Bills: HB149, HB2017, HB705, HB223, HB 1056, HB2854, HB4623, HB3000, HB46, HB 117, HB3619, HB4464, HB5646, HCR84, HB500, HB2963, HB5509, HB1973, HB3909, HB718, HB252, HB5666, HB 119, HB346, HB5624, HB5658, HB5677, HB1545, HB3073, HB4081, HB 121, HB4236, HB3848, HB4144, HB40, HB5682, HB3697, HB3333, HB3642, HB20, HB549, HB2731, HB4233, HB4690, HB 127, HB2525, SB1637, SB1, SB1198, SB509, SB13, SB15, SB30, SB268, SB331, SB441, SB447, SB457, SB568, SB650, SB763, SB1540, SB1610, SB1660, SB2018, SB2024, SB2217, SB2337, SB2753, SB2900, SB2972, SB3059, HB14

Keywords: artificial intelligence, regulation, biometric data, ethical AI, consumer protection, AI governance, intoxication manslaughter, criminal penalties, community supervision, mandatory supervision, parole eligibility, Grayson's Law, cosmetology, licensure, interstate compact, state regulations, public safety, workforce mobility, municipality, procurement

Transcript Highlights:

• We recommend rejecting the loan repayment program proposal.
• We recommend rejecting the loan repayment program proposal.
• loan repayment program, the Public Interest Attorney Loan Repayment Program.
• We call it a loan repayment program.
• Yeah, the intention of this program... ...a student loan, any kind of loan?

Summary: The Assembly Budget Subcommittee on Education Finance heard an extended discussion on state efforts to recruit, prepare, and retain teachers, with a focus on whether current programs are sustainable and well targeted. Testimony from the Learning Policy Institute, the Commission on Teacher Credentialing, the Department of Education, and the Legislative Analyst’s Office described persistent shortages, especially in special education, math, science, bilingual education, and high-need schools. Speakers emphasized that residency programs, Golden State Teacher Grants, National Board incentives, classified employee pathways, and undergraduate teacher pipelines have helped increase preparation and retention, but many of these efforts rely on one-time funding and lack long-term certainty. Committee members repeatedly raised concerns about the “leaky pipeline,” working conditions, the burden of student debt, and whether the state should simplify and institutionalize support for aspiring teachers rather than rely on a patchwork of grants. The agencies presented data showing continuing shortages and uneven distribution of fully credentialed teachers. CTC reported projected hiring needs of roughly 20,000 to 25,000 teachers annually, with the highest needs in self-contained classrooms, special education, and certain regions of the state. It also noted that emergency permits, waivers, and intern credentials remain high, and that teachers entering through those routes have higher turnover. LPI cited research showing residency-prepared teachers are more effective and more likely to stay, and argued that Golden State Teacher Grants attract candidates who might not otherwise enter teaching and help them complete preparation. CDE stressed that most new demand comes from attrition and urged support for multiple entry points, tuition assistance, and campus-based coursework. Several members also discussed the role of community college pathways, dual credentialing, and support for school leaders as part of retention. The LAO recommended rejecting the educator pipeline proposals under discussion, citing limited evidence of effectiveness and suggesting that any new spending should be more narrowly targeted to the highest-need schools and long-standing shortage subjects. The LAO also said that if the Legislature funds new programs this year, Proposition 98 would be preferable given the state’s fiscal condition. Committee members pushed back on the idea that declining enrollment or layoffs would solve shortages, noting that shortages and layoffs can coexist in different subject areas and regions. The discussion ended with agreement that staff would continue working with agencies on how to make teacher pipeline investments more consistent, coherent, and easier for candidates to navigate. The committee then turned to the Golden State Teacher Grant Program. Finance proposed $50 million in one-time General Fund support to extend the program for one additional year, while the LAO recommended rejecting the proposal because the first CSAC evaluation is not due until later in the year and because the funding would be non-Proposition 98. CSAC supported the extension, saying demand has been strong, over 20,000 aspiring educators have been served since 2021, and the agency had to pause applications after receiving more than 9,200 this year; it also said more than 2,500 candidates had already expressed interest for next year. Members asked how many students the new funding would serve, and CSAC estimated just under 5,000 awards at $10,000 each. The discussion also covered whether the grant could be moved into Proposition 98 and how the one-time nature of the funding affects confidence among prospective teachers.

Transcript Highlights:

• Both programs provide for grants and loans.
• Um, two, the brownfield revolving loan program.
• year on our loan programs.
• ...that particular program, the Partnership Challenge Loan Program?
• the program or any application or grant or loan under the program.

Keywords: 916, all

Transcript Highlights:

• $2,000 loan. $3, $5 million loan, and who doesn't access the bond market very frequently, it's like
• There's a much bigger market for those kinds of loans than there is for a half a million dollar loan.
• Everybody that came to the program for a loan had to be on the exact same schedule and had to close on
• was reimbursed for seven loans.
• We're not, it's not a loan.

Transcript Highlights:

• Um, possibly something like emerging entrepreneur loan program, but that's the only one that comes to
• loan program, but that's entrepreneur loan program, but that's the<00:10:39.600> only<00:10:39.760
• The other program is one where the DED guarantees a portion of the loans, up to 80%. >> Okay. >> And
• And that was on a bridge loan.
• And that was on a bridge loan.

Keywords: 1183, house

Summary: House File 2581 was presented as a request for a $1 million state investment in Fortis Capital, a Minnesota nonprofit economic development lender. The bill was described as supporting entrepreneurship and wealth-building by expanding access to capital for businesses that are underserved by traditional lending, especially in rural areas, communities of color, immigrant communities, and low-wealth areas. Testifiers argued that conventional underwriting standards leave viable businesses without financing and that Fortis provides flexible gap financing to help deals close, complementing rather than replacing banks and CDFIs. Brian Smith, co-founder and CEO of Fortis Capital, said the organization was established in 2019 and has deployed 37 loans totaling over $4 million since 2021, leveraging an additional $29.5 million through partnerships. He said Fortis seeks to increase lending capacity, reduce risk in innovative capital structures, expand statewide partnerships, and accelerate small business growth and job creation. In response to questions, he said Fortis typically charges about 6.12% on average, has had two defaults, and operates as a revolving loan fund. He also explained that Fortis already participates in some Department of Employment and Economic Development programs, but is not eligible for certain grant programs because those grants go directly to borrowers. Committee members asked how the proposal fits with existing state economic development efforts and whether competitive grant programs exist for this kind of work. A DED representative said he would need more detail to compare the proposal to agency programs, though he mentioned the emerging entrepreneur loan program as a possible fit. Members also discussed broader concerns about direct appropriations versus competitive grants. No public testimony was offered. Chair Frasier closed by saying the bill addresses a real need and laid House File 2581 over for possible inclusion in a budget bill.

Transcript Highlights:

• The various programs that we will walk through, from legislatively directed programs to disaster loan
• programs, to the special mission-based programs, to our core participation loan programs.
• So the main, and I'm going to start in the middle on our participation loan program.
• That we have just closed out, and we're just funding the last few loans in that program.
• , the amount of the loans outstanding, what the assets are in those programs.

Summary: The committee took roll, approved the March 18 minutes, and then received a compliance-report update on the Industrial Commission and related funds and programs. Staff reviewed the status of one-time appropriations and grant programs, including electric grid resiliency, lignite research, enhanced oil recovery, the Clean Sustainable Energy Authority, the salt cavern business-case study, and the new NDSU research and technology park grant. Members asked about funding balances, reimbursement timing, matching requirements, and how some commitments would affect the State Investment Fund and future biennia. Industrial Commission staff then gave a broader update on the agency’s administrative office, grant management system, leadership transitions at several commission agencies, and active grant rounds. They reported that the grant management system is nearing completion, that several agency leadership searches have concluded, and that the commission’s grant programs currently have 108 active grants totaling more than $165 million. They also described the Clean Sustainable Energy Authority round, the oil and gas research program’s enhanced oil recovery awards, the grid resiliency grants, the salt cavern study, and the research technology park program, noting that some projects are awaiting federal funds or additional matching cash. Ron Ness, speaking for the Oil and Gas Research Council, focused on the state of the oil industry and the enhanced oil recovery “Bakken 2.0” effort. He said production remains steady, but future growth depends on better infrastructure, longer laterals, and new EOR methods such as CO2, natural gas, and surfactants. He emphasized the importance of the Bakkeneast pipeline and related gas-utilization projects, the recent DOE funding that will return some money to the research council, and the need to modernize tax and incentive rules for CO2-based recovery. Members discussed the potential economic benefits for oil, agriculture, and manufacturing. The Bank of North Dakota then presented its compliance report and a broader strategic update. Bank leadership reviewed the bank’s mission, governance, participation lending, student lending, disaster programs, and legislatively directed programs, and said the bank is managing for a flatter deposit base and stronger liquidity because of fintech competition and changing market conditions. They reported improved earnings, with net income rising to about $231 million, and described Rough Rider Coin as a new internal payment rail for North Dakota banks and credit unions, not a public cryptocurrency. Members asked about student loan eligibility, disaster lending, and the bank’s capacity to support state programs while maintaining its balance-sheet and liquidity requirements.

Transcript Highlights:

• So the emergency bridge loan program is a $50,000...
• So the emergency bridge loan program is a $50,000 emergency bridge loan that's awarded to our small businesses
• I, while I understand that this is a loan program, I want to have maybe two or three questions.
• available in that program where we want to provide government-on-loan access to capital.
• program where we want to provide government-on-loan access to capital.

Summary: The Natural Resources and Disaster Subcommittee met to continue its review of hurricane impacts and state response. The committee first heard from the Florida Division of Emergency Management, which described its four core functions—preparedness, response, recovery, and mitigation—and highlighted its 24/7 State Watch Office, regional training efforts, and disaster assistance work. Deputy Executive Director Keith Pruitt detailed the state’s 2024 storm response, including Hurricanes Debby, Helene, and Milton, citing large-scale mission support, flood-control deployments, meal and water distribution, power restoration, debris removal, and billions in disaster funding and mitigation dollars. He also discussed debris management challenges and recommended that local governments update and exercise debris plans and maintain contingency contracts.

Transcript Highlights:

• The various programs that we will walk through, from legislatively directed programs to disaster loan
• programs, to the special mission-based programs, to our core participation loan programs.
• So the main, and I'm going to start in the middle on our participation loan program.
• That we have just closed out, and we're just funding the last few loans in that program.
• , the amount of the loans outstanding, what the assets are in those programs.

Keywords: 908, all

Summary: The committee received a compliance and status update on Industrial Commission programs and the Bank of North Dakota. Staff reviewed appropriations and spending for several Industrial Commission funds and grant programs, including lignite research, oil and gas research, clean sustainable energy, grid resiliency, salt cavern analysis, and the new NDSU research and technology park grant. Members discussed the timing of reimbursements, uncommitted balances, and the structure of the pipeline capacity and enhanced oil recovery funding. The Industrial Commission also reported on its administrative budget, grant management system project, and recent leadership transitions across several agencies. Karen Tyler of the Industrial Commission described active grant rounds and the status of major projects. She said the Clean Sustainable Energy Authority approved three projects in its sixth round, with remaining uncommitted cash and loan capacity still available, though no new funding was appropriated this session. She also said the Oil and Gas Research Council approved six enhanced oil recovery projects and expects additional funding after a federal Department of Energy award replaces one project’s state funding. For grid resiliency grants, she said some projects have been funded, some commitments were returned or reallocated, and some DOE funds remain pending. She also updated the committee on the salt cavern business case study, which replaced an earlier larger development proposal, and on the NDSU research park grant, where the nonmatching portion was paid and the matching portion has moved slowly because the match must be in cash. Ron Ness then gave an extended presentation on enhanced oil recovery and North Dakota oil and gas trends. He said production remains steady, but future growth depends on infrastructure, especially gas takeaway and projects like the Bakken East pipeline. He argued that enhanced oil recovery using CO2, natural gas, surfactants, and other methods could extend Bakken production for decades, but that the state needs more CO2 supply, better storage, and updated tax and regulatory incentives. Members asked about lateral lengths, CO2 availability, pipeline impacts, and the role of the Strategic Petroleum Reserve, and Ness emphasized that the projects are intended to share technical learning across operators and attract follow-on investment. The Bank of North Dakota then presented its compliance report and strategic update. President Don Morgan said the bank’s mission remains to support North Dakota agriculture, commerce, and industry while cooperating with the state’s financial sector. He reviewed the bank’s main business lines: participation lending with community institutions, student loans, disaster lending, mission-based programs, and a new fintech-focused effort. Morgan said deposits are flattening, so the bank is managing balance sheet growth carefully, while still reporting improved net income and strong efficiency. He also introduced Rough Rider Coin as a bank-to-bank payment rail, not a public cryptocurrency, intended to speed and modernize payments within North Dakota’s banking and credit union system. Committee members asked about student loan eligibility, disaster program use, and how credit lines and liquidity would be affected if deposits shrink.

Transcript Highlights:

• So a couple points there: we are a loan program; we are not a grant program.
• We also support our program through a loan fee that we have for each loan.
• We do have business programs. We have loan programs for businesses.
• Treasury does not have a loan program.
• Treasury does not have a loan program.

Summary: The task force met to focus on funding systems and incentive structures for a proposed regional waste infrastructure effort, including how a future WIPA framework might support solid waste planning in the Willamette Valley. Staff and members heard presentations from DEQ on the Clean Water State Revolving Fund, from Business Oregon on the Special Public Works Fund, and from Oregon State Treasury on state bonding capacity and the bond issuance process. Presenters explained how their programs are structured, how projects are scored or approved, what kinds of public entities and projects are eligible, and how interagency coordination and co-funding can work. DEQ emphasized that its revolving loan fund is driven by water-quality benefits and public-health criteria, while Business Oregon described a broader infrastructure loan program for public entities with no scoring system, and Treasury outlined the state’s debt-capacity process and the differences between general obligation and lottery bonds. Members used the presentations to discuss whether similar funding tools could support solid waste infrastructure, especially for transfer stations, regional hubs, and related facilities that may need to be built before Coffin Butte reaches the end of its lifespan. Several questions centered on whether public-private partnerships could qualify, whether equipment inside facilities could be financed, how repayment would work, and whether planning costs could be covered. DEQ and Business Oregon both said they could potentially collaborate on scoring or co-funding, but noted eligibility limits and the need for public ownership in many cases. Treasury said bond capacity is limited and competitive, especially for lottery bonds, and that project authorization generally runs on a two-year cycle, though unused authority can sometimes be reauthorized. In task force discussion, members debated whether the group should pursue a dedicated funding lane for the seven-county region rather than having local governments compete with other statewide needs. Some members stressed the importance of criteria to avoid stranded assets and to ensure funding is available when projects are ready, while others raised concerns about how cities and counties would generate revenue to repay debt during construction and early operations. The group also discussed flow control, system fees, and the need for regional collaboration among counties, cities, and haulers to create enough waste volume to support new infrastructure. Staff noted that pre-session filing materials for the legislature are due September 11, and the chair said the August meeting will focus on organizational structure and identifying partners. During public comment, Representative Kevin Mannix submitted written testimony supporting the WIPA concept and urging the task force to endorse it. Commissioner Bubba King of Yamhill County urged the task force to compare alternatives objectively and warned against adding bureaucracy before evaluating existing infrastructure and costs. Commissioners Kevin Cameron and Roger Nyquist of Marion and Linn counties described regional hub-and-spoke concepts, transfer stations, and intermodal options, emphasizing the need for planning, strategic siting, and collaboration with haulers and local governments.

Transcript Highlights:

• We have private companies that run programs that have Social Security... programs that have Social Security
• is a historical program.
• To possibly continue the program for the years ahead.
• Veterans in trouble with the law must apply to be in the program.
• It's not... ...from the funding and from the program.

Bills: SJR 18, SCR 5, SCR 13, SCR 25, SB 3, SB 6, SB 10, SB 11, SB 12, SB 13, SB 15, SB 17, SB 18, SB 35, SB 388, SB 412, SB 441, SB 495, SB 666, SB 687, SB 706, SB 740, SB 815, SB 842, SB 917, SB 925, SB 995, SB 1006, SB 1281, SB 1300, SB 1379, SB 1451, SB 1902, SJR 36, SJR 18, SJR 12, SCR 13, SCR 25, SCR 5, SCR 22, SB 565, SB 372, SB 495, SB 842, SB 765, SB 62, SB 19, SB 18, SB 666, SB 707, SB 888, SB 687, SB 706, SB 847, SB 290, SB 11, SB 10, SB 13, SB 412, SB 441, SB 1248, SB 740, SB 14, SB 1006, SB 504, SB 917, SB 925, SB 388, SB 1902, SB 1121, SB 995, SB 857, SB 305, SB 296, SB 284, SB 35, SB 6, SB 815, SB 3, SB 1281, SB 1379, SB 1300, SB 1497, SB 1499, SB 1498, SB 1451, SB 1061, SB 15, SB 65, SB 241, SB 304, SB 402, SB 499, SB 621, SB 974, SB 1023, SB 1024, SB 1025, SB 1106, SB 686, SB 112, SB 371, SB 204, SB 400, SB 609, SB 1447, SB 670, SB 502, SB 427, SB 850, SB 854, SB 413, SB 1555, SB 1362, SB 1346, SB 1033, SB 1220, SB 1073, SB 810, SB 987, SB 1539, SB 893, SB 447, SB 875, SB 406, SB 509, SB 985, SB 965, SB 17, SB 1119, SB 1505, SB 12, SB 24, SB 57, SB 1194, SB 1253, SB 1215, SB 1532, SB 1268, SCR 12, SCR 24, SB 1302, SB 856, SB 650, SB 583, SB 673, SB 840, SJR 18, SB 11, SB 441, SB 10, SB 18, SB 412, SB 495, SR 238, SR 264, SR 266, SR 267, SR 268, SR 270, SR 271, SR 272, SR 278, SB 1169, SB 1169

Keywords: capital gains, taxation, constitutional amendment, state revenue, individual investment, SCR 5, Senate Concurrent Resolution 5, Texas School for the Deaf, TSD, Robert Rives, gymnasium naming, building naming, honorary resolution, commemorative resolution, deaf education, hard of hearing, Gallaudet University, alumni hall of fame, football coach, school facility naming

Transcript Highlights:

• We extend benefits through veterans administrations and other federal programs just as we do to our citizens
• Since 1945, the fraternity has undertaking a national social action program to meet the needs of African
• Omega Psi Phi has contributed over $350,000 to programs. that benefit young people going to colleges
• They studied for nine months. in their leadership program.
• to over the last few years, but over the last... several years, there's been explosive growth in a program

Bills: SJR18, SCR5, SCR13, SCR25, SB3, SB6, SB10, SB11, SB12, SB13, SB15, SB17, SB18, SB35, SB388, SB412, SB441, SB495, SB666, SB687, SB706, SB740, SB815, SB842, SB917, SB925, SB995, SB1006, SB1281, SB1300, SB1379, SB1451, SB1902, SJR36, SJR18, SJR12, SCR13, SCR25, SCR5, SCR22, SB565, SB372, SB495, SB842, SB765, SB62, SB19, SB18, SB666, SB707, SB888, SB687, SB706, SB847, SB290, SB11, SB10, SB13, SB412, SB441, SB1248, SB740, SB14, SB1006, SB504, SB917, SB925, SB388, SB1902, SB1121, SB995, SB857, SB305, SB296, SB284, SB35, SB6, SB815, SB3, SB1281, SB1379, SB1300, SB1497, SB1499, SB1498, SB1451, SB1061, SB15, SB65, SB241, SB304, SB402, SB499, SB621, SB974, SB1023, SB1024, SB1025, SB1106, SB686, SB112, SB371, SB204, SB400, SB609, SB1447, SB670, SB502, SB427, SB850, SB854, SB413, SB1555, SB1362, SB1346, SB1033, SB1220, SB1073, SB810, SB987, SB1539, SB893, SB447, SB875, SB406, SB509, SB985, SB965, SB17, SB1119, SB1505, SB12, SB24, SB57, SB1194, SB1253, SB1215, SB1532, SB1268, SCR12, SCR24, SB1302, SB856, SB650, SB583, SB673, SB840

Keywords: capital gains, taxation, constitutional amendment, state revenue, individual investment, SCR 5, Senate Concurrent Resolution 5, Texas School for the Deaf, TSD, Robert Rives, gymnasium naming, building naming, honorary resolution, commemorative resolution, deaf education, hard of hearing, Gallaudet University, alumni hall of fame, football coach, school facility naming

Transcript Highlights:

• It amends the Rebuilder's Loan Program.
• It amends the Rebuilder's Loan Program.
• a rail loan program for short line railroads.
• a rail loan program for short line railroads.
• a rail loan program for short line railroads.

Keywords: 908, all

Summary: The committee heard House Bill 2014, the budget for the Industrial Commission, with Representative Kempenich walking through the agency’s major components: the administrative office, Bank of North Dakota, housing finance, Department of Mineral Resources, and the State Mill and Elevator. He described mostly special-fund operations, including bond payments, economic development programs, the rail loan program, the Rebuilder’s Loan Program, housing incentive funding, abandoned well reclamation work, lignite research, litigation reserves, and a capacity purchase arrangement for a future natural gas pipeline. He also explained several one-time funding items, such as grid resiliency grants, housing-related transfers from the Strategic Investment Fund, and enhanced oil recovery funding repurposed from a prior salt cavern study. Members asked about the reduction in housing incentive funding from the Senate version, the use of one-time Strategic Investment Fund dollars for ongoing housing programs, and whether a trigger should be added to increase housing funding later. Kempenich said no trigger was discussed and emphasized that housing needs vary widely across the state. Another exchange focused on the enhanced oil recovery grant program, which he said would be driven largely by the Energy and Environmental Research Center and would use repurposed funds. A longer discussion covered the natural gas pipeline capacity purchase, including its purpose, possible routes, and the idea that the state would be buying capacity rather than immediately building a pipeline. The committee adopted Amendment 25.0181.0207 on a 21-1 vote, with one member absent and not voting. The committee then passed HB 2014 as amended on a 21-1 vote, with one member absent and not voting. Representative Kempenich was designated to carry the bill. The chair then noted this was the final budget hearing for the committee, with one bill remaining to be heard later.

Transcript Highlights:

• We're happy to update you mainly on the very important state revolving fund program for providing loans
• These are not grants, but it is a very favorable loan program.
• So we expect more demand on the SRF loan program going forward, but we have adequate funding now.
• <00:09:48.399> program<00:09:48.959> going demand on the SRF uh loan program going
• Infrastructure through the SRF loan program. >> Dr.

Keywords: Finance - Room 216, 19 February, 2026; 1:30 PM, 925, all

Summary: The committee first heard testimony from Dr. Edney on the state revolving fund program for rural community water associations. He explained that the program has operated since 1997 using EPA grant funding and a state match, with low-interest loans, emergency funding, and loan forgiveness. He said the state match has risen in recent years because of increased federal infrastructure funding, but is expected to decline again as that enhanced funding ends. Members asked where repayment money goes, and he said it stays in the revolving fund rather than going to the general fund. He also discussed EPA pressure for consolidation of small water associations, minimum operational standards, and the possibility of using loan forgiveness incentives to encourage consolidation. No votes were taken on this presentation. The committee then took up Senate Bill 2824, which extends the eligibility dates for certain energy projects to qualify for ad valorem tax exemptions, moving the relevant deadlines from 2026/2027 to 2031. The committee adopted the committee substitute and passed it by voice vote. Next, Senate Bill 2867 revised an earlier employer child care tax credit program. Senator Boyd said the bill simplifies the program, allows a 50% income tax credit for employers providing dependent care during work hours or making at least $2,000 per child direct payments to licensed child care entities, and caps the credit at $3,000 per child per year. A committee substitute also placed a $1 million cap on the overall credit program. Members discussed the need for child care support, the role of federal and state funding, and whether the bill would increase employer participation. The committee adopted the substitute and passed the bill by voice vote. Finally, the committee considered Senate Bill 3109, a simple bill affecting Lafleur's Bluff State Park. Senator Blount explained that the park is managed under a lease with a nonprofit and that the bill would exempt the nonprofit from paying property taxes on the leased state park land. The committee adopted the committee substitute and passed the bill by voice vote, then rose and reported the measure out of committee.

Transcript Highlights:

• dollars between the loan program and the grant program.
• 20.800> uh there was also a loan program created uh there was also a loan program created uh that
• loan program and the dollars between the loan program and the grant<00:14:50.800> program.
• And then, just jumping to the Promise loan program, the Promise loan program has been a little slower
• a the loan the loan program and starting a the loan the loan program and starting a business<

Keywords: 1183, house

Summary: The committee met on March 4, 2026, and focused almost entirely on an update and oversight discussion of the Promise Act, including its grant and loan programs. The chair opened by explaining that the committee wanted to better understand how the 2023 law was implemented, how funds are still being deployed in greater Minnesota and the metro, and whether adjustments made in 2024 and 2025 were working as intended. The minutes from March 3 were approved at the start of the meeting. Deputy Commissioner Kevin McKinnon of DEED outlined the program’s legislative history, funding structure, eligibility rules, and oversight process. He said the grant side has about $94 million available, with $16 million going to the Minnesota Initiative Foundations and $86 million to the Neighborhood Development Center, plus administrative and technical assistance set-asides. He noted legislative changes over time, including shifting the revenue eligibility test to the prior year, adding a home-office deduction requirement for businesses using a home address, and maintaining a preference for applicants who had not received more than $10,000 in prior state assistance. McKinnon said about $22 million had been awarded to 35 businesses at the time of the update, and that the loan program has $30 million appropriated, with about $9.5 million lent so far. He also described the application, verification, audit, and payment process, emphasizing that partners handle intake and DEED conducts final review and random audits. Shahir Ahmmed of the Neighborhood Development Center described the round-one and round-two grant process in more detail. He said NDC spent about nine months building the application platform, launched round one in June 2024, received more than 3,000 applications, and later paused awards while DEED and legislators clarified the law. He reported that 651 applications were approved in the first round for just under $9 million, and that round two launched in September 2025 with a goal of distributing up to $50 million in remaining grant funds. Ahmmed also explained the step-by-step applicant process, including email confirmation, eligibility screening, document upload, identity verification through Plaid, and final DEED review. He said applicants commonly use funds for payroll, equipment or inventory, rent, and utilities. The chair indicated there would be further testimony from other program partners and then member questions, but no votes or formal actions were taken on the Promise Act itself during this portion of the meeting.

Transcript Highlights:

• medical practitioner loan repayment programs.
• Loan repayment programs are in the state.
• and state loan repayment programs.
• And for our New Mexico State loan repayment program... loan repayment program, which supplements our
• We also have the CYFD E-Loan Repayment Program.

Transcript Highlights:

• forgiven through this student loans forgiven through this program. program. program.
• <01:26:13.440> programs financial aid and student loan programs financial aid and student
• <01:29:28.480> program After that time, the direct loan program After that time, the direct
• c> not<01:30:13.840> able federal loan program if they're not able federal loan program if
• Um OHI than private loan programs.

Keywords: 1187, senate, all

Transcript Highlights:

• those loans.
• Um, that's that program. We are a AAA. Uh, bonded program.
• So we've been operating this program since 1994 when we made the first loan.
• lien, which allows us to fund new loans that don't typically meet our our standard program.
• So you'll see some, um, loan reports on those programs.

Transcript Highlights:

• > but<00:32:16.519> yeah our loan repayment programs um but yeah our loan repayment programs
• So, the largest loan repayment program that we administer is the shortage loan repayment program.
• :47:14.760> provides<00:47:15.079> loan program this program provides loan program this
• > first other loan repayment programs uh first other loan repayment programs uh first being<00
• repayment program this student loan repayment program this provides<00:48:22.440> loan<00:48:

Keywords: 1183, house

Transcript Highlights:

• Now that we have real capital in the program, we can make larger loans.
• We can make bigger loans and not just cap it at $50,000, which was the earlier program that Marquita
• The loans may not exceed 20% of the total capital that's in the program.
• The loan application will be on the ECCD website and temporarily on our website just to get the program
• We've made loans to child care centers through our commercial lending program.

Transcript Highlights:

• So it does seem as if the goal of AB108 is the same goal as the Distressed Hospital loan program.
• So, as you noted, the Distressed Hospital Loan Program, that is a loan program.
• And I have many distressed hospitals in my district, including in the loan program.
• Loan Program.
• Program was a $300 million loan program over four years for 16 hospitals.

Summary: The committee heard AB 108, a budget bill junior that would amend the 2025 Budget Act to create a one-time $25 million General Fund grant program at HCAI for hospitals in immediate and significant financial distress. The bill also included a technical change related to property tax deferments for eligible low-income seniors. Finance explained that eligible hospitals would have to be not-for-profit, have less than 10 days cash on hand, show best efforts to exhaust other financing, and have a payer mix of more than 50% government payers and uninsured patients; the bill also gives HCAI expedited contracting and rulemaking authority. Members and the LAO noted the proposal is intended as a short-term bridge until July 1, while broader hospital support is expected in the May Revision and next year’s budget. Much of the discussion focused on whether $25 million is enough, how many hospitals would qualify, and whether the 10-day cash threshold is too narrow. Several senators argued the administration had not provided enough data or a clear methodology, and raised concerns about fairness compared with the earlier Distressed Hospital Loan Program, which used broader criteria and provided loans rather than grants. Members also raised broader policy issues affecting hospital finances, including Medi-Cal reimbursement rates, seismic retrofit costs, federal funding changes, and the need for better data and more immediate assessment of hospital distress. The LAO said the current proposal is narrower than the prior loan program and emphasized the need for better reporting and analysis going forward. Public commenters, including the California Hospital Association, district hospital representatives, Children’s Hospital Los Angeles, and county officials, supported the bill and urged additional longer-term funding for distressed hospitals. The chair and several members said the bill is a short-term emergency measure for a small number of hospitals at risk of imminent closure, while broader solutions will be addressed later in the budget process. AB 108 was then moved and passed out of committee on an 18-0 vote, with the roll held open briefly to secure remaining votes.