Transcript Highlights:

• **Christina Adkins**: ...to get through the digitization, if I said it correctly.
• The first page of the lease payments is also a high-level overview.
• To refresh everyone's memory, these are not lease payments to property owners.
• Payments for the last four biennia.
• That concludes my presentation on lease payments for revenue bonds.

Bills: SB1 , SB 1

Committee: Senate Finance

Transcript Highlights:

• To be issued as a cost-of-care-plus payment increase.
• CDSS issues quarterly cost-of-care-plus payments to contractors so that they can make their timely payments
• And if we do, for example, have to make an early payment to make a... ...to make those payments.
• And if we do, for example, have to make an early payment to make sure that Cost of Care Plus payments
• So that first payment is for June.

Summary: The committee first heard May Revision child care and human services items. The Department of Child Support Services described two technical adjustments, which the analyst supported. The Department of Social Services then walked through child care proposals, including a reduction in federal and Proposition 64 funding absorbed through a shift from General Child Care to the Alternative Payment program, a 2.01% child care COLA, disaster-related infrastructure grants, a new administrative support cost structure for Alternative Payment agencies, the removal of prospective pay funding after a federal rule change, a reappropriation for existing infrastructure grants, and estimates of unspent child care funds. The Legislative Analyst’s Office recommended asking for more justification for shifting reductions to CAP, supported the COLA reduction but wanted consistency across programs, recommended removing prospective pay funding, opposed the administrative cost shift, and suggested further review of disaster grant alignment. Members pressed the administration on why more slots would be cut for the same savings, why the COLA was reduced, and whether the administrative percentage would grow over time. The administration said the changes were intended to avoid disrupting currently enrolled families, reflect point-in-time relinquishments and unspent funds, and stabilize contractor operations. Public commenters, including providers, advocates, and county representatives, urged full COLA funding, rejection of child care slot reductions, preservation of prospective pay, and continued investment in child care infrastructure and access. The subcommittee then recessed before moving to health items. In Part B, the Department of State Hospitals presented its May Revision proposals, including a central utility plant replacement project at Metropolitan State Hospital, funding for a continuum electronic health record system, reduced county bed billing authority to reflect phase-in of additional LPS beds, limited contract exemption authority for online clinical subscription services, reversion of prior-year unspent operating funds, and a workforce development proposal to use Behavioral Health Services Act funds instead of General Fund for training programs. The department said the EHR would modernize records and improve continuity of care, and that the contract exemption would prevent delays in essential clinical information services. No votes were taken in the excerpt provided.

Transcript Highlights:

• training as well to hold the grantees more accountable and make sure that we're reviewing grantee payment
• Chair, Senator, we have been trying to move toward a digital operation where...
• We have been trying to move toward a digital operation where we can have our field inspectors out so
• So we've leaned into that kind of digital-first operations, and as AI becomes more sophisticated, we
• understand that there are two different sides to the ball that work together to actually get to a payment

Summary: The Senate Committee on Director Nominations met to consider Ruby Dylan Williams for Director of the Arizona Department of Housing. Williams described her long career at the department, her work on operational improvements, housing development, manufactured housing, and efforts to expand supply, preserve existing housing, and improve transparency through data and technology. She also said she would work with the legislature, local governments, tribal nations, nonprofits, and private partners, and emphasized the department’s role in addressing housing affordability and homelessness across the housing continuum. Members questioned her about the department’s response to Auditor General findings, including fraud prevention, payment verification, site inspections, and oversight of grantees. Williams said the department had rewritten policies, retrained staff, added stronger controls, and implemented verbal verification steps for wire transfers after a fraud incident. Senators also pressed her on budget priorities, possible cuts, and her view of homelessness policy, with some members characterizing her approach as closer to shelter or transitional housing before permanent placement. Williams said interventions should be individualized and that the department works with local jurisdictions and service providers to match people with appropriate support. Public testimony was overwhelmingly supportive. Developers, housing industry representatives, and nonprofit partners praised Williams’ private-sector housing finance experience, her knowledge of LIHTC and the QAP process, and her leadership in making the agency more efficient and business-friendly. After debate, the committee voted 3-2 to recommend her confirmation to the full Senate. Two members voted no, citing concerns about her answers on fraud oversight, cost controls, and homelessness policy, while the majority supported advancing her nomination.

Transcript Highlights:

• So we would be saying this is good payment for all debts.
• I believe the bill directs us to mint coin the coin money and then to create the digital usage of it.
• We've been listening to the digital usage, and the digital usage is also mentioned in the bill, but the
• Would there be some payment into the DIF? So, Senator, thank you.
• You passed SB 21 as a digital gold.

Bills: SB524 , SB782 , HB42 , HB 1056 , HB2894 , HB3033 , HB3474 , HB3594 , HB4738 , HB5246 , HB42

Committee: Senate Finance

Keywords: SB 524, Texas franchise tax, veteran-owned business, new veteran-owned business, business tax exemption, filing fee exemption, Tax Code Chapter 171, Business Organizations Code, Comptroller, small business, veterans, entrepreneurship, tax repeal, privilege tax, beginning date, franchise tax exemption, severance tax, oil, gas, restimulation wells

Summary: The committee heard Senator Flores lay out the committee substitute for HB 2894, which would expand state reimbursement eligibility for local governments disproportionately affected by the disabled veterans homestead exemption. Flores said the bill would add certain municipalities in Bell, Coryell, and Lampasas counties if lost ad valorem tax revenue equals or exceeds 10% of general revenue, while existing recipients would remain under the current 2% threshold. Lampasas and Bell County officials and the City of Killeen testified in support, describing significant revenue losses and urging adequate funding. One witness, Howard Avery, argued any reimbursement should be counted as property tax revenue for voter-approval rate purposes to avoid a windfall. The committee later adopted the substitute and reported the bill favorably, with one nay. The committee also heard SB 782, which would create a temporary severance tax exemption for restimulated inactive oil and gas wells, intended to encourage investment in mature wells. The Comptroller explained the revised fiscal note as effectively zero because the wells are currently marginal and not generating meaningful tax revenue, while industry witnesses said the bill could extend well life, support local economies, and reduce orphan-well liabilities. Public testimony was supportive, and the bill was left pending. Members then heard HB 3033, a DPS-related grant program funded by voluntary $3 donations on driver’s license and ID applications to support nonprofits aiding injured or fallen DPS officers and their families, including memorial highway signs. The DPS Officers Association supported the bill, citing existing foundation assistance and the need for a steady funding stream. The committee later reported the bill favorably. The committee also considered SB 524, which would permanently extend the franchise tax and fee exemption for qualifying veteran-owned businesses for their first five years; testimony from a veteran business owner and veterans advocates supported the measure, and the committee adopted the substitute and reported it favorably. Additional measures were laid out and left pending or voted out: HB 3594, a local San Antonio retiree health care fund bill with agreed changes for contributions, spouse benefits, and remarriage rules, was supported by stakeholders and reported favorably; HB 4738 would repeal small administrative fees tied to certain loans and was reported favorably; HB 42 on HEAF funding and HB 5246 on the Texas Space Commission were heard and left pending. The committee also reported HB 3474, a cleanup bill for the Pension Review Board’s investment performance review schedule, and HB 2802, the Austin firefighter retirement fund bill, both favorably. Finally, the committee took up HB 1056, which would allow gold and silver held in the Texas Bullion Depository to function as legal tender through debit-card transactions. Supporters framed it as a way to use hard assets and expand financial options, while bankers and some senators raised major operational, consumer-protection, tax, and constitutional questions; the bill remained under discussion as testimony began.

Transcript Highlights:

• These were originally intended to be one-time payments, but they have ended up being quarterly payments
• And Doctor Lisa Daniels, who is the Director of Division Two, which is the Horizon Digitally Enhanced
• So, it's not even to go into funding the benefit payments of the plan right now.
• So, it's not even to go into funding the benefit payments of the plan right now.
• much more affordable to a plan than a cost of living adjustment because it's a one-time payment.

Committee: House A&B Education Subcommittee

Transcript Highlights:

• CDSS issues quarterly cost of care plus payments to contractors so that they can make their timely payments
• And if we do, for example, have to make an early payment to make a, To make those payments.
• And if we do, for example, have to make an early payment to make sure that Cost of Care Plus payments
• So at least that first payment is for services rendered in 2025-26.
• So that first payment is for June.

Transcript Highlights:

• So this is bringing those payments up to 95% of the average commercial rate.
• here — 10% baseline down to a single-digit 6% in just one year.
• </c><00:29:21.399><c> 6%</c> 10% Baseline down to a singled digit 6% 10% Baseline down to a singled digit
• </c><00:52:16.720><c> below</c> government dictated their payment below government dictated their payment
• </c><00:52:32.680><c> is</c> that amount of commercial payment is that amount of commercial payment is

Summary: The committee began by reviewing a large slate of administrative regulations and explaining that it does not approve regulations but can find them deficient and send them back for further work. Members then asked questions on several items, including EMS reciprocity, dental hygienist licensure, and interpreter licensure. The EMS board explained that reciprocity would extend to applicants from any state, not just contiguous states, because the underlying statute had been amended. On the dental regulation, staff said the changes mainly clarified licensure requirements, reinstatement fees, and that dental hygienists administering local anesthetic must do so under direct dentist supervision. The most extended discussion involved the Board of Interpreters for the Deaf and Hard of Hearing. The board chair said the main concern was that the EIPA is an educational specialty assessment, not a nationally recognized certification, yet the regulation would allow it to support full licensure. Members discussed whether that could let educational interpreters work outside their intended scope and whether a separate educational license or statutory change would be more appropriate. The board said it did not think the regulation could be fixed further at this point and suggested a statute could create a narrower educational interpreter license. After discussion, the committee voted to defer both related interpreter regulations, 201 KAR 39:030 and the companion regulation, for further work. The committee then took up two community mental health regulations, 907 KAR 1:044 and 907 KAR 5:005, which had been found deficient in Administrative Regulations. Department for Medicaid Services staff said the rules would expand and rename the mental health associate role as a behavioral health associate, making the role available in many more facilities, but would also require additional coursework or progress toward licensure. Some members and providers raised access-to-care concerns, especially for rural areas and unlicensed staff already working in the field. Staff said the proposal had been revised through work with CMHCs and licensing boards, but the committee ultimately voted to defer both regulations as well. After finishing the regulation review, the committee heard a presentation from the Kentucky Hospital Association on the ATRIP hospital rate improvement program. Hospital representatives said ATRIP is a Medicaid state-directed payment program funded through a provider tax and federal matching dollars, allowing hospitals to receive payments tied to quality measures. They reported improvements including lower Medicaid readmissions, high sepsis screening rates, reduced infections and opioid prescribing, expanded postpartum depression and suicide screening, and training for more than 1,000 people. They said the program has helped hospitals invest in staffing and quality improvement and warned that without it, many hospitals would face severe financial strain.

Transcript Highlights:

• We're pretty much caught up digitally. We're archived all our files.
• We'll be in a third month of principal and interest payments coming back in.
• We're pretty much caught up um<00:08:52.880><c> digitally.
• We're archived um all our um digitally.
• </c> month of principal and interest payments month of principal and interest payments coming<00:10:51.519

Summary: The Tobacco Settlement Agreement Fund Oversight Committee met on June 11 but did not have a quorum, so it could not approve the prior minutes. The committee then received a compliance and program update from Brandon Reed and Bill McClowski of the agricultural development board, who said the office is fully staffed, has digitized most records, and has added a Facebook page to share board actions, projects, and compliance work. They also reported that the board and finance corporation continue to operate with strong county-council participation and that the office had completed numerous site visits, program reviews, and project closeouts over the reporting period. The presenters reviewed monthly funding actions from December through May, including board approvals ranging from hundreds of thousands to several million dollars, with a December finance meeting delayed by a snowstorm. They highlighted that the Kentucky Agriculture Finance Corporation now has 57 loans generating more than $2 million per month in payments, and that the revolving loan program has grown to support more than $24 million annually in repayments available for relending. They also noted that 75% of the portfolio is in beginning farmer loans and that the office had recently surpassed 1,000 active loans. Several projects were discussed in detail. These included a grain facility in Callaway County supporting organic corn production for expanding egg-layer operations, a Union County cattle business expansion, a West Liberty Veterinary Clinic project to build a working cattle facility, a Grayson County farmers market project, a Casey County veterinary services project, and a packing warehouse for the Kanye family to support specialty crops. The presenters emphasized that county and state tobacco settlement funds are often combined, sometimes with participation loans, to leverage local investment. They also stressed the importance of supporting greenhouses, farmers markets, specialty crops, and large-animal veterinary services as key agricultural priorities. No votes or formal actions were taken beyond the lack of quorum and the informational presentations.

Transcript Highlights:

• And of course, this expansion of the data center is really driven by the increasing need for digital
• Yeah, this is Applied Digital. Thank you.
• Thank you, Representative Chris Wisensky with Applied Digital. Yeah, we are Applied Digital.
• Digital. Thank you. Thank you. Further questions for the professor. Wonderful.
• So you can't get a payment there.

Committee: Joint Agriculture and Water Management Committee

Summary: The committee met in Fargo and approved the minutes from the March 31 meeting before hearing a series of informational presentations focused on North Dakota agriculture, water, and research. NDSU President David Cook opened with remarks about NDSU’s land-grant mission, emphasizing statewide service through research, teaching, and extension, and highlighting examples such as the Lilac Agriculture startup and the university’s role in applying research to real-world problems. He said he intends to spend time listening across the state to better understand local needs. The committee then received a detailed presentation on a state irrigation and drainage study from Tom Bodine on behalf of Agriculture Commissioner Doug Goehring. The study projected significant potential for expanded irrigation acreage, especially in counties such as McLean, Williams, Sargent, Burleigh, Mountrail, McKenzie, McIntosh, Dunn, and Bottineau, and estimated major economic gains from irrigation, including higher farm returns and support for value-added agriculture. Members discussed water permits, surface water versus aquifers, infrastructure, drought resilience, and the role of legal drains in improving productivity and generating economic activity. The presenters also noted that the full report is available online. Dr. Greg Lardy followed with NDSU’s required interim report, outlining the university’s agricultural research and extension system, including the State Board of Agricultural Research and Education, seven research-extension centers, and the economic importance of agriculture to the state. He highlighted recent research impacts such as new crop varieties, potato breeding successes, virtual fencing, AI-assisted weed control, weather-network tools, and 4-H programming. He also described NDSU’s budget priorities: restoring the governor’s proposed 10% cuts, additional operating support, and deferred maintenance funding. Committee members asked about the new agricultural field lab, storage sheds, and NDSU’s partnership with Grand Farm. The committee also heard from the North Dakota Water Resources Research Institute and a professor presenting water-related research, including data center cooling, water reuse, smart irrigation, and a feasibility study on co-locating data centers with greenhouse and aquaculture production. Members asked about water use, ownership, and whether the concepts were operational or still speculative. Finally, North Dakota AgTech presented its NSF-funded innovation engine work, describing startup commercialization, on-farm trials, workforce development, and partnerships with NDSU, UND, tribal colleges, and other land-grant institutions. No formal votes were taken beyond approval of the prior meeting minutes.

Transcript Highlights:

• The question is not digital tools or large platforms.
• I mean, Europe has done a few things... ...over the last decade, the Digital Marketing Act, or Digital
• Consequently, digital environments were largely overlooked.
• Consequently, digital environments were largely overlooked.
• AB 2190 extends that legacy to the digital age.

Summary: The committee heard several bills, with testimony largely focused on transparency, public health, labor enforcement, health privacy, high-speed rail oversight, and antitrust policy. AB 1544, by Assemblymember Crowell, would strengthen transparency and access to courthouses; the author said it was aimed at protecting press and public access, and the bill was pulled pending quorum. AB 1604, by Assemblymember Stephanie, would ban BPA and other bisphenols in thermal receipt paper by 2027-2028; supporters from Breast Cancer Prevention Partners, Californians Against Waste, and a broad coalition argued receipts are a major source of toxic exposure and recycling contamination, while the author said she would continue working with opposition. AB 1859, by Assemblymember Jackson, would let Joint Labor Management Committees visit public works sites to help identify wage and safety violations; labor groups supported it as a low-cost enforcement tool amid a large wage-theft backlog, while contractors and local government groups opposed it as creating private enforcement, liability, and safety concerns. The committee later took up AB 1930, by Assemblymember Burr and sponsored by Attorney General Bonta and Equality California, which would require notice to the Attorney General before certain entities respond to subpoenas or inquiries involving legally protected reproductive or gender-affirming care; supporters framed it as a patient privacy and anti-intimidation measure, while opponents said it would shield providers from scrutiny and interfere with lawful investigations. The bill was approved on a 6-2 vote and placed on call. The consent calendar, including several unrelated bills, was also approved. The committee also heard AB 1584, by Assemblymember Jackson, which would create an Office of Civil Rights within the California Air Resources Board to provide training, language access, and compliance oversight. Supporters said CARB needs a stronger legal framework and dedicated office to enforce civil rights commitments, while an opponent argued CARB already has a civil rights office and should expand existing structures instead of creating a new one. The bill was moved to Appropriations after a roll call vote. AB 1608, by Assemblymember Wilson, would expand the powers and staffing tools of the High-Speed Rail Office of the Inspector General, including public reporting requirements and authority over classifications and purchasing; supporters said stronger independent oversight is needed for the costly project, while opponents criticized the project itself and raised concerns about confidentiality and who should receive reports. The bill was also passed to Appropriations after extended discussion. Finally, AB 1776, by Assemblymember Aguiar-Curry, would revise California antitrust law to address single-firm conduct under the Cartwright Act. Supporters, including small business and labor advocates, argued dominant firms can harm competition and that the bill would protect small businesses and workers; opponents from business, biotech, retail, housing, and other sectors warned it would create legal uncertainty, expand litigation, and chill investment. The transcript ended during that bill’s testimony and debate, before a final vote was taken.

Transcript Highlights:

• And at one point, we were delivering math instruction digitally at all levels.
• And let me tell you, the only thing Instruction digitally at all levels.
• But when you're doing digital, you need a new digital payment every year.
• We abandoned digital math curriculum in K-5.
• So currently all MAP testing is done digitally. So that's the Missouri Assessment Program.

Committee: House Joint Committee on Education

Transcript Highlights:

• access to robotic digital twins, which are essentially virtual test environments that let companies
• That grant will help the company create a digital twin of a high payload robotic system.
• That grant will help the company create a digital twin of a high payload robotic system.
• Please bring cash to this payment kiosk and send it to this wallet number...
• Payment kiosk and send it to this wallet number, and then we can take care of your computer.

Committee: Joint Joint Committee on Bonding, Capital Expenditures and State Assets

Summary: The House Bonding Committee met to hear testimony on H. 5527, the Mass Wins Act, with Secretary of Economic Development Eric Paley opening by describing the bill as a follow-on to Mass Leads. He said the proposal includes $305 million in bond authorizations, with $180 million for new programs and $125 million to expand existing ones, plus $140 million in deauthorizations of unused or redundant authorizations. He highlighted investments in applied AI and quantum, robotics, business expansion capital, defense innovation, global business attraction, ag tech and food science, downtowns, and the creative economy, and said the bill is intended to support geographic equity and small business growth across the Commonwealth. Committee members questioned the administration on several policy sections, including the MassCEC climate-tech certification language, housing-related provisions tied to 40B compliance and site plan review, the removal of the LCSW exam, AI transparency and federal preemption concerns, and the effect of lower LLC filing fees. Paley generally said some contested sections were added by the Economic Development Committee rather than the administration, defended the MassCEC discretion language as necessary for climate certification, and said the administration would follow up on committee-added provisions. He also said the bill’s housing provisions were meant to help address the state’s need for more homes and that the deauthorizations were housekeeping measures that did not affect current capital plan projects. Public testimony covered a wide range of topics. AARP and local advocates urged a statewide ban on cryptocurrency ATMs, arguing they are heavily used in scams, impose high fees, and drain money from seniors and local economies. Housing groups supported codifying site plan review and adding parking reform and YIGBY-style housing on faith-owned land. Building trades asked to include off-site fabrication in prevailing wage law. The Massachusetts Public Banking Campaign backed the bill and urged inclusion of a public bank concept. Several witnesses supported Section 106, the Transparency and Frontier AI Act, as a way to require safety plans, audits, incident reporting, and whistleblower protections for the largest AI companies, while an AI startup group argued the section would overregulate smaller firms and should be separated from the bond bill. No votes were taken during the hearing.

Transcript Highlights:

• This program expands access to robotic digital twins, which are essentially virtual test environments
• This program expands access to robotic digital twins, which are essentially virtual test environments
• That grant will help the company create a digital twin of a high-payload robotic system.
• That grant will help the company create a digital twin of a high-payload robotic system.
• Please bring cash to this payment kiosk and send it to this wallet number... ...payment kiosk and send

Committee: Joint Joint Committee on Bonding, Capital Expenditures and State Assets

Transcript Highlights:

• was able to buy a home, a modest house that I qualified for a mortgage for, but benefited from down payment
• 5814 was before this committee, you heard testimony about the risk of actually imposing a tax on digital
• advertising that led this committee to wisely remove the digital advertising tax.
• advertising that led this committee to wisely, actually imposing a tax on digital advertising.
• That led this committee to wisely remove the digital advertising tax.

Bills: HB2175 , HB2227 , HB2528 , HB2292 , HB2257 , HB2608

Committee: House Finance

Keywords: durable medical equipment, sales tax exemption, healthcare accessibility, cost reduction, nonprofit providers, affordable housing, real estate tax, exemption, housing policy, tax incentives, real estate excise tax, REET, growth management act, GMA, local government finance, capital facilities plan, comprehensive plan, county tax, city tax, voter approval

Transcript Highlights:

• The Prompt Payment Act was meant to address these sorts of payment delays, but the law only applies to
• So what payments need to be made online by nonprofits?
• So are we talking about paper checks, the checks, payments that go from, in your case, payments that
• The checks, payments that go from, in your case, payments that go from nonprofits to the state versus
• payments that go from the state to the nonprofits.

Summary: The joint Senate and Assembly Select Committee on the nonprofit sector held a hearing focused on the importance of California’s nonprofit sector and how state systems can better support it. Chair and co-chair remarks emphasized that nonprofits are essential to the state’s economy and public services, especially as federal cuts and administrative burdens increase pressure on organizations that deliver health care, food assistance, homelessness services, disaster response, and other safety-net functions. CalNonprofits CEO Jeff Green described the sector’s size and complexity, citing roughly 110,000 nonprofits in California, about 1.4 to 1.5 million nonprofit workers, and major concerns about funding uncertainty, delayed reimbursements, and federal threats to nonprofit funding and nonpartisanship. He said many organizations are being forced to use reserves, reduce services, or take out loans while waiting for state payments. The Little Hoover Commission presented findings from its study of state grant and contract administration, arguing that nonprofits often subsidize state services because of late payments, insufficient advance funding, and inadequate reimbursement for overhead. The commission recommended requiring advance payments, expanding prompt-payment protections, matching federal indirect-cost rates, standardizing emergency contract amendments, creating an Office of Nonprofit Empowerment, reducing duplicative reporting, moving to electronic payments, improving feedback to unsuccessful applicants, and using longer grant periods. Committee members expressed support for these ideas and discussed shifting state contracting culture toward outcomes and better coordination. The commission also noted that SB 1240, which would create the Office of Nonprofit Empowerment, and SB 1366, related to payment delays, align with its recommendations. The Attorney General’s Charitable Trusts Section then outlined its rollout of a new online filing system for charities and charitable fundraisers. Elizabeth Kim said the system, launched in stages beginning in 2024, is intended to replace paper filings, reduce incomplete submissions and bounced checks, and speed processing; the final phase is expected to cover renewals, delinquency, raffles, professional fundraisers, dissolution, and complaints. Committee members asked about staffing impacts and complaint handling, and DOJ explained that complaints are reviewed based on allegations, public filings, and, when needed, requests for additional information. A final panel featured Matt Gonzalez of Nonprofit New York, who described New York City’s Mayor’s Office of Nonprofit Services as a model for reducing contract backlogs, increasing advance payments, and improving coordination through ombudsman-style support and chief nonprofit officers. Public commenters from the California Alliance of Child and Family Services, SEIU, and CalNonprofits urged support for stronger state-nonprofit partnerships, transparency, and modernization of contracting systems. No formal vote was taken; the hearing concluded after testimony and public comment.

Transcript Highlights:

• </c><00:19:38.840><c> of</c> Esco lease payments of Esco lease payments of 433,000<00:19:40.760><c> in
• You have over payments? No. Yep.
• I mean, people were doing digitization.
• </c> includes um funding for the digital includes um funding for the digital voter<01:25:47.960><c> guide
• </c><01:25:52.840><c> voter</c> requires us to produce a digital voter requires us to produce a digital

Summary: The joint Ways and Means and Government Operations committees received a biennium budget preview from Keith Regan, Comptroller and Director of the Department of Accounting and General Services (DAGS), who introduced department leadership and described DAGS’ broad responsibilities across accounting, public works, procurement, elections, archives, risk management, and other attached agencies. He emphasized that DAGS supports nearly every state department and cited ongoing workforce challenges, while noting progress in reducing the department-wide vacancy rate from 21% in 2023 to 17.7% in 2024. He also highlighted recruitment efforts, including new salary schedules for engineers and architects, job fairs, internships, and outreach to retiring federal employees. A major focus was modernization of the state’s aging financial systems, especially the 55-year-old FAMIS platform and the Enterprise Financial System (EFS) project. DAGS said it expects to release the RFP for the FAMIS replacement by the end of January and is seeking a second tranche of CIP funding, including $35 million, plus position augmentation and creation of a Business Transformation Office to manage EFS and future modernization work. The department also described major capital projects such as the Aloha Stadium Entertainment District, Wahiawā Civic Center, Kauaʻi Civic Center, and Ahuimanu Community Correctional Center, and reported that Public Works is managing 455 projects statewide valued at more than $2.5 billion. Other budget requests discussed included funding for cemetery operations, with DAGS asking for two positions and $1 million in operating funds to support maintenance of eight cemeteries; a $200 million ceiling increase tied to anticipated insurance proceeds for West Maui fire-related recovery and rebuilding; and several staffing and operating items for district offices and facilities. These included full-year funding for positions in West Hawaiʻi and East Hawaiʻi, support for a small business coordinator at the State Procurement Office, funding for cloud hosting and PeopleSoft licensing, six positions and staff augmentation for the EFS project, electricity costs, and security-related funding. DAGS also noted that two requested reductions totaled $7.9 million, including transferring the security contract to the Department of Law Enforcement and reducing nonrecurring expenses; members discussed whether some security funding should remain with or be moved to DLE, and DAGS said it would not object to that transfer. No votes were taken in the portion provided.

Transcript Highlights:

• The North Dakota Development Fund's investment returned $735,000 in dividend payments and a payout of
• Packet Digital is a strong example of a North Dakota company that has evolved significantly over time
• The North Dakota Development Fund first supported the company in the mid-2000s when Packet Digital was
• Packett Digital is a strong example of a North Dakota company that has evolved significantly over time
• Packet Digital is well positioned to capitalize on that demand.

Summary: The Budget Section’s Commerce and Legal Services Division met to review the Department of Commerce base budget for the 2027-29 biennium and to receive an update on Commerce programs. Legislative Council staff first walked the committee through the “blue sheet” base budget summary, explaining the major line items, the large share of federal grant authority in Commerce’s budget, and the continuing appropriations that support several Commerce funds. Members asked how grant funding is coordinated across agencies, and staff said collaboration varies by program but is strong in areas like UAS and LIHEAP. Commerce Commissioner Chris Schilken then presented on current activities, focusing heavily on grant administration, transparency, and economic development programs. Members questioned how grant applicants are selected, whether Commerce tracks applications and return on investment, and how long grant awards take to reach recipients. The commissioner said Commerce uses scoring criteria, outside reviewers, a minimum 30-day application window, and typically completes awards within two to three months. A lengthy exchange followed over whether Commerce should open some grants only to intended recipients versus running competitive application processes; Commerce said it follows best-practice grantmaking and that its attorney in the Attorney General’s office approved that approach. Commerce also highlighted the North Dakota Development Fund, citing long-term investment and job creation results, examples such as Red Trail Energy, Packet Digital, Valiance, Corvent Medical, child care loans, and the Automate ND program. Members asked about acceptable failures, lessons learned, regional economic development coordination, and the expansion of the fund into non-primary sectors. Workforce Director Katie Ralston Howell then outlined a statewide workforce ecosystem review, a new governor’s workforce sub-cabinet, and three task forces focused on simplifying entry, warm handoffs, and data integration. She discussed the in-demand occupations list, Workforce Pell, apprenticeships, and efforts to better connect students with employers and higher education. Commerce also briefly reviewed housing programs and a new housing sub-cabinet. No votes were taken; the committee simply received testimony, asked questions, and adjourned after setting up the next meeting to hear the Attorney General budget in June.

Transcript Highlights:

• impacts to certain tribes from expanded gaming authorized by the 2021 compact through quarterly payments
• However, the department has not timely made payments to some of these tribes.
• It's a mix of tribal gaming, commercial gaming, brick-and-mortar operations, digital platforms, and the
• impact with millions of digital impressions, driving consumer awareness and education.
• We're in a whole new world with the digital side of gaming.

Committees: House Commerce , House House Commerce Committee of Reference

Transcript Highlights:

• Madam Whip, members, House Concurrent Resolution 2048 would withhold salaries or suspend payments of
• , to provide access to the patient's medical records or payment records within seven days.
• to provide access to the patient's medical records or payment records within seven days and this bill
• in rates based on a test year or historical balance, to disclose information regarding the rate payments
• assets to the anti-racketeering revolving fund and public safety the sale proceeds of specified digital

Summary: The meeting was a lengthy caucus-style review of many bills and resolutions across multiple committees, with staff giving brief descriptions and most items placed on consent or third-read consent calendars. Topics included appropriations, commerce, education, government, health and human services, environment, public safety, and transportation. Measures discussed ranged from school policy and board continuations to housing, water, public safety, licensing, and election-related changes. Several bills were noted as strike-everything amendments or as having been amended in committee. A number of bills drew sponsor comments or brief questions. In education, members discussed bills on teacher strikes, school math placement, school meals, student clubs, bond election disclosures, and a proposed commission on student outcomes. In health and human services, members discussed nursing board rules, pharmacist testing and treatment authority, medical records timelines, opioid antagonist expiration dates, and a proposed constitutional amendment on the right to refuse medical mandates. In government and public safety, members debated funding and staffing issues for DPS and corrections, including a proposed public safety parity fund, as well as bills on county sheriffs, legal representation for DPS, and corrections oversight funding. There was also discussion of election and local government measures, including inactive voter list procedures, circulator disclosure rules, and committee termination filings. Other topics included housing affordability districts, development fees, historic-area middle housing exemptions, water and groundwater management, environmental compatibility siting, and trade-related commissions. One notable exchange involved HB 4044, where members debated whether using rainy day fund interest for public safety pay was fiscally responsible; supporters argued it was a practical way to fund raises, while opponents said it would weaken the fund and should instead be handled through the general fund. No roll-call votes were taken in the transcript, and most items were simply presented, briefly discussed, and left on consent or third-read consent calendars.

Transcript Highlights:

• While we're waiting for our next, let's go to Senator Pizzo, Tab 6, SB 1536, digital voyeurism.
• The other one as well: payment.
• The other one as well: payment.
• The other one as well: payment.
• The other one as well: payment.

Bills: S0600 , S0760 , S1012 , S1326 , S1488 , S1536 , S1544 , S1750

Committee: Senate Criminal Justice

Summary: The committee took up several criminal justice bills, beginning with SB 760 on violations of pretrial release conditions. A strike-all amendment narrowed the bill to make willful violation of a no-contact order a first-degree misdemeanor, authorize warrantless arrest on probable cause, and require detention until first appearance in certain cases. The amendment and the bill, as amended, were both adopted and reported favorably. The committee then heard SB 1536 on digital voyeurism, which would extend the expectation of privacy to backyards in the surveillance statute; it was reported favorably after brief questions and support from a Florida Smart Justice Alliance witness. Members next considered SB 1012 on inmate services. The bill would expand use of contractor-operated institutions inmate welfare trust funds for reintegration and facility upgrades, and would require reimbursement for inmate emergency and specialty medical services at Medicaid rates, with telehealth and autonomous APRNs included as options. Safety Net Hospital Alliance of Florida opposed the bill as written, warning that tying Medicaid participation to treatment of inmates could reduce reimbursement and discourage provider participation, while the Department of Corrections and Florida Smart Justice Alliance supported it. Senators discussed costs, aging inmates, and possible future changes, and the bill was reported favorably. The committee also passed CS for SB 600 on bail bond and pretrial release laws after adopting a strike-all that aligned it with the House companion and made technical changes to solicitation, training, and bond reinstatement rules. Public testimony raised concerns about who should receive returned bond money and how clerks would process payments, but the sponsor said the bill would continue to be refined. Later, the committee reconsidered and favorably reported SB 1750 on criminal sexual conduct, which increases penalties and mandatory minimums for serious sex crimes, especially those involving children. It also reconsidered and favorably reported SB 1544 on complaints against law enforcement and correctional officers, a bill requiring complainants to provide sworn complaints to officers before interrogation unless corroborating evidence is present; police chiefs and sexual violence advocates opposed parts of the bill, while supporters argued it would protect officers from unfounded complaints. Finally, SB 1488 on booking officer duties regarding minor children of arrested persons was reported favorably, and SB 1326 on prosecution of defamation was taken up for reconsideration with a delete-all amendment that narrowed the insanity defense, limited mitigation for severe mental illness in serious cases, and extended detention periods for incompetent defendants; opposition testimony from defense, public defender, and mental health advocates warned it would worsen treatment and increase costs.