Transcript Highlights:

• We've worked very hard over the last excuse me, as outlined in the analysis.
• Many of these costs come from the arduous parcel-by-parcel site inventory analysis.
• The committee analysis goes as you know I voice those with you.
• And in the analysis itself, ...was one of those.
• So I'm curious to know, and I did read the analysis, what are we trying to do?

Keywords: 988, house, all

Transcript Highlights:

• > actuary<00:24:34.200> GRS actuarial analysis, the actuary GRS actuarial analysis, the
• > said<00:24:41.679> there actuarial analysis, they said there actuarial analysis, they
• It appears in the valuation, and this is called a gains-loss analysis.
• Okay. >> Did you get any requests for actuarial analysis? Yes, sir. Okay.
• that there will be an actuarial analysis that there will be an actuarial analysis on<01:34:34.280

Keywords: Meeting Start: 00:00:00 Attendance Roll Call: 00:00:12 Approval of Minutes: 00:01:34 Actuarial Valuation Update – KPPA: 00:02:10 Actuarial Valuation Update – TRS: 00:25:32, 958, all

Summary: The meeting began with roll call, confirmation of a quorum, and approval of the prior minutes. The main presentation was from KPPA officials Ryan Barrow and Erin Saratt on the annual actuarial valuations for the retirement and insurance systems. They said the systems’ funding status improved overall, with three of five insurance funds fully funded, CERS hazardous dropping from over 100% funded to 90.9% because of premium changes, and KRS receiving $650 million in supplemental funding over the biennium. They also reported strong investment returns above assumed rates, higher payroll and membership counts, and resulting actuarial losses tied to higher salaries and premiums, especially on the insurance side. Members asked several questions about what drove the actuarial losses and whether legislation affected them. KPPA said the CERS insurance loss was driven by premium increases and Senate Bill 10, while the pension-side losses were largely due to higher payroll and benefits for Tier 1 and Tier 2 members. They explained that new Tier 3 employees are designed to add no additional unfunded liability, and that the state administers the systems but does not directly control all hiring. Questions also focused on retiree health premiums, which KPPA said rose about 15% for non-Medicare retirees and 38% for Medicare retirees, with the increase attributed to utilization, prescription costs, and the Inflation Reduction Act. The committee then heard from TRS Deputy Executive Secretary and General Counsel Beau Barnes on the 2025 TRS actuarial valuation. He reported that the Retirement Annuity Trust and Health Insurance Trust both received full funding, the retirement trust’s funded ratio improved to 61%, TRS 4 remains well funded with no liability, and the health insurance trust improved to 89.1%. Barnes said TRS is on track to fully fund legacy liabilities within the amortization period, with 2044 as the point when the system reflects 100% funding and 2046 as the last year needing additional dollars for the legacy liability. He also explained that lower assumed investment returns and updated mortality assumptions increased liabilities, but that TRS uses direct rate smoothing for budgeting purposes. At the end of the meeting, the chair circulated a proposed set of “do’s and don’ts of pensions,” emphasizing that future legislation should not create unfunded liabilities. Barnes also noted he would later discuss several legislative proposals for the 2026 session, but the transcript provided ends before that discussion or any votes on those proposals.

Transcript Highlights:

• Your analysis on page six gets this exactly...
• And I would also point to the analysis as well.
• I think the analysis was very thorough and appreciate that.
• I think the analysis was very thorough and appreciate that.
• And while the analysis does a great job of outlining the standards for a First Amendment analysis of

Summary: The committee heard testimony on several bills related to reproductive access, child safety online, immigration enforcement in schools, health privacy, location data, digital provenance, reparations, and age assurance. AB 54 would protect the medication abortion supply chain and shield providers and others from liability; AB 1137 would strengthen reporting and enforcement tools for child sexual abuse material on social media; AB 49 would limit ICE activity at California public schools; AB 82 would expand privacy and safety protections for gender-affirming care patients and providers; AB 1355 would restrict the collection, use, and sale of precise location data; AB 853 would expand provenance requirements for AI-generated and authentic content; AB 62 would create a pathway for restitution for racially biased eminent domain takings; and AB 1043 would create a device-based age assurance framework for online services. Supporters generally framed the bills as necessary responses to current harms: reproductive rights advocates emphasized California’s role as a safe haven; child safety witnesses described the persistence and re-victimization caused by CSAM online; immigrant rights and education advocates said schools should remain safe from immigration enforcement; health and LGBTQ+ advocates stressed privacy and safety risks tied to tracking and harassment; privacy and consumer groups backed limits on location data and stronger provenance tools; and reparations advocates said AB 62 would help address historic injustices. Opposition came from family policy, tech, business, law enforcement, and industry groups, who raised concerns about safety claims, constitutional issues, implementation burdens, transparency, law enforcement access, and the need to preserve existing privacy frameworks and voluntary standards. The committee members largely expressed support for the policy goals while noting implementation concerns on some measures. Several members asked for or were offered coauthor status on bills. AB 1137, AB 54, AB 49, AB 82, AB 1355, AB 853, and AB 62 all received do-pass votes to Appropriations, with some members voting no or not voting on certain bills. AB 1355 and AB 853 were advanced with amendments or ongoing work promised with opponents, and AB 1043 was presented with discussion of possible amendments on parental consent and age assurance details, though the transcript cuts off before final action on that bill.

Transcript Highlights:

• It would require an analysis of the Commission's compliance with its authorizing statute, Chapter 32A
• It would require an analysis of the Commission's compliance with its authorizing statute, Chapter 32A
• It would require an analysis of cost drivers, including pharmacy benefits spending, high-cost claimants
• And the P.S. would be: we're doing everything we can to have the right tools and the right analysis.
• Unnecessarily flipping the tax switch on, Analysis.

Keywords: 995, all

Summary: The Senate considered a supplemental appropriations bill and a series of amendments focused on education, health, transportation, tax administration, and oversight. Senator Kennedy spoke in support of increasing funding for DTA caseworkers to improve SNAP access and reduce delays, but then withdrew the amendment by unanimous consent. Senator O’Connor’s amendment adding $500,000 for Free Period to provide free menstrual products in public schools was adopted, as was Senator Miranda’s $1 million METCO transportation and student support amendment. Senator Collins briefly proposed extending paid family and medical leave and unemployment insurance coverage to graduate student workers, but withdrew that amendment for later discussion. Several amendments were debated and either adopted or rejected. Senator Tarr’s proposal to create oversight of the Group Insurance Commission and fund an Inspector General review was defeated after opposition argued existing oversight was sufficient. Tarr also offered amendments on MBTA deficiency fund withdrawals and on requiring 90 days’ notice before state tax code decoupling changes; both were rejected after standing votes. Senator Driscoll’s amendment for Randolph Public Schools restroom improvements was adopted, while his veterans student loan forgiveness amendment was withdrawn. Additional amendments were adopted for Bridgewater Middle School water filtration, Uffum’s Corner Health Center, and NeighborHealth’s pharmacy technician training program for local high school students. A major discussion centered on school funding and enrollment declines. Senator DiDomenico withdrew an amendment that would have provided $100 million to address Chapter 70 funding losses tied to enrollment drops, but he and Senator Collins used the floor to argue that districts facing declining enrollment and rising costs need a broader state response. The Senate also adopted a new draft of the supplemental budget and then passed the bill to be engrossed by a roll call vote, with 35 members in the affirmative and 4 in the negative. The chamber then adjourned to meet again Monday, and did so in memory of Arthur H. Tobin, a former Quincy mayor, state legislator, and clerk magistrate.

Transcript Highlights:

• The language of the RFP identified four areas of analysis for the study on whether the application of
• The language of the RFP identified four areas of analysis for the study on whether the application of
• The RFP identified four areas of analysis for the study on whether the application of term limits will
• Our efforts to gather data for the study include the collection and analysis of survey data, as well
• So their feedback will also be included in the overall analysis.

Keywords: 908, all

Summary: The Legislative Procedure and Arrangements Committee met with a quorum, approved the previous meeting minutes, and heard an update from Garty Consulting on the interim study of legislative term limits. The consultants outlined their research plan and preliminary themes, including loss of institutional knowledge, shifts in power toward executive agencies and lobbyists, reduced long-term policy capacity, faster leadership turnover, and recruitment/support challenges. They also described possible recommendation categories ranging from constitutional and statutory changes to procedural and cultural adjustments. Committee members asked about how other states repealed term limits, how the public survey would address perceptions of term limits, and how stakeholder focus groups would be selected. The committee also heard a presentation from NCSL on term limits in other states, including examples from Nevada, Montana, and Colorado, with discussion of training programs, staffing changes, annual-session debates, bill limits, and impacts on decorum and leadership continuity. Several members requested follow-up data on part-time versus full-time legislatures, taxpayer costs, and nonpartisan staff devoted to oversight. The committee then considered revisions to the legislature’s workplace harassment policy and related forms. Legislative Council explained changes that clarified the definition of harassment, added captions for readability, extended several deadlines, allowed informal resolution before a review panel is appointed, clarified the role of Legislative Council in intake and documentation, and updated confidentiality/open-records language. Members, especially Senator Hogan, said the revisions better formalize the role of counsel and provide a less intimidating path for resolving complaints. The committee adopted the revised policy and forms by roll call vote. Finally, the committee approved a motion to enter executive session at 1:00 p.m. to review the results of a capital threat assessment and discuss legislator security, citing the applicable open-meetings exemptions. Members were instructed to limit discussion to the stated purpose and not take final action until returning to open session.

Transcript Highlights:

• Unfortunately, it was not part of the analysis, so I'm here to express my concerns today.
• Unfortunately, it was not part of the analysis, so I'm here to express my concerns today.
• My name is. part of the analysis so I'm here to express my concerns today.
• I didn't see it reflected in the analysis that we had or in the discussion as well.
• The committee analysis was fantastic, as usual. The bill is very simple—two sections.

Keywords: 987, senate, all

Summary: The committee heard several health, professional licensing, consumer protection, and animal welfare bills. Early items included AB 1307, which would create a pilot program allowing up to 30 qualified dentists from Mexico to work in underserved California areas; the California Dental Association moved from opposition to neutral after amendments, and members discussed access to care and oversight. AB 1703 would restrict use of osteopathic titles and the practice of osteopathic manipulative treatment to licensed DOs; it drew strong support from the Osteopathic Medical Board and physician groups, but non-physician osteopaths opposed it, arguing they have long provided safe care and that the bill would criminalize their work. AB 2250 made technical cleanup changes to hemp enforcement laws and AB 1758 raised the seller-of-travel assessment for the Travel Consumer Restitution Fund; both had support and no opposition. AB 1794 would allow prescribed enteral formula to be shipped directly to patients’ homes, and AB 1939 would allow licensed professional fiduciaries to form corporations, both with support and no opposition. AB 1775 would expand expedited licensing and other state support for service members discharged under a federal transgender military policy; it received emotional support testimony and some committee concern about expanding priority categories, but no opposition. AB 2477 would create a limited provisional period for new pest control employees to work under supervision while licensing is pending, and members discussed amendments and oversight before moving it forward. AB 1999 would modernize veterinary law by creating shelter-veterinarian and retired-volunteer pathways, changing VCPR rules, and narrowing the owner exemption for surgery; it was strongly supported by veterinary and animal welfare groups, with some discussion of autonomy and implementation. AB 2010 would permit high-quality, high-volume spay/neuter clinics and mobile sterilization units without a separate surgical suite; the Veterinary Medical Board opposed unless amended, while animal welfare groups supported it, and members emphasized the need for safety and clarity. AB 2311 would let public health care district hospitals directly employ physicians, with amendments intended to protect physician autonomy; CMA remained opposed unless amended, while district hospitals and other supporters said it would improve recruitment and access. The committee also heard AB 2402, which would update the definition and fee structure for multi-service health club studios, but the discussion was cut off in the transcript. After quorum was established, the committee voted to pass several bills out on call, including AB 1307, AB 1598 consent, AB 1703, AB 1758, AB 1775, AB 1794, AB 1939, AB 1999, AB 2010, AB 2250, AB 2311, and AB 2477, sending them to the appropriate fiscal or policy committees, with some recorded no votes on a few measures.

Transcript Highlights:

• So we work together to make sure that members in the House and the Senate have the same analysis.
• So we work together to make sure that members in the House and the Senate have the same analysis.
• With that in mind, I'm happy to dig into some analysis, but I think it's important to cover a couple
• Now, all the analysis that we received from them has been printed verbatim in the report.
• A quick plug for please see the report for copies of all the analysis we received, as well as some of

Summary: The Ways and Means Committee held a work session covering the state revenue outlook, caseload forecasts, wildfire costs, budget balance, tort liability, water supply, and pension policy. The Economic and Revenue Forecast Council reported modest near-term U.S. growth, no near-term Washington employment growth in 2026, continued personal income growth, and elevated inflation, with tariffs and federal policy cited as major risks. Revenue forecasts were slightly improved for the current biennium by about $105 million but down about $185 million for the next biennium. Members asked about income inequality and housing permits; staff said personal income is an aggregate measure and housing production remains below long-term needs. The Caseload Forecast Council then reported that most forecasts were unchanged or only slightly changed, but several programs increased, including Washington College Grant, Working Connections, aged/blind/disabled cash grants, nursing homes, home and community services, and developmental disabilities personal care. The largest policy-driven change was in Medicaid low-income adult caseloads, where federal H.R. 1 was projected to reduce coverage substantially through narrower eligibility, community engagement requirements, and shorter eligibility periods. The committee also heard a wildfire funding update and a 2025 fire season review. Staff explained that the state budgets $93 million annually for suppression and uses supplemental appropriations for costs above that level, with an estimated state supplemental need of about $139 million for the current year. Department of Natural Resources officials said 2025 fire activity remained below the 10-year average in acres burned, but fires were more complex and closer to communities, contributing to higher residence loss. They described expanded use of aircraft, firefighters from other states, corrections crews, and the Arcadia 20 hand crew, and said the state did not need National Guard ground support this year. A budget preview then showed that the near general fund outlook had worsened after vetoes, lapses, and forecast changes, and that maintenance-level costs alone would leave a projected negative balance by fiscal year 2027 and about $4.3 billion by fiscal year 2029, before any policy decisions. Jason Seams, the state risk manager, reported a sharp rise in tort claim costs, with indemnity expenses nearly doubling from fiscal year 2023 to 2025 and DCYF accounting for most of the increase. He said the state self-insurance liability account has run deficits for four straight biennia and is now facing nearly $600 million in deficits, driven largely by a surge in DCYF claims, especially juvenile rehabilitation and long-running sex abuse cases. Members asked about the role of old claims, comparisons with other states, excess insurance, and whether more Attorney General staff could reduce special assistant attorney general costs. The committee then shifted to water policy, hearing from tribal leaders, Ecology, and the Washington Water Trust. Tribal witnesses emphasized overappropriation, declining flows, climate impacts, and the need for legislative oversight and tribal participation in water policy. Ecology described major projects in the Odessa sub-area, Yakima Basin, and Dungeness, along with the need for storage, recharge, conservation, and policy changes to support water supply development. The Washington Water Trust argued that climate change is reducing summer flows and that the state needs more funding, enforcement, and long-term commitment to restore instream flows. The final item was a pension update on LEOFF 1 surplus assets; staff reviewed two 2025 bills that would have merged or restructured the plan and used surplus assets, but neither passed, and instead the budget directed the Select Committee on Pension Policy to study the issue and report back.

Transcript Highlights:

• We also have, along with that, our trust fund analysis that would reflect the actuals for 23, 25, and
• our trust fund analysis that would reflect the actuals for 23, 25, and then any revised estimates for
• And the legal analysis confirmed that it is not that.
• So that, per our legal analysis, to just state buildings alone.
• So I think you might be on the right track that maybe there needs to be some more legal analysis.

Keywords: 908, all

Transcript Highlights:

• We also have, along with that, our trust fund analysis that would reflect the actuals for '23-'25 and
• our trust fund analysis that would reflect the actuals for 23, 25, and then any revised estimates for
• And the legal analysis confirmed that it is not that.
• I don't believe so at that time, because the legal analysis that was conducted...
• that time, because the legal analysis that was conducted happened after that request.

Summary: The committee first received a general fund and revenue update from the Office of Management and Budget. Staff reported that the state started the biennium about $176 million above prior estimates, but year-to-date revenues were now running below legislative forecast, mainly due to lower individual income tax and sales tax collections. The budget stabilization fund was above its cap, the legacy fund continued to grow, and oil revenues were slightly above forecast overall. Members also asked about federal funding uncertainty and mineral leasing variability, and OMB said agencies would be asked to address potential federal reductions case by case during budget preparation. The committee then reviewed compliance reports and trust fund analysis materials, followed by a bill draft for a fixed-route city transportation grant program. Testimony from transit officials in Fargo and Minot supported the proposal, saying state aid would help match federal transit funds and support operations, but members raised questions about the funding source, fare structures, and whether the program should be limited to the current four fixed-route cities or allow future eligible cities. Several members asked for more time to study the formula and possible funding options before moving the bill forward. Next, the committee approved a bill draft repealing obsolete language related to a proposed North Dakota-South Dakota bi-state authority. Staff explained the provision had been unused for about 30 years and that existing law likely already allowed joint powers agreements without the specific language. The committee voted to adopt the repeal bill draft. The Department of Commerce and the Northern Plains UAS Test Site then provided an update on uncrewed aircraft system initiatives, including the Vantis radar data enclave, the drone replacement program, and future revenue models. Officials said North Dakota had received FAA approval to operate the radar data pathfinder, had begun replacing non-compliant drones from restricted foreign sources, and was working on phased procurement and cost-recovery plans. Members asked about deadlines, funding, supply-chain issues, and how the system would be used; staff said the federal restrictions were already in effect and that Vantis was being positioned as infrastructure for future beyond-visual-line-of-sight operations. Finally, the Department of Corrections and Rehabilitation presented on the design of a new minimum-security prison and on a reentry housing task force. The new facility is planned for the penitentiary grounds, with a reduced estimated cost of about $263 million, 600 beds initially, possible expansion to 732 beds, and completion projected around 2031 if funded in 2027. The reentry housing task force described a data-driven effort to identify housing needs for people leaving incarceration, with the goal of reducing homelessness and recidivism through targeted housing support and possible subsidies. Members asked about staffing, site selection, housing duration, and whether employment and transportation needs would be included in the assessment.

Transcript Highlights:

• And the committee analysis notes that then And the committee analysis notes that this will shift 150,000
• And note that in the analysis, according to J.D.
• We do a socioeconomic analysis of all the things that go into it, along with CEQA analysis.
• part of the jobs foregone analysis.
• But read your own analysis right here.

Summary: The committee first took up SB 712, which would expand California’s smog-check exemption for classic vehicles by adding model years 1976 through 1986 in phases, with a sunset in 2032. The author and supporters, including lowrider advocates and the Specialty Equipment Market Association, argued the bill would preserve car culture, support a small class of rarely driven collector vehicles, and reduce burdens on owners who struggle to find equipment for older smog tests. Opponents, including air district officials, the American Lung Association, and other environmental groups, warned the bill would weaken an important emissions-control program and increase pollution. After discussion, the committee adopted the motion to do pass as amended to Appropriations on a roll call vote of 10-0, with the roll held open for additional votes. The committee then heard SB 800, which requires Caltrans, working with local governments, to assess mitigation measures for suicide prevention on locally owned overpasses crossing state highways. The bill was presented as a response to recent tragedies in Rancho Cucamonga and was supported by local officials, health organizations, and suicide-prevention advocates, who said the measure would help identify high-risk locations and lead to life-saving interventions. There was no registered opposition. The committee members expressed support, and SB 800 was passed to Appropriations on a unanimous roll call vote, with the roll held open. Next, the committee considered SB 30, which would prohibit California public entities from selling, donating, or transferring decommissioned diesel locomotives and railroad equipment with Tier 1 or older engines unless the engine is removed, while allowing Tier 2 and newer transfers under certain conditions. The author and supporters framed the bill as a climate and public-health measure to prevent older, dirtier locomotives from continuing to pollute elsewhere, while transit agencies opposed it, arguing it could limit useful transfers of equipment that still supports passenger service and could be better handled through case-by-case air-quality review. After debate, the committee voted 6-4 to pass SB 30 as amended to Appropriations, with the roll held open for later additions. The committee also heard SB 791, which replaces the flat dealer document processing charge cap with a 1% fee capped at $350, along with new disclosure requirements. Dealers and industry groups supported the bill as a way to recover costs and improve transparency, while consumer advocates opposed it as an unjustified increase that would burden buyers. The committee approved SB 791 on a 8-? roll call vote and held the roll open. The meeting then moved on to SB 34, a port-air-quality bill presented by Senator Richardson, but the transcript ends during testimony and debate on that measure.

Transcript Highlights:

• I'll You don't need to, if you follow the logic of my analysis.
• Your, Senator, my assessment or my analysis was that partisan intent can be taken into account.
• Your, Senator, my assessment or my analysis was that partisan intent can be taken into account.
• We didn't do any functional analysis. So I don't know how this map will or will not perform.
• For those of us who are unwashed, it was a fairly tortured analysis. I give you that.

Keywords: 999, senate, all

Transcript Highlights:

• more um analysis on on our<00:18:29.840> part<00:18:30.160> but<00:18:30.400> I
• <00:25:15.840> on preferences as well as an analysis on preferences as well as an analysis
• <00:25:31.520> especially<00:25:31.840> when<00:25:32.480> the analysis especially
• when the analysis especially when the governmental<00:25:33.600> uh<00:25:33.760> agency
• <00:31:21.520> 2% analysis 2% analysis 2% four<00:31:23.520> six<00:31:23.919> eight

Bills: SB2064, SB2312, SB2811, SB2662, SB2744, SB2809, SB2862, SB2343, SB2336, SB2075, SB2308, SB2601, SB2397, SB2219, SB2849, SB2449, SB2781

Keywords: state architect, construction projects, design approvals, building codes, state agency oversight, government contracts, transparency, record retention, public oversight, Hawaii Revised Statutes, building permits, task force, state-owned lands, construction, regulatory process, government accountability, external consultants, procurement reform, cost efficiency, in-house expertise

Summary: The committee heard several government operations measures, beginning with SB 2064 on state construction projects, which would create an office of the state architect within DAGS to oversee design review and approvals for state construction. DAGS said it stood on its written testimony, DECAB supported the bill, DOT supported it, and HGA opposed it. No audience testimony or member questions were taken, and the chair moved on. The committee then took up SB 2312 on government contracts, which would make records held by private contractors performing government functions subject to UIPA. The State Procurement Office, Attorney General, OIP, ERS, DHS, and HGA offered comments or opposition, while the League of Women Voters, Public First Law Center, All Hawaii News, Grassroots, and several individuals supported the bill. Public First Law Center argued the bill closes a loophole and does not expand or reduce existing exemptions, while OIP and others raised concerns about privacy, confidential information, and the need for clearer procedures. Members discussed possible clarifying amendments, including changing “government function” to “agency,” and the bill was left for further consideration. Other measures discussed included SB 2662 on government accountability, which would require justification and caps for external consultants; ERS and DOT opposed it, while the American Council of Engineering Companies of Hawaii and Airlines Committee of Hawaii argued consultants are often more efficient and necessary for major projects. The committee also heard SB 2744 on due process, for which no testimony was received; SB 2809 on budget-related reports, with comments from B&F and the Tax Foundation; SB 2862 on gubernatorial appointments, opposed by the Governor’s Office and the Hawaii Correctional System Oversight Commission and supported by one individual; a bill on continuous legislative sessions, with comments from B&F, LRB, and Hope for Hawaii; SB 2336 on tree management standards, supported by an individual and the Outdoor Circle; and SB 2075 on public procurement local preferences, which drew broad support with comments from SPO and the Attorney General and discussion of simplifying the preference structure. No votes were taken in the excerpt, and the chair repeatedly moved measures along after testimony and questions.

Transcript Highlights:

• And so all those concerns we felt applied to this situation, flood their analysis and recommendations
• Legislation led to our analysis and recommendations.
• I'm the chief with the Technology and Data Analysis Bureau with the CDTFA.
• Appreciate the analysis from LAO as well as, you know, thoughts from the agency on... ...as well as,
• You can't just provide a cost-benefit analysis.

Summary: The Assembly Budget Subcommittee on State Administration heard several budget proposals from CDTFA, the Board of Equalization, and the Franchise Tax Board. The first panel focused on cannabis, hemp, flavored tobacco, and related enforcement. CDTFA requested ongoing funding to implement cannabis tax changes, enforce the new intoxicating hemp restrictions and flavored tobacco seizure authority, and continue compliance work. The department said it is targeting illicit product, protecting licensed businesses, and using referrals from the public and lawmakers to focus inspections. The LAO supported some of the proposals but urged the Legislature to treat them as part of a longer-term enforcement strategy and raised concerns about the use of General Fund support for cannabis enforcement. Public testimony on the cannabis item largely supported stronger enforcement and funding for the legal market. The committee also heard CDTFA’s request to reappropriate funds for an upgrade to the CROS tax collection system, which would improve taxpayer services, security, and software maintenance without adding new money. A separate CDTFA proposal would make all delivery network companies, such as DoorDash and Uber Eats, marketplace facilitators for sales tax purposes. CDTFA said the change would reduce confusion for restaurants and improve compliance, while the LAO questioned whether the proposal functioned more like a tax increase because it would also capture service fees. Members raised affordability concerns, but the proposal was framed by the administration as a parity and compliance measure. The subcommittee then considered a governor’s proposal for a sustainable aviation fuel tax credit. Finance argued the credit would help decarbonize aviation and support in-state production, while the LAO recommended rejection, citing cost, uncertainty about environmental benefits, possible diversion of diesel excise tax revenues from transportation programs, and concerns about consistency with voter-approved transportation funding rules. Testimony from airlines, labor unions, airports, and refinery workers strongly supported the credit, emphasizing union jobs, refinery conversions, and emissions reductions, while fuel retailers and some others warned about fiscal risk and higher fuel prices. The chair and some members expressed support for the proposal despite the funding concerns. Finally, the BOE presented an IT modernization project for state-assessed property administration, saying the current system is outdated and manual and that a new system is needed to improve accuracy, cybersecurity, and workflow efficiency, especially with a likely increase in workload from new VoIP assessments. The LAO asked for more justification for the timing, but BOE said the urgency stems from aging systems and growing workload. BOE also requested modest funding to implement SB 293 changes to intergenerational property transfers and wildfire relief guidance, which the LAO did not oppose. The Franchise Tax Board began its presentation on the final phase of its Enterprise Data to Revenue modernization effort, describing the project’s rollout across audit, collections, legal, and filing enforcement workloads and noting it is now in a warranty period.

Transcript Highlights:

• You need to complete an analysis, develop a plan, and select technology.
• I'm a very big believer in insourcing and outsourcing analysis.
• That is where we showed some of the analysis of GLP-1s and the benefits to other costs.
• Then, it would require doing the necessary actuarial and other analysis and financial analysis to develop
• On page 7, according to the recent analysis by Deloitte, the statement is really telling.

Transcript Highlights:

• We need the experts to give us the analysis of that data.
• From our analysis, 90% of those homes were built before today's building codes.
• Prioritization of in that analysis? I wish there was a much easier answer.
• Are we going to get an analysis of those 45 projects? Can we have that? Can you help us with that?
• We don't have that now because that bill analysis process needs to run its course.

Keywords: 988, house, all

Transcript Highlights:

• The analysis revealed several key findings.
• <01:41:25.840> um data sets used for this analysis. um data sets used for this analysis. um
• Uh the analysis revealed slide here.
• Uh the analysis revealed several<01:41:52.560> key<01:41:52.880> findings.
• It's very technical analysis. It's hard to summarize in just a few slides.

Keywords: 928, house, all

Summary: The committee first approved the draft minutes from its May 29 meeting and then received an informational update from the Commission for the Deaf and Hard of Hearing about the state’s ASL interpreter pipeline. Representative Woods and Associate Commissioner Ann Landry explained that the American Sign Language program at UNH Manchester, the nation’s first fully accredited program, is facing viability concerns because high tuition has left only two of a potential 20 students committed so far. They warned that if enrollment does not recover, the program could face a teachout and eventually be lost, which they said would be detrimental because many state services and legal proceedings require qualified interpreters. Members discussed possible alternatives, including whether community colleges could help, and asked for follow-up research and contact information for UNH officials. The committee also heard that interpreter demand across DHHS continues to rise and that the department must ensure compliance with civil rights and service-access requirements. The committee then turned to Medicaid policy changes tied to Senate Bill 134 and a new federal interim final rule on Medicaid community engagement, or work, requirements. DHHS officials Olivia May and Ann Landry explained that the state law and federal rule align in many areas, but the committee still needed to decide how to implement several remaining policy choices. The department recommended adopting all four short-term hardship exceptions because the federal rule requires states to take them all or none: inpatient or institutional care, federally declared emergencies, high-unemployment areas, and extensive out-of-state travel for serious medical care. Members generally supported the exceptions but raised concerns about how they would be defined and applied, especially the emergency and medical-travel categories. Several legislators asked for more clarity on terms like “extensively” and “serious or complex medical care,” and DHHS said the federal rule does not rigidly define them, though the state could refine implementation through rulemaking if authorized. The department also said the emergency exception would apply only to federally declared emergencies, not state declarations, and would be tied to the emergency event itself. No final vote on the Medicaid policy was recorded in the portion provided, but the discussion indicated the committee was reviewing the remaining decisions needed to implement Senate Bill 134 under the new federal framework.

Transcript Highlights:

• But I also have to look at this as a cost-benefit analysis of whether we are adding more requirements
• But I also have to look at this as a cost-benefit analysis of whether we are adding more requirements
• And also would just point out several of the other policy issues that are raised in the analysis that
• And also would just point out several of the other policy issues that are raised in the analysis that
• I appreciate the thoughtful analysis and input that the committee has provided.

Summary: The Assembly Higher Education Committee heard several Senate measures focused on community college procurement, higher education access, and student support. SB 1154 by Senator Reyes would allow community college districts to use best-value procurement for public works projects over $1 million. Supporters, including San Bernardino Valley College, the San Bernardino Community College District, labor groups, and several districts, said it would improve delivery of complex facilities and align community colleges with other education systems. Opponents, including the Associated General Contractors, argued the bill’s skilled-and-trained workforce requirements and labor-compliance scoring would narrow the bidder pool and raise costs. The committee passed the bill to the Assembly Floor on a due-pass vote, with some members voting no or not recorded. SB 1255, also by Senator Reyes, would create a California Hispanic-serving institution designation. Supporters from HACU, the CSU Chancellor’s Office, UC, community colleges, and other education organizations said the designation would recognize campuses that serve large numbers of Latino and low-income students and strengthen accountability and student success. The committee approved the bill as amended and re-referred it to Appropriations, with one no vote. SB 1328, presented on behalf of Senator Cervantes, would require LGBTQ+ points of contact at satellite or branch campuses of CSU and community colleges, either through designated staff or regular office hours. Testimony emphasized gaps in access at remote centers and the need for confidential support; one member raised concerns about staffing, costs, and whether existing systems could meet the need remotely. The bill was passed as amended and sent to Appropriations. The committee also considered SB 960 by Senator Cabaldon, which would expand the circumstances under which community colleges could offer bachelor’s degrees in response to unmet workforce needs, especially where CSU programs are impacted or not realistically accessible locally. Supporters said the bill would help meet workforce demand and expand access for place-bound and adult learners. CSU and faculty representatives opposed unless amended, urging stronger partnership requirements, clearer workforce-need standards, and safeguards around duplication and Prop 98 funding. Members discussed impaction, regional access, and the role of partnerships; the bill was passed as amended and re-referred to Appropriations. Finally, SB 632 by Senator Otagan would extend the California College Promise fee waiver to part-time community college students enrolled in nine units. Supporters said many students cannot attend full time because of work, caregiving, and living costs, and the bill would better reflect student realities; the transcript ends during testimony on this measure, before any vote is shown.

Transcript Highlights:

• <00:10:22.400> There economic analysis is warranted.
• There economic analysis is warranted.
• <00:10:30.240> Um kind of complex economic analysis.
• Um kind of complex economic analysis.
• There are a host of, you know, for-profit entities that do this kind of complex economic analysis.

Keywords: 1183, house

Transcript Highlights:

• We do that through what's called stochastic analysis, where we simulate a few thousand different investment
• Less, and our analysis estimates around 25% to 30%.
• It's as far along as we can get it until we get the additional analysis.
• It's as far along as we can get it until we get the additional analysis.
• I think the most recent analysis would be included in Senate Bill 5085 in the actuarial fiscal note that

Summary: The committee approved the July minutes and then received an informational presentation from the Office of the State Actuary on the financial condition of the state retirement systems. The actuary reported that employer contribution rates are generally declining, helped by strong investment returns and reduced funding for PERS 1 and TERS 1, while funded ratios have continued to improve; on a combined basis the plans were reported at 100% funded in 2024, with open plans above 95% and legacy plans varying by system. The presentation also reviewed projected rates and funded ratios under current assumptions, noted that pension costs are taking a smaller share of the state general fund, and discussed risks from investment volatility, policy changes, and demographic experience. Committee members asked about savings from lower rates, deferred asset smoothing, and how Washington compares with other states. The committee then considered the state actuary’s recommendation on long-term economic assumptions and adopted all four recommendations by roll call votes: inflation at 3.0%, general salary growth at 3.5%, membership growth for Plan 1 funding at 1.0%, and investment rate of return at 7.25%. The actuaries explained that the inflation and salary growth increases were driven largely by higher long-term inflation expectations, while the investment return recommendation matched the current statutory assumption. Members discussed the timing of the Pension Funding Council’s decision, the effect of tariffs and inflation uncertainty, and how assumption changes would affect future contribution rates and budgets, particularly for open plans. Staff then gave an update on the LEOFF 1 study, explaining the difference between being “ahead of schedule” and truly overfunded, and summarizing responses received from DRS, the State Treasurer, and the State Investment Board on the merger and restatement proposals. DRS said both bills could be administered, though the merger bill’s COLA banking provision would be challenging until its new system is ready; the Treasurer urged caution, especially about the restatement bill and the use of one-time funds; and the Investment Board said removing assets from the trust would have some transaction costs but likely small impacts. The committee discussed whether to invite additional agencies and local government groups to testify, and staff said more responses, including from Ice Miller and the State Actuary, were expected for the October meeting. Finally, the committee heard a briefing on PERS 1/TERS 1 COLA policy and related bills from the last session. Staff reviewed the committee’s prior ongoing COLA recommendation, the SCPP-endorsed bills that would have created a one-time 3% COLA followed by an ongoing COLA, the Senate merger bill, and a separate ad hoc COLA bill. Public testimony largely supported Plan 1 COLAs and stable contribution rates, while several speakers urged caution about transferring LEOFF 1 surplus assets or merging legacy plans, and others raised concerns about climate risk and the pension fund’s investments. No further committee action was taken on the COLA item during this portion of the meeting.

Transcript Highlights:

• So, we'll have to follow up with our research economic analysis division on the economic impacts for
• So, we'll ask our economic analysis division to pull together that. Okay. Thank you.
• division to pull our economic analysis division to pull together<00:12:15.360> that.
• And we also passed out DBEDT's analysis as to why we should fund an increase in tourism.
• as to why we should uh fund an analysis as to why we should uh fund an increase<00:20:43.280> in<

Keywords: 912, senate, all

Summary: The committee heard testimony and then took up House Bill 1369, which would repeal several tax credits and exemptions, including the renewable fuels production tax credit. Testimony was overwhelmingly opposed: Hawaii Gas, the Hawaii Renewable Fuels Coalition, and the Tax Foundation all raised concerns, with opponents arguing the renewable fuels credit has supported major local investment, cleaner fuel production, and energy resilience, while Hawaii Gas warned repeal would raise costs for customers. The Department of Taxation said it did not take a position but provided revenue estimates, saying the bill would increase revenues by about $33.8 million in FY 2026 and $121.7 million in FY 2027; DBEDT said it would follow up on broader economic impacts. The chair proposed a series of amendments that removed some repeals, added five-year sunsets to certain exemptions, narrowed or conditioned others, and tied the renewable fuels exemption to a dollar-for-dollar match for renewable fuel production certified by the state energy officer. The committee recommended passage with amendments, and the motion was adopted with multiple members voting with reservations. The committee then moved through a series of other measures. HB 159, HB 244, HB 280, HB 316, HB 716, HB 1298, and HB 1295 were recommended for passage, with HB 1295 amended to change a date to 2050. HB 455 was amended to remove the Hawaii Startup Business Loan Program language and instead fund DBEDT contracting for startup financing and support, excluding businesses already eligible for the community-based economic development loan program. HB 504 was amended to add non-recurring appropriations for the Hawaii Tourism Authority, conditioned on formal commitments to purchase local products under the HRS 27-8 timeline; members discussed the cruise passenger tax and where the revenue would go, and the bill was passed with amendments. HB 606 was amended to recognize DHHL authority over mercantile projects licenses, remove some reporting requirements, and replace the appropriation with $25 million for mercantile projects and $25 million for repair and maintenance. HB 1378 was amended to allow the foundation to enter public-private partnerships, adjust appropriation language, and cap a proposed limit at $15 million, with the committee noting the changes addressed concerns raised in testimony from BNF and the attorney general. HB 974 was deferred indefinitely because the House had already passed SB 1501. Finally, HB 1007 was amended to rename the transit-oriented development infrastructure district program as the transit-oriented community improvement program, consolidate the boards into one, expand board membership, add conflict-of-interest provisions, and allow legislative designation of areas; after discussion about HCDA’s role and the stadium district, the measure was adopted with one reservation.