Transcript Highlights:

• Finding seven deals with collection safeguards and reconciliations.

Summary: The Human Services Subcommittee met to receive updates on implementation of House Bill 1349, which created guardianship transparency measures, and on the Department of Elder Affairs’ Office of Public and Professional Guardians (OPPG). The Clerk of Courts Operations Corporation described the statewide guardianship database for judges and a public-facing website, noting the system went live in March 2025 after a soft launch in 2024. Officials said the database now includes information from all 67 clerks, with 388 users, about 6,400 wards, and 518 professional guardians. Members asked about unique identifiers, data duplication, training, and how the system is being used; CCOC said it is working to use registration numbers as identifiers, improve search functions, expand training, and seek continued funding. Secretary Michelle Branham then outlined OPPG’s implementation of HB 1349 and its broader oversight role. She said the department has doubled education requirements, expanded transparency through the Sentry system, and brought investigations fully in-house in August 2024. She described the complaint and investigation process, including legal sufficiency review, regional investigators, mandatory in-person interviews, and possible outcomes ranging from corrective training and fines to suspension or revocation. Members asked about complaint categories, disciplinary actions, whether guardians can be suspended during investigations, and how older cases are handled; the secretary said most complaints are administrative/technical, serious allegations are referred to law enforcement, and one older case discussed remained ongoing. The Auditor General’s office presented its operational audit of OPPG, covering July 2022 through January 2024 and follow-up on prior findings. The audit identified problems with monitoring private professional guardians and public guardian offices, complaint processing timeliness, incomplete public profile information, late registration renewals, failure to assess contract penalties, weak collection safeguards, missing follow-up on required public guardian reports, lack of needed rules, and Sentry system access/security controls. In response, Secretary Branham said the department does not dispute the findings and has already taken corrective steps, including launching Sentry, hiring additional monitors, moving investigations in-house, adding automated renewal reminders, updating forms, and drafting new rules. She also said the department plans to seek subpoena power and stronger fines in the next legislative session. The subcommittee took no formal vote and adjourned after members’ questions were completed.

Transcript Highlights:

• and that property is ours. has already come to capacity, so we're in dire need of some kind of reconciliation

Committee: House House Rural Development, Land Grants And Cultural Affairs

Transcript Highlights:

• The bills for the future budget will move through the reconciliation process and the signing process

Committee: House Legislative Council

Transcript Highlights:

• I wanted to note that just this morning, out of Energy and Commerce in Washington, the budget reconciliation

Transcript Highlights:

• It requires APD to post its current wait list numbers and its quarterly reconciliation reports on its

Committee: Senate Appropriations

Summary: The Appropriations Committee met with a quorum and considered a series of bills, most of them receiving favorable reports. SB 132, as amended, would require the Department of Financial Services to contract for a study on whether Florida should recognize gold and silver as legal tender; an amendment advanced the report deadline to December 1, 2025, and the bill was reported favorably. SB 1050, also amended, expands the intellectual and developmental disabilities managed care pilot program statewide, emphasizes that enrollment is voluntary, adds transparency and reporting requirements for APD, creates a statewide family care council, and requires related studies and coordination; it was reported favorably after supportive testimony about reducing the APD wait list. SB 820 codifies the Office of Faith and Community in the Governor’s office, and the bill drew extended debate over church-state separation and concerns about political activity by the office; despite opposition from several senators, it was reported favorably. SB 1060 creates a joint legislative oversight committee for Medicaid financing and operations, with supporters citing the size of the program and the need for stronger legislative review; it passed favorably. SB 7032 presumes Medicaid eligibility for permanently disabled individuals receiving certain long-term services during redetermination, to prevent gaps in care, and was reported favorably with broad support. SB 12, a claim bill for a minor injured in a DCF-related case, was also reported favorably without opposition. The committee also approved several infrastructure and tax-related measures. SJR 318 proposes an ad valorem exemption for certain tangible personal property used in agriculture or agritourism, such as equipment and tractors, and was reported favorably with support from agricultural and business groups. SB 818, as amended, revises utility relocation funding for public road and rail projects, shifting the financing structure after constitutional concerns were raised and adding a $50 million grant program; it passed after discussion of the impact on local governments and utilities. SB 1348 modernizes DMV services through tax collectors, adds a distracted driving course option, bans appointment scalping, and extends certain disabled parking permit terms; it was reported favorably. SB 1664 requires voter reapproval of local taxes, including tourist development taxes and local option sales taxes, when they expire, with special rules for taxes tied to revenue bonds; it drew significant debate over impacts on tourism-dependent counties and was reported favorably despite opposition from some members and local government groups. SB 1050, SB 820, SB 1060, SB 7032, SB 12, SJR 318, SB 818, SB 1348, and SB 1664 all received favorable committee votes, and the meeting ended with final missed-vote requests and adjournment.

Transcript Highlights:

• Well, listen, we're gonna be working on this Our budget reconciliation plan here on the Senate side.

Committee: Senate Commerce, Science, and Transportation Committee

Keywords: Greenland, acquisition, national security, Arctic, geopolitical, China, Russia, icebreakers, trade routes

Summary: The meeting convened by the Senate Committee on Commerce, Science, and Transportation focused on the potential acquisition of Greenland by the United States. This issue, first raised by President Trump in 2019, has gained renewed significance amidst shifting global dynamics and the strategic importance of Greenland in relation to transatlantic trade routes and national security. The members discussed the geopolitical implications of Greenland's position, especially given the increasing influence of China and Russia in the Arctic region. Notably, the urgency to address military presence and icebreaker capabilities in the Arctic was a major point of contention, with a call for a new fleet to counter foreign dominance in the area.

Transcript Highlights:

• to the Child Care Development Block Grant and the Personal Responsibility and Work Opportunity Reconciliation
• to the Child Care Development Block Grant and the Personal Responsibility and Work Opportunity Reconciliation

Summary: The Sunset Advisory Commission convened for the 2026-27 review cycle, established a quorum, approved its review schedule and the January 15, 2025 meeting minutes, and heard introductory remarks from members and staff. Chair Kolkhorst and Vice Chair Hall emphasized the commission’s role in reviewing state agencies for efficiency, accountability, and transparency. Sunset staff then gave an overview of the process and noted that 16 agencies and entities are under review this cycle, representing about a third of the state budget. The main staff presentation focused on the Texas Workforce Commission (TWC), the Texas Workforce Investment Council (TWIC), and the Purchasing from People with Disabilities Program. Sunset staff said TWC needs stronger oversight of local workforce development boards, better coordination and communication with those boards, and improved IT and data systems. Other recommendations included transferring TWC’s career schools and colleges regulatory program to the Texas Department of Licensing and Regulation, improving vocational rehabilitation integration and structure, strengthening child care fraud oversight and unemployment insurance fraud penalties, improving child care subsidy data and communication with DFPS, continuing TWC for 12 years, and retaining the Purchasing from People with Disabilities Program while removing its separate sunset date. Staff also recommended continuing TWIC for 12 years while removing outdated functions. Members questioned staff extensively about local board performance, IT failures, fraud recovery, child care oversight, and SNAP Employment and Training (SNAP E&T). Several members argued that IT contractors and agencies should be held more accountable, and that real-time data and stronger enforcement tools are needed. Staff said TWC’s current systems and processes limit effective oversight, that child care fraud investigations are inconsistent across the 28 boards, and that the unemployment insurance fraud penalty is lower than in other states. They also said SNAP E&T participation is hampered by low standards, limited funding, and structural inefficiencies between HHSC, TWC, and local boards. TWC leadership and TWIC leadership generally agreed with the staff report and said they were already working on many of the recommendations. TWC officials said the agency has grown significantly since its last review and acknowledged problems with IT modernization, board communication, and some oversight processes. TWIC officials supported continuing the council and said its role as the neutral state workforce board is important under federal law, while agreeing to eliminate outdated functions and update procedures. No final substantive action was taken on the agency recommendations during this portion of the meeting beyond the earlier approvals of the schedule and minutes.

Transcript Highlights:

• Um, so everyone should receive a page that says reconciliation of absentee ballots.
• Page that says reconciliation of absentee ballots. This was provided by Representative Weary.

Summary: The committee of conference first resolved House Bill 158, which concerns public inspection of absentee ballot lists. The Senate explained a revised approach that removed the broader bill language and instead directed the Secretary of State to review absentee ballot data after each general election for patterns such as common addresses and to report findings to the committees of jurisdiction. The House agreed to the Senate position, and the conference committee voted unanimously to concur. The committee then took up House Bill 281, dealing with a sortable electronic voter checklist. Members debated the Senate’s removal of language that would have included the absentee ballot mailing address when different from the voter’s registration address. Concerns were raised that releasing mailing addresses could expose where voters are not home and could affect overseas and military voters. The committee also discussed a related form for election officials who personally know a voter, including how long the form would be retained and whether it would be subject to public records law. After further discussion, the House agreed to the Senate changes with an additional requirement that the form be signed, and the committee voted to proceed with the amended Senate position. House Bill 317, concerning verification of a person’s identity by a supervisor of the checklist without identification, was also discussed at length. The Senate’s version preserved the ability for election officials to identify people they know, but required a signed form under penalty of perjury and added a nursing home-related provision. Members described the measure as balancing community-based identification with tighter documentation, and a House witness described local problems with inconsistent ID checks and concerns about voting in nursing homes. The House sought one additional change requiring the nursing home verification form to be signed, and the Senate accepted that addition; the committee then voted to move the bill forward on the consent calendar. The conference committee next considered House Bill 340 on electioneering by public employees. The chair presented a replace-all amendment that tied the definition of electioneering to existing law, added a prohibition on expressly or primarily political surveys, and created a civil penalty of up to $1,000 alongside the misdemeanor penalty. Members discussed clarifying when the misdemeanor versus civil penalty would apply and which categories of public employees were covered. After caucus, the Senate agreed to the House’s replace-all approach with the clarifying changes, and the bill was closed. The committee also resolved House Bill 1062 by agreeing to strike a sunset clause from the Senate version authorizing random audits of citizenship qualifications, and it began discussion of House Bill 1187 on the filing window for special-election candidates, where the House proposed requiring local election officials to arrange a filing time on the same day or next business day after being contacted.

Transcript Highlights:

• states as a result of the passage of the federal Personal Responsibility and Work Opportunity Reconciliation
• program, is actually automating... ...a recurring program is actually automating into CalSAWS the reconciliation

Transcript Highlights:

• states as a result of the passage of the federal Personal Responsibility and Work Opportunity Reconciliation
• one of the key things that we would want to consider is actually automating into CalSAWS the reconciliation

Summary: The Assembly Budget Subcommittee on Human Services opened its first hearing of the year with a discussion centered on CalFresh, the Department of Social Services, and related anti-poverty and immigrant services programs. Chair Jackson framed the hearing as a response to the “historic and enormous challenges” created by H.R. 1, emphasizing that the committee’s goal was to minimize harm to vulnerable Californians. No votes were taken in the hearing. The first major topic was the impact of H.R. 1 on CalFresh eligibility and administration. CDSS estimated major federal funding reductions, with hundreds of thousands of Californians potentially losing benefits under new time limits and work requirements for able-bodied adults without dependents, and additional losses among certain non-citizen groups. County welfare directors, eligibility workers, SEIU, and other advocates argued that counties are underfunded and understaffed to implement the new rules, and urged release of the previously authorized $20 million General Fund, a county match waiver, and an additional ongoing workforce investment. LAO and the Department of Finance said they were reviewing the administration’s proposals and emphasized the need to use existing data, automation, and statutory direction to reduce administrative burden and improve implementation. A second panel addressed county administrative backfill and the broader fiscal effects of H.R. 1. CDSS explained that the law shifts more administrative costs to the state and counties beginning in federal fiscal year 2027 and could also create future state benefit costs tied to payment error rates. County and food bank representatives warned that many counties will struggle to absorb the higher match and that penalties tied to payment error rates could worsen budget pressure. Members pressed Finance and CDSS for clearer timelines, written responses, and more detailed workload assumptions, while Finance said it was still analyzing the federal guidance and county resource needs. The final major topic was the California Food Assistance Program (CFAP) and possible state responses for people losing federal CalFresh eligibility. CDSS said CFAP remains limited by statute and by the federal structure it currently uses, but that the planned expansion to Californians age 55 and older regardless of immigration status remains on track for October 1, 2027, subject to funding. Immigrant advocates urged the state to fold newly excluded humanitarian immigrants into CFAP and to invest in outreach and administration, while Western Center on Law and Poverty proposed a broader state-funded anti-hunger response for people cut off by H.R. 1. LAO noted that the CFAP expansion is difficult to estimate and that further policy and technical work would be needed to assess costs and implementation options.

Transcript Highlights:

• it's supposed to be the understanding that we are to rebuild relationships, build in the part of reconciliation
• 67% of Texans identify with the Christian faith, that this is a state that should identify with reconciliation

Bills: HB285 , HB795 , HB1795 , HB1871 , HB2407 , HB2461 , HB2695 , HB3507 , HB4911 , HB200

Committee: House Criminal Jurisprudence

Keywords: animal cruelty, nonlivestock, prosecution, veterinary defense, animal welfare, aggravated assault, penal code, public servant, deadly weapon, mass shooting, Penal Code, penalties, felony, Texas Penal Code, felony enhancement, first-degree felony, second-degree felony, violent crime, assault punishment, serious bodily injury

Transcript Highlights:

• That is being handled by the reconciliation process leadership. Leader Driscoll? Thank you, Mr.
• There is a great disparity, and I think we need to review this as we start to go through the reconciliation

Bills: HJR 99 , HB 1399 , HB 1400 , HB 1094 , HB 365 , HB 1109 , HB 647 , HCR 35 , SB 14 , HB 12 , HB 1522 , HB 422 , HB 675 , HB 204 , HB 748 , HB 912 , HJR 99 , HB 1399 , HB 1400 , HB 1094 , HB 365 , HB 1109 , HB 647 , HCR 35 , HCR 123 , HCR 124 , HR 57 , HR 87 , HR 111 , HR 228 , HR 230 , HR 322 , HR 624 , HR 625 , HR 626 , HR 627 , HR 628 , HR 630 , HR 631 , HR 634 , HR 635 , HR 636 , HR 637 , HR 638 , HR 639 , HR 640 , HR 645 , HR 646 , HR 648 , HR 649 , HR 651 , HR 652 , HR 653 , HR 654 , HR 664 , HR 665 , HR 668 , HR 675 , HR 676 , HR 678 , HR 679 , HR 680 , HR 683 , HR 686 , HR 688 , HR 689 , HR 694 , HR 695 , HR 697 , HR 698 , HR 699 , HR 472 , HR 622 , HR 632 , HR 633 , HR 643 , HR 655 , HR 657 , HR 660 , HR 661 , HR 662 , HR 663 , HR 667 , HR 670 , HR 674 , HR 681 , HR 682 , HR 696

Transcript Highlights:

• so I wanted to hear, and obviously one was for and one was against, so I'd like to hear your reconciliation
• there, so I wanted to hear, and obviously one was for and one was again, so I'd like to hear your reconciliation

Bills: HB569 , HB766 , HB1638 , HB2316 , HB2773 , HB2785 , HB3113 , HB3709 , HB3775 , HB4275

Committee: House Elections

Keywords: early voting, ballot correction, voting rights, election integrity, mail-in voting, voter notification, HB 766, precinct chair, precinct chair candidate, ballot application, Texas Election Code, Section 172.021, election administration, candidate filing, party precinct chair, county party, political party office, email address, telephone number, confidential candidate information

Summary: The committee heard House Bill 3709, which would change the partial manual audit process so early voting could be audited by voting location rather than by randomly selected precincts. The author and several supporters said the current precinct-based process is antiquated, labor-intensive, and especially difficult in countywide voting systems and large counties. Opponents and some neutral witnesses raised concerns about whether the change would still allow an apples-to-apples audit against official precinct results, whether random selection procedures should be more clearly defined, and how ballot secrecy and mail ballots would be handled. The Secretary of State’s office said counties already use random selection methods and that the bill would largely standardize early voting audits with election-day procedures, while also noting ballot privacy issues can arise in public records requests. After testimony, the bill was left pending. The committee then took up House Bill 766, as substituted, which would require precinct chair applicants to provide an email address, phone number, or both, while making that contact information confidential. Supporters said the change would help parties and local officials contact applicants more efficiently. Opponents argued it could expose personal contact information to public records requests and harassment, and some suggested the information should instead be handled through party rules. The bill was left pending after the committee substitute was withdrawn. House Bill 3775 followed and would set clearer timelines for when early voting ballot boards may begin opening carrier envelopes, with different start times based on county size. Supporters said the bill would address counties opening ballots too early and improve ballot security, while opponents warned it could delay defect notices and cure opportunities for mail voters and create problems in large counties that process high volumes of ballots. Testimony also focused on whether the bill referred to carrier envelopes or secrecy envelopes and on how counties like Harris County currently image and secure ballot materials. The bill was left pending. Finally, the committee heard House Bill 4275, which would require countywide polling systems to have polling places in each election precinct, intended to address uneven distribution of polling locations across county commissioner precincts. Supporters said the bill would make polling place distribution fairer and more consistent, especially in Harris County, while opponents said it would undermine countywide voting, increase costs, require more equipment and staff, and reduce local flexibility. Several witnesses also raised concerns about ballot secrecy and the practical burden on large and rural counties. The bill remained under discussion as testimony continued.

Transcript Highlights:

• So back in 1997, the Budget Reconciliation Act for Congress, you know, it's an example of good intentions
• So at that time, the Budget Reconciliation Act...

Bills: HB44 , HB2200 , HB1612 , HB2747 , HB2038 , HB3717 , HB1431 , HB3800 , HB3801 , HB3560 , HB3246 , HB44

Committee: House Public Health

Keywords: HB 44, Life of the Mother Act, abortion exceptions, medical emergency, reasonable medical judgment, pregnancy complications, maternal health, life-threatening condition, ectopic pregnancy, miscarriage, spontaneous abortion, fetal survival, Texas abortion law, abortion ban, physician liability, health care provider, disciplinary action, aiding and abetting, emergency abortion, obstetric care

Summary: The meeting of the public health committee focused on the pressing issue of opioid addiction in Texas, with a particular emphasis on House Bill 3717. Chairman Harris detailed the bill's intent to fund a grant program for Ibogaine clinical trials, framing it as a critical response to the ongoing opioid crisis. He shared poignant testimonies highlighting the struggles of families and veterans battling addiction and mental health issues. The conversation underscored the necessity of innovative treatments, like Ibogaine, which showed promising results in studies for reducing symptoms of withdrawal and PTSD.

Transcript Highlights:

• political prisoners, restoration of citizenship, voluntary repatriation, and a credible truth and reconciliation
• credible voluntary repatriation, and a credible truth<02:07:53.360><c> and</c><02:07:53.599><c> reconciliation
• </c><02:07:55.199><c> By</c> truth and reconciliation process. By truth and reconciliation process.
• I'm not here to assign blame, but true happiness cannot exist without justice, dignity, and reconciliation
• </c> dignity, and reconciliation. dignity, and reconciliation.

Committee: House State-Federal Relations and Veterans Affairs

Transcript Highlights:

• Finally, this bill, coupled with reconciliation, is just the beginning of the increased resource and
• Uh, by the way, we're putting in uh let's see, we have three divisions that billion in reconciliation
• funding billion in reconciliation funding continues<04:31:52.880><c> to</c><04:31:53.120><c> focus</
• :05.600><c> the</c><04:33:05.840><c> beginning</c><04:33:06.320><c> of</c> reconciliation is just the
• beginning of reconciliation is just the beginning of the<04:33:06.799><c> increased</c><04:33:07.359

Bills: HB3838 , HR682

Keywords: nuclear deterrence, space force, military personnel, healthcare, supply chain, energy security, environmental regulations, defense budget, military funding, defense activities, appropriations, immigration penalties, Department of Defense, Department of Energy

Transcript Highlights:

• to point out that yesterday, the House Republicans released a $95 billion supplemental for the reconciliation
• to point out that yesterday, the House Republicans released a $95 billion supplemental for the reconciliation
• "Released a $95 billion supplemental for the reconciliation bill they want to bring forward next week

Bills: HB4970 , HR1420 , HB5362

Keywords: Orland Project, Central Valley Project, Sacramento Canal Unit, water transfer, water rights, drought relief, federal reclamation, Bureau of Reclamation, California water, irrigation, water management, Reclamation States Emergency Drought Relief Act, Reclamation Reform Act, water users association, water supply, drought resilience

Transcript Highlights:

• Sorry, coming again, Tasia Stevens for the Alliance on Reparations, Reconciliation, and Truth, in strong
• to California Lifeline compliant with the federal Personal Responsibility and Work Opportunity Reconciliation
• ..California Lifeline compliant with the federal Personal Responsibility and Work Opportunity Reconciliation

Summary: The committee heard testimony on several bills related to reproductive access, child safety online, immigration enforcement in schools, health privacy, location data, digital provenance, reparations, and age assurance. AB 54 would protect the medication abortion supply chain and shield providers and others from liability; AB 1137 would strengthen reporting and enforcement tools for child sexual abuse material on social media; AB 49 would limit ICE activity at California public schools; AB 82 would expand privacy and safety protections for gender-affirming care patients and providers; AB 1355 would restrict the collection, use, and sale of precise location data; AB 853 would expand provenance requirements for AI-generated and authentic content; AB 62 would create a pathway for restitution for racially biased eminent domain takings; and AB 1043 would create a device-based age assurance framework for online services. Supporters generally framed the bills as necessary responses to current harms: reproductive rights advocates emphasized California’s role as a safe haven; child safety witnesses described the persistence and re-victimization caused by CSAM online; immigrant rights and education advocates said schools should remain safe from immigration enforcement; health and LGBTQ+ advocates stressed privacy and safety risks tied to tracking and harassment; privacy and consumer groups backed limits on location data and stronger provenance tools; and reparations advocates said AB 62 would help address historic injustices. Opposition came from family policy, tech, business, law enforcement, and industry groups, who raised concerns about safety claims, constitutional issues, implementation burdens, transparency, law enforcement access, and the need to preserve existing privacy frameworks and voluntary standards. The committee members largely expressed support for the policy goals while noting implementation concerns on some measures. Several members asked for or were offered coauthor status on bills. AB 1137, AB 54, AB 49, AB 82, AB 1355, AB 853, and AB 62 all received do-pass votes to Appropriations, with some members voting no or not voting on certain bills. AB 1355 and AB 853 were advanced with amendments or ongoing work promised with opponents, and AB 1043 was presented with discussion of possible amendments on parental consent and age assurance details, though the transcript cuts off before final action on that bill.

Transcript Highlights:

• It turns ordinary card acceptance into a documentation, reconciliation, and refund exercise, and it risks

Summary: The Special Commission on the future of credit card payments and their impacts on small businesses heard extensive testimony from credit unions, retailers, payment industry groups, and a credit card issuer. Much of the discussion focused on proposed state laws that would limit interchange fees on the tax and tip portions of transactions, especially Illinois’s Interchange Fee Prohibition Act and similar efforts in other states. Witnesses opposing the proposals argued that interchange helps fund fraud protection, cybersecurity, rewards, and access to credit, and warned that state-by-state rules would create a patchwork that could harm state-chartered banks and credit unions, raise compliance costs, and reduce consumer access to credit. Supporters of reform argued that swipe fees are a significant burden on merchants, especially small businesses, and that current pricing is opaque and often bundled with other processor charges. Several witnesses emphasized that the current payment system provides major benefits to merchants and consumers, including security, convenience, faster settlement, online commerce, and broader access to credit. One witness from Capital One said the industry’s losses from fraud and default are substantial and that interchange helps offset those risks; he also noted that merchants already have some tools, such as surcharging where allowed and negotiating clearer processor contracts. Retail representatives and the National Retail Federation countered that small businesses are under pressure from many costs and that interchange and related fees remain a real pain point, with some urging the commission to consider reforms that would return more money to businesses without disrupting the system. There was also discussion of the recent Visa/Mastercard antitrust settlement, with industry witnesses describing it as a significant merchant win that includes temporary rate reductions, more surcharge flexibility, and the ability to decline certain card tiers. No votes were taken. The meeting concluded after all scheduled testimony was heard, with the commission chair saying the session had been productive and that the committee would continue gathering testimony and written comments before making recommendations.

Transcript Highlights:

• It turns ordinary card acceptance into a documentation, reconciliation, and refund exercise, and it risks

Summary: The Special Commission on the future of credit card payments and their impacts on small businesses heard testimony from credit union, retail, banking, and payments industry representatives. Much of the discussion focused on proposals to exclude sales tax and tips from interchange fees, the Illinois Interchange Fee Prohibition Act and related litigation, and whether similar state action in Massachusetts would help small businesses or instead create a patchwork that burdens state-chartered institutions. Witnesses from defense and community credit unions argued interchange helps fund fraud prevention, cybersecurity, member services, and low-fee products, while retail and NRF representatives said merchants are paying significant swipe fees and that state laws like Illinois’s are aimed at reducing costs that are not being passed on to consumers. Several witnesses emphasized that the current payment system provides security, fraud protection, rewards, and access to credit, and that many of the costs merchants complain about are actually bundled processor or acquirer fees rather than interchange itself. Others countered that small businesses are struggling with rising overall costs and that Massachusetts should consider reforms such as allowing surcharging, improving transparency in merchant contracts, and studying collection costs. There was also discussion of the recent Visa/Mastercard antitrust settlement, with industry witnesses describing it as meaningful relief for merchants and opponents saying it is temporary and incomplete. No formal votes were taken on legislation. The commission accepted oral testimony, noted that written testimony would be accepted through July 31, and concluded the meeting by unanimously voting to adjourn. The chair and members said they would continue gathering testimony and work toward recommendations, with the chair stressing the need to find a fair middle ground that supports both small businesses and the broader payments ecosystem.