Transcript Highlights:

• And I think, you know, when it comes to security and being able to use your campaign funds or your surplus
• Speaker, the reason to vote no on this proposal is not within the four corners of how we use our surplus
• Speaker, one of the elements of this proposal is you could use your surplus campaign funds to buy a pistol

Bills: HB1160, HB1289, HB1339, HB1798, HB1065, HB2113, HB2124, HB2125, HB2134, HB2140, HB2185, HB2191, HB2205, HB2219, HB2245, HB2283, HB2343, HB2406, HB2501, HB2574, HB1544, HB1834, HB2156, HB2188, HB2206, HB2478, HJM4012, HB1104, HB1152, HB1254, HB1443, HB1982, HB2006, HB2179, HB2203, HB2297, HB2322, HB2329, HB2379, HB2388, HB2399, HB2462, HB2464, HB2495, HB2544, HB2551, HB2636, HB2192, HB2251, HB2262, HB2266, HB2298, HB2320, HB2323, HB2351, HB2401, HB2405, HB2442, HB2523, HB2593, HB2632, HB2661, HB1496, HB1898, HB2095, HB2157, HB2225, HB2274, HB2311, HB2325, HB2333, HB2476, HB2508, HB2552, HB1343, HB1634, HB1707, HB1906, HB1909, HB2196, HB2244, HB2339, HB2361, HB2384, HB2389, HB2410, HB2468, HB2475, HB2521, HB2548, HB2619, HB2637, HB2720

Keywords: design review, local government, land use, zoning, project permits, housing density, middle housing, affordable housing, parking minimums, single-family zoning, infill development, growth management, comprehensive plan, permit streamlining, objective development regulations, architectural review, administrative review, transit-oriented development, accessory dwelling units, ADU

Summary: The House convened with a quorum, offered the Pledge of Allegiance and prayer, approved the prior day’s minutes, and adopted House Resolution 4691 recognizing Presidents’ Day. Supporters of the resolution praised presidential leadership and civic ideals, while one member used the occasion to note the historical harms and contradictions of figures such as Washington, Lincoln, and FDR. The resolution was adopted by voice vote, and the House also recognized visiting former legislators and Black leaders in the chamber. The chamber then took up several bills, often suspending the rules to move measures directly to third reading. Second Substitute House Bill 1923, creating a local option for passenger-only ferry districts, passed 84-11 after debate over ferry reliability, local control, and possible tax “stacking.” Substitute House Bill 2475, requiring language-accessible public programs and services, passed 62-33 amid support for access and safety and opposition over unfunded mandates, overregulation, and concerns about technology and assimilation. Engrossed Substitute House Bill 2508, clarifying the Office of Independent Investigations’ authority, passed 90-6 after a technical amendment; supporters said it would improve police accountability processes, while some noted remaining concerns about investigations. House Bill 2464, requiring reporting and law-enforcement response data for incidents at private detention facilities, passed 58-38, with supporters emphasizing transparency and critics calling it political and questioning the agency chosen to collect the data. Substitute House Bill 2203, creating reckless interference with emergency barricades, passed 94-2 after testimony about flood rescues and the need for stronger deterrence. Second Substitute House Bill 2384, increasing oversight of continuing care retirement communities, passed 78-14; supporters cited senior protections and solvency, while opponents worried about duplicative costs. Second Substitute House Bill 2333, allowing certain campaign funds to be used for security and related protections for elected officials and candidates, passed 71-21 after debate over political violence and concerns about self-dealing. Second Substitute House Bill 1909, creating a Court Unification Task Force, passed 56-36, with supporters citing inconsistent court administration and opponents defending local control. The House also passed Second Substitute House Bill 1906 on water system rate transparency and consumer protection, 91-1; Engrossed Substitute House Bill 2548 on health care market standards and mergers, 53-38; Substitute House Bill 2405 establishing a PTSD pilot program with early treatment and return-to-work provisions, 90-1; and Substitute House Bill 2323 creating a Blue Envelope Program for autistic and neurodiverse drivers during traffic stops, 92-1. Throughout the day, members frequently split along lines of transparency, consumer protection, public safety, local control, and concerns about mandates or regulatory burden.

Transcript Highlights:

• The problem is our investments have been doing very well, and we have a very large surplus in the GET
• account right now. ...a very large surplus in the GET account right now, over $600 million, above and
• in the Legislature added a piece that said you can also use GET dollars, especially if there's a surplus

Summary: The Postsecondary Education and Workforce Committee met on January 27 and first took executive action on three bills. House Bill 2311, which makes administrative changes to the Workforce Education Investment Accountability and Oversight Board, was reported out with a do pass recommendation after the Leavitt amendment was withdrawn; supporters emphasized transparency, accountability, and student success metrics, while one member opposed moving it forward and urged more interim work. House Bill 2324, which extends tuition waiver access for children of eligible veterans when a disability determination occurs after age 18, passed unanimously. House Bill 288, the Dietitian Licensure Compact, was amended to delay implementation until July 1, 2028 and then passed unanimously as a substitute bill; members cited workforce shortages and the value of broader licensure portability. The committee then held public hearings on several bills. House Bill 2422 would shift private security guard licensing fees from individual guards to their employers, eliminate transfer fees, and penalize companies that require reimbursement; the sponsor and workers testified that the current system burdens low-wage guards and contributes to high turnover, while some members asked about whether fees could instead be lowered or eliminated. House Bill 2438 would create the SEEDS scholarship for early childhood education students using up to $10 million from the GET account if it remains sufficiently funded; the sponsor described it as a targeted test of surplus GET funds to address early learning workforce shortages, and testimony from educators, providers, and advocacy groups strongly supported it, while WASAC said the bill may need technical changes to avoid conflicts with existing 529 rules. The committee also heard House Bill 2525, which would create a WSU heritage orchard program and registry for old or rare apple varieties; the sponsor and industry witnesses said it would preserve agricultural history, support research, and aid future breeding and education. Finally, House Bill 2586 would align Passport to Careers with federal financial aid formulas and automatically deem Passport-eligible youth financially needy for the Washington College Grant; the sponsor and WASAC said it would help foster youth and homeless students access aid earlier and more predictably, and multiple students and advocates testified in strong support. No final action was taken on the bills heard in public testimony during this portion of the meeting.

Transcript Highlights:

• Section 3 is to address an issue, a potential issue, regarding surplus property.
• So we wanted to make sure that there is no question that we have to comply with the surplus property
• The surplus property law talks about a process that has to take place.

Keywords: 908, all

Summary: The Appropriations Division met in a work session on the draft Rural Health Transformation appropriations bill, 25.1392.01000, with no public testimony taken. Legislative Council and the Department of Health and Human Services walked through the bill, which would appropriate about $397.8 million in federal grant funds over two federal fiscal years, provide transfer authority, allow certain federal funds to be used for salaries and wages without counting against existing transfer limits, and authorize OMB to adjust other agencies’ spending authority if they receive grant awards through HHS. The bill also includes several temporary statutory exemptions to help implement the program, plus recipient acknowledgement/reporting requirements, periodic reports to Legislative Management, and an immediate effective date upon filing. Committee discussion focused heavily on how the federal rural health transformation money can be used and administered. Department officials explained that CMS will review projects for allowability and sustainability, that the state has flexibility to move funds among categories, and that the grant is limited to 10% administrative costs. Members asked about whether the funding could support renovations, equipment, ambulances, bulk purchasing, food distribution, and other rural health ideas, and were told many details will depend on CMS approval and the eventual applications. Questions also addressed cash flow, timing of obligations and reimbursements, FTE funding, and whether grant recipients should be told the program will not continue beyond the federal period; officials said the language is meant to prevent expectations of automatic continuation, not to bar future legislative action. The committee also discussed the bill’s use of a two-year appropriation amount, with staff explaining that the state must appropriate enough authority to cover the federal grant cycle and that unused authority would lapse if the full amount is not received or spent. Members raised concerns about whether the bill’s language could limit creativity or future program design, but department officials and several members emphasized the need for flexibility because CMS may reject overly specific directives. After discussion, the committee voted to recommend the bill draft to the full committee; the motion carried on a roll call vote, and the chair said the full Joint Appropriations Committee would take up the bill at the special session next week.

Transcript Highlights:

• Senator, is that this legislature has done really a great job of balancing tax relief with our terrific surplus
• continued balancing act that works out well for all Texans and the businesses that are fueling our record surplus
• Senator, is that this legislature has done really a great job of balancing tax relief with our terrific surplus

Bills: SB1331, SB1375, SB1443, SB1578, SB2251, SB2519, SB2553, SB2655, SB2764, SB2907, SB3030, SB3033, SB3035, SB3036, SB3037, SB3043, SB3047, SB3050, SB3051, SB3056, SB3057, SB3063, HB9, HB467, HB331, HB1244, HB1399, HB2559, HB2730, HB3307, HJR1, HJR99, SB3048, SB3052, SB3053, SJR78, HB1327, HB2723

Keywords: civil service, firefighters, police officers, municipalities, local government, repeal, voter petition, health care, provider participation, continuation programs, population-based regulation, health care provider participation, Medicaid, hospital funding, voluntary compliance, mandatory payments, public health, healthcare program, county participation, nonpublic hospitals

Summary: The Senate Committee on Local Government heard several bills, most of them left pending after brief public testimony. House Bill 331, by Rep. Patterson and sponsored by Sen. Hinojosa, would create a presumption that firefighters, police officers, and EMTs who suffer a heart attack or stroke within eight hours after a strenuous shift were injured in the line of duty for workers’ compensation purposes; testimony from a firefighters’ association supported the bill, and it was left pending. Senate Bill 2655, by Sen. Flores, would authorize Burnet County to establish a local provider participation fund to help support local hospital services; a hospital administrator testified in support, and the committee substitute was left pending. Senate Bill 1443, by Sen. Hughes, would extend the Northeast Healthcare Provider Participation District in three counties, and House Bill 3307, by Rep. Noble, would allow property tax arbitrators to complete required continuing education online; both were left pending without opposition. Senate Bill 3048, by Sen. Birdwell, would create the Bluebonnet Hills Municipal Management District in Midlothian and was also left pending. The committee then took up House Bill 9 and HJR 1, sponsored by Sen. Bettencourt, which would raise the business personal property tax exemption from $2,500 to $125,000 and place the constitutional amendment on the November 4, 2025 ballot. Business groups, realtors, and taxpayers’ advocates testified in strong support, saying the change would provide meaningful relief to small businesses and help balance earlier homeowner tax relief. The City of Fort Worth testified in opposition, warning of a revenue shift to homeowners and budget impacts, but the committee adopted the committee substitutes and reported both measures to the full Senate on 6-0 votes. The committee also heard House Bill 1399 and HJR 99, by Sen. Nichols, to exempt animal feed from property tax when it is already sales-tax exempt; no one testified against them, and both were left pending. Senate Bill 2553, by Sen. West, would let owners of historic archaeological sites protest land and structure appraisals separately, and it was left pending after supportive testimony. Senate Bill 2907 and SJR 78, also by Sen. West, would exempt certain perishable inventory, including food and some prescription drugs, from property tax if approved by voters; pharmacists, business groups, a researcher, and a coalition of retailers and food/medicine advocates supported the bill, and it was left pending. Finally, Senate Bill 1331, by Sen. Hancock and explained by Sen. Middleton, would lower the population threshold for certain municipal civil-service-related petition restrictions from 950,000 to 70,000; law enforcement representatives and a San Marcos police association supported it, and it was left pending. The committee then recessed until 15 to 30 minutes after adjournment.

Transcript Highlights:

• The United States enjoys a trade surplus with the Netherlands of more than $60 billion, the largest in
• The United States enjoys a more than $5.5 billion trade surplus with the Dominican Republic, more than
• We are blessed to run a trade surplus with the Netherlands.

Keywords: diplomatic nominations, foreign policy, ambassadors, U.S.-European relations, Bilateral relationships, security, trade

Summary: The meeting focused primarily on diplomatic nominations, featuring discussions about the implications of these roles on U.S. foreign policy. Notable was the introduction of nominees for key ambassadorial positions, including ambassadors to the Dominican Republic, France, and the Netherlands. Senator Shaheen emphasized the importance of U.S.-European relations, particularly in light of current global challenges, while other members voiced their concerns regarding the nominees’ qualifications and the impact on bilateral relationships. Public support for these nominations was evident, as was the committee's commitment to fostering stronger connections with allied nations, particularly in addressing security and trade issues.

Transcript Highlights:

• I For me, getting back to surplus would be my number one priority in this capacity.
• where are the markets, what are the products, and what are those dollar values that get us back to surplus
• But I say we have to get to the $60 billion sales number so that we get back into surplus, because America's

Transcript Highlights:

• Maryland and California are two examples of states that blew through their surplus coming out of COVID
• You've set up mechanisms, including what's called the GROW, to try to spread out this revenue surplus
• And so, you know, if you get into a 6% spending growth scenario, you can spread out the surplus and have

Transcript Highlights:

• Members, for school breakfast and the national school lunch programs. surplus agricultural grants for
• We've got a surplus so we ain't gonna be bankrupt. So you want to go 16 billion dollars?
• But I can tell you that with a $24 billion surplus and only $3.5 billion in newly legislated money for
• For a total of 6.5 billion in newly appropriated money out of a $54 billion surplus, I cannot go back
• And instead of returning it, it sets on fire. the $24 billion surplus of overcollected taxes that we

Bills: SB1, HB500, SB1, HB1400, HB 1094, HB365, HB 1109, HB647, HB500

Keywords: appropriations, budget, state funding, education, healthcare, infrastructure, state budget, mental health funding, education funding, infrastructure improvements, public safety, groundwater, water conservation, financial assistance, Texas Water Development Board, innovation fund, local conservation districts, transportation protection agreement, funeral services, insurance exemption

Transcript Highlights:

• </c><01:13:13.400><c> distribution</c> with limiting the Surplus distribution with limiting the Surplus
• </c> fees assessed for handling Surplus fees assessed for handling Surplus assets<01:15:43.440><c> okay
• And we'll get surplus statements when Mr.
• </c> so and we'll get um we'll get Surplus so and we'll get um we'll get Surplus statements<01:47:00.280
• </c><04:29:47.279><c> statement</c> added anything to the Surplus statement added anything to the Surplus

Keywords: 928, house, all

Summary: The committee took up House Bill 2 retirement provisions, focusing on Group Two/Tier B changes in pages 25-39. Jan Goodwin of the New Hampshire Retirement System and deputy chief counsel Mark Kavanaugh explained that the 2025 bill is largely similar to prior versions, but it restores certain pre-2011 benefit rules for Tier B members, including changes to average final compensation and earnable compensation, and it also addresses the annuity multiplier for years of service. Members discussed the tier structure, with Tier A referring to vested members, Tier B to those hired before 11/1/12 who were not vested, and Tier C to later hires. Several members expressed concern that the bill’s purpose was to restore Tier B benefits, not to change Tier A rules or create broader changes affecting newer hires. The retirement system flagged two likely drafting problems. First, it said a provision appears to omit a special-duty/earnable-compensation limitation in the Group Two section, which they believed was a scrivener’s error caused by moving language out of the Group One definition without adding it back for Group Two. Second, they noted the bill’s multiplier language overlaps with changes already enacted in HB 1647, which increased the multiplier for service beyond 15 years for Group Two and carried an estimated $26 million cost. The committee discussed that HB 1647 was originally broader in the House, but the Senate narrowed it to Tier B only. The actuary’s comparison of the 2023 and 2025 HB 2 versions showed the bills are close, but the 2025 version differs in funding and timing. Staff said the 2025 bill appropriates $2.5 million more per year for 10 years, and that, together with updated actuarial assumptions and a larger share of the affected tier having already retired or otherwise left service, results in a larger reduction in unfunded liability than the 2023 bill: about $98.2 million versus $68.5 million. Employer contribution impacts were described as small overall, though the 2025 bill was said to be somewhat more favorable than the 2023 version. Members also questioned why House Bill 1 only funds $5 million in the first year, and staff said that was tied to the governor’s revenue estimate and that the full funding does not begin immediately. No votes were taken in the portion provided; the committee mainly received testimony, asked clarifying questions, and noted that some issues would be addressed in the fiscal note worksheet.

Transcript Highlights:

• And I would also say we are running somewhat of a general fund, not huge surplus, but I agree with Senator
• And I would also say we are running somewhat of a general fund, not huge surplus, but I agree with Senator
• And I would also say we are running somewhat of a general fund, not huge surplus, but I agree with Senator
• ><c> but</c><01:14:14.800><c> I</c><01:14:15.120><c> agree</c><01:14:15.440><c> with</c> not huge surplus
• , but I agree with not huge surplus, but I agree with Senator<01:14:16.400><c> Gray</c><01:14:17.520>

Keywords: 10:00am HB 1260 11:00am HB 1574 12:00pm HB 1816 2:30pm HB 1499 2:45pm HB 1709, 928, house, all

Summary: The conference committee first met on HB 1260, a bill requested by municipal clerks to allow certain divorce-related records to be kept confidential. House members argued the Senate amendment would reverse the presumption of openness established in the Keene Sentinel case and raise constitutional issues under the state constitution’s privacy and open-government provisions. Senate members responded that the 2018 privacy amendment, the limited scope of the proposal, and modern internet risks justified the change, but the House maintained the issue needed a full hearing in a separate bill. The committee ultimately voted unanimously for the Senate to recede and adopt the House version, preserving the underlying bill without the Senate amendment, and both sides said they would revisit the topic in a future session. The committee then took up HB 1574, which extends free and reduced-price breakfast and lunch programs and provides funding for SNAP administrative costs. The main dispute was the Senate’s addition of $4.4 million for SNAP administration, which DHHS said was needed because federal law would shift more administrative costs to the state and could increase the state’s SNAP error rate, potentially triggering much larger future penalties. DHHS officials reported the current error rate was 7.57% for federal fiscal year 2024, below the national average, and estimated that if the rate rose above 8%, the state could owe about 10% of SNAP benefits, or roughly $12 million for a partial year and nearly $16 million for a full year. Some House members supported the added funding as a preventive measure, while others objected that the underlying bill was modest and the amendment resembled a previously rejected proposal. The discussion ended with the committee moving toward the House position and the bill’s future depending on the chamber’s vote on the Senate amendment.

Transcript Highlights:

• While the recent state February forecast projects a small surplus in 2829, things Thank you, Madam Chair
• While the recent state February forecast projects a small surplus in 2829, things HR1 permanently shifts
• While the recent state February forecast projects a small surplus in 2829, things Additional federal
• While the recent state February forecast projects a small surplus in 2829, things While the recent state
• February forecast projects a small surplus in 2028-29, things could easily swing in the other direction

Keywords: 1183, house

Transcript Highlights:

• hearing the last time I held this, I talked about the fact that we were actually coming out of a budget surplus
• , the last time I held this, I talked about the fact that we were actually coming out of a budget surplus
• And I want to say the glory years of a $97 billion surplus are over.
• Particularly in a space where I think the audit flags that the fund has built up a surplus of $220 million
• I would separate supporting Cal/OSHA using the money they already have in a massive surplus in that fund

Summary: The hearing focused on a state audit of Cal/OSHA titled “The Division of Occupational Safety and Health: Process Deficiencies and Staffing Shortages Limit Its Ability to Protect Workers.” Committee leaders and the audit team described serious workplace tragedies, argued that California’s worker protections are not being adequately enforced, and said the audit was prompted by concerns that Cal/OSHA was too often relying on letters instead of inspections, delaying investigations, and closing cases without enough documentation. Members repeatedly emphasized that the issue was not just staffing, but also outdated policies, weak oversight, and inconsistent enforcement. State Auditor Grant Parks said the audit found a 32% vacancy rate in 2023-24, heavy reliance on hard-copy files, outdated or unclear policies, and inconsistent decision-making in complaints, accidents, citations, and fine reductions. He said Cal/OSHA conducted on-site inspections in only about 20% of complaints, used letter investigations more than 80% of the time, often lacked evidence that hazards were corrected, and sometimes failed to inspect serious injury cases on time. The audit also found weak documentation for fine calculations and settlement reductions, with some penalties reduced substantially without clear explanations. Parks said the agency had accepted the findings and would provide progress updates later in the year. Committee members pressed the auditor on vacancy rates, the use of letter investigations, the low rate of criminal referrals, and whether fines were being reduced too often. Cal/OSHA and DIR officials responded that the vacancy rate had fallen to 12% partly because 66 vacant positions were eliminated in a statewide budget reduction and partly because of hiring; they said 126 people had been hired in the first half of the year. They also said they had hired a policy writer, were updating several policies, were planning periodic internal audits, and were developing a new data management system expected to go live in late 2026 or early 2027. On fines, officials said Title 8 sets base penalties and allows adjustments based on factors like employer size, history, and good faith, with appeals and informal conferences also affecting final amounts. No votes or formal actions were taken during the hearing.

Transcript Highlights:

• Is that before the $310 million that we have in surplus?
• Will that reduce the surplus from 310 down to 163.5? I believe that is correct. That's correct.

Summary: The committee heard House Bill 1001, sponsored by Representative Les Eaves, which would lower Arkansas’s personal income tax rate to 3.7% retroactive to the current year and reduce the corporate income tax rate to 4.1% beginning in 2027. Eaves argued the bill continued a decade-long strategy of broad-based tax relief, would help working families, and would keep Arkansas competitive with other states. He said the measure would reduce future surpluses rather than cut current services, and noted the average taxpayer could see roughly $800 to $1,000 in annual savings from recent tax changes. Several witnesses testified against the bill. Arkansas Appleseed’s Anna Morchetti, Missy Wyatt Joyce, Pastor Preston Clegg, Michelle Pedro of the Arkansas Coalition of Marshallese, and Arkansas Advocates for Children and Families’ Pete Guest all argued the state should prioritize funding for public schools, health care, supported living services, food assistance, rural hospitals, and early childhood education instead of further tax cuts. They said Arkansas faces significant unmet needs, including underfunded schools, food insecurity, and shortages in disability and community-based services, and warned the tax cut would mainly benefit higher earners while reducing resources for essential programs. After testimony, the committee limited debate time for witnesses to five minutes. Representative Eaves closed by saying the state had been responsible in prior tax cuts and that the bill would return money to taxpayers without reducing services. Representative Bray also spoke in support, saying the legislature has continued to fund major priorities while still providing tax relief to working families. The committee then voted to pass the bill, and HB 1001 was approved.

Transcript Highlights:

• testifier had said, they often end up being more than what is needed to cover that and there is a surplus
• generally cover the work to do the permit, but often end up being more than what is needed and there is a surplus

Keywords: 1183, house

Transcript Highlights:

• There are four properties, four surplus properties, that we sold since the last meeting.
• There are four properties for surplus properties that we sold since the last meeting.

Summary: The committee received a report from Director Wiley of the Arkansas Department of Transportation on a series of routine and quarterly items, including the closeout of the department’s efficiency review. Wiley said all five remaining recommendations from that review had been implemented, highlighted a new public maintenance dashboard on the agency website, and reported four surplus properties sold since the last meeting. He also noted that ARDOT had obligated $3.14 billion in Infrastructure Investment and Jobs Act funding to date and reviewed the annual expenditure report tied to 2019 revenue changes, which funded $98.7 million in maintenance projects last year. Members asked about the balance between maintenance and new construction, with Wiley saying about 75% of construction dollars go to maintaining the existing system and that ARDOT’s overall spending is overwhelmingly focused on upkeep because of the size of the state highway network. He also discussed major projects and corridor priorities, including Interstate 57 and Highway 5 work in Lonoke County, Interstate 49 public meetings, passing-lane improvements on Highway 412/62 in north central Arkansas, Highway 82 widening in south Arkansas, and long-range plans to widen Interstate 40, possibly including a toll study. On the Toad Suck Bridge flood mitigation project, he said the design had been revised to reduce public impacts and would not require a long-term bridge closure. The committee also discussed safety and enforcement tools in work zones. Wiley said new work-zone cameras and cell phone detection tools were being used on projects such as I-30, I-57, and I-49, mainly to improve safety rather than issue citations. In addition, he said ARDOT spends about $8 million annually on litter control and is expanding anti-litter efforts, including a spring cleanup day involving more than 2,500 operations employees and some office staff. He also announced agency initiatives on human trafficking awareness training for field and office staff and the Street Smart education program for middle school students, with plans to expand it to high school content next year. No votes were taken, and the meeting adjourned after the director’s presentation and member questions.

Transcript Highlights:

• But we're taking this money, this surplus money, in this pension fund, and as you've heard, we're not
• But we're taking this money, this surplus money, in this pension fund.

Summary: The House was called to order, a quorum was confirmed, and members recited the Pledge of Allegiance and a prayer. The chamber approved the previous day’s minutes, held brief party caucuses, and received a Senate message announcing the signing of engrossed substitute House Bill 1187. The House then moved through third-reading business on several bills, concurring in Senate amendments before final passage votes. Engrossed Substitute House Bill 1795, dealing with school restraint and isolation practices, drew the most debate. Supporters said the Senate changes added clarity and strengthened protections around restraint, while opponents argued schools and private providers serving high-need students need more training and funding before restrictions are tightened. The bill passed 58-37. Engrossed House Bill 1941, allowing small cannabis producers to form limited agricultural cooperatives, also passed after debate over whether cannabis should be treated as an agricultural product; it passed 69-26. Engrossed Second Substitute House Bill 2034, concerning the use of surplus pension funds from the LEOFF 1 plan, generated extensive opposition from members who said pension money should remain for retirees and first responders and warned against using it to balance the budget. Supporters described the measure as a prudent fiscal step for an overfunded closed plan. It passed 50-46. House Bill 1526, which allows snack bar licensees to sell wine by the glass, passed 87-9, and Second Substitute House Bill 1701, allowing independently owned wineries and breweries to lease third-party kitchen space, passed 89-7. The House then went at ease.

Transcript Highlights:

• On the original forecast, they had $185 million surplus before we had the 160.
• So this new forecast, DFNA, had a surplus of around $334 million, which I say will be reflected next

Summary: The meeting opened with prayer, approval of the prior minutes, and a monthly revenue report from the Bureau of Legislative Research. The report showed gross general revenue collections up year to date and net general revenue above forecast, with the increase attributed in part to income tax growth, a fiscal-year shift, and lottery-related collections. Members asked no questions, and no action was required on the revenue report. Several subcommittee reports were then presented and adopted, including executive, administrative rules, game and fish/state police, hospital/Medicaid/developmental disability, occupational licensing, PEER, revenue, state insurance programs, and personnel. The executive report noted a waiver request for Jackson County School District construction services and an audit with no findings. The administrative rules report covered agency directives, rulemaking updates, and a few rules pulled for later consideration. The revenue subcommittee held one District 4 tire removal contract until its next meeting, while the state insurance subcommittee reviewed the EBD contract with Boston Consulting Group and approved pharmacy formulary and drug recommendations. A substantial portion of the meeting focused on the State Insurance Department’s examination of pharmacy benefit managers, especially Navitus Health Solutions. Commissioners and staff explained that Navitus objected to producing certain claims data for self-funded plans, raising an ERISA preemption argument, and that the matter was being set for an administrative hearing, likely in April. Members questioned compliance, due process, and the implications of the objection, while the department said the state initiated the examination and was continuing to seek resolution. The committee also reviewed an Arkansas Teacher Retirement System agreement, with one member noting a potential conflict and abstaining. The meeting ended after members reviewed additional reports with no further action and adjourned.

Transcript Highlights:

• On the original forecast, they had $185 million surplus before we had the 160.
• So this new forecast, DFNA, had a surplus of around $334 million, which I say will be reflected next

Summary: The committee met and opened with a prayer, then approved the prior meeting minutes and received the monthly revenue report from the Bureau of Legislative Research. The report showed gross general revenue collections up year to date and net general revenue above forecast, with the staff noting changes driven by casino gaming transfers, income tax growth, and a lottery-related collection. No action was required on the revenue report. Several subcommittee reports were then presented and adopted, including the executive committee, administrative rules, game and fish/state police, hospital/Medicaid/developmental disability, occupational licensing, PEER, revenue, state insurance programs, and personnel. Topics included a Jackson County School District cooperative purchasing waiver, rulemaking updates from several agencies, federal immigration and wildlife issues, SNAP and Medicaid waiver reimbursement rates, occupational authorization reviews, temporary appropriations and transfer requests, a tire removal contract held for later review, EBD pharmacy and medical drug recommendations, and personnel items. The PEER report also included questions to the State Broadband Director about a provider with delinquent property taxes; he said the provider would not be brought forward until the issue is resolved and that broadband grant payments are tied to performance milestones. The most extended discussion came during review of a State Insurance Department report on pharmacy benefit manager oversight. Commissioners and members questioned Navitus Health Solutions’ refusal to provide certain claims data for self-funded plans in an affiliate pricing examination. The department said the matter is being briefed and set for an administrative hearing, likely in April, and that the dispute centers on ERISA preemption and state authority to request the data. Members also asked about the status of the other PBMs under review and whether they had raised similar objections. After all reports were adopted or filed as reviewed, the meeting adjourned with no further business.

Transcript Highlights:

• On the original forecast, they had $185 million surplus before we had the 160.
• So this new forecast, DFNA, had a surplus of around $334 million, which I say will be reflected next

Keywords: 1204, all

Transcript Highlights:

• There's your standard market and then there's your surplus lines market.
• then happens, and what we're seeing with a lot of our membership, is they're being kicked to the surplus

Summary: The House Consumer Protection & Business Committee held a public hearing on a bill concerning indemnification of commercial liquor servers. Staff explained that under current law, both licensed retailers and individual servers can face administrative penalties and civil liability if they sell alcohol to someone apparently under the influence, and the bill would require the retailer to pay the server’s defense costs and any civil judgment, while preserving existing administrative penalties and causes of action against the retailer. Members asked about how the current penalty structure works, whether the bill would change administrative enforcement, and how liability would apply in situations involving a lone server or multiple establishments; staff said the bill did not specifically address those scenarios. The prime sponsor said the bill was intended to protect lower-paid servers from losing everything in civil lawsuits when they were not the ones who violated the law, while still holding accountable those who actually break the rules. She emphasized that the bill was meant to start a broader conversation and that the term “indemnification” was used as a placeholder for the policy concept. Members raised questions about whether the retailer’s insurance would cover judgments, how the proposal would interact with existing liability rules, and whether cannabis service would be included; the sponsor said cannabis was not currently covered but might be if treated like alcohol in the future. A representative of the Washington Hospitality Association testified that liquor liability insurance is increasingly expensive and difficult to obtain, with fewer insurers, higher premiums, and some businesses unable to get coverage. The association said the bill would not materially change current law because licensees already defend themselves and employees in civil suits, but it would not stop servers from being named in lawsuits, which can still harm workers’ backgrounds and future employment. The association argued the larger problem is lawsuit abuse and urged broader reforms to damages, demand rules, and joint-and-several liability. The hearing ended with the committee closing public testimony on the bill.