Transcript Highlights:

• Senator Mills.
• Senator Mills.
• Senator Mills.
• Senator Mills. Senate review committee. Senator Mills.
• Senator Mills. System Board of Regents. Senator Mills.

Bills: HB567, HB776, HB2, HB568, HB619

Keywords: open records, public access, transparency, government accountability, public agency, dental practice, licensing, administrative regulations, dental assistants, supervision, Medicaid, community engagement, healthcare, managed care, eligibility, public assistance, insurance, public adjuster, claim process, contract requirements

Transcript Highlights:

• So on the left, you'll see the FEFP millage, the 3 mills, and the DLE, 0.748 mills.
• That's limited in the Constitution to one mill, except 0.05 mills for the North Florida Water Management
• You levy 10 mills, you get $1,000 in revenue. That's in 2024.
• close to... 21 mills.
• half mills, which is about a...

Summary: The Senate Committee on Finance and Tax met for its first meeting of the session, with a quorum present and several members excused. Chair Avila opened by framing the committee’s main focus as property tax relief and housing affordability, noting the complexity of any changes to Florida’s long-standing property tax structure and emphasizing the need to preserve funding for schools and local public safety. He also introduced new committee staff member Tamisha Black and thanked staff for summer work supporting analysis of potential proposals, including constitutional amendment concepts and other property tax relief ideas. Staff director Azar Khan then presented an update on the General Revenue forecast, explaining that collections remained above estimate but at a slower pace than the prior year, with recent economic indicators slightly weaker than earlier forecasts. He said the new forecast mostly reflected modest adjustments, with a notable share of the increase coming from earnings on investment rather than the usual drivers such as sales tax or corporate income tax. Khan also gave a detailed presentation on ad valorem millages, explaining the different millage types used by school districts, counties, municipalities, special districts, and water management districts; the rollback rate; TRIM notice and hearing timelines; voting thresholds for adopting higher millages; and long-term trends showing millage rates declining over time even as total taxes levied have increased. Members used the presentations to discuss property tax relief options and the relationship between local property taxes and state revenue. President Passidomo praised staff and Senator Bernard’s summer work on proposals. President Gaetz asked about converting homestead property tax revenue to sales tax and was told the rough equivalent could be around a 2.8-cent sales tax increase, though with important behavioral and distributional caveats. Senator Rouson asked about the decline in corporate income tax estimates, and Khan said it likely reflected changes in national corporate profit expectations and collection patterns, promising a follow-up. The Department of Revenue’s Lizette Kelly confirmed that TRIM data, including adopted millages, rollback rates, and maximum millage calculations, are collected by jurisdiction and can be provided to the committee. No bills were taken up and no votes occurred beyond adjournment, which was adopted by motion.

Transcript Highlights:

• </c> and see um 70% of all the mills and see um 70% of all the mills collected<00:03:42.720><c> are</
• The mills are the state mills that we're levying.
• The mills are the state mills that we're levying.
• assessment times a mill levy.
• The mill levy on the house is going to be minus 25 mills or whatever policy you decide.

Bills: SF0110, SF0044, SF0046

Keywords: property tax, residential real estate, tax assessment, primary residence, tax revenue, gambling, lotteries, raffles, social relationships, charitable gaming, gaming, liquor establishments, skill based amusement games, regulations, age restrictions, 916, all

Transcript Highlights:

• to levy that 60 mills.
• Their dollars are locked, which then potentially drives down that mill to 59, 58 mills.
• It drives down that mill to 59, 58 mills. However, it wasn't a 3% cap that drove that down.
• levy 2% to get to their 60 mills.
• , their mill rate was driven down to like 27 mills that was counting toward the funding formula.

Summary: The Tax Reform and Relief Advisory Committee met with a quorum, approved the March 17, 2026 minutes, and heard a lengthy update from Tax Commissioner Brian Croshys on property tax relief programs. He reviewed the Homestead Property Tax Credit, Disabled Veteran Credit, and Primary Residence Credit, noting increased relief after House Bill 1158 and House Bill 1176, but also discussing how some households “income adjust out” of eligibility over time. Members asked about indexing income thresholds, expanding eligibility by age alone, simplifying administration, county-level notices, and whether the county and state systems could be streamlined. Croshys said the programs are heavily used, largely administered at the county level, and that the department is still refining compliance and reporting; he also said there were no material findings or overarching concerns in the latest review. The committee agreed more detailed PRC information would likely come back in a September meeting, and the chair announced an afternoon recess for lunch before later reconvening. Shelly Myers then presented the statewide property tax increase report, the zero-growth report, and a statistical report on property values and tax levies by class. She explained how county auditors report levy and valuation data, how increases and decreases are counted, and identified counties and cities with the largest percentage changes in growth or decline. She also summarized recent trends: agricultural values remain relatively flat, while residential, commercial, and centrally assessed values have risen over the last five years; in 2025, residential property accounted for the largest share of statewide property tax levies, followed by commercial, agriculture, and centrally assessed property. Committee members asked about unusual zero-growth figures, the effect of annexation and land-use changes, and whether the 3% levy cap was forcing political subdivisions to use reserves or defer spending. Myers said many counties complied by using reserves, delaying capital projects, or limiting increases, and that some counties had not used their full cap. The committee then moved to the stripper oil extraction tax exemption. Commissioner Croshys reviewed the state’s oil tax structure and estimated the revenue impact of keeping stripper wells exempt from extraction tax while still paying production tax. He said the exemption saves operators hundreds of millions of dollars over a biennium, while the state still collects production tax on those wells. He also discussed projected impacts if the exemption were changed for future wells and noted that future outcomes depend on oil prices, production declines, and technology such as CO2 enhanced oil recovery. Nathan Anderson of the Department of Mineral Resources briefly explained the historical difference between the 35-barrel and 30-barrel thresholds for certain wells, citing differences in completion costs and lateral lengths. The committee then heard from EERC CEO Charles Gorecki, who presented an analysis of oil well life cycles and said most oil is produced before wells reach stripper status, but that refracturing or other reinvestment can significantly extend production and keep wells above the threshold for years.

Transcript Highlights:

• It established a 10-mill cap, 10 mil, 1% of value, a 10th of a mill.
• That 5.9 mills, I went back 10 years ago, and that was 7.4 mills. Okay?
• That mill went down, the revenues did go up, even with the mill going down.
• What is a mill? It's the and truth and millage. What is a mill?
• They're usually somewhere between a fraction of a mill and one and a half mills.

Summary: The Select Committee on Property Taxes met for an educational session focused on how Florida funds public schools and how property taxes are assessed and levied. Dr. Jim Zengali of the Department of Revenue explained the FEFP school funding formula, noting that it is built on weighted student counts, a base student allocation, and programmatic add-ons such as transportation, exceptional student education, school safety, and mental health. He said school funding is roughly split between state general revenue and local property taxes through required local effort, with additional discretionary and capital outlay millages contributing to total school funding. He also described the Department of Revenue’s role in certifying property rolls at fair market value and reviewing them for substantial compliance, including the so-called “nuclear option” if a roll is not approved. Members asked about trends in millage rates, county-by-county funding differences, the effect of growth and enrollment changes, and how property appraisals are reviewed. Zengali said aggregate millage for school funding has declined over the last decade while revenues have still increased, and he agreed to provide additional data on county trends, parcel strata, student growth, and enrollment impacts. He also clarified that school funding is equalized so students receive similar resources regardless of county wealth, and that federal funding plays only a small role in the FEFP. Amy Baker of the Joint Legislative Office of Economic and Demographic Research then discussed existing homestead benefits. She said about half of Florida’s parcels are homestead properties, most fall in the $250,000 to $500,000 value range, and many seniors without mortgages pay property taxes in lump sums rather than through escrow. Baker explained that Florida’s homestead tax burden is middle-of-the-pack nationally and that the main benefits are Save Our Homes and portability on the differential side, plus the $25,000 homestead exemption and related exemptions on the exemption side. She said these benefits reduce taxable value substantially, with homestead properties receiving a large share of the reductions, and noted that the committee requested follow-up data on exemption usage, portability timing, senior exemptions, and county-level patterns. The final presentation, by Lizette Kelly of the Department of Revenue, covered millage rates and the TRIM process. She reviewed the history of truth-in-millage notices, required taxpayer mailings, public hearing notices, and later changes that tied local millage resets to rollback and majority-vote rates. Kelly explained the difference between proposed and adopted millage, the rollback rate, and the majority-vote rate, and described how taxing authorities include counties, cities, special districts, and MSTUs. She also outlined how county taxable value is calculated from just value through assessment differentials and exemptions, and how certain exemptions, such as the additional senior exemption, apply only to the taxing authority that adopted them. No votes were taken during the meeting, but members requested several follow-up data reports for later discussion.

Transcript Highlights:

• He then said he lives right on Route 3, 8 miles... it's milled in New Hampshire because it's milled in
• And a lot<00:48:12.640><c> of</c><00:48:12.800><c> the</c><00:48:14.000><c> mills</c> lot of the mills
• ,</c> north than the Quebec and Ontario mills, north than the Quebec and Ontario mills, but<00:48:23.520
• The other thing I see is lumber being produced going into Canada to be finally milled or dried and milled
• To be finally milled or dried and milled and coming back.

Keywords: 928, house, all

Summary: The committee first heard Senate Bill 497, a technical correction to last year’s capital budget. Shannon Reid of the Community College System of New Hampshire explained that the bill removes leftover state-agency boilerplate from a repurposed capital appropriation and replaces it with community college language, without changing any dollar amounts. She also described a requested amendment to rename a respiratory therapy renovation appropriation at Nashua Community College as an allied health instructional center, so the space can be used more flexibly for programs such as phlebotomy, radiologic technology, and LNA training. Terry Poff of the General Court then testified on the second part of the bill, which changes legislative space references to support the move of General Court offices from the second floor to the fourth floor of the annex as part of the legislative office building reconfiguration. Members asked whether the community college changes affected funding, and Reid confirmed the amounts do not change and that the bill simply speeds up a correction that otherwise would have been handled later in the lapse process. Poff said the annex space change is part of a permanent transition, though the work cannot proceed until the General Court has legal control of the space. The committee then entered executive session, adopted Amendment 1031H on a 12-0 vote, and voted ought to pass as amended on SB 497 by a 12-0 vote, with several members absent. The bill was placed on the consent calendar. The committee next opened a hearing on Senate Bill 529FN, which would give preference to lumber sourced in the United States on state-funded building projects. Representative Davis, introducing the bill for Senator Roachford, argued that New Hampshire timber is disadvantaged by grading rules that treat U.S. lumber differently from Canadian SPF lumber, even when the wood is from similar species and climates. He said the bill is intended to support New Hampshire’s timber industry and that architects and engineers would still be able to specify stronger materials when needed. Committee members questioned whether the bill should instead refer specifically to New Hampshire lumber, how it would be enforced, and what the cost impact would be. Davis and later witness Mike Olette said the issue is tied to industry grading standards rather than a government code, that the bill is meant to create a preference rather than a mandate, and that price differences are hard to pin down because lumber is a commodity. Olette, who lives near the border, testified that New Hampshire logs are often sent to Canada for milling and then return under a different grade, which he said puts New Hampshire loggers and mills at an economic disadvantage.

Transcript Highlights:

• to levy that 60 mills.
• Their dollars are locked, which then potentially drives down that mill to 59, 58 mills.
• However, it wasn't I don't... ...drives down that mill to 59, 58 mills.
• levy 2% to get to their 60 mills.
• , their mill rate was driven down to like 27 mills that was counting towards the funding formula.

Keywords: 908, all

Transcript Highlights:

• </c> one now identified as by MPD as Mills one now identified as by MPD as Mills instruct<03:54:20.479
• ><c> centured</c> Representative Corey Mills be centured Representative Corey Mills be centured with<
• </c> companies owned by Representative Mills companies owned by Representative Mills sought<11:08:07.916
• for a bronze Representative Corey Mills have called Representative Corey Mills have called into<11:09
• Corey Mills makes about me. Whereas Corey Mills makes about me.

Keywords: U.S. House of Representatives Floor Proceedings on Wednesday, November 19, 2025, 1012, house, all

Transcript Highlights:

• to levy that 60 mills.
• Their dollars are locked, which then potentially drives down that mill to 59, 58 mills.
• However, it wasn't... ...drives down that mill to 59, 58 mills.
• So we saw school districts such as McKenzie County, their mill... ...district's mill rate was driven
• So maybe instead of saying it's 60 mills, they can levy however many mills they want for that purpose

Summary: The committee met to receive updates from the Tax Commissioner’s office on property tax relief programs and related compliance work. Commissioner Brian Croshys reviewed the Homestead Property Tax Credit, Disabled Veteran Credit, and Primary Residence Credit, noting that the Homestead program expanded significantly after HB 1158, that some households are “adjusting out” of eligibility as incomes rise, and that the committee may want to consider indexing income thresholds. Members asked for additional data on bracket breakdowns, possible costs of eliminating income limits for seniors, and how many households are zeroed out by the combined programs. Croshys also discussed the simpler administration of the disabled veteran credit, the growth in participation, and the heavy workload and auditing safeguards built into the new primary residence credit system. He said the department found no material compliance findings and that the program is designed to be digital-first, with county auditors and the Tax Commissioner’s office both involved in review and notification. The committee recessed for lunch and later reconvened, with the chair noting that more detailed PRC information would likely be available at a September meeting. Shelly Myers then presented the statewide property tax increase, or “zero growth,” report and the 2025 statistical report. She explained how county auditors report levy and valuation data, how increases and decreases are counted, and which jurisdictions showed the largest percentage changes in countywide, citywide, school district, and park district levies. In the statistical report, she summarized recent trends in assessed values: agricultural values remained relatively flat, while residential, commercial, and centrally assessed property values increased over the past five years. She also reviewed statewide tax levies by property class and clarified that centrally assessed growth figures were annual averages. Members discussed how shifts in land use and annexation can make it appear that tax burdens are moving from ag to residential/commercial property. Myers then summarized the interim study on the 3% levy limitation under HB 1176, saying most counties complied without budget changes, while some used hiring freezes, deferred purchases, or reserve funds; 23% of counties had to reduce levies, and the affected funds were mainly general, road and bridge, and weed control. She said 12 counties reported zero new growth in the data and that 35 counties reported not using all of their cap. The committee also received an oil tax presentation from Croshys on the stripper well extraction tax exemption. He outlined the number of active stripper wells, the production and revenue implications of the exemption, and projections for future biennia under different tax scenarios. He said the exemption represents substantial savings to operators but also corresponds to production tax revenue that would otherwise be collected, and he emphasized that future outcomes depend on oil prices, well counts, and technology such as CO2 enhanced oil recovery. Nathan Anderson of the Department of Mineral Resources briefly answered a question about why Red River wells have a different production threshold than Bakken wells, explaining it was tied to completion costs and lateral length. The committee then heard from Charlie Gorecki of the EERC, who presented an analysis of typical Bakken well decline curves and argued that most oil is produced before a well reaches stripper status, but that keeping wells open and investing in refracturing or other interventions can recover additional production. No votes were taken during this portion of the meeting; the main actions were receiving reports, asking for follow-up data, and scheduling further discussion for a later meeting.

Transcript Highlights:

• And that's mill valuation.
• In a real simple example, if a house is worth $100,000 and the mill rate's 250 mills, and it goes to
• $200,000, but the mill rate is cut in half to 125 mills, the property tax obligation is exactly the same
• So they figured out what 60 mills is.
• So they figured out what 60 mills is.

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:

• , and then you get what you... ...with that number and whatever the mills, time the mills, and then you
• Year three, I stay at seven mills.
• I levied zero mills that year. That was my decision.”
• “I levied zero mills and ran my office off of my surplus.
• They levy the 2.5 mills from year 1 to year 10.

Summary: The Ways and Means Committee met on March 26 and first reported favorably HB 287, which renews the Louisiana Tax Commission’s authority to levy certain fees used to fund its operations. The author and Tax Commission representatives said the fee supports the commission’s appeals and assessment work and is not a new charge. The committee then adopted a technical amendment and reported HB 553 favorably as amended; that bill expands the Assessor Certification Program Committee from 5 to 11 members and adjusts education and recertification requirements for assessors. The committee then took up HB 412, a constitutional amendment on property assessment and reappraisal. After an amendment in concept was adopted to remove the bill’s proposed 30-year homestead exemption, members questioned the remaining provisions, which would tie annual assessment growth to CPI and move the reassessment cycle from four years to five. The author, assessors, and local government representatives debated whether the proposal would create predictable tax growth or instead leave many properties assessed below market value and shift burdens to businesses and local services. The author ultimately voluntarily deferred HB 412 and its companion HB 340 for further work. Members next heard HB 514 and HB 961, both senior-property-tax measures, but both were voluntarily deferred after brief discussion and technical amendments. HB 514 would have created an optional additional homestead exemption for certain homeowners age 65 and older, phased in over time and tied to income and a surviving-spouse provision; HB 961 would have extended related eligibility to certain trusts. The committee also deferred HB 515, 543, and 540 to future meetings. Finally, the committee favorably reported HB 521 and HB 570, both dealing with millage and reassessment rules. Supporters, including local government and industry groups, argued the bills would give taxing authorities more flexibility to avoid being forced to levy the maximum millage simply to preserve future authority. Assessors and local officials explained current reassessment and roll-forward rules, while the author said the bills would reduce pressure to overtax residents and businesses. HB 521 was reported favorably, and HB 570 was reported favorably as amended after adoption of a six-part amendment set, mostly technical changes.

Transcript Highlights:

• We represent seven of the pulp and paper mills here in Washington, and those mills provide about 4,000
• Our mills are very unique. They’re all different among our family.
• That mill was unique. It’s in a highly urbanized area.
• Josh Estes: The mills in this state, the mills in this country, all compete globally for market share
• So, yeah, there are other mills in the United States that have closed.

Bills: HB2537, HB2245, HB2296

Keywords: emissions, climate commitment act, environmental regulation, trade regulation, facility compliance, consumer-owned utilities, clean energy, port districts, market customers, energy transformation, distributed energy, renewable energy, energy resources, sustainability, energy policy, 904, all

Summary: The Environment and Energy Committee heard public testimony on House Bill 2537, which would revise Washington’s Climate Commitment Act treatment of emissions-intensive, trade-exposed (EITE) facilities. The bill would require Ecology’s post-2034 report to include methods for annual allowance reductions, leakage-risk adjustments, and consignment of some no-cost allowances for facility decarbonization projects. It would also add biennial emissions/product reporting, require facility decarbonization plans every four years, and tie continued no-cost allowances and penalty avoidance to those new reporting and planning obligations. The chair said the committee would not take action on HB 2537 that day, and the hearing was later closed after testimony. Supporters, including The Nature Conservancy, NRDC, Washington Conservation Action, Climate Solutions, Ecology, and Clean and Prosperous Washington, said the bill would provide needed clarity for post-2035 policy, better data on barriers to decarbonization, and a framework to keep EITEs on a path consistent with state climate goals while still addressing leakage concerns. Ecology said it generally supported the bill’s approach, though it recommended streamlining duplicative reporting and noted the work would require significant agency resources. Several supporters pointed to Quebec’s consignment model as a useful example and said the bill could help direct public funds toward real emissions reductions. Opponents and concerned parties from manufacturing, utilities, and labor—including the Association of Washington Business, WISPA, the Alliance of Western Energy Consumers, the Northwest Pulp and Paper Association, the Association of Western Pulp and Paperworkers, Food Northwest, Simplot, Kaiser Aluminum, Newcor Steel, and Cowlitz PUD—argued that the bill could increase compliance burdens, raise costs, and worsen leakage risk without solving major barriers such as electricity availability, permitting delays, and the high capital cost of industrial decarbonization. They emphasized recent facility closures and job losses, said many low-cost reductions have already been made, and urged more flexibility, better protection of confidential business information, and additional state investment in clean power and industrial upgrades. The committee also took up House Bill 2245 during the meeting, adopting a proposed substitute and voting 11-8 to report the substitute bill out of committee with a do-pass recommendation.

Transcript Highlights:

• </c> mills um to the committee's discretion. mills um to the committee's discretion.
• </c> five mills. five mills.
• For context, 10 mills is almost as many mills as the counties can assess, and so that really causes a
• So be thoughtful those mill levies.
• or 5 mills, would be if it's 10 mills or 5 mills, what<01:30:05.840><c> we</c><01:30:06.080><c> would

Bills: SF0082

Keywords: registered agents, corporate governance, entity ownership, business regulations, transparency, 916, all

Transcript Highlights:

• And then a mill, or a mill rate, is the conversion factor that we get to obtain a rate.
• The school relief was a mill levy rate, a mill levy, a mill rate that was bought down back in 2012.
• And whatever that is, if it was 40 mills or 30 mills in each school district, that mill rate is applied
• So that's inputting the mill rates.
• So it is a number, a historical mill rate. Again, a mill rate is just a conversion factor.

Keywords: 908, all

Summary: The subcommittee of the Tax Reform and Relief Committee met with a quorum to begin its study of whether the content of North Dakota real estate tax statements should be revised to improve transparency. Legislative Council staff reviewed the background for the study, including House Bill 1176, current statutory requirements for tax statements, and recent changes such as separate line items for bonded debt, primary residence credit, and legacy fund-related amounts. The Tax Department then explained the current statement format and noted that the form is prescribed and approved by the tax commissioner, with changes typically driven by statute and implemented collaboratively with counties and vendors. County officials from the North Dakota Association of Counties described the full annual process for preparing budgets, setting levies, calculating taxable values, and issuing notices and tax statements. They said counties spend significant time coordinating with taxing districts, neighboring counties, and software vendors, and that the new budget hearing notices and valuation notices have not generated much public response. Members raised concerns about the usefulness and clarity of certain line items, especially the legislative tax relief calculation and the primary residence credit, and discussed whether the current statement creates confusion rather than transparency. Testimony also addressed the 3% cap, mill levy worksheets, assessment cycles, and the role of county auditors and tax directors in maintaining accurate values. The committee also heard from software vendors CPT and Tyler Technologies about how legislative changes are programmed into tax systems and how online taxpayer portals can provide more detailed breakdowns of tax bills. Vendors said changes required by law are generally absorbed in contracts rather than billed directly to counties, and they demonstrated web tools and pie-chart style breakdowns that show where tax dollars go. NDACO presented a survey of eight counties estimating tax statement preparation and mailing costs, concluding that outsourced printing tends to be cheaper on average and that total statewide tax statement costs may be roughly $600,000, though the estimate was based on limited data. No votes were taken; the meeting was informational and focused on gathering testimony and identifying issues for possible future recommendations or bill drafts.

Transcript Highlights:

• We represent seven of the pulp and paper mills here in Washington, and those mills provide about 4,000
• Our mills are very unique. They're all different among our family.
• That mill was unique. It's in a highly urbanized area.
• Some of the mills treat. or an IOU on water systems wastewater some of the mills treat wastewater for
• The mills in this state, the mills in this country, all compete globally for market share.

Summary: The Environment and Energy Committee heard testimony on House Bill 2537, which would change how energy-intensive, trade-exposed facilities (EITEs) are treated under the Climate Commitment Act. Committee staff and the bill sponsor explained that the measure would require Ecology to update its post-2034 report to include proposed allowance-reduction methods, leakage-risk adjustments, and consignment recommendations, and would add new reporting and decarbonization-planning requirements for EITEs to continue receiving no-cost allowances. The committee also briefly took up House Bill 2245, a separate Clean Energy Transformation Act bill, and later voted the proposed substitute out of committee on an 11-8 vote with 2 excused, after debate over exemptions for certain utilities and market customers. Supporters of HB 2537, including The Nature Conservancy, NRDC, Washington Conservation Action, Climate Solutions, Clean and Prosperous Washington, Ecology, and some utility representatives, said the bill would provide needed clarity, better data, and a path for long-term industrial decarbonization while helping prevent emissions leakage. They argued that EITEs receive substantial public value through free allowances and should be required to document emissions sources, energy needs, and feasible reduction pathways so the state can design a post-2035 policy consistent with climate goals. Ecology said it generally supports the bill, though it recommended streamlining duplicative reporting and noted the work would require significant agency resources not included in the governor’s budget. Opponents, including the Association of Washington Business, the Northwest Pulp and Paper Association, the Association of Western Pulp and Paperworkers, WISPA, the Alliance of Western Energy Consumers, Food Northwest, Simplot, Kaiser Aluminum, and Newcor Steel, warned that the bill could increase compliance burdens, expose sensitive business information, and worsen leakage risks by making Washington less competitive. They said many facilities have already made major investments and face high capital costs, limited clean electricity supply, permitting delays, and technologies that are not yet commercially viable at scale. Several speakers pointed to recent plant closures and job losses in pulp and paper, food processing, and metals as evidence that leakage is already occurring, and urged the committee to preserve flexibility, protect confidentiality, and consider targeted funding or other incentives rather than new mandates alone.

Transcript Highlights:

• Representative Kempenich, you kept talking about the mill.” “The mill? Mr.
• Mill to qualify for those grants. Mr. Chairman.
• And we’re talking 24 mills here in the House.
• Brandenburg just said, moving the 18 mills to 24 mills.
• You know, if you want it to be 12 mills, go for it.

Keywords: 908, all

Summary: The House Appropriations Government Operations section reconvened and first took up an amendment for the Industrial Commission related to a proposed west-to-east natural gas pipeline. Members discussed increasing the state’s capacity commitment from $60 million to $120 million so the project could move forward and support a future FERC permit, with supporters citing growing demand from data centers, agricultural users, and oilfield gas capture needs. The committee also discussed a separate motion to exempt the mill and elevator from the vacant FTE pool; that motion failed on a roll call vote. The committee then reviewed other Industrial Commission items, including housing authority funding, the abandoned well fund, Bank of North Dakota-related changes, and a decision not to add more to litigation funding. The discussion then shifted to the Department of Transportation budget and a major transportation funding framework. Speaker Weiss explained a proposal to consolidate and rework transportation funding into fewer buckets, including moving Prairie Dog-style funding into the flexible transportation fund, adding $370 million to that fund, and providing $171.3 million for federal match needs. The plan also included $50 million for statewide discretionary projects, $50 million for bridges, and grant flexibility for cities, counties, and townships, with some debate over eligibility thresholds and how much discretion DOT should have in awarding grants. Members also discussed whether small communities could realistically apply for grants and how the new structure would coordinate statewide transportation investments. Additional DOT topics included a proposed gas tax increase, changes to distribution percentages among DOT, cities/counties, townships, and transit, and the treatment of electric vehicle registration fees. The committee noted that transit funding would rise under the formula and that EV registration fees would continue to flow into the highway distribution fund. No final action was taken on the broader DOT package during this portion of the meeting, but members agreed to continue work on the amendment and revisit the issue the next day, with a suggestion to brief the caucus before floor action.

Transcript Highlights:

• 25 school mills.
• mills and all others.
• Um, and then they pay the zero mills of the 25 mills for education.
• They pay zero mills. So they get there. They pay zero mills.
• 25 mills for zero mills of the 25 mills for education.<02:30:14.160><c> But</c><02:30:14.479><c> all

Keywords: 916, all

Transcript Highlights:

• And then a mill, or a mill rate, is the conversion factor that we get to obtain a rate.
• The maximum mill levy worksheets are.
• The school relief was a mill levy rate, a mill levy, a mill rate that was bought down back in 2012.
• And whatever that is, if it was 40 mills or 30 mills in each school district, that mill rate is applied
• So it is a number, a historical mill rate. Again, a mill rate is just a conversion factor.

Summary: The subcommittee of the Tax Reform and Relief Committee met to begin its study of the feasibility and desirability of revising the content of the real estate tax statement to improve property tax transparency. Legislative Council staff reviewed the study directive under House Bill 1176 and the statutory requirements for tax statements, including required line items such as true and full value, mill levy, legislative tax relief, primary residence credit, and the Legacy Fund portion of that credit. The Tax Department then explained how the current uniform statement is prescribed and approved, and noted that changes are typically driven by statute and implemented collaboratively with counties and vendors. County officials from the North Dakota Association of Counties described the full annual tax cycle, from county budgeting and valuation notices to budget hearing notices, levy certification, cap calculations, and final tax statement mailing. They emphasized that counties and auditors do extensive coordination with taxing districts and neighboring counties, and that the process is labor-intensive and often manual. Members discussed the limited public response to budget notices and tax statements, the difficulty of explaining the legislative tax relief line, the 3% cap and valuation issues, and whether more frequent assessments or different timing would improve understanding. Several members and witnesses noted that many taxpayers only engage when they receive their final bill, and that clarity may be more important than adding more detail. NDACO also presented a rough cost survey from eight counties, estimating an average tax statement cost of about 74 cents and a statewide total near $600,000 for printing and mailing tax statements alone, with outsourcing generally cheaper than in-house printing. Witnesses noted that House Bill 1176 added other mailings and notices, increasing county workload and cost beyond the statement itself. The committee then heard from software vendors, who explained how their systems handle tax billing, budget notices, valuation notices, primary residence credit processing, and tax levy calculations, and they identified the 1600/1685 primary residence credit and discount interaction as a current programming challenge. No votes were taken; the meeting was informational and focused on gathering testimony and identifying issues for possible future recommendations or bill drafts.

Transcript Highlights:

• In a real simple example, if a house is worth $100,000 and the mill rate's 250 mills, and it goes to
• $200,000, but the mill rate is cut in half to 125 mills, the property tax obligation is exactly the same
• The local share for that $11,000 per kid is 60 mills.
• So they figured out what 60 mills is.
• So they figured out what 60 mills is.

Summary: The Budget Section met to approve prior minutes and receive a series of budget, revenue, and program updates from OMB, the Tax Department, DOT, DMR, and DPI. OMB reported that general fund revenues through May were about $76 million below the legislative forecast, driven mainly by individual income tax and sales tax shortfalls, though the biennium is still projected to end with a positive balance. OMB also reviewed oil price and production assumptions, the budget stabilization fund transfer above its cap, Legacy Fund performance, federal grant applications, fiscal irregularities, tobacco settlement proceeds, budget guidelines for agencies, vacancy savings, and the DAPL settlement, noting that most of the settlement funds had been deposited but a small amount of accrued interest would require a future deficiency request. The committee then considered Emergency Commission requests. It approved requests for Public Service Commission abandoned mine lands federal authority, an Attorney General FTE and related funding for criminal investigator work tied to the Office of Guardianship and Conservatorship, and a DPI transfer for bridge software costs. After discussion, the committee also approved DPI’s request for a $500,000 transfer for the food vendor program, despite questions about the program’s savings and cash-flow structure. Later, the Tax Commissioner presented the primary residence credit program, reporting that current biennium costs are expected to exceed the appropriation by about $22 million and explaining how the credit interacts with homestead and disabled veteran credits and the 3% property tax levy cap. The Legacy and Budget Stabilization Fund Advisory Board reported strong returns for both funds, and DOT sought and received approval for two flexible fund highway projects on ND 49 and ND 31. DOT also updated members on Highway 85 construction and said remaining flex fund dollars were essentially fully allocated. DMR reported on the abandoned well plugging and site reclamation fund, noting North Dakota’s relatively small orphan well inventory, current and projected fund balances, rising remediation costs, and a possible need to adjust the fund cap in future sessions. Finally, DPI outlined the new integrated formula gap funding program, explaining that it compensates school districts that cannot reach the assumed 60-mill local contribution because of the 3% levy cap; the first year’s gap funding totaled about $1.8 million, with future costs expected to grow.

Transcript Highlights:

• And a lot<00:48:12.640><c> of</c><00:48:12.800><c> the</c><00:48:14.000><c> mills</c> lot of the mills
• ,</c> north than the Quebec and Ontario mills, north than the Quebec and Ontario mills, but<00:48:23.520
• The other thing I see is lumber being produced going into Canada to be finally milled or dried and milled
• </c> some mills in northern New Hampshire. some mills in northern New Hampshire.
• </c> over going over to a Quebec milling over going over to a Quebec milling location<01:03:13.920><c

Keywords: 1189, house, all