Transcript Highlights:

• A second review found additional failures involving vendor management and financial reporting systems
• Those audits are working, which is the reason why we know about the problems with the vendor system for
• The Active Transportation Plan is not at the The reason why we know about the problems with the vendor
• , which is significantly lower than recidivism rates that we see coming out of CDCR.
• , which is significantly lower than racism rates that we see coming out of CDCR.

Keywords: 987, senate, all

Transcript Highlights:

• No, it was vendors.
• There were multiple vendors that participated in order... One vendor?
• How did these monies get appropriated to a vendor and who was responsible? to a vendor.
• there were multiple vendors.
• The vendor wants to be there.

Summary: The Joint Legislative Audit Committee heard presentations on Arizona’s school safety interoperability communication systems, beginning with remarks from Senator Kevin Payne, who described the program as a response to school shootings and 911 overloads, and said the goal is to let schools trigger a panic-button alert that immediately shares video, floor plans, and location information with law enforcement and other responders. Several members echoed support for the concept, while also raising concerns about whether the systems are actually working as intended and whether school resource officers remain necessary or should be supplemented by technology. Auditor General Lindsay Perry summarized the JLAC-directed special audit, explaining that the office reviewed whether fund expenditures were authorized, whether purchased systems met statutory requirements, and whether procurement followed applicable standards. She said the office had tested a sample of systems with vendors, schools, and law enforcement, and that some agencies had not provided requested follow-up information. Members questioned Pinal County’s lack of response and the status of its reports and payments, and committee leaders criticized the county sheriff’s claim that the committee had treated staff unfairly. Representatives from Mutualink, Motorola Solutions, and Navigate 360 then defended their systems and described implementation challenges. Mutualink said its platform connects schools, dispatch, and responders across jurisdictions and claimed it can reduce response times, but acknowledged that implementation depends on training, infrastructure, and cooperation among schools and agencies. Motorola said it had deployed systems in Maricopa and Yuma counties and that some delays stemmed from school participation and procurement issues. Navigate 360 highlighted Cochise County as a success story, saying 60 of 69 schools were implemented and that the company had added maps, emergency management tools, and training support after audit findings. Members repeatedly pressed the vendors on statutory criteria, procurement practices, rural infrastructure, and why some counties or schools were not fully operational; the vendors generally said the biggest barriers were local readiness, training, and interagency coordination rather than the technology itself.

Transcript Highlights:

• When we started, it was $10 million for the kids, $6 million for the vendor.
• Is there a different approach in looking at premium rate increases versus the hospital cost rate, hospital
• Is that 4,000 unique vendors, nonprofits that... ...Is that 4,000 unique vendors, nonprofits that clients
• 2028, and vendors are required to report beginning February 1, 2028.
• For the past few years, CADS has come before you asking for rate increases that raise our rates campaign

Summary: The hearing began with a stakeholder presentation from Let California Kids Hear urging coverage of pediatric hearing aids for children in the large group market. Advocates described the issue as a long-running developmental emergency, argued that existing state efforts have been inefficient, and said the new proposal would cover about 70% to 80% of affected children without new spending by redirecting existing dollars. Public commenters, including parents, audiologists, and children’s advocates, strongly supported the proposal and emphasized the need for timely access to sound. The chair thanked the group and noted hope for a future fix, including continued work on the exchange market. The Department of Finance then gave a broad budget warning about the state’s more than $20 billion structural deficit and said new investments must be weighed against out-year shortfalls. HCAI followed with an overview of its programs, including CalRx insulin and naloxone, reproductive health grants, the Office of Health Care Affordability, seismic hospital compliance, workforce programs, and the Data Exchange Framework. Members asked about geographic targeting of workforce funds, behavioral health pipeline programs, the status of the 21st Century Nursing Initiative, and future CalRx products such as EpiPens and GLP-1s. HCAI also described its enforcement approach for health care spending targets, saying the board would not change the targets in response to H.R. 1, and outlined the diaper access initiative, which will distribute diapers through hospitals in higher-need areas. Several HCAI budget items were discussed and held open, including additional expenditure authority, the transfer of the Data Exchange Framework and Office of the Patient Advocate, long-term care payment transparency staffing, and reporting on health care worker waiting periods. The department also presented its Behavioral Health Services Act workforce initiative and a proposed $100 million General Fund offset, which both the LAO and the chair questioned as unclear and potentially one-time in nature. HCAI said the final workforce plan would be adjusted after stakeholder consultation if the offset proceeds. The department also described the Rural Health Transformation Program, saying California received $233.6 million in federal funds, had to revise its proposal to satisfy CMS, and must obligate the money by October 30; the program will fund rural care models, workforce development, and technology, with grants rolled out on a phased basis. The Department of Managed Health Care then presented its budget and three legislative implementation requests: SB 41 on PBM reform, SB 306 on prior authorization transparency, and AB 1041 on provider credentialing timelines. Finally, the administration outlined a menopause care proposal requiring coverage and education for menopause-related services, provider training, and an outreach campaign, with DMHC requesting staffing and funding to implement and enforce the new requirements. Throughout the hearing, most items were held open for later action, and no final votes were taken in the portion provided.

Transcript Highlights:

• </c><00:10:00.519><c> collection</c> state to provide vendor collection state to provide vendor collection
• I'd like to emphasize the prevailing wage rate is simply the going rate for workers in any given county
• </c><01:18:19.360><c> for</c> wage rate is simply the going rate for wage rate is simply the going rate
• </c> gets a certified prevailing wage rate gets a certified prevailing wage rate which<01:18:41.679><
• </c> survey results reflect actual wage rates survey results reflect actual wage rates paid<01:23:23.840

Keywords: 1187, senate, all

Transcript Highlights:

• ,</c> rate because if we don't give the rate, rate because if we don't give the rate, the<00:45:10.240
• We're not going to ever give<00:48:40.160><c> rate.</c> give rate. give rate.
• </c> rate setting principles. rate setting principles.
• . rate. rate.
• and vendors.

Keywords: 1191, senate, all

Transcript Highlights:

• What was the success rate again?
• multiple contracts and vendors.
• multiple contracts and vendors.
• If a vendor is hired at a certain area for a statewide vendor, then maybe we understand where that's
• The other challenge with a single vendor is what is known as vendor lock-in, which basically means once

Summary: The subcommittee met to hear budget-related updates from the Judicial Branch and the Office of Emergency Services, with no votes taken. The Judicial Council supported the Governor’s proposed budget, highlighting $70 million for increased trial court operating costs, additional funding for court-appointed counsel, Court of Appeal case processing, and courthouse construction and facilities. Trial court representatives emphasized staffing retention problems, especially in counties like San Bernardino, and said stable funding is needed to avoid delays and maintain access to justice. Members also discussed the branch’s remote proceedings program, which has been used in more than 6 million hearings statewide since 2022 and was described as especially important in rural areas and for vulnerable litigants; several members urged making the authority permanent rather than extending it temporarily. A major portion of the hearing focused on Proposition 36 implementation. Finance said the Governor’s budget maintains the $130 million provided in the 2025 Budget Act for court workload and pretrial services, but adds no new Prop. 36 court funding. Judicial Council staff reported nearly 35,000 felony Prop. 36 filings in 2025, with most cases still pending and only a small share of treatment-mandated cases already dismissed after treatment. Witnesses said courts are using the funds for staffing, coordinators, clerks, and treatment-court operations, but that workload varies widely by county and that data collection is limited because courts report aggregate information rather than case-level outcomes. The LAO raised a technical concern about the Department of Finance’s Prop. 47 savings estimate and recommended revising the methodology at May Revision. The committee also reviewed the Orange Central Justice Center facility modification project, where the Judicial Council explained that hidden construction deficiencies and fire-life-safety issues caused costs to rise substantially after demolition began. The LAO said the project itself was supportable but recommended that the Legislature set an ongoing funding level for court facilities, require a long-term facilities plan, and consider more oversight of facility modification projects. Finance said it continues to fund courthouse projects individually and through the State Public Works Board, while acknowledging project delays and cost increases. Finally, Cal OES and advocates discussed victim services funding. Cal OES said it administers about $315 million annually for victim service programs, including VOCA-funded services, but federal VOCA allocations have fluctuated sharply and the state has used one-time General Fund backfills to maintain services. Trauma recovery center advocates warned that an 85% reduction in funding would sharply reduce services for survivors of violent crime, while human trafficking advocates urged reauthorization of the Human Trafficking Victim Assistance Program before funding reverts to pre-pandemic levels in July 2026. Members asked about federal and state funding stability, referral pathways, and the long-term value of these programs in preventing worse outcomes and reducing public costs.

Transcript Highlights:

• A second review found additional failures involving vendor management and financial reporting systems
• A second review found additional failures involving vendor management and financial reporting systems
• Those audits are working, which is the reason why we know about the problems with the vendor system for
• is significantly lower than recidivism rates that we see coming out of CDCR.
• And seeing none, we will open... out of the cohort two grantees, a 50% decrease in unemployment rates

Summary: The Joint Legislative Audit Committee met to consider new audit requests. The State Auditor reported 10 JALAC audits in progress, with several expected to be published over the coming months, and noted that litigation is delaying the Huntington Beach air show audit. The committee approved a consent calendar of four audit requests covering UC library resources, law enforcement information sharing, EDD unemployment insurance claims, and Housing and Community Development housing development monitoring. The committee then heard Assembly Member DeMaio’s request for an audit of SANDAG’s road project management and use of transportation funds. DeMaio argued the audit was needed to restore public trust and examine whether restricted funds, voter-approved revenues, and project commitments were properly handled. SANDAG’s CEO and CFO said the agency manages many funding sources, undergoes frequent audits, and has strengthened internal controls; they said the requested review would be duplicative of existing oversight. After debate, the committee voted the request down. Next, Senator Valadares presented an audit of the Board of State and Community Corrections’ Proposition 47 grant administration, focusing on whether grantees and BSCC are accurately reporting outcomes and recidivism data and whether oversight is sufficient. BSCC said the program already has multiple oversight layers, including Controller audits, and cited reported improvements in homelessness, employment, and recidivism outcomes. The committee approved the audit. Finally, Senator Cortese’s audit of CalHR’s dental benefits procurement and contract oversight was heard, with supporters citing long-standing benefit caps, provider network problems, and retirees’ out-of-pocket costs. CalHR said its network remains strong, that it recently ran an RFP adding MetLife as a second carrier starting in 2027, and that it uses performance guarantees. The committee approved that audit as well, then completed add-on votes approving the earlier consent calendar items before adjourning.

Transcript Highlights:

• If that were to have happened to a contract, a sub-vendor, vendor, the department's standing... ...would
• have happened to a contract, a sub-vendor, vendor, the department's stance has always been to claw it
• And we would expect that the rate would be in line with FHA, similar to that rate structure.
• under the tiered rate structure.
• under the tiered rate structure.

Summary: The committee heard opening budget remarks from the Department of Finance and the Legislative Analyst’s Office on the May Revision for Health and Human Services. Finance said the proposal significantly reduces projected out-year operating deficits through a mix of revenue increases and program cost reductions, while the LAO warned that even with booming revenues the state still faces a structural deficit and should prioritize reserves and avoid new ongoing commitments. The chair and members echoed concern about cuts to vulnerable populations, but also noted the need to maintain the overall level of budget solutions and add to reserves. The hearing then moved through a series of CalHHS and HCAI proposals, mostly held open after presentation. CalHHS requested additional legal support to respond to federal H.R. 1-related issues and a net-zero transfer of positions for a shared eligibility/data-sharing platform. Other items included ongoing funding for the 988 Behavioral Health Crisis Service Fund and a request for EMSA to fund maintenance of its enterprise data management system. HCAI presented proposals for hospital fair pricing implementation, the data exchange framework, the all-payer claims database, CalRx insulin development, the diaper access initiative, distressed hospital grants, opioid settlement fund reversion, and the Rural Health Transformation Program. Members questioned funding sources, special fund use, contracting exemptions, timelines, and whether some proposals should be more targeted or supported by alternative funding. A major discussion centered on HCAI’s diaper access initiative and the use of a Public Contract Code exemption to continue contracting for free diapers distributed through hospitals. The chair and some members criticized the optics of the selected vendor and questioned the lack of an income threshold, while HCAI said the program was designed to be universal and administratively simple, with future phase-two direct-to-consumer purchasing to be handled by a different vendor. Another extended exchange focused on distressed hospital funding, where HCAI said the May Revision would provide up to $50 million for hospitals at immediate risk of closure, but members argued the repeated annual need shows a structural problem and asked for broader reforms to hospital payment and care transitions. The final major topic was the Behavioral Health Services Oversight and Accountability Commission’s budget. The Commission opposed the May Revision’s reduction of the Innovation Partnership Fund from $20 million to $10 million and a $6.7 million cut to community advocacy contracts, arguing both are core Proposition 1 tools for statewide innovation and community engagement. Finance responded that the proposal is within Proposition 1’s allowable maximums and that prior unspent appropriations could be redirected if the Legislature wanted to restore the full amount. No votes were taken; items were generally held open for later action.

Transcript Highlights:

• So a positive there, 9.17 is the effective tax rate there. So Mr.
• The food vendor program, where DPI acts as a pass-through for these school districts and pays the vendor
• about half of the mill rate in Fargo or Grand Forks County.
• They don't necessarily have to go up if the mill rate is lowered.
• to projected 2729 rates.

Summary: The Budget Section met to approve prior minutes and receive a series of budget, revenue, and program updates from OMB, the Tax Department, DOT, DMR, and DPI. OMB reported that general fund revenues through May were about $76 million below the legislative forecast, driven mainly by individual income tax and sales tax shortfalls, though the biennium is still projected to end with a positive balance. OMB also reviewed oil price and production assumptions, the budget stabilization fund transfer above its cap, Legacy Fund performance, federal grant applications, fiscal irregularities, tobacco settlement proceeds, budget guidelines for agencies, vacancy savings, and the DAPL settlement, noting that most of the settlement funds had been deposited but a small amount of accrued interest would require a future deficiency request. The committee then considered Emergency Commission requests. It approved requests for Public Service Commission abandoned mine lands federal authority, an Attorney General FTE and related funding for criminal investigator work tied to the Office of Guardianship and Conservatorship, and a DPI transfer for bridge software costs. After discussion, the committee also approved DPI’s request for a $500,000 transfer for the food vendor program, despite questions about the program’s savings and cash-flow structure. Later, the Tax Commissioner presented the primary residence credit program, reporting that current biennium costs are expected to exceed the appropriation by about $22 million and explaining how the credit interacts with homestead and disabled veteran credits and the 3% property tax levy cap. The Legacy and Budget Stabilization Fund Advisory Board reported strong returns for both funds, and DOT sought and received approval for two flexible fund highway projects on ND 49 and ND 31. DOT also updated members on Highway 85 construction and said remaining flex fund dollars were essentially fully allocated. DMR reported on the abandoned well plugging and site reclamation fund, noting North Dakota’s relatively small orphan well inventory, current and projected fund balances, rising remediation costs, and a possible need to adjust the fund cap in future sessions. Finally, DPI outlined the new integrated formula gap funding program, explaining that it compensates school districts that cannot reach the assumed 60-mill local contribution because of the 3% levy cap; the first year’s gap funding totaled about $1.8 million, with future costs expected to grow.

Transcript Highlights:

• So a positive there, 9.17 is the effective tax rate there. So Mr.
• The food vendor program, where DPI acts as a pass-through for these school districts and pays the vendor
• about half of the mill rate in Fargo or Grand Forks County.
• They don't necessarily have to go up if the mill rate is lowered.
• rates, and that helps them do their budgeting.

Summary: The Budget Section approved the March 18 minutes and received an OMB update showing the general fund is still ahead of the budgeted starting point, but revenues through May are now about $76 million below the legislative forecast, driven mainly by individual income tax and sales tax shortfalls. OMB also reported the budget stabilization fund is above its cap, meaning a transfer to the general fund is expected, and reviewed oil price/production assumptions, noting continued volatility. Members asked about the income tax netting process, the sales tax decline, oil price discounts/premiums, natural gas taxation, and when the executive branch would present its revenue forecast. The committee then acted on several Emergency Commission requests. It approved, as a group, requests for federal mine reclamation funds for the Public Service Commission, an additional criminal investigator FTE and funding for the Attorney General’s office, and a DPI transfer for bridge software costs. It separately approved DPI request 2164 for $500,000 to support the food vendor program after debate over whether the program’s savings were known and whether the money was simply a pass-through. OMB also reported on federal grants, fiscal irregularities, tobacco settlement proceeds, budget guidelines for agencies, FTE pool usage, vacancy savings, and the DAPL settlement, noting the settlement funds had been deposited and that a deficiency appropriation may be needed later to cover remaining accrued interest. Tax Commissioner Brian Kroshus presented on the primary residence credit program, saying participation has grown sharply and that the current biennium will likely need about $431 million, roughly $22 million above the appropriation. He explained how the credit interacts with homestead and disabled veteran benefits, how the 3% property tax cap works, and why county valuations and mill rates vary. The committee also received a Legacy Fund/Budget Stabilization Fund report showing strong returns, and DOT Director Ron Henke received approval for two Flex Fund highway projects on ND 49 and ND 31. Henke also explained remaining Highway 85 funding and said the department is exploring uses for leftover state dollars. Finally, the Department of Mineral Resources reported on abandoned well plugging and site restoration, noting North Dakota remains in relatively strong shape compared with other states, and DPI began a presentation on gap funding tied to the 3% levy cap, reporting 24 districts received $1.8 million in the first year and projecting higher future needs.

Transcript Highlights:

• Unfortunately, we pay the going rate, wholesale rate, for fuel.
• </c> fuel vendor fuel vendor for<00:20:46.520><c> a</c><00:20:46.600><c> period</c><00:20:46.960><c>
• </c> uh wholesale rate for fuel. uh wholesale rate for fuel.
• </c> paying the rate. paying the rate. Thank<00:21:37.720><c> you.</c> Thank you.
• if we just paid the going rate.

Keywords: 1189, house, all

Summary: The Joint Fiscal Committee met on May 15 at 10:00 a.m. and first approved the April 17 minutes. It then took up a consent calendar covering tabs three through seven, with items 089 and 097 removed for separate discussion. The committee approved the remainder of the consent calendar and then adopted item 089, which involved Department of Safety/Homeland Security grant funding for active shooter incident management and school reunification training. Officials said the project is a mandatory Homeland Security grant set-aside, with training for public safety officials and school districts and internal social media used only to promote training schedules; members asked about marketing, outcomes, and how success would be measured. The committee next considered item 097 for the Division of Historical Resources. Agency officials said the request was driven by a decade-long increase in Section 106 and state historic preservation reviews, many tied to disaster-related infrastructure work such as culvert and road repairs, and that the grant would add capacity to handle roughly 1,000 to 1,500 reviews per year. The committee approved the item after brief discussion. Under the regular calendar, the Department of Transportation presented a fuel-related transfer. Members questioned the decline in the highway fund balance, which staff said was being affected by rising expenses, flat-to-moderate revenue, and a rough winter that increased maintenance costs. DOT officials said they were considering toll rate increases and noted the agency pays market wholesale fuel rates; they also discussed prior fuel hedging decisions and said they have authority to hedge again if it makes sense. The committee approved the DOT item, then approved a miscellaneous action item to fill a position at the LBA. Members also asked the chair to remind the Attorney General to appear at a future meeting regarding the YDC claims report. The committee set its next meeting for Friday, June 19 at 11:00 a.m., and adjourned after a brief note of appreciation for recent corrections and changes reported by the liquor commission.

Transcript Highlights:

• TO REDUCE THE CLAIMS RATE, INCREASE YOUR COMPLIANCE RATE AND THE QUALITY OF BUSINESS FUNCTIONS HAVE A
• INSURERS ARE CONTRACTING WITH THIRD-PARTY ENTITIES AND VENDORS. IT IS NOT OURS.
• IT IS THIS OUTSIDE VENDOR.
• ON THE COURSE THE OUTSIDE VENDOR MAY NOT BE DIRECTLY REGULATED BY THE INSURANCE REGULATOR.
• HAS BEEN THE RESPONSE RATE AND SENDING INFORMATION TO COLLABORATE WITH YOU.

Transcript Highlights:

• So it may be just the vendor he's looking at, but he's actually got an estimate that he got.
• I've never met with any of these vendors, so I don't have any direct information.
• And some of the vendors, part of the difference in cost could be the different models.
• Advantage of good short-term investment rates.
• It's a fully insured product that we use a vendor for, and they're able to give us a better... the vendor

Bills: HB205, HB226, HB234

Keywords: sales tax, use tax, exemption, tax conformity, tangible personal property, Alabama Department of Revenue, retail tax, consumer use tax, nonresident, religious publications, church magazines, Bible class materials, Sunday school materials, tax administration, indirect tax, state revenue, HB226, homestead exemption, ad valorem tax, property tax

Transcript Highlights:

• The state had a tenuous relationship with the key vendor on the contract, and I think in retrospect that
• This month, EDD initiated its vendor contract for the integrated claims management system, which I'm
• The first is that the department decided to shift the shared customer portal vendor contract into, as
• Another thing is the vendor community.
• So you're saying that your response rate and your standards of service, Your response rate and your standards

Summary: The Budget Subcommittee on State Administration held an informational hearing on whether the Employment Development Department is ready for the next recession, with a focus on EDD Next, the department’s long-running technology modernization effort. The Legislative Analyst’s Office reviewed EDD’s major benefit programs, the history of prior modernization attempts, the current Integrated Claims Management System work, and the department’s remaining risks, including continued reliance on a COBOL-era mainframe and the challenge of adapting quickly to future federal or state policy changes during a downturn. The LAO also explained that most pandemic-era fraud was tied to temporary federal unemployment programs rather than California’s core UI system, and that the state’s UI loan repayment is not largely attributable to fraud. Members raised concerns about the cost of repeated modernization efforts, paper versus online claims, appeal overturn rates, WARN notices, and legislative oversight of the project. EDD’s panel said the department has made substantial customer-service and processing improvements, including online self-service tools, improved call center features, identity verification, fraud controls, language access upgrades, and a new document management system. Officials reported that as of early 2026, about 83% to 85% of claims across programs were being processed timely within two weeks, and said paid family leave delays in 2024 were tied to the transition into the disability insurance online platform and seasonal workload patterns. They also said EDD is working with the Department of Technology on EDD Next and that the project will proceed in phases, with paid family leave and disability insurance first and unemployment insurance later. Members pressed EDD on persistent paid family leave backlogs, the share of paper applications, response times for constituents, and whether the department tracks long-running cases and WARN notice trends. EDD said its service standard is generally immediate response through phone, chat, or callback tools, while more complex cases can take longer because the department may be waiting on claimants or medical providers. The department also said it tracks call outcomes and outstanding cases, and that it can provide additional data on WARN notices. No votes were taken, and the hearing ended with plans to continue discussing EDD Next and paid family leave at a later March 10 budget hearing.

Transcript Highlights:

• Um We have vendors for everything. We're about to have vendors for educate public education.
• Uh, so why is this different than any other vendor, because as you know, we have vendors for, for doors
• , cell phones, carpet, everything is a vendor, so why not this?
• Vendors for products is different a little bit from vendors about people, and that's where you and I
• That might be the difference in our numbers or it may be a different private vendor.

Bills: HB153

Transcript Highlights:

• We have vendors for everything. We're about to have vendors for education... Public education.
• Any other vendor?
• Because, as you know, we have vendors for door locks, cell phones, carpets—everything is a vendor, so
• Vendors for products is different a little bit from vendors about people.
• To operate and manage facilities and future contracting with private vendors.

Bills: HB153, HB1410, HB1461, HB1760, HB1762, HB3261, HB3773, HB153

Keywords: education, funding, student resources, technology access, equal opportunity, veterans treatment court, mental health, criminal justice, rehabilitation, eligibility criteria, veterans, treatment court, military service, legislation, private prisons, inmate confinement, criminal justice reform, Texas Department of Criminal Justice, government contracts, inmate housing

Transcript Highlights:

• This particular finding related to payment to one particular vendor.
• This particular finding related to payment to one particular vendor.
• Our original test: we tested 30 vendor payments.
• And is there at least a success rate? Because it doesn't seem like there's accountability.
• was a competitive rate for the market.

Summary: The Higher Education Budget Subcommittee met to hear a presentation from the Florida Auditor General’s office on recent operational audits of four universities and to discuss how audit findings are handled. The Auditor General explained that financial audits occur annually and operational audits at least every three years, with universities required to respond in writing to findings; the office generally follows up in the next audit cycle, though it can audit sooner if needed. Members asked about accountability, whether findings are referred to other bodies, and how internal university audit functions interact with the state audit process. The chair emphasized the committee’s oversight role in ensuring public funds are used appropriately. The audit findings highlighted issues at New College of Florida, Florida A&M University, the University of Florida, and Florida Atlantic University. At New College, auditors cited invoice/payment errors, delinquent student account collection delays, prohibited extra compensation, exceeding state remuneration limits for certain employees, weak purchasing card controls, construction management cost documentation issues, and subcontractor licensing documentation gaps. At FAMU, auditors found investment accounting classification issues, delayed bank reconciliations, late vendor payments, and incomplete annual employee evaluations. At UF, auditors reported concerns over a $6.4 million consulting contract, event and catering spending, president’s office hiring and salary practices, bonus and relocation payments, continued high compensation after the president transitioned to another role, travel expenses including charter flights, and remote work agreements. At FAU, auditors found distance learning fee revenue exceeded allowable costs by about $2.8 million, carry forward funds were underreported by about $77 million, and credit card controls needed improvement. Members pressed the Auditor General on whether overpayments were refunded, whether any findings involved statutory violations, and what enforcement exists beyond the audit report. The auditor said some issues were corrected by the universities, such as New College recovering excess compensation from foundation funds, but others would be revisited in future audits; if potential fraud were identified, it would be referred to the state attorney’s office. The chair closed by noting that accountability for public spending rests with the Legislature and the committee, and the meeting adjourned without any vote or formal action beyond receiving the presentation.

Transcript Highlights:

• Which vendor are you speaking about? All of the vendors.
• Is there a different process for each vendor that you selected?
• Multiple vendors. Contractors as well. Multiple vendors.
• vendors to make sure, of course, accountability of funds.
• I want to sort of separate the financial vendors from the...

Keywords: 987, senate, all

Transcript Highlights:

• now with that vendor.
• These vendors have what CMS calls MVP, minimum viable product.
• These vendors have demonstrated they can do this, and they've all got to...
• Are you talking like providers or are you talking about like system IT vendors?
• We've reduced those vacancy rates in key program areas.

Keywords: House Room C, General Assembly Building, 976, house, all

Transcript Highlights:

• Rebase Medicaid rates for ambulance service. So this isn't increasing rates.
• When we say rebase, that's really kind of aligning the rates to a new target rate.
• rate.
• And so again, it would align those rates to the Medicare lowest rural quartile rate. Mr.
• It really should be in the rate.

Keywords: 908, all

Summary: The Senate Appropriations HR Division met with all members present to review the medical services portion of the HHS budget. Sarah Aker, Executive Director of Medical Services, walked the committee through several budget items, including HCBS cost-to-continue adjustments, the DD bed assessment, expansion of value-based purchasing, targeted rate increases for home health and QSP services, and the cross-disability waiver. Members generally supported the targeted increases for home health and QSP, and Aker explained that the cross-disability waiver funding would support startup work, service design, and infrastructure ahead of a planned July 1, 2028 implementation. The committee spent significant time on rate-setting and provider payment issues. Members discussed ambulance rate rebasing, with several senators expressing concern that the proposed increase was too high relative to peer states; the committee ultimately moved toward reducing that item to $1 million rather than zero so it could be revisited in conference committee. They also discussed a House-added critical access hospital networking grant and similarly leaned toward reducing it to $1 million. Aker explained the department’s value-based purchasing plans, including use of a vendor selected through RFP, and clarified how the department’s existing Medicaid managed care and hospital value-based programs work. A major portion of the meeting focused on long-term care and basic care payments, including a House-added extension of the $5 per day basic care add-on and a proposed shift in nursing facility incentive grants toward a withhold-based model. Senator Mathern indicated he would bring an amendment to delay or modify the withhold change, and Aker said the department would prefer language that directly addresses whether a withhold may be implemented. Members also discussed 1915(i) services, FMAP changes, the Medicaid legacy system modernization carryover, and a House-added legislative intent section on medical assistance. The committee adjourned for the morning with plans to return later to continue Human Services budget work and revisit unresolved items in conference committee.