Transcript Highlights:

• Audits provide essential accountability and transparency over government programs.
• Our audit authority and duties are provided in state law, and Section 1145 provides a lengthy list of
• And we also provide technical advice. certain lead agencies providing child welfare services.
• Kathy told me that each of you were provided a copy.
• We provide a cause for what the finding is, and we provide an effect.

Summary: The Joint Legislative Auditing Committee met to receive annual overviews of its oversight responsibilities and the work of the Auditor General and OPAGA. Committee staff reviewed the committee’s authority over state and local governments, enforcement of audit-report filing requirements, repeated audit findings, Transparency Florida reporting, and lobbying compensation audits. Auditor General Cheryl Norman described her office’s independence, audit standards, quality control, and major audit areas, including the state’s annual financial and single audits, school district and university audits, operational and performance audits, and attestation work. She also noted staffing shortages, recruitment efforts, and a request for carry-forward funds to study salaries. Members asked about whether audits can quantify recoverable dollars, how school district spending comparisons are handled, and how to raise concerns about DCF-related audits or a local city audit that has been pending for years. Norman said her office can quantify findings when possible, sometimes compares costs across districts in operational audits, and that members can bring specific concerns to the appropriate deputy auditor general or the committee. She also explained that citizen or local-government audit requests may require payment of audit costs. OPAGA Coordinator Kara Collins-Gomez outlined OPAGA’s role as a legislative research unit that conducts studies directed by law, the presiding officers, or the committee, and described its policy areas, methodologies, contract monitoring, and recurring statutory reports. Deputy Auditor General Matthew Tracy explained how to read operational audit reports, including findings, criteria, condition, cause, effect, recommendations, and management responses. Deputy Auditor General Greg Senators explained financial audit reports, including audit opinions, required supplementary information, internal control and compliance findings, federal program compliance, and management letters. The meeting concluded with thanks to the presenters and a motion to adjourn, which passed without objection.

Transcript Highlights:

• </c> are validated and accountable. are validated and accountable.
• Multiple strategies will also increase accountability for providers seeking reimbursement from state
• services provided.
• Multiple strategies will also increase accountability for providers seeking reimbursement from state
• . accountability. accountability.

Committee: House Fraud Prevention and State Agency Oversight Policy

Transcript Highlights:

• It provides $4.85 billion to increase teacher compensation, providing the passage of less. providing
• Interest-bearing accounts from these IOLTA accounts are outside of our hands.
• Interest-bearing accounts from these IOLTA accounts are outside of our hands.
• The figure below provides some insight into the account health before, during, and after the COVID-19
• The figure below provides some insight into the account health before, during, and after the COVID-19

Bills: SB 1

Committee: Senate Finance

Keywords: campground safety, youth camp regulations, flood safety, emergency evacuation, health and safety standards

Transcript Highlights:

• In our research with homelessness service providers, including providers focused on these two populations
• Service providers are able to provide supports for those distinct needs.
• accountable because we are being held accountable to our funders, not just at the state level, but at
• Service-providing partners accountable for the funding that we subcontract to them, which the majority
• We are hearing from our providers.

Transcript Highlights:

• </c><00:26:54.520><c> in</c> Association of public accountants in Association of public accountants in
• Thank you. is in the accounting uh the public is in the accounting uh the public accounting<00:27:20.840
• accountants the problem become account accountants the problem is<00:32:07.519><c> they</c><00:32:07.639
• Sorry, uh, we also are asking for some amendments to make the bill provider-neutral, for providers that
• </c> is once a provider is once a provider deems<01:06:43.119><c> an</c><01:06:43.279><c> inel</c><01

Committee: House Consumer Protection & Commerce

Summary: The committee heard testimony on several measures, beginning with HB 117 on condominiums. Testifiers were split: reserve-study professionals and the Community Associations Institute opposed tying reserve requirements to assessed value, arguing reserve studies should be based on actual components and costs and that the bill could lead to over- or under-collection. Condominium owners and advocates supported the bill, saying some associations are not completing reserve studies or are failing to provide audits and adequate funding, and urging stronger fiduciary accountability. A member later asked about compliance rates, and a witness said he was not aware of any association that had failed to do a reserve study, estimating compliance at well over 95 percent, likely close to 100 percent. The committee then took testimony on HB 544 on pet insurance, which drew support from the Attorney General’s office and the Insurance Division with comments about contract-impairment issues, as well as support from the North American Pet Health Insurance Association and the Hawaiian Humane Society. Testifiers said the bill would help consumers understand and use pet insurance as veterinary costs rise. HB 983 on certified public accountants also drew mostly support, with the Hawaii Society of CPAs and the Hawaii Association of Public Accountants offering conditional support and proposed amendments. Public accountants said the bill could help address a shortage of CPAs and expand pathways into the profession, while some speakers cautioned that the language needed clarification and that public accounting experience should be tied to CPA-firm work. An instructor from UH West Oahu said students cannot afford the extra credits currently required and would benefit from a more accessible pathway. The committee also heard HB 1050 on Title 24, with DCCA supporting the measure and no opposition or questions. The discussion then moved to HB 256 HD1 on environmental protection and incinerator emissions. The Department of Health offered comments, while Energy Justice Network and Climate Protectors Hawaii supported strengthening the bill, warning that it could weaken existing standards at H-Power unless amended to preserve stricter state rules and require modern pollution controls. A member questioned the Department of Health about H-Power’s permits and whether additional controls would be required if federal rules change; the department said permits are reviewed every five years and that the facility currently meets state and federal requirements, while EPA rules remain in a public comment process. Finally, the committee heard HB 1051 HD1 on energy efficiency portfolio standards, with support from the Consumer Advocate, State Energy Office, Climate Change Mitigation and Adaptation Commission, Public Utilities Commission, and Hawaii Energy. The committee then heard HB 350 HD1 on energy, where the State Energy Office supported the bill, Solar Ray Corporation offered conditional comments urging any new mandated water-heating technology to meet the same efficiency level as existing solar thermal systems, and the Kauai Climate Action Coalition testified in support. No votes or final committee actions were taken during the portion of the meeting provided.

Transcript Highlights:

• </c> act's acknowledge importance provides act's acknowledge importance provides genuine<00:21:41.200
• </c> technical quality of accountability technical quality of accountability measures<00:30:27.519><c
• </c> in all states using AC T4 accountability in all states using AC T4 accountability have<00:30:59.600
• </c><00:37:53.359><c> to</c> locally controlled by and accountable to locally controlled by and accountable
• </c> in the Northstar School accountability in the Northstar School accountability system<01:10:48.800

Committee: Senate Education Policy

Transcript Highlights:

• available kind of like an insurance account effectively that will provide funds to the state banking
• account would operate.
• available kind of like an insurance account effectively that will provide funds to the state banking
• account would operate.
• effectively that will insurance account effectively that will provide<00:42:26.960><c> funds</c><00:

Bills: SF0021 , SF0022 , SF0054 , SF0055

Committee: Senate Minerals, Business & Economic Development

Transcript Highlights:

• That does factor into the new ppk provider accountability system that was put into law so that that is
• Your the performance which are 2 pieces of now the new required vpk provider accountability system.
• The cat meat accountability requirements is really to provide useful data for just teachers and parents
• Because again, those 2 tests are not use for accountability purposes, but state law does provide a provision
• You talked about accountability as you look at the BK vpk providers there differentiated group.

Transcript Highlights:

• and the Pollution Liability Insurance Trust Account to the aeronautics account in FY 27, and an estimated
• The bill would move an estimated $120,000 from MTCA accounts to the new account in FY 27, an estimated
• SB 5898 would distribute the revenue to the aeronautics account, so MTCA accounts would receive less
• It provides jobs for Washington citizens.
• It is provider practices and clinics, and ultimately it is our members that provide insurance to their

Bills: SB5989 , SB5898 , SB6240 , SB6244 , SB6231 , SB6228 , SB6220

Committee: Senate Ways & Means

Keywords: aircraft fuel tax, tax revenue distribution, aviation funding, transportation, state revenue, aeronautics, taxation, aircraft fuel, state funding, aviation fuel, hazardous substance tax, air quality, noise mitigation, environmental impact, tax exemption, agriculture, hazardous substances, crop protection, warehousing, data center

Transcript Highlights:

• This results in a $63,000 reduction to the state highway safety account.
• Subpart five corrects the account for funds provided for the Department of Transportation's pass and
• transportation account and a $500,000 increase to the state's sustainable aviation fuel account.
• a $3 million increase to the state multimodal transportation account.
• a $3 million increase to the state multimodal transportation account.

Summary: The Senate Transportation Committee met in executive session to brief and act on three measures: proposed substitute Senate Bill 6005, the 2006 supplemental transportation budget; proposed substitute Senate Bill 6225, authorizing transportation bonds; and engrossed substitute House Bill 2508, relating to the Office of Independent Investigations. Staff first reviewed eight amendments to SB 6005, including technical corrections and several funding changes for ferry service, rail projects, transit electrification, and other transportation programs. The committee then adopted all eight amendments, rolled them into the bill, and advanced SB 6005 with a due-pass recommendation to the Rules Committee. For SB 6225, staff explained that the bill would authorize additional transportation bonds, including $1.1 billion in general bonds backed by gas tax and vehicle-related revenues, $400 million for potential cost increases on Move Ahead Washington projects, and a $500 million increase in SR 520 bond authorization, while repealing some older bond authority. With no amendments offered, the committee advanced the bill with a due-pass recommendation to the Rules Committee. The committee also considered engrossed substitute House Bill 2508, which would clarify the scope of authority of the Office of Independent Investigations and add public disclosure and privacy provisions. The committee moved the bill without recommendation to the Ways and Means Committee. Members concluded by thanking staff for their work on the budget and bond package before adjourning.

Transcript Highlights:

• These are specific accounts.
• matter—federal accounts, whether there's specific higher ed accounts, specific accounts in the natural
• to provide some perspective.
• to provide some perspective.
• , but you have to account for it as you're making decisions for the other NGFO accounts.

Committee: Joint Joint Legislative-Executive Committee on Budget Transparency and Fiscal Sustainability

Summary: The committee held its first meeting, with co-chairs and members introducing themselves and staff outlining the committee’s statutory charge under the 2026 supplemental operating budget. Staff explained that the committee is tasked with studying budget transparency and fiscal sustainability in two phases: first, revenue growth, spending assumptions, statutory cost drivers, and carryforward/maintenance levels; and later, staffing, overhead, performance management, and public reporting tools. The committee also discussed its goals, with members emphasizing a shared factual understanding of Washington’s fiscal situation, the causes of projected structural deficits, and possible paths to a more sustainable operating budget. Staff then gave a detailed operating budget basics presentation. They reviewed the size and composition of the operating budget, explaining that most spending is concentrated in grants and client services, salaries and benefits, and goods and services, with K-12 education, DSHS, the Health Care Authority, DCYF, corrections, and higher education making up most NGFO spending. They also walked through the distinction between constitutional, federal, statutory, and discretionary spending; the role of caseload and per-capita forecasts; how maintenance level and policy level budgets are built; and how the four-year outlook works, including revenue forecasts, reversions, budget stabilization account reserves, and the official outlook adoption process. Members asked several questions about what is or is not included in the outlook, especially future collective bargaining agreements, health care inflation, court-ordered liabilities, and whether the budget could better separate mandatory from discretionary spending over time. Staff said some of those questions would require follow-up and noted the existence of an outlook accuracy report. The committee then heard from Josh Goodman of the Pew Charitable Trusts, who introduced Pew’s state fiscal work and its role as the nonprofit partner supporting the committee. He said Pew would help analyze long-term fiscal sustainability, reserve policies, recession preparedness, and practices from other states, and would draw on its 50-state data and subject-matter experts. No votes were taken and no formal actions were reported at this meeting.

Transcript Highlights:

• So the budget would backfill the current account deficit in our state insurance liability account.
• So the budget would backfill the current account deficit in our state insurance liability account.
• This program provides remote education to primary care providers on how to best diagnose and treat patients
• Providers across the state are still reeling from this, because as you know well, Providers across the
• The Public Works Board provides funding to cities, counties, and special purpose districts to provide

Summary: The Senate Ways and Means Committee heard an overview from OFM Director Katie Chapman See on Governor Ferguson’s 2026 supplemental budget proposal. She said the budget was built in response to higher caseloads and inflation, a roughly $390 million revenue forecast drop, new federal costs tied to H.R. 1, and a relatively small ending fund balance. The proposal would increase near general fund spending by about $1.1 billion and solve an estimated $2.3 billion two-year gap through about $800 million in reductions, revenue shifts and tax preference changes, use of other funds, and about $1 billion from the budget stabilization account. She also noted the budget is balanced over two years but not fully over four years under the state’s outlook rules. Chapman See highlighted reductions in Working Connections Child Care, including a soft cap on enrollment and holding subsidy rates at the 75th percentile, delays to long-term care and developmental disability-related changes, and across-the-board reductions to higher education and administrative spending. She also described investments in wildfire suppression and preparedness, affordability programs like utility rebates and home energy assistance, housing-related planning and permitting support, One Washington IT replacement, behavioral health workforce programs, and continued support for some K-12 initiatives such as ninth grade success and homeless student stability. In response to questions, she said some proposed cuts were based on the governor’s subjective judgment about what was critically necessary, that current child care enrollees would not be cut off immediately, and that the budget would maintain services for about 500 highest-acuity Medicaid clients who lost eligibility under federal changes. Public testimony was largely critical of the proposed cuts in K-12, early learning, and higher education. School officials, educators, nurses, and advocacy groups opposed reductions to Transition to Kindergarten, Local Effort Assistance, Running Start, MSOC, school leadership and support grants, and higher education funding, arguing the cuts would worsen existing funding gaps and harm student outcomes. Several witnesses supported restoring or maintaining funding for ninth grade success, Treehouse’s foster youth graduation program, homeless student stability, and Science on Wheels. In early learning, child care providers and advocates opposed the Working Connections cap and subsidy-rate reduction, warning it would reduce access and destabilize providers. In higher education, campus leaders and labor representatives opposed across-the-board cuts and fund shifts, while some institutions and advocates supported targeted investments such as behavioral health workforce programs and DigiPen aid restoration. In human services, Planned Parenthood advocates praised restored abortion access funding and Medicaid reimbursements. The committee took no votes or final action in the transcript provided.

Transcript Highlights:

• Cancer Research Match Transfer Account and the Foundational Public Health Services Account.
• Health Services Account for... ...distributions to the Andy Hill Match Transfer Account and the Foundational
• Revenues to both the Andy Hill Match Transfer Account and the Foundational Public Health Services Account
• Revenues to both the Andy Hill Match Transfer Account and the Foundational Public Health Services Account
• And 5814 did not provide a credit for, for, um, And 5814 did not provide a credit for things that were

Summary: The committee held a public hearing on several tax and retirement bills, beginning with Senate Bill 6073, which would move eligible Department of Natural Resources wildland and aviation firefighters from PERS into LEOFF 2 prospectively. Committee staff described the higher retirement age and benefit differences between the systems and noted a small implementation cost and a modest actuarial rate increase. DNR, the Washington Public Employees Association, and a committee member all raised support or questions, with DNR acknowledging additional review with the LEOFF board was still needed. The hearing then turned to Senate Bill 6113, a Department of Revenue request bill making technical and administrative changes to the tax code, including clarifications tied to last session’s ESSB 5814 service-tax changes, a six-month transition period for reclassified businesses, and a section affecting advertising-related exclusions. DOR said the bill was revenue neutral and intended to codify guidance and improve certainty, while school districts, arts groups, broadcasters, newspapers, and business groups testified both in support of the technical fixes and in opposition to provisions they said would continue or worsen unintended consequences from last year’s tax law. Senators also questioned how some definitions would apply, especially to school and higher-education-related services. Senate Bill 6116 would restore the vapor-products tax structure by moving nicotine-containing vapor products back under the per-milliliter vapor tax instead of the 95% other tobacco products tax, and would restore distributions to the Andy Hill Cancer Research account and Foundational Public Health Services account. Public health agencies, cancer research representatives, and some retailers supported the bill as a fix to funding disruptions, while tobacco-control groups opposed lowering the tax and argued it would weaken public health policy. The committee also heard that the current law creates a double-tax issue on pre-existing inventory because products held when the definition changed became subject to a new tax classification. Finally, Senate Bill 6129 proposed a broader nicotine-tax overhaul, including a 90% tax on nicotine products, a 10% tax on flavored nicotine products, higher cigarette taxes, and new revenue distributions and tribal compact provisions. Supporters, including public health organizations, pediatricians, and civil rights advocates, said higher taxes would reduce youth use and restore funding for cancer research and public health; opponents, including retailers, tobacco and vapor businesses, broadcasters, and some harm-reduction advocates, argued the bill was regressive, would fuel illicit markets, and would harm small businesses and adult consumers using lower-risk products. The committee then began a briefing on Senate Bill 6162, a property tax reform bill that would expand senior and disability property tax relief, adjust state property tax rates, and change property tax billing statements, but the hearing on that bill was not completed in the portion provided.

Transcript Highlights:

• I know the ACOs talk about shifting accountability from the payers to the providers, correct?
• because the provider is counting on them to be accountable.
• The provider is counting on them to be accountable. So, then we have community health.
• If I may, the provider counting on them to be accountable has nothing to do with patients being accountable
• because the provider is counting on them to be accountable.

Summary: The Medicaid Oversight and Advisory Board met on September 24, 2025, approved the minutes from the September 9 meeting, and then continued its discussion of Medicaid waivers with Leslie Hoffman and Carmen Hancock from the Department for Medicaid Services. Members asked for updates on the 2024 waiver waitlist management assessment recommendations, including aligning waiver policies, standardizing applications and waitlist placement, and modernizing data systems. DMS said that work is being done jointly with Aging and Independent Living and Behavioral Health/Developmental and Intellectual Disabilities through task forces, that ARPA spending delayed action, and that implementation timelines extend through March 2027. The board also reviewed per-member waiver cost averages for fiscal years 2023 through 2025 for ABI, ABI long-term care, HCBS, Model II, Michelle P, and SCL. DMS emphasized these figures were benefit-only averages based on paid claims, not full waiver costs, and explained that true budget neutrality is calculated on an aggregate basis against institutional care comparisons approved by CMS. DMS said all six waivers remain in compliance with budget neutrality and that the most recent 18-month lag review for FY 2022 and FY 2023 found costs at or below institutional care. Members also asked about unused waiver slots; DMS said slots generally cannot be reallocated mid-year if they have been used, except in cases such as death or reserved capacity, because CMS treats participants as unduplicated for the waiver year. A major portion of the meeting focused on the new child waiver created under House Bill 6. Legislators questioned whether the waiver’s design, including the exclusion of participant-directed services and the emphasis on high-acuity children with behavioral health, DCBS, or juvenile justice involvement, matched the bill’s intent to keep children at home. DMS said it used the $14.7 million appropriated for FY 2026 to develop the program, that there is no priority list, and that the waiver is intended to serve the highest-acuity children while also addressing residential needs for those sleeping in offices or placed out of state. Members also raised concerns about the rapid growth of the HCBS waiting list and asked for more detail on age and timing patterns, which DMS said it would provide later. Finally, DMS gave average processing times from application to eligibility determination and from approval to service start, and said the overall average from application to services beginning was about 80 days, while members requested follow-up information on the Carewise assessment contract and related costs.

Transcript Highlights:

• The services interpreters provide to facilitate communication between health care providers and limited
• The services interpreters provide to facilitate communication between health care providers and limited
• The services interpreters provide to facilitate communication between health care providers and limited
• </c> will tasked with providing will tasked with providing recommendations<00:10:01.519><c> to</c><00
• accounting shortage that public account accounting shortage that the<00:16:26.079><c> state</c><00:16

Committee: Senate State and Local Government

Transcript Highlights:

• and pollution liability insurance trust account to the aeronautics account in FY 27 and an estimated
• The bill would move an estimated $120,000 from MTCA accounts to the new account in FY 27, an estimated
• It is provider practices and clinics, and ultimately it is our members that provide insurance to their
• It is provider practices and clinics, and ultimately it is our members that provide insurance to their
• It is provider practices and clinics, and ultimately it is our members that provide insurance to their

Summary: The committee began with a work session on aircraft fuel taxes, hearing from WSDOT Aviation about the FAA’s aviation fuel tax rules, Washington’s compliance history, and the potential consequences of noncompliance. WSDOT said the state has collected roughly $210 million in aviation fuel taxes since the federal compliance period began, and that FAA has questioned some of the state’s claimed offsets. Members asked about the federal authority behind the rules, who pays the taxes, and whether Boeing is affected. The committee then moved to public hearing on several bills tied to aviation fuel tax revenue. SB 5989 would redirect a small share of state sales and use tax on aircraft fuel to the aeronautics account and require reporting on airport project funding. Supporters, including port, airport, and pilot groups, said it was a measured step toward FAA compliance and airport investment; the bill’s staff summary said it would reduce general fund revenue and increase DOR costs. SB 5898 would redirect hazardous substance, petroleum products, and oil spill-related taxes on aircraft fuel to the aeronautics account. Supporters said it would bring Washington into compliance and help airports, while Ecology, counties, and ports warned it would significantly reduce MTCA and related environmental funding. SB 6240 would create a new noise and air quality mitigation account funded by a portion of hazardous substance tax revenue; airport and aviation groups opposed it as duplicative or noncompliant with FAA rules, while community and environmental advocates from Sea-Tac area cities supported it as a needed mitigation source. The committee also heard SB 6244, which would extend a hazardous substance tax exemption for certain pesticides used in Washington agriculture through 2038. Agricultural and logistics witnesses supported it as important for food security, storage, and competitiveness, and staff said it would have a small revenue loss and administrative cost. SB 6231, a governor-request bill, would repeal the sales tax exemption for data center refurbishments while keeping the exemption for original server equipment; OFM and local government groups supported it as a revenue-raising budget measure, while data center, labor, and business representatives opposed it, warning of lost investment, jobs, and competitiveness. SB 6228 would repeal the preferential B&O rate for prescription drug resellers; OFM supported it as an outdated preference, but pharmacies, wholesalers, and business groups argued the cost would be passed through to pharmacies, hospitals, insurers, and patients and could worsen pharmacy closures. The committee then heard SB 6220, which would narrow and clarify a property tax exemption for nonprofit low-income homeownership property by allowing temporary community use and preserving the exemption when property is transferred to another exempt nonprofit. The sponsor said the bill was intended to let a community land trust host local performances without jeopardizing affordable housing plans. Finally, the committee heard SB 5880, which would allow blood and breath toxicology results to be admissible if tested by ISO/IEC 17025-certified labs, in addition to the state toxicologist process. Seattle’s city attorney supported it as a way to reduce a long toxicology backlog and speed DUI cases, while counties raised concerns about shifting costs to local governments and creating unequal access based on local resources. No votes were taken in the transcript provided.

Transcript Highlights:

• When funding is provided under the Community Reinvestment Account for the economic development criteria
• and compliance with the intent of the account.
• and compliance with the intent of the account.
• We do absolutely think that accountability is important, and that's why those... ...think that accountability
• This bill provides a narrow and thoughtful solution.

Summary: The committee met to take executive action on House Bill 2523, concerning the Community Reinvestment Program, and House Bill 2606, concerning the Office of Privacy and Data Protection. Staff briefed a proposed substitute for HB 2523 and several amendments. The substitute would change how Community Reinvestment Account funds are distributed, require tribal consultation, update the community reinvestment plan on a regular cycle, expand reporting and Office of Equity responsibilities, add definitions, and broaden the WSIPP study. Amendments to shorten the plan update cycle, restrict recipients from receiving other state housing assistance, bar certain officers and family members from grants, require independent audits, and expand WSIPP review were debated; only the amendment changing the plan update cycle from 10 years to 5 years was adopted. The committee then voted 8-5 to report the substitute HB 2523 out of committee with a do pass recommendation. HB 2606, which was described as implementing JLARC recommendations to reduce redundancy and improve efficiency in privacy/data protection functions, was then approved unanimously and reported out with a do pass recommendation. The committee then held public hearings on House Bill 2684 and House Joint Memorial 4012. HB 2684 would establish rebuttable presumptions that members of certain groups are socially disadvantaged for purposes of OMWBE certification, including adding Middle Eastern and North African individuals to the framework. Testimony was split: some speakers opposed the bill as discriminatory or constitutionally problematic, while others, including representatives of MENA businesses, CAIR Washington, and OMWBE, supported it as a needed fix to improve access to certification and contracting opportunities. The chair noted that amendments could still be submitted before the next day’s executive session, and the bill was set for further consideration the following morning. House Joint Memorial 4012 urges Congress to bring the Major Richard Star Act to a floor vote. The prime sponsor and veteran advocates testified that the memorial seeks to address the “wounded veteran tax” by allowing combat-injured service members who retire before 20 years of service to receive both retirement pay and VA disability compensation. Supporters said the change would correct an inequity affecting Washington veterans and their families. The committee closed the hearing on the memorial and announced that both HB 2684 and HJM 4012 would be considered the next morning.

Transcript Highlights:

• I want to obviously provide opportunity for anyone to ask a question or provide comments.
• Ensuring that providers, including public schools, can receive ESA funds is a significant step in providing
• educational freedom. education service providers?
• The average amount currently provided is $3,400.
• So, we think accreditation provides that strong accountability, and we encourage that. Thank you.

Bills: SB 2

Committees: Senate Education K-16 , Senate Education

Transcript Highlights:

• The CARES programs varied in the services they provided.
• In terms of the accountable communities of health, some of the accountable communities of health are
• In terms of the accountable communities of health, some of the accountable communities of health are
• So some of the accountable communities of health are quite involved in supporting care programs. accountable
• You are providing incredible service.

Committee: Joint JLARC I-900 Subcommittee for SAO Performance Audits

Summary: The Joint Legislative Audit and Review Committee’s Initiative 900 subcommittee held a hybrid public hearing on two State Auditor performance audits. The first audit examined efforts to reduce non-emergency use of emergency systems through CARES programs. Auditors reported that Washington has 52 fire-agency-led CARES programs in 26 counties, but many communities without programs said they need one. Major barriers included unstable funding, difficulty hiring qualified staff, volunteer-based rural departments, and lack of statewide guidance. The audit also found that only about half of programs tracked both required performance measures, and it recommended that the legislature consider private insurance reimbursement options and convene a statewide work group to develop guidance, standards, and possible changes to the role of the Department of Health. Agency representatives and fire officials largely supported the findings and emphasized that short-term grants and one-year contracts make programs hard to sustain. Committee discussion focused heavily on financing, especially Medicaid reimbursement and accountable communities of health (ACHs). Auditors clarified that the 10% figure cited in the report referred to direct Medicaid reimbursement for treat-and-refer services, which some agencies do not pursue because the $115 rate is too low relative to the administrative effort. Several fire officials testified that their programs rely on grants and ACH support, but that funding is often year-to-year and uncertain. They also described the value of CARES programs in reducing emergency room use, jail detentions, and long ambulance wait times, while noting barriers to sharing patient records across systems. Members asked whether the new public safety sales tax authority could help, but fire district representatives said it is not a direct funding option for them. The second audit reviewed performance management in the Department of Commerce’s Office of Economic Development and Competitiveness. Auditors found that the division does not yet have a statewide economic development strategic plan and that performance management is inconsistent across its 16 programs. In a limited review, all six sampled programs had goals, but only half clearly identified performance measures and targets, and only three tracked outcomes and published results. The audit highlighted leading practices from other states, including strategic planning, regular progress reporting, aligning program goals with agency goals, and using performance-based contracts and grant monitoring. Recommendations urged Commerce to seek stakeholder input, assess internal and external conditions, set goals and measures, align programs with the strategy, and strengthen monitoring and evaluation. Commerce officials agreed with the audit and said the division is already working toward a strategic plan, with a new assistant director to be hired and a target of completing the work by mid-next year. Members pressed the department on how the plan would connect to workforce, higher education, housing, and other economic development systems, and asked Commerce to return to JLARC next year with progress updates. The meeting ended with instructions for submitting written public comments and notice of the next JLARC meeting schedule.

Transcript Highlights:

• It's a lot of money per account.
• and update the account.
• and update the account.
• We use our earnings to provide benefits to our members by way of higher rates on our deposit accounts
• And we use our earnings to provide benefits to our members by way of higher rates on our deposit accounts

Summary: The committee began with a work session on the Joint Legislative Audit and Review Committee’s cannabis market study, presented by JLARC staff member Susanna Pratt. The report found Washington’s cannabis production in 2023 was likely two to three times higher than retail sales, with production estimated at 292,000 to 443,000 pounds of THC versus 139,000 pounds sold. Pratt explained that canopy data are inconsistent and that the Liquor and Cannabis Board’s traceability system is incomplete and unreliable, limiting data-driven regulation, tax verification, recall tracking, and diversion enforcement. JLARC recommended that LCB submit a plan by the end of 2025 for obtaining accurate licensee data by the end of 2026; LCB partially concurred and said a 2027 timeline may be more realistic. JLARC also concluded that the social equity producer licenses would likely have only a minimal effect on statewide production capacity, and suggested the legislature consider broader ways to increase equity in the industry. Members asked about the slow issuance of social equity licenses and about comparable traceability systems in other states. The committee then heard a series of presentations on fraud and scam prevention. Paul Benda of the American Bankers Association described the scale of fraud losses, the role of telecom spoofing, social media scam ads, SIM farms, and crypto ATMs, and argued for a shared-responsibility approach involving banks, telecoms, and platforms. Katie Clark of IQ Credit Union described member-to-member fraud, romance scams, and the operational and financial impacts on credit unions, and recommended better information sharing, safe harbors for returning scam-related funds, and stronger fraud education. Kyle Innes of SIFMA highlighted investor fraud and Washington’s 2009 report-and-hold law, which he said helped shape similar protections in most states, and emphasized the need for better communication among financial firms, APS, and law enforcement. Brian Gerard and Ali Higgs from the Department of Financial Institutions discussed “pig butchering” and other investment scams, focusing on how scammers build trust through social media, dating apps, fake websites, and crypto schemes before extracting funds. Across the fraud presentations, witnesses repeatedly stressed consumer education, interagency information sharing, and stronger controls on telecom, social media, and crypto ATM activity. Members asked about model laws from other states, the role of financial education in schools, and whether crypto ATMs should be regulated or banned. No votes or formal committee actions were taken during the meeting.