Transcript Highlights:

• Call the meeting of the Legislative Audit and Fiscal Review Committee to order.
• So when determining fiscal year 25's 25% spending cap, you would take fiscal year 24's ending fund balance
• And that would equal your cap for fiscal year 25.
• So we would have just looked at fiscal year 2024 and 2025.
• Chairman, and Representative Nathe, I did testify last week at the fiscal, or at, I did do a fiscal statement

Keywords: 908, all

Transcript Highlights:

• I’m just not sure that that necessarily applies here, but it sort of triggered my thought. >> How does
• I’m just not sure that that necessarily applies here, but it sort of triggered my thought. >> Yes.
• On this audit, we are hopeful to have a draft report by midspring and a presentation to the fiscal committee
• :03:14.799> presentation<01:03:15.280> to<01:03:15.520> the<01:03:15.680> fiscal
• and a presentation to the fiscal and a presentation to the fiscal committee<01:03:16.559> sometime

Keywords: 928, house, all

Summary: The committee opened by approving the September 5, 2025 minutes, with one member asking that future minutes use honorifics such as Mr. or Ms. The agenda was then adjusted so Police Standards and Training could present first. Director John Skipa reported on the 2019 performance audit, saying 12 of 16 findings were fully resolved and the remaining items were substantially or partially resolved. He highlighted work on a job task analysis to update curriculum and develop a more realistic physical aptitude test, including possible replacement of the long-used Cooper test and a shift away from mandatory baton training toward electronic weapons training. He said stakeholder work groups would meet in October and November, with a goal of completing the work by the first quarter of 2026. On the strategic planning and performance measurement finding, Skipa said the agency had relied on the 2019 audit and the LEAC report as guides while also implementing a digital records system. He acknowledged that a formal forward-looking strategic plan with the council had not yet been completed, but said he and the council chair wanted to do so, possibly through a retreat-style planning session. Members asked how many LEAC recommendations had been fully implemented; Skipa said he did not know the exact number but believed nearly all of the 22 items assigned to his agency were complete. On the administrative rules finding, he said a part-time former director had been brought back to help revise outdated rules, the council subcommittee had finished its work, and proposed changes would be sent to the full council, then to stakeholders and the public, with a public hearing expected and implementation targeted for 2026. For the Corrections Advisory Committee finding, Skipa said the committee had been reconvened in 2020 and 2021 but had limited usefulness because the statutorily named members were mostly high-level administrators rather than line supervisors or newer corrections staff. He said some positions later went unfilled because of budget and staffing issues, and the committee had not been called back, but he was open to either informal adjustments or possible legislative changes to make the committee more useful. Committee members suggested that the statute may need to be amended to allow more appropriate designees or supervisors to participate. After Police Standards and Training concluded, the committee moved on to the Office of Professional Licensure and Certification, where the executive director said he would focus on the partially resolved items in the dental examiner audit and the National Path audit, noting that many changes were tied to recent statutory revisions.

Transcript Highlights:

• justice, both to enhance public safety, to ensure kids are rehabilitated, and also to address the fiscal
• They may be say things to them that are triggering usually within When you see that level of violence
• We had two total confirmed inappropriate. use is lost fiscal year of all use of OC spray and to your
• In fiscal year 2020. 64% of youth had committed zero assaults on staff throughout their state and state
• In fiscal year 23 and 24, we had 14 youth on staff assaults, resulting in over 2,000 hours of lost work

Bills: HB31, HB3360

Keywords: juvenile justice, community supervision, felony offenses, treatment of children, juvenile facilities, chemical dispensing device, solitary confinement, rehabilitation, criminal proceedings, delinquency, 1184, house, all

Transcript Highlights:

• year and $188 million next fiscal year, ballooning to more than $500 million annually by 2030.
• They're crumbs based on a House fiscal note on the same language that was passed in a separate bill.
• This proposal creates a $1.7 billion gap in the state budget for the 2026-27 fiscal year.
• So if we want to take steps to protect ratepayers and we want to strengthen our Commonwealth's fiscal
• So if we want to take steps to protect ratepayers and we want to strengthen our Commonwealth's fiscal

Summary: The Senate returned from recess and first handled routine calendar matters, laying several bills on the table or over in their order without objection. The chamber then took up Senate Bill 1400, which addresses sentencing for second-degree murder in response to the Pennsylvania Supreme Court’s Commonwealth v. Lee decision. Senator Street offered an amendment to replace mandatory life without parole with parole eligibility after 25 years and individualized review, but the Senate tabled the amendment by a 26-24 roll call. The bill then advanced to final passage after extended debate over whether it adequately met the court’s constitutional ruling and how it would affect victims, culpability, and retroactivity. It initially passed 31-19, then after reconsideration and a correction to one member’s vote, passed 30-20 and was sent to the House. The Senate next considered Senate Bill 1212, which tightens the handling of sexual assault evidence kits by removing discretionary language that had contributed to inconsistent testing practices. Supporters said it would improve statewide consistency, preserve a survivor’s right to decline testing, and help reduce the rape kit backlog. The bill passed unanimously, 50-0, and was sent to the House. The chamber then moved through additional calendar items, including re-referrals of several House bills to Appropriations and multiple bills being passed over. Later, the Senate took up House Bill 1667 on a supplemental calendar after suspending the rules. The bill became the vehicle for several amendments tied to affordability and tax policy. Senators adopted a back-to-school sales tax holiday amendment, a data-center tax exemption repeal amendment, and a school-choice-related amendment transferring EITC provisions and increasing scholarships by $25 million. Other proposed amendments, including a digital advertising tax and a combined reporting corporate tax reform, were tabled. After further debate on the bill’s impact on electric bills, data centers, and the state budget, House Bill 1667 was agreed to as amended and the Senate recessed.

Transcript Highlights:

• And so number one, that is what triggers it.
• But I think that basically at this point, as I read this is that number one, this is triggered by the
• So the state has to trigger this to begin with.
• There's no fiscal impact. In reality, this bill would likely save taxpayer money by reducing costs.
• And it's fiscally responsible.

Bills: HB200

Keywords: HB 200, emergency communication, backup communications, satellite phone, portable satellite equipment, radio, floodplain, 100-year floodplain, FEMA, natural disaster, disaster preparedness, emergency preparedness, vulnerable populations, children, elderly, seniors, people with disabilities, care facilities, residential care, assisted living

Transcript Highlights:

• Okay, and so number one, that is what triggers it.
• I think that basically at this point, as I read this, is that, number one, this is triggered by the state
• So the state has to trigger this to begin with.
• There's no fiscal impact.
• It balances public safety with the belief in human transformation. is fiscally responsible.

Bills: HB285, HB795, HB1795, HB1871, HB2407, HB2461, HB2695, HB3507, HB4911, HB200

Keywords: animal cruelty, nonlivestock, prosecution, veterinary defense, animal welfare, aggravated assault, penal code, public servant, deadly weapon, mass shooting, Penal Code, penalties, felony, Texas Penal Code, felony enhancement, first-degree felony, second-degree felony, violent crime, assault punishment, serious bodily injury

Transcript Highlights:

• What I was wondering about, and it was triggered, the thought was triggered after we had a bill on the
• What I was wondering about, and it was triggered, the thought was triggered after we had a bill on the

Bills: SB2018

Keywords: funding, commerce, autonomous technology, workforce development, economic growth, grant programs, 908, all

Summary: The committee took up Senate Bill 2018, the Department of Commerce budget, and walked through the long sheet and a series of proposed changes. Members discussed restoring a vacant workforce FTE that Commerce said it could fill soon, monitoring federal funding delays but reporting no known cuts, and adjusting several one-time items including Operation Intern, the North Dakota Development Fund, the Global Talent Office, and tourism-related funding. The chair also proposed separating tourism marketing and Good Life funding again, rather than combining them, and members raised concerns about ensuring tourism dollars are used only for tourism purposes. A number of program amounts were reviewed or adjusted in discussion, including UAS grants, Vantus/Beyond Visual Line of Sight funding, Grand Sky, Grand Farm autonomous agriculture grants, base enhancement grants, Native American small business grants, regional workforce impact grants, technical skills training grants, and tribal college workforce grants. Commerce officials explained that some grant language would be changed to require competitive RFP processes, and they clarified that the housing opportunity and community property improvement items were handled in other bills or programs. The committee also discussed apprenticeship efforts across state agencies and Commerce’s role in workforce development. The committee reviewed carryover and exemption language for prior appropriations, including federal weatherization and energy funds, and Commerce said three one-time FTE tied to those federal programs should become ongoing because the federal dollars continue over several years. A motion to add $1.5 million for the North Dakota Safety Council failed for lack of a second. The committee then planned to return the next day to continue work on Commerce and take up the CTE budget, including a pending amendment related to CTE’s possible move from the 15th floor of the Capitol.

Transcript Highlights:

• So folks within 200 feet are notified and if 60 percent object, that triggers the vote of the council
• majority vote of the city council so that's the that's the heart of the bill changing changing triggering
• This bill accomplishes that. where you know one Landowner trigger thirty point five percent opposition
• with 200 feet triggered a supermajority case and I assume that it died.

Bills: SB434, SB844, SB898, SB1177, SB1214, SB1454, SB1920, SB1927, SB1935, SB1965, SB2010, SB2046, SB2068, SB2073, SB2183, SB2260, SB3034, SB907

Keywords: SB 434, Harris County Hospital District, hospital district police, peace officers, commissioned officers, law enforcement authority, Health and Safety Code, Code of Criminal Procedure, public safety, hospital security, county hospital district, local government, Texas criminal procedure, district police, armed security, SB 898, low income housing tax credits, LIHTC, affordable housing, Texas Department of Housing and Community Affairs

Transcript Highlights:

• So folks within 200 ft are notified and notified, and if 60% object, that triggers the vote of the council
• So that's the, that's the heart of the bill, changing, changing, triggering that line right there, yes
• And Texas Housing, you had another example of Plano, where, you know, 11 landowner triggered 30.5% opposition
• with 200 ft, triggered a supermajority case, and I assume that it died.

Bills: SB 434, SB 844, SB 898, SB 1177, SB 1214, SB 1454, SB 1920, SB 1927, SB 1935, SB 1965, SB 2010, SB 2046, SB 2068, SB 2073, SB 2183, SB 2260, SB 3034, SB 907

Keywords: SB 434, Harris County Hospital District, hospital district police, peace officers, commissioned officers, law enforcement authority, Health and Safety Code, Code of Criminal Procedure, public safety, hospital security, county hospital district, local government, Texas criminal procedure, district police, armed security, SB 898, low income housing tax credits, LIHTC, affordable housing, Texas Department of Housing and Community Affairs

Transcript Highlights:

• And if that doesn't happen, then the fiscal year, when the biennium is over, those monies get returned
• As of July 5 of this fiscal year, the 25% limit is calculated on the first business day of the year using
• The auditor's office, with the approval of the AG's office, decided that July 1st of the new fiscal year
• The auditor's office, with the approval of the AG's office, decided that July 1st of the new fiscal year
• Madam Chair, I think we should not lose sight of the fact that there was a $200 million fiscal note on

Keywords: 908, all

Transcript Highlights:

• whether it's a slide spring or a trigger whether it's a slide spring or a trigger spring<00:29:12.120
• First, today's gun safes and trigger locks allow firearm owners to retrieve and operate their weapons
• But this bill requires that everyone keep their firearm securely stored using a trigger lock, a lock
• <01:49:30.320> happy we have he all about how trigger happy we have he all about how trigger
• see the hokua license play it triggers see the hokua license play it triggers memories<02:28:29.720

Keywords: 910, house, all

Summary: The committee hearing covered House Bill 279 and House Bill 392, both relating to firearms. HB 279 would restrict carrying or possessing firearm parts except at or between certain locations and in an enclosed container, define firearm parts and prohibited persons, and increase penalties for violations. The Department of Law Enforcement strongly supported the bill, saying it would close a loophole involving disassembled or “ghost gun” parts and help law enforcement charge people who carry weapons in pieces. Most public testimony opposed the measure, with speakers arguing it was unconstitutional, vague, hard to enforce, and would burden lawful gun owners, gunsmiths, and firearm dealers; several also said existing laws already cover the conduct. One supporter, Dennis Dunn, said additional firearm security could reduce theft and suicides. The chair noted the committee had received 270 testimonies on HB 279, with 39 in support, 234 in opposition, and one comment. The committee then heard HB 392, which would prohibit the possession, transfer, and sale of ghost guns and establish mandatory minimum sentencing for using a ghost gun in a felony. The Department of Law Enforcement and the Honolulu Prosecuting Attorney’s office supported the bill, saying unserialized firearms are difficult to trace and that prosecutors need clear laws to address them. Supporters argued the measure would help prevent untraceable weapons from circulating and align penalties with other firearm offenses. Opponents, including several gun owners and association representatives, said the bill was unnecessary because existing state and federal laws already prohibit unserialized firearms, and warned it could create confusion, criminalize lawful owners of antique or self-built firearms, and be difficult to administer. No votes or final committee action were taken in the portion provided.

Bills: SB2026, SB1376, SB1355, SB2115, SB1533, SB1732, SB1217, SB1443, SB1455, SB1457, SB1459, SB1465, SB1944, SB1946, SB1218, SB1942, SB1352, SB2132, SB1920, SB1285, SB1304, SB1305, SB1326, SB1590, SB1767

Keywords: military discharge, veterans, DD Form 214, confidentiality, grandchildren access, Oklahoma National Guard, education assistance, military benefits, dependents, CareerTech Assistance Act, burial grant, memorial headstone, eligibility requirements, funding, Oklahoma Department of Veterans Affairs, fiscal management, state law, veteran burial, burial assistance, indigent veterans

Transcript Highlights:

• and passed a firearm safety ordinance banning assault weapons, large capacity magazines, binary triggers
• <00:15:22.079> and capacity magazines, binary triggers and capacity magazines, binary triggers
• their ordinance to ban public possession of assault weapons, large capacity magazines, and binary triggers
• their ordinance to ban public possession of assault weapons, large capacity magazines, and binary triggers
• their ordinance to ban public possession of assault weapons, large capacity magazines, and binary triggers

Bills: HF3351

Keywords: firearms, guns, gun control, gun safety, local control, home rule, preemption, municipal regulation, county regulation, city ordinances, zoning, firearm dealers, gun dealers, ammunition, carry permits, permit to carry, pistols, Saturday night special, metal-penetrating bullets, public safety

Transcript Highlights:

• Um, that then triggers which fee schedule it goes into.
• Um, that then triggers which fee schedule it goes into.
• Um that then triggers which fee schedule Um that then triggers which fee schedule it<00:51:04.960>
• Uh, so 30-day stay in a nursing home or 30-day stay in an inpatient hospital um also triggers Medicaid
• also triggers also triggers Medicaid<01:10:36.640> eligibility.

Bills: HB0004

Keywords: medical assistance, birthing centers, healthcare, Medicaid, Wyoming, 916, all

Transcript Highlights:

• Expanded unemployment is one of the largest mandates in terms of fiscal liability.
• <00:43:15.760> year ...government property funds in fiscal year 2023.
• We are fiscally responsible and extremely intentional with the use of our community tax dollars, which
• responsible and extremely are fiscally responsible and extremely intentional<00:47:41.119> with
• I'm sorry, but that triggered one follow-up: how many highly aligned options are there?

Keywords: 1187, senate, all

Summary: The Senate Education Policy Committee met under a co-chair arrangement and heard opening remarks emphasizing civility, direct testimony from school leaders, and a focus on whether state policy is meeting student needs in the least intrusive and most cost-effective way. Chair Coleman asked testifiers to keep remarks brief and policy-focused, and the committee began with a series of superintendents describing local budget pressures and the cumulative impact of state mandates. Anoka-Hennepin Superintendent Corey McIntyre said the district, the state’s largest, is serving about 37,000 students and faces a roughly $26 million deficit even after major reductions, including cutting about $44 million and roughly 250 central office jobs. He cited rising costs tied to compensation, special education and multilingual cross-subsidies, unemployment, paid leave, READ Act implementation, student/staff safety and K-3 discipline requirements, and transportation, saying the district still faces about $50 million in mandate-related shortfalls and may need to reduce class size and student supports. Senator Kunesh responded that summer unemployment claims are paid from a separate state budget line, not the district general fund, and asked about paid leave costs; McIntyre and the chair clarified the district’s concern was the possibility of future costs if state funding ends. Prior Lake-Savage Superintendent Michael Thomas said district revenues are rising only about 2.5% to 3% while expenses are growing 5% or more, driven by inflation and vendor costs. He argued that the state’s inflationary funding tie should be maintained, and asked for an increase in local optional aid of $250 per pupil and more flexibility for districts that struggle to pass local levies. Minnetonka Superintendent David Law argued that schools are being asked to absorb broader community burdens, including food and mental health needs, while still being judged on academics and graduation; he said REACT funding fell short, forcing the district to shift reading funds to staff development, and urged the committee not to roll mandates forward without funding. Fergus Falls Superintendent Jeff Drake said expanded unemployment, earned sick and safe time, and paid family leave are creating staffing and budget challenges for rural districts, estimating unemployment costs could reach $240,000 annually and sick and safe time about $25,000, with added difficulty recruiting support staff and substitutes. No committee votes or formal actions were taken in the portion provided.

Transcript Highlights:

• Americans want fiscal responsibility.
• Each shutdown was triggered by political stalemate.
• It potentially solves two problems at once, fiscal responsibility and term limits.
• Americans support fiscal responsibility and 90% support term limits.
• We must act on fiscal responsibility now, or our nation will cease. Thank you. Hello.

Keywords: 995, all

Summary: The hearing of the Joint Committee on Veterans and Federal Affairs was opened by Chair Joe McGonagle and Vice Chair Senator Mike Rush, who noted that Chair John Velis was deployed with the Massachusetts National Guard. The chairs explained the hybrid format, three-minute testimony limit, live streaming, and filing deadlines, and said the committee would hear 11 House bills and eight Senate bills dealing with federal and overseas issues. Much of the hearing centered on competing resolutions about Article 5 constitutional conventions, along with related resolutions on D.C. statehood, child labor, Citizens United, and Cambodia. Supporters of H. 4692 and S. 284, a joint resolution to rescind all prior Massachusetts Article 5 convention applications, argued that old resolutions from the 1930s and 1970s could be used to count Massachusetts toward the 34-state threshold for calling a federal constitutional convention. Testifiers from Common Cause, the League of Women Voters, the ACLU, Reproductive Equity Now, labor groups, and others warned that a convention would have no clear rules, could not be reliably limited to specific topics, and could put civil rights, reproductive rights, labor protections, and other constitutional protections at risk. Several speakers also cited a recent federal lawsuit and said the safest course was to remove outdated applications from the books. A large opposing panel testified in support of H. 3888, a resolution calling for a Convention of States to propose amendments limiting federal power, imposing fiscal restraints, and establishing term limits. Supporters argued that Article 5 provides a lawful way to address federal overreach, debt, and congressional stagnation, and said the process would be limited by state applications and ratification by 38 states. Some committee members and witnesses raised concerns about a runaway convention, broad language in the resolution, and whether Congress could or should set rules for such a convention. Representative Gentile also testified in support of several related resolutions on overturning Citizens United, D.C. statehood, and the child labor amendment, while Representative Howard and Representative Tongue supported a Cambodia resolution condemning political oppression and urging free and fair elections. No votes or final actions were taken during the hearing.

Transcript Highlights:

• <01:44:30.280> the in jail, that is what triggers the in jail, that is what triggers the immigration
• if they plead that's what could trigger if they plead to<01:46:20.600> it<01:46:21.000> an
• deportation and it and it's it trigger deportation and it and it's it could<01:46:36.000> bar
• <01:46:59.440> that days so it doesn't trigger that days so it doesn't trigger that aggravated
• Do you know if self-reporting will trigger the Fifth Amendment and actually implicate themselves for

Keywords: 910, house, all

Summary: The committee heard testimony on Senate Bill 3123, which would treat free tuition or school-conditioned enrollment at private educational institutions as a conditional gift rather than a contractual obligation unless otherwise agreed in writing. The Office of the Governor supported the bill, and Kamehameha Schools and the Hawaii Association of Independent Schools strongly backed it, saying it would protect donor intent, preserve school-ohana relationships, and help maintain tuition assistance and educational access for families. A committee member commented favorably on the unity among school organizations, and there were no objections raised before the committee moved on. The committee then took up Senate Bill 2438, which creates a civil cause of action for interference with constitutional and statutory rights through threats, intimidation, or coercion, with private and government enforcement options and protections for constitutionally protected speech. Testifiers from the Community Alliance on Prisons and a know-your-rights educator supported the measure as a civil rights protection grounded in the Hawaii Constitution. No opposition testimony was presented during the hearing, and the measure appeared to receive general support from those who testified. Finally, the committee heard Senate Bill 3142, which establishes offenses for dangerous and habitual dangerous intoxication and allows civil protective custody and emergency examination in lieu of arrest in certain cases. The Attorney General, Department of Corrections and Rehabilitation, Department of Health, and Department of Human Services supported the bill as a treatment-oriented diversion tool for people who are dangerously intoxicated and at risk to themselves or the public. The Office of the Public Defender opposed the measure, warning it could expand police discretion, burden emergency rooms, and function as a loss of liberty without sufficient treatment resources, while committee members questioned whether the bill would simply cycle people through emergency rooms and back onto the street. No vote or final action was taken in the portion provided; the chair said decision-making would occur at the end of the agenda.

Transcript Highlights:

• 1.8% for fiscal 26. 1.8% for fiscal 26.
• fiscal 27 second quarter. fiscal 27 second quarter.
• I revenues from fiscal 26 to fiscal 25.
• Um fiscal 27, the the the gap fiscal 26.
• fiscal 27 and 78.5 million for fiscal fiscal 27 and 78.5 million for fiscal 28.<03:39:12.640>

Keywords: 958, all

Summary: The meeting focused on preliminary fiscal 2026 revenue estimates and the governor’s office request for an official revision to fiscal 2026, with members reminded that any estimate adopted now would not bind the December official estimates. Staff from S&P Global walked through three forecast scenarios—control, optimistic, and pessimistic—based on recent federal tax changes, tariffs, and other policy developments, emphasizing that the outlook remains highly uncertain. Under the control scenario, the presentation projected below-trend real GDP growth of 1.8% in fiscal 2026, slowing to 1.5% by fiscal 2028, with unemployment peaking around 4.5% and the Federal Reserve cutting rates three times to a long-run range of about 2.75% to 3%. The optimistic scenario assumed lower effective tariffs, stronger growth, and better labor and housing outcomes, while the pessimistic scenario assumed a broader trade war, higher effective tariffs, faster deportations, weaker employment and consumer spending, and unemployment rising to about 6.3%. Speakers also noted that the forecast was prepared before later BLS revisions and that recent data on inventories and AI-related investment made the recent quarters look unusually volatile. Members discussed how the current fiscal 2026 outlook compared with earlier assumptions and noted that the eventual revenue revision may be smaller than the spread between the optimistic and pessimistic economic scenarios. The governor’s office and committee members also reviewed sector-specific impacts, including manufacturing, housing, light vehicle production, exports, and consumer sentiment, with particular concern about Kentucky’s auto and housing-related industries. No votes or formal actions were taken in the portion provided.

Transcript Highlights:

• Call the meeting of the Legislative Audit and Fiscal Review Committee to order.
• So when determining fiscal year 25's 25% spending cap, you would take the ending fiscal year 24's fund
• And that would equal your cap for fiscal year 25.
• So we would have just looked at fiscal year '24 and '25.
• Chairman and Representative Mathy, I did testify last week at the fiscal, or at—I did do a fiscal statement

Summary: The committee was called to order, the Pledge of Allegiance and prayer were offered, and the minutes from the previous meeting were approved. Members then received a memo summarizing major audit items and began hearing audit presentations from the State Auditor’s Office and private auditors on a range of state agencies and organizations. Several audits were reported as clean, including the Bank of North Dakota, the North Dakota Guaranteed Student Loan Program, the Office of the Governor, the Office of the State Treasurer, the Office of Management and Budget, the Department of Transportation’s flexible transportation fund, Lake Region State College, and the Department of Environmental Quality. The North Dakota Stockmen’s Association also received an unmodified opinion, though repeat findings were noted for limited segregation of duties and financial statement preparation due to its small staff. The Council on the Arts audit found two findings: payroll charged to federal awards without adequate timekeeping records, and unallowable expenditures from a restricted cultural endowment fund. The Department of Public Instruction audit identified unsupported scholarship applications in the paraprofessional-to-teacher program, though additional testing showed the funds were used for their intended purpose. The most extensive discussion centered on the North Dakota Racing Commission audit, which identified four findings: overspending the promotion fund’s 25% operating limit, grant conditions not being met, improper Breeders Fund awards, and improper procurement for advertising services. Racing Commission director Bruce Johnson acknowledged complacency and weak controls, said the agency would tighten procedures, and explained that the commission had since worked with procurement and would follow the rules more closely. Auditors also explained that the commission would now be audited every two years because of the findings. Another major discussion involved the University of North Dakota School of Law, where auditors found a lack of documentation supporting admissions decisions for post-baccalaureate programs. UND officials said they remain in good standing with the American Bar Association but agreed better documentation and tools are needed; the committee pressed for more transparency and follow-up on admissions criteria. The committee also received an update on Dakota College at Bottineau, where Minot State University reported that bank reconciliations had been brought current after a significant backlog and would now be maintained through shared services. Members requested a written follow-up report on the issues and corrective actions. Finally, the North Dakota Fair Association explained that its foundation has been dissolved and remaining funds were transferred to another nonprofit for continued support of the state fair, and the Department of Public Instruction provided an update on school meal debt, saying the reported amount was about $1.1 million from a partial district survey and that debt remains a local issue, though it could be revisited if school meal funding changes.

Transcript Highlights:

• Call the meeting of the Legislative Audit and Fiscal Review Committee to order.
• So when determining fiscal year 25's 25% spending cap, you would take fiscal year 24's ending fund balance
• And that would equal your cap for fiscal year 25.
• So we would have just looked at fiscal year 2024 and 2025.
• Chairman, and Representative Mathy, I did testify last week at the fiscal, or at—I did do a fiscal statement

Summary: The committee convened, approved the prior meeting minutes, and received a memo summarizing major audit items. The State Auditor’s office and outside auditors then presented a series of audits, many of which were clean with unmodified opinions and no findings, including the Bank of North Dakota, the Guaranteed Student Loan Program, the Office of the Governor, the State Treasurer, the Office of Management and Budget, the Department of Transportation, the Department of Environmental Quality, Lake Region State College, and the Office of the Governor. The North Dakota Stockmen’s Association audit was also clean overall, but it repeated findings about limited segregation of duties and auditor assistance in preparing financial statements, which the auditor said were expected to continue because of the organization’s small size. Committee members asked about out-of-state board addresses, and the association explained those members were North Dakota residents using South Dakota mailing addresses. Several audits did include findings. The Council on the Arts audit identified two issues: payroll charged to federal awards without supporting time records, and $12,825 in Cultural Endowment Fund spending that was not allowable under state law, including staff training, retreats, and executive director candidate travel. The Department of Public Instruction audit found unsupported scholarship applications in the paraprofessional-to-teacher program, but additional testing confirmed the funds were credited properly and students completed required school district work, so no improper payments were identified. The University of North Dakota audit found a lack of documentation and transparency in School of Law admissions decisions; the auditor said the law school used a holistic process but did not keep notes or evaluation tools to show why applicants were admitted, waitlisted, or denied. UND leadership said the school is in good standing with the American Bar Association and agreed better documentation is needed, and the auditor said the issue was the missing documentation, not ABA accreditation itself. The most extensive discussion centered on the North Dakota Racing Commission audit, which found four findings: overspending the promotion fund’s 25% operating cap, grant conditions not being met, improper breeder fund awards, and improper procurement. The auditor said promotion fund spending exceeded the cap by $327,447 and the fund balance dropped sharply over the audit period. Racing Commission director Bruce Johnson said the agency had become complacent, that grant requests were treated as routine, and that controls and documentation need to be tightened. He also explained that the breeder fund overpayments involved two horses whose ownership transfers were not properly documented before racing, and that the procurement issue stemmed from an advertising contract that proceeded without proper written procurement procedures after a misunderstanding with the State Procurement Office. The auditor said the Racing Commission will now be audited every two years because of the findings. The committee also received updates on Dakota College at Bottineau’s bank reconciliations, which Minot State University said had been brought current after an 18-month backlog, with only one account still needing cleanup; members asked for a written report on the corrective actions. The North Dakota Fair Foundation was reported to have dissolved, with remaining funds transferred to another nonprofit account for continued support of the state fair. Finally, the Department of Public Instruction provided an update on school meal debt, revising the earlier estimate to about $1.1 million based on incomplete district survey responses, and said the Anti-Lunch Shaming law likely increased meal debt because schools must feed students regardless of account balance. Members discussed the need for a more accurate year-end debt figure and possible future reporting at a later committee meeting.