Transcript Highlights:

• Owners' permitting burdens will contribute to a lagging economy.
• Owners' permitting burdens will contribute to a lagging economy.
• Owners' permitting burdens will contribute to a lagging economy.
• Owners' permitting burdens will contribute to a lagging economy.
• Owners' permitting burdens will contribute to a lagging economy.

Transcript Highlights:

• The 3% employee contribution rate is not changed by this bill. I want to make sure that's clear.
• The 3% employee contribution rate is not changed by this bill.
• The 3% employee contribution rate is not changed by this bill. I want to make sure that's clear.
• The 3% employee contribution rate is not changed by this bill.
• The 3% employee contribution rate is not changed by this bill.

Bills: S0774 , S7028 , S7024 , S7026

Committee: Senate Governmental Oversight and Accountability

Keywords: mental health, first responders, employment benefits, 911 telecommunicators, nervous injuries, retirement, elected officials, Deferred Retirement Option Program, DROP, cost-of-living adjustment, trade secret, public records exemption, public meetings exemption, open government, sunset review, agency confidentiality, proprietary business information, proprietary confidential business information, confidential records, Florida public records law

Summary: The Committee on Governmental Oversight and Accountability met and first heard Senate Bill 774, which would extend workers’ compensation coverage for mental or nervous injuries, without a physical injury, to 911 public safety telecommunicators. The bill sponsor and multiple dispatchers, counselors, and association representatives testified in support, describing repeated exposure to traumatic calls, staffing shortages, and the need for mental health treatment and retention support. Senators praised dispatchers’ work and emphasized that they are first responders in practice. SB 774 was reported favorably by roll call vote, with one senator later recording an affirmative vote on the bill. The committee then considered SPB 7028, a retirement bill setting Florida Retirement System employer contribution rates beginning July 1, 2026, without changing the 3% employee contribution rate. It also allows certain elected officers to receive a DROP payout under specified conditions and provides an alternative cost-of-living adjustment for special risk retirees meeting service requirements. Firefighters, police, and sheriffs’ association representatives supported the measure as a recruitment and retention tool. The committee voted to submit SPB 7028 as a committee bill and reported it favorably. Finally, the committee took up SPB 7024 and SPB 7026, both government records exemption bills. SPB 7024 repeals the current public records/public meeting exemption for cybersecurity information and consolidates agency-specific cybersecurity exemptions into one agency-wide exemption. SPB 7026 does the same for trade secret records held by agencies. Neither bill drew questions or testimony, and both were submitted as committee bills and reported favorably. The meeting then adjourned.

Transcript Highlights:

• Um, we want to recognize the contributions of three former chairs of the Texas Ethics Commission.
• He cared for the commission and its employees, and, and it was apparent.
• The state Employee charitable Campaign allows state employees to donate personal funds to charities that
• I can say that on February 26th of 24, you disclosed $31,874 in contributions maintained.
• Your next four reports disclosed no expenditures, but no contributions maintained.

Transcript Highlights:

• I'm with the Municipal Police Employees' Retirement System.
• It's an additional 0.32% of the employer contribution.
• in the Municipal Police Employees' Retirement System.
• The employee personally pays it.
• For a city employee, who, Trying to make sure that it's not an unfair advantage for a city employee who

Committee: House Retirement

Summary: The Retirement Committee heard several retirement-related bills and deferred two measures at the start: HB 26 and HB 993 were voluntarily deferred by the author. HB 31, by Rep. Eccles, would allow certain small municipalities to terminate participation in the municipal police employees’ retirement system and create a lower-cost “Plan C” option for small towns like Stirlington. After discussion about population and officer-count limits, the committee adopted amendments, heard concerns from the Municipal Police Employees’ Retirement System about remaining issues, and reported HB 31 as amended favorably. The committee also advanced HB 1134, which creates a backdrop-style retirement option for judges whose positions are abolished, and HB 24, which would allow retired teachers to return to work as one-year contract teachers without the current retirement contribution structure. TRSL testified that return-to-work policy is complex and that a broader Senate study-group proposal is also moving, but the committee reported HB 1134 and HB 24 favorably. HB 21, a technical correction to the Municipal Employees’ Retirement System law, was amended to remove a sunset problem that would be fixed in another bill and was reported favorably as amended. Later, the committee reported HB 1017 favorably, which limits former spouses’ claims to post-divorce earnable compensation in the Firefighters’ Retirement System, with testimony that the bill would reduce litigation over promotions and raises after divorce. HB 43, which would let certain LASERS members retire after 35 years of service at any age, drew testimony from LASERS about its cost and workforce effects but received no motion and was voluntarily deferred. HB 30 was also voluntarily deferred because its substance would be moved into another bill. The committee then took up two major municipal police bills. HB 45, after extensive negotiations among the author, the Louisiana Municipal Association, EMPERS, and the City of New Orleans, was substantially rewritten by amendment to address retention pay, out-of-state service credit purchases, survivor benefits for certain officers killed in the line of duty, COLA funding, and a reduction in the non-hazardous accrual rate. The committee adopted the amendments and reported HB 45 as amended favorably. HB 49, a related bill on municipal police and firefighter retirement issues, was also replaced by a substitute that changed opt-out procedures, revised partial dissolution rules, and preserved full dissolution liability; after testimony that the changes would save New Orleans and other cities significant money, the committee adopted the substitute and reported HB 49 as substituted favorably. The meeting ended with adjournment.

Transcript Highlights:

• I'm with the Municipal Police Employees' Retirement System.
• It's an additional 0.32% of the employer contribution.
• in the Municipal Police Employees' Retirement System.
• The employee personally pays it.
• For a city employee, who, Trying to make sure that it's not an unfair advantage for a city employee who

Committee: House Retirement

Transcript Highlights:

• Employees with a 529 payroll direct deposit save, on average, 75% more than those who only contribute
• to their employees’ Ideal accounts.
• Direct employer contributions to employees’ Ideal accounts qualify for a 20% tax credit, up to a maximum
• of $500 per employee per year.
• to employees’ accounts.

Committee: Senate Education

Transcript Highlights:

• As we go down the list, complaints or charges against an employee, application or performance of employees
• As we go down the list, complaints or charges against an employee, application or performance of employees
• Now, if this contribution is required, the PFC would be the entity adopting that state contribution.
• have contributed.
• employee, I had my retirement contributions and then I had my Social Security contributions, making

Committee: Joint Select Committee on Pension Policy

Transcript Highlights:

• ><c> are</c><00:18:46.480><c> not</c> and if those contributions are not and if those contributions are
• TRS does not employee insurance.
• </c> active state employees receive as well. active state employees receive as well.
• </c> maximum amount the TRS will contribute maximum amount the TRS will contribute to<00:25:02.320><c
• </c><00:25:54.799><c> And</c> maximum amount we'll contribute. And maximum amount we'll contribute.

Summary: The Public Pension Oversight Board met with a quorum, approved the prior minutes, and heard updates from the Kentucky Public Employees Deferred Compensation Authority and the Teachers Retirement System. The deferred compensation update highlighted continued growth in assets to about $4.787 billion and roughly 88,000 participants, strong retention from auto-enrollment, a marketing campaign tied to pay raises that generated additional participation, and a new self-directed brokerage account expected to launch July 1 of the coming year for participants with at least a $40,000 balance, allowing up to 25% of their account to be moved into the brokerage window. The director also described the free financial planning service, which has been used by about 3,500 participants with a high return rate, and said the plan is currently in a fee holiday; if fees are charged, they are capped at $237 per year for most participants. Members asked questions about who provides the CFP service, the fee structure, and the brokerage eligibility threshold. The director said the CFP service is provided through the authority’s service bundle with Nationwide, not as a separate paid service, and explained that the fee cap and current fee holiday are intended to keep the program low-cost. Board members praised the deferred compensation program’s performance and asked for a copy of the legislation referenced in the presentation. TRS then presented on retired teachers’ health insurance. Barnes first clarified how declining federal contributions for federally funded school positions affect the retirement annuity trust, explaining that if those federal dollars fall, the amounts would need to be covered through the SEEK formula and that the projection for those contributions is about $80 million over the next three years. He then reviewed TRS retiree health coverage, distinguishing between KEHP for retirees under 65 or not Medicare-eligible and MEHP for Medicare-eligible retirees, and explained that TRS recently completed RFPs for both prescription drug and medical coverage. TRS will keep Express Scripts for prescription drugs, but will move the Medicare Advantage medical plan from UnitedHealthcare to Humana on January 1, 2026, while keeping the plan design, provider access, and out-of-pocket structure largely unchanged, with a new hearing-aid benefit of $500 per ear. Barnes also reported the 2026 premium and contribution changes: the maximum TRS contribution toward KEHP will rise to $1,144.96 from $930.76, an 18% increase that he said will require roughly $15 million to $16 million more in the state budget, while the MEHP premium will drop to $200 per month from $210. He said the TRS board has statutory authority to set these amounts and that the changes will have mixed actuarial effects, with the KEHP increase being negative overall and the MEHP decrease positive.

Transcript Highlights:

• , teachers' retirement systems, school employees' retirement systems, the public safety employees' retirement
• Employees Benefits Board program, creating a presumption of eligibility for employees returning to positions
• Rather, it's the cost of the system for school employees spread over all of the eligible employees.
• Now, currently, SEBB rules presume that an employee, if the employee worked in a similar position for
• Depending on length of service, individual employees could owe up to $18,042 in back retirement contributions

Bills: HB2124 , HB2125 , HB2160 , HB2179

Committee: House Appropriations

Keywords: retirement, lump sum payment, financial security, pension reform, monthly benefits, retirement system, investment earnings, trust funds, public pensions, financial management, education, benefits, school employees, membership eligibility, employment, public employees, port workers, federal retirement plan, pension

Transcript Highlights:

• In my opinion, gig employees are employees.
• The employee or the prospective employee has very little bargaining power.
• So his employee is a W-2 employee of the independent contractor. Could be.
• But if I want them to be an employee, they can be an employee.
• All the deductions that a W-2 employee has a 1099 employee See. deductions that a W2 employee has a 1099

Committee: House Labor & Industrial Relations

Summary: The committee first adopted prior meeting minutes and voluntarily deferred three bills before taking up House Bill 232, which would shift the employment-certificate process for minors away from school boards and to Louisiana Works. Rep. Carlson said the bill is intended to reduce burdens on schools and make it easier for 16- and 17-year-olds to work, especially in the summer. A youth advisory council testified in support, describing the current process as cumbersome for students and families. The committee adopted amendments, including a change making the bill effective upon the governor’s signature, and then reported HB 232 favorably with amendments. The committee next considered House Bill 951, creating an Office of Talent Accelerator within Louisiana Works and a Business Workforce Committee to coordinate employer-facing workforce services. Rep. Bamberg and Secretary Susie Schowen described it as a centralized, regional, business-facing effort to respond more quickly to workforce needs tied to major economic development projects, while also supporting existing small and mid-sized businesses. Supporters, including Bollinger Shipyards and Leaders for a Better Louisiana, said similar models in Mississippi had helped expand training pipelines and better match employers with workers. The committee adopted a large amendment set and reported HB 951 with amendments. House Bill 923, a cleanup measure reorganizing Louisiana Works statutes and updating language after last year’s agency restructuring, was then adopted with technical amendments and reported with amendments. The committee also took up House Bill 301, which would create a voluntary portable-benefits framework for independent contractors and gig workers. Supporters said it would give contractors a way to negotiate benefits such as health care or retirement contributions, while opponents warned it could encourage misclassification, weaken workers’ compensation protections, and shift costs to workers and the state. After debate, the committee adopted amendments and reported HB 301 with a 6-5 vote. Finally, House Bill 185 was introduced as a workers’ compensation measure to expand the definition of independent contractor and restore tort immunity for employers in certain contract-labor situations. The sponsor said it was part of the Attorney General’s package and aimed at addressing a recent court decision; the bill was just beginning discussion when the transcript ended.

Transcript Highlights:

• </c> the defined contribution DC plan. the defined contribution DC plan.
• And whereas PERA also offers employees.
• </c><00:33:42.240><c> who</c> Auditor found that public employees who Auditor found that public employees
• </c><00:33:58.600><c> plans</c><00:33:58.880><c> with</c> defined contribution plans with defined contribution
• c> plan</c><00:34:05.240><c> portability</c> these employees have plan portability these employees have

Transcript Highlights:

• MEMBERS, AS ANOTHER ITEM THE TO AGENCY EMPLOYEES TAYLOR HATCH AND MR.
• IT SPECIFICALLY SAYS AND BOTH GRANTS THAT THEY WOULD NOT DISCLOSE THE CONTRIBUTION.
• WHAT IS THE TOTAL AMOUNT OF CONTRIBUTION THAT YOU RECEIVED?
• TO THE CHURCHES AND STATE EMPLOYEES WORKING WITH THE HOPE FOUNDATION?
• HAIGH MENTIONED BUT EMPLOYEE CONTRACTS IN 1099 DOCUMENTS RELATED TO EMPLOYEES WHOEVER RECEIVED MONEY

Transcript Highlights:

• </c> required retirement contributions required retirement contributions associated<00:03:03.599><c>
• </c><00:03:20.239><c> to</c> members will continue to contribute to members will continue to contribute
• Um and the um uh the the employees.
• </c> not compromise state employees not compromise state employees that<00:13:24.480><c> may</c><00:13
• </c> &gt;&gt; more more employees in the future. &gt;&gt; more more employees in the future.

Committee: Senate Labor and Technology

Summary: The joint hearing of the Senate Committees on Labor and Technology and Public Safety and Military Affairs considered three bills. SB 2141 would reclassify certain Department of Law Enforcement leadership and employees as Class A members for retirement purposes and adjust retirement benefit calculations. DLE supported the bill, saying it would address retirement classification without enhancing benefits, while the Employees’ Retirement System said it had no formal board position but wanted key provisions preserved. The Deputy Attorney General raised a potential title/subject issue and warned the bill could be vulnerable to challenge because the reclassification, contribution changes, and benefit calculations are in separate statutory sections. After questions about the number of affected employees and possible amendments, the committees deferred the bill. SB 2593 would exempt certain Law Enforcement Standards Board positions from civil service and collective bargaining. The board’s administrator said the positions would handle sensitive and confidential information and require specialized experience, and the board chair’s representative said the bill was important to meet certification deadlines. Opposition testimony from HGA argued exempt employees are at-will and suggested civil service protections should remain, with any staffing issues handled through reclassification or other personnel tools. Committee members questioned whether the positions could instead be civil service but excluded from bargaining, and staff explained the distinction between civil service exemption and collective bargaining exclusion. The committees ultimately recommended passing SB 2593 with amendments, including a deferred effective date of January 1, 2077, and the recommendation was adopted. SB 2824 would create a bribery-related reporting duty for public servants. Supporters, including Indivisible Hawaii, said it would establish a clear duty to report known or suspected bribery and strengthen public trust. The Office of the Public Defender opposed the bill, saying it would criminalize an affirmative duty to report another person’s misconduct. After limited discussion, both committees voted to pass SB 2824 with amendments, including a deferred effective date of July 1, 2050, and the recommendation was adopted. The meeting then adjourned.

Transcript Highlights:

• </c><00:05:03.720><c> the</c> workforce are ready to contribute the workforce are ready to contribute
• </c> pattern and then all the state employee pattern and then all the state employee contracts<01:04:
• IRP accounts are defined-contribution retirement accounts that some Minnesota State employees choose
• </c> accounts are defined contribution accounts are defined contribution retirement<01:30:49.920><c>
• for fiscal 24 total contributions for fiscal 24 total employer<01:31:18.159><c> contributions</c><01

Summary: Minnesota State Colleges and Universities presented an overview of the system and several budget riders. Board Chair George Soul described the system’s structure, noting 26 colleges and seven universities governed by a 15-member board, and emphasized that Minnesota State serves about 270,000 students annually, including many students of color, adult learners, Pell-eligible students, first-generation students, and veterans. He highlighted the system’s workforce role, saying it offers more than 4,000 programs, extensive employer partnerships, and that 86% of graduates find jobs in their field or a related field. He then turned the presentation over to system staff to discuss specific funding requests. Associate Vice Chancellor Kim Lynch focused on the Z-degree textbook program, which supports zero-textbook-cost courses and degrees. She said prior legislative support has produced about $3.1 million in savings in academic year 2024 and more than $12.6 million in aggregate savings, with 10 colleges now offering Z degrees and 12 more on track or exploring implementation. She described the program’s use of open educational resources, instructional design support, and library resources to fill gaps where free materials are not available, and said students save roughly $7 to $10 for every $1 invested. Members praised the program and asked about its expansion. Associate Vice Chancellor Paul Shepard discussed student support funding, including a centralized basic needs resource hub, the Mantra Health mental health platform, and the emergency grant program. He said student surveys showed significant food, housing, and homelessness insecurity, and that the basic needs hub has served over 2,400 students with a 97% positive response rate. He said Mantra provides telecounseling, peer support, self-paced courses, and crisis support, and clarified in response to questions that it is not AI-driven and does not sell student data; general usage data is collected, and follow-up with campus counselors occurs only at the student’s request. He also said the emergency grant program has distributed over $3 million to more than 4,800 students, with grants averaging just under $700, and that campuses use application review and recordkeeping to manage repeat requests. Members asked about counselor staffing, data privacy, and grant safeguards. The final item addressed sexual assault reporting and prevention funding. System staff said the appropriation supports technology infrastructure for statutory reporting, case management for investigations, campus prevention training, and professional development for Title IX coordinators and related staff. They noted that the statutory student training requirement is funded by individual colleges and universities, not by this appropriation. No formal votes were taken in the portion of the meeting provided.

Transcript Highlights:

• Employee retention, the cost of living here in Austin is extremely expensive. 70% of our employees are
• Contributes max up to maximum one-third of all total contributions by the local governing body in a particular
• That means from a maximum one-third contribution rate to use an actually determined contribution rate
• We desperately need. a COLA that is recurring for your employees, your employees. retired employees.
• Every Texan partnered with Texas State Employees. employees union last year to survey state employees

Committee: House Appropriations - S/C on Articles I, IV, & V

Transcript Highlights:

• , teachers' retirement systems, school employees' retirement systems, the public safety employees' retirement
• Rather, it's the cost of the system for school employees spread over all of the eligible employees.
• Currently, SEBB rules presume that an employee, if the employee worked in a similar position for the
• Things... ...employees that were potentially affected by this change, current employees.
• Depending on length of service, individual employees could owe up to $18,042 in back retirement contributions

Summary: The House Appropriations Committee heard staff briefings and testimony on four bills. House Bill 2124, a Department of Retirement Systems request, would raise the minimum monthly pension benefit that can be paid as a lump sum from $50 to $250, with future inflation adjustments by the director; staff said it would cost about $11,000 in administrative changes and have no actuarial impact on the pension funds. House Bill 2125 would remove a biennial restriction on using pension fund interest earnings for certain administrative and compliance expenses that protect the funds; DRS said it would have no fiscal impact and would continue existing practice. Seth Miller of DRS supported both bills as efforts to reduce complexity and improve consistency across retirement systems. House Bill 2179 would create a retroactive exemption from PERS membership for certain port district employees who are instead covered by federal railroad retirement or union-sponsored defined benefit plans. Staff said audits found a small number of affected employees, with a one-time administrative cost of about $18,000, and noted possible legal concerns because retroactive changes can implicate vested retirement rights. Testimony from the Washington Public Ports Association and the Port of Ponderay supported the bill as a narrow clarification needed to avoid dual coverage and large retroactive liabilities; the Port of Vancouver also supported it as a fix for building trades workers covered by union plans. House Bill 2160 would change SEBB eligibility rules for school employees, creating a presumption of coverage on day one for returning employees who previously worked 630 hours in prior years, effectively shortening the lookback period and extending it across SEBB employers. Supporters, including substitute teachers, WEA, SEIU, and other school workers, said the bill would reduce disruptive gaps in coverage, help workers and families maintain continuous insurance, and improve recruitment and retention. Opponents, including school administrators, business officials, and school directors, argued it would be an unfunded mandate that could significantly increase district costs and administrative complexity, especially because districts would have to track hours and rebut presumptive eligibility. The Health Care Authority explained that eligibility is determined by local benefits administrators using worksheets and appeals, that the current two-year presumption was built from earlier benefit rules, and that the bill could increase costs and create issues for retirees who currently manage hours to stay below the 630-hour threshold. The committee took no votes and adjourned after public hearing.

Transcript Highlights:

• What this veterans bonus does is give public service employees who are veterans $15 a month added to
• It provides a little extra for a public employee who has military service.
• I would note that as a current state employee, I'm here today strictly as an individual and using my
• We represent approximately 52,000 retired Massachusetts public employees.
• The work of these essential employees never stops, not even when nearly everything else does.

Committee: Joint Joint Committee on Public Service

Summary: The Joint Committee on Public Service heard testimony on a range of retirement-related bills, with several witnesses and advocates focusing on pension equity, veteran benefits, and recognition for public safety workers. Representative Dennis Gallagher and Mass Retirees supported legislation to increase the long-standing veterans’ bonus from $15 to $50 per year of service, up to $1,000 annually, and described it as a modest, overdue adjustment with minimal fiscal impact. Mass Retirees also backed bills to raise the minimum survivor allowance for public retirees and to address inequities in Option B and Option C survivor benefits for retirees whose pensions were calculated under older mortality tables. The committee also heard a personal bill from Representative Jim Arceiro and Nathan McKinnon seeking creditable service for McKinnon’s years in the Nevada higher education system, which he said should count toward his Massachusetts retirement. Another individual bill was presented by Roberta Wollins, supported by Senator Keenan, to remedy what she described as misleading retirement advice from UMass Boston that affected her ability to buy back prior service and made her retirement planning inaccurate. Senator Keenan and others framed both cases as unique fairness issues rather than broad policy changes. A large panel from police, fire, corrections, EMS, and related organizations testified in favor of a COVID-19 retirement credit proposal and a study bill, arguing that essential workers who reported in person throughout the pandemic should receive recognition and a time-based retirement credit. Witnesses described exposure risks, illness, deaths, staffing strain, and long-term effects from COVID-19, and several committee members voiced support and appreciation for their service. The hearing concluded with no votes taken on the bills and a motion to adjourn, which was approved.

Transcript Highlights:

• for establishing whether or not somebody is an employee.
• Are you asking about affecting an employee who may be moved from employee status to a contractor and
• Affecting an employee who may be moved from employee status to a contractor and then back type of situation
• This is only for people who are not employees of the company.
• And so that individual, you could contribute to, as an employer, if you choose to contribute to that.

Committee: House Business

Transcript Highlights:

• Federal employee. And I chose employee. Federal employee.
• </c> member contributions. member contributions.
• contributions. end of the filing year, contributions end of the filing year, contributions are<04:43:
• These entities represent employers with very few employees to nearly 1,000 employees.
• </c> my employees. my employees.

Summary: The committee first heard Senate Bill 47, sponsored by Senator Regina Birdsell at the request of the Insurance Department. The bill would clarify that a birth mother’s health insurance is the primary policy for a newborn’s care unless the mother has no coverage or no employer-sponsored coverage. Birdsell and Insurance Commissioner DJ Benton Court said the measure simply codifies the department’s long-standing interpretation of existing law. Representative Miles asked whether the coverage would extend to a grandchild if a young woman on her parents’ plan had a baby, and Birdsell said it would. The hearing on SB 47 was then closed. The committee next heard Senate Bill 121, introduced by Grant Bosi for Senator Kevin Avard. The bill requires insurers to notify the Insurance Department when they stop writing an entire line of business or, in some cases, when they change Medicare Advantage offerings. Benton Court said the bill was prompted by disruption in the Medicare Advantage market, where consumers and the department were confused by carriers exiting, changing plans, or narrowing offerings. He said the department does not regulate Medicare Advantage itself, but does license the carriers, and the notice requirement would help the department advise consumers; he also said noncompliance could affect a carrier’s license and could lead to fines. Members discussed the notice period, and the department and AHIP indicated support for changing it from 120 days to 90 days to align with federal timing. The hearing was closed with plans to work on an amendment in subcommittee. Finally, the committee heard Senate Bill 247, introduced by Representative Brian Cole, which would prohibit network exclusion for pharmacies that refuse to dispense prescriptions when PBM reimbursement is below acquisition cost. Cole said the bill is meant to stop pharmacies from being forced to sell at a loss. Members questioned whether pharmacies voluntarily enter PBM contracts, whether the bill would raise consumer prices, and whether it would mainly affect independent pharmacies. Cole and others said the issue has changed over time because PBMs now control a much larger share of the market, and that the bill would let pharmacies refuse loss-making fills and direct patients to mail order instead. The discussion also noted that the bill excludes Medicare and Medicaid and that the current proposal does not create a middle-ground option for patients to pay a premium at the counter.

Transcript Highlights:

• or an employee contribution if there is a change to that.
• or an employee contribution if there is a change to that.
• or an employee contribution if there is a change to that.
• or an employee contribution if there is a change to that.
• or an employee contribution if there is a change to that.

Summary: The committee held its first meeting on budget instructions for the 2026-2028 state budget, as required by KRS Chapter 48. Staff from the Office of State Budget Director outlined three recommended changes: restructuring Form B4 for additional budget requests to emphasize the problem, solution, and quantitative data; adding page numbers to the Record P report so agencies’ additional budget requests can be located more easily; and updating the budget calendar to reflect the December 20 presentation of the consensus forecast to LRC under changes made by House Bill 360. Members asked follow-up questions about contribution rates, debt service template rates, and employee health rates. Staff said the fiscal 2026 KS non-hazardous contribution rate is 42.76%, but fiscal 2027 and 2028 rates have not yet been set; debt service rates would be posted later; and employee health rate assumptions are still being discussed with the Personnel Cabinet. Members also asked how program reductions or terminations would be handled, and staff explained that agencies base requests on statutory and federal requirements, while budget reductions are handled through the appropriations act. The committee discussed whether Form B4 should ask agencies to describe alternative options considered and how they were evaluated. Staff said the current instructions do not specifically require that, though some implications may appear in narrative responses, and members agreed to continue working on the instructions. The committee then adopted a motion directing the co-chairs to work with LRC staff to finalize the 2026-2028 budget instructions and present them for adoption, with the motion approved by roll call. Members also noted that federal budget developments, including possible SNAP cost shifts to states, are being monitored but are too early to incorporate into the instructions at this time.