Transcript Highlights:

• And I'm grateful that you always worked with us when you worked for the CFO during COVID.
• And I'm grateful that you always worked with us when you worked for the CFO during COVID.

Transcript Highlights:

• MassDOT CFO David Pottier, MassDOT Undersecretary of Transportation Policy Samantha Silverberg, Undersecretary
• Dot CFO David Pottier, Mass.

Committee: Joint Joint Committee on Ways and Means

Transcript Highlights:

• She served for Member Patronus, who then was CFO, now Congressman.
• So in this amendment, there is also a sunset of five years that allows time for the CFO to provide recommendations

Transcript Highlights:

• . >> Our previous CFO was a really good CFO.
• [laughter] We miss him, and so I think the previous CFO, Calbert Young, he had managed the funds of the
• happened during COVID: we received an extremely high amount of federal funds. so I think uh the previous CFO
• Calbert so I think uh the previous CFO Calbert Young<01:03:42.880><c> uh</c><01:03:43.039><c> he</c>

Transcript Highlights:

• I have you registered as Paul Newhoff, CFO of Navarro ISD. You'll be testifying today.
• And a lot of them are speculating just based on when they're asking their CFOs and other money folks
• Asking their CFOs and other money folks to model out, they're saying, "I don't know how this can be,

Committee: House Public Education

Transcript Highlights:

• two years<02:00:09.760><c> now</c><02:00:10.320><c> as</c><02:00:10.800><c> the</c><02:00:11.040><c> CFO
• > to</c><02:00:12.800><c> her</c><02:00:13.840><c> um</c><02:00:14.480><c> Max</c> years now as the CFO
• prior to her um Max years now as the CFO prior to her um Max knows<02:00:15.119><c> Tal</c><02:00:15.520

Committee: Joint Appropriations

Transcript Highlights:

• Health Information and Analysis, otherwise known as CHIA, and I'm joined today by Nick Dancer, our CFO

Committee: Joint Joint Committee on Ways and Means

Summary: The committee heard budget testimony from Department of Mental Health Commissioner Brooke Doyle, who said DMH serves about 29,000 people and is facing rising demand, higher operating costs, and uncertainty about federal funding. She explained that the FY26 budget prioritizes fully funding the state-operated inpatient system, which is at 100% occupancy and often serves people transferred from Bridgewater State Hospital, while making reductions in other areas to balance the budget. Those reductions include a 50% cut to case managers, a pause on closing the Pocasset unit pending a working group on Cape access, and changes to youth and contracted services such as right-sizing IRTP and CIRT, reducing Youth PACT from seven teams to three, scaling back flex and jail diversion grants as ARPA funds wind down, and preserving the behavioral health helpline and community-based crisis services. Members from Western Massachusetts and the Cape raised concerns about access, staffing, and the impact of cuts, and Doyle said the department would continue operating IRTP services, improve the referral process, and work with stakeholders on the Pocasset review and other access issues. The committee also discussed school-based mental health, 988, loan forgiveness for workforce recruitment, and the role of co-response programs for law enforcement. Secretary Robin Lipson then testified for the Executive Office of Aging and Independence, describing a proposed FY26 budget increase of about 21% to support councils on aging, home care, elder abuse investigations, caregiver support, care transitions, and nutrition programs. She said the agency is managing rising demand, especially from the growing 80-plus population, and noted uncertainty around federal Older Americans Act funding after the federal disbursement agency was disbanded. To control costs, the office will manage intake and caseload growth in a fully state-funded home care program, but current clients will not lose services. Lipson also highlighted a new $1 million line item for local mini-grants to support age-friendly initiatives. In questions, members focused on elder scams, and Lipson said scams are increasing and the agency is working with banks, district attorneys, and public awareness campaigns. The Health Policy Commission’s Executive Director David Seltz presented the agency’s FY26 request and said the biggest challenge is health care affordability, with family premiums near $29,000 annually and many residents delaying care because of cost. He emphasized that recent legislation significantly expands HPC’s role through a new Office of Pharmaceutical Policy and Analysis, which will examine the drug supply chain and pricing, and a new Office of Health Resource Planning, which will support statewide planning around closures and access gaps. The new law also creates task forces on maternal health access and primary care, and adds transparency and oversight for private equity in health care. Members asked about pharmaceutical costs, GLP-1 weight-loss drugs, 340B, and maternal health closures; Seltz said the data show rapid growth in GLP-1 spending and that the new offices will help the state better understand cost drivers and access problems. The Center for Health Information and Analysis then began its testimony, describing its role as the state’s data hub for health care spending, utilization, quality, and affordability analysis.

Transcript Highlights:

• 00:08:56.160><c> a</c> Um, I would add just, uh, as a sidebar, um, I on the way down here I asked my CFO

Summary: House File 369 was the main topic, with House authors Rep. Natalie Zeleznikar, Rep. Robert Bierman, and Rep. Dave Baker arguing that the bill would give Minnesota’s 2024 340B law “teeth” by enforcing protections for nonprofit and rural hospitals’ access to the federal drug pricing program. They said the measure costs the state nothing, aligns with similar laws in more than 20 other states, and is needed before adjournment to help hospitals close funding gaps, support services like emergency care, obstetrics, behavioral health, and pharmacy access, and preserve care in remote communities. Several hospital leaders from across greater Minnesota testified that 340B revenue helps keep their facilities viable and that losing it would threaten services and, in some cases, hospital survival. Witnesses described severe financial pressure on rural hospitals, including reimbursement cuts, workforce shortages, inflation, and rising drug costs. Leaders from United Hospital District in Blue Earth, Lakewood Health System in Staples, Ely-Bloomenson Community Hospital, Northshore Health in Grand Marais, Community Memorial Hospital in Cloquet, and Cuyuna Regional Medical Center in Crosby said their hospitals serve as safety-net providers and often operate with thin or negative margins. They emphasized long travel times to other hospitals, seasonal tourism pressures in some areas, and the importance of local emergency, ambulance, inpatient, and specialty services. The Minnesota Hospital Association president also criticized pharmaceutical company messaging and said nonprofit hospitals are working around the clock to maintain access. In response to questions, Zeleznikar said she had considered other enforcement approaches but now supported using the original Senate-passed bill, citing concerns about fraud and the difficulty of alternative enforcement mechanisms. She and hospital leaders distinguished this bill from a separate hospital stabilization-grant proposal, saying both are needed but serve different purposes. No vote was taken at the meeting, and the speakers repeatedly urged House leadership to bring the bill to the floor before session ends.

Transcript Highlights:

• In the real world, I’m a business owner, and I have a CFO that... ...takes care of the financial pieces

Transcript Highlights:

• In the real world, I'm a business owner, and I have a CFO that Takes care of the financial pieces.

Summary: The follow-up informational hearing focused on the State Library’s oversight of the statewide Imagination Library and the Strong Reader Partnership (SRP), including how the original $68.2 million state investment was spent, why funds were not redirected sooner to the Dollywood Foundation, and whether spending complied with AB 157 and later SB 105. Committee members repeatedly raised concerns that SRP and the State Library had been slow to provide documents, that quarterly reporting and other contract requirements were not met on time, and that the State Library did not escalate issues earlier. State Librarian Greg Lucas said the library sent one demand letter, relied on counsel’s view that SRP could continue spending its $4.8 million so long as it furthered the program, and later redirected about $55 million to the Dollywood Foundation after paperwork was submitted. He also acknowledged the library should have shared SRP’s final report with the committee sooner and said the materials eventually received appeared satisfactory, though the chair and Senator Grove remained concerned that there was still no clear accounting of books delivered by SRP. A major portion of the hearing examined SRP’s expenditures and vendor contracts, including Shipyard for marketing and web services, SAGE Strategies for management consulting, Lotus Financial Solutions and other financial vendors, and United Way California Capital Region for a small marketing grant. Committee members questioned whether some spending, especially Changecraft’s work during the AB 157 period, amounted to lobbying or attempts to influence legislation, which the grant agreement prohibited. SRP representatives said the work was communications and stakeholder outreach, not lobbying, and that invoices reflected the board’s oversight and the nonprofit’s startup and closeout phases. They also said some work continued during the rescission and closeout period to unwind contracts and return funds, and that any reporting delays were due to transition, lack of a reporting mechanism from the State Library, and the need to collect records after vendors were canceled. Members of SRP said the nonprofit was created to build the infrastructure for a self-sustaining statewide program, expand local partnerships, and support multilingual outreach in underserved counties. They described a working board that met regularly, selected vendors collectively, and used multiple financial and administrative contractors to maintain checks and balances. However, committee members pressed them on the lack of detailed invoices, the absence of clear metrics showing how many books SRP actually delivered, and the limited apparent return on spending such as the $581,708 Shipyard contract, the $125,000 website work, and the $5,000 United Way grant. No formal vote or legislative action was taken during the hearing; it was an oversight session aimed at obtaining explanations and additional documentation.

Transcript Highlights:

• In the real world, I'm a business owner, and I have a CFO that takes care of the financial pieces.

Summary: The committee held a follow-up informational hearing on the State Library’s oversight of the statewide Imagination Library program, focusing on how state funds were used by the Strong Reader Partnership (SRP) and whether the program complied with statutory requirements. Chair and Senator Grove repeatedly questioned State Librarian Greg Lucas about delayed document production, the State Library’s decision to allow SRP to continue spending $4.8 million after the 2024 budget changes, and the lack of clear accounting for how many books were actually delivered to children. Lucas said the State Library had sent one demand letter, relied on counsel’s advice, and ultimately received bank statements, invoices, and narrative reports that he said were satisfactory, though he acknowledged the committee should have been given the documents sooner. A major issue was whether SRP and its vendors used state funds for lobbying or influence efforts related to AB 157/SB 157, despite contract language prohibiting lobbying. The committee highlighted invoices and emails involving ChangeCraft and SAGE Strategies that appeared to coincide with legislative activity, while SRP representatives said their work was communications, stakeholder outreach, and board-directed advocacy, not lobbying. Members of SRP also defended their vendor selections and invoicing practices, explaining that the organization was in startup and transition mode, had multiple financial vendors for checks and balances, and was working to build infrastructure, local partnerships, and multilingual outreach capacity rather than directly buying books. The hearing also scrutinized specific expenditures, including roughly $581,000 to Shipyard for marketing and web/digital work, $110,000 to Lotus Financial Solutions, and a $5,000 grant to United Way of the California Capital Region. Senators argued the invoices were vague and the deliverables were not evident, pointing to a simple website, limited social media presence, and no clear evidence that some advertised campaigns ever went live. SRP witnesses said the work was part of a phased plan to establish a statewide foundation and that some assets and documentation had not yet been provided to the committee. No votes were taken, and the hearing ended with the chair emphasizing the need for tighter oversight, clearer documentation, and better accountability for taxpayer funds.

Transcript Highlights:

• President Atwater to the CFO's office, where she served as deputy chief of staff and then later as interim CFO

Summary: The Senate opened with prayer, the Pledge of Allegiance, and a series of recognitions for interns, staff, and guests. Members also honored retiring Senate staffer Susan Miller and recognized a veteran injured in combat. After routine announcements, the chamber moved to returning messages from the House and began taking up bills and amendments. The Senate concurred in House amendments and passed SB 118 on RV park assessments and SB 572 on ethics for public officers and employees, both by 38-0 votes. It then took up the elections bill, CS/CS/HB 991, which drew extensive debate. Supporters said it would strengthen election integrity by tightening citizenship verification and ID rules; opponents argued it would burden eligible voters, especially students, seniors, disabled voters, and others without the newly required documents. The bill passed 27-12. The chamber also passed the education package SB 182 after adopting a Senate amendment to the House amendment, and approved SB 474 on military affairs, SB 425 on historic cemeteries, HB 929 on local regulation of chickees, and HB 35/SB 1370 on habitual traffic offender designation, all with unanimous or near-unanimous votes. The Senate then considered SB 902/ HB 733, the Department of Health package. Members adopted an amendment and amendment-to-amendment that preserved most Senate provisions while modifying or removing several House additions, including some early steps and medical marijuana-related changes, and the bill passed 37-0. The chamber also began work on HB 905, the foreign influence bill, with a strike-all amendment offered to expand restrictions on foreign influence, sister-city agreements, linkage institutes, and related activities, but the debate on that measure was still underway when the transcript ended. Several other returning messages and bills were temporarily postponed, and the Senate recessed briefly before resuming business.

Transcript Highlights:

• President Atwater to the CFO's office, where she served as deputy chief of staff and then later as interim CFO

Summary: The Senate convened with prayer, the Pledge of Allegiance, and a series of introductions recognizing interns, staff, visitors, and a military veteran. After routine announcements, the chamber took up several House-returned bills and special-order measures, with most motions to concur or refuse to concur adopted without objection. Early actions included unanimous concurrence in House amendments to SB 118 on RV park special assessments and SB 572 on ethics rules for public officers and employees, both passing 38-0. The Senate then debated and passed CS/CS/HB 991 on election integrity by a 27-12 vote after extensive opposition focused on voter registration documentation, student IDs, provisional ballots, and potential disenfranchisement; the sponsor defended the bill as a citizenship-verification and election-security measure. The chamber also passed CS/CS/SB 182, an education package combining several related provisions, by 37-0, and later approved SB 474 on military affairs by 39-0 after a technical amendment restoring certain retirement eligibility positions. The Senate refused to concur in the House amendment to CS/CS/CS/SB 1014 on municipal utility service, and refused to concur in the House strike-all amendment to SB 598 after the House had added composting language to the cremation definition. Several other messages were temporarily postponed. On the special-order calendar, the Senate passed CS/CS/HB 425 on historic cemeteries by 39-0, allowing historic Black cemetery boards to sell surplus property not used for burial to fund maintenance. It also passed HB 929 on chickee regulation by 39-0, limiting local restrictions on chickee construction and setting spacing, fire-safety, and permitting rules. SB 1370 on habitual traffic offender designation was substituted with identical CS/HB 35 and passed 39-0, expanding habitual offender treatment to repeated driving without a valid license. The chamber then returned to CS/CS/CS/SB 902, the Department of Health package, which was substituted with CS/HB 733 and amended to retain the Senate’s medical marijuana location limits, adjust NICU nutrition language, modify the dental student loan repayment program, and require a pediatric trauma center designation for certain specialty children’s hospitals; it passed 37-0. The Senate also moved CS/CS/CS/HB 905 on foreign influence to the special-order calendar and began debate on a strike-all amendment defining foreign terrorist organizations and foreign countries of concern, restricting gifts and business ties, tightening sister-city affiliations, and adding ethics training and reporting requirements, but the transcript ends before final action on that bill.

Transcript Highlights:

• President Atwater to the CFO's office, where she served as deputy chief of staff and then later as interim CFO

Transcript Highlights:

• My name is Jason Mallet, the CFO of the Department of Tax and Fees.

Summary: The Assembly Budget Subcommittee on State Administration heard several budget proposals from CDTFA, the Board of Equalization, and the Franchise Tax Board. The first panel focused on cannabis, hemp, flavored tobacco, and related enforcement. CDTFA requested ongoing funding to implement cannabis tax changes, enforce the new intoxicating hemp restrictions and flavored tobacco seizure authority, and continue compliance work. The department said it is targeting illicit product, protecting licensed businesses, and using referrals from the public and lawmakers to focus inspections. The LAO supported some of the proposals but urged the Legislature to treat them as part of a longer-term enforcement strategy and raised concerns about the use of General Fund support for cannabis enforcement. Public testimony on the cannabis item largely supported stronger enforcement and funding for the legal market. The committee also heard CDTFA’s request to reappropriate funds for an upgrade to the CROS tax collection system, which would improve taxpayer services, security, and software maintenance without adding new money. A separate CDTFA proposal would make all delivery network companies, such as DoorDash and Uber Eats, marketplace facilitators for sales tax purposes. CDTFA said the change would reduce confusion for restaurants and improve compliance, while the LAO questioned whether the proposal functioned more like a tax increase because it would also capture service fees. Members raised affordability concerns, but the proposal was framed by the administration as a parity and compliance measure. The subcommittee then considered a governor’s proposal for a sustainable aviation fuel tax credit. Finance argued the credit would help decarbonize aviation and support in-state production, while the LAO recommended rejection, citing cost, uncertainty about environmental benefits, possible diversion of diesel excise tax revenues from transportation programs, and concerns about consistency with voter-approved transportation funding rules. Testimony from airlines, labor unions, airports, and refinery workers strongly supported the credit, emphasizing union jobs, refinery conversions, and emissions reductions, while fuel retailers and some others warned about fiscal risk and higher fuel prices. The chair and some members expressed support for the proposal despite the funding concerns. Finally, the BOE presented an IT modernization project for state-assessed property administration, saying the current system is outdated and manual and that a new system is needed to improve accuracy, cybersecurity, and workflow efficiency, especially with a likely increase in workload from new VoIP assessments. The LAO asked for more justification for the timing, but BOE said the urgency stems from aging systems and growing workload. BOE also requested modest funding to implement SB 293 changes to intergenerational property transfers and wildfire relief guidance, which the LAO did not oppose. The Franchise Tax Board began its presentation on the final phase of its Enterprise Data to Revenue modernization effort, describing the project’s rollout across audit, collections, legal, and filing enforcement workloads and noting it is now in a warranty period.

Transcript Highlights:

• I think this bill is supporting the idea of a performative audit on behalf of the CFO.

Bills: S0484 , S0698 , S0706 , S0968 , S1118 , S1122 , S1134 , S1320 , S1342 , S1548 , S1614

Committee: Senate Community Affairs

Summary: The committee heard several housing, local government, utility, and transparency bills. SB 1342 on transportation infrastructure and land development regulations, by Sen. Rouson, was presented as a housing-affordability measure modeled on the Live Local Act for transit corridors. After adopting an amendment that removed the bill’s compelling-governmental-interest language in enforcement provisions, the committee heard testimony from local-government and housing interests both supporting and opposing the bill’s zoning preemption approach. The bill was reported favorably. The committee also reported favorably CS/SB 1614, by Sen. Leek, which was amended to remove stormwater and code-enforcement spending provisions and to tighten restrictions on local governments seeking state appropriations after audits or without required affirmations. SB 1548, the next Live Local Act iteration by Sen. Claddie Ude, was also reported favorably; it expands where Live Local projects may be located and adds fair-housing protections. SB 968 on home backup power systems, by Sen. McLean, was reported favorably after testimony from builders and energy-related stakeholders, with the sponsor noting he was still working on amendments to refine permit provisions. The committee then approved CS/SB 698, by Sen. Martin, which allows building permits for single-family homes to be issued before septic permits are finalized if application has been made, while still requiring septic approval before occupancy. Builders testified that septic permit delays were causing lengthy project delays and contract cancellations. The committee also reported favorably SB 1320, by Sen. Martin, requiring county tax-increase referenda to include a Department of Financial Services spending analysis if available; the sponsor said the goal was to give voters more standardized fiscal information, while opponents argued existing law already provides similar transparency. SB 484, by Sen. Avila, on data centers, was reported favorably after an amendment adding a knowledge requirement to the foreign-country-of-concern service prohibition; the bill addresses local planning authority, nondisclosure agreements, utility tariff requirements, and water-use limits for large data centers. The committee also reported favorably SB 1118, by Sen. Avila, creating a one-year public-records exemption for data-center location and proprietary information, with testimony split between economic-development supporters and transparency concerns. Finally, the committee took up SB 706, by Sen. Mayfield, preempting naming of major commercial service airports to the state and designating Palm Beach International Airport as Donald J. Trump International Airport subject to federal and trademark conditions; it was reported favorably after questions about local input and airport naming. The committee then heard extensive public testimony on SB 1134, by Sen. Yarbrough, which would prohibit counties and municipalities from funding, promoting, or taking official actions related to DEI and would create penalties and a private right of action for residents. The sponsor argued the bill was aimed at preventing taxpayer-funded DEI programs and cited examples from Jacksonville and other jurisdictions; opponents said the bill was vague, overbroad, and would chill local programs, public education, and civil-rights-related activities. The transcript ends during continued public testimony on SB 1134, with no final committee action shown in the excerpt.

Transcript Highlights:

• Our Executive and Legislative Affairs Director, Jaron Pino; Deputy Secretary of State Johanna Kehoe; CFO

Committee: Senate House Appropriations & Finance

Summary: The committee heard budget presentations from the Secretary of State, the State Land Office, the Attorney General, and the State Auditor. The Secretary of State said its requested general fund budget of $15.88 million was intended to maintain baseline operations, replace lost federal cyber and election support, and address a 12% vacancy rate. Officials warned that the House recommendation still left major gaps for election security, tabulator replacement, campaign finance system upgrades, overseas and military ballot services, ballot tracking, and a new tax lien filing system. Senators pressed about the election fund, county burdens, and the risk of underfunding election administration; the office said the House had provided $15 million for the election fund for the primary and another $15 million for the general election, but not enough for operations or all capital needs. The State Land Office said it was satisfied with the House budget action and had no additional request. Staff described the office’s record revenues, low vacancy rate, clean audits, and proposed new positions tied to forestry, economic development, petroleum, geothermal, and royalty compliance work. Senators asked about long-term revenue trends, forest thinning and biomass opportunities, and bookkeeping around the land maintenance fund; the office said the new positions were intended to generate revenue and support land management, including fire mitigation. The Attorney General’s office presented a budget built around a 0% general fund increase, greater use of the Consumer Settlement Fund, and $4.5 million in special/extraordinary litigation funding. The AG emphasized active litigation and investigations involving consumer fraud, Medicaid fraud, federal funding cuts, Meta and other technology platforms, AI and child safety, gaming compacts, tobacco, and possible litigation over abandoned uranium mine cleanup. Senators asked about scam enforcement, the structure of settlement funds, and whether the office could take on uranium-related litigation; the AG said the office could prepare a litigation budget but warned such efforts would require sustained funding. The State Auditor said the House budget added only modest increases while the office faced about a 40% vacancy rate, difficulty recruiting auditors, and a shrinking pool of public accounting firms, creating risks for constitutional audit responsibilities.

Transcript Highlights:

• I think this bill is supporting the idea of a performance audit on behalf of the CFO.

Bills: S0484 , S0698 , S0706 , S0968 , S1118 , S1122 , S1134 , S1320 , S1342 , S1548 , S1614

Committee: Senate Community Affairs

Keywords: data centers, large load customer, large-scale data center, electric utility, public utility tariff, Florida Public Service Commission, FPSC, water permit, consumptive use permit, reclaimed water, groundwater, surface water, water management district, DEP, OPPAGA, economic development, land use, comprehensive plan, zoning, ratepayer protection

Summary: The committee first postponed SB 1122, then took up SB 1342 on transportation infrastructure and land development regulations. Senator Rouson explained the bill as a housing-affordability measure modeled on the Live Local Act, aimed at reducing local land-use barriers near transit corridors. The committee adopted an amendment removing the compelling governmental interest standard from enforcement and litigation provisions, then approved the bill. Testimony included support from a county commissioner and concerns from the Florida League of Cities and a Republican executive committee about overriding local zoning and creating rigid standards near transit stops. Members then heard SB 1614, which would let local governments use excess Florida Building Code enforcement funds for stormwater repairs and restrict eligibility for certain state appropriations if a government has been audited or fails to affirm it has no excess funds. An amendment removed the stormwater and code-enforcement building provisions and tightened the appropriations restrictions; the bill was reported favorably. The committee also approved SB 1548, the next iteration of the Live Local Act, expanding qualifying projects on public land and near airports, limiting setback-based height restrictions, clarifying agricultural-use issues, and strengthening fair-housing protections. SB 968 on home backup power systems was also reported favorably, with the sponsor noting he was still working on amendments regarding permits for generators, windows, and doors. The committee next approved SB 698, allowing building permits for single-family homes to be issued after septic permit application rather than waiting for septic approval, with builders and industry representatives citing long delays and lost contracts. SB 1320, requiring county tax-referendum ballot questions to include a Department of Financial Services spending analysis if available, also passed after debate over whether it duplicated existing audit transparency requirements. SB 484 on large-scale data centers was reported favorably after an amendment added a knowledge requirement to the prohibition on service to certain foreign-country-linked customers; testimony focused on electricity costs, water use, NDAs, and ratepayer protections. SB 1118, creating a one-year public-records exemption for data-center site plans and proprietary information, was also approved despite concerns about secrecy and local officials appearing to conceal development plans. Finally, the committee took up SB 706, which preempts naming of major commercial service airports to the state and would rename Palm Beach International Airport as Donald J. Trump International Airport subject to federal and trademark approval; it was reported favorably after questions from members about local input. The last major item was SB 1134 on official actions of local government related to DEI, which drew extensive questioning and public testimony. The sponsor said the bill would bar counties and municipalities from funding, promoting, or staffing DEI offices or programs, with violations treated as misfeasance or malfeasance and enforceable by resident lawsuits; supporters framed it as a merit-based, anti-bureaucracy measure, while opponents argued it was vague, overbroad, and would chill civil-rights, health, education, and cultural programming. The transcript ends during public testimony on SB 1134, before any final action on that bill is shown.

Transcript Highlights:

• The new CFO for NMSU is here as well, Alan Batore. So thank you. Thank you, Mr. Chair.

Bills: SB37 , SB29

Committee: House House Appropriations & Finance

Keywords: high-quality literacy instruction, science of reading, structured literacy, reading instruction, literacy assessment, dyslexia screening, phonics, phonemic awareness, fluency, vocabulary, comprehension, biliteracy, English language learner, ELL, bilingual education, dual language program, reading intervention, reading difficulty, reading improvement plan, literacy coach

Transcript Highlights:

• And I have with me Greg Wilson, Department of Education Chief of Staff, Gideon Tolman, our CFO, Michelle

Summary: The committee heard a lengthy presentation on the K-12 public school support budget, including how support units, career ladder funding, health insurance, discretionary funding, transportation, facilities, and the Public Education Stabilization Fund (PSIF) work. Legislative Services explained that FY 2026 support units were revised downward, creating a $22.3 million ongoing general fund reduction, and walked through the FY 2027 agency request and governor’s recommendation. The governor recommended no increase for population forecast adjustments, but did recommend some statutory and policy changes, including shifting certain interest earnings to the general fund and reducing funding for some virtual school and IDLA-related items. The agency request also included one-time proposals for a high-needs special education fund and a regional service model for related services. Members asked extensive questions about how career ladder dollars are distributed, how health insurance and discretionary funds interact, why the health insurance increase in the budget differed from current plan estimates, and how facilities money under House Bill 292 is used. There were also questions about the size and use of the Idaho Career Ready Students fund, the maintenance-of-effort implications of special education funding, and whether some special education costs are being used for student housing or other noninstructional expenses. The superintendent and budget staff emphasized that many of the budget lines are formula-driven or statutorily required, that local districts determine actual staffing and spending within those formulas, and that special education costs continue to outpace available funding. Superintendent Debbie Critchfield then framed the budget request around enrollment trends, shifting demographics, and the need for more flexibility in how districts use existing dollars. She highlighted proposed categorical flexibility for some funds, changes to digital content and curriculum distribution, continued literacy gains, growth in career technical education programs funded through Idaho Career Ready Students, and the importance of endowment and Millennium Fund support. She also described the special education proposals as a temporary bridge while the state considers larger formula changes and noted a near $100 million gap between special education spending and funding. She further outlined planned federal waiver requests on assessments and flexibility, and said the department is seeking more state control over testing and reporting requirements. The committee did not take final action on the budget during this portion of the meeting. Members raised concerns about interest transfers from dedicated funds, the complexity of the funding formula, special education accountability, and whether the state should revisit the overall school funding model. Several follow-up data requests were made, including information on health insurance participation, regional special education service needs, and school contingency fund balances.