Transcript Highlights:

• And then our expenditures are mostly for salary.
• We have those discussions at the legislative level, which is adjusted.
• We have those discussions at the legislative level, which is adjust.
• Is based on salary and benefit increases.
• So at a smaller school, they might have 70% of their salaries on general fund.

Summary: The Higher Education Funding Committee met to discuss possible changes to North Dakota’s higher education funding formula, with a particular focus on separating the UND School of Medicine and Health Sciences MD program from the general formula. Dr. Jenkins outlined several options for the MD program, including a fixed-funding model, a hybrid model, or keeping it in the formula, and emphasized the need to preserve strong support for medical education while making future funding clearer. He also discussed efforts to increase the share of North Dakota students in the MD program through ND85, expanded recruiting, early acceptance pathways, MCAT prep, a four-plus-one program, and the Primary Care Accelerated Track, along with future cost pressures such as AI licensing and residency growth. The committee then reviewed a simplified funding model from the University System Office that would base funding more heavily on student FTE, credentials awarded, and a few incentive factors such as small institution and research adjustments. Members questioned the use of placeholder numbers, the lack of a clear methodology for the small institution and research factors, and whether the model would adequately account for differences among institutions, high-cost programs, and graduate education. Several members raised concerns that arbitrary factors would be hard to defend politically and could distort funding or create competition between schools, while others said the exercise was useful as a starting point for discussion. Alex presented a second alternative that kept the current SIP-code structure but increased CTE weighting, added a progressive economic size factor, and separated out the MD program. His model also added an on-campus face-to-face headcount component and a credentials component, with the intent of rewarding in-person enrollment and completions. Members questioned the use of headcount instead of FTE, how hybrid, online, dual-credit, and off-campus students would be treated, and why face-to-face enrollment was weighted more heavily than completion. No formal votes or final actions were taken; the committee instead continued discussion and asked members to provide direction on which elements, if any, should be developed further.

Transcript Highlights:

• Well, so if you're going to break it down by a salary per teacher, by a salary per curriculum, a book
• You can look at the negotiation minutes and go by the sheets that are made it for salaries and basically
• I mean, if I want to know what the average salary is for a region, a district, or school, it's there.
• And I guess, you know, we didn't have time to really adjust the fiscal note.
• And I guess, you know, we didn't have time to really adjust the fiscal note.

Bills: HB1329

Committee: Senate Appropriations - Education and Environment Division

Summary: The Education Division met with all members present and first took up House Bill 1329, which would create a transparency database and website for school spending information. Senator Schaible offered Amendment 0204 to turn the bill into a study, citing concerns that the proposal would impose major data-collection burdens on 168 school districts, require new data standards and privacy protections, and likely cost far more than the $500,000 in the bill. Several members supported transparency but agreed the implementation costs and technical feasibility were unclear. The committee adopted the amendment 4-1, then passed HB 1329 as amended on a 5-0 vote, with Senator Shively to carry the bill. The committee then discussed House Bill 1540, the education savings account/voucher bill. Representatives from the Bank of North Dakota and the Department of Public Instruction explained that they had not been consulted on the original drafting and outlined needed administrative changes, including clarifying the Bank as administrator, using a third-party program manager, involving DPI in rulemaking, adding audit and appeal procedures, and adjusting language on eligible purchases and school disqualification. They also said the current timeline was likely too aggressive to launch by the 2026-27 school year and estimated the program would require about 15 months to implement, with a fiscal note now around $5.1 million. Members also discussed policy-related amendments on means testing and application timing. Senator Shively proposed a 300% of poverty-level means test and a sign-up period to reduce costs and limit open-ended enrollment, while Senator Axman proposed a tiered approach that would keep all students technically eligible but phase in funding levels by income, preserving access for students who qualify for other federal supports. DPI said it could not currently disaggregate some data by family income and that the appeal process and procurement timeline still needed work. The committee did not move HB 1540 out that morning and instead recessed to continue discussion later after members had time to review the administrative and fiscal issues separately from the means-testing proposals.

Transcript Highlights:

• But is the separate salary column still in this form?
• , but we're sitting as an example, they can get paid less and we're on a separate salary column.
• But is the separate salary column still in this form?
• But is the separate salary column still in this form?
• And we can always evaluate and make adjustments down the road. Thank you, Representative.

Committee: House Elementary and Secondary Education

Summary: The committee first took up House Bill 2195, a driver education-related measure. The ranking member offered an amendment to remove the word “training” and add specific safe-driving topics such as pedestrian and motorcycle safety, based on prior testimony. The amendment and then a committee substitute were adopted. Members clarified that the bill does not require schools to offer driver education; it instead creates a mechanism for schools that choose to provide it. The committee then voted the House Committee Substitute for HB 2195 do pass by a unanimous 18-0 vote. Next, the committee considered House Bill 2502. The substitute mainly changed the term “non-public” to more specific references to private, parochial, and parish schools. The substitute was adopted, and the committee voted the House Committee Substitute for HB 2502 do pass unanimously, 18-0. The committee then revisited House Bill 2776, which had previously been voted out but was brought back after additional concerns from PSRS and others. The sponsor described major revisions, including changes to teacher certification tiers, more flexible service timelines, expanded credit for professional development, and limits to elementary grades. Members debated whether the bill watered down teacher preparation, whether the new certification structure could create unintended rights or salary issues, and whether the elementary-only scope was appropriate. After extensive discussion, the committee adopted the substitute and voted the House Committee Substitute for HB 2776 do pass by a 14-4 vote. Finally, the committee heard House Bill 1767, the Missouri Educators and Parental Empowerment and Rights Act. The sponsor said the bill was intended to balance educator and parent rights and encourage collaboration rather than conflict. Supporters from Missouri NEA and the Missouri State Teachers Association said the bill would help address teacher retention by protecting classroom discipline authority, planning time, and other working conditions. School administrators raised concerns about practical implementation, potential legal conflicts, and added burdens on districts. After testimony and discussion, no further action was taken and the committee adjourned.

Transcript Highlights:

• </c><00:44:44.720><c> and</c> or newer teacher, 75,000 salaries and or newer teacher, 75,000 salaries
• it been adjusted for inflation.
• So, she gets partial unemployment and part of her salary.
• So, she gets partial unemployment and part of her salary.
• So, she gets partial unemployment and part of her salary.

Committee: Senate Education Finance

Transcript Highlights:

• a side note, we'll work with Career and Tech Ed to find the best space for them, whether that's adjusting
• other spaces, shrinking other spaces, adjusting spaces in the tower and on the, you know, on the...
• Is shrinking other spaces, adjusting spaces in the tower and on the, you know, or the J-Wing or wherever
• for a nonprofit, and then a 4-H lifestyle bar. $4,500, $330,000 went to Prairie Public for their salaries
• So... ...for their salaries and their operation.

Bills: SB2014

Committee: Senate Appropriations - Government Operations Division

Summary: The Government Operations Division met to continue work on the remaining bill and related amendments. Joe Morse asked the committee to include a $219,000 general fund replacement for rent that would no longer be collected from Career and Technical Education after the 15th floor of the tower becomes legislative space under the Legislative Council’s jurisdiction. Members discussed that state law currently requires rent only from executive branch office space, not legislative or judicial space, and there was no objection to adding the request to the amendment package. The committee then revisited a set of amendments it had previously discussed, including whether to include funding for Prairie Public. Senator Dwyer argued against any Prairie Public funding, citing its reserves, endowment, and charitable gaming revenue, and said the state should prioritize other needs. Senator Irby supported a one-time infrastructure contribution as the state shares in related infrastructure costs. Senator Sickler said Prairie Public still provides unique local programming, but that a one-time infrastructure item would be a reasonable compromise rather than ongoing operating support. A motion was made and seconded to provide Prairie Public $850,000 from the Strategic Investment and Improvement Fund for infrastructure needs. The roll call vote failed 3-2, with Senators Sickler and Irby voting aye, Senators Dwyer and Burkhard voting no, and Chairman Wanzek voting yes. After that vote, the committee indicated the amendment package was otherwise complete, though leadership had asked that final action on the bill be held for a little longer. The meeting adjourned with the understanding that more amendments could still be brought forward before the next meeting.

Transcript Highlights:

• That is how we're going to help them improve salaries.
• We need adequate rates to support reasonable teacher salaries.
• On average salaries, I'm not going to give you anecdotal.
• And clearly, west of Worcester, salaries tend to lag on the early education side.
• It's still a very low salary in Boston.

Committee: Joint Joint Committee on Ways and Means

Summary: The Joint Committee on Ways and Means held a public hearing in Lawrence focused on the governor’s proposed FY27 budget for education and local aid. Opening remarks from Senator Pavel Payano, Representative Pat Duffy, and local leaders emphasized the importance of education funding for Lawrence and other Gateway Cities, with Acting Mayor Giovanni Rodriguez and Superintendent Ralph Carrero highlighting the city’s high-need student population, Chapter 70 and Student Opportunity Act funding, early college and career pathways, and the need for sustained support to close achievement gaps. The Education Secretariat testified in support of the budget, with Acting Secretary Amy Kershaw outlining investments in early literacy, universal pre-K, student mental health, school meals, high school redesign, higher education affordability, and early childhood systems. Commissioner Noi Ortega described higher education proposals including expanded free community college, continued free tuition at public four-year institutions, student success funding, early college and dual enrollment investments, and the Bright Act and Drive Act. Commissioner Pedro Martinez detailed K-12 proposals such as full Student Opportunity Act funding, increased Chapter 70 aid, special education circuit breaker funding, transportation aid, literacy initiatives, and a new Accelerating Achievement Initiative aimed at schools with the greatest needs. Commissioner Kershaw also described early education proposals including funding for C3, child care financial assistance, CPPI, workforce supports, and administrative funding restoration. Committee members questioned the administration about the pending local contribution formula study, the final year of Student Opportunity Act implementation, and the need to address health care and other cost drivers in school funding. Officials said the local contribution report is expected by the end of June and that a draft will be shared for public comment after data analysis is complete. Members also raised concerns about Chapter 70 disparities between districts and urged a broader review of the formula. In response, the commissioners said the Student Opportunity Act narrowed funding gaps but further work is needed, and they pointed to the new achievement initiative, literacy efforts, and early college expansion as ways to improve outcomes. No votes were taken at the hearing.

Transcript Highlights:

• I also want to mention that the governor's budget includes a technical adjustment to move 8.1 million
• You're correct, salaries and benefits are a major cost driver for the university.
• Most of our campus budgets are salaries and benefits. UC had $125 million in budget deferrals...
• As you know, we continue to work toward implementation of full merit salary steps.
• My salary lags behind that of the community colleges, K-12, and the UC.

Summary: The subcommittee heard opening remarks and updates from UC President James Milliken and CSU Chancellor Mildred Garcia on the state of higher education, including federal funding losses, civil rights/Title IX compliance, enrollment, housing, and budget needs. Both leaders emphasized the value of UC and CSU to California’s workforce, research, and economic mobility, while warning that federal grant cancellations, investigations, and changes to student aid are creating major financial and operational strain. UC reported losing or having at risk more than 1,600 grants and over $1 billion in research activity, while CSU said it had lost more than 200 grants totaling about $161 million, including minority-serving institution grants that affected student support programs. Both systems said they are investing in civil rights services and trying to limit the release of personally identifiable information in response to federal requests. The committee then reviewed the higher education student housing grant program. Finance and Legislative Analyst’s Office staff said the governor’s budget does not include major new changes but continues support for the program. CSU reported 12 approved projects that will add about 5,047 beds, with roughly 75% below market rate, and said it has about 68,000 beds systemwide, a 92% occupancy rate, and ongoing housing insecurity among students. UC said its housing projects have added more than 7,000 beds when reduced-rent and regular-rent units are combined, but nearly 10,000 students were on housing wait lists at the start of fall 2025. Both systems described rapid rehousing efforts, emergency beds, and partnerships with community colleges, and UC noted several joint housing projects, including at Riverside, Merced, and Santa Cruz. Members discussed whether future housing bonds and use of surplus school sites could help expand capacity. In the enrollment section, the LAO recommended maintaining UC’s 2026-27 resident undergraduate target, funding enrollment growth separately from base increases, pausing the nonresident reduction plan at the three highest-demand UC campuses, and holding UC enrollment flat in 2027-28. For CSU, the LAO recommended revising the 2026-27 enrollment expectation downward to reflect updated projections, while also funding enrollment growth separately and holding enrollment flat in 2027-28. CSU said it has rebounded from pandemic-era declines, is above its funded target by about 3,000 FTE, and is shifting about $89 million and 10,000 FTE from lower-demand campuses to higher-demand ones while developing turnaround plans for seven campuses with sustained enrollment declines, including Sonoma State. UC said it has already exceeded its compact enrollment goals and is planning continued growth, but that sustaining it depends on ongoing state support. Members raised concerns about campus-specific enrollment declines, nonresident caps at UC San Diego, and the need for stronger turnaround plans and teacher preparation pathways. The final section covered core operations and deferred payments: Finance said the governor proposes another one-year deferral of about $129.7 million for UC and $143.8 million for CSU, and the LAO recommended retiring the deferrals when one-time funds are available. CSU described rising compensation, financial aid, utilities, insurance, and deferred maintenance costs, and said it is pursuing cost-saving measures such as procurement alignment, campus integration, and shared administrative services.

Transcript Highlights:

• The increase is essentially for salaries.
• Their salaries are higher.
• That's to move to a new salary schedule that I believe Director Tedro spoke about.
• We are making adjustments today to move it down to seven days.
• This is to cover all of our current salaries that we have right now.

Transcript Highlights:

• Details of salaries were not documented.
• Approved salaries were net of tax, and the payroll clerk and mayor's salaries were not properly authorized
• Details of salaries were not documented.
• Approved salaries were net of tax, and the payroll clerk and mayor's salaries were not properly authorized
• I do have resolutions for the salary.

Committee: All LEGISLATIVE JOINT AUDITING-COUNTIES AND MUNICIPALITIES

Transcript Highlights:

• So in order to pay our bills and catch up on our salaries, we took that money.
• and salaries.
• So in order to make, to pay our bills and catch up on our salaries, we took that money.
• bills and salaries.
• And I assume that all the elected officials are also paid a salary, is that correct?

Committee: All LEGISLATIVE JOINT AUDITING-COUNTIES AND MUNICIPALITIES

Summary: The committee approved the prior minutes and then received a series of audit and compliance updates. Staff reported on delinquent private water and sewer reports, delinquent 2013-2023 water reports, and several municipal accounting code noncompliance cases. Denning and Gum Springs were recommended to be removed from the 60-day clock after staff visits showed improved records, while Fargo, Lead Hill, Almy, Jericho, Haynes, Biggers, Gilmore, and Holly Grove were discussed for repeat findings involving missing audits, poor bookkeeping, unpaid or misapplied street funds, deficit balances, and other accounting deficiencies. Several of these entities were given additional time or had reports filed without objection, while others were deferred for later review. Fargo’s mayor said the town had been understaffed and was working to improve its accounting systems; the committee voted to defer the matter to the August meeting. Lead Hill’s mayor described efforts to complete overdue water audits and improve office procedures, and the committee also postponed action for 60 days. Almy’s mayor and recorder-treasurer were present, and the committee placed the town on the 60-day clock for repeat accounting issues. Biggers and Gilmore both acknowledged long-running audit problems and said they were working with auditors and the IRS; their reports were filed. Holly Grove’s treasurer said she had only recently taken the position, and that report was filed as well. The committee spent considerable time on the street-fund misuse cases for Jericho and Haynes. Jericho was found to have exceeded the statutory threshold tied to fines and costs, with staff noting the town had since become current on its repayment plan; the committee deferred the report to September. Haynes was also behind on its repayment plan for street funds, with staff saying the town had recently made up the shortfall and was current as of the meeting, but the committee still deferred the report to September. Members and staff also discussed how the speed-trap law is applied, whether certain fines and costs count toward the threshold, and the role of the prosecuting attorney in deciding whether to take further action. The committee then reviewed a special report on the Pulaski County Regional Solid Waste Management District, which had six findings involving board approval of payroll and contracts, credit card documentation, vehicle and cell phone use, competitive bidding, electronic funds controls, and unusually high advertising spending. District Director Craig Douglas said the board had delegated some authority, that receipts were missing during a temporary staffing gap, and that advertising was needed to educate the public; he also defended the sale of trailers and other equipment as a way to exit the trailer business. Several members questioned the explanations and the low resale value of equipment, but the committee ultimately deferred the report to September. The meeting also included a recognition of accounting students interning with audit staff and a final set of actions on deferred water and sewer reports: 11 were filed, seven were deferred for lack of proper responses, and a private report on Shannon Hills Water, Sewer, and Fire Department was noted as involving misappropriation by an office manager and inadequate internal controls.

Transcript Highlights:

• c><01:03:40.880><c> match</c><01:03:41.039><c> the</c> adjust the statute to match the adjust the statute
• It's, um, handling or adjusting claims.
• So you kind of act as if you would adjust, but it doesn't actually include the adjustment.
• </c> Hampshire still requires 200 adjustments Hampshire still requires 200 adjustments before<04:17:46.479
• </c> 200 adjustments. Yes. 200 adjustments. Yes.

Committee: House Executive Departments and Administration

Transcript Highlights:

• I request an amendment to SB 131, specifically ask for the adjustment of the housing first provision.
• This bill implements negotiated and agreed upon general salary and benefits adjustments, as well as negotiated
• So they're already getting a salary increase each year based on the step structure.
• What we're giving across the board is an additional salary increase at taxpayer's expense.
• This bill implements general salary and benefit adjustments, as well as personal leave programs for this

Transcript Highlights:

• Made one adjustment amendment to recognize we're transferring $600,000 from that previously mentioned
• ><c> to</c> Made one adjustment amendment to Made one adjustment amendment to recognize<00:41:15.720>
• And it's largely driven by salaries and benefits. Ask for an I vote.
• And it's largely driven by salaries and benefits. Ask for an I vote.
• And it's largely driven by salaries and benefits. Ask for an I vote.

Transcript Highlights:

• all of the states that they have been provisionally selected across the country, wanting certain adjustments
• The department requests transferring $229,000 from the project development fund to cover salary and match
• Fourteen agencies request $3.8 million in pay plan appropriation for regular salaries and match.
• Most cite the salary adjustments that came from implementation of the pay plan within the Department
• Through a process, we adjusted them to be part of the new program, or we ended programs or whatever we

Committee: All ALC-PEER

Summary: The committee met with a quorum, opened with a prayer recognizing the death of Reverend Jesse Jackson, and then worked through a series of appropriation and transfer requests. In Section B, it approved a $273,000 temporary appropriation for the Department of Labor and Licensing. In Section C, it approved two Infrastructure Investment and Jobs Act requests: $280 million for the Department of Transportation and $195 million for the State Broadband Office to support Arkansas BEAD broadband grants, including an extra help position. Members questioned the broadband awards, provider amendments, buildout timelines, accountability, and the status of unawarded locations; the broadband director said no provider had requested speed changes, awards would be monitored with milestone-based payments, and remaining locations would be addressed later as federal guidance is received. The committee also approved transfers in Section D, including $458,000 for the Department of Correction, $25 million for Department of Education programs such as declining enrollment and teacher incentive funding, and $229,000 for Shared Administrative Services project management support. In Section E, the committee considered a $4.7 million budget stabilization trust fund loan for the Office of State Technology to implement ServiceNow and related IT modernization, cybersecurity, and governance tools. Members pressed agency officials on repayment, cost savings, and whether the loan would simply roll over existing costs; officials said repayment would come through agency rates over a five-year period and that the new payment would be lower than the current loan being retired. The committee voted to give favorable advice to the Governor on the loan request. In Section F, the committee reviewed cash fund requests for wage and hour claims, unclaimed property, and a heritage grant; in Section G, it reviewed a $1.1 million federal grant to expand college and career coaching in rural districts; in Section H, it reviewed pay plan and performance fund requests totaling millions across multiple agencies; and in Section I, it reviewed budget manual formatting changes. The latter part of the meeting focused on reports, especially the Medicaid trust fund. DHS and DFA officials reported the fund balance had declined from prior years and was down to about $394 million after seven months, with further decline expected by year-end. Senators and representatives asked about the appropriate reserve level, the impact of pending Medicaid rules and legislation, FMAP changes, and whether additional funding would be needed in the upcoming budget. Officials said projections are updated regularly, more than 10 rule packages remain pending with CMS, and the governor and legislative leaders will discuss additional capital needs during budget development. Members also discussed the importance of balancing Medicaid spending with new federal funding and maintaining flexibility for critical areas such as labor and delivery. The committee then adjourned without further action on the reports.

Transcript Highlights:

• </c> any adjustments. any adjustments.
• So this dark blue bottom portion is 75%, and that's really your salaries and benefits.
• So,<00:12:00.959><c> salaries</c><00:12:01.360><c> and</c><00:12:01.600><c> benefits</c><00:12:02.079
• ><c> for</c><00:12:02.399><c> positions</c> So, salaries and benefits for positions So, salaries and
• </c><00:12:24.880><c> and</c> and that's really your salaries and and that's really your salaries and

Transcript Highlights:

• Our forthcoming study finds that higher teacher turnover is associated with lower district salaries,
• Salaries are not keeping up with inflation, and yet we are the ones who are guilted into doing it for
• I know we've made adjustments to some where we... ...to you.
• So that’s their salary minus the cost of a substitute.
• So that’s their salary minus the cost of a substitute.

Transcript Highlights:

• Our forthcoming study finds that higher teacher turnover is associated with lower district salaries,
• Salaries are not keeping up with inflation, and yet we are the ones who are guilted into doing it for
• I know we've made adjustments to some where we... ...to you.
• So that's their salary minus the cost of a substitute.
• So that's their salary minus the cost of a substitute.

Summary: The committee heard an informational discussion on California’s educator pipeline and shortages, with testimony from the Legislative Analyst’s Office, the Commission on Teacher Credentialing, the Learning Policy Institute, CSU educator preparation leaders, and CTA. Witnesses said state investments of more than $2.1 billion have helped rebuild teacher supply, with credential issuance and preparation enrollment rebounding after COVID, but demand remains high because of turnover, early-career attrition, and persistent vacancies. Panelists emphasized that shortages are especially acute in special education, bilingual education, STEM, and in high-need schools and regions, and that underprepared teachers, substitutes, and emergency permits remain heavily used. Several speakers stressed that retention, working conditions, compensation, and stable funding are as important as recruitment. Members focused on whether current data systems are sufficient to measure need and track where teachers end up working. The Commission said it can monitor assignments for credential alignment, but does not have full employment data to determine whether grant recipients or credentialed teachers are actually deployed in the shortage areas for which they were trained. The chair asked for better regional and subject-area data, and the committee discussed the risk that layoffs and budget instability could undermine teacher pipeline investments. CSU representatives urged stronger support for student-teacher stipends, better coordination with districts, more capacity for special education preparation, and more stable CSU funding to expand educator preparation. CTA testified that school climate, class size, health benefits, and administrative support are essential to retaining teachers. The committee then moved to budget proposals. For the Golden State Teacher Grant Program, Finance proposed a $14.4 million reappropriation for 2026-27, and the Student Aid Commission supported continued funding, saying the program has influenced candidates’ decisions to enter teaching and work in priority schools. For educator residencies, Finance proposed $250 million one-time Proposition 98 funding through 2029-30; the LAO said it could be adopted if aligned with legislative priorities, and CTC said the program has strong uptake and supports retention. For the computer science supplementary authorization grant, Finance proposed increasing awards from $2,500 to $6,000 and reducing the match requirement, but the LAO recommended rejecting the change because only about one-fifth of the original funding has been used. The committee also discussed registered apprenticeship pathways, rural access, and whether federal Title II, Title III, or IDEA funds could support bilingual and special education teacher preparation. Several items were held open for further information and follow-up.

Transcript Highlights:

• I will say that our state appropriation funds are salaries.
• In the beginning on page 24, well, 23, really, it gives you some in the salaries that were the salaries
• So if we're talking about raising the salary...
• Yeah, I'm going to ask some questions about senator salaries and then tied to that representative salaries
• So the first one, we have the representative salaries.

Summary: The committee first heard the Office of State Treasurer’s FY27 budget presentation from Treasurer Vivek Malik. He highlighted record investment earnings, growth in MOBUCK$ linked deposits, record unclaimed property returns, expansion of the MOST 529 plan, and changes to the MoABLE disability savings program. Members then focused heavily on two budget requests: $750,000 for the Show Me My Retirement Savings program and additional spending authority for the Missouri Empowerment Scholarship Accounts (MOST Scholars) program, along with a staffing request for compliance and communications positions. Much of the discussion centered on MOST Scholars’ rapid growth, how applications are prioritized, whether income is reverified, how funds flow through educational assistance organizations, and concerns about marketing, geographic distribution, and the use of public dollars for private schools. The treasurer also answered questions about the 529 plan, the pending lawsuit over the ESA general-revenue transfer, and whether funds should be swept back to general revenue when unused. Several members raised policy objections to MOST Scholars, including concerns about discrimination by participating private schools, the lack of annual income requalification, and whether the program shifts money away from public education. Other members defended the program as a parent-driven choice option and asked about expanding access, improving outreach, and ensuring the program is fully funded. The treasurer said the office was following the statute as written, that the program’s demand could exceed available resources, and that the office would continue to seek more funding and better outreach. The committee then concluded the treasurer’s budget hearing. The committee next began the FY27 budget hearing for the Department of Higher Education and Workforce Development. Commissioner Bennett Boggs introduced the department’s leadership team and gave a brief overview of the department’s role in aligning postsecondary education with workforce needs through its coordinating board and strategic planning. The hearing had just started when the transcript ended, and no votes or final actions were taken in the portion provided.

Transcript Highlights:

• Um, obviously their salaries are up.
• That's their their salaries are up. That's their biggest<00:25:17.600><c> concern.
• So it's the largest part salary budget.
• So, the other aspect too is salaries and benefits of positions that were vacant.
• </c><00:39:21.920><c> benefits</c><00:39:22.240><c> of</c> too is salaries and benefits of too is salaries

Committee: Senate Election Law and Municipal Affairs

Transcript Highlights:

• </c> make those county specific adjustments. make those county specific adjustments.
• Unfortunately, when it was transferred over, there was a salary deficit in the salaries.
• These are federal funds adjustment adjustments, two of them.
• </c> These are federal funds adjustment These are federal funds adjustment adjustments,<01:53:58.520>
• No, the 402 adjustment. 402 adjustment.