Transcript Highlights:

• Some of the things that we're looking at are claims that have been billed in the last 30 days and 90
• The next several slides speak to the Medicaid population forecast adjustment, and They're broken out
• So as Medicare rates change up or down, we have to adjust our Medicaid budget accordingly.
• So those are all adjustments that are captured in this part of the forecast.
• This is now using our forecast and then adjusting that forward for an entire state fiscal year.

Summary: The Senate Health and Welfare Committee approved the January 26 and January 27, 2026 minutes, then took up the gubernatorial appointment of Juliet Sharon as director of the Idaho Department of Health and Welfare. Sharon described her background in public health and Medicaid administration in Arizona, Texas, and Idaho, and outlined her priorities if confirmed: program integrity, efficient operations, clearer outcome measures, child welfare, disability services, and resolving long-running class action lawsuits. Senators asked about measurable goals, balancing compassion with fiscal responsibility, audit findings, and collaboration with the disability community. Sharon said she expects to more than double program integrity recoveries, that audit findings are being addressed through corrective action plans rather than firings, and that disability collaboration should be embedded in daily operations. Committee members also discussed Idaho’s influence on federal policy and Medicaid administration. No vote on the appointment was taken in the portion provided. The committee then heard a lengthy Medicaid budget presentation focused on the Department’s supplemental request for state fiscal year 2026 and line-item requests for 2027. Sharon and Deputy Director/State Medicaid Director Sasha O’Connell explained that the supplemental request was driven by caseload growth, especially in traditional Medicaid, adult disability services, and youth/adult behavioral health, along with federally required rate and system changes. They also reviewed the impact of the governor-directed 4% provider rate reduction and the ending of some adult behavioral health services, saying the department had already been tracking budget sustainability before the executive order. O’Connell said the rate cuts drew the most public comment the agency has ever received, especially from home- and community-based providers, and that access monitoring is being developed to track whether services remain available. For 2027, the department requested funding for MMIS procurement, estate recovery, additional procurement staff, Medicaid admin reductions, and population forecast adjustments. Sharon said the MMIS modernization is on pause because of litigation over a major contract award, but other modules are moving forward. She also said estate recovery is underperforming and could bring in more general funds with contractor support. The committee discussed pharmacy costs and a possible Medicaid copay under House Bill 345, with Sharon saying implementation is underway and O’Connell noting savings estimates are still being developed. Senators also asked about expansion Medicaid growth and whether it affects other eligibility groups; Sharon said expansion growth is leveling off and that recovery rules apply to any Medicaid member receiving long-term care services. The meeting ended without any budget votes in the excerpt provided.

Transcript Highlights:

• In the exemption that may be claimed by any veteran or veteran surviving spouse.
• In future years, the hundred thousand dollar exemption will be adjusted for inflation.
• How is it adjusted for inflation in that way?
• Chair, are property taxes today adjusted? Is it based on market valuation or CPI? Mr.
• Chair, you said that other taxes are also adjusted for CPI.

Transcript Highlights:

• made through budget amendments and back-of-bill adjustments.
• It's a 53 percent increase in the number of claims we've processed over that time.
• claims.
• We enjoy that fight, and we self-monitor ourselves on that timeliness of claims.
• That's added to the number of claims we're able to process.

Summary: The Appropriations Committee on Health and Human Services heard a base budget overview for the 2025-26 fiscal year, which was presented as a $46.8 billion starting point for the silo. Staff explained that HHS accounts for about half of the state base budget and roughly 36% of general revenue, with AHCA and Medicaid making up the largest share. The committee then reviewed the PACE program for the elderly, including its eligibility, service model, growth in applications, slot funding and reversions, and the agency’s plan to move from the federal three-way agreement to a more detailed two-party contract to improve accountability, transparency, and reporting. Members raised concerns about unfilled slots, reversions, rural access, and the need for clearer return-on-investment data; the agency said it would follow up on some of those questions. The committee also heard from the Agency for Persons with Disabilities on its statewide dental program. APD described its history of appropriations, the failed January 2024 solicitation, and a new up-to-$11.5 million solicitation focused on preventive care, community partnerships, teledentistry, and coordination with other services. Members questioned overlap with Medicaid dental coverage, the effect of Medicaid unwinding on APD clients, and whether state dollars were duplicating federally supported services; APD said it tries to act as payer of last resort and that services would continue during procurement. Public testimony from an APD stakeholder and the Florida Dental Association emphasized Medicaid eligibility problems for waiver recipients, low reimbursement rates, limited access to anesthesia and hospital-based dental care, and concerns that proposed Medicaid changes could reduce access for special-needs patients. The Department of Veterans’ Affairs then presented on state veterans service officers and benefits assistance. FDVA highlighted its role in helping veterans access federal benefits, reporting about $27.9 billion in federal dollars flowing into Florida and a high return on state investment. The department said it has increased outreach, claims processing, and services, and has trained staff to identify mental health concerns through its Overwatch program. In response to questions, FDVA discussed plans to expand adult day health care at a new veterans nursing home and possibly at existing locations with additional state funding. At the end of the meeting, the committee completed its presentations and adjourned without objection.

Transcript Highlights:

• YDC claims.
• </c> continue to issue resolved claims continue to issue resolved claims pursuant<00:33:00.000><c> to
• .<00:37:08.160><c> Does</c> claims.
• Does claims.
• </c><00:38:15.520><c> that</c> days to get those pending claims that days to get those pending claims

Keywords: 1191, senate, all

Transcript Highlights:

• So trying to adjust for tax policy changes in the current fiscal year is extremely challenging, as you
• So it gives us an opportunity to adjust and make the appropriate adjustments to our current-year budget
• Typically, you are able to claim state and local taxes as a deduction on your federal return.
• entity for claiming federal deductions on that 4% as well as the 5%. ...as well as the 5%.
• And those national profits get adjusted by the kinds of deductions that they can take.

Summary: The Joint Committee on Revenue held a public hearing on H. 4975, Governor Healey’s bill to manage the impact of federal tax changes from the One Big Beautiful Bill Act (OB3) on Massachusetts. Secretary of Administration and Finance Matt Gorowitz said the bill would phase in selected corporate tax changes over time, avoid a $442 million FY26 revenue hit, preserve the current-year budget, and add a few related changes, including expanding the pass-through entity excise to income subject to the 4% surtax, delaying large federal tax changes over $20 million by one year, limiting opportunity zone benefits to Massachusetts investments, adjusting DFML contributions to match IRS guidance, and aligning casino slot-winnings reporting thresholds with federal law. Committee members questioned the administration about why it chose phased conformity rather than full decoupling, the effect on the budget if the bill does not pass, the purpose of the pass-through entity change, opportunity zones, and the slot-machine threshold and family leave provisions. Public testimony was sharply divided. MassBudget, Progressive Massachusetts, and Don Griswold of the Center on Budget and Policy Priorities urged the committee to go further and permanently decouple from the five most costly OB3 corporate tax provisions, arguing that automatic conformity is fiscally risky, rewards investment outside Massachusetts, and has already caused or could cause large revenue losses. Labor and public-sector witnesses, including leaders from the Massachusetts Teachers Association, AFT Massachusetts, SEIU 509, the Massachusetts AFL-CIO, and building trades unions, also called for permanent decoupling, warning that the federal law will deepen state budget pressures, harm schools, health care, human services, and infrastructure, and shift costs onto workers and public programs. Several speakers said Massachusetts should not adopt federal corporate tax cuts that mainly benefit wealthy individuals and corporations. Other testimony focused on specific provisions. Unite Here Local 26 asked the committee to strike the casino slot-winnings threshold change from $1,200 to $2,000, saying the current limit helps identify problem gambling, creates an opportunity for intervention, and supports union jobs. The Massachusetts Society of CPAs supported the administration’s phased approach, especially the research and experimental expense deduction, citing the importance of certainty for business filers and Massachusetts’ strong R&D economy. Greater Boston Legal Services testified on the paid family and medical leave sections, explaining that the bill’s changes would align PFML payroll contributions with new IRS guidance and, if paired with administrative action, would be cost-neutral for workers and employers. No votes were taken during the hearing.

Transcript Highlights:

• Relevant to tie the $500,000 to CPI, so that will automatically adjust.
• application, there's no process available, and we're the... ...claim application, there's no process
• Therefore, a claim could prove satisfactory proof of entitlement...
• entity that takes that claim has no guideline on when that should be paid out.
• I don't know that it would only be one year because we're not adjusting any of the other funding that

Keywords: 959, house, all

Transcript Highlights:

• When you process the claims and look at the claims, is there a mechanism within your risk management
• When you process the claims and look at the claims, is there a mechanism within your risk management
• For larger claims, they do take legal action.
• Those claims have to be closed if there is no one to pursue.
• They have established a claim with that carrier as well.

Summary: The committee received a detailed staff presentation on Washington State Ferries’ capital needs, current fleet status, and long-range funding outlook. Staff described the current service pattern, ridership recovery since the pandemic, the aging fleet, and the state’s plan to add three new hybrid-electric Olympic-class vessels under the 2025 budget, with delivery expected around 2030-2032. Members also heard that the fleet is operating with no reserve vessel, that preservation time is below the desired level, and that terminal electrification and vessel conversion plans face timing, cost, and procurement risks. Questions focused on ridership trends, biofuel supply, design-risk allocation in vessel contracts, sequencing of terminal electrification with new vessel delivery, and the cost and feasibility of restoring international Sidney service, which would require a SOLAS-certified vessel. Staff then outlined ferry capital funding, saying recent spending and programmed needs are far above regular ferry-specific revenues and that the system relies on a mix of dedicated accounts, transportation package money, federal grants, and transfers. They said the near-term budget is balanced through 2027-29, but the longer-term capital outlook shows a shortfall of roughly $250 million to $300 million per biennium, with broader unmet needs much higher. The presentation estimated costs for future vessels, life extensions, terminal electrification, and additional Jumbo Mark II conversions, and noted that the current enacted plan does not fully fund fleet replacement, full electrification, or life extension of older vessels. Members asked for follow-up information on terminal seismic/environmental issues, contract options for additional vessels, and the timing and cost of alternative vessel designs. The committee then shifted to WSDOT maintenance and preservation. Pascoe Focktich described maintenance operations, including winter response, guardrail repair, facilities, equipment, and the effects of underfunding and inflation. He said most of the maintenance budget is fixed cost and labor, that material prices have risen sharply, and that many facilities are in poor condition with asbestos issues and deferred upkeep. He also noted growing guardrail damage, increasing pavement claims, and the burden of maintaining aging bridges and facilities. Members asked about prior planning for these needs, the role of asbestos, and whether more proactive sequencing could help budget decisions. Troy Suing then presented the highway preservation program, saying WSDOT is in the early stages of critical failure and has stretched preservation dollars as far as possible. He explained the distinction between pavement, bridge, and other highway asset preservation, said the department is largely reactive, and estimated that delaying work can make it three to five times more expensive later. He said about 40% of roadways are currently due or overdue for preservation, bridge conditions are nearing the federal poor-bridge threshold, and the department’s 10-year preservation need is about $8 billion. Members asked about the cost of deferring work, whether the department could do more if funded, how priorities are set, and whether other states face similar problems. Finally, Evan Grimm and Mike Fay briefed the committee on bridge strikes by overheight vehicles. They described recent incidents on I-90 near Cle Elum and SR 410 near White River, the damage and closures caused, and possible countermeasures such as public outreach, improved trip-planning tools, and a pilot warning system with sensors and flashing beacons. Fay explained the state’s financial recovery process for third-party damage, saying WSDOT recovers roughly $20 million per biennium and about 78% to 80% of billed damages, with money going to the motor vehicle fund. Members asked about prevention, insurance recovery, and whether the state uses claim data to inform future design or safety changes.

Transcript Highlights:

• This bill simply updates Idaho’s small claims court limit from $5,000 to $15,000.
• This bill simply updates Idaho's small claims court limit from $5,000 to $15,000.
• Small claims court exists to provide access to justice for everyday people.
• So it’s twice what the small claims limit is.
• in small claims?

Summary: The Senate Judiciary and Rules Committee first approved a motion to print RS 33676 without taking testimony, noting it would receive a hearing in another committee. The committee then heard SCR 114 from Senator Guthrie, which would limit the number of bill drafts legislators may request in a year, with exemptions for appropriations, amendments, trailer bills, interim committee legislation, and additional drafts approved by legislative leaders. Guthrie and supportive testimony from the League of Women Voters argued the measure would reduce legislative overload and improve quality; the resolution was sent to the Senate floor with a due pass recommendation. The committee next considered SB 1330, sponsored by Senator Galloway, to raise the small claims court limit from $5,000 to $15,000. Galloway and a constituent testified that the current limit is too low for common disputes and burdens small businesses and individuals. Administrative Office of the Courts counsel Jason Spillman said the courts expected additional workload and noted the bill could affect magistrate court jurisdiction; Galloway said he would take the bill to the 14th order to add an amendment removing the $25 cap on attorney fees in small-claims appeals. The committee voted to send the bill to the 14th order for possible amendment. House Bill 556, carried by Senator Foreman, would increase state reimbursement to counties for housing state inmates in county jails from the current $55/$75 daily structure to a flat $80 per day. County officials and sheriffs testified that counties are still subsidizing the state, that actual costs are higher than reimbursement, and that overcrowding and delayed transfers create safety and operational problems. Several senators supported the bill while also raising broader concerns about Idaho’s incarceration rates and sentencing policies. The committee sent HB 556 to the floor with a due pass recommendation. The committee also advanced HB 540, presented by Representative Bingham, which would extend public-records protections and related safety/security exemptions to the Idaho Department of Juvenile Corrections similar to those already available to the Department of Corrections. No opposition was offered, and the bill received a due pass recommendation. Finally, HB 688, presented by Senator Kaiser, would update Idaho’s airbag laws to define counterfeit and non-functional airbags, prohibit knowingly selling or installing them to mislead buyers, and set misdemeanor penalties. Testimony from the automotive industry supported the bill as a consumer-protection measure addressing counterfeit airbags; the committee sent HB 688 to the floor with a due pass recommendation before adjourning.

Transcript Highlights:

• Adjusting for inflation, $15 in 2018, when the grand bargain was struck to gradually raise the minimum
• , it has a provision to allow for automatic adjustments in the future.
• credit for cheap, high-deductible plans that are functionally worthless. to claim credit for cheap,
• This past Friday, on 11/14, many of us received an email four months after opening our claims stating
• that our claims had been approved and monies would be released shortly.

Keywords: 995, all

Summary: The Joint Committee on Labor and Workforce Development held a hybrid hearing on legislation concerning unemployment insurance, non-compete agreements, prevailing wage, and minimum wage issues. Committee leaders outlined the hearing process, asked witnesses to keep oral testimony to three minutes, and invited written testimony through November 20. No votes were taken during the hearing; it ended with a motion to adjourn and notice of the next hearing on November 20. Much of the testimony focused on bills to expand unemployment insurance for striking workers, including H. 2168 and S. 1319. Labor leaders, union members, and legal advocates argued that workers who are out on strike for more than 30 days should be able to receive UI benefits, saying the policy would help workers and families meet basic expenses, reduce employers’ ability to “wait out” strikes, and encourage good-faith bargaining. Speakers cited recent strikes, including the Republic Services strike, and said the proposal would not meaningfully increase strike activity or strain the UI trust fund. Another major topic was minimum wage legislation, especially H. 2107/S. 1349 to raise the minimum wage to $20 by 2029 and index it to inflation, and H. 2191 to create a $25 enhanced care worker minimum wage. Supporters said current wages are not keeping pace with housing, food, and childcare costs, and that care workers, direct support staff, and human service employees face chronic vacancies, burnout, and turnover. Testimony also supported H. 2126 on prevailing wage by adding apprenticeship and training contributions to the wage calculation, and H. 2159 and S. 1363 on prevailing wage-related issues. One witness, Russell Beck, testified against S. 1336, which would ban non-competes, and against H. 2118, arguing Massachusetts’ current non-compete law is a balanced compromise that should not be disrupted.

Transcript Highlights:

• We made adjustments to that, I think to their satisfaction. So that's really all I have to say.
• </c> make some adjustments make some adjustments of<00:40:08.280><c> that.
• And again, the wage claim, opening that up, really just lets the floodgates open.
• I don't know that this is something people actually call and file a wage claim for.
• </c> actually call and file a wage claim for. actually call and file a wage claim for.

Keywords: 1191, senate, all

Transcript Highlights:

• He added that the OB3 legislation added about $4 trillion to the national debt, and that adjusting for
• So it gives us an opportunity to adjust and make the appropriate adjustments to our current-year budget
• Typically, you are able to claim state and local taxes as a deduction on your federal return.
• for claiming federal deductions on that 4% as well as the 5%.
• And those national profits get adjusted by the kinds of deductions that they can take.

Keywords: 995, all

Summary: The Joint Committee on Revenue held a public hearing on H. 4975, Governor Healey’s bill to manage the impact of the federal “One Big Beautiful Bill” (OB3) on Massachusetts tax law and state revenues. Administration officials, led by Secretary of Administration and Finance Matt Gorowitz, said OB3 would otherwise reduce FY26 revenue by about $442 million and argued for a phased-in conformity approach that would preserve the current-year budget while still adopting selected federal business tax provisions over time. The proposal would phase in the research and experimental expenditure deduction first, delay other major corporate provisions for two years, extend the pass-through entity excise to income subject to the 4% surtax, add a one-year delay mechanism for future federal tax changes over $20 million, limit opportunity zone benefits to Massachusetts investments, and make smaller technical changes to DFML contributions and casino reporting thresholds. Committee members questioned the rationale for phasing in rather than fully decoupling, the effect on the budget if the bill did not pass, and the treatment of opportunity zones, the surtax, and future federal tax changes. Public testimony was split. MassBudget, Progressive Massachusetts, and several labor and public-sector groups urged the committee to permanently decouple from the federal corporate tax changes rather than delay them, arguing that the bill would still send state revenue to corporate tax breaks, often for investments outside Massachusetts, and that the state should protect funding for schools, health care, human services, and other public services. The Massachusetts Society of CPAs supported the administration’s timing and the research-and-development provisions, citing filing deadlines and the importance of certainty for businesses and startups. Business and tax experts also testified that rushed conformity can create revenue losses and that the governor’s review-and-delay framework was a prudent improvement, though some said decoupling should be the default if the Legislature does not act. Unite Here Local 26 testified against sections 3 and 4, which would raise the slot-machine jackpot reporting threshold from $1,200 to $2,000, arguing the current threshold helps with problem-gambling intervention, preserves slot attendant jobs, and generates revenue. Several union leaders, including the Massachusetts Teachers Association, AFT Massachusetts, SEIU 509, the Massachusetts Building Trades, the AFL-CIO, and 1199 SEIU, urged permanent decoupling, warning that OB3’s federal tax cuts and related spending reductions would worsen budget pressures, harm public services, and shift costs onto workers, patients, and schools. No votes were taken at the hearing.

Transcript Highlights:

• It clarifies the statute of limitation or response for construction defect claims.
• Clarifies the statute of limitation or response for construction defect claims.
• On page four, in the penalty section, lines seven to 13, we changed adjusted language.
• That was an adjustment from the original House draft bill and then negotiated to where we sit today.
• This is a liquor tax alcohol bill and also adjusts the volume of spirit beverages.

Keywords: 912, senate, all

Transcript Highlights:

• center to claim their property.
• That is highway cost adjusted, so that's inflation adjusted.
• To process an unemployment claim from when the claimant makes the claim?
• Our standard is two weeks from the time that you submit a claim.
• There were some issues concerning people filing fraudulent claims.

Bills: SB1, SB 1

Keywords: appropriations, budget, state funding, education, healthcare, infrastructure, campground safety, youth camp regulations, flood safety, emergency evacuation, health and safety standards, 1185, senate, all

Transcript Highlights:

• UP NEXT WE HAVE HB 1449 STATEWIDE PROVIDER AND HEALTH CLAIM DISPUTE RESOLUTION BY REPRESENTATIVE BUSATTA
• SHOULD GO TO THE STATE MECHANISM AND SELF-INSURANCE CLAIMS PLACE THAN THE COMMERCIAL CLAIM SHOULD GO
• TO THE STATE MECHANISM AND SELF-INSURANCE CLAIMS GO TO THE FEDERAL MECHANISMS.
• WE HAVE AN INCENTIVE TO PAY LARGE CLAIMS, UNCOVERED CLAIMS TO KEEP PROVIDERS SENDING MORE DISPUTES THEIR
• >> Chair Michaels: YOU ARE RECOGNIZED. >> WE ARE NOT ADJUSTING EXISTING TYPES OF LICENSES.

Transcript Highlights:

• something I've been attempting to try to do for a number of years here in the legislature, is it adjusts
• He said the amount has never been adjusted for inflation.
• </c><00:15:40.639><c> that</c> into a long-term care policy claim that into a long-term care policy claim
• I cannot, cannot, cannot believe you just heard his claim was denied.
• </c><00:59:53.119><c> the</c> the landscape or you're adjusting the the landscape or you're adjusting

Keywords: 1183, house

Transcript Highlights:

• Um, and by adjusting the coverage because they're not taking claims.
• </c> they need to file a claim. Mhm. they need to file a claim. Mhm.
• > in</c><00:41:25.680><c> this</c> claims, storm related claims in this claims, storm related claims
• </c> insurance um uh property related claim. insurance um uh property related claim.
• And that's why claims settle. And there. And that's why claims settle.

Keywords: 1183, house

Transcript Highlights:

• Anyone who claimed that subtraction prior to that date may continue claiming it in future tax years,
• They really hadn't been adjusted at all for inflation.
• That's going to be adjusted to the CPI every three years.
• Hopefully we won't go 25 years without adjusting these again.
• Section 513.430 adjusts all the exemption amounts.

Keywords: 959, house, all

Transcript Highlights:

• Insurers’ accountability in claim denials.
• And the faster we can use these tools to make claims decisions, the lower the cost of the claims decision
• And the faster we can use, we can make claims decisions, the lower the cost of the claims decision processes
• , review the outputs, review previous claims if possible.
• When someone’s claim to rebuild their life is denied, that consumer deserves to know. ...claim to rebuild

Summary: The Insurance and Banking Committee met with a quorum and heard three bills. HB 487 would authorize the CFO and State Board of Administration to invest up to 10% of certain state funds in Bitcoin, require specified custody methods, allow Bitcoin lending under rule, and create a process for accepting taxes and fees in Bitcoin. The sponsor and several proponents argued it would diversify state investments, hedge inflation, and position Florida as a leader in digital assets. Members raised concerns about volatility, security, valuation, and whether Bitcoin was being singled out over other cryptocurrencies, but the bill was reported favorably after debate and a roll call vote. The committee then considered HB 7011, an Open Government Sunset Review measure for records of insolvent insurers. The bill would continue some exemptions but make additional records public, including underwriting files, risk-solvency assessments, corporate governance annual disclosures, and the names, benefits, and compensation of insurance executive officers. There was no public testimony, and members discussed privacy and safety concerns, but the bill passed and was reported favorably. Finally, the committee heard HB 1433 on hurricane mitigation grants and insurer regulation. The bill would tighten restrictions on former executives of failed insurers, raise capital requirements for new insurers, and require mitigation credits when homeowners receive Safe Florida Home funds. An amendment was adopted to require a licensed person to make final claim-denial decisions when AI or automation is used and to prioritize filings that lower rates. Consumer advocates supported the transparency and consumer protections, while industry representatives urged caution on the AI provisions. After debate, the amended bill was reported favorably. The meeting ended with closing remarks from the ranking member, vice chair, and chair reflecting on the committee’s work and likely final meeting of the term.

Transcript Highlights:

• House Bill by Representative Boyer, payment of certain claims; certain injury claims; limitations, 118
• House Bill by Representative Boyer, payment of certain claims; certain injury claims; limitations, 118
• House Bill by Representative Shinaver, workers' compensation, claim for benefits, petition for a claim
• , contents of a petition, disputed claims, 456.
• House Bill 600 by Representative Ventrella, public adjusters; restrict certain fees.

Summary: The House convened with a quorum, received and accepted multiple resignation notices from members representing Districts 37, 39, 60, 69, 97, and 100, and then recognized the election and qualification of the members-elect who filled those vacancies: Doyle Boudreau, Reese Broussard, Chasity Verrett-Martinez, and Edwin Murray. Each member-elect was sworn in, and the House also appointed committees to notify the Senate and the governor that it was ready to conduct business for the 2026 regular session. The chamber then handled a large number of procedural actions related to prefiled legislation. By motion and without objection, the House suspended rules to refer prefile bills to committee and introduced a broad slate of House bills and resolutions. Topics included the state budget and appropriations, retirement system changes, carbon capture and sequestration, criminal justice and bail, public safety, education, health care, local government matters, transportation, and several memorial or commemorative resolutions. Several resolutions and bills were noted as lying over, and some prefiled bills were withdrawn from the files. The House also received a Senate message that SCR 1 had been adopted, and the resolution was taken up without objection. The chamber then recessed for a joint session with the Senate to hear the governor’s address and a presentation honoring Technical Sergeant Adam W. Brister with the Distinguished Flying Cross. In his remarks, Governor Jeff Landry highlighted his administration’s priorities, including education, tax reform, workforce development, health and nutrition, insurance reform, transportation infrastructure, fiscal discipline, and criminal justice reform, while urging support for his agenda and several related bills and constitutional amendments.

Transcript Highlights:

• We have to talk to LDR to kind of adjust that internally so that we don't see that.
• And if it's really bad, there's got to be some adjustment up or down.
• If it's really good, some adjustment upward.
• So expect those adjustments in the future-year budget as well.
• Expect those adjustments in the future-year budget as well.

Summary: The Revenue Estimating Conference met with four members present and first approved the prior meeting minutes and recognized the FYI end-of-balance of $577,077,871 as nonrecurring revenue. The main business was revising the state revenue forecast for FY 2026, FY 2027, and the long-range outlook. The Division of Administration recommended a $113 million reduction to the FY 2026 State General Fund forecast and a $104 million reduction for FY 2027, citing weaker-than-expected individual income tax collections, softer corporate income tax receipts, and some weakness in general sales tax, partly offset by stronger motor vehicle sales tax and higher mineral-related revenues tied to oil prices. The Legislative Fiscal Office presented a somewhat different but broadly similar forecast, with modest net increases to the general fund bottom line in the current year and next year, emphasizing caution on income and corporate taxes and more optimism on sales, severance, royalties, and some other revenue streams. A substantial portion of the discussion focused on the causes of the income tax shortfall, especially withholding and refund patterns after tax changes that lowered rates. Department of Revenue officials explained that withholding tables had been set with a cushion that may be producing larger refunds, and said changing the tables could quickly reduce overwithholding, though the effect would take time to show up. Members also discussed corporate collections, the lingering effects of the franchise tax repeal, the role of settlements and audits, and the extent to which collections are voluntary versus enforcement-driven. The Department of Revenue said corporate collections still had key filing and estimated-payment milestones ahead in May and June, and that refund and audit activity related to the former franchise tax would continue for some time. The conference then adopted the Division of Administration’s FY 2026 forecast, the FY 2027 recurring forecast, and the long-range forecast, along with the proposed inflation rates for the Millennium Trust and parish severance allocation. Members also adopted the incentive expenditure forecast, noting that the reported amount is only the REC-reported portion and that larger tax exemption amounts come off the top before appropriations. The Treasurer reported a General Fund cash balance of about $404.1 million as of May 5, 2026, and an interfund borrowing base of about $9.18 billion, saying cash levels were similar on average to the prior year. The meeting ended with a note that another REC meeting might be needed depending on the May 16 election, and the conference adjourned without objection.