Transcript Highlights:

• Yeah, I don't agree with the statement that our budget is not balanced. Our budget is balanced.
• It is balanced.
• So the governor will be submitting a proposed balanced budget, according to the timeline.
• She will include the EFAs in her proposed balanced budget and will follow the same process we always
• Within that account, the current balance is $65.8 million. This would pull from that $32 million.

Summary: The committee met to consider a series of appropriation, reserve transfer, and grant requests. Early items included temporary appropriations for the Department of Education’s Educational Freedom Account program ($32 million), the State Crime Lab ($476,000), and DFA Assessment Coordination ($90,000), along with a $1 ARPA return from the Department of Health. The committee approved these items after brief questions, including a discussion about contract cost increases at Assessment Coordination and a clarification that the $1 ARPA item was simply an unused-funds return. The most extensive discussion centered on the Department of Education’s EFA funding. Members questioned the growth in participation, the use of one-time funds and restricted reserves, and safeguards against fraud or improper purchases. Agency officials said about 44,000 students were being funded, that purchases are reviewed and flagged for unusual activity, and that homeschool students are not required to buy a curriculum so long as purchases are eligible and approved. The committee approved the EFA appropriation and related reserve transfer, and officials said the governor’s proposed budget would include the program in the RSA going forward. The committee also approved a DHS reallocation request and reviewed a building authority loan for a data center power supply replacement. In the federal grant section, members discussed a Department of Agriculture request for Central Arkansas Water to acquire land in the Maumelle watershed. Debate focused on the environmental benefits versus local property-tax and development concerns in Perry County, with testimony from the agency, Central Arkansas Water, and Potlatch about watershed protection, public access, and potential development impacts. After extended discussion, the committee adopted a motion to defer the item to the full Legislative Council and asked the department to remove the Perry County portion from the request, limiting the grant-funded purchase to Pulaski County property. The committee then reviewed remaining items, including a Veterans Affairs pay-plan appropriation, and adjourned.

Transcript Highlights:

• Our historical cash balances, you can see there again, primarily federal funding, and then our evolving
• So, you're out of your fund balance. How much is unencumbered?
• And we do forecast enough that we always do retain a balance to pay payroll.
• The state auditor can only have a balance of $850,000 in the revolving fund at the end of the fiscal
• I think he's done a Great job in kind of balancing those.

Keywords: 914, all

Transcript Highlights:

• </c><00:04:04.159><c> budget</c><00:04:04.480><c> last</c> pass the stably balanced budget last pass
• We need to have a balanced budget in Minnesota.
• </c><00:19:15.440><c> And</c><00:19:15.679><c> I</c> a balanced uh budget in Minnesota.
• And I a balanced uh budget in Minnesota.
• </c> choice uh but to balance the budget. choice uh but to balance the budget.

Keywords: 1183, house

Transcript Highlights:

• In leaving, you know, we try to take care of our employees, be flexible, give them, you know, the balance
• With regard to the fund balance, I have been saving our fund balance.
• That puts us in jeopardy for FY27 as to not having any fund balance at all.
• Receipts tax funded agency, and we are looking to pull that extra from the fund balance.
• It's ultimately a general fund balance. that we have to strike.

Transcript Highlights:

• House Bill 3317 restores balance, transparency, and fairness to the contracting process.
• So how do we help get this to where there's a balance?
• And so how do we make sure that there's a balance, right?
• There's really a sort of balance you have to strike here.
• Now, some states have tried to mitigate... that some created a balance and said, "Let's just do this

Bills: HB1464, HB1635, HB2516, HB3317, HB3502, HB4012, HB4268, HB4386, HB4877, SB916

Keywords: prescription drugs, drug pricing, pharmacy benefits, health insurance, health benefit plan, insurer, HMO, self-insured employer, public employer, school district, county, municipality, university system, higher education, retirees, dependent coverage, stop-loss coverage, bulk purchasing, group purchasing, purchasing pool

Transcript Highlights:

• So it's 1% of the budget; you can eliminate it all, you're not going to balance the budget.
• Balance in the budget that we last sent up in the first term.
• That's a part of what's necessary to balance the books.
• Folks back home are trying to balance their taxes, balance their checkbooks, and pay off their credit
• With zero-based budgeting have for getting towards a balanced budget?

Transcript Highlights:

• Discussions also highlighted the potential to put certain unspent balances to work more effectively when
• Layered some CDs with the Bank of North Dakota because of their huge cash balances at times.
• But it's still a total balance situation, and each department doesn't manage their own investments.
• Because if you recall, we had a $1.3 billion beginning balance last time. And as Mr.
• Morris had this morning, our current ending balance is about close to $400 million, so a $900 million

Keywords: 908, all

Summary: The Leadership Division of the Budget Section approved the prior meeting minutes and then received an update from Senator Jonathan Sickler on the Cash Management Board’s interim work under House Bill 1278. He said the board has reviewed state cash, investments, and liquidity across agencies and concluded the state’s overall mix of long-term and short-term assets is appropriate, with about $35 billion in total liquid assets and investments and roughly 89% in longer-term investments. He highlighted process improvements already underway, including replacing more than 500 six-month CDs with a special-rate savings account to reduce administrative work, and said the board sees opportunities to improve forecasting, automation, and statewide coordination. Members asked about whether the CD change would increase returns, how the Legacy Fund transfer for the homestead tax relief bill affected earnings, and whether more state cash could be consolidated or better managed through BND; Sickler and BND staff said those issues are being studied and may lead to legislation for the 2027 session. Representative Nathan Toman then updated the committee on the Task Force on Government Efficiency. He said the group has focused less on cutting dollars and more on defining metrics and asking how the legislature knows whether programs are working. The task force is pushing a standard set of questions for new or expanding programs—who is affected, expected outcomes, alternatives, how success will be measured, and full funding—and OMB has agreed to require those answers in future budget requests. Members discussed possible use of dashboards, program evaluators, AI tools, and possible rule or statutory changes to require performance measurement. Toman said the task force will continue meeting with agencies such as the courts, university system, auditor, HHS, Commerce, and ITD to identify workflow bottlenecks and potential efficiencies. Phil Davis of Job Service North Dakota gave a workforce update, reporting that North Dakota’s unemployment rate is 2.5% and labor force participation is about 68.7%, both well above national performance. He described Job Service’s 15 workforce programs, including H-2A housing inspections for foreign agricultural workers, the job placement partnership program with DOCR, WOTC, and other federal and state workforce efforts. Davis said the agency served more than 11,000 individuals in 2025, operates nine workforce centers, and tracks outcomes through quarterly and annual reporting. In response to questions, he said job openings data reflect only positions in the system and may understate actual hiring needs, that child care and other assistance programs could be better tied to employment outcomes, and that the DOCR partnership has shown strong results with lower recidivism and higher earnings. He also said the H-2A inspection workload is growing quickly and additional staffing or less frequent federal inspection requirements could help. Allen Knutson then presented S&P Global’s updated revenue forecast. He said oil prices have risen sharply since the prior month’s outlook, improving the state’s near-term revenue picture, though the economy remains volatile and agriculture is facing weaker commodity prices. Based on the updated forecast, total major tax revenues for the current biennium are projected to be about $89 million above the legislative forecast, and the next biennium could be about $500 million higher, though that estimate is preliminary and may change. He also walked through an alternate oil-price scenario showing significantly higher oil and gas collections and a larger Strategic Investment Fund balance if prices remain elevated. Members asked whether another forecast should be requested once oil markets stabilize and about tribal allocation changes in the alternative scenario; Knutson said additional updates are possible through OMB and future forecast cycles.

Transcript Highlights:

• Um it is, I think, a very balanced<00:24:35.200><c> bill</c><00:24:35.919><c> uh</c><00:24:36.080><c>
• bill uh in that we've got cuts balanced bill uh in that we've got cuts and<00:24:37.600><c> additions
• But what's going on there is balance<00:24:45.760><c> and</c><00:24:46.080><c> a</c><00:24:46.400><c>
• comprehensive</c><00:24:46.880><c> and</c> balance and a comprehensive and balance and a comprehensive
• </c><00:24:59.840><c> way</c> think um a thoughtful and balanced way think um a thoughtful and balanced

Keywords: 1187, senate, all

Transcript Highlights:

• sure that this committee takes us seriously and that we need to really make sure there's a strong balance
• sure that this committee takes us seriously and that we need to really make sure there's a strong balance
• sure that this committee takes us seriously and that we need to really make sure there's a strong balance
• sure that this committee takes us seriously and that we need to really make sure there's a strong balance
• between the costs but like I balance between the costs but like I said<00:20:13.760><c> uh</c><00:20

Keywords: Meeting start 00:00:00 Roll Call 00:00:15 HB 537 Discussion 00:01:30 HB 537 Vote 00:05:15 HB 695 Discussion 00:07:00 HB 695 Vote 00:23:15 HJR 31 Discussion 00:27:40 HJR 31 Vote 00:29:55, 958, all

Summary: The committee first took up House Bill 537, as amended by PHS 1, which was described as a technical measure needed to ensure Kentucky can receive opioid settlement funds despite changes in bankruptcy court orders. The sponsor and Attorney General’s office explained that the bill does not change the settlement formula or substantive terms, but adjusts the mechanism for receiving the money. After brief discussion, the committee adopted PHS 1 and then passed HB 537 out favorably on a 17-0 vote, with one member recording attendance after arriving late. The committee then considered House Bill 695, also amended by PHS 1, a Medicaid stabilization bill. The sponsor said the measure is intended to hold the program steady while the legislature gathers more information and awaits work by a future Medicaid Oversight and Advisory Board. The bill would limit new waivers, state plan amendments, and coverage expansions; require reporting and record retention; create a Kentucky Medicaid Pharmaceutical Rebate Fund; direct certain behavioral health and managed care changes; and include an emergency clause. Members raised questions about the rebate fund, work requirements, and whether the bill could affect coverage or funding, while supporters emphasized transparency, data collection, and preventing new expansions until oversight is in place. Several members spoke in favor of the bill’s goals but expressed caution about micromanaging a complex program and about possible unintended consequences for beneficiaries. Representative Fleming stressed the need for stronger oversight and noted the potential fiscal impact of federal Medicaid changes. Representative Stevenson voted pass, saying the committee should let the new oversight board handle the issue, and Representative Gentry also passed, citing concern about overreach and the burden of data collection. The committee ultimately reported HB 695 favorably on a 16-1 vote with three pass votes. Afterward, members recorded additional yes votes on HB 537 for the record.

Transcript Highlights:

• So the balance comes from student tuition.
• That leaves a balance of $1.8 million.
• So that leaves a balance of $1.8 million.
• They have their own balance sheets and operating expenses.
• Like everything else, we have to balance budgets.

Summary: The Higher Education Budget Subcommittee met to hear an overview of State University System finances from the Board of Governors and detailed budget presentations from Florida State University, the University of Central Florida, and the University of North Florida. The witnesses explained how university budgets are organized into fund categories such as education and general, contracts and grants, auxiliaries, local/designated funds, capital projects, and component units such as direct support organizations. They also described carry forward funds, the statutory reserve and spending-plan requirements, the PICO/HECO capital outlay process, and how universities use investment accounts, audits, and board oversight to manage restricted and unspent funds. The universities emphasized that most operating dollars are restricted to specific uses and that state support helps keep tuition low. Members asked about differences in funding levels among institutions, especially why FSU receives more funding than UCF despite lower enrollment. Officials said preeminence funding, performance funding, and special legislative appropriations explain much of the difference, and the Board of Governors noted that Florida now has four preeminent universities, with UCF nearing that status. Questions also focused on what happens to unspent carry forward money, how it is invested, and whether the Board of Governors or Legislature can require funds to be returned; officials said the money is invested conservatively, subject to board and audit oversight, and can roll forward under a detailed spending plan, though the Legislature can change funding levels. The committee also discussed capital projects, with members asking about delays, inflation, and whether more projects should be phased or funded faster; witnesses said PICO funds remain with the state until needed and are reimbursed as construction proceeds. A substantial portion of the discussion covered athletics, research, student fees, and endowments. The universities said athletics is generally expected to be self-supporting, though limited use of auxiliary or carry forward funds may be allowed for projects benefiting the broader student body. They also described the financial pressures from name, image, and likeness changes and new NCAA-related costs, and said institutions are planning for those changes now. On research, the universities explained sponsored research funding, indirect cost recovery, compliance obligations, and tech transfer, but did not provide specific commercialization revenue figures and said they would follow up. Members also asked about student fee increases, student input, counseling and wellness funding, and how housing costs affect affordability; the universities said student committees and boards review fees, and aid packaging is intended to keep student debt low. Endowments were described as being held in separate foundations/DSOs with independent investment committees and used mainly for scholarships, faculty support, and research.

Transcript Highlights:

• I think we can get balance between a good environment and a strong economy and jobs.
• And so I do think that we need CEQA reform because I think the balance is not there.
• Clearly, the balance is not there. We continue to lose manufacturing jobs.
• And I think there could be a balance here moving forward.
• And I do think that we can get the balance, and I'm hoping that we start bringing about balance here

Summary: The committee heard SB 921, which would create a tax credit to help agricultural employers offset overtime premium costs for farmworkers. Senator Grove and supporters, including farmworkers, the California Farm Bureau, and agricultural groups, argued the bill would restore lost hours and take-home pay after California’s agricultural overtime law reduced schedules. Opponents, including the California Federation of Labor Unions and CRLA Foundation, argued the proposal would subsidize employers with taxpayer dollars and undermine the principle that employers should pay overtime themselves. The bill was held in subcommittee until more members arrived. The committee then took up SB 1083, a cleanup bill to the prior year’s school employee misconduct database law. The author and supporters said it would add due process protections for classified school employees, require an administrative law judge review before placement in the database, and improve notice and vetting rules for contractors and non-permanent staff. School employer groups and other opponents warned the bill could slow investigations and weaken child-safety protections. The committee approved the bill 3-0 and sent it to Senate Appropriations. Members also considered SB 1089, which would require CalPERS health plans to cover GLP-1 medications and expand access through CalRX for chronic weight management and related health conditions. The author and supporters, including the American Diabetes Association and medical groups, said the drugs can prevent diabetes and improve health outcomes but remain unaffordable for many. Pharma representatives expressed concerns about the bill as drafted but said they were open to continued discussions. The bill passed 4-0 to Appropriations. The committee also approved the consent calendar 4-0. Later, the committee heard SB 954, which would narrow and add guardrails to last year’s CEQA exemption for advanced manufacturing, including environmental review near disadvantaged communities and labor standards such as prevailing wage and skilled-and-trained workforce requirements. Labor, environmental, and community groups supported the bill as a cleanup of an overly broad exemption, while business and manufacturing groups opposed it, warning it would discourage investment and worsen California’s competitiveness. The bill passed 3-1 to Appropriations. Finally, SB 1299, a fire sprinkler fitter certification bill, was heard and passed 3-0 to Appropriations with support from the sprinkler fitters and building trades and no recorded opposition.

Transcript Highlights:

• Beginning with this outlook balance sheet, the proposed substitute House Bill 2289 from Representative
• So if you're looking at this balance sheet, you can see that the nearly $2 billion in NGFO resources
• That leads us to your NGFO projected ending fund balance, which is $247 million NGFO for the current
• The BSA ending fund balance is $1.5 billion in 2025-27 and $2.8 billion in 2027-29.
• We must balance today's crisis with long-term solutions that shape a better future.

Bills: HB2289

Keywords: appropriations, budget, fiscal matters, state spending, general fund, supplemental budget, biennial budget, substitute bill, public defense, civil legal aid, courts, judicial branch, homelessness, supportive housing, affordable housing, behavioral health, juvenile rehabilitation, youth services, child welfare, foster care

Transcript Highlights:

• Okay, how would you balance this?
• So some way we want to try to find it to balance that, and I appreciated your clean analysis earlier,
• Okay, how would you balance this?
• So some way we want to try to find it to balance that, and I appreciated your clean analysis earlier,
• </c><00:42:49.920><c> this</c> hot seat okay how would you balance this hot seat okay how would you balance

Keywords: 1183, house

Transcript Highlights:

• It provides a framework: separation of powers, checks and balances, elections.
• It's a system and balances, elections.
• They chip away at checks and balances while maintaining the appearance of legality.
• </c> the branches to balance themselves out. the branches to balance themselves out.
• And so I think polarization has broken some of those checks and balances.

Keywords: 912, senate, all

Summary: The Judiciary Committee held an informational briefing with Professor Colin Moore on democratic norms and their erosion in the United States, with a focus on what that could mean for Hawaii. Chair Carl Rhodes introduced the topic and the professor, noting the briefing was livestreamed and could be rescheduled if technical problems arose. Moore defined democratic norms as unwritten guardrails that make written constitutional rules work in practice, emphasizing two core norms from political science: mutual toleration, meaning acceptance of political opponents as legitimate, and institutional forbearance, meaning restraint in using legal powers to the maximum for partisan gain. Moore used historical examples to show how norms develop and erode, including George Washington’s resignation, the Alien and Sedition Acts, the contested 1800 election, Franklin Roosevelt’s court-packing plan, and Watergate. He argued that democracies usually erode gradually rather than through sudden coups, often through leaders who reject opponents’ legitimacy, tolerate political violence, restrict civil liberties, or attack the press. He said the United States is vulnerable because of its strong presidency, an 18th-century constitutional design that did not anticipate modern political parties or a neutral civil service, and because polarization has encouraged “constitutional hardball” and retaliation. He cited comparative examples such as Hungary, Turkey, and other countries that slid toward authoritarianism over time, and said the U.S. has been rated a flawed democracy by outside indexes. Moore said the erosion predates Donald Trump, though he believes Trump has accelerated it, and pointed to recent actions and rhetoric as moving beyond ceremony into government practice. He also warned that Congress has not consistently checked executive power and that public willingness to excuse anti-democratic behavior from preferred candidates is troubling. The briefing ended with Moore turning to federalism and Hawaii, arguing that the state depends heavily on federal funding for health care, schools, housing, and infrastructure, and that delays or disruptions from an unstable federal government could create serious local harm even if no law is formally broken.

Transcript Highlights:

• Uh, the bill as currently written is not in balance.
• everything uh balances out to the<00:20:10.799><c> targets.
• So we tried to strike the right balance.
• </c><00:39:46.160><c> I</c> tried to strike the right balance. I tried to strike the right balance.
• So that leaves a budgetary balance<01:04:56.160><c> of</c> balance of balance of 1.554<01:04:58.240><

Keywords: 1187, senate, all

Transcript Highlights:

• </c> Again, the goal is to optimize a balance Again, the goal is to optimize a balance between<02:09:
• We strike that balance in everything we do.
• We strike that balance in everything we do.
• 02:37:02.000><c> calendar</c><02:37:02.319><c> until</c> the balance of the calendar until the balance
• </c><02:37:15.439><c> Majority</c> balance will lay over. Mr. Majority balance will lay over. Mr.

Keywords: 981, all

Transcript Highlights:

• So under the category of the sort of bank balance, balances don't lie.
• And the one-time unexpended balances for instructional material, this...
• They still have access to those balances.
• because once they're added to your fund balance, you can kind of...
• Maintenance to defer or fund balances to drain.

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:

• </c><00:01:10.880><c> has</c> um our our average cash cash balance has um our our average cash cash balance
• Um if that balance has been impacted.
• So, it's not quite an exact balance, but it's very near balance.
• So, thank you, Representative. balance, but it's very near balance. balance, but it's very near balance
• </c> same time it balances same time it balances out. out. out.

Keywords: 1191, senate, all

Transcript Highlights:

• of interest and therefore I balance of interest and therefore I request<00:35:24.839><c> the</c><00:
• And what's the remaining balance of the settlement?
• The remaining balance of the settlement right now, so, um, the total amount that is obligated is four
• so the balance call it round numbers so the balance call it round numbers approximately<00:44:33.200>
• What's the balance point there?

Keywords: 910, house, all

Summary: The committee heard testimony on several measures, beginning with SB 48 SD2 HD1 relating to combat sports. The Attorney General offered a technical comment on the bill’s effective date, and several testifiers from the combat sports community strongly supported the measure with amendments. They argued that boxing and MMA should be treated separately, that the current regulatory structure has made events too costly and reduced opportunities, and that more local oversight would help revive the sport and give youth a constructive outlet. Committee members questioned whether the bill’s medical staffing requirements would apply to boxing, MMA, or both, and whether the added requirements would increase costs and reduce access. The witness from the combat sports community said amateur boxing is already regulated through USA Boxing, that the DCCA should focus on professional boxing, and that for safety he would support two physicians and one ambulance for boxing and MMA events. The committee then took up SB 117 SD2 HD1 relating to transportation. The Department of Transportation and the Ulon Initiative testified in support, and the bicycling community was listed as supporting as well. Members focused on the bill’s rebate program for electric transportation devices, asking how successful it had been and whether removing the rebate would affect use. DOT said the program began in February 2023 and had issued about 500 rebates totaling roughly $166,000, aimed at helping people without vehicles access transportation options. The department explained that the bill would broaden access and increase the rebate amount, including additional assistance for low-income applicants. Finally, the committee heard SB 897 SD3 HD1 relating to energy and wildfire liability. The Division of Consumer Advocacy, the Public Utilities Commission, the Attorney General, Clearway Energy Group, Ulon Initiative, Kawai K, IBEW Local 1260, and Hawaiian Electric all testified in support, while the Hawaii Association for Justice was listed as opposed but not present. Supporters said the bill would help finance wildfire mitigation and infrastructure improvements through securitization, reduce wildfire risk, and address utility cost and credit concerns. Hawaiian Electric emphasized that the bill is forward-looking, would help protect customers from future wildfire-related cost increases, and requested amendments including a study on a future wildfire recovery fund. In questioning, members pressed Hawaiian Electric on the liability cap, asking whether it would have applied to the Maui wildfires and whether it would cover personal injury or wrongful death; the witness and company counsel clarified that the aggregate cap applies only to qualifying property damage, not personal injury or wrongful death, and said they would follow up on how the cap would calculate in a Maui-type event. Hawaiian Electric also said it would seek financing under the bill if enacted and updated members on settlement funding efforts, including raising the first $550 million in equity and divesting assets to help meet its obligations.

Transcript Highlights:

• The unexpended balances are just a carryover.
• It affects judges who have a cash balance.
• And so that balances...? Senator: 2.6? K. Jay Curtis: 2.4.
• The agency is no longer requesting the rider to carry forward unexpended balances.
• Also included is a new rider to provide unexpended balance authority for this project.

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