Transcript Highlights:

• It restricts state-directed payments from exceeding Medicare payment rates.
• January 2027 it restricts state new state directed payments from exceeding Medicare payment rates that's
• There are no new state-directed payments that can exceed the Medicare payment levels, and it requires
• existing state-directed payments... ...the Medicare payment levels.
• And it requires existing state-directed payments.

Committee: Senate Health & Long-Term Care

Summary: The committee opened with an extensive update on the expected effects of federal HR1 on Washington’s health care system, especially Medicaid and the individual market. Governor’s office and Health Care Authority staff said the bill is likely to cause immediate coverage losses in the exchange beginning in January, followed by larger Medicaid impacts over the next several years. They highlighted likely premium increases, administrative burdens from more frequent eligibility checks and work requirements, reduced retroactive coverage, limits on state-directed payments and provider taxes, and possible effects on rural hospitals and safety-net providers. They also noted separate CMS rules already being implemented in Washington on prior authorization, managed care access, home- and community-based services, and eligibility/enrollment, and explained how those rules interact with HR1’s new requirements and timelines. Members asked about Planned Parenthood funding, work requirements, rural health grants, provider impacts, and how the state will use existing systems and a forthcoming timeline to prepare for implementation. The committee then received an update on the International Medical Graduate Work Group and Washington’s efforts to create pathways for internationally trained physicians. Presenters described the state’s clinical experience license, the clinical evaluation tool used to assess readiness, a grant program for career guidance and clinical training, and a 2025 law adding a hardship waiver process. National presenters from World Education Services and the Federation of State Medical Boards said many states have adopted similar pathways because of physician shortages, but approaches vary widely. They recommended clear guardrails, employment offers before application, ECFMG certification, supervised provisional practice, data collection, and protections against exploitation. Committee members asked about portability across states, retention of IMGs, and whether Washington should pursue additional options such as dedicated residency slots, preceptorships, or practice-ready assessment models. The final topic was an update on the Apple Health doula benefit and the statewide doula hub and referral system. Senator T’wina Nobles praised the state’s work, noting Washington’s high Medicaid reimbursement rate for doulas and the importance of building infrastructure to support equitable maternal care. Health Care Authority staff said the benefit launched on January 1, 2025, and covers prenatal intake, labor and delivery, postpartum visits, and telehealth-supported services. They reported 336 state-certified doulas, 134 enrolled with Apple Health, 287 clients served, and 641 claims paid so far, while also acknowledging barriers such as provider enrollment, claims submission, client matching, and language access. Doulas for All described the hub as part of a broader effort to expand access, support community-based birth workers, and reduce maternal and infant mortality disparities, especially for Black and Indigenous families.

Transcript Highlights:

• It restricts state-directed payments from exceeding Medicare payment rates.
• January 2027 it restricts state new state directed payments from exceeding Medicare payment rates that's
• There are no new state-directed payments that can exceed the Medicare payment levels.
• And it requires existing state-directed payments... The Medicare payment levels.
• And it requires existing state-directed payments.

Summary: The committee first received an update on the effects of HR1 and related federal Medicaid and marketplace changes from Governor’s Office and Health Care Authority staff. Presenters said the most immediate coverage losses are expected in the individual market beginning in January, with premium increases and an estimated 80,000 people potentially unable to afford coverage. They warned that larger Medicaid impacts will follow over the next year and beyond, including tighter eligibility checks, work requirements, reduced retroactive coverage, limits on state-directed payments and provider taxes, new cost-sharing, and changes affecting certain non-citizen adults. They also said the state plans to seek a waiver or extension for work requirements and will continue to analyze impacts, including on rural providers and Planned Parenthood-related services. Members asked about the effect on nursing homes, rural hospitals, and how the state can help providers and enrollees navigate the new requirements; staff said timelines and a state-specific implementation chart are being developed. The committee then heard a report on the International Medical Graduate Work Group and Washington’s efforts to create pathways for internationally trained physicians. Testimony described the clinical experience license, the clinical evaluation assessment tool, grant funding for IMG support organizations, and a new hardship waiver process enacted this year. National presenters said many states have adopted similar pathways because of physician shortages, but Washington and Tennessee are among the few states that have actually issued licenses so far. They recommended clear guardrails, an employment offer before application, ECFMG certification, supervised practice, and data collection to avoid exploitation and protect patients. Members asked about state-to-state variation, retention of IMGs, and whether Washington should pursue dedicated residency or preceptorship options; presenters said the key next step is moving successful participants from supervised experience to a durable long-term license. The final topic was implementation of Washington’s Apple Health doula benefit and the statewide doula hub and referral system. Senator T’wina Nobles highlighted the state’s $3,500 per-birth Medicaid reimbursement rate for doulas and the importance of the hub for referrals, training, and billing. Health Care Authority staff said the benefit launched January 1, 2025, and covers prenatal intake, labor and delivery, postpartum visits, and telehealth-supported services. They reported 336 state-certified doulas, 134 enrolled in Apple Health, 287 unique clients served, and 641 claims paid so far. Testimony emphasized doulas’ role in improving birth outcomes, reducing unnecessary interventions, and addressing racial disparities in maternal health, while noting that implementation is still early and ongoing.

Transcript Highlights:

• All families to verify continued eligibility prior to each payment.
• As you'll see, we are talking about a payment cycle of every six weeks.
• We do monthly payments, but we frontload and give a two-month payment on the front end to homeschooling
• Give a two-month payment on the front end to homeschooling families.
• Checks that could result in students missing out on funding payments, so that's one concern.

Transcript Highlights:

• The building authority has the option to do the lease payments and structure the bonding as lease payments
• Loan payments, participation loans, all that money moving on a daily basis; participation payments, split
• payments, interest payments, Federal Reserve line access, correspondent services, bond payments, bond
• Our payment rails are not fast, cheap, and integrated. Banking needs a new set of payment rails.
• So it's three years of no interest, no payments, two years of low-interest payments, and then it's due

Summary: The committee received a compliance and budget update on Industrial Commission agencies and programs, including the Industrial Commission administrative office, the Oil and Gas Research Program, the Clean Sustainable Energy Authority, the State Energy Research Center, the Research Technology Park grant program, and related funds. Staff reviewed spending and balances for items such as electric grid resiliency grants, lignite research, enhanced oil recovery, the salt cavern business case study, and the new NDSU research and technology park grant. Members also discussed timing, carryover balances, matching requirements, and how some programs are structured to reimburse projects over several years rather than spend funds immediately. Karen Tyler of the Industrial Commission described the agency’s administrative budget, the grant management system nearing completion, and the transition to standalone audits and staffing after separating from other agencies. She also outlined the status of active grant rounds across lignite, oil and gas, renewable energy, outdoor heritage, and clean sustainable energy programs. Members asked about the length of active grants, demand for clean energy funding, and the possibility of future grant rounds. Tyler and members also discussed the salt cavern study, the need to better define its commercial value, and the research technology park grant’s cash-match requirement. Ron Ness then testified on enhanced oil recovery and broader oil and gas market conditions. He said North Dakota production remained steady, but future growth depends on infrastructure, longer laterals, and better use of natural gas and carbon dioxide for EOR. He described the state’s EOR grant round, the use of federal DOE funding to replace part of a state-funded project, and the expectation of additional grant rounds. Members asked about CO2 supply, storage, and the economics of using legacy fields and pipelines to extend oil production and support agriculture and industrial uses. The committee also heard from Bank of North Dakota President Don Morgan, who reviewed the bank’s mission, governance, lending verticals, disaster programs, and new initiatives. He said the bank is seeing deposit growth flatten and is responding to fintech competition by focusing on liquidity, risk management, and a new payment infrastructure initiative called Rough Rider Coin, which he emphasized is not crypto and not a public coin, but a banking payment rail for North Dakota institutions. Members asked about student loan rates, disaster lending, and how the bank’s lines of credit and balance sheet capacity are affected by deposit trends. Morgan said the bank remains profitable and continues to support agriculture, commerce, and industry through participation loans, student lending, and state-directed programs.

Transcript Highlights:

• Let's make these payments without any prepayment benefits.
• amount by February 15 of the school year and selects the lump sum payment option provided in Section
• This bill would allow school districts to make their recapture payments six months early and receive
• The concept's not new; Texas already offers businesses ...a 1.75% credit for early sales tax payments
• Under House Bill 3, school districts also received a credit for early recapture payments.

Bills: HB 123 , HB5606 , HB549 , HB2757 , HB4359 , HB5381 , HB1939 , HB123

Committees: Senate Education , Senate Education K-16

Transcript Highlights:

• payment was made originally. originally. originally.
• to explain what originally thinking was in paying the payment.
• to explain what originally thinking was in paying the payment.
• Some were clawbacks from payments back as far as 2021.
• recoupment payments sometimes as much as recoupment payments sometimes as much as four<00:18:15.160><

Summary: The committee took up House File 729, an omnibus policy bill, and walked through a series of amendments before moving the bill forward. Early amendments addressed adult maltreatment accountability, senior nutrition flexibility, MA provider enrollment and fraud prevention, Direct Care and Treatment data and staffing provisions, disability and aging policy changes, technical corrections from DHS, behavioral health language, and MDH policy updates. Most amendments were adopted without public opposition, and several members and testifiers described them as clarifications or technical fixes to existing policy. Testimony focused on the practical effects of the bill’s provisions. Direct Care and Treatment representatives said the changes would help with data sharing, governance, staffing, patient care, and longer return stays for certain patients. Several witnesses from the substance use disorder and health care provider community supported changes to discharge summary deadlines and claims recoupment rules, arguing that business-day timelines and limits on late clawbacks would reduce administrative burden and financial uncertainty. A disability advocate also urged passage of the bill, saying services for people with disabilities were at risk if it did not advance. After public testimony and member discussion, the committee adopted the DE2 amendment as amended and then approved the bill as amended. Chair Noor renewed the motion to re-refer House File 729 to the Committee on Ways and Means, and that motion passed.

Transcript Highlights:

• As you probably know, each hospital had an initial 18 months with no payments due.
• 16 qualified for the initial 12 months, also with new payments, no payments, and now we're reentering
• Payments on their loan.
• , what we call transformative payments for rural hospitals.
• So the second part of that was a cap on provider payments.

Summary: The Assembly Budget Subcommittee on Health heard updates on five health-related budget items. First, members reviewed state support for distressed hospitals and health facilities. The California Health Facilities Financing Authority and HCAI described the Distressed Hospital Loan Program as a lifeline for 16 hospitals, many of which remain financially strained and are expected to seek loan forgiveness rather than repayment. Speakers cited reduced contract labor, new service lines, strategic partnerships, and the reopening of Madera Hospital as signs of progress, but also warned that federal policy changes under H.R. 1 will likely increase uncompensated care and pressure emergency departments. Public commenters from hospital, dental, and consumer groups supported additional funding, including a request to refresh the program with another $300 million. The committee then heard HCAI’s update on the California Rural Health Transformation Program, a five-year federal initiative funded at $233.6 million for California. HCAI said the program will focus on rural care models, workforce development, and health technology, with grants to be rolled out on a fast timeline and all funds obligated by October 30, 2026. Members raised concerns about rural provider capacity to apply for grants, and HCAI said it will use a third-party administrator, a technical assistance center, webinars, and other supports to help applicants. HCAI also presented its budget request for the health care payments database, seeking ongoing non-General Fund support to continue operations and expand data, including pharmacy benefit manager data. The Emergency Medical Services Authority presented three budget change proposals: funding to replace disaster medical services fleet vehicles, funding for IT security work, and additional positions for HR, enforcement, and legal workload. A member also raised concern that EMSA has not yet completed the annual ambulance rate reporting required by AB 716, and EMSA said it remains committed to the requirement but lost prior funding through later budget reductions. Covered California reported that it is still finalizing its own budget, but expects a lower operating budget due to efforts to reduce baseline costs and align spending with actual expenditures; it also projected enrollment declines tied to the expiration of enhanced premium tax credits, H.R. 1, and federal rule changes, while noting that revenues may still rise because premiums are expected to increase. Finally, the Department of Managed Health Care outlined budget proposals tied to menopause coverage and education, PBM licensure and enforcement under AB 116 and SB 41, credentialing reforms under AB 1041, and prior authorization reporting under SB 306. Public testimony generally supported the menopause and PBM proposals, while also urging clearer language and attention to Medi-Cal parity. The hearing concluded after public comment, including additional advocacy for sickle cell services and rural health workforce funding.

Transcript Highlights:

• Well, theoretically, the error rate would capture fraudulently made payments as well.
• So this doesn't mean that the payments are permanently made in error.
• determine what that payment appropriately should be.
• How the feds determine what that payment appropriately should be.
• They are based on estimates; the estimated payments get set when you file in April.

Committee: Senate Senate Committee on Intergovernmental Affairs

Summary: The committee heard testimony from Doug Howe of the Mass Taxpayers Foundation and Evan Horowitz of Tufts on the fiscal effects of federal policy changes, especially the OB3 reconciliation law, federal shutdown risks, and Massachusetts budget planning. Howe outlined a framework of direct and indirect federal impacts on the state budget, capital program, and grant funding, emphasizing uncertainty around Medicaid, SNAP, LIHEAP, immigration, NIH funding, and federal tax changes. He said OB3 is expected to reduce federal health spending in Massachusetts by about $3 billion annually when fully implemented, with an estimated 250,000 to 300,000 people losing coverage, and could shift up to $400 million in annual SNAP costs to the state if Massachusetts’ error rate remains above the federal threshold. He also discussed the governor’s proposal to delay conformity with certain federal tax changes and to expand the pass-through entity tax to offset revenue losses. Members questioned the witnesses about SNAP error rates, unemployment insurance, the use of the stabilization fund, and whether the state should adopt a Maryland-style delay in implementing federal tax changes. Howe argued the stabilization fund should not be used to backfill permanent obligations, but could be used for temporary crises, and said the state should improve data-sharing and administrative systems so eligible residents do not lose MassHealth or other benefits because of paperwork barriers. He also said unemployment insurance remains a major problem and that a broader fix should include benefit, tax, and possibly state contributions. Horowitz took a more aggressive view on using reserves for urgent needs like SNAP, argued the state should harden its budget against volatility, and warned that Massachusetts is increasingly exposed to stock-market-driven revenue swings and to a possible income tax ballot question that could significantly reduce revenues. No votes were taken; the hearing was informational, and the chair asked both witnesses for follow-up written recommendations, especially on system integration and accountability.

Transcript Highlights:

• We've had this discussion around delayed payment for impact fees.
• “Delayed payment for impact fees.
• there was no, there was a very low non-payment of those impact fees in that program.
• The bill would defer payment.”
• And in this case, by delaying this payment, the revenue is delayed.

Summary: The Senate Housing Committee heard public testimony on several bills. SB 6091 would prohibit real estate brokers from marketing residential properties to limited or exclusive groups unless the listing is also marketed to the general public and all brokers, with exceptions for health or safety and private party sales. The sponsor and supporters, including Washington Realtors, Habitat for Humanity, Zillow, the Fair Housing Center, and others, said the bill promotes transparency, competition, and fair housing by preventing “pocket listings” and insider access. Opponents, including Compass representatives and some brokers, argued it would limit homeowner autonomy, harm privacy-sensitive sellers such as seniors, and create legal risk for brokers; the Attorney General’s office said it supported the competitive goal but wanted a different enforcement mechanism than WLAD. The committee later closed testimony on SB 6091 without taking final action in the hearing. The committee also heard SB 6200, which would allow tenants and residents in manufactured home communities to install portable cooling devices, subject to safety, code, and electrical restrictions, and would require landlords to notify tenants of their rights and limitations. The prime sponsor and many public health, tenant, and climate advocates said the bill is needed to prevent heat-related illness and death during extreme heat events, especially for renters in older or low-income housing who lack built-in cooling. Landlord and property management groups supported the idea of portable floor units but raised concerns about window-mounted devices, citing fall hazards, property damage, and insurance issues. Testimony emphasized that the bill includes liability protections for landlords and is intended as a narrow public health measure. The committee then heard SB 6096, which would require cities and towns collecting water and sewer connection charges to offer a deferred payment option for qualifying residential construction until final inspection or certificate of occupancy. The sponsor and builders’ groups said deferral would reduce upfront financing costs and help housing production. Cities and utility districts opposed the bill, arguing it shifts financial risk to utilities and ratepayers, complicates infrastructure planning, and could delay or reduce needed system investments. Finally, the committee heard SB 6153, which would create a senior independent housing ombuds program, require registration of senior independent housing facilities, and make certain landlord-tenant violations subject to Consumer Protection Act enforcement. The sponsor said the bill responds to complaints from seniors in independent living settings who lack an ombuds or other practical recourse, while staff noted the bill carries an estimated $4.4 million biennial fiscal impact.

Transcript Highlights:

• and instead move toward value-based payments, population-based payments, and episodes of care.
• Value-based payments, population-based payments, and episodes of care are designed to incentivize quality
• They only want to do value-based payment.
• But there are other cases. for payment is too low. They just can't do it.
• get a bonus payment.

Committee: House Health Care Affordability, Select

Transcript Highlights:

• for managed care MA forecast payments for managed care MA capitation<00:22:06.400><c> payments</c><00
• :22:06.799><c> by</c> capitation payments by capitation payments by 0.1%<00:22:09.039><c> and</c><00:
• are. combination of payment increases or combination of payment increases or modifications<00:23:22.720
• <00:25:00.400><c> rates</c> payment rates payment rates for<00:25:03.279><c> ambulances.
• </c><01:19:40.560><c> to</c> perenrollment incentive payments to perenrollment incentive payments to

Committee: Senate Health and Human Services

Transcript Highlights:

• So state directed payments or SDPs are provider payment arrangements through managed care.
• However, existing approved payments and those payments currently under review by CMS must phase down
• </c> enactment July 4, 2025 for new payments. enactment July 4, 2025 for new payments.
• </c> a payment error rate above 3%. a payment error rate above 3%.
• </c> penalized under the payment error rate. penalized under the payment error rate.

Bills: HR1

Committee: House Human Services Finance and Policy

Keywords: January 6 insurrection, pardon, law enforcement, violent crimes, public safety, justice system, political accountability

Transcript Highlights:

• Line 484 reflects $1.84 add-on to the directed pharmacy dispensing payment.
• Line 506 reflects directed payments for hospitals, House File 2057.
• This is linked to the directed dispensing payment for pharmacies in that the directed payment is intended
• It establishes a rural EMS uncompensated care pool payment program at the Office of EMS.
• The directed payment program that I've worked on is in this bill.

Bills: HF2435

Committee: House Health Finance and Policy

Transcript Highlights:

• For example, with regard to state payments on the state adequacy target, we see that generally payments
• So Title I funding, like they just paused all federal payments.
• For example, with regard to state payments on the state adequacy target, we see that generally payments
• So Title I funding, like they just paused all federal payments.
• So there is no federal money flowing to. funding, like they just paused all federal payments.

Committee: House Special Committee on Tax Reform

Transcript Highlights:

• , more efficient, and create additional payment options.
• to U.S. dollars, processing them just like any other payment method.
• to U.S. dollars, processing them just like any other payment method.
• not any approved federal or state qualified payment stable coin issuers.
• It allows DFS to hold payment stable coin in a custodial bank.

Bills: S0314 , S0530 , S0576 , S0800 , S0990 , S1078 , S1440 , S1568 , S1588 , S1614

Committee: Senate Appropriations Committee on Agriculture, Environment, and General Government

Summary: The committee heard and advanced several bills related to engineering regulation, cybersecurity, financial services, and state administration. CS/SB 800 would increase penalties for repeated unlicensed engineering practice and create an engineering student loan assistance program funded by licensure fees and fines; it was reported favorably after questions about whether it would reimburse victims of unlicensed practitioners, with the sponsor noting it would not and that affected individuals would need to pursue complaints and private legal action. CS/SB 576 created a local government cybersecurity protection program administered by Florida Digital Service, with state purchasing of cybersecurity services and priority for fiscally constrained counties; it received support from local government and industry groups and was reported favorably. CS/SB 1078 set transition requirements for gubernatorial administrations, including liaisons, briefing books, office space, IT access, and controlled access to agency records under a memorandum of understanding, and it also passed favorably. The committee also approved CS/SB 314, which creates a regulatory framework for payment stablecoin issuers in Florida, and CS/SB 530, which updates lottery operations, security, retailer rules, and bonding requirements. CS/SB 1614, after adoption of a technical substitute amendment, would limit local governments’ eligibility for certain state funding if they have excess funds, have recently been audited by the legislative audit committee, or fail to affirm expenditure of prior funds; the sponsor said it would give the Joint Legislative Auditing Committee more enforcement leverage, and the bill was reported favorably. CS/SB 990 authorizes protective cell captive insurance companies to expand insurance market capacity and potentially lower premiums, while CS/SB 1588 is a step toward implementing last session’s gold and silver legal tender law; both were reported favorably. Additional bills passed included CS/SB 1440, which adds cybersecurity-related exemptions and reporting provisions for financial institutions, loan originators, and money service businesses, and CS/SB 1568, which creates a Florida Stable Coin Pilot Program allowing DFS fees to be paid with approved stablecoins. The stablecoin bill was amended to add guardrails, including fee limits, website notice requirements, and restrictions if no approved issuers are available. The committee also received a brief budget overview highlighting major funding items such as Florida Forever, Everglades restoration, water quality, Farmers Feeding Florida, citrus recovery, school lunches, state parks, and law enforcement and staffing items, and members later recorded additional votes before the committee adjourned.

Transcript Highlights:

• the total estimated payment to $668.3 million for 2026-27.
• Some annual payments can be up to $20 million, so payment via check can be cumbersome for the employer
• Of those victims, only 24% receive any payment at all.
• Do you have any data on the payment breakdowns?
• Do you have any data on the payment breakdowns?

Transcript Highlights:

• the total estimated payment to $668.3 million for 2026-27.
• Some annual payments can be up to $20 million, so payment via check can be cumbersome for the employer
• Of those victims, only 24% receive any payment at all. Only 24% receive any payment at all.
• Do you have any data on the payment breakdowns?
• The first one is modernizing payments for routine software licenses.

Summary: The Assembly Budget Subcommittee 5 on State Administration held a May Revise hearing focused on state administration proposals, with the chair noting no actions would be taken and all items would remain open. The committee heard presentations on a range of budget proposals, including technical adjustments for the Governor’s Office of Service and Community Engagement and the California Workforce Development Board, security and election-related funding for the Secretary of State, modernization and loan-backfill requests for the Department of Consumer Affairs, and multiple Employment Development Department updates covering EDD Next, UI and DI/PFL benefit estimates, workforce funding, and an EMT training reappropriation. Several items drew discussion from the LAO and committee members. The LAO generally supported technical or modernization items such as PERB’s implementation requests, GoServe’s College Corps adjustment, the Secretary of State’s security and HAVA grant items, and the Board of Pharmacy modernization proposal, but raised concerns about the Bureau for Private Postsecondary Education’s proposed $10 million General Fund backfill and interest-free loan language. For EDD, the LAO flagged the size of the DI/PFL benefit adjustment and the unusual structure of the document management system proposal within EDD Next, while EDD said the changes reflected higher participation and benefit levels after SB 951 and ongoing modernization needs. The Department of Industrial Relations drew the most extensive questioning. It proposed funding for legal unit reclassifications, EAMS and Cal/OSHA data modernization, a new Cal/OSHA emerging technologies unit, a COYA reappropriation, and trailer bill changes requiring electronic payment of employer assessments and adjusting the Workers’ Compensation Appeals Board timeline. Members pressed DIR on high vacancy rates, long wage theft and workers’ compensation backlogs, low collection rates for fines, and the need for clearer workload and outcome measures. DIR said the requests were intended to improve efficiency, support audits and corrective action plans, and better address emerging workplace risks, while the LAO said the workload drivers behind delays remain unclear. The hearing also included support for CalHR’s employee assistance program consolidation and CDT’s proposal to expand “Poppy,” a statewide generative AI assistant for state employees.

Transcript Highlights:

• The law change in 2014 affected the payment of permanent partial disability claims.
• fund in order for us to pay the benefit payment.
• And then we have an order for payment in terms of who will get paid in what order.
• Next on page 130 is the Employment and Training Payments core.
• Next on page 130 is the Employment and Training Payments Corps.

Committee: House Budget

Transcript Highlights:

• </c><00:02:34.560><c> so</c> thing and and timing of the payments so thing and and timing of the payments
• </c><01:23:54.159><c> um</c> in this idea about Advanced payments um in this idea about Advanced payments
• </c> we're talking about Advanced payments we're talking about Advanced payments and<01:25:58.760><c>
• Advanced payments and Advanced Credit<01:27:05.080><c> payments</c><01:27:05.480><c> contemplated</c
• ><01:27:06.000><c> by</c><01:27:06.080><c> this</c> Credit payments contemplated by this Credit payments

Bills: HF1 , HF779 , HF1034

Committee: House Education Finance

Keywords: Office of Inspector General, inspector general, legislative audit, fraud prevention, waste and abuse, public funds, grant oversight, state grants, grant management, whistleblower protection, retaliation, subpoena power, data practices, government transparency, accountability, law enforcement referrals, sanctions, debarment, payment withholding, public assistance fraud

Transcript Highlights:

• There's a kindergarten payment that goes back to the '70s, virtual host school payment.
• to the call in the formula this year with special payments.
• The aforementioned kindergarten payment, there's a payment to take the place of...
• There's a Missouri Scholars payment, so when a student accesses a Missouri Scholars payment scholarship
• payments?"

Committee: House Budget

Summary: The committee first heard the Secretary of State’s FY27 budget presentation. Secretary Denny Hoskins described his office’s work on business filings, elections administration, securities enforcement, archives, libraries, and Safe at Home, and said the office had cleaned up voter rolls by removing more than 200,000 ineligible voters. Members questioned him closely about deceased voters, voter registration through DMVs, information sharing with the federal government, and whether any personal identifying information would be released; Hoskins said only publicly available information had been shared and that PII would not be released absent a court order. He also said his office had 10 pending lawsuits handled by the Attorney General’s office, and discussed budget lapses, staffing levels, and the need to spend federal and other funds before general revenue when possible. A major portion of the discussion focused on election-related funding requests. Hoskins defended funding for ballot publication in newspapers, saying the constitution and state law require publication of statewide ballot measures and that the cost could rise sharply if many petitions or a referendum reach the ballot. Several members questioned whether the newspaper notices are still effective, while others emphasized that many Missourians still rely on print and that the requirement remains constitutional. The committee also discussed the technology services NDI tied to the sunset of the $5 business filing fee that funds IT operations, with Hoskins saying the office would need general revenue if the sunset is not extended. Other topics included absentee ballot postage reimbursement, election cost transfers, and the library networking fund, which Hoskins said has not historically been funded at the full 10 percent level. Members also raised broader budget and policy concerns, including the office’s FTE count, the restoration of some previously cut archives/local records positions, and the need for a new voter registration system and election-night reporting system. Some members pressed Hoskins on whether his budget requests were consistent with his past calls for smaller government, while he responded that election-year obligations, cybersecurity risks, and outdated systems require investment. The committee did not take a vote on the Secretary of State items during this segment. The committee then began the Department of Elementary and Secondary Education presentation from Commissioner Carla Eslinger. She outlined the FY27 request for the foundation formula, transportation, child care, literacy, educator workforce, and strategic planning. Eslinger said the formula increase is driven by policy changes such as enrollment-based funding and higher special education and virtual education costs; transportation needs a modest increase; child care needs general revenue to replace expiring federal funds; and literacy efforts continue to expand through science-of-reading training and state-approved assessments. She also highlighted through-year testing, grade-level descriptors, teacher recruitment and retention, and work with a new Transforming Schools group. The presentation was cut short when the committee recessed for floor activity, with no votes taken.