Transcript Highlights:

• </c> now thank you yep and then we contract now thank you yep and then we contract in<00:26:54.720><c
• Do you know if we do one big contract with them, or do we do like 12 different contracts per program?
• the different sources. or do we do like 12 different contracts or do we do like 12 different contracts
• </c> the house yeah so um with our contract the house yeah so um with our contract there<00:52:19.079
• We have health promotion contracts.

Summary: The Division of Long-Term Supports and Services presented its budget and program overview as part of the Department of Health and Human Services operating budget review. Leadership described the division’s three bureaus—Aging and Adult Services, Developmental Services, and Family-Centered Services—and explained that the division provides guidance, technical assistance, quality monitoring, and contracted provider oversight across the lifespan. Members also discussed staffing, with reported vacancy rates of 4% in Aging and Adult Services, 15% in Developmental Services, and 6% in Family-Centered Services; the division said the higher BDS vacancy rate is partly due to the small number of authorized positions. The governor’s budget had left eight positions unfunded in the division, including three in Aging and Adult Services and five in BDS. A major topic was the division’s roadmap initiatives, especially building a system of care for healthy aging and strengthening developmental disabilities systems through a new reimbursement rate structure. The division said it contracted with an actuary to study DD service costs and found rates had not been reviewed since 2017 and were significantly below actual costs and other states’ rates, contributing to provider shortages even when services are authorized. Members asked about the impact on service delivery and whether rates would need to rise overall; the division said its strategy is to focus on lower-cost services that help people remain in the community. The division also reported waiver enrollment figures, including about 4,161 people on the Choices for Independence waiver, 3,688 average nursing facility residents, 5,061 people on the DD waiver, 228 on the acquired brain disorder waiver, and 488 children on the in-home support waiver, while noting there is no funding waitlist but provider availability remains a constraint. The division highlighted IT modernization as a major accomplishment, especially moving Adult Protective Services and Developmental Services into the New Heights system. Officials said these changes improve case-note access, data retrieval, service authorization tracking, and transparency for providers, and they asked for future oversight discussion focused on IT leverage. Members noted that New Heights maintenance is budgeted in the Office of the Commissioner under class 27 and suggested better transparency on system costs and benefits. The division also reported that it closed out a long-running CMS corrective action plan for BDS on July 1, 2023, and said it is now focused on strengthening the system rather than compliance alone. Other discussion covered the Aging and Adult Services bureau’s name change from Elderly and Adult Services to Adult and Aging Services, intended to avoid negative connotations and better reflect preventative services. The bureau described Adult Protective Services trends involving scams, financial exploitation, self-neglect, and isolation, and explained that it administers the CFI waiver, determines medical eligibility for nursing facility level of care, and braids funding from Medicaid, state funds, Older Americans Act money, Social Service Block Grants, and other grants. Members asked about waiver growth targets and federal consequences if enrollment remains below projections; the division said it would explain the shortfall in a future waiver amendment and did not anticipate a federal penalty. The meeting ended without any votes or formal actions taken.

Transcript Highlights:

• For contracts.
• </c><00:25:01.840><c> action,</c> context of a breach of contract action, context of a breach of contract
• </c> exempt covered entities from contract exempt covered entities from contract pharmacy<01:19:08.080
• </c> one contract pharmacy per health center. one contract pharmacy per health center.
• </c> only a able to have one contract only a able to have one contract pharmacy<01:43:41.440><c> would

Committee: Senate Commerce and Consumer Protection

Transcript Highlights:

• They've bid on our contracts.
• ,</c><01:19:03.280><c> um,</c> bid for a bus company contract, um, bid for a bus company contract, um
• </c> the contract. the contract. Thank<01:51:32.159><c> you.</c> Thank you. Thank you.
• Was there a clause in the contract that made it possible for the state to terminate that contract for
• Um, in that their contract right now is Um, in that their contract right now is legally<01:55:02.480>

Committee: House Transportation

Transcript Highlights:

• And why couldn't you get a contract for... And why couldn't you get a contract for...?
• I'm sorry. ...getting contracts and dollars out on this program.
• And our final question would be, in regards to, is DCF relying on overtime or contracts in order—I mean
• DSS—relying on overtime and contracts to help out with the vacancies?
• Could you send us what agencies are helping with your overtime, or what contracts are helping with your

Summary: The Finance Advisory Committee approved the minutes from its May 14, 2026 meeting and then considered four fiscal transfers. FAC 2026-9 for the Office of the State Controller transferred $4.345 million among fringe benefit accounts in the General Fund and Special Transportation Fund. Members questioned several employee benefit accounts, including active and retiree health care, Social Security, higher education alternative retirement, and OPEB; agency staff explained the transfers were based on updated year-end projections, with some accounts showing surpluses and others needing additional funds. The item was approved, with two no votes noted. FAC 2026-10 for the Military Department transferred $150,000 from the Honor Guards account to personal services and Governor’s Guard accounts to cover operational needs, and it was approved without opposition. FAC 2026-11 for the Department of Social Services transferred $3.3 million among accounts. Most of the discussion focused on a surplus in the substance use disorder waiver/reinvestment account, lower-than-expected TANF/TFA caseloads, federal family planning backfill requirements, and staffing challenges in eligibility operations. DSS said some funds remained unused because a residential care vendor did not enter into a contract, some reserves were intended for future multi-year investments, and eligibility staff require 12 to 18 months of training; the item was approved. FAC 2026-12 for the Department of Children and Families transferred $3.05 million among accounts for year-end operational needs. Members asked about closures of day treatment and community-based prevention programs, and DCF said children were transitioned to other providers without service interruption, with closures driven by provider decisions and financial viability. DCF also explained that some prior funding had been used as gap funding and that ongoing support had been built into the budget. The committee approved the transfer and then adjourned.

Transcript Highlights:

• . to work with stakeholders, establish network adequacy standards, and make IT and contract updates.
• If the insurer does not have a contract with the accepting facility, a single-case agreement must be
• These interpreters are contracted and not traditional state employees, so we have that reduced scope
• of bargaining compared to most of our contracts.
• This left us with a contract where only our L&I interpreters were not eligible to discuss this issue.

Summary: The House Appropriations Committee held a public hearing on a series of bills, beginning with House Bill 2689 on Working Connections Child Care. Staff explained that the proposed substitute would keep eligibility at 60% of state median income, eliminate scheduled expansions to 75% and 85%, reduce future subsidy rates from the 85th to the 75th percentile of market, end enhanced regional rates, and change reimbursement rules from prospective enrollment-based payments back to attendance-based payments with a reduced monthly payment after 11 absent days. Child care advocates thanked the committee for removing the proposed cap on the program but opposed the cuts to provider rates and eligibility expansions, warning of harm to families and providers. The committee then heard Engrossed Substitute Senate Bill 5124 on Medicaid network adequacy for post-acute care, with staff noting administrative costs and indeterminate fiscal effects; hospitals supported the bill as a way to reduce discharge delays and reliance on single-case agreements. Senate Bill 5832, which would raise the new motor vehicle arbitration fee from $3 to $6 to support the Lemon Law arbitration program, drew support from the Attorney General’s Office and auto dealers, who said the fee had not been updated since 1995 and the program was underfunded. The committee also heard Substitute Senate Bill 5862, providing a one-time 3% COLA for certain PERS 1 and TRS 1 retirees, with retirees testifying in favor and local government representatives warning about added employer costs. The committee next heard Senate Bill 5922, allowing school districts to transfer money from the Transportation Vehicle Fund to other funds if they reduce their fleet and receive OSPI approval; staff said the bill would mainly add administrative work for OSPI, and no one testified. Substitute Senate Bill 5923 would allow a hospital on an island in Skagit County to qualify as a critical access hospital if federally certified; Island Health testified that the designation would help sustain rural services, and a committee member asked about bed count and Medicaid/charity-care pressures. Senate Bill 5944 would require language access providers to bargain over compensation for missed or canceled appointments and clarify that statutes prevail over conflicting contract terms; WFSE supported the bill, saying it would equalize bargaining rights across agencies. Substitute Senate Bill 5972 would extend interest arbitration rights to correctional employees in city and county jails regardless of population size; labor supported the bill as a retention tool, while cities and counties opposed it, arguing it would raise costs and should include ability-to-pay protections. The committee also heard Senate Bill 5988, authorizing the Department of Health to continue accrediting opioid treatment programs and charge accreditation fees, which DOH said was needed to avoid winding down the program. Later, the committee heard Senate Bill 6151, which would move Ecology fee revenues for landfill methane emissions and laboratory accreditation into dedicated accounts; Ecology supported the bill as improving transparency and reinvesting fees into the programs, and staff said the lab fee shift would be offset by a related budget action. Engrossed Substitute Senate Bill 6194 would pay a rural hospital on a federally recognized Indian reservation, specifically Astria Toppenish, at 150% of the Medicaid fee-for-service rate beginning in 2027; hospital leaders and community members testified that the hospital serves a high-Medicaid, rural, and tribal population and faces persistent losses. Finally, Engrossed Substitute Senate Bill 6302 would direct L&I to investigate possible misclassification of independent contractors on public works projects involving multiple workers doing the same finishing work; labor and business representatives both described it as a negotiated compromise to address underground economy abuses. The committee took no final votes during the hearing and ended by reiterating amendment deadlines for bills scheduled for executive session.

Transcript Highlights:

• If the death of the unborn child was due to a wrongful act, negligence, breach of contract, breach of
• warranty, which are the categories... ...child was due to a wrongful act, negligence, breach of contract
• Wrongful act, negligence, breach of contract, or breach of warranty. Follow up?
• We had a 47-page contract for that process. It very well already... Surrogate.
• We had a 47-page contract for that process. It very well already covered everybody involved.

Summary: The Civil Justice and Claims Subcommittee met to consider one measure, PCS for HB 289, which would amend Florida’s wrongful death statute to allow parents of an unborn child to recover damages for the child’s wrongful death and to include parents in the definition of survivors. The sponsor said the bill is intended to give parents a remedy when a wrongful act, negligence, breach of contract, or breach of warranty causes the loss of an unborn child, while also preserving existing protections for lawful medical care and the mother. Members questioned the bill extensively about the meaning of “survivors,” whether it could reach surrogacy situations, friends or family who assist someone in obtaining abortion care, paternity issues, and whether abusive or unqualified fathers could bring claims. The sponsor repeatedly said the bill is limited to parents, does not authorize suits against the mother or lawful medical providers, and would still require the normal wrongful death procedures, including appointment of a personal representative. He cited Duncan v. Flynn as the case holding that current law does not allow recovery for the death of an unborn child. Representative Gottlieb offered an amendment modeled on criminal-law protections, aimed at expanding explicit immunity for a pregnant woman and for persons providing medical care or abortion-related conduct with consent. Supporters of the amendment said it would better align civil law with criminal protections; opponents argued it was overly broad and could shield unlicensed conduct. The amendment failed on a voice vote. Public testimony was divided, with supporters from pro-life and Catholic organizations backing the bill and some asking to remove the health care exemption, while opponents from ACLU, Equality Florida, Planned Parenthood affiliates, Florida Voice for the Unborn, Voices of Florida, and others warned the bill could chill reproductive health care, increase liability for doctors and hospitals, and invite lawsuits involving surrogates, family members, and abortion-related care. In debate, supporters said the bill simply recognizes the value of unborn children and gives parents a remedy for wrongful loss, while opponents argued it could create unintended consequences in family law, surrogacy, IVF, and medical practice, and could empower abusive partners or rapists. After closing remarks, the committee voted 13 yeas and 3 nays to report PCS for HB 289 favorably. The meeting then adjourned.

Transcript Highlights:

• Chair, members of the committee, for the record. contracts with Community Andor specialty contracts with
• </c><02:38:39.920><c> Pharmacy</c> limitations on contract Pharmacy limitations on contract Pharmacy
• contract Pharmacy profits goes to four contract Pharmacy profits goes to four major<02:58:09.600><c>
• </c> trade to contract trade to contract pharmacies<03:46:52.279><c> addresses</c><03:46:52.880><c> the
• </c> me where how I pick my contract me where how I pick my contract pharmacies<03:47:27.199><c> is</

Committee: Senate Health and Human Services

Transcript Highlights:

• This limited contract exemption language would enable DSH to quickly process contract amendments for
• This limited contract exemption language would enable DSH to quickly process contract amendments for
• County contract has facilities in the Los Angeles County area pay for services related to that contract
• area pay for services related to that contract.
• contracted through the state.

Transcript Highlights:

• </c> don't we don't do secret contracts. don't we don't do secret contracts.
• subdivision apply to the contract.
• subdivision apply to the contract.
• Thank you. every single contract that they have. every single contract that they have.
• </c> Currently, we contract with DeleteMe. Currently, we contract with DeleteMe.

Bills: HF4077 , HF3809 , HF3639 , HF4478 , HF3363 , HF3874

Committee: House Judiciary Finance and Civil Law

Keywords: municipal nondisclosure agreement, NDA, public records, transparency, local government, county, city, town, school district, housing and redevelopment authority, economic development authority, port authority, economic development, land development, public financing, tax increment financing, TIF, abatement, municipal bonds, debt obligations

Summary: The Judiciary Finance and Civil Law Committee approved the minutes from March 25 and March 26, then took up House File 4077, a bipartisan bill authored by Representatives Greenman and Roach. The bill would prohibit municipalities from entering into non-disclosure agreements with private entities that restrict disclosure about land development, economic development, or publicly funded projects, while preserving existing Chapter 13 data practices rules and trade secret protections. The authors argued the bill is needed to prevent secret agreements and backroom decision-making that undermine public transparency, and they moved that the bill be re-referred to the general register. Several local officials and residents testified in support, including a St. Louis County commissioner, the mayor of Lonsdale, and residents from Farmington and Hermantown. Supporters said NDAs had been used in connection with data center and other development projects to keep elected officials and the public in the dark, eroding trust and limiting community input. They described the bill as a common-sense transparency measure and said existing law already protects legitimate trade secrets. Opposition came from the Minnesota Chamber of Commerce and the Minnesota Business Partnership, which argued that NDAs are often necessary in early-stage economic development discussions to protect sensitive business information and remain competitive with other states. They warned the bill could discourage investment, jobs, and tax growth, and said it would impose a one-size-fits-all state mandate that limits local discretion. Committee members then debated whether the bill was too broad and whether it should be narrowed to data centers; supporters responded that the issue extends beyond data centers to other forms of economic development. A roll call vote was requested on the motion to re-refer the bill to the general register, but the final vote result was not stated in the transcript excerpt.

Transcript Highlights:

• temporary agency to provide full or part-time team members on behalf of the office on a temporary contract
• Why are we making these changes to the staffing contracts. Thanks for the question, Senator.
• not part of the open records, and we're going to take away the option to have contract employees.
• This just removes the ability for those contracting entities to hire.
• You can't hire them as a contract employee, you know, on a part-time basis or a contract employee at

Bills: SB1328 , SB1380 , SB1436 , SB1558 , SB1572 , SB1651 , SB1805 , SB1831 , SB1836 , SB2014 , SB2023 , SB2044 , SB2179 , SB933

Committee: Senate Health and Human Services

Keywords: parents' rights, healthcare consent, minors, medical records, protection, legal guardianship, Medicaid, Oklahoma Health Care Authority, eligibility verification, death records, Death Master File, vital statistics, disenrollment, recoupment, improper payments, benefits integrity, public assistance, income verification, residency verification, incarceration status

Transcript Highlights:

• And you're looking at about $7 million for the higher ed coalition contract.
• And you're seeing approximately $22.25 million for the general government contract and $13.5 million
• for the higher ed contract for 2025-27.
• We do have some economics in our contracts related to a prescription. and our contracts related to a
• the higher ed contract for $2527.

Committee: Joint Joint Committee on Employment Relations

Summary: The Joint Committee on Employment Relations met for work sessions on Washington Public Employees Association (WPEA) bargaining agreements and an overview of the collective bargaining process. OFM staff said supplemental bargaining for the 2025-27 biennium produced ratified tentative agreements for WPEA general government and higher education after earlier agreements were not ratified and the legislature declined funding because the October 1 deadline had been missed. Staff reported the current agreements were submitted for an OFM financial feasibility determination, with estimated 2025-27 general fund costs of about $12 million for general government and $7 million for higher education, and total funds of about $22.25 million and $13.5 million respectively. The agreements also include wage increases, an $18 starting wage, targeted classification adjustments, and some premium pay items related to wildfire work. Staff then gave an educational briefing on collective bargaining, explaining which employee groups OFM bargains for, the statutory framework, the annual bargaining timeline, and the role of interest arbitration. The presentation described how proposals are developed, how June revenue forecasts shape bargaining parameters, and how financial feasibility is assessed after agreements are reached. Staff also outlined bargaining priorities such as general wage increases, targeted recruitment and retention adjustments, maintaining the health care premium split, and keeping the starting wage above the minimum wage. Members asked why OFM bargains for certain non-state employee groups, and staff explained that those groups are required by statute and have separate bargaining and arbitration provisions. In executive session, the committee voted to keep the current co-chairs in place through 2026, to recognize that it met twice in 2025, and to set the 2026 meeting schedule at two meetings. All motions passed by voice vote, and the meeting adjourned.

Transcript Highlights:

• And you're looking at about $7 million for the higher ed coalition contract.
• And you're seeing approximately $22.25 million for the general government contract and $13.5 million
• for the higher ed contract for 2025-27.
• We do have some economics in our contracts related to a prescription. and our contracts related to a
• the higher ed contract for $2527.

Committee: Joint Joint Committee on Employment Relations

Summary: The Joint Committee on Employment Relations met for work sessions on supplemental bargaining for Washington Public Employees Association (WPEA) agreements in general government and higher education, followed by an overview of the collective bargaining process. OFM staff explained that bargaining for the 2025-27 biennium began in 2024, reached tentative agreements, was not ratified in time for the October 1 deadline, resumed, and ultimately produced ratified agreements in August 2025 that were submitted for financial feasibility review under RCW 41.80.010. Staff outlined the tentative agreements’ costs and covered employee counts, including roughly 2,500 FTEs in general government and 2,100 in higher education, with estimated 2025-27 total fund costs of about $22.25 million and $13.5 million respectively. Staff then gave a broader briefing on how state collective bargaining works, including the bargaining calendar, the role of class and compensation review, the June revenue forecast, interest arbitration, and the October 1 submission deadline. They described the groups OFM bargains for, including general government, higher education, health care coalitions, and certain non-state provider groups such as adult family home providers, child care providers, and language access providers. In response to a question from Senator King, staff said the legislature requires bargaining for those non-state provider groups and has also provided interest arbitration for them. Staff also discussed bargaining priorities such as general wage increases, targeted classification adjustments, recruitment and retention, low-wage worker increases, and maintaining the health care premium split. In executive session, the committee voted to keep the current co-chairs, Senator Robinson and Representative Couture, through 2026. Members also voted to recognize that the committee met twice in 2025 and to set the 2026 meeting schedule at two meetings. The motions passed without opposition, and the meeting adjourned.

Transcript Highlights:

• Defender's standards for contract or panel systems.
• We need to end the flat-fee contract system that jeopardizes fair representation and ensure contract
• We need to end the flat-feet contract system that jeopardizes fair representation and ensure contract
• at the flat-feet contract system that jeopardizes fair representation and ensure contract attorneys
• Here in California, we have a variety of counties that use contract systems.

Summary: The committee heard several public safety and criminal justice bills. AB 837 by Assemblymember Davies would add ketamine transportation to existing drug trafficking law; supporters, including district attorneys and peace officer groups, said it would address a growing and dangerous drug trend, while opponents argued increased penalties do not reduce drug supply and can worsen health harms. The bill was approved on a due-pass-as-amended vote and sent to Appropriations. AB 352 by Assemblymember Pacheco would make threats against judges and court commissioners an aggravating factor in sentencing; judicial and law enforcement groups supported it as a response to rising threats, while ACLU and criminal justice advocates said existing law already covers threats and the bill is unnecessary. It also passed to Appropriations. The committee then took up AB 938 by Assemblymember Bonta, which expands vacatur and affirmative-defense relief for survivors of human trafficking, intimate partner violence, and sexual violence, including for some violent offenses. Survivors and advocates testified that the bill would allow people coerced into crimes to tell their full stories and seek relief, while district attorneys and sheriffs warned it could sweep too broadly and affect public safety. The chair and several members strongly supported the measure, and it passed as amended to Appropriations. AB 475 by Assemblymember Wilson would make prison work assignments voluntary and is tied to a broader effort to remove involuntary servitude language from the state constitution; supporters framed it as a rehabilitation and dignity issue, while one member objected to the premise and cited the defeat of a related ballot measure. The bill was voted out to Appropriations but left on call pending additional votes. Assemblymember Lowenthal presented AB 704, which would allow people convicted of low-level offenses before age 26 to petition to seal and destroy records after a waiting period. Supporters said the bill addresses the limits of expungement in the digital age and recognizes young adult brain development; prosecutors and police groups raised Brady/disclosure concerns and objected to treating 18- to 25-year-olds like children. The committee debated those issues at length before sending the bill to Appropriations. Lowenthal also presented AB 812, which would expand resentencing opportunities for incarcerated firefighters who serve on conservation fire crews; supporters emphasized rehabilitation, wildfire response, and reduced recidivism, and the hearing continued with support testimony and the start of opposition testimony as the transcript ended.

Transcript Highlights:

• Public Defender's standards for contract or panel systems.
• We need to end the flat-fee contract system that jeopardizes fair representation and ensure contract
• We need to end the flat-feet contract system that jeopardizes fair representation and ensure contract
• at the flat-feet contract system that jeopardizes fair representation and ensure contract attorneys
• And part of the problem has been due to a change in the contract.

Committee: House Public Safety

Summary: The committee heard several public safety and criminal justice bills. AB 837 by Assembly Member Davies would add ketamine transportation to existing drug-trafficking law; supporters, including district attorneys and law enforcement groups, said the bill closes a loophole and addresses a growing public safety threat, while opponents argued increased penalties do not reduce drug supply and can discourage people from seeking help. The bill passed on a due pass as amended vote to Appropriations. AB 352 by Assembly Member Pacheco would make threats against judges and court commissioners an aggravating factor in sentencing; supporters cited rising threats to the judiciary, while opponents said existing law already covers threats and aggravating factors. The committee approved it on a due pass vote to Appropriations. AB 938 by Assembly Member Bonta would expand vacature and affirmative defense relief for survivors of human trafficking, intimate partner violence, and sexual violence, including for some violent offenses, and featured powerful testimony from survivor Susan Bustamante and vacature expert Jamie Beck. Supporters said the bill would let survivors tell their full stories and seek justice; opponents, including district attorneys and sheriffs, warned it could go too far by covering violent crimes and could affect public safety. The chair recommended an aye, and the bill passed to Appropriations. AB 475 by Assembly Member Wilson would make prison work assignments voluntary and was framed as part of efforts to end involuntary servitude; supporters linked it to rehabilitation and racial justice, while one member opposed it as inconsistent with accountability and the will of voters. The measure was moved on but left on call pending additional votes. AB 704 by Assembly Member Lowenthal would allow people convicted of low-level misdemeanors before age 26 to petition to seal and destroy records, with supporters emphasizing brain development and the limits of expungement in the digital age. District attorneys opposed it over Brady/discovery concerns and the destruction of records, but the chair recommended aye and it passed to Appropriations. AB 812 by Assembly Member Lowenthal would expand resentencing opportunities for incarcerated firefighters; supporters highlighted the rigor of fire camp work and rehabilitation benefits, while the district attorneys’ association opposed giving firefighters independent petition authority. Testimony on AB 812 was still underway at the end of the excerpt, and no final vote was shown.

Transcript Highlights:

• **Adriana Cruz**: ...is not because we're finalizing contracts.
• And we do not make announcements until contracts have been finished.
• **Chair**: Or potentially 85 miles that is a contract with the state of Texas, not a contract with the
• And so within the shared technology services contracts, as well as the telecommunications contracts,
• Can you elaborate on those contracts and service expectations?

Bills: SB1 , SB 1

Committee: Senate Finance

Transcript Highlights:

• So those were the construction contracts.
• They didn't include the design contracts, the engineering contracts, or the other phases of the projects
• Contract mowing ice drivers is up 12%.
• Um, that were contracted for this year.
• You know, billion in contract letings.

Committee: Senate Transportation

Transcript Highlights:

• So this chart shows the built resources and the contracted resources.
• I imagine this depends on the contract term.
• I imagine this powers on a contract term.
• And after the expiration of that contract, if the facility is still operational...
• After the expiration of that contract, if the facility is still operational and efficient, the contract

Summary: The Assembly Committee on Utilities and Energy held an oversight hearing with leaders from the CPUC, Public Advocates Office, CAISO, the Office of Energy Infrastructure Safety, and the Energy Commission. Chair Petrie-Norris framed the hearing around high utility bills, wildfire risk, grid reliability, clean energy buildout, and the state’s long-term decarbonization goals, and also noted it was CPUC President Alice Reynolds’ final week at the commission. Each agency gave an update on its role: the CPUC described efforts to reduce rate increases while maintaining reliability and clean energy procurement; the Public Advocates Office focused on affordability and the need to control underlying utility costs; CAISO discussed transmission planning, market operations, and the upcoming extended day-ahead market; Energy Safety reviewed wildfire mitigation oversight and inspections; and the Energy Commission highlighted clean energy growth, EV adoption, storage, efficiency, and gasoline price monitoring. A major theme was affordability versus the costs of the clean energy transition. Reynolds said the CPUC has lowered utility revenue requests, reduced utility returns, adopted a base services charge, and reworked net metering, while also continuing to manage wildfire-related costs and support resource adequacy and demand flexibility. Sarazawa argued that recent rate decreases may not be durable because billions of dollars in wildfire and other utility costs are still pending or unbilled, and she urged tighter use of general rate cases, lower-cost financing, program reform, and more equitable rate design. Members pressed the agencies on whether state policy is sufficiently accounting for labor, local economic development, and the cost impacts of transmission and procurement decisions, especially where out-of-state resources are being considered. CAISO and the Energy Commission emphasized that the state’s planning and market reforms are helping lower costs and improve reliability. CAISO said the Western Energy Imbalance Market has produced billions in benefits, the extended day-ahead market is on track to launch, and transmission planning is being aligned with long-term resource needs while reducing queue delays. The Energy Commission said California is now getting roughly two-thirds of its power from clean sources, has added massive amounts of storage and renewables, and is seeing strong EV and charger growth that can help spread fixed grid costs. Energy Safety reported thousands of inspections, hundreds of notices of non-performance, and a decline in reportable ignitions, while noting that major fires show more work is needed. Members also raised concerns about the SB 100 report delay, memo and balancing accounts, the future of battery storage, and whether decarbonization zone pilots will affect residential and commercial customers.

Transcript Highlights:

• Contracts are out on time.
• We've got contracts of $2 million.
• And then we've got contracts. We've got contracts for harm reduction as well.
• So all those contracts have been issued. councils. So all those contracts have been issued.
• There's both grants and contracts that will be announced under that $40 million.

Summary: The committee first recognized Mark Roper of the Economic Development Department for his long service and retirement, with members and the secretary praising his work on economic development across the state. Secretary Rob Black then presented EDD’s budget and special appropriation requests, describing strong recent job and income growth and outlining the department’s strategy around science and technology, site readiness, workforce development, foreign direct investment, and rural/community programs. He highlighted wins in advanced energy, quantum, space and defense, and biosciences, and asked for funding for quantum/DARPA matching funds, additional site readiness work, LIDA closing funds, JTIP training support, New Mexico Partnership, and healthy foods and other community programs. Members asked detailed questions about the quantum proposal, site readiness, the new mapping tool for industrial sites, workforce participation, trade missions, foreign investment, tariffs, water and produced water, tribal site evaluation, and public engagement on major projects. Black said the quantum request was intended to match federal dollars and build a workforce pipeline, that the site-readiness software would be a set enterprise license, and that the department was working with tribes and local partners on future site evaluations. He also said tariffs have created uncertainty but New Mexico’s infrastructure and foreign trade zones could help attract manufacturing, and he acknowledged concerns about transparency and community input while noting that some projects, such as Pacific Fusion, had gone through extensive public processes. The committee also discussed specific projects and funding balances, including Mantis Space’s move to Albuquerque, the status of Virgin Galactic’s spaceport lease, and the current LIDA fund balance and encumbrances. Black and Deputy Secretary Isaac Romero said the department was trying to use State Investment Council-backed venture funds to attract companies and that the new investments were already producing deals and jobs. Members generally supported the department’s direction but pressed for more targeted expertise, faster deployment, and stronger community involvement in future economic development decisions. Later, Secretary de Blassie of the Department of Health presented the department’s budget request and progress report. He said DOH had improved revenue cycle management, reduced old Medicaid-pending cases, increased census at facilities, improved budget and contract timeliness, and responded effectively to the measles outbreak. The department requested additional base funding for epidemiology and response, the DOH helpline, the Vital Records Virtual Vault, state labs, and the veterans home, along with special requests for respiratory vaccinations and marketing and lab equipment replacement. He also noted progress on MOUD and the medical psilocybin program, and said the department was not seeking to launch new programs given the limited time left in the administration.

Transcript Highlights:

• And just to follow up with your dues, and now this is a contract for service, basically, a contract for
• After reviewing the contracts, invoices, general ledger transactions, and...
• But if they contracted with somebody, that contracted CPA would do the exact same work. >> Follow up.
• Why they haven't contracted, I don't know.
• haven't gotten back to trying to contract with anybody. >> Quick follow-up.

Committee: Joint Management Audit Committee

Transcript Highlights:

• When you turn 18, you can sign contracts, vote, join the military.
• , and the latter has been partially supported by a contract with DCYF since 2009.
• The base contract for this service has not increased since 2009.
• My name is Samuel Martin, and I serve as the contract lobbyist for the Mockingbird Society.
• and to assess the measures included in each contract.

Summary: The Senate Human Services Committee held a work session focused on housing and services for youth and young adults, especially those exiting public systems of care. DCYF Assistant Secretary Vicki Ibarra described existing supports, including family reconciliation services and the youth and young adult housing response team, which coordinates with other agencies to help young people ages 12 to 24 avoid homelessness. Office of Homeless Youth Director Casey Hannawer Sutton outlined the office’s role in reducing youth homelessness, citing a 40% reduction since 2016, expansion of services to 37 counties, and ongoing work on prevention and “functional zero” efforts. Treehouse and the Mockingbird Society testified about education, transition, and housing barriers for foster youth and young adults, including funding cuts to Treehouse’s Graduation Success program, eligibility gaps, and the need for peer supports, financial literacy, and housing stability. A health impact review from the State Board of Health on a prior version of the extended foster care housing proposal found the bill would likely improve housing stability, health outcomes, and equity for some young adults in extended foster care. The committee then heard public testimony on Senate Bill 5911, which would stop DCYF from using Social Security benefits of young adults in extended foster care to reimburse the state for care costs. Sponsor Sen. Emily Alvarado said the bill would protect federal benefits that belong to the young person and help them meet basic needs; supporters from Partners for Our Children, TeamChild, Mockingbird Society, and a former foster youth testified that the current practice harms housing, education, and stability and urged the state to end it. Members discussed the need for financial literacy and the federal government’s recent direction discouraging the practice. The committee also heard Senate Bill 5940, a two-year extended foster care housing pilot that would provide rental assistance for up to 50 eligible youth in extended foster care who are homeless or at risk of homelessness, with transition planning required before age 21. Sen. Wilson said the bill is intended to keep young people in care from having to choose between foster care support and housing assistance. Testimony from Mockingbird Society, current and former foster youth, and Communities in Schools supported the bill as a way to reduce homelessness and improve educational and health outcomes. The committee briefly heard Senate Bill 5942, which would rename the DCYF Oversight Board as the DCYF Accountability Board and shift its reporting structure while keeping its oversight role, and Senate Bill 5957, which would expand the Office of Homeless Youth Advisory Committee to include additional members with lived experience and representation from disproportionately affected communities.