Transcript Highlights:

• credit limitation therefore does not affect any personal income tax credits such as the earned income
• This credit limitation is a more modest version of prior credit limitations that were put in effect to
• liability companies, limited partnerships, and limited liability partnerships in their first year of
• The annual tax paid by limited liability companies, limited partnerships, and limited liability partnerships
• The credit limitation of $5 million or half of taxable income resolves a looming future budget problem

Summary: The subcommittee heard May Revision proposals from the Department of Food and Agriculture, the Government Operations Agency, the Department of Technology, and the Franchise Tax Board, with public comment to come later and all items held open. CDFA presented funding for the animal care program implementing Proposition 12, including a one-time $5.2 million General Fund transfer to the Ag Fund and $2.8 million ongoing, and the LAO recommended approval while noting the Legislature should revisit the funding once litigation and federal preemption questions are resolved. CDFA also proposed ending state oversight of industrial hemp and moving to the federal USDA program by January 1, 2028, with an $8.3 million General Fund transfer to cover startup and transition costs; the LAO supported the transition. Additional CDFA items included $204,000 ongoing and one position to preserve agricultural statistics reporting after USDA reorganization, and trailer bill changes to clarify the department’s 5% indirect cost cap; both drew no objections from Finance or LAO. The Government Operations Agency and Cradle to Career items focused on implementing the new federal Workforce Pell program. Finance described trailer bill language establishing state eligibility processes, with the California Student Aid Commission as the authorizing entity in consultation with the Workforce Development Board, and proposed $1.3 million one-time General Fund for Cradle to Career to build data linkages. The LAO urged caution because federal rules were just finalized and said more information was needed on workload, costs, and whether existing data systems could support the work. Senators raised policy concerns about limiting the program to public institutions and about aligning the proposal with broader workforce and labor goals. The committee also briefly discussed SB 53/Cal Compute, with GovOps saying no appropriation had been provided for its consortium work, and Finance saying the administration was not proposing funding at this time. The Department of Technology presented a $30 million operational backstop for the Middle Mile Broadband Initiative, intended to cover any shortfall if expected revenues from the Golden State Net third-party administrator do not materialize in time. The LAO initially recommended rejection over broad spending authority, then suggested amendments with stronger reporting and legislative review; committee members questioned the revenue assumptions, oversight, and whether the request could recur. CDT also sought $1 million for Poppy, the state’s GenAI digital assistant, to expand secure statewide use; the LAO had no concerns, and members asked about data security, model bias, training restrictions, and possible local-government use. Finally, FTB proposed realigning CalFile resources after the federal Direct File program was discontinued, retaining three ongoing positions and returning the rest of the funding and positions to the General Fund; the LAO said the reduced scope was reasonable, and members discussed keeping the free filing system user-friendly and ready for future federal changes. The committee also heard the administration’s digital pre-written software tax proposal, which would extend sales tax to electronically delivered software and SaaS beginning January 1, 2027, generating an estimated $450 million General Fund in 2026-27 and $900 million ongoing, plus local revenue. The LAO supported modernizing the tax base but recommended broadening the proposal to include more digital products while considering a business-use exemption or reduced rate, and flagged a newly added video game exemption as a revenue downside. Senators generally supported the goal of raising revenue and aligning California with other states, but questioned the local revenue distribution and equity effects, and one senator said they would not support expanding the tax to books, music streaming, and similar consumer products. All items were left open without votes.

Transcript Highlights:

• We have a set-aside for projects that are serving extremely low-income and very low-income households
• This limited-term funding allowed us to hire 12 limited-term investigators with the goal of reducing
• You know, these kinds of fee increases, we don't have any way to—our incomes, our retirement incomes,
• Many of us are seniors living on limited incomes.
• In Petaluma, and I am on a fixed income.

Summary: The subcommittee opened with remarks on the Senate’s budget plan for affordable housing and homelessness, including a proposed $2 billion housing investment and full funding for HHAP rounds 7 and 8. The first major item was the administration’s housing reorganization and trailer bill package, which would codify the new Housing Development and Finance Committee (HDFC), consolidate multifamily housing finance programs into a one-stop application and award process, and shift some authority over bonds, tax credits, and the Affordable Housing and Sustainable Communities program. Administration officials said the goal was to reduce duplication, speed projects from award to construction, and improve accountability by aligning financing decisions. The LAO generally supported the streamlining concept but recommended changes to the proposed bond set-aside and earlier reallocation of unused bond authority, and suggested preserving flexibility for integrated applications and reporting back on the proposed 70/30 split for housing versus sustainable communities funding. Committee members, especially Senator Cabaldon, raised concerns that the new committee structure could add process and delay, and questioned whether the proposal was effectively repurposing the climate-oriented ASIC program into a housing finance tool without enough direct investment in core housing programs. Administration witnesses responded that the structure was meant to create transparency, public accountability, and simultaneous financing awards, and said the proposal was only a first step in a broader consolidation effort. Members also asked about specific programs such as the Joe Serna Farm Worker Housing Grant Program and the Sustainable Agricultural Lands Conservation Program, and staff said those would remain within the broader streamlined framework or the flexible sustainable communities allocation. The committee then heard from CDLAC and TCAC on federal tax credit changes and state housing finance. Staff explained that H.R. 1 increased the federal 9% LIHTC allocation and, more importantly, lowered the bond-financing threshold for 4% credits from 50% to 25%, allowing California to finance many more projects. They reported emergency regulations were adopted quickly to implement the change, resulting in 195 projects and more than 25,000 units in the 4% program, while the 9% program funded 58 projects and nearly 3,000 units. Members asked about the value of the state low-income housing tax credit program and rehabilitation projects; staff said state credits remain important for filling financing gaps and that a portion of bond and credit resources is now set aside for acquisition and rehabilitation. Finally, the Civil Rights Department reported on the effects of federal civil rights rollbacks and on three limited-term or expiring programs: California vs. Hate, the Community Conflict Resolution Unit, and Investigations and Conciliation Enhancement. Director Kevin Kish said federal closures and funding cuts have increased demand on the department, which now has more than 12,000 open matters, up from 8,700 a year earlier, and a six-month wait for intake interviews despite overtime triage and early case screening. Members urged continued funding for the programs, arguing they are essential as federal protections weaken; department staff said California vs. Hate connects callers quickly to support services, the conflict resolution unit fills a gap left by the shuttered federal counterpart, and the limited-term investigators have helped reduce wait times even as filings continue to rise.

Transcript Highlights:

• These are our lowest income families.
• limit.
• Well, there's no cap on the income, right?
• And so can you just talk about reaching that From lower middle income to higher income, the impact it
• It is correct, me if I'm wrong, but limited. There's still a limited number of child care slots.

Bills: SB2

Committee: House House Appropriations & Finance

Keywords: SB 2, State Highway Project Bonds, highway funding, transportation bonds, state road fund, motor vehicle fees, vehicle registration fees, electric vehicle fee, EV surcharge, plug-in hybrid fee, weight distance tax, road construction, infrastructure financing, Department of Transportation, State Transportation Commission, bonding authority, county road funds, municipal road funds, transportation improvement program, state highways

Transcript Highlights:

• Since 2023, the Energy Division of Minnesota Commerce has run the low- and moderate-income Community
• The revised law required that at least 30% of solar capacity go to low- and moderate-income household
• Since 2023, the Energy Division of Minnesota Commerce has run the low- and moderate-income Community
• The revised law required that at least 30% of solar capacity go to low- and moderate-income household
• BILL SAVINGS TO THOUSANDS OF LOWER-INCOME MINNESOTANS.

Committee: Senate Energy, Utilities, Environment, and Climate

Keywords: 1187, senate, all

Transcript Highlights:

• And the limitations in the bill are pretty narrow.
• And I think... ...bill to try and limit the use of data.
• I believe it's incomes of $45,000 combined household income or less, and that it's adjusted based on
• Is this bill strictly for rural, low-income households?
• of... ...and the income of the parent.

Keywords: 996, all

Transcript Highlights:

• We don't do this on personal income, but we do do it on corporate income, and we are a state that conforms
• We don't do this on personal income, but we do do it on corporate income, and we are a state that conforms
• Those include provisions like the modification of limitation on business interest, increased dollar limitations
• gross, the net income surpasses one million dollars annually?
• , and then Massachusetts will adjust its taxes based on that deducted amount of income.

Committee: Joint Joint Committee on Revenue

Summary: The Joint Committee on Revenue held a public hearing on H. 4975, Governor Healey’s bill to manage the impact of federal tax changes from the One Big Beautiful Bill Act (OB3) on Massachusetts. Secretary of Administration and Finance Matt Gorowitz said the bill would phase in selected corporate tax changes over time, avoid a $442 million FY26 revenue hit, preserve the current-year budget, and add a few related changes, including expanding the pass-through entity excise to income subject to the 4% surtax, delaying large federal tax changes over $20 million by one year, limiting opportunity zone benefits to Massachusetts investments, adjusting DFML contributions to match IRS guidance, and aligning casino slot-winnings reporting thresholds with federal law. Committee members questioned the administration about why it chose phased conformity rather than full decoupling, the effect on the budget if the bill does not pass, the purpose of the pass-through entity change, opportunity zones, and the slot-machine threshold and family leave provisions. Public testimony was sharply divided. MassBudget, Progressive Massachusetts, and Don Griswold of the Center on Budget and Policy Priorities urged the committee to go further and permanently decouple from the five most costly OB3 corporate tax provisions, arguing that automatic conformity is fiscally risky, rewards investment outside Massachusetts, and has already caused or could cause large revenue losses. Labor and public-sector witnesses, including leaders from the Massachusetts Teachers Association, AFT Massachusetts, SEIU 509, the Massachusetts AFL-CIO, and building trades unions, also called for permanent decoupling, warning that the federal law will deepen state budget pressures, harm schools, health care, human services, and infrastructure, and shift costs onto workers and public programs. Several speakers said Massachusetts should not adopt federal corporate tax cuts that mainly benefit wealthy individuals and corporations. Other testimony focused on specific provisions. Unite Here Local 26 asked the committee to strike the casino slot-winnings threshold change from $1,200 to $2,000, saying the current limit helps identify problem gambling, creates an opportunity for intervention, and supports union jobs. The Massachusetts Society of CPAs supported the administration’s phased approach, especially the research and experimental expense deduction, citing the importance of certainty for business filers and Massachusetts’ strong R&D economy. Greater Boston Legal Services testified on the paid family and medical leave sections, explaining that the bill’s changes would align PFML payroll contributions with new IRS guidance and, if paired with administrative action, would be cost-neutral for workers and employers. No votes were taken during the hearing.

Transcript Highlights:

• It is also capped and time-limited.
• I grew up in low-income housing.
• In my district alone, and throughout California, low-income families, seniors living on fixed incomes
• Californians currently must navigate different federal and state rules for the same income.
• Californians currently must navigate different federal and state rules for the same income.

Committee: House Revenue and Taxation

Keywords: 988, house, all

Transcript Highlights:

• Please note the testimony will be limited to three minutes per individual.
• He had limited English proficiency and was shy, I'm sure, of himself.
• He had limited English proficiency shy, I'm sure of himself.
• We do have to limit testimony to two minutes at this point in time.
• And I’m afraid we have to limit your testimony a little bit.

Committee: Joint Joint Committee on Agriculture and Fisheries

Keywords: 995, all

Summary: The Joint Committee on Agriculture and Fisheries held a public hearing on 19 legislative proposals, with testimony limited to three minutes per speaker and seven minutes per panel. The hearing opened with testimony on bills promoting urban agriculture and vacant-lot conversion, including H.121/S.61, which Green Roots staff and community members supported as a way to turn vacant lots in environmental justice communities into urban farms and gardens that improve food access, health, community cohesion, and climate resilience. Rep. James Arena-DeRosa also spoke in support of H.109/S.56, the PFAS bill, describing it as a measure to protect soil and farms from contamination and to create relief for affected farmers. A major portion of the hearing focused on H.109/S.56, which would ban land application of sewage sludge/biosolids, provide liability protection and relief funds for farmers, and address PFAS contamination in soil, water, crops, and animals. Testimony came from environmental groups, farm organizations, and individual farmers, including the Mass Food System Collaborative, Conservation Law Foundation, Clean Water Action, CEMAP, NOFA, Sierra Club, and several farmers who described contamination in Maine and Massachusetts and urged the committee to act. Witnesses emphasized that PFAS poses serious health risks, that farmers should not bear responsibility for legacy contamination, and that the bill should be paired with funding for testing, remediation, and assistance. Committee members asked questions about farm liability, the scope of the bill, contamination in different ownership situations, and the costs and timelines of remediation, with Senator Comerford and others clarifying that the bill is intended to protect farms and farmers rather than non-agricultural landholders. The committee also heard strong support for H.416, a farm-to-institution pilot program, from Rep. Lee Davis, Berkshire Agricultural Ventures, and Berkshire Bounty. They said the pilot would connect Massachusetts farms to schools, hospitals, correctional facilities, and other institutions, creating new markets, strengthening local supply chains, and supporting food-is-medicine efforts. Members discussed whether the model could be statewide and referenced existing programs such as Island Grown Initiative and local hospital and insurance partnerships. Another agricultural bill, H.1058, was supported by Rep. Mark Sylvia and the Cape Cod Cranberry Growers’ Association as a way to allow unused cranberry water rights to be transferred within the same watershed for municipal mitigation while helping growers retire or consolidate bogs. The hearing also included testimony on the broader farm omnibus bill H.112/S.55 and related measures, with the Massachusetts Farm Bureau and others praising the committee’s work on agricultural resilience, food security, agritourism, workforce development, and farmland access, while suggesting additional transportation-related fixes for farmers. No votes were taken during the hearing.

Transcript Highlights:

• </c><00:04:46.000><c> for</c> economic or median household income for economic or median household income
• income and area median income to be vastly different, particularly where state average income can be
• We're talking about area median income, not average income. >> Okay. >> Oh, I was...
• median income, not average income.<00:47:50.560><c> Okay.
• </c> income. Okay. income. Okay.

Keywords: Meeting Start 00:00:07 Roll Call 00:00:14 Discussion of Pro-Growth Housing Policies 00:02:01 Discussion of Historic Rehabilitation Tax Credit 01:11:13 Adjournment 01:40:27, 958, all

Summary: The Kentucky Housing Task Force met and heard first from the Kentucky Chamber of Commerce, which presented findings from a housing study done with the Home Builders Association. The chamber said housing is now a major economic-development issue, citing survey results that 90% of community leaders said their region could not absorb a major job announcement and 66% said housing is holding back Kentucky’s economy. The chamber described Kentucky’s housing shortage, rising home prices, declining permits since 2008, and the need for more production to support growth. It urged policy changes including zoning and land-use reform, tax incentives, regional approaches, and especially a residential infrastructure fund modeled on Indiana’s low-interest loan program to help communities finance roads and other infrastructure needed for new housing. Members asked about the severity of the problem, workforce shortages in permitting and construction, the loan interest rate, repayment, and whether Kentucky could replicate Indiana’s results; the witness said the issue is a crisis and that the program would be a revolving public-private partnership, likely around 3% interest, with implementation details still to be worked out. The Kentucky Bankers Association then testified that the housing gap is especially acute for households at 80% of area median income and below, which it said represents about 70% of Kentucky’s housing need. It emphasized that the shortage affects both urban and rural counties and pointed to examples such as Rowan County, where workers at major employers must commute long distances because local housing is unavailable or unaffordable. The bankers said high interest rates remain a major barrier and proposed a $20 million bank commitment for a revolving fund tied to tax credits to finance new housing, not refinances. They cited Hope of the Midwest as an example of a successful tax-credit housing model with a long track record and no defaults, and said the proposal would leverage public-private partnerships to create new units. Committee members questioned how the proposed fund would compare with industrial revenue bonds and whether it could be structured like Kentucky’s tobacco settlement fund, with seed money, a review board, scoring criteria, and possible population thresholds to ensure smaller communities benefit. The bankers said the proposal would be another tool for cities and counties, specifically tied to residential infrastructure, and that larger cities should not be able to capture all of the resources. No formal votes or actions were taken during this portion of the meeting.

Transcript Highlights:

• "With that, Senate Draft 1, I vote yes." limiting it only to dot only for a limiting it only to dot only
• In addition, with the income tax cuts or the income tax adjustments that were passed last year, it's
• "In addition, with the income tax cuts or the income tax adjustments that were passed last year, it's
• We know that Hawaiʻi, our state, local taxes burden low-income families much more than higher-income
• We know that Hawaiʻi, our state, local taxes burden low-income families much more than higher-income

Committee: Senate Ways and Means

Keywords: 912, senate, all

Summary: The committee took up House Bill 422, relating to school impact fees. The Education Committee recommended passage with amendments, and Ways and Means concurred. The amendments would repeal the construction fee component of the school impact fee while retaining the land impact fee and in-lieu fee requirements, remove related statutory language, exempt certain developments from school impact fees, raise the unit threshold for satisfying the land component to 100 units, require the School Facilities Authority to adopt rules and policies, and require a report to the Legislature on the effect of repealing the construction portion of the fee. The measure was also given a sunset date of June 30, 2029, with the committee report to note that the changes are intended to test the efficiency and efficacy of the fee structure and could be made permanent if the report supports that outcome. The committees adopted the recommendation, with one senator initially voting no and then changing to yes after the amendments were explained. The meeting also included a separate hearing on House Bill 1155, concerning procurement for Department of Transportation projects and construction manager/general contractor procurement. DOT testified that it supported the concept but wanted to narrow the bill, saying the current language was too broad and that the goal was to allow more innovative procurement while preserving selection safeguards. The State Procurement Office said it supported the bill’s language but was willing to work with DOT on alternative wording. Several construction-related organizations, including subcontractors, iron workers, elevator constructors, and building trades representatives, opposed the bill, arguing that exemptions from the procurement code would weaken protections such as retainage, equality, and prompt payment and could invite favoritism or corruption. In response to those concerns, the chair proposed amendments limiting the exemption to DOT, narrowing the qualifying contracts, adding a two-year sunset, requiring a report after the first year, and clarifying that project management could not be procured under the section. The amended recommendation passed, though several members voted with reservations. A separate item, House Bill 476, was briefly called up at the end of the agenda, with a recommendation to pass with amendments to increase a rate from 7.25% to 8%, but discussion was not completed in the portion of the transcript provided.

Transcript Highlights:

• The federal government mainly moves that 35% of eligible expenses to 50% and then ups the income limits
• </c> limit that. limit that.
• at our lower income levels.
• at our lower income levels.
• at our lower income levels.

Committee: Senate Taxes

Keywords: 1187, senate, all

Transcript Highlights:

• Limit testimony to two witnesses in support and two witnesses in opposition.
• with a reliable source of income to meet their most pressing needs.
• AB 1357 fixes this by ensuring that guaranteed income is not counted as income for any state public assistance
• And we can do that by ensuring that guaranteed income payments aren't counted as income when determining
• that is too infrequent to be reasonably anticipated, in-kind income, and income that is unavailable to

Summary: The committee heard a series of child care, social services, immigrant support, disability services, and language access bills, with many measures drawing strong support and no opposition. Early in the hearing, AB 450 proposed a Department of Aging task force to study and recommend policies for undocumented adults age 55 and older; AB 593 would let CDSS identify data-sharing opportunities to improve CalFresh administration and participation; and AB 904 would clarify child care subsidy eligibility so families do not lose care during pregnancy leave, family leave, caregiving, or job search periods. All three were presented as ways to reduce barriers and improve access to essential services, and AB 904 was moved out on a 1-0 call after support testimony from child care advocates and a member of the public. AB 617, which would expand and standardize respite care access for people with intellectual and developmental disabilities by requiring licensing and registry participation, drew both support and significant opposition from respite providers and disability service organizations concerned about added regulation, cost, and possible delays; the author said she would continue working with opponents, and the bill was moved out on a 2-0 call. The committee also heard AB 1220, which would require regional centers to document denials, notices of action, and appeals in individual program plans and include that data in annual reports to improve transparency and equity in developmental services. The bill drew extensive public support from parents, advocates, and disability organizations, with no opposition, and passed 5-0. AB 752 would make child care centers by right in certain residential zones when co-located with multifamily housing or institutional uses, and supporters argued it would reduce zoning barriers and help expand child care capacity; it also passed 5-0. AB 1242 would create a CalHHS language access director, require human review of machine translation, and improve language coverage determinations for state and local agencies; supporters emphasized health equity and the need for better access for limited-English communities, and the bill was moved out on a 4-0 call. Later, AB 548 would continue and expand the Asylee and Vulnerable Non-Citizen Program, which provides case management and integration services for asylees and certain visa holders; supporters said the program had been effective but had run out of funding, and the bill passed 4-0. AB 495, the Family Preparedness Plan Act, would strengthen family safety planning for immigrant families, standardize acceptance of caregiver authorization affidavits, and create a joint guardianship process for temporary separations; testimony focused on fear of family separation and the need for clear school and medical procedures, and the bill passed 4-0. AB 1357 would exclude guaranteed income payments from being counted as income for state public assistance eligibility, with supporters arguing it would prevent recipients from falling off the “benefits cliff”; it passed 4-1. Finally, AB 1201, the Reunity Act, was introduced to require individualized court assessments before denying reunification services to parents with certain violent felony convictions after a five-year period, with the author and a witness describing the bill as a trauma-informed approach to family reunification.

Transcript Highlights:

• The bill now includes SCR limits and excludes tax figures who received qualified foster chair commitments
• The $1,500 tax credit phases out at a rate of 6% of income above $75,000 for single filers or $150,000
• In the making or refurbishing of low-income housing.
• The property will be converted to a limited-equity housing co-op and sold to two low-income artist households
• The first is SB 1096, Senator Dodd, on income tax for senior tax credit.

Summary: The Committee on Revenue and Taxation met with a quorum and heard five bills, most of them tax exemptions or credits aimed at housing, veterans, and seniors. SB 1096, as amended, would provide a $1,500 tax credit for certain grandparents and other caregivers for tax years 2026 through 2030, with income-based phaseouts, a seven-year carryforward, and exclusions for dependents receiving foster care payments. Members praised the author’s amendments and the bill passed unanimously to Appropriations. The committee also heard AB 672, extending a property tax welfare exemption for community land trust projects that create or rehabilitate low-income housing, and AB 1668, extending for five years the welfare property tax exemption for nonprofit land trusts that protect open space and recreational lands. Supporters for both bills emphasized permanent affordability, stewardship of natural lands, and relatively small public costs compared with the housing and conservation benefits. AB 672 and AB 1668 each passed unanimously to Appropriations, though AB 1668 drew one respectful opposition from the California Teachers Association. AB 2022 would expand the property tax exemption for disabled veteran homeowners, increasing the exemption for low-income veterans to 100% and to 50% of assessed value for others, while preserving current benefits through a loophole-closing amendment. The author and veteran advocates argued the bill would help keep disabled veterans and their families in their homes and make California more competitive with other states. The bill passed 5-0 to the Committee on Military and Veterans Affairs. AB 2641 was placed on the consent calendar and adopted without objection.

Transcript Highlights:

• The bill now includes SCR limits and excludes tax figures who received qualified foster care commitments
• The $1,500 tax credit phases out at a rate of 6% of income above $75,000 for single filers or $150,000
• In the making or refurbishing of low-income housing.
• The property will be converted to a limited-equity housing co-op and sold to two low-income artist households
• The first is SB 1096, Senator Dodd, personal income tax for senior tax credit.

Committee: Senate Revenue and Taxation

Keywords: 987, senate, all

Transcript Highlights:

• to an exemption in the form of a remittance that is limited to one application per quarter.
• to an exemption in the form of a remittance that is limited to one application per quarter.
• And so this is going to hit lower income individuals the most.
• As we know from the bill, the limited equity co-ops go ahead and sell to folks who are in a certain income
• And I worry about the downstream effects from the continual erosion of our limits.

Bills: HB2713 , HB2730 , HB2297 , HB2487 , HB2382 , HB2089 , HB2431 , HB2451 , HB2590 , HB2325 , HB2278 , HB2224 , HB2322

Committee: House Finance

Keywords: private detention facilities, business tax, occupation tax, financial impact, state revenue, aerospace, tax preferences, effectiveness, economic impact, grocery stores, underserved communities, food access, incentives, economic development, insurance tax, state regulation, insurers, taxation, budget impact, excise tax

Transcript Highlights:

• We will have an additional 10,000 seats for our children and for the most-needing low-income families
• Currently, that means they have a household income at or below 36% of the state median income.
• that is at or below the maximum household income for Working Connections Child Care eligibility.
• Deployment and hidden financial strain are not captured by traditional income measures.
• These families that are going to require, they're needier, they're more low income.

Summary: The Early Learning & Human Services Committee held public hearings on several child care and disability-related bills. House Bill 2317 would exempt certain ECAP and Head Start programs from DCYF licensing when they operate part-day or school-day in public school buildings or on public school property. Staff and the prime sponsor said the bill would remove duplicative licensing barriers and help expand preschool seats, especially as Washington prepares to add more ECAP slots. Testifiers from Head Start, school-linked providers, and the Washington Federation of Independent Schools supported the bill, describing licensing delays, added costs, and lost classroom time; no one testified in opposition. The committee also heard House Bill 2099, which would expand ECAP access for military families with incomes up to Working Connections Child Care limits and adjust prioritization for families with deployed or single custodial military parents. The prime sponsor and multiple supporters, including retired military leaders, Head Start/ECAP advocates, ESD staff, and a military-community partnership, said military families face frequent moves, deployment-related strain, and child care shortages that affect readiness and family stability. Testifiers said the bill would help families access care without changing the program’s low-income focus or adding state cost. House Bill 2350 would require DSHS to notify residents, guardians, and family members when a residential habilitation center is found out of compliance with federal CMS requirements, and to provide follow-up notices on correction and enforcement actions. The sponsor said the bill responds to limited communication around recent noncompliance issues at Rainier School and would improve transparency; DSHS had requested a narrow amendment about how notice is provided to residents. Disability rights advocates strongly supported the bill, saying families need timely information to protect loved ones and make informed decisions. Finally, House Bill 2318 would let ECAP and Head Start children count toward the 5% subsidy participation threshold needed for Early Achievers quality improvement awards. Supporters said the current rule can discourage providers from enrolling ECAP children because it risks losing an award, even though ECAP already requires Early Achievers participation. The sponsor and testifiers described the bill as a small fix to reduce a funding disincentive for providers serving high-need children. The committee took no votes and adjourned after closing the hearings on all four bills.

Transcript Highlights:

• liability companies, limited liability partnerships, and limited partnerships in their first year of
• One is related to the temporary extension of the existing limit, where the credits are limited to $5
• So are you saying that gross income or net income? So net income. So net income. So a lot of...
• Gross income or net income? So net income.
• So net income. Yeah, so net income.

Committee: Senate Budget and Fiscal Review

Keywords: 987, senate, all

Transcript Highlights:

• The state appropriations limit. The state appropriations limit.”
• limit.
• limit.
• limit.
• Now, the thing that’s ironic about personal income as a limitation on the ability to spend the revenue

Summary: The Senate Committee on Budget and Fiscal Review held an informational hearing on ACA 20, the Save for California’s Future Act, and took no votes. The chair described the measure as a way to strengthen the state’s Rainy Day Fund by increasing reserves during strong revenue years and helping pay down long-term obligations. The vice chair said he preferred a broader spending rule tied to a rolling average of revenues, rather than the proposal’s reserve-focused approach. The Legislative Analyst’s Office explained how Proposition 2 currently requires deposits into the Budget Stabilization Account and debt payments when revenues are strong, and how ACA 20 would change those rules by increasing required reserve deposits, raising the BSA target from 10% to 20% of General Fund revenues, creating a “super excess capital gains” deposit requirement, extending debt-payment requirements through 2040, and expanding eligible debt uses to include Proposition 98 settle-up, budgetary borrowing, and federal unemployment insurance debt. The Department of Finance said the administration supports the measure and believes it improves Proposition 2. Members asked about the Gann limit, whether the measure would allow more spending or simply change how deposits are counted, the impact on infrastructure and other programs, the size of the UI debt, and how the proposal would affect future budget flexibility. Several senators supported the goal of saving more in good years and using reserves to avoid painful cuts in downturns, while others questioned whether the proposal was sufficiently simple or whether a larger structural spending rule would be better. Public comment largely supported the measure, with one former legislative staffer arguing it follows earlier reserve reforms and helps address the state’s UI debt. The chair closed by noting the committee would not act that day and that the measure would be considered on the Senate floor the next day.

Transcript Highlights:

• There's a limit on the income we can make on that, but those bonds that we're selling, say, for instance
• The low-income housing tax credit projects can serve up to 30% AMI, which is the extremely low-income
• We are projecting that household income growth is going to be in the extremely low and the very low income
• Household income growth is going to be in the extremely low and the very low income categories primarily
• There's tools to limit your losses or gains, but, There's tools to limit your losses or gains, but it's

Keywords: 908, all

Summary: The committee met as the Regulatory Division of the budget section and received updates on several Industrial Commission-related agencies and programs. Legislative Council first reviewed base budget materials, then the North Dakota Housing Finance Agency reported on its current appropriation and staffing, noting that its new FTEs were being filled gradually and that it remained largely funded through special and federal funds. Agency leaders described homeownership lending, loan servicing, and housing incentive fund activity, including below-market mortgage rates, down payment assistance, and a growing servicing portfolio that has increased workload but not yet required additional FTEs. Housing Finance also detailed use of the Housing Incentive Fund and homeless grant dollars. Officials said the multifamily HIF round drew more than $73 million in requests and awarded $25 million, while the single-family program supported rural development and community land trusts. Homeless grant funding was split between emergency shelter, prevention, and rapid rehousing, with performance-based scoring used to renew or reallocate awards. Members discussed housing affordability, aging households, rental assistance, and the need to coordinate housing and site-preparation messaging with Commerce. The agency asked that HIF, single-family, and homeless funding be maintained or increased in the next session. The Department of Mineral Resources then presented its budget and operations update. Staff said the agency was on track financially, had filled most of its new reclamation FTEs, and was not expecting major litigation costs beyond normal late-biennium invoices. The director reviewed agency initiatives including Project North Star IT modernization, organizational restructuring, succession planning, rulemaking, and implementation of the development incentive well tax program and critical minerals rules. He also discussed oil and gas activity, explaining that longer laterals, especially three- and four-mile wells and the first five-mile spacing case, are helping keep production relatively flat even as rig counts ease. Members asked about gas capture, hedging, break-even prices, and the effects of Iran and Venezuela on oil markets. The committee also heard about enhanced oil recovery grants and the Pipeline Authority. The EOR program’s $25 million appropriation was fully allocated to six projects, with total awards reaching about $45.1 million when other fund balances were included, subject to a possible 5% reduction if federal DOE money does not materialize. Officials said the projects are public, reimbursement-based, and will produce results over the next several years. Finally, the Pipeline Authority outlined natural gas transmission projects, including the imminent Bakken Express line and the proposed Bakken East project, which WBI was selected to advance after an Industrial Commission RFI process. The project is moving through open season, survey permission, and regulatory work, with in-service dates projected for 2029 and 2030.

Transcript Highlights:

• , moderate-income, or tribal households.
• CAP agency partners is self-attestation of low income.
• We're able to get more people involved in the low-income programs.
• I know Maggie and Josie had mentioned low-income support.
• The portable solar generation, or balcony solar, limit in the bill is 1,200 watts.

Bills: SB5982 , SB6008 , SB6050 , SB6056

Committee: Senate Environment, Energy & Technology

Keywords: consumer-owned utilities, clean energy, port districts, market customers, energy transformation, energy storage, residential battery, grid connection, renewable energy, incentives, distributed energy, renewable resources, energy policy, sustainable energy, state regulations, utility vehicles, emission standards, environment, regulation, exemptions