; one testifier described being underpaid compared with a predecessor and said posting ranges would save applicants’ time. HB 2619 HD1, concerning homemade food products and farm kitchens, received generally supportive comments from the Department of Health, which requested an amendment to preserve flexibility in future rulemaking. HB 1765 HD1, on spear-fishing safety warnings, drew support from a safety educator and comments from DLNR; supporters said warning labels would help prevent hypoxic blackout deaths and were low-cost and easy to implement. No votes or final committee actions were taken in the portion of the meeting provided.

Transcript Highlights:

• surgeries, injection of anesthetics, steroids, and prescriptive authority for controlled oral pharmaceuticals
• steroids, and prescriptive authority for controlled<00:20:09.280><c> oral</c><00:20:09.679><c> pharmaceuticals
• </c><00:20:10.480><c> like</c> controlled oral pharmaceuticals like controlled oral pharmaceuticals like

Keywords: 0:22 – Roll Call 0:30 – Approval of minutes 1:04 – Department of Veterans Affairs 2:06 – Board of Pharmacy 3:20 – Board of Optometric Examiners 39:26 – Board of Nursing 40:07 – Board of Emergency Medical Services 41:52 – Department of Fish & Wildlife Resources 44:36 – Transportation Cabinet: Department of Vehicle Registration 45:36 – Department of Alcoholic Beverage Control 47:00 – Cabinet for Health & Family Services: Department for Medicaid Services 49:59 – Cabinet for Health & Family Services: Department for Community-Based Services, 958, all

Summary: The subcommittee approved the minutes from the previous meeting and then took up several regulations. The first was a Department of Veterans Affairs regulation, with a staff amendment, to allow nurse practitioners to apply for the Veterans Affairs nurse loan repayment program year-round and to make technical drafting changes. The committee heard from the Office of Kentucky Veteran Centers, then adopted the staff amendment and approved the regulation without objection. The main item of the meeting was the Board of Optometric Examiners’ proposed amendment to 201 KAR 5:010, which would allow applicants to use the Optometry Examining Board of Canada written exam in place of part one of the National Board of Examiners in Optometry exam for licensure. The board said the change would improve access to care, provide an additional pathway for Canadian-trained candidates, and still require applicants to pass the remaining national board parts. Opponents, including NBEO officials, ARBO, Pearson VUE, and several optometrists, argued the Canadian exam is not equivalent, does not test the same biomedical science content, is not validated for U.S. scope of practice, and raises concerns about test security, transparency, and portability across states. They urged the committee to find the amendment deficient or vote no. Committee members questioned both sides about prior communication with the board, whether Kentucky would be the first state to adopt such a change, the rationale for the proposal, and the cost difference between the exams. Supporters said the board had received some written comments and one phone call, and that the proposal was driven by access concerns and the presence of Canadian students. Opponents said they had not had direct discussions with the Kentucky board before the hearing. No final vote on the optometry regulation is reflected in the transcript excerpt, but the committee heard extensive testimony and rebuttal before moving on.

Transcript Highlights:

• And then the pharmaceutical may come back and say, 'Well, if we pay this, would you let it come into
• pharmacy who can make a compounding pharmacy who can make a generic<01:09:26.920><c> version</c><01:
• Because of the unfortunateness of the game of pharmaceuticals and rebates and how that whole process
• Because of the unfortunateness of the game of pharmaceuticals and rebates and how that whole process
• Because of the unfortunateness of the game of pharmaceuticals and rebates and how that whole process

Keywords: 916, all

Transcript Highlights:

• Senator Eldridge were leading the Water Infrastructure Finance Commission, Toilet paper tax, pharmaceutical
• identify the most toxic ones for regulation, but there are thousands of these PFAS, people-like compounds
• They're actually, these chemicals, these compounds do not biodegrade in the environment or in the body

Keywords: 995, all

Summary: The hearing covered a broad set of environmental and water-related bills, with much of the testimony focused on blue economy and circular economy proposals, drought management, drinking water safety, flood resilience, and water infrastructure funding. Supporters of bills such as H. 987 and H. 988 described grant programs for blue economy workforce development, research, small businesses, and public education about a circular economy. Other speakers backed measures on coastal erosion research, recreational boating dredging, cranberry water-right transfers, sand mining oversight, and a voucher program for home water filtration in PFAS-impacted communities. Several elected officials and advocates also urged passage of bills to require private well testing, improve school drinking water safety, and address sand mining pollution and PFAS contamination. Water supply and drought issues drew extensive testimony. Senator Eldridge and others supported legislation to let the state, through DEP and the drought management task force, impose regional water-use restrictions during droughts and make the task force permanent in statute. Advocates from watershed groups, farms, and environmental organizations said the current town-by-town approach is inconsistent and ineffective, and they described drought impacts on rivers, farms, private wells, and wildfire risk. A related bill on private wells was supported as a way to help homeowners test and remediate contaminated wells, especially in rural areas without public water. The committee also heard testimony on a bill to allow the Lynnfield Water District to join the MWRA, with local officials saying the move would help address PFAS and other contamination and improve supply reliability. Another major panel supported a water infrastructure funding bill, arguing that aging drinking water, wastewater, and stormwater systems need major new investment, including support for PFAS treatment, sewer rate relief, biosolids research, and regional interconnections. Members asked about costs, funding sources, and the relationship to existing revolving loan funds; witnesses said the bill would need to be paired with future bond funding and new revenue ideas. No votes were taken during the hearing, and the chairs repeatedly invited written testimony and noted the large number of speakers.

Transcript Highlights:

• The underlying bill is to prohibit pharmaceutical companies from creating a limitation for covered entities
• Representative Tai continues: I would also really take this opportunity to thank many of the pharmaceutical

Bills: SB5877

Keywords: anesthesiology, medical personnel, surcharges, licensing, healthcare regulations, 904, all

Transcript Highlights:

• The underlying bill is to prohibit pharmaceutical companies from creating a limitation for covered entities
• I would also really take this opportunity to thank many of the pharmaceutical companies who volunteer

Summary: The Health Care and Wellness Committee heard executive action on seven bills, with discussion focused on prior authorization, the 340B drug pricing program, biosimilars, HIV drug coverage, exchange certification criteria, and hearing/speech board authority. Members also considered several amendments, including a date change to prior authorization reporting in SB 5395, a large striking amendment and multiple policy amendments on SB 5981, and market-criteria amendments on SB 6210. Testimony and debate centered on transparency, administrative costs, rural access, patient care spending, market stability, and the balance between state authority and federal law. SB 5395 on prior authorization received Amendment 247, which moved the carrier reporting deadline to the Office of Insurance Commissioner from January 1, 2027 to October 1, 2026, and was then reported out with a due pass recommendation. SB 5981 on 340B drug pricing adopted a striking amendment creating reporting and fee structures, but rejected amendments that would have removed filing fees, required 90% of revenues to go to direct patient care, limited additional contract pharmacies to rural or underserved areas, or delayed the bill’s effective date; the bill then passed out of committee 11-7. Supporters emphasized transparency and safety-net funding, while opponents raised concerns about federal preemption, litigation, costs, and administrative burden. SB 5594 on biosimilar substitution, SB 5877 on certified anesthesiology assistants and the physician health program, and SB 6183 on coverage of FDA-approved HIV antiviral drugs without utilization management all advanced with broad support and due pass recommendations. SB 6210 on health benefit exchange market factor criteria adopted a striking amendment but rejected amendments that would have limited updates to every two years, narrowly defined “meaningfully different,” or changed implementation timelines; it also passed 11-7. SB 6226 on the Board of Speech and Hearing adopted Amendment 313 to expand standards-of-care authority for hearing aid fitting and dispensing, then passed 17-1 after debate about patient safety, tele-audiology, and access to care.

Transcript Highlights:

• The demand I once placed on emergency services, hospital beds, and long-term pharmaceutical management
• has been substantially reduced. ...hospital beds, long-term pharmaceutical management, have been substantially

Summary: The Health Professions and Program Subcommittee met with a quorum and considered seven bills, all of which were reported favorably. HB 497 would create a neurofibromatosis research grant program within the Department of Health; an amendment removed automatic recurring funding and made the program subject to annual appropriations. Proponents described the disease burden and the need for Florida-based research support. The bill passed 14-0. The committee also approved HB 223, which creates a licensing and regulatory framework for naturopathic medicine, including a Board of Naturopathic Medicine under the Department of Health. Supporters argued licensure would improve patient safety, transparency, and access, while the Florida Osteopathic Medical Association and Florida Medical Association waived in opposition. The bill passed 15-0. HB 683 modernizes physician assistant and APRN prescribing rules by removing certain administrative notice and prescription-labeling requirements and allowing a 30-day course of psychotropic medication; an amendment removed language that would have allowed practice without physician supervision during declared emergencies. It passed 15-0. The committee then approved CS for HB 121, which updates Florida’s seizure action plan law by extending protections to charter school students, requiring schools to accept physician-submitted plans, clarifying training duration, expanding training to regular bus drivers, and requiring seizure-response posters in schools. HB 353 adds sickle cell disease education to existing pain-management continuing education for health professionals, prompted by extensive testimony from patients and advocates about bias, delayed treatment, and lack of provider knowledge; it passed 15-0. HB 1175 directs the Florida Building Commission and State Fire Marshal to develop updated safety design standards for office surgery suites, with an amendment delaying the effective date to January 1, 2027; it passed 14-0. Finally, HB 251 creates a public records exemption for current emergency physicians and their families, narrowed by amendment to current physicians and children up to age 26 and made subject to sunset review; it passed 15-0. The meeting adjourned after all agenda items were completed.

Transcript Highlights:

• Most people get forayed into pharmaceuticals, cheaper co-pays, cheaper medical drugs.
• doctor for so many years, but now I've got kind of, I went to this Medicare Advantage plan for pharmaceuticals

Keywords: 994, senate, all

Summary: The committee met with a quorum present and heard a presentation from Marty Wright, CEO of the West Virginia Healthcare Association, on the state’s long-term care system. He described the continuum from home care to assisted living to skilled nursing facilities, emphasizing that these settings increasingly serve short-term rehab-to-home patients as well as older adults needing round-the-clock care. He also outlined the number of facilities in West Virginia, the predominance of Medicaid as the payer for long-term nursing home care, the private-pay nature of assisted living, and the role of OFAC/CMS in regulation. A major focus of the presentation was workforce shortages and turnover, especially for CNAs, LPNs, and RNs, along with declining interest in nursing careers and the impact of regulatory burden and burnout. Wright said the system is also struggling to serve younger patients with substance use disorder, mental illness, or other behavioral needs, who are often not well suited for traditional nursing home placement but have limited alternatives. Senators raised concerns about where such patients are being housed, the long-term effects of opioid and behavioral health issues, and the gap between school-age special needs populations and adult care needs. Wright said Medicaid can cover long-term nursing home care for those who meet financial and medical eligibility requirements, but affordability and spend-down requirements remain major barriers. He also warned that Medicare Advantage can create confusion and shorter covered stays for rehab patients, and he urged early planning around long-term care insurance and estate planning. No votes were taken on the presentation, and the committee adjourned after questions and discussion.

Transcript Highlights:

• Mayhew replied: “Well, those properties you're talking about often are utilized for recreational, pharmaceutical
• Representative Mayhew continued: “...about often are utilized for recreational, pharmaceutical manufacturers

Keywords: 959, house, all

Transcript Highlights:

• Adding to those factors that my colleague mentioned, the costs of some of these newer pharmaceuticals—the
• than before because in 2022 the state switched back to a fee-for-service model for paying for pharmaceuticals

Summary: The Assembly Budget Committee held an informational hearing on SB 100/AB 100, the early action budget bills, with a focus on Medi-Cal funding, wildfire recovery, and several smaller budget adjustments. The Department of Finance explained that the bill would add $2.8 billion General Fund and $8.3 billion federal funds for Medi-Cal, along with other items including wildfire-related local assistance for Los Angeles County, property tax backfills for fire-damaged local agencies, Cal OES wildfire monitoring authority, nonprofit security grants, the Property Tax Postponement Fund, FARMER and Clean Cars for All funding, foster family home insurance claims, Proposition 98 technical assistance for LA wildfire-impacted schools, teacher credentialing authority, and Proposition 4 climate bond appropriations for wildfire and forest resilience projects. Much of the member discussion centered on rising Medi-Cal costs, the recent $3.4 billion cash-flow loan, and whether the new appropriation would cover payments through June. Finance said the new funds were for program costs and cash flow, not repayment of the loan, and that no additional loan authority remained. Members also debated the causes of higher Medi-Cal spending, including expanded eligibility, higher enrollment, pharmacy costs, and federal policy changes. The LAO noted that forecasting errors are not unusual but that current revisions are somewhat higher than typical, though not unprecedented. Several members emphasized that Medi-Cal supports access to care and hospital stability, while others raised concerns about sustainability and future federal cuts. Public commenters largely supported the bill, especially the Medi-Cal funding and wildfire-related provisions. Health and labor advocates argued that the program is functioning as intended by covering more low-income Californians and preventing uncompensated care. Representatives of special districts and the Altadena Library District supported the property tax backfill provisions tied to the Eaton fire. The hearing ended without a vote, with the chair noting that the committee would adjourn for floor session and that the Assembly would vote on one of the early action bills later that morning.

Transcript Highlights:

• My name is Michelle Mack, and I'm a senior director at the Pharmaceutical Care Management Association
• and plan sponsors need to be able to make changes during the plan year to the formulary when pharmaceutical
• And as was suggested, the alternative would be for an amendment to include that would require pharmaceutical
• </c> Hello, Michelle Mack with the PCMA, otherwise known as the Pharmaceutical Care Management Association
• It was also paid for by the pharmaceutical manufacturers. increase health care costs by requiring increase

Keywords: 1183, house

Transcript Highlights:

• He added that, while they are accused of not paying or reducing payment for certain compounds like Mr
• Matsunaga said, the 503B compounds, he thinks the committee should conduct an audit, hire a qualified
• He added that, while they are accused of not paying or reducing payment for certain compounds like Mr
• Matsunaga said, the 503B compounds, he thinks the committee should conduct an audit, hire a qualified
• He added that, while they are accused of not paying or reducing payment for certain compounds like Mr

Bills: HCR92, HCR46, HCR172, HCR147, HCR112, HCR100, HR84, HR42, HR139, HR104, HR92

Keywords: automated external defibrillator, AED, cardiac arrest, state buildings, health education, public health, lifeguards, first responders, public safety, ocean safety, emergency response, Hawaii, workers' compensation, auditor, procurement audit, compliance, Department of Human Resources Development, transparency, accountability, medical care

Transcript Highlights:

• interact with other compounds in the body, and I'm going to see how those might interact or affect major
• said before, I'm using metabolomics, and here I'm analyzing metabolites, which are just chemical compounds
• Yeah, so examples of metabolites, these are just any sort of compounds in one's body.
• They're just different compounds, chemical compounds or chemical structures in our body that carry out
• So you have one specific metabolite or a compound, which is your key, and you have a protein, which is

Summary: The Committee on Science and Technology met to hear a presentation from Ananya Lakaraju, a Hamilton High School junior, on her research into the biology of major depressive disorder. She described a project using saliva metabolomics and machine learning to identify potential biomarkers of depression from a UCSD dataset of 261 patient samples, explaining that the goal was to move beyond subjective screening toward more objective, biology-based diagnosis. She also discussed using multiple statistical methods and an ensemble AI model, along with SHAP and permutation importance, to identify top metabolites and related pathways, and said her work suggested some novel biomarkers and possible links to depression-related pathways. Lakaraju further explained a drug-discovery component of the project, in which she used pathway analysis and molecular docking software to identify a potential target protein and test candidate compounds, saying flupinazine showed the best binding energy in her simulations. She noted that the model achieved about 90% accuracy and a 97% AUC, and said she also built an app to collect mood and activity information to complement the biological data. Members asked questions about the metabolites, whether the findings were novel, how the saliva data were obtained, and how the app and future at-home testing might work. She said the biomarkers were computationally identified, the saliva data came from an online UCSD dataset rather than direct collection, and the app was intended to support more holistic diagnosis rather than replace clinicians. Committee members praised the presentation as impressive and timely, especially in light of the growing role of AI in medicine and the need for AI regulation. Lakaraju also spoke about her interest in coding and biology, her experience in robotics, and receiving the Governor’s Future Innovator of the Year Award. No formal votes or legislative actions were taken, and the meeting adjourned after the presentation and discussion.

Transcript Highlights:

• My name is Jeremy Browning, and I represent Otsuka America Pharmaceuticals, and we stand in support of
• My name is Jeremy Browning, and I represent Otsuka America Pharmaceuticals, and we stand in support of
• And when I mean overall spending, I mean pharmaceutical spend, I mean emergency room, I mean hospital
• zero, what ultimately happens is a large fiscal note that looks at the increase in potential pharmaceutical

Summary: The committee first approved the February 4 minutes, then heard Senate Bill 1086, which would require AHCCCS contractors to reimburse non-contracting providers for certain lab services when a member was referred by a contracting provider and would bar prior authorization for diagnostic services. The sponsor said the bill was intended to address unpaid claims and improve access, while Access testified neutral but warned the prior-authorization ban could increase utilization and create a fiscal impact. The committee adopted the Warner amendment limiting non-contracting reimbursement rates to no more than contracting rates, then passed SB 1086 as amended on a 4-2 vote. The committee then took up Senate Bill 1611, an emergency measure to require Access to contract with an administrative services organization for the American Indian Health Plan, while keeping Access ultimately responsible for administration. The chair’s amendment expanded ASO duties to include provider support, quality improvement, and data analytics, removed Access claims-payment authority, added tribal observers to the selection committee, and exempted IHS and tribal-facility services. The sponsor and tribal witnesses described the bill as a response to fraud, provider nonpayment, and harm to Native communities, while Access raised concerns about the fast timeline, tribal consultation requirements, possible duplication of program-integrity functions, and fiscal uncertainty. After debate over the emergency clause and tribal consultation, the committee adopted the amendment and passed SB 1611 as amended on a 5-2 vote. The committee also heard Senate Bill 1630, which would direct Access to seek federal approval for a Medicaid home- and community-based services program for adults with serious mental illness. Supporters said the bill would create a long-term community-care option for the sickest SMI members, reduce cycling through hospitals, jails, and homelessness, and potentially save state general fund dollars; family members and advocates testified in support. Access was neutral and said it was finalizing a fiscal estimate. The Angus amendment narrowed eligibility to long-term SMI, reduced the enrollment cap from 500 to 250, changed reporting to semiannual, and removed priority-order language; the committee adopted the amendment and passed SB 1630 as amended unanimously. Later, the committee passed Senate Bill 1193, which protects emergency medical care technicians’ personal identifying information from sale or disclosure by the Department of Health Services, after adopting a clarifying amendment expanding the protected information and addressing commercial requests. It then heard Senate Bill 1318, which repeals the state’s separate dense-breast notification requirement so Arizona law aligns with the FDA’s newer mammography notice standard; the sponsor and DHS said the change would reduce confusion from duplicate, slightly different notices, and the bill was moving forward with discussion of possible future amendment language.

Transcript Highlights:

• Pharmaceuticals. And we spend an exorbitant amount of pharmaceuticals.
• Pharmaceuticals. And we spend an exorbitant amount of pharmaceuticals.

Keywords: 989, all

Summary: The committee heard a budget presentation on the Division of Medicaid within the Department of Health and Welfare, including an overview of the division’s five programs, staffing, spending trends, and the large share of the budget that goes to trust and benefit payments. Ms. Williamson explained the difference between ongoing and one-time enhancements, the role of population forecast adjustments, and why the fiscal year 2026 and 2027 numbers change significantly. Members asked about the growth in the budget, the FMAP match rate, the impact of provider rate changes, and the shift of some positions into Medicaid from other divisions after last year’s reorganization. A major topic was House Bill 345 and related budget changes, including the hospital assessment fund alignment, the 4% provider rate reduction, and the effect on Medicaid expansion and other populations. The committee discussed the decline in expansion enrollment, rising costs in traditional Medicaid populations, and the governor’s recommendation to offset part of the 2027 increase with additional reductions. Members raised concerns about access to care, especially for dental, behavioral health, developmental disability, and home- and community-based services, while the deputy director said the department is trying to contain costs through prior authorization, fraud and abuse work, and policy changes. The committee also focused on the MMIS replacement project, which is in year four of a five-year procurement and is funded through dedicated and federal dollars tied to milestones. Another significant item was estate recovery, where the department requested funding to replace an outdated case management system and add contractor support to address a backlog of roughly 20,000 cases; members questioned the return on investment and asked for more detail on the software and staffing split. The deputy director also explained the federally qualified health center reconciliation issue, saying the state had not been properly paying change-in-scope amounts and is now using a new process with interim payments and later reconciliation. In addition, lawmakers asked about program integrity staffing, the use of AI, and whether the department could better target fraud, waste, and abuse investigations. The deputy director said the department is reviewing AI use cautiously and sees opportunities for it in claims review and anomaly detection, but emphasized that the current request is for dedicated receipt authority rather than general funds. No formal votes were taken in the excerpt, but the committee received the presentation, asked extensive questions, and was told that some follow-up information would be provided later.