Transcript Highlights:

• That's the base. That base goes back to cities, counties, special districts.
• The Commission's regulatory scope is organized into three separate areas, the first being rate-based
• That will be rate cases, rate setting, earnings review for electric and gas.
• That will be rate cases, rate setting, earnings review for electric and gas and wastewater utilities.
• Based on this analysis, staff provides recommendations that strike the balance, ensuring that rates remain

Summary: The State Administration Budget Subcommittee met for an introductory overview of the agencies under its jurisdiction and their current-year budgets. Chair Vicki Lopez welcomed members and staff, and each member briefly introduced themselves and identified areas of interest, with recurring themes including fiscal restraint, insurance regulation, revenue administration, condominium issues, and government efficiency. The chair then outlined the subcommittee’s overall budget, about $3.1 billion, and noted major recent policy areas affecting the budget such as condominium legislation and emergency communications funding. Agency heads then presented high-level summaries of their missions and budgets. The Department of Revenue described property tax oversight, tax administration, and child support enforcement; the Department of Management Services reviewed state purchasing, telecommunications, fleet, state insurance, retirement, and digital services; DBPR highlighted licensing, enforcement, condominiums, and building code work; DFS covered insurance consumer services, risk management, unclaimed property, fire marshal functions, and criminal investigations; the Gaming Control Commission discussed pari-mutuel and tribal gaming oversight and enforcement; OIR explained insurer solvency and rate review; the Lottery emphasized education funding and record sales; OFR described regulation of banking, securities, lending, and money services; DOAH outlined administrative and workers’ compensation adjudication; PSC covered utility rate regulation and consumer complaints; PERC described labor relations and career service appeals; and FCHR summarized discrimination complaint investigations and outreach. Several members asked questions about utility returns, insurance regulation staffing, DMS’s state employee health plan deficit and prescription drug formulary management, agency recommendations for reducing regulatory burden, and state facilities usage. Responses generally emphasized that utility rates and insurer filings are determined through evidentiary and actuarial processes, that OIR has reduced vacancies but still seeks specialized staff and a Tampa office expansion, and that DMS acknowledged rising health plan costs and said the issue likely requires broader budget-level discussion. The chair also pressed multiple presenters to stay focused on agency operations and budgets rather than broader policy issues. No votes or formal actions were taken in the meeting.

Transcript Highlights:

• They are fee-based.
• These companies are not based in New Mexico.
• They don't run interest rates.
• This is... not an interest-based proposal, and it's not an interest-based model.
• But fundamentally, these aren't interest-based models.

Transcript Highlights:

• It's not necessarily a fixed rate. Do you know the foster care rate?
• that you can see the rate increases over time based on the daily rate that we established.
• I follow up on the residential rate increase, which is a cost-based reimbursement.
• I follow up on the residential rate increase, which is a cost-based reimbursement.
• Based Services.

Keywords: 1189, house, all

Summary: The Division 3 House Finance Committee opened a work session and announced scheduling updates, including a second Medicaid work session on March 5 at 9:00 a.m. and a reminder that recommendations or budget amendments must be moved to the full finance committee by the end of March. Members were told no motions, roll calls, or votes would be taken, and the chair also reviewed upcoming meeting dates and weather-related cancellation procedures. The day’s presentation was a budget work session on the Division for Children, Youth and Families (DCYF), with officials Marie Nunan and Nathan White introducing the agency’s budget materials and mission. DCYF’s presentation focused on its core mandates and recent operational changes. Officials described child protective services, juvenile justice services, and the Sununu Youth Services Center, then highlighted workforce improvements, including reduced vacancy rates for assessment caseworkers, juvenile justice officers, and youth counselors. They attributed the staffing gains to legislative pay raises, mass recruitment posting changes, a more stable and trauma-informed model at SYC, and broader flexibility after prior budget cuts and hiring freezes. Members asked about full-time versus part-time staffing, and DCYF said most positions discussed were full-time, with some harder-to-fill part-time youth counselor roles at SYC. The committee also discussed DCYF’s emphasis on serving families earlier through its Community Navigator hotline referrals and community-based voluntary services, which are intended to connect families to supports before abuse or neglect escalates. Officials said the Community Navigator program had received 807 referrals since August 2023. On juvenile justice, DCYF described its assessment and diversion process and said it had reduced juvenile probation involvement by 30% from 2019 to 2023; members were directed to slide 17 for 2024 data, and officials said the trend continued toward fewer in-home juvenile justice cases. The agency also reported progress in kinship care, saying initial out-of-home placements with kin now occur 74% of the time and that kinship placements are associated with more reunification. Officials said kinship caregivers are being licensed and paid similarly to foster parents, and that the legislature’s kinship law has helped. Finally, DCYF outlined transition-age youth supports, including the HOPE program, Youth Villages LifeSet, and housing vouchers. No votes or formal actions were taken.

Transcript Highlights:

• So we don't fund based on students; we fund based on units.
• They looked at high school graduation rates and college remediation rates as indicators of whether there
• It has closed a bit in graduation rates.
• Rating mechanisms, methodologies, and matrices that rate disciplines and levels of study by their cost
• the base for each institution as a whole.

Transcript Highlights:

• Slide 4, moving on—no additional base request. These are all just rates.
• Rates, and it's killing us. So far, the LFC recommendation is unfunding rates by $5 million.
• and DO IT rates last year.
• That didn't leave a lot of room for GSD risk rates and, you know, DO IT premium draft published rates
• An interest rate buy down.

Bills: SB48, SB64, SB100

Keywords: State Fairgrounds District, fairgrounds bonds, public financing, bond authorization, gross receipts tax, gaming tax, tax-backed bonds, infrastructure funding, Albuquerque fairgrounds, State Fair Tid, economic development, municipal bonds, revenue pledge, capital projects, New Mexico finance, special education, office of special education, deputy secretary, public education department, IEP

Transcript Highlights:

• We estimate that as the base and then we apply a growth rate to that base for 2026 and then a growth
• and then we apply a that as the base and then we apply a growth<00:15:20.480> rate<00:15:21.440
• > 26<00:15:23.440> and<00:15:23.680> then growth rate to that base for 26 and then
• growth rate to that base for 26 and then a<00:15:24.000> growth<00:15:24.240> rate<00:
• That's a $1..." base, right? our our number is uh 174 base, right?

Keywords: 928, house, all

Summary: The Committee of Conference on HB 1 and HB 2 was called to order, and Legislative Budget Assistant Michael Kaine reviewed the working documents before the committee. He explained the compare report, the detailed change sheet, the HB 1 index, the HB 2 side-by-side, the surplus statement, and a revenue handout, noting that the committee would vote up or down on all detail-change items and that unresolved items on hold would be removed from the final bills. He also identified staff available to answer technical questions and noted that the committee would track the dollar impact of decisions as it proceeded. Members then turned to the revenue outlook, with discussion focused on the gap between the House and Senate budget positions. House members said their budget guidance was based on revenue estimates that were significantly below the governor’s proposal, and they discussed whether additional revenue could close part of the gap. Department of Revenue Administration Commissioner Lindsey Stepp presented updated revenue estimates based on May data, explaining the methodology and the ranges for fiscal years 2025, 2026, and 2027. She said business taxes were the largest source of uncertainty, with estimates reflecting current economic conditions, recent revenue performance, and a range of possible growth rates. Committee members questioned the assumptions behind the business-tax ranges, including why the low and high scenarios were set at 2% and 8% growth. Stepp said the range was based on historical performance and current economic factors such as inflation, tariffs, and business behavior, and she noted that June is a major estimate-payment month for business taxes. Members also discussed recent revenue trends, including the effect of tariffs and the possibility of federal tax policy changes affecting repatriated profits. The commissioner and House members also discussed other revenue sources, including rooms and meals and real estate transfer taxes, with the House side arguing that lower mortgage rates and home prices could increase real estate transfer revenue. No votes were taken in the portion provided, but the committee discussed possible upward adjustments to House revenue assumptions, including increases of roughly $70 million in total based on the updated outlook and additional insurance-related revenue.

Transcript Highlights:

• electricity rates. electricity rates.
• The utilities' role is to get that rate and that rate effectively reflects what the market rate is in
• The utilities' role is to get that rate, and that rate effectively reflects what the market rate is in
• The utilities' role is to get that rate, and that rate effectively reflects what the market rate is in
• The utilities' role is to get that rate, and that rate effectively reflects what the market rate is in

Keywords: 1191, senate, all

Transcript Highlights:

• <00:05:10.800> uh steady even in a high interest rate uh steady even in a high interest rate
• <00:14:20.880> of continuously funded at the rate of continuously funded at the rate of 750,000
• <00:30:27.039> representative increase from the base representative increase from the base
• year in the base.
• base uh and the is it above the base uh and the tails<01:21:24.600> Mr tails Mr tails Mr sa<01

Bills: HF770, HF857, HF38, HF1500, HF43

Keywords: HF770, Rural Finance Authority, RFA, capital investment, state bonds, general obligation bonds, bonding bill, agricultural loans, farm loans, beginning farmer, new farmer, seller-sponsored loans, loan restructuring, agricultural improvement loans, livestock expansion, modernization loans, rural development, Minnesota agriculture, farm credit, chapter 41B

Transcript Highlights:

• In this chart, we show the federal funds rate and the 30-year fixed mortgage rates.
• The federal funds rate and other interest rates, like the 30-year fixed mortgage rate, are closely but
• Mortgage rates and other long-term rates also respond to lenders' inflation expectations.
• mortgage rates and other long-term rates mortgage rates and other long-term rates also<00:14:37.480
• base matching rate and our sort of our base matching rate and the<00:32:18.399> 90%<00:32:19.039

Keywords: 1187, senate, all

Transcript Highlights:

• Further, while the PSC sets rates based on expected costs, they don't run utilities or make spending
• rates to each consumer within that area. rates to each consumer within that area.
• Further, while the PSC sets rates Further, while the PSC sets rates based<00:05:37.520> on
• the rate payers in the service area. the rate payers in the service area.
• the lowest rates in the nation. the lowest rates in the nation.

Keywords: Meeting Start 00:00:00 Attendance Roll Call 00:00:38 SB 213 Discussion 00:01:23 SB 213 Roll Call Vote 00:20:45 SB 8 Discussion 00:26:23 SB 8 Roll Call Vote 00:58:16, 958, all

Summary: The committee met with a quorum, approved the prior minutes, and first heard Senate Bill 213 from Senator Phillip Wheeler. He described the bill as a response to rising electric bills, especially in Eastern Kentucky, and said it would give the Public Service Commission more tools to push utilities toward least-cost planning, require stronger integrated resource plans, and address utility service territories, utility sales, and generation contracts. He argued that monopoly service territories are privileges granted by the Commonwealth, not irrevocable rights, and said the bill would help prevent ratepayers from bearing the cost of poor utility decisions or sale premiums. He also said the bill would allow large new loads, such as data centers, to choose alternative power sources in certain areas to encourage economic development. Members asked questions about how the bill would work, especially the section stating that service territory rights belong to the Commonwealth and the provision dealing with utility sale premiums. Senator Wheeler explained that if a utility is sold at a premium, that premium should not simply be passed on to customers, and he said the bill aims to reduce costs for ratepayers and create more competition. Several members spoke in support of the bill’s goals while noting the complexity of utility regulation. Senator West said some companies had not been responsive to concerns about rates, Senator Williams said he would pass but wanted utilities to have enough generation to serve Kentucky users, and Chair Smith said the bill was a smart approach within the legislature’s limited authority. The committee then voted to report Senate Bill 213 favorably with the expression that the same shall pass. The committee then took up Senate Bill 8 from Senator Brandon Smith, which would modernize the Public Service Commission. He said the bill and committee substitute were intended to help the PSC handle increasingly complex utility regulation, infrastructure investment, and rate cases by expanding the commission from three to five members, with three gubernatorial appointees and two appointed by the Auditor of Public Accounts. He also said the bill would adjust the threshold for PSC review of electric transmission construction from one mile to five miles, to reduce delays while preserving oversight of major projects, and would update appointment terms and other language in the substitute. Smith said the changes were meant to improve staffing and expertise at the PSC and speed transmission buildout. The discussion was still underway when the transcript ended, and no final vote on Senate Bill 8 appears in the provided excerpt.

Transcript Highlights:

• and also reduce SNAP error rates. and also reduce SNAP error rates.
• , corporate tax rates, or both.
• Paul. based on this, and St. Paul nearly based on this, and St.
• tax rates for cities and counties. tax rates for cities and counties.
• But don't put it in the base.” What do they do? They put it in the base.

Keywords: 919, house, all

Summary: House File 4845 was presented as a tax modernization and local aid bill that would adjust Minnesota income tax brackets for inflation, add a new top bracket of 10.85% for high earners, and increase local government aid and county program aid beginning in 2026. Representative Hollins said the bill would strengthen local government funding and require the Department of Revenue to recertify aid distributions. The chair noted the bill would be laid over for possible inclusion in the 2026 tax bill. Supporters, including St. Paul Mayor Melvin Carter? no, Mayor Kelly Her of St. Paul, AFSCME Local 34, and Rebuild Minnesota, argued that cities and counties need more stable revenue to cover rising costs, public safety, human services, and property tax pressure. They said the bill would help local governments meet unmet needs and reduce reliance on property taxes. Opponents from the Minnesota Business Partnership and Minnesota Chamber of Commerce argued the new top rate would hurt competitiveness, talent recruitment, and business investment, especially because many businesses pay through the individual income tax code. Some testifiers also opposed directing more aid to cities that they said restrict housing development, while others urged the committee to address unfunded mandates and fraud instead of raising taxes. During member discussion, Representative Joyce opposed creating another bracket and suggested using cannabis tax revenue instead. Representative Wiener said the state has a spending problem and cited fraud concerns, while Representative Roach questioned whether the bill truly helped greater Minnesota and noted the current LGA appropriation is just over $644 million. Representative Hollins responded that the proposal would mostly benefit greater Minnesota by shifting more of the tax burden to high earners in the metro area. No vote was taken; the bill was laid over for possible inclusion in the 2026 tax bill.

Transcript Highlights:

• So the base that the tax rate is applied to increases, that would increase revenue to the point where
• rate.
• We collect the tax from the hospitals based on the tax base and the rate that's in statute, and then
• analysis, where we just take the base and apply the new rate.
• <02:10:01.239> and take the base and apply the new rate and take the base and apply the new

Keywords: 928, house, all

Summary: The committee meeting began with an overview from the Legislative Budget Assistant Office on how Ways and Means will work with agencies and leadership during the budget and revenue-estimating process. Staff explained that the governor’s budget is still being developed, agencies are cautious about going on record early, and the committee will use worksheets and updated fiscal reports to track estimates. The presentation emphasized that the fiscal year 2025 budget status is a point-in-time snapshot and remains fluid because the annual comprehensive financial report has been delayed, which could change the beginning balances for both the general fund and education trust fund. The budget update highlighted that the general fund is currently stronger than originally assumed, while the education trust fund is weaker. The speaker said the general fund began FY25 with a much larger balance than expected, while the education trust fund came in lower due to higher-than-budgeted adequacy spending and weaker business tax performance. Revenue trends showed the general fund slightly ahead year to date, but the education trust fund down significantly. The committee also discussed unbudgeted appropriations, including attorney general litigation, legal settlements, abandoned property claims, adequacy true-ups, and education freedom accounts, as well as the role of lapses and off-budget items in the final balance. Members asked about the delayed liquor commission audit and whether it could affect revenue forecasts. Staff said the delay was mainly caused by the commission’s switch in point-of-sale systems and staffing losses, but did not expect major ongoing reporting issues. They also noted that liquor fund variances are more likely tied to Medicaid expansion costs than to commission operations. The governor’s office was said to be working on possible budget reductions, but no January request to the fiscal committee was expected. Commissioner Lindsay Stepp of the Department of Revenue Administration then presented an overview of state revenue sources, focusing first on the meals and rentals tax. She explained that DRA administers 14 taxes that account for most state revenue, and that meals and rentals tax growth has slowed after strong post-pandemic gains. She described factors affecting the tax, including employment, inflation, fuel and food prices, wages, and weather, and noted that online platforms like Airbnb have improved compliance by collecting and remitting tax on behalf of hosts. Members asked about short-term rental compliance and how DRA identifies unlicensed rentals; Stepp said referrals, anonymous tips, and platform data help enforcement.

Transcript Highlights:

• So they will serve meals to all students based on their status.
• The federal government sets those reimbursement rates every July.
• So obviously, we're going to expect a higher participation rate.
• They also serve meals at no cost, but they use a base year.
• Some are automatically based on economics and other factors.

Summary: The Legislative Management Committee met to address the fiscal impact of Initiated Constitutional Measure No. 3, which would require public schools, public school districts, and public charter schools to provide breakfast and lunch at no cost to students and allow reimbursement from the state, with implementation beginning in the 2027-28 school year. The committee first filled a vacancy created by Representative Jared Hagert’s resignation by appointing Representative Berg to the committee. Legislative Council and DPI staff explained the measure’s requirements, including federal reimbursement participation, possible use of the legacy earnings fund if other funding is unavailable, and the authority of the Legislature and superintendent of public instruction to clarify implementation details. Linnell Johnson of DPI testified that the estimated fiscal impact for the 2027-2029 biennium is between $124 million and $134 million, based on participation assumptions, federal reimbursement rates, and the extent to which schools continue to collect applications or use community eligibility/provision 2 options. She also noted a likely additional administrative cost of about $300,000 for DPI to operate the program. Members asked about school participation, Title I implications, special diets, staffing, and whether the measure could reduce federal reimbursements if families stop applying. Johnson said the estimate is uncertain and could be higher if applications decline, but that schools would still have incentives to participate in federal programs because of reimbursement and other funding ties. After discussion, the committee adopted a motion to report a fiscal impact range of $124,300,000 to $134,300,000 per biennium to the Secretary of State. The committee then received an informational update from Legislative Council attorney Dustin Richard on the ongoing redistricting litigation. He explained that the U.S. Supreme Court vacated the Eighth Circuit’s ruling and sent the case back for reconsideration in light of Louisiana v. Callais, while the district court-imposed map remains in effect for now. No action was taken on that update, and the meeting adjourned after members noted minutes from the prior meeting were not yet available for approval.

Transcript Highlights:

• SB 433 establishes room and board rate protections for participants in the assisted living waiver and
• However, low-income Medi-Cal recipients without SSI are not protected by an income-based rate cap and
• SB 433 creates an income-based cap to RCFE room and board rates that allows all Medi-Cal assisted living
• Are you talking about the cap on the rate?
• on a tiered rate system.

Summary: The Assembly Aging and Long-Term Care Committee met on June 24 with a substitute chair presiding and considered three measures. SB 352 by Senator Reyes was placed on the consent calendar and approved unanimously, 7-0, to be re-referred to the Committee on Emergency Management. SB 433 by Senator Wahab, presented on behalf of Senator Stern, was heard next and focused on room-and-board protections for participants in the assisted living waiver and CalAIM assisted living transition community support programs. Supporters, including Justice in Aging, CANHR, the Western Center on Law and Poverty, the California Commission on Aging, and the Long-Term Care Ombudsman Association, argued the bill would prevent low-income Medi-Cal residents from being charged unaffordable rates and losing their housing. Opponents, including the California Assisted Living Association, LeadingAge California, and Six B’s, said they remained concerned about the bill’s rent-control implications and statutory scope, though they acknowledged recent amendments addressed some eligibility issues. After committee discussion, SB 433 was approved 5-1 with one abstention and re-referred to the Committee on Human Services. The committee also heard SB 582 by Senator Stern, presented by Senator Wahab, which would allow state departments to issue disaster suspensions of active licenses for facilities rendered inoperable by declared emergencies, waive some licensing fees, and provide temporary flexibility for community-based adult services, child care, and evacuation planning requirements for skilled nursing and residential care facilities. Support came from the California Assisted Living Association, LeadingAge California, the California Commission on Aging, the Long-Term Care Ombudsman Association, CANHR, and a child care resource center, all describing the bill as helpful for rebuilding and continuity of services after disasters. There was no recorded opposition, and SB 582 passed unanimously, 7-0, to the Committee on Health. The meeting then adjourned.

Transcript Highlights:

• So a positive there, 9.17 is the effective tax rate there. So Mr.
• More of a volume-based tax than a value-based tax like we have on the oil side.
• And then we asked for base budgets to be submitted.
• about half of the mill rate in Fargo or Grand Forks County.
• rates, and that helps them do their budgeting.

Summary: The Budget Section approved the March 18 minutes and received an OMB update showing the general fund is still ahead of the budgeted starting point, but revenues through May are now about $76 million below the legislative forecast, driven mainly by individual income tax and sales tax shortfalls. OMB also reported the budget stabilization fund is above its cap, meaning a transfer to the general fund is expected, and reviewed oil price/production assumptions, noting continued volatility. Members asked about the income tax netting process, the sales tax decline, oil price discounts/premiums, natural gas taxation, and when the executive branch would present its revenue forecast. The committee then acted on several Emergency Commission requests. It approved, as a group, requests for federal mine reclamation funds for the Public Service Commission, an additional criminal investigator FTE and funding for the Attorney General’s office, and a DPI transfer for bridge software costs. It separately approved DPI request 2164 for $500,000 to support the food vendor program after debate over whether the program’s savings were known and whether the money was simply a pass-through. OMB also reported on federal grants, fiscal irregularities, tobacco settlement proceeds, budget guidelines for agencies, FTE pool usage, vacancy savings, and the DAPL settlement, noting the settlement funds had been deposited and that a deficiency appropriation may be needed later to cover remaining accrued interest. Tax Commissioner Brian Kroshus presented on the primary residence credit program, saying participation has grown sharply and that the current biennium will likely need about $431 million, roughly $22 million above the appropriation. He explained how the credit interacts with homestead and disabled veteran benefits, how the 3% property tax cap works, and why county valuations and mill rates vary. The committee also received a Legacy Fund/Budget Stabilization Fund report showing strong returns, and DOT Director Ron Henke received approval for two Flex Fund highway projects on ND 49 and ND 31. Henke also explained remaining Highway 85 funding and said the department is exploring uses for leftover state dollars. Finally, the Department of Mineral Resources reported on abandoned well plugging and site restoration, noting North Dakota remains in relatively strong shape compared with other states, and DPI began a presentation on gap funding tied to the 3% levy cap, reporting 24 districts received $1.8 million in the first year and projecting higher future needs.

Transcript Highlights:

• . rates. rates.
• But uh rates.
• Now that leads us to the increase in the tax rate in 28, based on the average wholesale price in 27.
• <02:18:52.240> based<02:18:52.559> on in 28 the 28 for uh tax rates based on in 28
• the 28 for uh tax rates based on the<02:18:53.840> average<02:18:54.160> wholesale<02:18

Keywords: 958, all

Summary: The meeting focused on reaching consensus on official Kentucky revenue estimates for fiscal years 2026 through 2028, using updated S&P Global economic forecasts compared with the September presentation. Staff explained that the updated forecast relied partly on alternative data because of the federal government shutdown, and they walked through changes in national and Kentucky economic assumptions across control, optimistic, and pessimistic scenarios. The control forecast was described as slightly more optimistic in the near term but more cautious in fiscal 2027 and 2028, with GDP growth revised up for the current year and down somewhat in the outer years. The pessimistic scenario now assumed a two-quarter recession beginning in the current quarter, while the optimistic scenario was given a higher probability weight than before. The presenters highlighted several Kentucky-relevant variables that changed since September, including weaker manufacturing employment, weaker housing starts, weaker consumer sentiment, and lower expected non-farm employment in fiscal 2026. At the same time, wage and salary disbursements were revised upward in fiscal 2027, reflecting higher disposable income from tax changes, and real consumer spending was expected to be stronger in the near term. They also discussed assumptions about tariffs, business profits, the Federal Reserve, unemployment, oil prices, retail sales, vehicle sales, exports, and consumer sentiment, noting that some indicators were little changed while others shifted materially. Consumer sentiment was attributed to affordability concerns, tariff impacts, and a general sense of malaise, but was expected to improve in later years from a low base. Members asked follow-up questions about why the forecast worsened in later years and about the consumer sentiment assumptions. Staff responded that the forecast assumed larger take-home pay and refunds from tax withholding changes, along with some easing of tariff effects, which they believed would help offset a negative wealth effect from stock market declines. They also noted that S&P Global’s December forecast, which had already been published, was essentially consistent with the presentation and that the firm believed its earlier assumptions had tracked recent data well. No vote or final action was recorded in the portion provided, but the discussion was aimed at settling the revenue estimates that will underpin the upcoming branch budget bills.

Transcript Highlights:

• rates?
• Texas birth rates peaked in 2007, and we've been aware of the declining birth rate for years.
• rate problem or challenge.
• There are dropout recovery schools that are not rated. And what... Schools that are not rated.
• Percent of our tax base.

Keywords: 1184, house, all

Transcript Highlights:

• <00:20:57.120> It's flat rate applied evenly across.
• It's flat rate applied evenly across.
• Faced with these tax increases is rate.
• if they develop their base, speak to motive.
• Well, property tax base speak to motive.

Keywords: 1191, senate, all

Transcript Highlights:

• Whether their base charges are on a meter size or a flat rate, they base their consumption off of different
• They're based off of a rate study. We've performed those.
• When we looked at that, it's looking like $75 to $85 on our base rate.
• When you say over 100, that's base rate? Base rate, yes. Sorry, I'm forgetting to acknowledge you.
• Does he have a base rate then? Yes, 34. Okay. So you're charging $34 for a base rate and $8.05.

Keywords: 908, all

Transcript Highlights:

• <00:14:12.120> at state level I employment rate at state level I employment rate at 3%<00:
• 30-year mortgage rates, and the spread between the mortgage rate and the bond rate has been abnormally
• :21.720> has<00:57:21.839> been mortgage rate and the bond rate has been mortgage rate
• 2025 budget base.
• <01:45:30.360> a<01:45:31.000> big based upon the fy2 budget base a big based upon

Keywords: 910, house, all

Summary: The Committee on Finance held its first informational briefing for 2025, beginning with member introductions and then hearing an economic outlook presentation from Dr. Eugene Tian of the Department of Business, Economic Development and Tourism. Dr. Tian said Hawaii’s economy was in relatively good shape in several areas, especially construction, which he described as at a historical high, with construction employment above 40,000 monthly and building permit values and contracting tax base both up sharply. He also noted real estate sales had rebounded in 2024, the labor market had stabilized with unemployment around 2.9%, and initial unemployment claims were below 2019 levels. At the same time, he highlighted challenges including inflation running above the national rate, a shrinking labor force, lower employment compared with 2023, and continued weakness in visitor spending and arrivals. He said future growth would likely come from health care, professional services, construction, tourism recovery, and diversified sectors such as renewable energy, aquaculture, creative industries, and technology. Dr. Tian also discussed Hawaii’s economic structure and recovery, saying the state remains more concentrated in a few industries than the U.S. overall, with government and hospitality making up larger shares of the economy. He said non-tourism sectors had recovered, but tourism-related jobs and output were still below pre-pandemic levels, with Maui and the visitor industry still affected by the wildfire and COVID-19 impacts. He projected tourism and non-agricultural wage and salary jobs would not fully recover until 2027, and said population trends remain a concern because of aging, the likelihood of deaths outpacing births in coming years, and reliance on in-migration. After his presentation, the chair said questions would be taken later and the committee took a short break. After the break, Dr. Carano of the Hawaii Executive Director’s office presented a second outlook, saying Hawaii’s economy in 2025 looked better than 2024 overall, though he emphasized substantial uncertainty tied to the incoming federal administration. He said possible changes to tariffs, tax policy, immigration, and federal spending could raise inflation and keep interest rates higher than previously expected, which would affect housing, consumer debt, the dollar, and Hawaii’s visitor industry. He noted that U.S. visitors account for roughly three-quarters of visitor spending in the state, making federal policy especially important. He also said deregulation could be a long-term positive but would not likely have much effect in 2025 or 2026. As an additional risk, he pointed to bird flu and its effect on livestock, poultry, and egg prices. No votes or formal actions were taken during the briefing.