Transcript Highlights:

• , I know there's some new members on the select committee, and so I just want to provide some high-level
• was legislation passed a couple of years ago that, well, first, a little before that on the federal level
• , there was a change that made it so that tribes, Well, first, before that, on the federal level, there
• The disability boards are set up at the city and county levels.
• But in reality, most of the issues that we study just don't rise to that level.

Committee: Joint Select Committee on Pension Policy

Summary: The Select Committee on Pension Policy approved the June minutes by roll call vote, with 11 ayes and 6 excused. The chair then outlined meeting procedures and public comment rules before educational briefings began. Lisa Wan of the Office of the State Actuary gave the agency’s annual update, describing its staffing, clients, strategic plan, and performance measures. She noted the office is a small nonpartisan legislative agency that provides actuarial valuations, fiscal notes, policy analysis, and support for multiple retirement systems and boards, and said the office faces a heavy workload in 2025 because of the demographic experience study and other recurring projects. Jacob White provided the annual LEOFF 2 Board update, covering the board’s structure, plan demographics, funded status, contribution rates, and several policy topics under review. Those topics included a Seattle overtime/pension spiking review, catastrophic disability survivor benefits, retiree return-to-work employer contributions, and the change in interest credited to member accounts. He said the board would continue coordinating with DRS and report back through interim updates. Erin Gutierrez presented background for the LEOFF 1 study, explaining plan benefits, medical and death benefits, historic funding, and federal tax qualification issues. She compared Substitute House Bill 2034 and Substitute Senate Bill 5085, describing 2034 as a restatement/termination approach and 5085 as a merger into a Legacy Retirement Plan, both requiring IRS determination letters. Committee members asked questions about LEOFF 1 medical costs, funding sources, and tax implications, and public commenters urged the committee to protect tax qualification, consider a recurring COLA for PERS and TERS 1, and address pension policy concerns. The meeting ended with adjournment and notice of a 30-minute break before executive session.

Transcript Highlights:

• We're prescribing folks to work below the federal poverty level. And that's supposed to be okay.
• As a state, we deserve to have all of our citizens making a salary above the federal poverty level.
• We the Our citizens making a salary above the federal poverty level. We deserve that.
• There will be difficult choices, there will be pain, there will be discomfort at all levels, but...
• There will be discomfort at all levels. But we will meet in the middle.

Summary: The Senate convened with prayer and the Pledge of Allegiance, then received committee reports from Banking and Insurance and Judiciary. Several leaves of absence were granted, and the chamber took up calendar and procedural motions, including re-referrals and tabling actions on multiple bills. House Bill 1102 and Senate Bill 911 were re-referred to Appropriations, House Bill 96 and Senate Bill 599 were briefly laid on the table and then returned to the calendar, and House Bill 2400 and Senate Bill 746 were also sent to Appropriations. The Senate later agreed to consider a discharge-related motion on minimum wage, but the motion to make it a special order of business failed by a vote of 23-27. On final passage, Senate Bill 1182 passed 50-0 after Senator Boscola described it as a modernization of the Board of Vehicles Act to address software-based vehicle features, warranty reimbursement, data protections, loaner vehicles, and related dealer/manufacturer issues; she noted amendments had been adopted to address stakeholder concerns. Senate Bill 1334 also passed, 29-21, after the Senate rejected Amendment A44049, which would have exempted certain cardiology technicians from licensing requirements if credentialed and supervised; supporters argued the exemption reflected existing practice and credentialing, while opponents said the bill was needed for patient safety and consistent oversight. Senate Bill 1372 passed 50-0, and House Bill 2426 was re-referred to Appropriations. The latter part of the session focused heavily on minimum wage and budget timing. Senators Tartaglione, Hughes, and Costa argued Pennsylvania had gone 20 years without raising the minimum wage and urged action on a House-passed minimum wage measure, while Senator Pittman said Republicans were willing to “meet in the middle” but opposed the House proposal as written. Members also discussed the state budget, the rainy day fund, and whether the Senate should remain in session; after debate, Senator Pittman’s motion to recess to the call of the President pro tempore was adopted 27-23, and the Senate stood in recess.

Transcript Highlights:

• somewhere else because it's economically advantageous to you as a retiree, and so we want to sort of level
• tax year 2025, along with the federal SALT cap, negotiations are currently ongoing at the federal level
• You can't necessarily speculate as to what that extension at the federal level might look like, or...
• Well, so now we'll hire them as our level is.
• It's called Business Taxes Representative, which is one of our entry-level qualifications.

Transcript Highlights:

• There's no reallocation of revenue at the local level.
• There's no reallocation of revenue at the local level.
• My debate was leveled.
• The state compelling interest, which is at a review level of strict scrutiny, meaning the highest level
• That's 852 undergrads and 29 at the graduate level.

Transcript Highlights:

• last year's hearing, we heard from an array of fiscal experts that the state needed to build greater levels
• ACA 20 the following: Proposition 98 was enacted by the voters in 1988 to provide a minimum funding level
• And I've been speaking a lot with other caucus members and budgetary professionals.

Summary: The Assembly Budget Subcommittee on Accountability and Oversight heard ACA 20, the Safe for California Futures Act, a constitutional amendment to strengthen the state’s Budget Stabilization Account (rainy day fund). The authors, Assembly Members Gabriel and Valencia, said the measure would raise the reserve cap from 10% to 20% of General Fund revenues, change how reserve deposits are treated under the Gann limit so deposits would not count against the spending cap until withdrawn, and update eligible debt repayments to include items such as budget loans, Proposition 98 settle-up obligations, and unemployment insurance debt. They emphasized that the proposal was intended to protect schools and core public services and to help California better withstand revenue volatility and future downturns. Committee discussion focused heavily on the technical effects of the measure, especially its interaction with Proposition 98 and the Gann limit. LAO and Department of Finance staff explained that Prop. 98 funding would not be changed directly, that the reserve deposits would be treated as exclusions from the appropriations limit, and that withdrawals would count when spent. Members asked about current reserve levels, mandatory deposits, and whether the measure would create more room for discretionary spending; supporters argued it would simply allow the state to save more in good years, while one member expressed concern that it could function as a slush fund and expand spending opportunities. Several members cited recent budget volatility, record revenues, and the need for stronger reserves, while others stressed that the measure should be understood as a future-oriented savings reform rather than a response to this year’s budget choices. Public testimony was uniformly supportive. California Forward, Elevate California, and the California Chamber of Commerce all backed the proposal, with the Chamber noting support for the policy and highlighting the importance of addressing unemployment insurance debt for small businesses. The chair concluded by thanking the authors, staff, and witnesses, and said ACA 20 was expected to move to the Assembly floor the next day.

Transcript Highlights:

• So we thought we could talk to you in regards to how it's going to impact the county on a budgetary manner
• With our roles and responsibilities as a county, we really need to look at it at a money level, unfortunately
• Chair and committee members, we just thought it would be important that you could see on a local level

Bills: HB63 , HB64 , HB184 , HB200 , HB47 , HB48 , HB2 , HB9

Committee: Senate House Appropriations & Finance

Summary: The committee heard testimony on the expected impacts of House Bill 9 on private detention facilities and the surrounding counties and municipalities, focusing on Cibola County/Milan, Torrance County/Estancia, and Otero County. Corrections Secretary Alicia Lucero explained that the Corrections Department does not oversee the immigration detention facilities directly, but said the department could help displaced workers through hiring fairs and expedited hiring into state positions, and suggested possible alternative uses for the buildings such as behavioral health treatment, training campuses, or transitional living centers. She also noted that a memorial would task several state agencies and affected counties with exploring alternate uses and economic options, and that Workforce Solutions had scheduled job fairs in February for the affected communities. Local officials described major fiscal and community impacts. Cibola County and Milan said the loss of the facility would reduce gross receipts tax revenue, force service cuts, and potentially shrink the county budget substantially; they also warned that the village uses the detention population to support federal grant applications and industrial park development. Torrance County and Estancia said the closure would eliminate jobs, reduce GRT revenue that funds public safety, and require transporting prisoners to other facilities at much higher bed rates, with estimated annual impacts around $3 million. Otero County reported 284 jobs and $20.8 million in payroll at risk, along with about $3 million in annual GRT and a $68 million facility that could be foreclosed if bonds defaulted. Committee members pressed for more precise numbers, including employee counts, transport costs, current bed costs, and the total fiscal impact after accounting for existing contract payments. Several members emphasized that each facility and community is different and asked for separate, detailed plans, including short-term cost replacement and long-term economic diversification. There was discussion of possible hold-harmless assistance, emergency bill drafting, and coordination with Workforce Solutions, Economic Development, and higher education partners. No formal vote was taken; the chair directed staff and agencies to meet the next morning to continue developing an emergency response and requested more detailed information from the counties and the department.

Transcript Highlights:

• It requires high liquidity and a relatively moderate level of investment return.
• exists outside the general revenue fund, preventing competition from other funding sources. other budgetary
• Um, could you maybe, perhaps for the experts, talk about what the trauma fund levels are right now and

Bills: HB 104 , HB2054 , HB3459 , HB3745 , HB4486 , HB4488 , HB4601 , HB104

Committee: House Appropriations

Keywords: Texas Future Fund, investment review board, economic stabilization, innovative technology, national defense, HB 2054, Texas volunteer fire department assistance fund, Rural Volunteer Fire Department Assistance Program, volunteer fire departments, wildfire mitigation, wildland fire, rural fire protection, insurer assessment, insurance premium tax, state appropriations, firefighting grants, emergency services, high-risk wildfire areas, Texas Comptroller, Texas Government Code

Transcript Highlights:

• To start, so when you've got an R&D project with starting at that level of capex, it gets you a pretty
• We wanted to put something together because this is a 30-day limited budgetary session.
• Madam Chair and Minority Floor Leader, so when looking in the statute, basically at the state level and
• Basically, at the state level and in regard to property tax, we, the state, break down the different
• I really think there needs to be some kind of real study and some hearings at the local level about what

Committee: House House Commerce & Economic Development Committee

Transcript Highlights:

• We can go and actually meet the minimum qualifications for the lower-level classifications.
• So if you're in your collegiate career, you can come with different levels Of skills.
• And then turning to slide 10, this is just a broad-level category budget projection showing that with
• That was not included in either recommendation this year, and I can understand the budgetary reasons
• How many of them play out at the state level versus like the very local, like county commissions, city

Committee: House House Appropriations & Finance

Transcript Highlights:

• Within 24 hours of an arrest for a felony offense or a misdemeanor offense listed in level 2 background
• Low blood glucose by raising blood glucose levels for patient with diabetes.
• The standard set in 1999 of 150% of federal poverty level state, median income of 65%.
• Modifies the priority levels for the program to include to tears of income eligibility.
• We are absolutely working on the budgetary part of this. No question. There's a cost.

Transcript Highlights:

• One level of accountability. broken.
• </c> you talk about these district level you talk about these district level project<01:05:14.720><c>
• think what it's a level of confidence, right?
• </c><01:09:55.840><c> of</c> more money, but if there's a level of more money, but if there's a level
• So deal with it at the at their level.

Bills: HB1559 , HB2012 , HB2297 , HB2122 , HB2345 , HB2398 , HB2534 , HB2621

Committee: Senate Education

Keywords: telecommunication devices, student use, public schools, student engagement, educational outcomes, confiscation policy, mental health, statewide policy, community literacy, education, Title I funding, reading proficiency, underserved communities, family engagement, tutoring, literacy support, adult education, community education, literacy programs, workforce development

Transcript Highlights:

• </c> at a at a higher level at a at a higher level uh<01:05:03.200><c> on</c><01:05:03.359><c> the</c
• </c><01:21:57.920><c> they're</c> again at the federal level they're again at the federal level they're
• And they go down from there. falling levels. Um you can see the the falling levels.
• Not all states, but the majority of the states. number level. I'm because pessim or number level.
• </c><02:34:17.680><c> Um</c> the the budgetary side of things. Um the the budgetary side of things.

Summary: The meeting focused on reaching consensus on official Kentucky revenue estimates for fiscal years 2026 through 2028, using updated S&P Global economic forecasts compared with the September presentation. Staff explained that the updated forecast relied partly on alternative data because of the federal government shutdown, and they walked through changes in national and Kentucky economic assumptions across control, optimistic, and pessimistic scenarios. The control forecast was described as slightly more optimistic in the near term but more cautious in fiscal 2027 and 2028, with GDP growth revised up for the current year and down somewhat in the outer years. The pessimistic scenario now assumed a two-quarter recession beginning in the current quarter, while the optimistic scenario was given a higher probability weight than before. The presenters highlighted several Kentucky-relevant variables that changed since September, including weaker manufacturing employment, weaker housing starts, weaker consumer sentiment, and lower expected non-farm employment in fiscal 2026. At the same time, wage and salary disbursements were revised upward in fiscal 2027, reflecting higher disposable income from tax changes, and real consumer spending was expected to be stronger in the near term. They also discussed assumptions about tariffs, business profits, the Federal Reserve, unemployment, oil prices, retail sales, vehicle sales, exports, and consumer sentiment, noting that some indicators were little changed while others shifted materially. Consumer sentiment was attributed to affordability concerns, tariff impacts, and a general sense of malaise, but was expected to improve in later years from a low base. Members asked follow-up questions about why the forecast worsened in later years and about the consumer sentiment assumptions. Staff responded that the forecast assumed larger take-home pay and refunds from tax withholding changes, along with some easing of tariff effects, which they believed would help offset a negative wealth effect from stock market declines. They also noted that S&P Global’s December forecast, which had already been published, was essentially consistent with the presentation and that the firm believed its earlier assumptions had tracked recent data well. No vote or final action was recorded in the portion provided, but the discussion was aimed at settling the revenue estimates that will underpin the upcoming branch budget bills.

Transcript Highlights:

• </c><00:01:32.240><c> issues</c> the issues especially budgetary issues the issues especially budgetary
• You can see here about 90% of the budget is on our district public defense level.
• Another 6% is on our appellate level.
• </c> Defense level Defense level uh<00:59:57.160><c> another</c><00:59:57.520><c> 6%</c><00:59:58.119
• ><c> you</c> uh another 6% on our pallet level you uh another 6% on our pallet level you are<01:00:00.280

Committee: Senate Judiciary and Public Safety

Transcript Highlights:

• This is due to processing delays at the federal level.
• There are different levels of a bond. That's a conversation over here.
• Item 10 is to continue the FTE cap at the 2425 biennium levels.
• Staffing levels have not reached the pre-2011 levels.
• In alignment with the agency's base level request.

Bills: SB1 , SB 1

Committee: Senate Finance

Transcript Highlights:

• And at one point, we were delivering math instruction digitally at all levels.
• We started teaching and practicing cursive at the elementary level.
• We started teaching and practicing cursive at the elementary level.
• So please, we need to consider the budgetary consequences of the policies that we're moving forward.
• So if you have a student who cannot read at a fourth grade level, maybe it's because of vocabulary or

Committee: House Joint Committee on Education

Summary: The Joint Committee on Education heard testimony focused on the effects of educational technology and screen time on K-12 students, with particular attention to House Bill 2230 and related policy changes. Dr. Mariam Mohamed Connie argued that one-to-one devices, digital instruction, and early screen exposure harm children’s learning, attention, physical development, and mental health, and that schools should return to more analog methods such as paper, handwriting, cursive, phonics, and print-based materials. She cited international and national assessments, research on handwriting versus typing, and her experience on the Springfield Public Schools board, saying the district saw improved MAP scores after scaling back Chromebook use in elementary grades and reintroducing books and cursive. Several witnesses and committee members discussed the practical and budgetary implications of reducing screen use. A Springfield administrator said many teachers were trained in technology-heavy environments and would need support to teach without relying on devices, and she estimated Chromebooks and related infrastructure cost more per student than textbooks, manipulatives, and paper. Another witness from the Missouri National Education Association supported the bill’s direction, saying elementary years are critical and that the state should signal a move away from overuse of screens while allowing districts time to adjust. Committee members emphasized local control, the need for a task force, and the importance of involving DESE because state testing and standards currently drive much of the digital use in schools. The discussion also covered Missouri Learning Standards, computer science requirements, and the tension between digital testing and classroom instruction. Speakers criticized the fact that MAP testing is digital and adaptive, arguing it forces schools to keep devices in elementary grades just to prepare students for state assessments. The chair and other members said the bill was intentionally nonprescriptive, aiming instead to create a task force and encourage local districts to develop screen-time policies, especially for elementary students. The hearing ended without a vote, and the committee adjourned after public comment.

Transcript Highlights:

• Additionally, it includes $30 million to the Florida College System to raise per student funding levels
• However, the distribution formula is changing under your bill, eliminating the base level per district
• The formula is changing under your bill, eliminating the base level per district in the bill.
• Members, the amendment clarifies the budgetary process for this bill.
• So it is not coming out on a level surface, meaning I could break my ramp.

Transcript Highlights:

• We have to draw this line: where is the appropriate level?
• We have to draw this line: where is the appropriate level?
• That's a level of detail that only...
• Um, that's a level of risk you wouldn't want to retain as a business of that size.
• That's a level of risk you wouldn't want to retain as a business of that size.

Summary: The subcommittee first reviewed its schedule, noting that 13 bills were being executed the next day and that additional subcommittee work would be scheduled around Town Meeting Day and the following session days. The chair explained that the committee would not meet on Town Meeting Day, would handle the remaining bills on the next available subcommittee day, and would continue any unfinished items later in the month. The committee then took up House Bill 774, which concerned Medicare-related coverage issues. Members discussed the bill’s purpose and the differences between Medicare standard and Medicare Advantage, with one member saying the proposal was informative but did not offer a workable solution. The committee also moved to inexpedient to legislate on House Bill 185, and the motion passed on a 6-0 vote. House Bill 241, relating to alternatives to opioids, was retained for further work. Members said the bill raised concerns about insurers effectively practicing medicine and about the lack of evidence on the efficacy of some alternative treatments, while also noting that chiropractic coverage mandates already exist in statute. The committee voted to retain the bill, with the motion passing 6-0. The most extended discussion was on House Bill 648, which would expand insurance coverage for glucose monitoring. Testimony and committee comments focused on whether coverage should be tied to insulin use or instead to a physician’s medical judgment, the role of continuous glucose monitoring for people with type 2 diabetes who are not on insulin, and the potential cost impact. An insurance department fiscal analyst said the original $22-per-member estimate was based on the unamended bill and that the amended version would require updated analysis; members agreed to retain the bill to narrow the eligible population and revisit the language later.

Transcript Highlights:

• , at the county level.
• , at the county level.
• , at the county level.
• , at the county level.
• Um so that's pretty federal level.

Committee: House Health, Human Services and Elderly Affairs

Transcript Highlights:

• county, such as hiring and managing library employees, meeting with the library board to discuss budgetary

Committee: All LEGISLATIVE JOINT AUDITING

Transcript Highlights:

• at the state level.
• If you don't include those budget solutions, the revised spending level is actually much higher.
• I'm the level. Hi, my name is Alexa from Rocklin, and I highly oppose the asset limit.
• Every single provider will see an increase or will see a specific level of increase.
• This creates a budgetary challenge because Prop. 56 revenues have decreased.

Summary: The Assembly Budget Subcommittee on Health held the first of several hearings on the Governor’s May Revision for health care, with opening remarks focused on the state’s projected $12 billion deficit, looming federal Medicaid changes, and the potential impact on Medi-Cal, public health, reproductive health, and safety-net providers. Several members criticized the proposal as balancing the budget on vulnerable Californians, while others defended the need for cost containment and questioned the administration’s assumptions. The chair set ground rules for respectful, focused questioning and outlined three topics: the Medi-Cal proposals, Proposition 35, and Proposition 56. DHCS Director Michelle Baas presented the May Revision’s Medi-Cal package, saying the department’s budget totals $200.6 billion overall, including $45.2 billion General Fund, and that the proposals are intended to address rising caseloads, pharmacy costs, and managed care spending. She described proposed changes for adults with unsatisfactory immigration status, including a freeze on new full-scope enrollment for those 19 and older, $100 monthly premiums beginning in 2027, elimination of adult dental and long-term care coverage, removal of PPS/RAP payments to FQHCs and rural health clinics for that population, and a pharmacy rebate aggregator. Other proposals included eliminating certain OTC drug classes, removing GLP-1 coverage for weight loss, prior authorization and step therapy changes, reinstating the Medi-Cal asset test, eliminating acupuncture as an optional benefit, allowing utilization management for hospice, raising the managed care minimum medical loss ratio to 90%, reducing PACE capitation rates toward the midpoint of the actuarial range, eliminating the skilled nursing facility workforce and quality incentive program, and suspending the SNF backup power requirement. The LAO said the revised Medi-Cal spending estimate is about $2.5 billion higher than the Governor’s Budget in the budget year, and that the increase appears driven more by higher per-enrollee costs than by caseload alone. The LAO said the budget solutions are concentrated in a few areas, are largely ongoing, and should be considered in light of federal uncertainty, but suggested the Legislature could explore alternatives such as more targeted income thresholds for the undocumented expansion and simpler asset-test rules. Department of Finance officials said the proposals are difficult but necessary to address a third consecutive deficit and rising Medi-Cal costs. Members then pressed the administration on the methodology and impacts of the proposals, especially the enrollment freeze, premiums, asset test, hospice controls, PACE reductions, and the elimination of benefits and provider payments. No votes or formal actions were taken at this hearing.