Transcript Highlights:

• That 10% is earned based on completion of quality incentives.
• This is item number 45, titled, 'Require provider mandates for quality incentive payment eligibility.
• would be noncompliant with the new requirements, and who would therefore fail to earn the quality incentive
• For example, would these providers become eligible for the quality incentive payments at that point,
• For example, would these providers become eligible for the quality incentive payments at that point?

Summary: The hearing began with opening remarks on the Governor’s May Revision for child care and human services, with committee members and advocates stressing that the budget should not be balanced on the backs of low-income families, children, and providers. Legislative members and public witnesses strongly opposed the proposed suspension of the child care COLA, reductions to the Emergency Child Care Bridge Program, and the lack of codified rate reform tied to the alternative methodology. Several speakers also urged more support for providers affected by the Eaton fire and other disasters, and called for child care to be funded at the true cost of care and for additional slots to be restored. Administration, LAO, and Department of Education staff described the child care proposal as maintaining existing funding levels while adding administrative resources to prepare for federally required prospective payment changes and single-rate reform. The administration said the May Revision would suspend the 2025–26 COLA and reduce Bridge Program funding to align with utilization, while the LAO raised questions about the size and purpose of the proposed rate-reform and prospective-payment funding and recommended rejecting a Department of Technology exemption. CDE supported continued early education investments but said it would need additional resources if prospective pay were extended to state preschool, and it objected to a proposed reallocation of preschool funds for inclusive education grants. The committee then moved to the IHSS portion of the May Revision. DSS outlined five major proposals: capping provider work hours at 50 per week, eliminating IHSS for undocumented adults age 19 and older, shifting certain Community First Choice reassessment penalties to counties, reinstating the Medi-Cal asset test as a conforming IHSS reduction, and automating the termination of IHSS when Medi-Cal eligibility ends. DSS also discussed funding to implement a federal HCBS access rule and a separate reassessment of IHSS administrative methodology that found counties would need additional administrative funding. Finance said the proposals were intended to slow program growth and improve sustainability, while the LAO said it was still analyzing the package and raised concerns about implementation, county workload, and the potential loss of services. Committee members and public commenters criticized the IHSS cuts, especially the overtime cap and the elimination of services for undocumented adults and people affected by the asset test. Advocates argued that IHSS workers and recipients depend on these services, that county administration is already underfunded, and that the proposals could destabilize vulnerable consumers. The chair closed by saying the committee would continue to fight for child care and would not pause on child care, and the meeting recessed before moving on to the remaining May Revision items.

Transcript Highlights:

• <00:14:38.320> to<00:14:38.480> have don't want a financial incentive to have don't
• want a financial incentive to have people<00:14:38.959> in<00:14:39.199> crisis<00:14:
• It really does set up a financial incentive for people to use police instead of crisis teams.
• It really does set up a financial incentive for people to use police instead of crisis teams.
• <01:08:20.000> then there's really not much incentive then there's really not much incentive

Keywords: 1183, house

Transcript Highlights:

• However, these companies are also weighing options in other states with competitive incentives.
• He says Minnesota incentives for data centers help attract these investments, but the state needs to
• options in other states with weighing options in other states with competitive<00:22:34.679> incentives
• <00:22:35.679> currently competitive incentives currently competitive incentives currently
• > centers Minnesota incentives for data centers Minnesota incentives for data centers help<00:

Keywords: 1183, house

Keywords: 1191, senate, all

Transcript Highlights:

• And so, for fiscal year 2026, there were 61,468 statewide incentives, and each of those had a value of
• Now, I do think it's important to understand that one student can earn one of those incentives in each
• So, each student has an opportunity; it could result in incentive funding of 1,823.72 for each of those
• And as noted for fiscal year 26, you know, if you multiply that high-quality incentive rate times four
• And I would also just like to throw in, remember that in fiscal year 26, there were statewide incentives

Keywords: 0:00:03 - Call to Order and Roll Call 0:00:43 - Approval of October 14, 2025 and November 4, 2025 Minutes 0:01:15 - Acceptance of Office of Education Accountability Report: Analysis Of Student Discipline Data in Kentucky Schools 0:02:10 - Implementation Update on 26 RS HB 257 0:49:38 - Career and Technical Education in the Assessment and Accountability System 1:13:50 - Office of Education Accountability Annual Report 1:47:27 – Adjournment, 958, all

Summary: The Education Assessment & Accountability Review Subcommittee approved the minutes from its October 14 and November 4 meetings and also approved the Office of Education Accountability report analyzing student discipline data in Kentucky schools. The main presentation came from KDE Commissioner Dr. Robby Fletcher on implementation of House Bill 257, which he said has two major parts: selection of a statewide college entrance exam through a new procurement process, and development of locally designed indicators of quality for accountability. On the college exam, Fletcher explained that the state had to reopen procurement after Senate Bill 197, with the RFP released May 21, vendor questions handled through the Finance and Administration Cabinet, proposals due June 22, and scoring and review expected in July and August, with a vendor decision not likely until October. He emphasized that the exam is a norm-referenced college-readiness measure, not a test of Kentucky academic standards, which are assessed by the KSA. Members asked about the science requirement in statute, the possibility of multiple vendors or district choice, and whether the CLT could participate; Fletcher said vendors must address science in the RFP, multiple vendors could be possible, and any vendor could submit a proposal if it meets the rubric. He also noted that ACT and SAT differ in structure, that either can meet college-readiness benchmarks, and that there were no major complaints about the SAT during its first year of use. The second major topic was the locally developed indicators of quality under House Bill 257. Fletcher said these are intended to let districts measure themselves against their own goals rather than compare districts statewide, while still aligning with Kentucky standards. He described examples such as achievement, growth, student well-being, safety, fiscal responsibility, civics, internships, apprenticeships, project-based learning, and defenses of learning. He said districts may use local assessments such as MAP, STAR, and I-Ready alongside state data, and that local models should be developed with families, community members, and workforce partners. He added that KDE is providing technical assistance, has applied for a federal CGSA grant, and will use a one-time $15,000 cost offset for districts implementing local accountability models, with a superintendent webcast planned for August.

Transcript Highlights:

• And so, that's where I was trying to make sure that there's not an incentive that I want to protect the
• incentive incentive that<00:48:43.080> I<00:48:43.160> want<00:48:43.359> to<00
• <00:48:51.080> for make sure there wasn't an incentive for make sure there wasn't an incentive
• He said he understands the argument about trying to create some sort of incentive, but that this will
• Representative Lee said he understands the argument about trying to create some sort of incentive, but

Bills: HF2136, HF4195, HF4548, HF4432, HF4174, HF3024, HF4389, HF3773

Keywords: youth intervention, grants, community support, early intervention services, nonprofit, Minnesota human services, forecast adjustment, budget forecast, appropriations, Medical Assistance, MinnesotaCare, Health Care Access Fund, general fund, behavioral health, housing support, General Assistance, Minnesota Supplemental Aid, MFIP, DWP, child care assistance

Transcript Highlights:

• >> They're paid, and we provide an incentive as well, and so they're already in that position and they're
• paid by the center, but we provide extra incentives to help along the way.
• >> They're paid and we provide an incentive >> They're paid and we provide an incentive
• <01:18:39.679> to<01:18:40.000> help but we provide extra incentives to help but we
• provide extra incentives to help along<01:18:40.560> the<01:18:40.800> way.

Keywords: Meeting Start 00:00:00 Attendance Roll Call 00:00:07 Chair Comments 00:00:36 Approval of Minutes 00:04:01 Volunteers of America 00:04:21 Soil and Water Conservation/Energy and Environment Cabinet 00:14:52 Kentucky Office of Drug Control Policy/Justice & Public Safety Cabinet 00:21:05 Kentucky Department of Agriculture 00:26:01 Early Childhood Advisory Council 00:45:18, 958, all

Summary: The Tobacco Settlement Agreement Fund Oversight Committee met to review how tobacco settlement dollars are being used and to press recipients for detailed information on total funding, administrative versus program spending, and measurable outcomes. The chair emphasized that the committee was not there for general program overviews, but to assess return on investment and whether each program should continue to receive tobacco settlement support. The committee approved the minutes from its December 22, 2025 meeting and then heard presentations from several agencies and organizations. Volunteers of America Mid-States described its southeastern Kentucky restorative justice program, which uses an evidence-based New Zealand model for juvenile cases in nine counties. The group reported tobacco settlement funding of $516,000 in FY24 and $233,500 in FY25, representing about 17% and then about 5% of the program budget, respectively. It said the funding helped expand the program from 13 cases in 2021 to 180 youth served, and cited an independent evaluation showing recidivism of 24.5% compared with 40.4% in AOC data, along with a cost of a little under $20 per day versus detention and other placements. Some members questioned whether the program fit the tobacco settlement funding categories and suggested it might be better supported through other justice-related funding sources. The Energy and Environment Cabinet’s Division of Conservation explained that tobacco funds support $1 million in direct aid to conservation districts and $2 million in cost-share projects for farmers, with 5% of the cost-share appropriation allowed for administration, or about $100,000 in FY26. Officials said the direct-aid line was moved into tobacco funding in 2019, reducing money available for farmer cost-share, and described a multi-year project approval and reallocation process. Senator Webb asked for a more specific breakdown of the $850,000 direct-aid amount, and the cabinet said it would provide that information. The Kentucky Office of Drug Control Policy reported that in FY24 it expended just under $30 million across tobacco funds, general funds, restricted funds, and a one-time federal grant, with less than 2% used for administration. Officials said most tobacco settlement money goes to Kentucky ASAP local boards in all 120 counties, supporting prevention, treatment, and some law enforcement work. The Department of Agriculture then began its presentation, describing strategic investments, loan programs, county funding, administrative costs, and a reported return of about $2.30 for every dollar spent, but the transcript cuts off before that presentation was completed.

Transcript Highlights:

• The point in doing that is right now there's a big incentive for the researcher to make sure any real
• incentive incentive to<00:50:01.520> the<00:50:01.839> faculty<00:50:02.319> members
• So it rewards the inventor and provides them with the incentive. And, Mr.
• So it rewards the inventor and provides them with the incentive. And, Mr.
• So it rewards the inventor and provides them with the incentive. And, Mr.

Keywords: 916, all

Transcript Highlights:

• But often it's also proposed as an incentive, as a way of showing support for the economic impact that
• But often it's also proposed as an incentive, as a way of showing support for the economic impact that
• as a um a way of um as an incentive as a um a way of showing<01:26:45.600> um<01:26:46.480>
• So think about these tax incentives as if they don't get done, we're going to end up losing these events
• So think about these tax incentives as if they don't get done, we're going to end up losing these events

Keywords: 1187, senate, all

Transcript Highlights:

• payments for the Sustainable Forest Incentive Act, or ...” everyday motans.
• of incentive payments for the<00:10:48.320> sustainable<00:10:48.880> forest<00:10:49.200
• Sustainable Forest Incentive Act — uh, it's $5 million and 2627, 11 million and 2829. Mr.
• Sustainable forest incentive<01:17:37.560> act.
• Uh it's 5 million and incentive act.

Keywords: 1187, senate, all

Transcript Highlights:

• The last thing that I wanted to comment on is the intended incentives, and I understand and appreciate
• Furthermore, we have an incentive problem.
• That is why it is virtually impossible to create an effective financial incentive for water conservation
• Furthermore, we have an incentive Furthermore, we have an incentive problem. problem. problem.
• for water conservation through incentive for water conservation through the<00:52:31.560> water

Keywords: 1187, senate, all

Transcript Highlights:

• HR1 modifies and terminates many of the federal energy credits and incentives.
• Uh the remaining uh 15 incentives.
• <00:42:43.359> for<00:42:43.680> charitable an incentive for charitable an incentive
• So, uh, I don't know what the incentive would be to do that, but certainly, you know, they are required
• So, uh, I don't know what the incentive would be to do that, but certainly, you know, they are required

Keywords: 1187, senate, all

Transcript Highlights:

• Have an incentive that if you complete your program, you can reduce your time, earn credits, and that's
• Let's invest in incentives, which is a best practice. voluntary. And I want to give an voluntary.
• <00:46:43.280> have<00:46:43.520> incentive<00:46:44.079> that<00:46:44.240>
• if<00:46:44.400> you incentive have incentive that if you incentive have incentive that if
• let's invest incentives which is a<00:46:55.280> best<00:46:55.520> practice.

Bills: HB1769

Keywords: criminal justice reform, rehabilitation, private prisons, racial equity, Native Hawaiians, community well-being, mass incarceration, 910, house, all

Summary: The committee heard House Bill 1769, which would require the Department of Corrections and Rehabilitation to incrementally reduce the number of people incarcerated in private out-of-state correctional institutions. The DCR director opposed the bill, saying the department does not control overall prison population levels because courts determine admissions, and arguing that Hawaiʻi’s in-state facilities are already over capacity, especially Halawa, which he said is 165% over design capacity. He said only a small portion of the population is under departmental control through furlough programs and argued that bringing people home would require building a new medium-security prison. Supporters, including the Office of Hawaiian Affairs, the Hawaii Correctional System Oversight Commission, the Public Defender’s office, and several individuals, argued the bill creates a phased, accountable path to reduce reliance on mainland prisons and bring people home. Supporters emphasized the harms of separating incarcerated people from ʻohana and culture, the disproportionate impact on Native Hawaiians, and the need for diversion, treatment, re-entry support, and fair sentencing. Several testifiers also said the department has more control than it claimed, pointing to underused furlough options, reclassification, and empty beds at some in-state facilities, while others urged clearer statutory language and guardrails. Members questioned the director about whether people could be reclassified or moved to available beds at facilities such as Kulani and Waiawa, and about whether the department could do more through staffing and contract changes. The director said some proposals had been sent to the Department of Human Resource Development, but that major facility changes would be costly and that minimum-security facilities would need substantial upgrades to house medium-security inmates. After discussion, the chair said the committee would defer HB 1769 to Wednesday, February 18, 2026, at 11:30 a.m. for decision-making and adjourned the meeting.

Transcript Highlights:

• The incentive funding remains important for two reasons.
• The<00:35:34.079> incentive<00:35:34.800> funding The incentive funding The incentive funding
• The child care incentive fund is a good common-sense solution.
• care incentive fund is a good common<00:37:39.359> sense<00:37:39.760> solution.
• Without that incentive, we likely would not have retained her.

Keywords: 1191, senate, all

Transcript Highlights:

• Um, if you think about the incentives to fill more prescriptions right now, if a pharmacist sits down
• Um if you if you think about<01:14:14.159> the<01:14:14.480> incentives<01:14:15.280>
• > to<01:14:15.520> fill<01:14:15.760> more about the incentives to fill more about
• to do that financially uh incentive to do that financially uh because<01:14:26.080> we<01:14:
• to prevent the chronic much incentive to prevent the chronic illness.<01:15:00.560> Um<01:15:

Keywords: 1. Call to Order and Roll Call – 00:00:00 2. Approval of Minutes – 00:01:32 3. Getting to Know the Foundation for a Healthy Kentucky – 00:02:26 4. Healthy Kids Clinic – 00:26:58 5. Pharmacy Payment Parity – 00:56:36 6. Ibogaine – 01:17:37 7. Consideration of Referred Administrative Regulations – 01:53:05 8. Adjournment – 01:53:19, 958, all

Summary: The committee first approved the prior meeting minutes and recognized Eric Clark for his service, noting this may be his last meeting before he leaves state government. The main presentation was from Allison Adams, president and CEO of the Foundation for a Healthy Kentucky, who described the organization’s history, nonpartisan mission, and focus on health equity, prevention, and upstream policy solutions. She said Kentucky’s poor rankings in chronic disease, preventable hospitalizations, and life expectancy show the need to shift resources toward prevention and community-driven strategies rather than relying mainly on treatment after people become sick. Adams emphasized leading health indicators, arguing that lawmakers should track actionable measures such as quit attempts and smoke-free policies instead of only lagging indicators like disease rates and mortality. In response to questions, she said accountability should be shared across communities and systems, with possible incentives and disincentives tied to outcomes, and she supported creating a public data utility or dashboard, ideally with university partners, to help legislators and communities monitor progress. She also cited examples of accountable health community models and said Kentucky could adapt similar approaches. The committee then heard from Meade County Schools Superintendent Mark Martin and district health coordinator Karen Kotche about the Healthy Kids Clinic partnership with Cumberland Health. They described a seven-year effort that led to full implementation in the district, which now has a nurse in every school and a nurse practitioner, allowing services such as sports physicals and other clinic functions to be provided on campus. They said the program has been a strong investment for students and the community and began explaining how the district built the partnership after earlier efforts and delays, including the pandemic.

Transcript Highlights:

• This next set of slides really covers our proposal around considering altering the literacy incentive
• and 29 just give you an overview of the READ Act literacy aid, as well as the READ Act literacy incentive
• <00:13:58.079> aid altering the literacy incentive aid altering the literacy incentive aid
• aid which I just um literacy incentive aid which I just covered.<00:15:00.240> Now,<00:15:00.560
• If districts did not spend all of their allocations, they would need to be used for teacher incentive

Bills: HF2430, HF2433

Keywords: education finance, teacher training, Read Act, state aid, school funding, education funding, children with disabilities, transition aid, special education, school district consolidation, 1183, house

Transcript Highlights:

• It builds on a commitment by creating an incentive program to help farmers improve nitrogen efficiency
• > be<00:54:56.960> part<00:54:57.200> of<00:54:57.359> another incentive
• to actually be part of another incentive to actually be part of another program<00:54:58.160> where
• So, we think that $5,000 would provide good incentive, cover those costs to get the facility certified
• good incentive uh cover those<01:08:23.839> costs<01:08:24.159> to<01:08:24.400> get

Keywords: 1187, senate, all

Transcript Highlights:

• So, literacy incentive aid, paraprofessional paid orientation, and then full service community schools
• Moving to line 54, literacy incentive aid: this item receives $81.641 million in fiscal years 2024 and
• You'll note that literacy incentive aid is underlined, and Miss Beckle has underlined those programs
• uh this literacy incentive Aid uh this item<01:02:43.279> receives<01:02:44.079> 81.
• line You'll note that literacy incentive line You'll note that literacy incentive Aid<01:03:09.200

Keywords: 1183, house

Summary: The Education Finance Committee met on January 21, 2025, for its first hearing of the session and began with organizational business. Members and staff introduced themselves, described their districts and backgrounds, and the chair reviewed committee procedures, including how to request bill hearings, amendment deadlines, and handout deadlines. The committee also heard introductions from nonpartisan and partisan staff, including House Research and House Fiscal Analysis personnel who will support the committee’s work this session. The main substantive item was an overview presentation on the state budget and education finance process. Staff explained how Minnesota’s general fund is forecast twice a year, how the committee should read the budget documents and aid/levy tracking sheets, and how the current biennium compares with the upcoming budget window. They described the November forecast, noted that the committee will later receive the February forecast, and outlined the committee’s role in reviewing K-12 state aid spending, school district revenue, and property tax impacts. Staff walked through the aid appropriation summary spreadsheet and explained its columns, including end-of-session spending, fiscal year 2024-25 actuals and estimates, and the 2026-27 and 2028-29 planning horizons. They emphasized that many education programs are forecast-driven and can change with enrollment and other data. The presentation also summarized the state’s overall revenue mix and spending priorities, noting that K-12 education is the largest general fund category and that state aid makes up the majority of school revenue. No bills were heard and no votes or formal actions were taken.

Transcript Highlights:

• questions that led to some of these findings, but there seems to be financial disincentives and incentives
• On the flip side, on the UC side or the CSUs, potentially there’s incentives or disincentives on which
• corruption, if you will, within the system and a brokenness that actually is coming from the financial incentives
• I mean, a lot of the disconnect actually provides the same financial incentives to both parties.
• Yeah, we did ask a lot of questions about the different incentives at play.

Keywords: 987, senate, all

Transcript Highlights:

• The original promise in 16C was an incentive... ...far beyond walking or biking ability.
• The original promise in 16C was an incentive for cities and towns to regionalize, recognizing the compounding
• But if we reimburse—if the state reimbursed 100 percent—then wouldn't there be no incentive whatsoever
• Like, there's no incentive for them to cut any corners because they know they have control of the market
• Decades ago, as one incentive to regionalize school districts, we were promised full reimbursement for

Keywords: 995, all

Summary: The hearing focused primarily on H. 517/S. 314, a bill to provide a sustainable future for rural schools, and H. 697, a bill to require full funding of regional school transportation. Witnesses from rural districts, school committees, superintendents, students, and local officials described chronic underfunding, declining enrollment, high fixed costs, special education and transportation burdens, and the loss of programs, staff, and extracurriculars. Several speakers argued that rural aid should be funded at $60 million annually and made non-discretionary, while others emphasized that transportation reimbursement for regional districts has repeatedly fallen short of the state’s promise and is driving budget crises and overrides. A number of students testified in support of rural aid, describing cuts to classes, counselors, and activities, and the impact on their schools and communities. Committee members also discussed whether transportation policy should be revisited to address underlying cost drivers, including bus bidding practices and whether regional districts should have more flexibility in transportation requirements. The committee also heard H. 515, concerning Hancock Elementary School and a school choice-related exemption from a state requirement that has created a large financial burden for the district. Hancock’s superintendent and Rep. John Barrett explained that a decades-old regulation, recently enforced by DESE, would require Hancock to pay tuition for choice-in students through high school graduation even though the district only serves pre-K through grade 6 and sends its own students elsewhere for middle and high school. They said the rule creates a significant per-student shortfall and has forced Hancock to opt out of school choice. Committee members asked for clarification about how the arrangement works and how the costs fall on Hancock. Additional testimony supported related transportation bills for non-regional districts, especially Plymouth/Carver and North Middlesex, describing high and rising bus costs, special education and McKinney-Vento transportation expenses, and the strain on local budgets. Speakers repeatedly said that state reimbursement has not matched actual costs and that communities are being forced to choose between transportation and classroom services. No votes or final actions were taken in the hearing; the committee simply received testimony and closed the hearing on the bills discussed.