Transcript Highlights:

• </c><05:26:44.160><c> bill,</c> voting yes for this reconciliation bill, voting yes for this reconciliation
• </c><06:12:24.638><c> bills</c><06:12:25.040><c> are</c> aware, reconciliation bills are aware, reconciliation
• </c><06:13:33.360><c> bill</c> are doing with the reconciliation bill are doing with the reconciliation
• This is a revote on the reconciliation bill.
• So a revote on the reconciliation bill.

Bills: HR492 , HR499 , HB2056 , SB331

Keywords: immigration, sanctuary jurisdiction, federal compliance, District of Columbia, law enforcement, fentanyl, controlled substances, drug trafficking, public health, research regulations

Transcript Highlights:

• Instead, this Republican majority is poised to make things worse through the reconciliation process.
• Instead, this Republican majority is poised to make things worse through the reconciliation process.
• Instead, this Republican majority is poised to make things worse through the reconciliation process.
• ><c> bill</c><03:08:07.120><c> that</c> This bill, the reconciliation bill that This bill, the reconciliation
• </c> bill that we passed, the reconciliation bill that we passed, the reconciliation bill,<05:25:43.840

Bills: HR469 , HB2483 , HR458

Keywords: official photography, House of Representatives, session, government transparency, public engagement, opioid crisis, substance use disorder, mental health, treatment programs, recovery services, federal funding, public health, grants

Transcript Highlights:

• ><c> bill</c> what this reconciliation bill what this reconciliation bill represents.<02:36:03.680><c
• </c> Paired with this awful reconciliation Paired with this awful reconciliation bill<02:41:24.640><c
• ><c> passes,</c><02:45:52.479><c> I</c> Once this reconciliation bill passes, I Once this reconciliation
• This reconciliation bill responsibility.
• Republicans passed reconciliation 1.0.

Bills: HB7892 , HR1352 , HB5408 , HR1140 , SB2 , HR1345

Keywords: identity fraud, FAFSA, higher education, financial aid, verification system, labor union, collective bargaining, first contract, initial contract, union certification, union recognition, National Labor Relations Act, NLRA, workplace organizing, labor arbitration, mediation, Federal Mediation and Conciliation Service, FMCS, binding arbitration, labor relations

Transcript Highlights:

• Bank reconciliations were not prepared monthly.
• or employee other than the person preparing the reconciliation.
• or employee other than the person preparing the reconciliation.
• Bank reconciliations were not performed on a monthly basis.
• Bank reconciliation contained numerous errors.

Committee: All LEGISLATIVE JOINT AUDITING-COUNTIES AND MUNICIPALITIES

Summary: The committee approved the prior minutes and then received a series of audit and compliance updates. Staff reported on delinquent private water and sewer reports, delinquent 2013-2023 water reports, and several municipal accounting code noncompliance cases. Denning and Gum Springs were recommended to be removed from the 60-day clock after staff visits showed improved records, while Fargo, Lead Hill, Almy, Jericho, Haynes, Biggers, Gilmore, and Holly Grove were discussed for repeat findings involving missing audits, poor bookkeeping, unpaid or misapplied street funds, deficit balances, and other accounting deficiencies. Several of these entities were given additional time or had reports filed without objection, while others were deferred for later review. Fargo’s mayor said the town had been understaffed and was working to improve its accounting systems; the committee voted to defer the matter to the August meeting. Lead Hill’s mayor described efforts to complete overdue water audits and improve office procedures, and the committee also postponed action for 60 days. Almy’s mayor and recorder-treasurer were present, and the committee placed the town on the 60-day clock for repeat accounting issues. Biggers and Gilmore both acknowledged long-running audit problems and said they were working with auditors and the IRS; their reports were filed. Holly Grove’s treasurer said she had only recently taken the position, and that report was filed as well. The committee spent considerable time on the street-fund misuse cases for Jericho and Haynes. Jericho was found to have exceeded the statutory threshold tied to fines and costs, with staff noting the town had since become current on its repayment plan; the committee deferred the report to September. Haynes was also behind on its repayment plan for street funds, with staff saying the town had recently made up the shortfall and was current as of the meeting, but the committee still deferred the report to September. Members and staff also discussed how the speed-trap law is applied, whether certain fines and costs count toward the threshold, and the role of the prosecuting attorney in deciding whether to take further action. The committee then reviewed a special report on the Pulaski County Regional Solid Waste Management District, which had six findings involving board approval of payroll and contracts, credit card documentation, vehicle and cell phone use, competitive bidding, electronic funds controls, and unusually high advertising spending. District Director Craig Douglas said the board had delegated some authority, that receipts were missing during a temporary staffing gap, and that advertising was needed to educate the public; he also defended the sale of trailers and other equipment as a way to exit the trailer business. Several members questioned the explanations and the low resale value of equipment, but the committee ultimately deferred the report to September. The meeting also included a recognition of accounting students interning with audit staff and a final set of actions on deferred water and sewer reports: 11 were filed, seven were deferred for lack of proper responses, and a private report on Shannon Hills Water, Sewer, and Fire Department was noted as involving misappropriation by an office manager and inadequate internal controls.

Transcript Highlights:

• This is part of the reconciliation. They wanted to go to them.
• This is part of the reconciliation of the budget.
• We were left the fire and the reconciliation. Under our own capital.
• We are left the fire and the reconciliation appropriation contingency fund and the other one.
• And this is part of the reconciliation. Mr. Chairman, did they have a feasibility plan?

Bills: SB190 , HB247 , HB2 , HB8

Committee: Senate House Appropriations & Finance

Summary: The committee reviewed drafting instructions and spending sheets for House Bill 2, focusing on both recurring and nonrecurring appropriations, reserve levels, and several late changes. Staff explained that the package would leave reserves around 28% under the current scenario, with the possibility of rising to about 30% if a separate natural disaster reform bill is enacted. Members discussed how disaster funding would be handled through a replacement Section 8 and the appropriation contingency fund, and whether the operating reserve could be tapped with explicit authorization. There was also clarification on fund types, including other state funds and interagency transfers, and on how line items were reflected in the spreadsheets. A major point of debate was how to offset additions by reducing funding elsewhere. Members discussed shifting money from the state fair/multipurpose arena request, the Office of Natural Resources Trustee, and other capital items to accommodate changes. Several senators raised concerns about cutting the Office of Natural Resources Trustee too deeply and about the purpose of those funds, including possible land purchases and floodplain mitigation in Ruidoso. The committee also discussed whether the state fair money should be reduced, with some members supporting a $25 million restoration and others preferring to leave the executive’s request intact. Staff noted that some reductions were not true cuts but swaps or offsets, such as moving local road money and using excess capital outlay reserves. Other corrections and policy items were addressed, including an increase for UNM and NMSU stadium funding, a correction to a project distribution on line 105, and funding for the Health Council. Members also noted that the public employee 1% raise was no longer funded because recurring capacity was used elsewhere, and that no COLA was included. After discussion, Senator Woods moved to adopt the drafting instructions, Senator Gonzalez seconded, and the motion passed without objection. The committee then directed staff to prepare a catch-up cleanup version of House Bill 2 for later review and said House Bill 8 would be taken up the next morning.

Transcript Highlights:

• There was a person that was supposed to be doing that reconciliation.
• These are the reconciliation reports that were late or not fully reconciled.
• They're just required reconciliation reports that we have to do.
• They're just required reconciliation reports that we have to do.
• That means the previous person that was here was not doing the reconciliation right.

Committee: All LEGISLATIVE JOINT AUDITING

Summary: The Legislative Joint Auditing Committee met on June 5 and first adopted prior minutes and several committee reports. The executive committee report noted adoption of its minutes, staff updates on scheduled audits, approval of an annual financial audit for the City of Horseshoe Bend, and an update on the intern program. The Counties and Municipalities report covered delinquent private water and sewer audits, compliance follow-up with towns including Denning, Gum Springs, Omer, Fargo, Jericho, and Haynes, and review of current and deferred reports; the committee filed most current reports but deferred several and referred some matters to prosecutors and the Attorney General. The Educational Institutions report said 103 education audits were reviewed, most with no findings, while several school districts had findings and one Booneville School District finding was referred to law enforcement. The State Agencies report included findings at the Department of Finance and Administration and a deferred Department of Health report, and the committee filed 13 reports. The committee then received lengthy presentations on the State of Arkansas annual comprehensive financial report and the state single audit for fiscal year ended June 30, 2025. Legislative Audit issued unmodified opinions on the state financial statements, but identified two material weaknesses: insufficient internal controls at the Office of State Technology to monitor threats and unauthorized access, and improper methodology changes and documentation issues at the Division of Workforce Services affecting year-end estimates for unemployment-related accounts. The single audit covered $12.4 billion in federal awards across 469 programs, with 16 major programs reviewed. Auditors reported 33 findings overall, including 31 federal findings, $12.9 million in outstanding questioned costs, and qualified opinions for the Summer Electronic Benefit Transfer program, the Coronavirus Capital Projects Fund, and the Child Care Development Fund cluster. Committee members questioned DHS, the broadband office, OST, DFA, Education, and Workforce Services about the findings, corrective actions, cyber protections, federal drawdowns, child care reporting, and accounting methodology changes. Several agencies described corrective steps. DHS said it had changed how it draws Summer EBT funds, addressed provider revalidation and incarceration-related Medicaid issues, and updated internal processes and staffing. The broadband office said the questioned costs reflected invoice documentation disputes rather than missing payments and expected Treasury review to resolve the issue. OST said it was expanding logging, endpoint detection, and enterprise monitoring, and described broader cybersecurity investments, training, and a roadmap. DFA and Workforce Services addressed the workers’ compensation and unemployment accounting issues, with Workforce Services saying it had updated its policy and submitted the methodology to DFA. After discussion, the committee voted to hold the two statewide audit reports over until the August meeting, with members asked to submit specific questions in advance so only needed agencies would return. The final item was a special report on the Hot Spring County Solid Waste Authority for January 1, 2023 through June 30, 2025. The audit reviewed compliance with laws, board procedures, bidding, payroll, permits, inspections, and cash handling. It noted prior private audit findings on segregation of duties, that recent private audit reports had not been obtained for 2023 through 2025, and that the current administrator said prior office staff and bookkeeping contractors resigned when he was hired. The authority’s operations and revenue sources were described, and the report was presented for committee review.

Transcript Highlights:

• Authority, and this presentation is really to talk to you all about the Federal Reconciliation Bill and
• Under the Reconciliation Bill, more than $8.5 billion potentially lost to New Mexico's Medicaid program
• In the Reconciliation Bill, states will share a portion of the SNAP benefit.
• The Reconciliation Bill cuts about $203 million from New Mexico over time. $5.5 million in federal funds
• There was an Office of Inspector General audit of the agency's capitation payments and reconciliations

Committee: House Legislative Health & Human Services Committee

Transcript Highlights:

• the historical and ongoing injustices faced by Native communities and is committed to promoting reconciliation
• c><00:11:32.959><c> promoting</c> and is committed to promoting and is committed to promoting reconciliation
• ,<00:11:35.240><c> understanding,</c><00:11:36.240><c> and</c> reconciliation, understanding, and reconciliation

Transcript Highlights:

• This budget resolution reconciliation.
• It's of the reconciliation resolution.
• Think of the reconciliation process as a baseball scrimmage.
• Think of the reconciliation process act.
• </c> have a chance to do a reconciliation have a chance to do a reconciliation bill.<05:21:34.400><c>

Bills: HR981 , HR1228 , HB1526 , HCR14 , SJR18 , SJR28 , HR313

Keywords: federal budget, deficit reduction, economic growth, national debt, bipartisan support, House resolution, congressional subpoena, subpoena enforcement, Oversight Committee, House Oversight and Government Reform, judicial proceedings, declaratory judgment, injunctive relief, House counsel, private counsel, contempt of Congress, Pamela J. Bondi, Department of Justice, DOJ records, Jeffrey Epstein

Transcript Highlights:

• Monthly bank reconciliations were not performed timely or prepared properly, and receipts were not issued
• Monthly bank reconciliations were not performed timely or prepared properly, and receipts were not issued
• Monthly bank reconciliations were not performed timely or prepared properly, and receipts were not issued
• Monthly bank reconciliations were not performed timely or prepared properly, and receipts were not issued
• Monthly bank reconciliations were not performed timely or prepared properly, and receipts were not issued

Committee: All LEGISLATIVE JOINT AUDITING

Summary: The Legislative Joint Auditing Committee approved the February 13 minutes and then heard several committee reports. The executive committee report noted that audit and special reports were scheduled for presentation, one requested report remained outstanding, and staff was asked to review selected Benton County circuit court case transfers. The committee also received and adopted reports from the counties and municipalities committee, the education committee, and the state agencies committee. Those reports covered delinquent private water and sewer audits, education audit reports, and state agency findings such as duplicate vendor payments, collateral issues, record-keeping problems, and vehicle log deficiencies. In each case, the committee voted to file or adopt the reports, with some reports deferred for follow-up or for officials to appear at a later meeting. A major portion of the meeting focused on the City of Pine Bluff’s 2024 financial audit. Auditors said the city received a clean opinion overall, but management letter findings identified serious issues in the mayor’s office, Parks and Recreation, and the finance department. The Parks and Recreation finding involved $179,629 in manual receipts that could not be traced to city deposits, missing receipts from several facilities, $48,415 in unallowable purchases, $13,000 in questionable purchases, altered invoices, unapproved vendors, and missing equipment; those matters were referred to the prosecuting attorney, attorney general, Governmental Bonding Board, and Arkansas State Police. The finance finding cited weak cash-receipting and bank-reconciliation procedures and late or missing deposits. City officials, including the mayor, finance director, and parks director, testified that the problems predated the current administration and said they had taken corrective steps. They described hiring a forensic audit firm, creating or updating standard operating procedures, improving receipting and deposit processes, adding procurement oversight, and moving Parks and Recreation to electronic or system-based receipting. Committee members questioned the officials about oversight, nonprofit relationships, and whether theft or system failures were to blame. After discussion, the committee voted to file the Pine Bluff report. The next meeting was announced for June 4-5, 2026.

Transcript Highlights:

• This is part of the reconciliation. They wanted to go to them.
• This is part of the reconciliation of the budget.
• We were left the fire and the reconciliation.
• We were left the fire and the reconciliation appropriation contingency fund and the other one.
• And this is part of the reconciliation. Mr. Chairman, did they have a feasibility plan?

Bills: SB190 , HB247 , HB8

Committee: Senate Senate Finance

Keywords: cancer treatment, revenue bonds, Gila Regional Medical Center, Nor-Lea General Hospital, healthcare funding, capital outlay, capital projects, appropriations, reversion, encumbrance, reauthorization, reappropriation, general fund, capital development and reserve fund, tribal infrastructure project fund, Department of Finance and Administration, DFA, state board of finance, severance tax bonds, tax-exempt bonds

Transcript Highlights:

• We also review reconciliations for any T-DOC-calculated distributions.
• We also review reconciliations for any T-Doc calculated distributions.
• the process of working on cleanup of outstanding items on the bank reconciliations.
• One of our top priorities has been bringing their bank reconciliation process up to date.
• the process of working on cleanup of outstanding items on the bank reconciliations.

Summary: The committee was called to order, the Pledge of Allegiance and prayer were offered, and the minutes from the previous meeting were approved. Members then received a memo summarizing major audit items and began hearing audit presentations from the State Auditor’s Office and private auditors on a range of state agencies and organizations. Several audits were reported as clean, including the Bank of North Dakota, the North Dakota Guaranteed Student Loan Program, the Office of the Governor, the Office of the State Treasurer, the Office of Management and Budget, the Department of Transportation’s flexible transportation fund, Lake Region State College, and the Department of Environmental Quality. The North Dakota Stockmen’s Association also received an unmodified opinion, though repeat findings were noted for limited segregation of duties and financial statement preparation due to its small staff. The Council on the Arts audit found two findings: payroll charged to federal awards without adequate timekeeping records, and unallowable expenditures from a restricted cultural endowment fund. The Department of Public Instruction audit identified unsupported scholarship applications in the paraprofessional-to-teacher program, though additional testing showed the funds were used for their intended purpose. The most extensive discussion centered on the North Dakota Racing Commission audit, which identified four findings: overspending the promotion fund’s 25% operating limit, grant conditions not being met, improper Breeders Fund awards, and improper procurement for advertising services. Racing Commission director Bruce Johnson acknowledged complacency and weak controls, said the agency would tighten procedures, and explained that the commission had since worked with procurement and would follow the rules more closely. Auditors also explained that the commission would now be audited every two years because of the findings. Another major discussion involved the University of North Dakota School of Law, where auditors found a lack of documentation supporting admissions decisions for post-baccalaureate programs. UND officials said they remain in good standing with the American Bar Association but agreed better documentation and tools are needed; the committee pressed for more transparency and follow-up on admissions criteria. The committee also received an update on Dakota College at Bottineau, where Minot State University reported that bank reconciliations had been brought current after a significant backlog and would now be maintained through shared services. Members requested a written follow-up report on the issues and corrective actions. Finally, the North Dakota Fair Association explained that its foundation has been dissolved and remaining funds were transferred to another nonprofit for continued support of the state fair, and the Department of Public Instruction provided an update on school meal debt, saying the reported amount was about $1.1 million from a partial district survey and that debt remains a local issue, though it could be revisited if school meal funding changes.

Transcript Highlights:

• I think Commissioner Edwards' question is whether we are focusing on the green portion, your reconciliation
• And so my reconciliation was endorse with comment. And if you thought that the possible comment...
• Reconciliation was endorse with comment.
• Seeing none, then I would take a motion to adopt this reconciliation, the endorse with comment.

Committee: Joint Citizen Commission for Performance Measurement of Tax Preferences

Summary: The Citizens Commission for Performance Measurement of Tax Preferences met on October 22, 2025. Members approved the September 22, 2025 meeting minutes unanimously and reviewed a draft 2026 meeting schedule, tentatively setting meetings for May 6, August 4, September 15, and October 20, 2026, without taking a formal vote. The commission then worked through its commissioner comments on tax preference reviews, with Commissioner Forsyth recusing himself from the natural gas for transportation and energy sales to silicon smelters items. The discussion focused on reconciling endorse/endorse with comment/does not endorse positions into final recommendations. The commission adopted comments for the liquefied natural gas preference, the natural gas for transportation preference, the energy sales to silicon smelters preference, several low-income housing and veterans-related preferences, and other reviewed tax preferences. Several comments emphasized reporting burdens, the need for clearer legislative guidance, and in the veterans’ item, the possibility that low use may reflect limited visibility of the preference. Staff also clarified the reporting requirements for the natural gas transportation preference and the rationale for continuing the LNG preference while asking the legislature to consider a Department of Revenue workgroup report. All commissioner comment packages were ultimately adopted by roll call votes, with the relevant recusals noted. No members of the public testified in person. The chair invited written testimony by email or mail and thanked staff and members for their work. The next commission meeting was announced for May 6, 2026, at 10 a.m.

Transcript Highlights:

• Bank reconciliations were not prepared monthly.
• or employee other than the person preparing the reconciliation.
• Bank reconciliations were not performed on a monthly basis.
• Bank reconciliations were not approved by someone other than the preparer.
• Bank reconciliation contained numerous errors.

Committee: All LEGISLATIVE JOINT AUDITING-COUNTIES AND MUNICIPALITIES

Transcript Highlights:

• I think Commissioner Edwards' question is whether we are focusing on the green portion, your reconciliation
• And so my reconciliation was endorse with comment. And if you thought that the possible comment...
• Reconciliation was endorse with comment.
• Seeing none, then I would take a motion to adopt this reconciliation, the endorse with comment.

Committee: Joint Citizen Commission for Performance Measurement of Tax Preferences

Summary: The Citizens Commission for Performance Measurement of Tax Preferences met on October 22, 2025, approved the September 22, 2025 meeting minutes, and reviewed a draft 2026 meeting schedule. The commission informally settled on four 2026 meeting dates: May 6, August 4, September 15, and October 20, with no vote required. One commissioner noted a possible travel conflict for the August meeting, but the schedule was accepted as planned. The bulk of the meeting focused on adopting commissioner comments and recommendations for tax preference reviews. Commissioners discussed and refined language on several items, including liquefied natural gas preferences, natural gas for transportation, energy sales to silicon smelters, nonprofit low-income housing development, veterans’ housing adaptations, and other preferences. Commissioner Forsyth recused himself from the natural gas for transportation and silicon smelter items, and the commission handled those separately. Staff clarified several technical questions about reporting requirements, the rationale for recommendations, and how to reconcile differing comments. The commission ultimately adopted the recommendations in multiple grouped votes, with unanimous approval on each vote. The commission also addressed a yellow-item recommendation related to reporting burden and another item concerning whether a preference is exempt from automatic expiration or subject to review. After discussion, the commission adopted revised consensus language for those items as well. No members of the public appeared to testify in person, and the chair reminded the public that written testimony could still be submitted by email or mail. The meeting concluded with thanks to staff and commissioners, and the next meeting was set for May 6, 2026, at 10 a.m.

Transcript Highlights:

• We also review reconciliations for any T-Doc-calculated distributions.
• We also looked at bank reconciliations and found those to be correct at Lake Region State College.”
• the process of working on cleanup of outstanding items on the bank reconciliations.
• One of our top priorities has been bringing their bank reconciliation process up to date.
• the process of working on cleanup of outstanding items on the bank reconciliations.

Committee: Joint Legislative Audit and Fiscal Review Committee

Summary: The committee convened, approved the prior meeting minutes, and received a memo summarizing major audit items. The State Auditor’s office and outside auditors then presented a series of audits, many of which were clean with unmodified opinions and no findings, including the Bank of North Dakota, the Guaranteed Student Loan Program, the Office of the Governor, the State Treasurer, the Office of Management and Budget, the Department of Transportation, the Department of Environmental Quality, Lake Region State College, and the Office of the Governor. The North Dakota Stockmen’s Association audit was also clean overall, but it repeated findings about limited segregation of duties and auditor assistance in preparing financial statements, which the auditor said were expected to continue because of the organization’s small size. Committee members asked about out-of-state board addresses, and the association explained those members were North Dakota residents using South Dakota mailing addresses. Several audits did include findings. The Council on the Arts audit identified two issues: payroll charged to federal awards without supporting time records, and $12,825 in Cultural Endowment Fund spending that was not allowable under state law, including staff training, retreats, and executive director candidate travel. The Department of Public Instruction audit found unsupported scholarship applications in the paraprofessional-to-teacher program, but additional testing confirmed the funds were credited properly and students completed required school district work, so no improper payments were identified. The University of North Dakota audit found a lack of documentation and transparency in School of Law admissions decisions; the auditor said the law school used a holistic process but did not keep notes or evaluation tools to show why applicants were admitted, waitlisted, or denied. UND leadership said the school is in good standing with the American Bar Association and agreed better documentation is needed, and the auditor said the issue was the missing documentation, not ABA accreditation itself. The most extensive discussion centered on the North Dakota Racing Commission audit, which found four findings: overspending the promotion fund’s 25% operating cap, grant conditions not being met, improper breeder fund awards, and improper procurement. The auditor said promotion fund spending exceeded the cap by $327,447 and the fund balance dropped sharply over the audit period. Racing Commission director Bruce Johnson said the agency had become complacent, that grant requests were treated as routine, and that controls and documentation need to be tightened. He also explained that the breeder fund overpayments involved two horses whose ownership transfers were not properly documented before racing, and that the procurement issue stemmed from an advertising contract that proceeded without proper written procurement procedures after a misunderstanding with the State Procurement Office. The auditor said the Racing Commission will now be audited every two years because of the findings. The committee also received updates on Dakota College at Bottineau’s bank reconciliations, which Minot State University said had been brought current after an 18-month backlog, with only one account still needing cleanup; members asked for a written report on the corrective actions. The North Dakota Fair Foundation was reported to have dissolved, with remaining funds transferred to another nonprofit account for continued support of the state fair. Finally, the Department of Public Instruction provided an update on school meal debt, revising the earlier estimate to about $1.1 million based on incomplete district survey responses, and said the Anti-Lunch Shaming law likely increased meal debt because schools must feed students regardless of account balance. Members discussed the need for a more accurate year-end debt figure and possible future reporting at a later committee meeting.

Transcript Highlights:

• Uh, we have the federal budget reconciliation process, funding freezes by executive orders, tax reform
• :04:18.239><c> which</c> appropriations and reconciliation which appropriations and reconciliation which
• this</c><00:05:03.120><c> is</c> reconciliation numbers again, this is reconciliation numbers again,
• </c><00:08:00.319><c> appropriations</c> know the reconciliation appropriations know the reconciliation
• Um reconciliation is for the most cuts.

Committee: House Ways and Means

Transcript Highlights:

• the historical and ongoing injustices faced by native communities and is committed to promoting reconciliation
• c><00:13:54.400><c> promoting</c> and is committed to promoting and is committed to promoting reconciliation
• ,<00:13:55.760><c> understanding,</c><00:13:56.760><c> and</c> reconciliation, understanding, and reconciliation

Transcript Highlights:

• It also requires a financial reconciliation on a sample of grants that are under $50,000.
• It also requires a financial reconciliation on a sample of grants that are under $50,000.
• It also requires a financial<00:08:48.640><c> reconciliation</c><00:08:49.880><c> on</c><00:08:50.000
• ><c> a</c><00:08:50.040><c> sample</c><00:08:50.480><c> of</c> financial reconciliation on a sample of
• financial reconciliation on a sample of grants<00:08:51.080><c> that</c><00:08:51.280><c> are</c><00

Summary: The Environment and Natural Resources Trust Fund Conference Committee met on May 13, 2026, to finalize House File 3426. After roll call established a quorum, staff walked members through the conference agreement and spreadsheet, noting that most appropriations were unchanged from the House and Senate positions. The report kept the LCCMR recommendations in resiliency, water, fish and wildlife, energy, and most land and education/outdoor recreation items, while removing the “cultivating conservation leaders through education and wilderness experiences” project and a Senate rotational grazing pilot provision. The committee also noted the overall appropriation total and carryforwards/extensions, and that the community grants program appropriation remained in the bill. Members then reviewed the policy language in the DE amendment. The agreement retained House provisions setting guardrails for the community grants program, including requirements for emerging issues account votes, maximum grant amounts, staff training, monitoring visits, pre-award risk assessments, surety bond or fiscal-agent approval for advance payments, and quarterly progress reports, while also adopting Senate language repealing a DNR acquisition-approval requirement. Senators McEwen and Her offered contrasting comments about the removal of the Boundary Waters-related project, with McEwen criticizing the decision as politicized and Her emphasizing stewardship and the importance of exposing young people to the Boundary Waters. Representatives Heintzeman and Fischer defended the need for accountability and said the issue had been addressed in a bipartisan way. The committee reported receiving a letter from the DNR supporting the language and thanking the conferees and staff. Chair Her moved adoption of the HF 3426 DE amendment and the spreadsheet dated 5/13/26 at 11:38 a.m., authorized staff to prepare the conference committee report and make technical and conforming changes, and the motion passed 7-0. The meeting ended with thanks to staff, LCCMR participants, and Speaker Melissa Hortman, followed by adjournment and instructions for members to watch for and sign the conference committee report electronically that night.

Transcript Highlights:

• Reconciliation is going to play a central role, and reconciliation begins right here in this room.
• And I must say my deepest concern about the reconciliation bills is that they're going to betray working
• to start with, what would happen to the economy if the 2017 tax cuts that were passed through reconciliation
• First, reconciliation: handle the border, keep it simple. We all agree on that.
• And so I think that's something that should be considered as you navigate the reconciliation process

Committee: Senate Senate Budget