Transcript Highlights:

• Inflation went crazy. Nobody saw that coming. So it's hard.
• And what about the environmental impact?
• The impact is considered negligible, but the FIRR did conduct a fiscal impact report on this.
• There is a little bit of an impact, but it's not much.
• the positive impact.

Committee: House Investments & Pensions Oversight Committee

Transcript Highlights:

• He then said he agrees with the shingles provision and that better impact resistance should happen as
• There's a definition of the word inflating as a subset for insurance fraud, and that would be a practice
• And so eliminating this program would, again, impact ultimately what any individual's premiums are for
• And so eliminating this program would, again, impact ultimately what any individual's premiums are for
• Again, that would ultimately impact what any individual's premiums are.

Committee: House Insurance and Banking

Summary: The Insurance Committee held public hearings on House Bill 3328 and House Bill 2324. HB 3328, sponsored by Rep. Castile, is a broad homeowners insurance package that would redirect insurance dedicated fund money into a Missouri Stronger Homes Fund, create a Missouri Disaster Mediation Act for disaster-related claims, update public adjuster regulation, strengthen fraud provisions, add consumer notices, and establish roof-hardening grant programs. The sponsor and the Department of Commerce and Insurance said the bill is still being revised in a committee substitute, especially on public adjuster language and fortified roof standards. Committee members asked about the dedicated fund, mediation benchmarks, the role of public adjusters, and how the program would affect disaster recovery in places like St. Louis. Testimony on HB 3328 was mixed. The Department of Commerce and Insurance and several insurance industry groups supported the bill’s consumer protections, mitigation funding, mediation process, fraud language, and assignment-of-benefits ban, but said the public adjuster fee cap would likely be removed and that the bill needs technical changes for mutual insurers and roofing standards. Public adjusters testified in opposition to the cap as written, saying their fees are typically 10-15% and are disclosed in contracts, and that they were working with the sponsor on revisions. A shingle manufacturer also opposed the fortified roof language as drafted because some of its products may not fit the current standard. The committee then closed the hearing on HB 3328. The committee next heard HB 2324, sponsored by Rep. Lucas, which would restrict the sharing or sale of vehicle driving data and was described by the sponsor as a privacy bill aimed at stopping companies like OnStar from selling driving data to insurers. Opponents from the Missouri Insurance Coalition and NAMIC said the bill would not actually target OnStar, but would instead interfere with voluntary telematics-based discount programs used by insurers, potentially raising premiums and creating administrative burdens. They also noted existing federal and state rules already govern insurer data use and that the bill could create a mismatch between risk and pricing. The hearing on HB 2324 was then closed, and the committee adjourned.

Transcript Highlights:

• ,</c> of um economic annual economic impact, of um economic annual economic impact, 1.8<00:36:18.160>
• </c> it, but I'm certain it has an impact. it, but I'm certain it has an impact. the<00:44:08.640><c>
• </c> program and its impact for the state. program and its impact for the state.
• So those are really the impacts. Uh day. So those are really the impacts.
• And I have talked to the chief justice about how that impacts him, but that would also impact you and

Committee: Senate Finance

Transcript Highlights:

• A decent inflation report.
• And if that's the case, then that could impact returns.
• So if that conflict gets resolved, if the inflation stays contained, if, resolve if the inflation stays
• So those are Treasury securities that have inflation protection in them.
• As inflation rises, the principal on those securities increases.

Summary: The Legacy Fund Committee received updates from the North Dakota Retirement Investment Office (RIO) on fund performance, liquidity, in-state investments, and internal management. Scott Anderson reported strong returns for the Legacy Fund across multiple time periods, with performance exceeding the policy benchmark and expectations, driven largely by strong equity markets and effective implementation. He also reviewed private market pacing, noting commitments were on plan but that unfunded obligations and distributions were lower than expected, and presented a new liquidity analysis showing the fund had substantial capacity to meet obligations even under stressed market scenarios. The committee also discussed RIO’s internal investment program and cost savings. Anderson explained how internal management of fixed income, equity, and cash overlay strategies has reduced fees and transaction costs, while improving flexibility and portfolio construction. Members asked about staffing needs, and RIO leadership said asset growth has outpaced current staffing, with a request for additional FTEs likely coming to support investment, operations, risk, and legal functions. The committee also reviewed the Legacy Fund’s in-state investment program, including 50 South Capital and infrastructure lending, and heard that one manager’s buildout is progressing more slowly because many opportunities are still early-stage. Adam Odison presented a preliminary estimate of the 2026 Legacy Fund earnings distribution, projecting about $894.8 million under current law, with roughly $237 million to the Highway Fund and $554 million to the Property Tax Relief Fund after the sinking and interest fund allocation. Jody Smith then gave a project update on a new standalone Legacy Fund website required by statute, intended to consolidate performance, holdings, governance, fees, and use-of-funds information for the public, with a planned launch around the October State Investment Board meeting. She also raised a possible future proposal to place the Legacy Earnings Fund back under State Investment Board management so the cash could remain invested longer before being transferred out, though members noted liquidity, accounting, and bank-deposit implications would need further review. Finally, Kelvin Holden of the Bank of North Dakota reviewed the match loan program, explaining how it supports large economic development projects by pairing Bank of North Dakota loans with State Investment Board CDs. He said the program currently has about $272 million outstanding and has supported projects such as Coal Creek Station and the MDU gas line to Gwinner. Members discussed whether the program’s return is appropriate and noted a prior moratorium on new investments so the committee can revisit the policy next session. The committee then elected Senator Klein as chair and Representative Hogan as vice chair, and the meeting ended with members thanking staff and partners for the fund’s progress.

Transcript Highlights:

• And then I did what I always do; I asked the people who are impacted by the bill.
• We've seen 11 other states try this, and it has had little to no impact.
• These gaming locations result in a variety of negative impacts to the areas where they are located.
• First, stop the manipulation and inflation of medical damages.
• Our biggest impact involves our outside haulers.

Bills: SB30 , SB517 , SB1313 , SB1314 , SB1316 , SB1541 , SB1698 , SB1845 , SB1860 , SB2420 , SB2429 , SB 30

Committee: Senate State Affairs

Transcript Highlights:

• is actually cheaper than it was 10 years ago, adjusted for inflation.
• You can work out a six-month notice, but a year out, things change, inflation, economy.
• And we see how the market fluctuations impact prices every day.
• If you're asking me to make that... ...market fluctuations impact prices every day.
• So we are concerned that it's going to negatively impact...

Summary: The committee heard several bills from Senator Umberg and Senator Allen, with testimony from supporters and opponents before roll-call votes were taken once quorum was established. SB 253, the annual State Bar fee bill, would keep fees unchanged while requiring two-year notice for substantial changes to the bar exam, including vendor changes, and returning to an older delivery method for the upcoming exam; it was presented as a response to recent State Bar problems and the February bar exam failure. SB 25, the Pre-Merger Notification Act, would require certain merger parties to provide California’s attorney general the same Hart-Scott-Rodino materials filed federally, so state antitrust review can occur in parallel with federal review; supporters said this would reduce delay and uncertainty, while members questioned whether it would add another layer of review. SB 36 would strengthen price-gouging enforcement after the January 2025 Southern California firestorms by requiring rental-listing platforms to report suspected gouging, expanding consumer and prosecutor remedies, and allowing warrants in housing-related cases; supporters said it would close loopholes, while opponents from business groups raised concerns. All three bills were later approved on roll call, with SB 36 and SB 413 placed on call before final passage and SB 253 and SB 25 moving forward on committee votes. The committee also heard SB 413, which would streamline access to juvenile case files in certain civil cases brought by or on behalf of the youth who is the subject of the file, allowing attorneys to use heavily redacted records without first petitioning the juvenile court. Supporters, including Los Angeles County counsel and county associations, said the current petition process is costly, slow, and routinely granted, creating delays in civil litigation and court congestion. Opponents, including the Youth Law Center, argued the bill would weaken longstanding juvenile confidentiality protections by bypassing judicial review and could expose sensitive information unnecessarily. After discussion about redactions, sealing, and the scope of access, the bill was passed on a do-pass-as-amended vote. Finally, Senator Wahab presented SB 436, which would extend the notice period for nonpayment of rent from three days to 14 days. Supporters, including tenant advocates, legal aid groups, and several local governments, argued the change would reduce unnecessary evictions, give renters more time to obtain assistance or a paycheck, and help prevent homelessness. Opponents, including apartment associations, property owners, and the California Association of Realtors, said the bill would burden landlords, especially small owners, and could unintentionally affect commercial leases; members also raised concerns about repeated late payment and the lack of stronger guardrails. The author said she would work on clarifying commercial coverage and safeguards, and the bill remained under discussion as the hearing continued.

Transcript Highlights:

• These high-impact projects reduce the economic burden of energy costs, help maintain energy reliability
• Most of what we do, and our impact and outcomes, are measured and dictated by statute. Next slide.
• </c> credit lending leverages the inflation credit lending leverages the inflation reduction<00:12:42.199
• </c><00:22:26.039><c> as</c><00:22:26.240><c> Ki</c> are going to increase our impact as Ki are going
• That impacts our ability to bring in more money, which we want to do.

Committee: Senate Energy, Utilities, Environment, and Climate

Transcript Highlights:

• families, it's impacting businesses, it's impacting seniors, it's impacting kids in school.
• The housing shortage is impacting families, it's impacting businesses, it's impacting seniors, it's impacting
• </c><00:32:01.639><c> of</c> bit about um about the the impact of bit about um about the the impact of
• , I mean, housing costs were a big driver of what was causing inflation.
• , I mean, housing costs were a big driver of what was causing inflation.

Committee: House Housing Finance and Policy

Transcript Highlights:

• If we just take the $100,000 and adjust it for inflation over 13 years, we're only at about $139,000.
• I know inflation was mentioned.
• However, when it comes to these vehicles, I know both... ...and I know inflation was mentioned.
• The cost of those types of things, even though inflation may say it's, I think you said it was under
• So if those two other million goes to GR, what program will that impact, do you know?

Committee: House Corrections and Public Institutions

Summary: The committee first met in executive session and adopted a House Committee substitute combining House Bills 2592, 2834, and 2787 into one measure. The combined substitute was then voted do pass by a unanimous roll call, recorded as 15 ayes and 0 noes after a brief correction to the tally. The committee then heard House Bill 1786, which would raise the Highway Patrol’s spending threshold for purchasing vehicles, watercraft, aircraft, and related specialized equipment without returning to the legislature from $100,000 to $500,000. The sponsor and Highway Patrol witnesses said the current cap is outdated because boats, armored vehicles, bomb trucks, and aircraft equipment now cost far more than $100,000, while members asked about inflation, the revolving fund, and whether a lower increase might be more appropriate. No opposition testimony was offered. Next, House Bill 2885 was heard. It would redirect the first $1 million in annual boat registration fee revenue away from general revenue and into the Missouri Water Patrol Division. The sponsor and Highway Patrol said registration revenue has declined while operating costs have risen, and the division needs the money to support enforcement, search and rescue, dive operations, and boating safety programs. Members asked how much revenue is collected and whether the change would affect other programs; testimony indicated the bill would mainly earmark existing revenue rather than increase overall department funding. The committee also heard House Bill 2694, which would exempt four fee-supported funds from the end-of-biennium sweep to general revenue: the Highway Patrol Academy Fund, the State Forensic Laboratory Account, the Boiler and Pressure Vessels Safety Fund, and the Elevator Safety Fund. The sponsor and Department of Public Safety witnesses said the sweeps make long-term planning difficult and can disrupt training, lab support, and safety inspection operations, though members raised concerns about excess balances, guardrails, and whether fee reductions should be considered if reserves grow too large. Finally, House Bill 1712 was heard; it would make intentionally failing to charge an electronic monitoring device a crime, closing a loophole in existing tampering law. The sponsor, a sheriff, and other witnesses said the bill addresses deliberate attempts to evade monitoring, while members discussed battery warnings, rural access to electricity, and the costs and benefits of pretrial release. No votes were taken on the later bills before the committee adjourned.

Transcript Highlights:

• We'll also talk about some things that do not impact New Mexico taxation and other indirect revenue impacts
• So, for the general fund, I do not see this as a large impact, but do you see it as a very large impact
• We're slowly reducing that, but that's a lower scale impact versus the overall Medicaid population impact
• But for local economies, I think that will have an impact.
• Impactful. So, as legislators, I think you have a voice.

Committee: House Federal Funding Stabilization Subcommittee

Transcript Highlights:

• How is this going to impact our overall needs and our resources?
• My last question is: in your presentation on cost and incentive impacts of setting, and impacts of setting
• My last question is: in your presentation on cost and incentive impacts of setting, and impacts of setting
• It's really been about the cost of inflation.
• So if you want to have an impact on future rates, reduce the amount of spending that's allowed.

Committee: Senate Energy, Utilities and Communications

Summary: The Senate Committee on Energy, Utilities and Communications held an oversight hearing focused on electric rates, utility regulation, affordability, wildfire costs, and the California Public Utilities Commission’s role. Chair and members framed the discussion around the challenge of transitioning to a cleaner grid while maintaining reliability and keeping bills affordable. The hearing also served as the annual update from the CPUC and the Public Advocates Office, with testimony from Professor Severin Borenstein and CPUC President-designate Alice Reynolds. Borenstein gave a primer on utility regulation, explaining that generation is largely deregulated while transmission and distribution remain regulated, and that most rate-setting follows cost-of-service regulation. He emphasized that the hardest issue is setting the allowed return on equity: too high can raise bills and encourage capital-heavy spending, while too low can deter investment and harm reliability. He argued there is no silver bullet, said performance-based regulation and price caps have limits, and suggested some costs now charged through electric bills—such as climate programs, low-income subsidies, and wildfire-related public policy costs—might more appropriately be paid through the state budget. Reynolds described the CPUC’s oversight role, saying the commission reviews utility spending through general rate cases, balancing accounts, and other proceedings, and that affordability is addressed through front-end scrutiny, post-spend accountability, and legislative direction. She highlighted wildfire mitigation as a major driver of rate increases, noted recent progress on clean energy procurement and battery storage, and said the CPUC is working on return-on-equity decisions, FERC advocacy on transmission costs, and implementation of SB 254 and other statutes. Members pressed on a range of issues, including wildfire securitization, load growth from EVs and data centers, gas-system stranded assets, balancing accounts, and a water-service dispute in Keene involving Union Pacific. No votes were taken; the hearing was informational, with several follow-up commitments from the CPUC to provide data and updates.

Transcript Highlights:

• Inflation has really deteriorated what? ...been looked at or increased.
• Inflation has really deteriorated what the group that works with early childhood special education is
• I think staffing has become less over time because of inflation, taken away from the funding.
• Inflation has really deteriorated what the group that works with early childhood special education is
• I think staffing has became less over time because of inflation, taken away from the funding.

Committee: All EDUCATION- HOUSE EARLY CHILDHOOD SUBCOMMITTEE

Summary: The committee first approved the minutes and then heard a presentation from Maddie San Juan of the Women’s Foundation of Arkansas on the report “Holding It All Together: Working Moms and Child Care in Arkansas.” She said the research found Arkansas moms are working and want to work, but child care costs, inflexible schedules, inadequate paid leave, and the mental load of caregiving are major barriers. She cited survey and focus group findings showing flexible hours were the most requested workplace support, 69% of moms identified child care costs as a barrier, and many families spend a large share of income on care. Members asked about labor force trends, what flexibility means in practice, and the cost and age structure of child care assistance programs. The presenter also noted child care affects economic development and workforce recruitment, and mentioned a Department of Commerce option that may help pay child care for people seeking training. Department of Education and Office of Early Childhood staff then gave updates on internal dashboards for enrollment, applications, and provider participation in School Readiness Assistance (SRA), saying the tools are now live for internal use and should improve transparency and data access. They said CLASS transition funding from the PDG grant would be released soon to providers who completed observations, and clarified that OEP awards based on CLASS scores are separate from OEC’s work. They also warned providers about a payment interruption during the transition to a new system: June 26 would be the last day to submit SRA payments for processing, payments would stop June 30, and billing would continue without processing from July 1 to 13, with back payments expected when the system resumes around July 14. Members raised concerns about provider cash flow, early childhood special education funding, an overpayment appeal involving a child care center, and whether CLASS data would be public; staff said the data is FOIA-able but not used by the department to set current quality or rates. The department also said it is reviewing audit requirements tied to Head Start and SRA, that Early Head Start children remained in their facilities after a closure, and that a market rate survey/cost analysis is still in procurement. Staff reported that the QRIS process will begin with a June 23 webinar and that CLASS will be part of a broader quality system still being developed with provider and parent input. They also said the local lead network was re-competed and will cover all counties starting July 1 with 23 local leads, and that the PDG partner group has been formed to provide ongoing stakeholder feedback. The meeting ended with no further business and adjournment.

Transcript Highlights:

• Thank you. ...impact patients.
• All of that will be impacted by about a 250% increase.
• It will have an impact on medicine.
• It will have an impact on patients and it will have an impact on the pharmacies and available access
• And the impact does not stop with the business itself.

Committee: House Finance

Transcript Highlights:

• So a couple more years of inflation puts that somewhere over $13,000, between $13,000 and $14,000.
• giving, I think, is a reasonable adjustment, especially because it basically just adjusts it for inflation
• These sharks are a near-threatened species, partly because of impacts of bycatch.
• However, we do not yet understand the impacts that contaminated prey or pollutants like 6PPD can have
• It may seem really simple and small, but it can have a meaningful impact by fostering connections to

Bills: HB2447 , HB1364 , HB2632 , HB2637 , HB2520 , HB2235 , HB2401 , HB2574

Committee: House State Government & Tribal Relations

Keywords: shark conservation, marine life, state symbol, ecological importance, biodiversity, bingo, raffles, charity, nonprofit, amusement games, revenue threshold, licensing, fundraising, citizenship, immigration, terminology, rights, legal status, public records, public disclosure

Transcript Highlights:

• So a couple more years of inflation puts that somewhere over $13,000, between $13,000 and $14,000.
• These sharks are a near-threatened species, partly because of impacts of bycatch.
• However, we do not yet understand the impacts that contaminated prey or pollutants like 6PPD can have
• It may seem really small, but it can have a meaningful impact by fostering connections to our waters
• It's unclear how it would impact it.

Summary: The committee heard testimony on several bills. HB 1364 would raise from $5,000 to $15,000 the gross revenue thresholds for charitable and nonprofit organizations to conduct bingo, raffles, and amusement games without a gambling license, and would also raise related local tax thresholds; supporters said it is an inflation adjustment that helps volunteer nonprofits, while no opposition was heard before the hearing closed. HB 2632 would replace most uses of “alien” in state law with “non-citizen,” with exceptions for federal-law requirements and non-human uses; the sponsor described it as a dignity and accuracy measure rooted in refugee experience, while supporters and opponents debated whether it is respectful and clearer or instead unnecessary and potentially confusing. HB 2447 would designate the blunt-nosed six-gill shark as Washington’s official state shark; testimony from the sponsor, children, marine advocates, and scientists emphasized education, conservation, Puget Sound ecology, and local pride, and the hearing closed without opposition testimony. HB 2637 would exempt certain personal information from Public Records Act disclosure, including age, address, birthplace, precise location data, government identifiers, and consumer utility data; supporters framed it as privacy and safety protection, while opponents argued it would reduce transparency and could interfere with federal immigration enforcement. In executive session, the committee took action on three bills. HB 2235, concerning Public Records Act exemptions for concealed pistol licenses and permit-to-purchase firearm applications, was reported out of committee with a due pass recommendation by a 7-0 vote. HB 2401, establishing the Boys and Men’s Commission, was also reported out with a due pass recommendation by a 5-2 vote, with some members supporting the concept but expressing concern about funding. HB 2574, which addresses removal of deceased candidates for nonpartisan office from ballots and related vote-count procedures, was reported out with a due pass recommendation by a 6-1 vote after members discussed the need to clarify election procedures in rare cases. The committee deferred action on HB 2520.

Transcript Highlights:

• There is no fiscal impact on state revenues.
• Say $150 million really will not impact.
• What is the anticipated impact?
• The exact impact is not able to be quantified. Would there be an impact?
• This bill impacts everyone.

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:

• All this will lead to a detrimental impact on our local economy and jobs.
• If they lose that $7,500, it's going to have a significant impact.
• The tax credits were included in the Inflation Reduction Act, but the Inflation Reduction Act, ...in
• the Inflation Reduction Act, but the Inflation Reduction Act is resulting in a lot of construction, especially
• The widespread use of sustainable aviation fuel could have enormously adverse impacts.

Committee: Joint Joint Committee on Telecommunications, Utilities and Energy

Summary: The committee on Telecommunications, Utilities and Energy heard testimony on several transportation and clean-fuel bills. Supporters of H. 3535 argued for delaying or pausing enforcement of Massachusetts’ zero-emission vehicle sales mandate, saying the current ACC2 timeline is unrealistic given low ZEV sales, limited charging infrastructure, dealer inventory concerns, and potential economic impacts on dealerships, consumers, and tax revenue. Opponents of that approach, including automakers and clean transportation advocates, said the state should stay on course with electrification and that the mandate is necessary to meet climate goals. The committee also heard support for H. 3570/S. 2326 to update vehicle emission standards for municipal and utility fleets, with municipal utility representatives saying current electric truck technology, charging access, and costs make the rules impractical for critical public services. A major portion of the hearing focused on S. 2246, the Freedom to Move Act, which would require MassDOT and regional planning agencies to set vehicle miles traveled reduction goals and align transportation spending with climate targets. Supporters said the bill would better coordinate transportation planning, encourage transit, biking, and walking, and help Massachusetts meet emissions goals while saving money and improving public health. Some committee members raised concerns that the bill could duplicate existing transportation climate mandates and could disadvantage rural residents who must drive long distances; witnesses responded that the bill is meant to add coordination and flexibility, not impose a one-size-fits-all solution. The committee also heard testimony on H. 3448, which would set deadlines to electrify school buses and public fleets and create programs for private fleet electrification. Advocates said fleet electrification is a practical way to cut emissions, improve air quality, and save money over time, especially for schoolchildren exposed to diesel exhaust. Several witnesses also supported low-carbon fuel standard bills H. 3576 and S. 2251, arguing they would reduce fuel carbon intensity and generate revenue for charging and clean-fuel investments. Others, including a coalition opposed to private jet expansion, objected to the bills’ treatment of sustainable aviation fuel, saying it is not scalable, is expensive, and could create land-use and food-supply tradeoffs. No votes or formal committee actions were taken in the hearing excerpt provided.

Transcript Highlights:

• Have you incorporated an inflation factor into that? Thank you, Mr.
• These differences are also impacted by three governance challenges.
• Since then, we're seeing 4% inflation.
• So the question is going to be: what's our impact?
• So question is going to be is what's our impact?

Committee: Joint Water Topics Overview Committee

Summary: The Water Topics Overview Committee met with a quorum and heard updates from Department of Water Resources Director Reese Haas and Lieutenant Governor/State Water Commission Chair Michelle Strinden on statewide water funding, major projects, and two legislative studies requested in House Bill 1020. Haas reviewed the status of the Northwest Area Water Supply and Southwest Pipeline projects, noting NAWS construction is expected to move water by fall and Southwest’s Hebron-Rugby expansion phase one is in final design with bids expected next month. He also summarized the department’s budget outlook, including Resources Trust Fund and Water Project Stabilization Fund balances, the effect of oil price volatility and stripper well exemptions on revenues, and the status of project buckets, carryover, lines of credit, regionalization, bid trends, and administrative/process updates. Committee members asked about project prioritization, municipal funding demand, maintenance expectations, replacement versus deferred maintenance, and whether the 2025 session may have underfunded municipal water supply needs. Haas said the commission uses the same high/medium/low prioritization process across all buckets, reviews maintenance plans as part of policy, and is seeing strong demand in the municipal bucket. He also explained that the department’s 14-year projection is based on the next seven legislative sessions and that the state faces a projected $1.3 billion shortfall over that period if all planned projects are funded under current assumptions. Deloitte then presented draft findings from the cost-share policy study and the governance/finance study. For cost share, Deloitte said the model shows a roughly $1.3 billion shortfall over 14 years and about $1.8 billion through 2031 under current policy, and offered seven options including tighter eligibility for replacement projects, state funding caps for the Mouse River and Red River Valley projects, a priority-based cost-share scale, timing shifts, use of existing lines of credit, and delayed reimbursement timing. For governance, Deloitte outlined draft options for Southwest, NAWS, and Red River ranging from maintaining current structures with stronger planning to transferring ownership or adding formal oversight, and recommended broader use of performance metrics, long-term financial planning, and clearer decision trees. No votes or formal actions were taken; the commission discussed the scenarios and the studies will return in revised form later in the spring.

Transcript Highlights:

• this modification would exempt the lobby compensation thresholds in Government Code 305.005 from inflation
• Currently, the lobby compensation thresholds increase each year based on inflation, shifting more data
• This modification would ensure that the inflation adjustments would be rounded either to the ten, hundred
• The Sunset Compliance Report assessed recommendations from the previous legislative session, impacting

Keywords: Sunset Advisory Commission, Texas Ethics Commission, recommendations, Angelina River Authority, Natchez Valley Authority, public testimony, legislative session

Summary: The meeting of the Sunset Advisory Commission served as a concluding assembly for the current biennium, where various agencies were reviewed. Notably, the Commission focused on staff recommendations and modifications regarding the Angelina and Natchez River Authority, Lower Natchez Valley Authority, and Texas Ethics Commission. After discussing various modifications, the members voted unanimously on multiple recommendations aimed at improving operational efficiency and accountability within these agencies. The Chair emphasized the collaborative effort of the Commission members and staff, acknowledging their hard work throughout the biennium.

Transcript Highlights:

• So there's an argument around any type of tier taxation rate that with inflation you don't want more
• have a tremendous impact on our water<01:04:26.559><c> system.
• Um, adjusting for inflation, it actually would be over $170.
• </c><01:48:18.800><c> be</c><01:48:19.040><c> over</c> inflation, it actually would be over inflation
• ,</c> If we were just to adjust for inflation, If we were just to adjust for inflation, the<01:48:48.320

Bills: HB1719 , HB1742 , HB1737 , HB2049 , HB1725 , HB1726 , HB1738 , HB1799 , HB1700

Committee: House Housing

Summary: The joint public hearing covered several housing-related bills and one building-code measure. HB 1719 would make manufactured homes a permitted use by right on residentially zoned lots in the urban district, HB 1742 would authorize self-contained relocatable housing units with restrictions, and HB 1737 would clarify that a farm dwelling in an agricultural district may include an accessory employee housing structure. Testimony on these bills was overwhelmingly supportive from groups including Hawaii Realtors, Grassroot Institute of Hawaii, Housing Hawaii’s Future, the Modular Building Institute, the Hawaii Farmers Union, and others, with a few agencies offering comments. No one testified in opposition on HB 1719 or HB 1742, while HB 1737 drew one opposition and one comment in addition to broad support. No votes were taken during the hearing segment provided. A major portion of the hearing focused on HB 2049, which restructures the conveyance tax into a marginal-rate system and changes how the revenue is allocated, including funding for the Department of Hawaiian Home Lands and the rental housing revolving fund, while also affecting the legacy land conservation fund. Supporters, including DHHL, Hawaii Appleseed, Aahu Youth Action Board, Hawaii YIMBY, and others, argued the bill would help Native Hawaiian housing and, for most transactions, function as a tax cut. Opponents, including NAP Hawaii, Hawaii Realtors, Hawaii Land Trust, Mhai Land Trust, and the Tax Foundation of Hawaii, objected to using conveyance tax as a revenue-generating tool and raised concerns about higher upfront costs and reduced funding for other housing uses. Committee members and staff discussed the bill’s revenue estimates, the reduced percentage but higher cap for the land conservation fund, the effect on rental housing funding, and the bill’s cost-of-living adjustment language; staff said a line-by-line comparison of the current and proposed tax structure would be provided before decision-making. The hearing also took up HB 1725, which would extend the state building code adoption cycle from two years to six years, apply the IRC to triplexes and fourplexes, allow counties to adopt more or less stringent amendments, and appropriate funds for code adoption work. Most testimony supported the bill, with advocates saying the current process is unmanageable, too resource-intensive, and creates confusion because state and county codes can diverge; supporters said a longer cycle would improve clarity and allow more focused review. The International Code Council and the American Society of Heating, Refrigerating, and Air-Conditioning Engineers opposed the measure, warning that delaying adoption could have negative consequences and urging the committee to let an existing statewide code-adoption strategy proceed first. Members asked about sequencing, county implementation, and whether the longer cycle would create catch-up problems, but no action was taken in the excerpt provided.