Transcript Highlights:

• We hope that new technology will help us find ways to bring costs down.
• It's just new allocations in terms of where. That's going to be happening.
• It's better for us to do multi-year allocations with these funds.
• The issue of whether we allocate all this bond funding is the same issue regarding out-year allocations
• It's a safety risk and it costs...

Keywords: 988, house, all

Transcript Highlights:

• 148 um the current law allocation 148 um the current law allocation between<00:48:36.040> the
• It's literally going from 36% of the allocation out of the TAA to 0% out of the allocation of the TAA
• > break<01:07:42.839> a how much it costs if you break a how much it costs if you break
• Thank you.” talking about the cost of eggs what it's talking about the cost of eggs what it's affecting
• bridges and there is a allocation bridges and there is a allocation formula<01:18:38.600> that

Keywords: 1183, house

Transcript Highlights:

• Current law allocates the money collected into the fund as follows: 55% is allocated to the Bureau for
• Current law allocates the money collected into the fund as follows: 55% is allocated to the Bureau for
• This bill would change that allocation, starting on June 30, 2026.
• The funding is to come from an allocation of net profits from the state lottery fund.
• Each fund is to be allocated $3 million of the $12 million.

Keywords: 994, senate, all

Summary: The Senate Finance Committee met with a quorum present and first approved the minutes of the previous meeting. It then took up House Bill 5438, which revises parts of the school aid formula and limits certain uses of instructional program, technology, and induction funds; the committee adopted an Education Committee amendment and reported the bill to the full Senate. The committee also reported House Bill 4087, creating the West Virginia-Ireland Education Alliance for higher education partnerships and grants, after brief explanation and no opposition. Members then considered House Bill 4191, which expands the child care tax credit to employer-sponsored child care facilities and changes subsidy payments from attendance-based to enrollment-based, with electronic filing requirements by 2026. Senators spoke in strong support, describing it as a workforce and economic development measure, and the bill was reported. House Bill 5074, which redirects medical cannabis fund balances and future revenues to general revenue and several specified purposes including the Supreme Court, universities, law enforcement, and health programs, was amended to increase the court allocation and remove the direct university research earmarks; it was reported over concerns that accumulated fund money would be diverted to general revenue. The committee also advanced House Bill 5353, bringing virtual currency kiosks under money transmission licensure and adding consumer disclosures, transaction limits, support requirements, and anti-fraud protections; a strike-and-insert amendment clarified kiosk rules and added law-enforcement contact requirements. House Bill 5527, regulating licensure of wellness reimbursement program administrators and related broker duties, was amended to clarify the definition and protect proprietary licensing information from public disclosure, then reported. House Bill 5687, as amended, phases down the metallurgical coal severance tax and incorporates a separate oil-and-gas tax reduction for new wells while adjusting county and municipal distributions, and it was reported. The committee also approved a large revenue rules bundle, House Bill 4245, with amendments to a lottery rule and a pre-need burial company rule, and reported House Bill 4418 to create an electronic municipal B&O tax filing system once enough municipalities participate. Finally, the committee reported House Bill 5168, which creates a permanent $12 million lottery-funded EMS support structure, including mental health treatment funding, county EMS funds, and an all-county EMS fund; members emphasized the need for stable EMS funding, especially in rural areas, and clarified how counties with and without levies would benefit. The committee then announced several Senate bills would not be taken up that day and adjourned.

Transcript Highlights:

• Sometimes it's for reports, but those cost our state dollars.
• That cost will have to get passed along somewhere, meaning more cost to businesses that will either hire
• There are things they can do to mitigate those costs, but they are true cost pressures.
• Also, one-time allocation for Prop 98.
• I just want to share with you guys on increase the costs...

Keywords: 988, house, all

Summary: The Assembly Budget Committee met to consider the 2026 Budget Act, which leaders described as the compromise budget expected to move to the floor later that evening. Opening remarks emphasized that the plan balances the budget over two years, reduces the structural deficit, and builds reserves, while also protecting core programs from federal cuts. Jason Sisney outlined the legislative budget plan, saying it uses higher-than-expected revenues and reserve balances to reject some proposed reductions and fund temporary restorations and new spending in areas such as education, child care, health care, housing, homelessness, and public safety. Department of Finance representatives said the administration appreciated the two-year balanced framework and the effort to address out-year deficits, while noting the plan includes additional spending and revenue changes. Sisney also previewed floor bills including AB 109, SB 110, SB 122, and SB 125, with SB 122 described as a modification to the tax credit proposal and SB 125 as the managed care organization tax proposal. Subcommittee chairs then described the major policy choices in their areas. Health chair Addis said the budget responds to federal health care rollbacks by protecting Medi-Cal, clinics, hospitals, dental care, and other safety-net services, while also supporting reproductive care, gender-affirming care, and county health systems. Education chair Alvarez highlighted increased school funding, expanded learning, special education, teacher support, community colleges, and a change to Cal Grant eligibility for older community college students. Other chairs emphasized child care expansions, homelessness and housing funding, prison closure and criminal justice savings, wildfire mitigation, county support for Medi-Cal and CalFresh administration, and accountability measures tied to homelessness and corrections spending. Several members also raised concerns or priorities, including the impact of the MCO tax on providers, the need for more support for local journalism, transit and climate funding, biotech and R&D incentives, and continued work on Prop 98 and long-term revenue solutions. No formal votes were taken in the portion provided, but members broadly expressed support for the budget framework and the need to continue negotiations with the administration before final passage. The committee discussion repeatedly framed the budget as a response to federal policy changes and a choice to protect vulnerable Californians while maintaining fiscal responsibility. The vice chair, citing LAO warnings about future volatility and limited reserves, pressed Finance on whether the budget represented a record-sized state budget and whether revenues were also at record levels, underscoring concerns about the state’s preparedness for a downturn.

Transcript Highlights:

• Half of their spending was allocated to things that were recurring costs, but in about half. how that
• one-time money was allocated to one-time costs.
• We're just breaking out cost drivers that affect total cost.
• the page. and cost drivers that primarily drive state cost.
• If you had a tranche of dollars, where we would best allocate those dollars. in the most cost-effective

Keywords: infrastructure, water supply, flood mitigation, Texas Water Fund, community projects, funding allocations

Summary: During this committee meeting, the focus was on discussing critical infrastructure funding, especially related to water supply and flood mitigation projects. Chairwoman Stepney and the Water Development Board presented extensive details regarding the Texas Water Fund, which included $1 billion appropriated to assist various financial programs and tackle pressing water and wastewater issues. Additionally, funding allocations aimed at compromising the state's flood risk and improving water conservation were hotly debated, emphasizing collaboration among committee members and the necessity of addressing community needs in such projects.

Transcript Highlights:

• Section 93, grants and allocations. This shows the updated amounts for CTF.
• And if required, the conservation districts may charge a 10% overhead cost rate.
• Section 88 for tax stitches says of the funding allocated, 1.4...
• And section 88 for tax stitches says of the funding allocated, 1.4. Funds.
• cost-share programs for cover crops.

Summary: The committee met for a fiscal year 2027 capital budget writing session with all 12 members present. It first reviewed and approved the DNREC Resource Conservation and Development drainage project list, which would add projects across New Castle, Kent, and Sussex counties and bring the total eligible projects to 1,561. Members offered personal remarks thanking retiring conservation district staff, especially Kevin Donnelly, for years of work on drainage and water issues. The committee then reviewed DelDOT Rule 12 changes, including annual date updates and a reduction in the inflation markup applied to older estimates, and approved the rule as amended. The committee next adopted DelDOT Appendix A and the FY27 paving and rehabilitation list, including the subdivision street management fund and various road resurfacing projects. DelDOT explained that paving projects are for state-of-good-repair work and that major changes from corridor studies would be handled separately. The committee also approved DelDOT epilogue changes, including updates to authorization amounts, a $25 million increase for toll infrastructure work, changes to subdivision street paving language, and an increase in the subdivision street paving management fund to $30 million. Several sections were placed on hold for later updates. The committee then moved through boilerplate epilogue sections in the bond bill, approving a wide range of provisions affecting conservation districts, housing, economic development, corrections, DNREC, public safety, transportation, agriculture, fire prevention, education, and other agencies. Many sections were adopted in groups, while some were held for later revisions or deleted as no longer needed. The session included updates to school capital rules, transportation restrictions and reporting requirements, DNREC conservation and land-use provisions, and funding and administrative authorities across multiple agencies. The committee broke for lunch after approving the education-related sections through 147, with additional sections still pending.

Transcript Highlights:

• We're starting to fill up the social services allocation.
• costs.
• That's a part of your cost for the service.
• That's a part of your cost for the service.
• So that is the cost per month.

Summary: The Government Finance Committee met with new leadership, approved the December 11 minutes, and received a series of informational updates on the state’s finances and related policy issues. The Office of Management and Budget reported the general fund is tracking very close to forecast, with revenues about $2 million above forecast and an estimated ending balance of about $397 million, higher than previously expected. OMB also reviewed balances in major funds, including the budget stabilization fund, legacy fund, foundation aid stabilization fund, social services fund, and strategic investment and improvements fund, and answered questions about oil tax revenues and fund management. The Tax Department provided updates on taxable sales and purchases by county and industry, noting Cass County as the largest county by taxable sales and that retail trade remains the largest industry sector. Tax Commissioner Brian Kroshus also discussed the federal One Big Beautiful Bill Act and its estimated effects on North Dakota income tax collections, explaining that the projected revenue impacts are measured against a 2025 baseline and that some provisions are temporary while others are permanent. He also reported that primary residence tax credit applications were running ahead of last year, with more than 154,000 received so far and an expectation of roughly 160,000-plus applications. The committee also heard fee-study presentations from the Department of Transportation and the Information Technology Department. DOT explained that driver’s license fees cover only about half of program costs and that the shortfall is subsidized by the highway fund, while also noting recent changes such as the blackout plate and motor vehicle excise tax distribution changes. NDIT described its internal service fund model, current billing structure, and possible future changes to simplify invoices and billing frequency. Legislative staff also updated the committee on office space needs in Bismarck-Mandan and on legislative branch space planning, and subcommittees reported progress on fixed-route transit funding and regional jail capacity, including a visit to the Burleigh-Morton detention facility and discussion of future prison bed needs. No formal votes or legislative actions beyond approving the minutes were taken, and the committee adjourned with its next meeting set for June 25.

Transcript Highlights:

• It's noise on the cost. So that did not...
• That'd be a cost-neutral approach.
• You know what cost base looks like.
• Let’s look at what it cost... Get it right. Let’s look at what it cost to do that.
• So when you tell me that your operations cost 50 percent more than we're Your operations cost 50 percent

Keywords: 916, all

Transcript Highlights:

• costs.
• Ah, that'll cost you $42,280.
• It should cost no money.
• They don't cost anything extra.
• of the cost to society.

Summary: The Senate opened with prayer, the Pledge of Allegiance, doctor and guest introductions, and then took up Committee Substitute for Senate Bill 168, the Tristan Murphy Act, on mental health. Senator Bradley described the bill as a major criminal justice and behavioral health reform measure that would expand pretrial mental health diversion, strengthen treatment-based probation conditions, broaden grant uses for mental health and substance abuse programs, add Hillsborough County to a forensic hospital diversion pilot, require certain DOC mental health evaluations, and create a Florida Behavioral Health Data Repository. Senators from both parties spoke in strong support, emphasizing treatment over incarceration, public safety, data collection, and the Murphy family’s role in advancing the bill. The Senate passed the bill 37-0 and then approved 37 co-sponsors. The chamber then received the Senate’s 2025-26 General Appropriations Bill, SB 2500, with Chair Hooper outlining a $117.4 billion budget that he said reduces spending, preserves reserves, and includes major investments in water quality, transportation, education infrastructure, and reporting requirements. Committee chairs summarized their portions: K-12 funding at $34.7 billion with increases for FEFP, scholarships, VPK, school hardening, and school safety; higher education at $11.5 billion with workforce, nursing, reading, autism, and student aid investments; health and human services with a $1.8 billion increase for Medicaid, mental health, opioid response, disability services, and veterans programs; criminal and civil justice at $7.6 billion for corrections, juvenile justice, law enforcement, courts, and judgeships; transportation/tourism/economic development at about $18 billion including roads, housing, Visit Florida, and cultural grants; and agriculture/environment/general government with major Everglades, water quality, citrus, food bank, and agency IT funding. Members then questioned several budget items, especially education funding formulas, the shift of scholarship dollars below the line, the impact on public school districts, AP/IB and other accelerated program funding, the APD wait list, opioid settlement spending, arts grants, and the My Safe Florida Home and condo pilot programs. Chairs generally said scholarship and accelerated-program dollars were being restructured for transparency and flexibility rather than cut, that school districts would still receive funding based on enrollment, and that APD and other human services issues would continue to be worked out in conference. The budget discussion concluded with remarks praising staff and noting a 4% across-the-board pay raise for state employees and targeted increases for law enforcement and firefighters, followed by a recognition for FAMU Day at the Capitol.

Transcript Highlights:

• And there is a cost associated with that.
• And there is a cost associated with that.
• So things have increased, costs have increased, just like the cost of eggs, the cost of, you know, everyday
• So things have increased, costs have increased, just like the cost of eggs, the cost of, you know, everyday
• How much does this cost?

Summary: The committee held its first meeting and received an overview of the Pre-K-12 education appropriations jurisdiction and base budget. Staff explained that education funding is driven largely by enrollment and per-student formulas, with most money coming from state and local sources. The presentation highlighted the major budget areas: early learning, the Florida Education Finance Program (FEFP), non-FEFP K-12 programs, federal programs, and the State Board of Education. Members asked about instructional materials funding and how scholarship students who return to public schools are counted and funded; staff explained that instructional materials remain in the base and that funding depends on survey timing, with districts ultimately funded through the enrollment count process. The committee then reviewed federal IDEA funding for students with disabilities. Department of Education officials explained how IDEA Part B funds are split between state set-asides and local educational agencies, and noted that Florida ranked fourth nationally in total IDEA Part B funding and received a 95% state determination for meeting IDEA requirements. They also described the bureau’s responsibilities, including monitoring, dispute resolution, instructional support, and the Hope Florida unit for ages 3 to 5. Members asked for more information on student performance outcomes and how the state measures success beyond compliance, and the department agreed to provide follow-up data. The final major topic was the Florida Diagnostic and Learning Resources System (FDLRS), including associate centers, multidisciplinary centers, and specialized centers for deaf/hard of hearing and visually impaired students. Presenters described services such as child find, family support, assessments, professional learning, accessible instructional materials, and technical assistance. Committee members focused on whether families and schools have equal access to services across the state, how IEP disputes and reevaluations are handled, and whether more support is needed for parents, teachers, and rural districts. FDLRS representatives said they do not write IEPs but help connect families to districts, provide training and assessments, and support compliance and data collection; they also emphasized staffing and resource needs, especially for low-incidence disabilities and multilingual family outreach.

Transcript Highlights:

• to a marginal cost.
• County costs.
• First, cost drivers.
• First, cost drivers.
• That is not Or some kind of split of costs. Now that's for the emergency costs.

Summary: The committee heard a broad public safety budget hearing focused on youth justice funding, probation incentive grants, and disaster response and recovery. On the youth justice item, the Office of Youth and Community Restoration described a proposed change to the JJRBG funding formula that would shift resources away from a DJJ-based measure and toward county youth population, serious offenses, and step-down placements in less restrictive programs. Members asked about data on Native American youth; OYCR said statewide data are limited, but its SYTF data show about 1% of youth in secure youth treatment facilities were Native in 2024. The Department of Finance had no objections, and the item was discussed as a way to support alternatives to long-term incarceration. The committee then reviewed the community corrections performance incentive program for county probation departments. The Department of Finance proposed stabilizing the program with a maintenance payment, updating the performance baseline, and adding a growth factor; the LAO agreed the formula needed changes but recommended using 2022-23 data instead of 2021-23, using marginal rather than average cost assumptions, rejecting the growth payment and minimum guarantee, and adding stronger oversight through the BSCC. Finance said it was open to some technical changes but opposed a new BSCC audit framework, noting Judicial Council already surveys probation departments and that evidence-based practice use has increased over time. Members and staff indicated the proposal still needed further work. A major portion of the hearing focused on the January 2025 Southern California wildfires and state disaster response. A resident of Altadena gave emotional testimony about evacuation failures, loss of home, and the need for accountability. LAO and Cal OES outlined the disaster response and recovery system, including mutual aid, alert and warning, debris removal, FEMA and state funding streams, and the long timeline for reimbursement. Cal OES said it had pre-positioned resources, temporarily took over the county’s wireless emergency alert function for about three weeks, coordinated debris removal and recovery operations, and had already allocated more than $286 million in state funds. Officials also discussed the 100% federal cost share for emergency work for 180 days and the uncertainty created by changing federal processes and the cancellation of the BRIC resilience program. The committee also heard two smaller Cal OES items: a request to reappropriate about $22 million for the law enforcement mutual aid reimbursement program, which the LAO said should be placed in statute with clearer goals and reporting, and an update on Victims of Crime Act funding, where Cal OES said federal VOCA allocations have fallen sharply and that roughly $224 million would be needed to maintain current service levels if federal funding does not improve. Public comment included a request for funding to expand datacasting and emergency alert receivers for wildfire and earthquake warning.

Transcript Highlights:

• We estimate the program will cost $88 million.
• Construction and material costs continue to rise, and delaying repairs only increases long-term costs
• There's some upfront costs, one-time costs to...
• What is what does that have to do With a performance-based allocation.
• And right now, the cost of programs to bat at about $88 million.

Keywords: 914, all

Transcript Highlights:

• Costs are currently used to balance the budget.
• seems to be increasing the cost of living.
• Gas costs more than that.
• The allocation details are to be worked out.
• I'm here to talk about the increasing cost.

Keywords: 987, senate, all

Summary: The Senate Budget and Fiscal Review Committee heard AB 109, the Budget Act of 2026, and related discussion of the legislative budget agreement. Committee staff and the Department of Finance described a two-year balanced plan with about $253 billion in General Fund spending, roughly $5.5 billion in higher assumed revenues than the May Revision, and about $36.5 billion in combined reserves. They said the package preserves or expands funding for schools and community colleges, child care, IHSS, Medi-Cal-related county administration, housing and homelessness programs, public hospitals, courthouse construction, and some criminal justice and prison-closure savings, while delaying or modifying several prior health care reductions and some Medi-Cal changes. Much of the member discussion focused on Medi-Cal, H.R. 1, and the impact on low-income and immigrant Californians. Several Democrats argued the budget protects vulnerable residents by delaying some cuts, funding county eligibility work, indigent care, public hospitals, and food banks, and rejecting the Governor’s IHSS cuts and asset-limit proposal. Republicans criticized the budget for assuming future revenues, relying on new taxes, and not doing enough to address the structural deficit or improve accountability. Members also raised concerns and support around homelessness funding, Prop. 36, judgeships and courthouse funding, transit and GGRF allocations, local journalism, Caltrans fleet spending, and a proposed “fair share” revenue measure that was not yet before the committee. Public testimony was largely supportive of the budget’s health and human services provisions, especially the rejection of IHSS cuts and the asset-limit proposal, and the inclusion of funding for child care, sickle cell centers, domestic violence services, trauma recovery centers, distressed hospitals, county eligibility work, and transit programs. Some witnesses representing hospitals and health plans cautioned about the effects of moving certain Medi-Cal populations to fee-for-service and about proposed tax changes affecting health care providers. The chair said revenue trailer bills were still being finalized and would likely come back later in the week; the committee then moved to public comment, with the chair limiting speakers to about one minute each.

Transcript Highlights:

• allocation plan.
• Those allocations are in special language, so we get what is allocated to us.
• All allocated positions. All allocated. We have about 2,300 allocated positions. Okay.
• cost.
• you have any idea of how we allocate for the costs of litigation and potential settlement expenses associated

Summary: The committee heard budget presentations and took executive recommendations on several Department of Human Services divisions, including Aging, Adult and Behavioral Health Services; Children and Family Services; County Operations; Developmental Disability Services; and Medical Services, with most divisions showing little or no significant change in total appropriations. Staff and agency witnesses repeatedly explained that many large appropriations are maintained for flexibility, federal matching requirements, or contingency needs, even when actual spending is much lower than the authorized amount. Members also raised concerns about staffing vacancies, long-vacant budgeted positions, and the use of excess appropriation authority across DHS. In Aging, Adult and Behavioral Health, members questioned federal funding levels for mental health and substance abuse grants, the status of senior centers and Meals on Wheels, the Medicaid tobacco settlement program, community alcohol safety grants, and the veterans mental health grant. Agency officials said federal block grants are largely committed, that senior center funding had been delayed by shutdown timing but was now back on track, that the tobacco settlement program had been moved internally within DHS, and that the veterans mental health appropriation remains unfunded. Senators also criticized the adequacy of support for seniors and asked for more detail on how transportation, meal services, and local contributions are funded. In Children and Family Services, members asked about rising appropriation levels, foster care and adoption subsidies, professional fees, the number of children in foster care, and the Children’s Trust Fund. DHS said increases reflect added flexibility for residential treatment, adoption subsidies, and prevention services, while the foster care population has remained fairly steady at about 3,400 children. The Children’s Trust Fund was described as supporting primary prevention programs such as Baby and Me and community schools, and members asked whether it could be administratively combined with other efforts. Questions also covered TANF subgrants, with DHS explaining that it had reduced outside subgrants after discovering over-obligation and was rebuilding reserves. In County Operations, members focused on the summer EBT program, SNAP employment and training, the farmer’s market program, and the state’s TANF reserve position. DHS said summer EBT is still being funded through temporary appropriations because it is a newer program, SNAP employment and training is largely federally funded and may expand under a pending policy change, and TANF reserves were drawn down after prior over-obligation but are now being stabilized. In Developmental Disability Services, members asked about vacancies, human development center staffing, facility construction funds, and the Booneville work program, and DHS said the program has reopened and staffing recruitment continues. In Medical Services, members asked about FMAP, the Our Kids B CHIP program, school-based Medicaid reimbursements, nursing home distress funds, and several large appropriation lines that far exceed actual spending; DHS said these are maintained for claims payment, nursing home receivership contingencies, and other flexibility needs. Each division reviewed was adopted by executive recommendation after questions concluded.

Transcript Highlights:

• The $25 million allocated has been essential in this preparation.
• The 25 million allocated has been essential in this preparation.
• And then obviously, on a year-to-year basis, the cost is...
• So it's covering more costs of implementation.
• training, and that's what the previous money was allocated for.

Summary: The committee heard a series of budget proposals focused on education finance, with repeated questions about whether the state’s investments are coordinated, targeted to the highest-need students, and likely to produce measurable results. On the first item, the administration proposed $1 million for a study of California’s curriculum framework, standards, and instructional materials process, plus $250,000 for supplemental ELA/ELD guidance. CDE and Finance said the study would examine how other states organize standards, frameworks, and adoptions, while the chair and members questioned why California has gone so long without updating some standards, what the study would actually accomplish, and whether the proposal was too vague to justify the cost. The issue was held open. The committee then took up a proposed $25 million statewide literacy network within the system of support. CCEE and CDE said the network would coordinate multiple existing literacy leads, create a clearinghouse of evidence-based resources, and improve coherence across the state’s many literacy initiatives. Members pressed on how a one-time, five-year allocation could support a long-term system, how the work would reach distressed and rural districts, and whether the proposal would translate into classroom change rather than just another layer of coordination. The issue was also held open. Next, the committee reviewed a $500 million proposal to expand literacy coaches and reading specialists and to create a math coaches program. CDE described the existing literacy coach cohorts as producing positive reports from participating LEAs, while the LAO recommended modifications, especially for the math coach portion, including limiting eligibility to elementary schools, setting minimum grant amounts, directing funds to eligible school sites, and making eligibility automatic rather than application-based. Members focused on whether coaches were actually being placed at the schools with the greatest need and whether the state has a coherent long-term strategy for literacy and math investments. The committee also heard a $40 million proposal for training and implementation of K-2 reading difficulty screeners, which the LAO said was reasonable but could be reduced because $25 million had already been provided for training; CDE said the new funds were needed for full implementation, procurement, and sustainability. Finally, the committee heard a $10 million proposal for a developmentally appropriate TK multilingual learner screener, with CDE explaining why the preschool language-identification process is different from K-12 EL assessment and the chair asking staff to explore whether a single, more consistent approach could be developed. The meeting concluded with a presentation on universal school meals and kitchen infrastructure, including a $31.5 million backfill, an $84.1 million increase for projected meal growth, a COLA adjustment, and $150 million for kitchen upgrades and training to support freshly prepared meals.

Transcript Highlights:

• In FY 2025, they received $2.4 billion for K-12 education for this allocation.
• In FY 2025, they received $2.4 billion for K-12 education for this allocation.
• there to create the full Public School Fund allocation for the year.
• One question is special education high-cost occurrences.
• Um, one question is, um, special education high cost occurrences.

Summary: The House and Senate Education Committee first approved minutes from February 2 and 3, then took up an interim study proposal on adult education and the Excel Center model. Representatives from Goodwill Industries of Arkansas, the Excel Center network, and the University of Notre Dame’s Lab for Economic Opportunities testified that roughly 300,000 Arkansans over age 19 lack a high school diploma or GED, and argued that the Excel Center provides a supported diploma pathway for adults who struggle with GED testing. Witnesses highlighted wraparound services such as free child care, transportation assistance, tutoring, life coaching, and career services, and cited outcomes including high retention, growing enrollment, and research showing higher employment and earnings and lower criminal justice involvement for graduates. Committee members raised questions about the state’s role, existing adult education programs, and how the study would be structured; the motion to adopt the ISP passed, though there was some procedural disagreement about when questions should have been taken. The committee then heard a detailed adequacy funding overview from BLR staff Katie Walden and Adrian Beck on Arkansas K-12 education finance. They reviewed national funding principles and explained Arkansas’s system, including state and local revenue sources, the Public School Fund, the Educational Excellence Trust Fund, the Educational Adequacy Fund, and the Facilities Partnership Program. Staff said K-12 state and local revenues totaled $6.6 billion in 2025, with foundation funding making up the largest share of district and charter funding, followed by additional, categorical, and supplemental funds. They also explained the matrix-based foundation formula, the role of the uniform rate of tax, and how categorical and supplemental funds support areas such as alternative learning, English learners, special education high-cost cases, teacher salary equalization, declining enrollment, and student growth. Members asked several follow-up questions about how specific funding categories are defined and used, including student support staff, instructional aides, special education high-cost occurrences, ALE funding, teacher salary equalization, and the inclusion of Excel Center amounts in state-local funding totals. Staff said some of those details would be addressed in a later presentation and offered to provide additional records, including district lists and historical information. The meeting ended after the funding overview, with no additional votes or actions beyond the ISP adoption and adjournment.

Transcript Highlights:

• . allocation. allocation.
• our asset allocation study. our asset allocation study.
• Representative Leduc. asset allocation. And the asset asset allocation.
• normal cost. normal cost. Thank<01:31:50.360> you,<01:31:50.440> Ms.
• And so, just um cost.

Keywords: 1187, senate, all

Transcript Highlights:

• And that runs your design cost up.
• And we want to keep our design cost at about 15% of what our total construction cost is.
• actual construction cost is. actual construction cost is.
• estimates may not end up being what the actual cost might be because of rise in cost and so on and so
• <00:28:56.159> to funding received that is allocated to funding received that is allocated

Keywords: 00:02 EEC – State-Owned Dams 21:07 EEC – Grid Resilience Grant Funds 37:24 Adjournment, 958, all

Summary: The committee heard presentations from the Department for Environmental Protection and the Office of Energy Policy on Kentucky’s state-owned dam repair program and the electric grid resilience program. Commissioner Tony Hatton explained how state dams are defined and classified under Kentucky law, the criteria used to prioritize repairs or decommissioning, and the status of several projects funded in the last biennium. He said the department is using a design-bid-build process, with major work planned or underway at Willisburg Lake, Big Bone Lick State Park Dam, Clemens Lake Dam, Marion County Sportsman’s Dam, Chinoa Lake Creek/Canning Creek Dam, and Lake Malone, and that $0.5 million is reserved for routine repairs. He also described the timeline and cost pressures, noting that construction seasons and bid uncertainty can affect schedules and estimates. Members asked several questions about whether the estimates were current, how accurate the bids tend to be, why the process takes so long, and whether it would be better to fund design separately before construction. Hatton said the estimates are the best current engineering estimates, that costs often stay within about 10% but can vary, and that the overall process is usually closer to two years than four, though delays can occur. He also said all of the allocated dam funds must be available before bids can be let. The committee discussed whether design work can become stale if construction is delayed. Kenya Stump then updated the committee on Kentucky’s electric grid resilience program under federal Infrastructure Investment and Jobs Act funding. She said Kentucky has received years one through three of the five-year program and has allocated funds to state park electric systems and municipal utilities, with years four and five not yet received. She identified Ken Lake State Park and Kentucky Dam Village as the two state park projects in progress, and Owensboro, Princeton, Williamstown, and Hopkinsville as the municipal projects selected through a competitive process. She said the projects are under contract or in final negotiations, with municipal construction expected to begin in the first quarter of 2026 and finish by the end of 2026, and explained that the work includes line, pole, transformer, meter, and outage-management upgrades. Members asked about the relationship between this program and prior park appropriations, the timing of agreements with Parks, and whether the park systems could eventually be transferred to the local electric cooperative; Stump said the park agreements are imminent and that the upgrades are intended to bring the systems up to code so the cooperative can maintain them. No votes were taken, and the chair adjourned the committee until the following Wednesday, with a possible time change to avoid a scheduling conflict.

Transcript Highlights:

• <00:40:14.480> doing allocate s asset allocation in doing allocate s asset allocation in doing
• up the cost of this unfunded liability. up the cost of this unfunded liability.
• $200 of their cost of health insurance. $200 of their cost of health insurance.
• that actual cost that actual cost >> the<01:40:41.199> state.
• . cost. cost.

Keywords: 958, all

Summary: The meeting opened with a quorum call, the Pledge of Allegiance, a prayer, and approval of the prior meeting minutes. The first presentation was from Bo Craycraft of the Judicial Form Retirement System, who gave an update on investment performance, asset allocation, cash flow, and projected employer costs. He reported strong fiscal year 2025 investment results, with both the legislative and judicial retirement plans outperforming their actuarial assumed rates of return and benchmarks, driven largely by U.S. equity performance. He also noted the plans remained near their target asset allocation and continued to experience negative cash flow, though he said that was manageable in context of strong asset growth. Craycraft then discussed a recent experience study and actuarial assumption changes, especially a revised salary growth assumption and a higher cash balance interest credit rate. He said these changes increased projected employer costs, with contributions rising from about $700,000 to a projected $2 million in later years, though he expected the eventual 2025 valuation and investment gains to reduce that estimate. Members asked about mortality assumptions, the impact of the experience study on liabilities, and the sharp increase in the judicial plan’s projected employer cost. Craycraft explained that the increase was driven mainly by the updated assumptions and that no other major plan changes were involved. At the chair’s request, Craycraft also addressed the recent rise in Medicare Advantage premiums for the plan’s health coverage, saying the 2025 increase was largely tied to Part D changes and the Inflation Reduction Act and had been about 45%, but that future growth was expected to be under 5%. After his presentation, the committee moved to the Kentucky Public Pensions Authority update, where the next speaker began by saying the funds had exceeded actuarial assumed returns for the fiscal year.

Transcript Highlights:

• , and the cost for staff that have been mobilized down there.
• Material cleanup that's going on, so that'll be some of the initial costs.
• The cost of making CAL FIRE year-round is minimal compared to the cost of continuing. response to these
• allocated.
• So could somebody from staff elaborate on the cost of going to the 66-hour workweek?