Summary: The committee met in Division 3 work session on HB 2 and began by noting a delayed start to allow the Legislative Budget Assistant to finish a large packet of updated amendments and revisions. The chair said the goal for the day was to move as many items as possible, with any cleanup deferred to a Friday follow-up. Members also discussed the process for handling public and department testimony on selected items before votes. Several early amendments were taken up and voted on. The committee unanimously recommended items dealing with repealing the liquor transfer to the alcohol fund and redirecting liquor-related revenue to the general fund, and it also approved an amendment revising Granite Advantage funding so there would be no automatic transfer from the liquor fund, instead using a general fund appropriation. Members then approved repealing the foster grandparent program by a 5-4 vote, and later approved an amendment requiring DHS contractors to comply with the patients’ bill of rights by a 9-0 vote. The committee also approved incorporating House Bill 94 on Medicaid coverage of circumcision by a 5-4 vote, while deferring the Wick Farmers Market Nutrition Program repeal for more discussion. The committee spent substantial time on the youth risk behavior survey amendment. Supporters said the change was intended to clarify opt-out procedures and ensure parents, guardians, and students are clearly notified that they may opt out without negative consequences. Some members raised privacy concerns and said the language could add administrative burden, but the amendment was ultimately recommended to Finance by a recorded vote of 8-1. Another amendment on civil rights and contractor standards for DHHS was discussed but not voted on after concerns were raised about vague enforcement language and possible penalties. The committee also struck amendment 1026 as redundant, with members noting related work in existing law and Senate Bill 134, and then moved on to other items, including a revised equity/access-related amendment that was postponed for later discussion.

Transcript Highlights:

• For the record, by the way, I'm Jim Durus, the CFO for the lottery commission.

Summary: The committee heard testimony on Senate Bill 110, as amended by the Senate, which would establish fees for alteration-of-terrain applications and direct the Department of Environmental Services to adopt rules for a permit-by-notification process for certain projects. Trisha Milo introduced the bill for Senator Lang and noted that the department had worked on the amended language. Matt Mayberry of the New Hampshire Homebuilders Association said the industry strongly supported the bill, describing it as a public-private partnership that would speed review for developers without affecting local control, with builders paying the costs rather than taxpayers. Members focused heavily on how the bill’s fee structure and permit thresholds would work, especially for projects near shoreland, wetlands, and protected water bodies. Representative Opel raised concerns about whether the bill reduced review of habitat and shoreland impacts or shifted costs unfairly; Philip Trobridge of DES explained that the bill does not eliminate those reviews and that shoreland projects still receive greater scrutiny. He said the bill creates different tiers, with the permit-by-notification process applying to certain projects between 100,000 and 150,000 square feet that are not in protected shoreland, while larger or shoreland-affected projects remain under the standard review process. He also said the proposed fees were based on sustaining the program, covering added habitat and species review responsibilities, and keeping reviews efficient. Trobridge said the new fee structure would generate about $1.2 million in additional revenue and help fund additional staff and related program costs. He stated that the department had worked with the regulated community and believed the fees were fair and reasonable, though he acknowledged the bill’s wording was confusing and that the threshold could be revisited later if the new process works well. Members also discussed how the state process interacts with local approvals, and Trobridge said both state and local approvals are required before a project can begin. No vote or final action was taken in the portion of the meeting provided.

Transcript Highlights:

• Joseph Mica, chairman of the New Hampshire Liquor Commission, and with me is our CFO, Tina Deir.

Summary: The committee first reviewed House Bill 1, focusing on the legislative branch budget, especially the Senate and House lines. Members discussed that the Senate’s fiscal year 2025 adjusted authorized amount was higher than 2024 actual spending, largely due to personnel, benefits, and travel, and one member proposed a $500,000 annual cut. Staff explained that any reduction would need to be allocated across specific line items such as personnel, benefits, and travel, and noted that the Senate budget is entirely General Funds. After discussion of how the adjusted authorized figures were calculated and why the branch no longer staffs some joint committees as it once did, the committee moved on without taking a vote on that section. The committee then heard a detailed presentation from the New Hampshire Retirement System. NHRS officials described their statutory administrative budget, which is funded through the retirement trust rather than the General Fund, and said the FY 2026-2027 increase is driven by IT modernization, cybersecurity, a new strategic plan, and additional staff positions. They also reviewed the system’s funding progress, clean audit opinions, investment performance, and changes to asset allocation, while noting that several recent pension-related laws required major database changes. Members questioned the large increase in salaries and benefits, the need for new employees versus contractors, the purpose of training costs, and the source of the Group Two benefit funding. NHRS said the governor’s budget includes General Funds for Group Two benefit changes, with $5 million in FY 2026 and $27.9 million in FY 2027, and that the figures reflect the governor’s recommendation and related HB 2 provisions. Committee members also asked about employer and employee contribution rates for Group Two police and fire members, which NHRS said were not included in the budget document but were about 31.2% for police and 30.35% for fire, with employee shares around 11.55% and 11.8%. The committee did not make a decision on the NHRS budget during this exchange and indicated it would review the details further before returning to it later. The committee then heard from the Community Development Finance Authority on the State Treasury Department budget line for the required state match to administer the federal Community Development Block Grant program. CDFA explained that its $280,000 annual request for FY 2026 and FY 2027, totaling $560,000, supports administration, technical assistance, contracting, and monitoring of roughly $19 million in annual federal CDBG funds. Members asked about the leverage of the state match, oversight of projects, staffing, and grant prioritization. CDFA said it has 18 employees, uses public hearings and a scoring system to prioritize awards, and conducts both desk and on-site monitoring, with annual audits to ensure compliance. No vote was taken on the CDFA item in the portion provided.

Transcript Highlights:

• They went to whoever their manager is, their CFO, or whoever they went to.

Transcript Highlights:

• Is it enough when my parents raise a surgeon, a CEO, a CFO, professors? When will it be enough?

Summary: The hearing of the Minnesota Senate Select Subcommittee on Federal Impacts on Minnesotans and Economic Stability focused on federal immigration enforcement in Minnesota, especially ICE and CBP operations, and their alleged constitutional and civil-rights impacts. Opening remarks from both parties emphasized the need for calm, cooperation, and public safety, though they sharply differed on the causes of the current situation. Republican members argued that violent criminal undocumented immigrants should be removed and that state and local officials should cooperate with federal authorities. Senator McEwen and other Democrats described the federal presence as abusive and terrorizing, citing deaths, family separations, and community fear, and called for accountability and truth-telling. The chair also held a moment of silence for Renee Mlin Good and Alex Prey before testimony began. Testimony from the ACLU of Minnesota and the Immigrant Law Center of Minnesota described what they said was a large-scale federal enforcement operation, including Operation Metro Surge, with widespread alleged violations of the First, Fourth, Fifth, Sixth, Tenth, and other constitutional amendments. Witnesses cited alleged racial profiling, warrantless arrests, excessive force, denial of counsel, detention out of state, and failure to comply with court orders. They referenced specific cases involving Susan Tinure, Abdi Khadir Nure, Victor Manuel Diaz, and others, as well as reports of journalists and community members being threatened or detained while documenting ICE activity. The witnesses also said the federal government’s lack of transparency makes it difficult to know how many people have been detained or deported and argued that the harm extends to both immigrants and citizens. Committee members asked questions about ICE entering homes without judicial warrants, federal claims about constitutional limits, and access to counsel for detainees moved out of state. The witnesses said that out-of-state detention, poor locator systems, paid phone access, and lack of privacy make legal representation difficult or impossible, and that civil-rights remedies often come too late because people are removed before cases are resolved. No votes or formal committee actions were taken during the portion of the hearing provided; the committee moved from opening statements into testimony and member questions.

Transcript Highlights:

• That is primarily our finance department, which CFO Brett oversees.

Committee: Senate Finance

Transcript Highlights:

• White, Division Director for Learner Support, Department of Education, and Tammy Valen...cour, the CFO

Summary: The Department of Administrative Services presented its capital budget process and priorities, explaining that it maintains and operates 96 state buildings and uses annual facility walkthroughs, condition assessments, and rough cost estimates to rank projects for the governor’s capital budget. Officials described how requests are triaged, how the governor’s office and Public Works refine estimates, and how the resulting capital budget book serves as legislative intent for approved projects. They also noted that this year the governor’s office asked for estimates on all selected projects, which increased workload but reduced detail. The department highlighted several requested projects, including $1.5 million for the ERP system sustainability fund, which officials said is critical because the state is upgrading its core financial, HR, and budget system to the cloud. Other priorities included courthouse HVAC and boiler work, brick repointing at the State House annex/main building, window replacement at the Spalding building, and elevator replacement on the hospital campus. Officials also said the governor’s proposed capital budget included fewer DAS projects than in past years and asked the committee to consider funding closer to historic levels. The committee then reviewed lapse and reallocation items. DAS said most older projects are still in design, bid, or construction because projects now take four to six years rather than two to three, in part due to ARPA-related workload and post-COVID construction backlogs. Members discussed lapsing $81,000 from the completed Spalding roof project and redirecting small remaining balances from several 2019 projects toward the Hillsboro County South cell block project through the Capital Project Overview Committee. Officials also confirmed ARPA-funded projects are expected to be completed before the December 2026 deadline and explained that the ERP system is the main state IT exception outside DOIT’s usual centralized control, though it still requires DOIT consultation and approval.

Transcript Highlights:

• Jed Srelli, CFO for Laramie County School District Number One in Cheyenne, Wyoming.

Committee: Joint Select Committee on School Finance Recalibration

Transcript Highlights:

• Tammy Valen...cour, the CFO for the Department of Education. I provided three packets.

Summary: The Department of Administrative Services presented its capital budget process and priorities, explaining how agencies assess facility needs, rank projects, and submit requests to the governor’s office. DAS described its Plant and Property division, which maintains 96 state buildings, and Public Works, which develops detailed cost estimates for selected projects. Officials said the governor’s office has traditionally narrowed requests into priority tiers, but this year all projects were estimated, creating more work and less detail. They also emphasized that the capital budget book functions as legislative intent and can be binding on how approved funds are used. On the substance of the request, DAS highlighted several priorities: continued funding for the state ERP system upgrade to the cloud, with about $5 million requested for sustainability and related Treasury functions; emergency fund and annex renovation work; a sprinkler replacement at DMV; and elevator repairs at the main building. Karen Rocky also identified maintenance projects that rose in priority after a facility condition assessment, including HVAC work for Portsmouth Circuit Court and Coos County Courthouse, boilers and controls for Carroll County and Lebanon Circuit Court, brick repointing at the main building and annex, window replacement at Spalding, and Brown building elevator replacement. Officials noted that the governor’s proposed capital budget included fewer DAS projects than in past years and no projects for the Bureau of Court Facilities. The committee also discussed lapses and reprogramming of prior appropriations. DAS said the first eight projects approved in 2023 remain under construction and should be extended, while many 2021 projects are delayed because of ARPA-related workload and broader construction backlogs. Members reviewed a 2019 project list and agreed to lapse project number 49, the Spalding roof project, with about $81,000 remaining. DAS also said some small 2019 balances, including courthouse generators, a boiler, cooling and controls, roof and exterior repairs, and the State House Annex elevator, could be redirected through Capital Budget Overview toward the Hillsboro County South Cell Block project. The hearing ended with questions about project schedules, ARPA deadlines, and the division of authority between DoIT and DAS for the ERP system.

Transcript Highlights:

• For the record, I'm Joe Mikica, chairman of the New Hampshire Liquor Commission, and with me is our CFO

Summary: The committee opened with House Bill 242, a liquor bill concerning brew pub licenses. Testimony from the New Hampshire Beer Distributors Association, the New Hampshire Lodging and Restaurant Association, and the Liquor Commission explained that the bill is intended to correct a clerical error from the prior session and restore the agreed-upon language. The bill would allow a brew pub, within the existing 2,500-barrel limit, to self-distribute its own product to one authorized on- or off-premise license; otherwise it must use wholesale distribution. Witnesses said the measure is a narrow fix specific to brew pubs and does not affect other manufacturing licenses. No opposition was raised during the hearing, and the chair closed the hearing after no committee questions remained. The committee then heard House Bill 81, which would allow patrons to take purchased alcoholic beverages into restaurant restrooms. The sponsor argued the current prohibition is outdated and can create safety risks by forcing people to set drinks down, citing concerns about drink tampering and a personal story about a friend who was drugged and assaulted after leaving a drink unattended. Committee members and the sponsor discussed whether the bill would increase liability for restaurants, how enforcement would work, and whether the current law is aimed at preventing underage handoffs or drink spiking. The sponsor said the bill would be permissive for establishments, not mandatory, and that liability would still depend on overservice and Liquor Commission investigations. The New Hampshire Lodging and Restaurant Association testified in opposition, saying the bill could raise liability and create concerns about underage consumption in bathrooms. The hearing ended without a vote, with the chair noting the bill would move on to further committee/subcommittee consideration.

Summary: The committee first considered House Bill 66, a right-to-know measure that would broaden access from “citizen” to “person,” including out-of-state requesters. Members also adopted an amendment removing the current no-filing-fee provision for appeals of unfavorable right-to-know ombudsman rulings, citing budget concerns. The bill was then reported ought to pass as amended on a 16-9 vote, with a minority report requested. House Bill 187, which would let a parent or guardian seek a protective order on behalf of a minor alleging abuse by someone outside the family or household, was described as a narrow fix with little fiscal impact. It passed unanimously, 25-0, and was placed on the consent calendar. House Bill 215, requiring landfill permit applicants to submit a report on potential harms and benefits, was retained because its policy had been folded into House Bill 2; the committee voted 25-0 to retain it. House Bill 219, dealing with renewable portfolio standard changes and lower renewable energy certificate values, drew opposition from members who said it would weaken renewable energy development and raise concerns about energy costs, but the motion to retain was adopted 14-11, allowing the bill to be moved into House Bill 2. The committee then retained House Bills 365, 552, 566, 572, 607, 611, and 624, all by unanimous or near-unanimous votes, generally because the relevant policy or funding had been incorporated into House Bill 2 or because the bills were viewed as technical or low-impact. HB 566 was described as a landfill leach-management bill with a fiscal note under $10,000 annually and was sent to consent. HB 572 and HB 607 were retained because their money components were moved into HB 2, though one member objected that HB 607 represented an unfunded mandate for the Hampton Beach Area Commission. House Bill 511, concerning ICE detainers and county detention practices, generated the most debate. Supporters said the amendment clarified how long counties may hold detainees without a federal contract and compared the detention period to existing bail rules; opponents argued the bill could sanction detention of people not charged with crimes and raised due-process concerns. The committee adopted the amendment 14-11 and then reported the bill ought to pass as amended on another 14-11 vote, with a minority report requested. House Bill 639, involving securities and digital currency issues, was also reported ought to pass after members noted unresolved concerns but said the Secretary of State’s Securities Division was willing to continue working on it in the other body; the vote was 16-10.

Transcript Highlights:

• Our CFO will maybe be able to explain the rest of it.

Summary: The Department of Administrative Services presented an overview of its budget and operations, emphasizing that it is the lowest-spending agency in state government and that its general fund allocation has declined since 2019. Commissioner Arling House explained that DAS also handles back-office functions for several administratively attached boards, which has affected staffing and spending comparisons. He said the department’s current general fund spending is roughly split between retiree health and other operations, and that the presentation was based on adjusted authorized spending rather than the original budget figures. A major portion of the meeting focused on retiree health benefits and the long-term effort to control costs. Deputy Commissioner Cassie Keane described how the state moved from a projected deficit in retiree health to savings through a series of changes, including higher premium contributions, co-pay adjustments, and shifting Medicare retirees into Medicare Advantage arrangements to capture federal reimbursement. She said the state has about 12,500 retirees and spouses on the plan, with roughly 10,906 Medicare retirees and 1,580 non-Medicare retirees, and that the savings have depended heavily on federal funding and procurement decisions. She also noted that Medicare retirees pay Part B premiums and that the state has grandfathered older retirees from some premium contributions. Members asked about what the expenditures cover, why the state offers retiree health instead of simply giving retirees a payment to buy coverage themselves, and whether out-of-pocket costs changed under Medicare Advantage. Keane said the plan covers actual health claims or insurance premiums, that co-pays and maximum out-of-pocket limits remain in place, and that the state has no authority to change benefit details without legislative action. She explained that retiree health is a long-standing employee benefit that wraps around Medicare and is not collectively bargained in the usual sense, though its eligibility rules and cost-sharing have been tightened over time to better target the benefit to long-term state service. The discussion also covered vendor performance problems. Keane said Anthem recently won the contract back from Aetna, but its pharmacy subsidiary, Caroline, caused serious service disruptions. DAS responded by withholding payments, assessing more than $2 million in performance guarantees, and hiring a third-party auditor to review the pharmacy processes. The current contract runs through the end of calendar year 2026, and officials said they are watching federal Medicare Advantage reimbursement changes closely because future savings are uncertain.

Committee: Joint Appropriations