Bills: SB1423 , SB1426 , SB1502 , SB1377 , SB1983 , SB1466 , SB1645 , SB1647 , SB1847 , SB1565 , SB1562 , SB1329 , SB1383 , SB1833 , SB1555 , SB1344 , SB1839 , SB1280 , SB1832 , SB2001 , SB1405 , SB2143 , SB1989 , SB1393 , SB1392 , SB1395 , SB1400 , SB1220 , SB1516 , SB1239 , SB1531 , SB1349 , SB1221 , SB1538 , SB1309 , SB1434 , SB2108 , SB2121 , SB2171 , SB2061 , SB2112 , SB2138

Keywords: Oklahoma Hospital Advisory Council, hospital licensure, public health, State Department of Health, State Board of Health, hospital regulations, healthcare regulation, hospital standards, hospital construction, hospital operations, stroke care, stroke system, emergency medical services, EMS transport, psychiatric treatment, chemical dependency treatment, substance use disorder, drug storage, pharmacy, quality indicators

Bills: HB4319 , HB4317 , HB1225 , HB3076 , HB3081 , HB4226 , SCR17 , HB4432 , HB3304 , HB3411 , HB3435 , HB4339 , HB4331 , HB4341 , HB4342 , HB1770 , HB1016 , HB4113 , HB2950 , HB4141 , HB3277 , HB2988 , HB3029 , HB3338 , HB1889 , HB3834 , HB3831 , HB2939 , HB3045 , HB3657 , HB1739 , HB3759 , HB3755 , HB4484 , HB4486 , HB4108 , HB1250 , HB2961 , HB1219 , HB3025 , HB1782 , HB1907 , HB3718 , HB4459 , HB2976 , HB3548 , HB3545 , HB2952 , HB2929 , HB2956 , HB2973 , HB3055 , HB3086 , HB3040 , HB3794 , HB4336 , HB3151 , HB1590 , HB3581 , HB3313 , HB3429 , HB3448 , HB1752 , HB2650 , HB3584 , HB4202 , HB3586 , HB4321 , HB4280 , HB3650 , HCR1020 , HB2116 , HB2206 , HB4301 , HB3625 , HB3147 , HB3403 , HB3498 , HB3970 , HB3975 , HB3976 , HB3980 , HB4265 , HB4266 , HB3638 , HB3880 , HB3930 , HB3942 , HB3944 , HB4191 , HB3242 , HB3678

Keywords: administrative procedures, rulemaking authority, specific authority, legislative review, agency rules, accounting, CPA, licensure, educational requirements, reciprocity, professional conduct, vital records, birth certificate, birth registration, biological sex, sex designation, male, female, nonbinary, gender identity

Transcript Highlights:

• reading, assign my reassignment, buildings and resolutions, builds resolutions, conference committee reports
• , and joint committee reports, most places in new business for the House members.
• One program reports that they've placed 55,000 teachers in jobs. 60, almost 6,900 of them are special

Bills: HB4319 , HB4317 , HB1225 , HB3076 , HB3081 , HB4226 , SCR17 , HB4432 , HB3304 , HB3411 , HB3435 , HB4339 , HB4331 , HB4341 , HB4342 , HB1770 , HB1016 , HB4113 , HB2950 , HB4141 , HB3277 , HB2988 , HB3029 , HB3338 , HB1889 , HB3834 , HB3831 , HB2939 , HB3045 , HB3657 , HB1739 , HB3759 , HB3755 , HB4484 , HB4486 , HB4108 , HB1250 , HB2961 , HB1219 , HB3025 , HB1782 , HB1907 , HB3718 , HB4459 , HB2976 , HB3548 , HB3545 , HB2952 , HB2929 , HB2956 , HB2973 , HB3055 , HB3086 , HB3040 , HB3794 , HB4336 , HB3151 , HB1590 , HB3581 , HB3313 , HB3429 , HB3448 , HB1752 , HB2650 , HB3584 , HB4202 , HB3586 , HB4321 , HB4280 , HB3650 , HCR1020 , HB2116 , HB2206 , HB4301 , HB3625 , HB3147 , HB3403 , HB3498 , HB3970 , HB3975 , HB3976 , HB3980 , HB4265 , HB4266 , HB3638 , HB3880 , HB3930 , HB3942 , HB3944 , HB4191 , HB3242 , HB3678

Keywords: administrative procedures, rulemaking authority, specific authority, legislative review, agency rules, accounting, CPA, licensure, educational requirements, reciprocity, professional conduct, vital records, birth certificate, birth registration, biological sex, sex designation, male, female, nonbinary, gender identity

Bills: HB1675 , HB3242 , HB1739 , HB3320 , HB3047 , HB4434 , HJR1089 , HB4432 , HB3718 , HB3705 , SR43 , HB1933 , HB4248 , SB1847 , SB1778 , HJR1086 , HB3001 , HB3002 , HB3003 , HB3004 , HB3005 , HB3007 , HB3008 , HB1590 , HB1242 , HB3818 , HB4305 , HB1979 , HB1225 , HB3931 , HB4454 , HB3849 , HB1746 , HB3720 , HB4275 , HB4300 , HB3586 , HB2268 , HB3755 , HB4117 , HB4294 , HB3650 , HB4298 , HB3270 , HB3145 , HB3056

Keywords: emergency management, severe weather, youth camp, summer camp, overnight camp, day camp, outdoor education, adventure camp, wilderness program, campground safety, tornado preparedness, flooding, flash flood, high winds, hail, lightning, extreme heat, extreme cold, wildfire smoke, evacuation plan

Transcript Highlights:

• Chairman, move passage move favor report. report. report.
• And with that, I move favorable report for SB 24. >> Got a motion for favorable report by Senator Figures
• And uh Bill's given a favorable report.
• And uh Bill's given a favor<00:14:57.279><c> report.
• Thank you, committee favor report.

Bills: SB24 , SB83 , SB142 , SB140 , SB94 , SB24 , SB83 , SB142 , SB140 , SB94 , HB132 , HB37 , HB51 , HB105 , HB54 , HB7 , HB158 , HB188 , HB189 , HB111 , HB13 , HB192 , HB149 , HB132 , HB37 , HB51 , HB105 , HB54 , HB7 , HB158 , HB188 , HB189 , HB111 , HB13 , HB192 , HB149

Committee: Senate Judiciary

Keywords: body-worn camera, public records, law enforcement transparency, recording disclosure, civil rights, adult-size changing table, changing station, accessible restroom, public bathroom, public building, public entity, ADA, Americans with Disabilities Act, accessibility, restroom renovation, new construction, grant program, state grant, local government facilities, historic property

Transcript Highlights:

• Present a report. Your bill out is a due pass 13-0.
• Report that out as a new pass though.
• There's no report that bill out as a due pass of 13-0.
• I report that bill out as a do pass of tw20.
• President, vote to report the bill out as a due pass.

Bills: HB1322 , HB2015 , HB2933 , HB2941 , HB2959 , HB2977 , HB2981 , HB3040 , HB3055 , HB3062 , HB3087 , HB3115 , HB3134 , HB3244 , HB3297 , HB3298 , HB3299 , HB3304 , HB3319 , HB3321 , HB3322 , HB3323 , HB3345 , HB3407 , HB3471 , HB3497 , HB3500 , HB3505 , HB3544 , HB3581 , HB3648 , HB3755 , HB3764 , HB3765 , HB3767 , HB3906 , HB3974 , HB3982 , HB4104 , HB4105 , HB4106 , HB4107 , HB4108 , HB4126 , HB4130 , HB4139 , HB4144 , HB4170 , HB4202 , HB4226 , HB4227 , HB4236 , HB4260 , HB4343

Committee: House Judiciary and Public Safety Oversight

Keywords: domestic violence, offenders registry, public safety, law enforcement, victim protection, conviction records, landlord, tenant rights, rental agreement, housing safety, tenant protections, insurance regulation, homeowner claims, premium discounts, catastrophe mitigation, civil penalties, fentanyl, overdose, first responders, drug reporting

Transcript Highlights:

• called an annual financial report.
• called an annual financial report.
• comprehensive financial report.
• For example, the 40 state government reports include financial audit reports, operational audit reports
• Government financial audit reports can provide comfort over the accuracy of financial reporting to those

Summary: The Joint Legislative Auditing Committee met to receive annual overviews of its oversight responsibilities and the work of the Auditor General and OPAGA. Committee staff reviewed the committee’s authority over state and local governments, enforcement of audit-report filing requirements, repeated audit findings, Transparency Florida reporting, and lobbying compensation audits. Auditor General Cheryl Norman described her office’s independence, audit standards, quality control, and major audit areas, including the state’s annual financial and single audits, school district and university audits, operational and performance audits, and attestation work. She also noted staffing shortages, recruitment efforts, and a request for carry-forward funds to study salaries. Members asked about whether audits can quantify recoverable dollars, how school district spending comparisons are handled, and how to raise concerns about DCF-related audits or a local city audit that has been pending for years. Norman said her office can quantify findings when possible, sometimes compares costs across districts in operational audits, and that members can bring specific concerns to the appropriate deputy auditor general or the committee. She also explained that citizen or local-government audit requests may require payment of audit costs. OPAGA Coordinator Kara Collins-Gomez outlined OPAGA’s role as a legislative research unit that conducts studies directed by law, the presiding officers, or the committee, and described its policy areas, methodologies, contract monitoring, and recurring statutory reports. Deputy Auditor General Matthew Tracy explained how to read operational audit reports, including findings, criteria, condition, cause, effect, recommendations, and management responses. Deputy Auditor General Greg Senators explained financial audit reports, including audit opinions, required supplementary information, internal control and compliance findings, federal program compliance, and management letters. The meeting concluded with thanks to the presenters and a motion to adjourn, which passed without objection.

Transcript Highlights:

• On the financial institution side, there's certainly a financial loss.
• So currently, we as a financial institution can information-share with law enforcement and other financial
• They now have a derogatory report on their credit report.
• have found that they can make more on financial exploitation and financial fraud and scams.
• have found that they can make more on financial exploitation and financial fraud and scams.

Summary: The committee began with a work session on the Joint Legislative Audit and Review Committee’s cannabis market study, presented by JLARC staff member Susanna Pratt. The report found Washington’s cannabis production in 2023 was likely two to three times higher than retail sales, with production estimated at 292,000 to 443,000 pounds of THC versus 139,000 pounds sold. Pratt explained that canopy data are inconsistent and that the Liquor and Cannabis Board’s traceability system is incomplete and unreliable, limiting data-driven regulation, tax verification, recall tracking, and diversion enforcement. JLARC recommended that LCB submit a plan by the end of 2025 for obtaining accurate licensee data by the end of 2026; LCB partially concurred and said a 2027 timeline may be more realistic. JLARC also concluded that the social equity producer licenses would likely have only a minimal effect on statewide production capacity, and suggested the legislature consider broader ways to increase equity in the industry. Members asked about the slow issuance of social equity licenses and about comparable traceability systems in other states. The committee then heard a series of presentations on fraud and scam prevention. Paul Benda of the American Bankers Association described the scale of fraud losses, the role of telecom spoofing, social media scam ads, SIM farms, and crypto ATMs, and argued for a shared-responsibility approach involving banks, telecoms, and platforms. Katie Clark of IQ Credit Union described member-to-member fraud, romance scams, and the operational and financial impacts on credit unions, and recommended better information sharing, safe harbors for returning scam-related funds, and stronger fraud education. Kyle Innes of SIFMA highlighted investor fraud and Washington’s 2009 report-and-hold law, which he said helped shape similar protections in most states, and emphasized the need for better communication among financial firms, APS, and law enforcement. Brian Gerard and Ali Higgs from the Department of Financial Institutions discussed “pig butchering” and other investment scams, focusing on how scammers build trust through social media, dating apps, fake websites, and crypto schemes before extracting funds. Across the fraud presentations, witnesses repeatedly stressed consumer education, interagency information sharing, and stronger controls on telecom, social media, and crypto ATM activity. Members asked about model laws from other states, the role of financial education in schools, and whether crypto ATMs should be regulated or banned. No votes or formal committee actions were taken during the meeting.

Transcript Highlights:

• The Governmental Accounting Standards Board prescribes the accounting and financial reporting for the
• The Governmental Accounting Standards Board prescribes the accounting and financial reporting for the
• financial reporting requirements.
• Today, that is AFRS, the Agency Financial Reporting System, and in the future, it will be Workday.
• We are an active participant in the agency financial reporting system.

Committee: Joint Joint Higher Education Committee

Summary: The Joint Higher Education Committee met for a work session on higher education accounting practices and financial transparency. OFM Deputy Director Sarah Rupp explained how state accounting rules and higher education reporting differ, including what data is captured in AFRS today and what will move into Workday, with universities generally reporting summary-level fund data, mandatory codes, and most balance sheet and income statement activity, but not transaction-level detail or vendor payment information. Representatives from the University of Washington and Washington State University described the complexity of their own accounting systems, the many entities and business lines they must track for audits and compliance, and the need to reconcile university-level accrual accounting with state reporting requirements. The committee also heard from the Education Research and Data Center on the public four-year finance dashboard created under Senate Bill 5512; ERDC said the dashboard is based on publicly available data, is best used to examine institutions individually rather than compare them directly, and will be updated with additional metrics in 2025 and 2026. The committee then received a presentation from the Washington Student Achievement Council on the Workforce Education Investment Account (WIA). Joel Anderson reviewed WIA’s creation under House Bill 2158, its revenue sources, and its intended uses for higher education, financial aid, and workforce development. He said recent legislation significantly increased WIA revenues and that, in the 2025–27 budget, the account is being used in new ways, including to replace general fund support for University of Washington operations and to fund a larger share of the Washington College Grant and some faculty compensation costs. Anderson said roughly 98% of current WIA appropriations go to higher education, but the share used to supplant other higher education funding has grown, and he estimated about 60% to 70% of current spending still aligns with the account’s original intent. He also described a new effort to track WIA appropriations across biennia in more detail and noted the WIA Oversight Board’s role in recommending uses of the account and monitoring outcomes. No votes were taken; the committee ended by moving into executive session for staffing issues and then adjourned.

Transcript Highlights:

• It removes provisions requiring ESDs to report known or suspected financial wrongdoing to the Attorney
• reports.
• It removes provisions requiring ESDs to report known or suspected financial wrongdoing to the Attorney
• reports.
• It removes provisions requiring ESD to report to the known or suspected financial wrongdoing to the Attorney

Committee: House Education

Transcript Highlights:

• To report. Yes.
• </c> and lack of their financial opportunity. and lack of their financial opportunity.
• </c> financial injustice. financial injustice.
• </c> uh rent reporting. uh rent reporting.
• </c> participate in the financial system. participate in the financial system.

Transcript Highlights:

• Known as Logger X because we use this for local government financial reporting.
• Local governments are responsible for filing their annual financial reports, or AFRs, in this system.
• The information that's contained in there is at the financial report level.
• This particular website is for the local governments to report their financial statements.
• They are also reported as part of the state's comprehensive financial report, so their information would

Summary: The Joint Legislative Auditing Committee met to receive updates on Transparency Florida and related transparency tools. The Governor’s Office and the Department of Financial Services described the Transparency Florida website, the state payment and contract systems, and the local-government financial reporting system (Logger X/XBRL), emphasizing public access, searchable payment and contract data, downloadable reports, and ongoing upgrades. Members asked whether school districts and the Department of Corrections are included in these systems; staff explained that state agencies like Corrections are covered through Transparency Florida, FACTS, and the state financial reports, while Logger X is for local governments. Committee staff reported that the Transparency Florida Act’s requirements have been met and noted that any new recommendations would need legislative action; members were invited to submit recommendations by October 30. The committee then reviewed repeated audit findings for local governments and educational entities. Staff explained the statutory process for “three-peat” findings: first requesting an updated written corrective-action status, then possibly requiring an appearance before the committee, and finally taking further action if findings remain uncorrected. Most entities were recommended for written updates, while the City of Daytona Beach was singled out for an in-person appearance because of a repeated finding involving unexpended building permit balances. Members also raised questions about specific entities, including McIntosh, White Springs, Pahokee, and the Fred R. Wilson Memorial Law Library special district, with staff explaining the nature of the findings and noting that some entities may warrant further review. The committee adopted a motion to accept staff’s recommendations and to send letters to entities with uncorrected audit findings in late-filed 2023-24 audit reports. It also approved a motion directing the Auditor General and OPPAGA to conduct the required audit of the Department of the Lottery for fiscal year 2025-26, with the Auditor General handling financial, internal control, and compliance work and OPPAGA preparing operational recommendations. The meeting concluded with notice that the next meeting was tentatively scheduled for November 3 at 3:30 p.m., followed by adjournment.

Transcript Highlights:

• The second is the report on internal control over financial reporting.
• This report includes any findings related to the state's financial statements and federal financial assistance
• The second is the report on internal control over financial reporting.
• This report includes any findings related to the state's financial statements and federal financial assistance
• Additionally, financial reports were not completed and submitted correctly.

Committee: All LEGISLATIVE JOINT AUDITING

Summary: The committee met to adopt prior minutes and reports from its executive and standing committees, including counties and municipalities, educational institutions, and state agencies. Those reports covered routine audit activity, delinquent private water and sewer audits, municipal accounting compliance issues, education audit findings, and several state agency audit items. The committee also reviewed and adopted the State of Arkansas annual comprehensive financial report for fiscal year 2025 and the related single audit report, both presented by Legislative Audit staff. The state financial report showed unmodified opinions on the state’s financial statements and described total assets of about $41.9 billion and liabilities of about $11.1 billion, along with retirement system assets of $39.9 billion and a net pension liability of $9 billion. Two material weaknesses were identified: insufficient internal controls at the Office of State Technology to monitor threats and unauthorized access, and a Division of Workforce Services methodology change for unemployment-related estimates that was not properly documented or approved. The single audit covered $12.4 billion in federal awards across 469 programs, with 16 major programs reviewed; it resulted in 33 findings, 14 with questioned costs totaling $16.6 million, and qualified opinions for the Summer EBT program, the Coronavirus Capital Projects Fund, and the Child Care Development Fund cluster. Members questioned agency officials in detail about the Summer EBT questioned costs, DHS unresolved findings, broadband grant documentation, cyber security controls, workers’ compensation liabilities, and child care funding and reporting. DHS explained that the Summer EBT issue involved drawing federal funds in advance rather than as benefits were redeemed, and said the process has been corrected. Broadband officials said the questioned $6.6 million reflected documentation-detail disagreements across many invoices rather than missing payments. OST officials described new logging, endpoint detection, and phishing-training efforts, and DFA and Education officials addressed specific audit findings and corrective actions. The committee ultimately moved to hold the two large statewide reports over until the August meeting for further review, with discussion continuing on whether to release some agency staff in the meantime.

Transcript Highlights:

• The ACFR is the state's official audited financial report.
• Happy to report we issued an unmodified opinion that the financial statements are reported in accordance
• on internal controls over financial reporting, compliance, and other matters.
• And then as far as the report on internal controls over financial reporting, we had no material weaknesses
• financial reports to the State Auditor's Office as required by Century Code.

Committee: Joint Legislative Audit and Fiscal Review Committee

Transcript Highlights:

• The ACFR is the state's official audited financial report.
• on internal controls over financial reporting, compliance, and other matters.
• Again, headline: happy to report a modified clean audit opinion, that the financial statements are reported
• As far as the report on internal controls over financial reporting, we had no material weaknesses; no
• reports to the State Auditor's Office as required by Submitting required audits or financial reports

Summary: The committee met to receive a series of audit presentations, beginning with the statewide Annual Comprehensive Financial Report (ACFR) for fiscal year 2025. The State Auditor’s Office and OMB reported a clean, unmodified opinion for the state, with strong financial results including a $40.6 billion net position, $30.99 billion in assets, $1.81 billion in liabilities, and continued Legacy Fund growth. OMB also explained the new GASB 101 compensated-absences reporting change and discussed pension-liability fluctuations tied to discount-rate assumptions and investment performance. Members asked about how the state compares to others and about the effect of short-term commodity price swings, and OMB said the report reflects actual fiscal-year results rather than forecasts. The committee then heard the University System audit, which also received a clean opinion but included four findings: misreporting of Strategic Investment and Improvements Fund revenue, insufficient monitoring of service organizations at CTS, NDSU, and UND, improper bank reconciliations at Dakota College of Bottineau, Dickinson State, and Williston State, and investment/cash reconciliation problems at Bismarck State College related to bond proceeds. University officials agreed with the findings and said corrective actions were underway, including internal review of bank reconciliations. Members raised questions about NDSU’s use of certificates of deposit, and university staff explained that CDs are used to earn interest on funds being accumulated for future projects. Several other audits were presented, most with clean opinions and no findings, including the State Auditor’s Office, Workforce Safety and Insurance, Housing Finance Agency, Housing Incentive Fund, Job Service North Dakota, the Retirement and Investment Office, PERS, the Center for Distance Education, the Commission on Legal Counsel for Indigents, the Ethics Commission, and the Office of Administrative Hearings. Notable exceptions included a State Fair Association audit with an adverse opinion on the foundation component unit because its financial statements were not available for audit, and a Securities Department performance audit finding that performance-based pay increases and bonuses were issued without required evaluations. The committee also discussed the State Auditor’s future needs, including more staff capacity, data analytics, cybersecurity reviews, possible subpoena authority, independent legal counsel, and whether some audits—such as the Ethics Commission and State Fair—should be handled by independent third parties or under different statutory arrangements.

Transcript Highlights:

• buyers</c> financial reporting for grain buyers financial reporting for grain buyers here<01:04:09.920
• </c> financial reportings um when after financial reportings um when after especially<01:16:35.800><c
• The annual reporting has generally been some sort of financial data, purchase reports, and at times a
• </c><01:37:13.920><c> grain</c> financial reporting uh for their grain financial reporting uh for their
• there's</c> level financial report and then there's level financial report and then there's a<01:38:17.080

Bills: HF1063

Committee: House Agriculture Finance and Policy

Transcript Highlights:

• The ACFR is the state's official audited financial report.
• So I would welcome any questions on that financial statement audit also." "Reported.
• Happy to report issued an unmodified opinion that the financial statements are reported in accordance
• on internal controls over financial reporting, compliance, and other matters.
• And then as far as the report on internal controls over financial reporting, we had no material weaknesses

Committee: Joint Legislative Audit and Fiscal Review Committee

Summary: The Legislative Audit and Fiscal Review Committee met to receive a series of audit presentations, beginning with approval of the prior meeting minutes and a review of the state’s annual comprehensive financial report (ACFR) for fiscal year 2025. The State Auditor’s Office and the Office of Management and Budget reported a clean opinion on the state’s financial statements and described continued growth in net position, strong general fund balance, and significant Legacy Fund investment income. Committee members asked about how the report reflects long-term finances and how North Dakota compares with other states, and OMB noted that the ACFR is based on audited actual results rather than budget forecasts. The committee then heard the North Dakota University System audit, which also received a clean opinion but included four findings: misreporting of Strategic Investment and Improvements Fund construction money, insufficient monitoring of service organizations, improper bank reconciliations at several campuses, and investment/cash recording issues at Bismarck State College. University System officials agreed with the findings and said corrective actions were underway, including internal review of bank reconciliations and greater use of shared services. Members also questioned practices such as campus use of certificates of deposit and whether repeated findings were being adequately addressed. Additional audits were presented for the State Fair Association, State Auditor’s Office, Workforce Safety and Insurance, Housing Finance Agency, Housing Incentive Fund, Job Service North Dakota, the Retirement and Investment Office, PERS, the Center for Distance Education, the Securities Department, the Commission on Legal Counsel for Indigents, the Ethics Commission, and the Office of Administrative Hearings. Most received clean opinions with no findings; exceptions included a repeat component-unit issue at the State Fair Foundation, a securities personnel-evaluation finding, and a Housing Finance Agency finding involving a late return of escrow surplus. The committee also discussed broader oversight issues, including the need for independent auditing of the Ethics Commission, possible legislative changes to give the State Auditor more subpoena power and independent legal counsel, and future work on data analytics, cybersecurity reviews, and audit capacity. The meeting recessed for lunch after these discussions.

Transcript Highlights:

• So our recommendation is to simply align that with the existing financial reporting requirements set
• Our financial reports, those are still shared with the county; those are still accessible.
• But for those that do, your monthly financial reports, those are public, those are accessible.
• of reporting.
• Being able to have a report sent back to the reporter, I think would be kind of a report. able to have

Committee: House Health and Mental Health

Transcript Highlights:

• , which are the financial highlights, but not to distract from the reports at hand.
• that are the financial highlights, but not to distract from the reports at hand.
• The second is the report on internal control over financial reporting.
• This report includes any findings related to the state's financial statements and federal financial assistance
• Additionally, financial reports were not completed and submitted correctly.

Committee: All LEGISLATIVE JOINT AUDITING

Summary: The Legislative Joint Auditing Committee met on June 5 and first adopted prior minutes and several committee reports. The executive committee report noted adoption of its minutes, staff updates on scheduled audits, approval of an annual financial audit for the City of Horseshoe Bend, and an update on the intern program. The Counties and Municipalities report covered delinquent private water and sewer audits, compliance follow-up with towns including Denning, Gum Springs, Omer, Fargo, Jericho, and Haynes, and review of current and deferred reports; the committee filed most current reports but deferred several and referred some matters to prosecutors and the Attorney General. The Educational Institutions report said 103 education audits were reviewed, most with no findings, while several school districts had findings and one Booneville School District finding was referred to law enforcement. The State Agencies report included findings at the Department of Finance and Administration and a deferred Department of Health report, and the committee filed 13 reports. The committee then received lengthy presentations on the State of Arkansas annual comprehensive financial report and the state single audit for fiscal year ended June 30, 2025. Legislative Audit issued unmodified opinions on the state financial statements, but identified two material weaknesses: insufficient internal controls at the Office of State Technology to monitor threats and unauthorized access, and improper methodology changes and documentation issues at the Division of Workforce Services affecting year-end estimates for unemployment-related accounts. The single audit covered $12.4 billion in federal awards across 469 programs, with 16 major programs reviewed. Auditors reported 33 findings overall, including 31 federal findings, $12.9 million in outstanding questioned costs, and qualified opinions for the Summer Electronic Benefit Transfer program, the Coronavirus Capital Projects Fund, and the Child Care Development Fund cluster. Committee members questioned DHS, the broadband office, OST, DFA, Education, and Workforce Services about the findings, corrective actions, cyber protections, federal drawdowns, child care reporting, and accounting methodology changes. Several agencies described corrective steps. DHS said it had changed how it draws Summer EBT funds, addressed provider revalidation and incarceration-related Medicaid issues, and updated internal processes and staffing. The broadband office said the questioned costs reflected invoice documentation disputes rather than missing payments and expected Treasury review to resolve the issue. OST said it was expanding logging, endpoint detection, and enterprise monitoring, and described broader cybersecurity investments, training, and a roadmap. DFA and Workforce Services addressed the workers’ compensation and unemployment accounting issues, with Workforce Services saying it had updated its policy and submitted the methodology to DFA. After discussion, the committee voted to hold the two statewide audit reports over until the August meeting, with members asked to submit specific questions in advance so only needed agencies would return. The final item was a special report on the Hot Spring County Solid Waste Authority for January 1, 2023 through June 30, 2025. The audit reviewed compliance with laws, board procedures, bidding, payroll, permits, inspections, and cash handling. It noted prior private audit findings on segregation of duties, that recent private audit reports had not been obtained for 2023 through 2025, and that the current administrator said prior office staff and bookkeeping contractors resigned when he was hired. The authority’s operations and revenue sources were described, and the report was presented for committee review.

Transcript Highlights:

• Victims are often reluctant to report a financial crime.
• One issue reported is financial fraud and the negative impact this prolific crime has on our industry
• We report to the full Senate.
• Financial fraud, by and large, is organized crime, financial fraud many times.
• The 2024 NASDAQ Global Financial Crime Report highlighted. 485 billion in fraud-related losses with financial

Bills: SB1281 , SB1300 , SB1379 , SB1451 , SB1497 , SB1498 , SB1499

Committee: Senate Criminal Justice