Transcript Highlights:

• general funds.
• general funds.
• Fund.
• Fund.
• That is then funded to 110% of full funding.

Summary: The committee began with a public hearing on Substitute House Bill 1592, which would change how state public defense funds are distributed and, in the substitute version, keep current law on state funding responsibility while revising the allocation formula. Staff explained the bill would shift county and city distributions to a pro rata, caseload-based model, allow very low-density counties to request OPD to provide some or all public defense services, require additional data collection and reporting, and direct OPD to study caseload reductions and retention. Representative Peterson said the bill is meant to create a better structure for future state support of indigent defense without the very large cost of the original proposal. Testimony from counties, cities, OPD, defenders, and local officials was strongly supportive, emphasizing a statewide public defense crisis, rising local costs, staffing shortages, and the need for a fairer funding model. The committee then heard Substitute House Bill 1742 on environmentally sustainable urban design and Substitute House Bill 1906 on water system regulation and water rates. HB 1742 would create a center in Ecology to promote sustainable urban design, fund design competitions and grants, and establish an advisory council; the sponsor said the bill reflects a desire to support a pilot project through alternative funding, and there was no public testimony. HB 1906 would require more planning and notice for Group A water systems, add customer notice and right-of-first-refusal provisions for some ownership changes, and direct the UTC to consider external funding sources, capital planning, and rate smoothing when setting water rates. Water utility and PUD witnesses supported the goal of improving transparency and consolidation of failing small systems, while noting the substitute reduced some fiscal concerns. The committee also heard HB 2248 on Secretary of State corporate and charity filings, HB 2438 creating the SEED scholarship for early childhood education students, and HB 2515 addressing emerging large energy use facilities such as data centers. HB 2248 would redirect part of annual filing fees to the Secretary of State revolving fund, require initial reports from nonprofits and LLPs, and change trademark certificate procedures; the fiscal note showed modest revenue losses, and the division supported restoring the fee split for operational funding. HB 2438 would transfer $10 million annually from the GET account to fund scholarships and wraparound services for early childhood education degree seekers, with testimony from early learning advocates and a student describing workforce shortages and personal financial barriers. HB 2515 drew extensive testimony both for and against: supporters said it would protect ratepayers, water resources, and grid reliability by requiring tariffs, reporting, clean-energy requirements, and a fee on large energy users; opponents argued it singled out data centers, could hurt investment and jobs, and included unrelated labor and procurement provisions. After public testimony, the committee moved into executive-session briefing on several bills and amendments, including HB 1903 on statewide low-income energy assistance, HB 1909 on a court unification task force, HB 1982 on vacating certain convictions tied to treaty Indian rights, HB 2034 on LEOFF Plan 1 retirement changes, HB 2105 on employer notice of federal I-9 audits, HB 2210 on ranked-choice voting, HB 2215 on Climate Commitment Act fuel supplier obligations, and HB 2271 on post-consumer recycled content requirements. Staff summarized proposed substitutes and amendments, with several changes aimed at reducing or shifting fiscal impacts, narrowing agency duties, or striking provisions entirely.

Transcript Highlights:

• SB 1291 contains no dedicated funding source.
• And for a couple of the mutuals in Southeast L.A....
• They've reached out to mutuals, like they don't get a response.
• We have been working with the mutuals in Cudahy, and in fact, the two mutuals are in the process of consolidating
• The state funded $10 million to give this community that had...

Summary: The Senate Committee on Banking and Financial Institutions heard two bills. SB 1131, presented by Senator Jones’s staff, would update the Debt Collection Licensing Act by requiring DFPI to conduct examinations remotely unless an on-site review is needed for consumer protection, and allowing the department to rely on recent audits or examinations by other regulators or approved third parties to avoid duplicative work. Supporters from the California Association of Collectors and Receivables Management Association International said the bill would reduce examination costs and improve administrative efficiency while preserving consumer protections. A representative of the California Low-Income Consumer Coalition expressed concerns. Committee members noted the need to avoid unintended consequences for the consumer protection goals of the licensing program. The bill was moved on a due pass and re-refer motion to Appropriations and later received enough votes on call to pass out of committee. The committee also heard SB 1291, the “Shine Act,” by Senator Gonzalez, which would increase transparency and accountability for mutual water company boards by eliminating the 24-hour written notice requirement for board meetings, requiring websites with basic information and consumer confidence reports, and directing a comparative analysis of mutual water companies serving disadvantaged communities. Supporters, including community and public health advocates, described problems with water quality, inaccessible meetings, poor notice practices, and lack of information in communities such as Cudahy and Maywood. The California Association of Mutual Water Companies opposed the bill unless amended, arguing it imposes costly, one-size-fits-all requirements on small systems without dedicated funding and could be difficult for remote or low-capacity mutuals to meet. Committee members generally supported the transparency goals but raised concerns about scale and compliance burdens; the author said he would continue working with opponents. SB 1291 was moved on a due pass and re-refer motion to Environmental Quality and later passed out of committee on call.

Transcript Highlights:

• methodology that was used in calculating the living wage, and it does include some of the consumer price index
• cliff or tuition reimbursements while using programs or while using programs, Oklahoma is already funding
• There was a consumer price index inflator tied to wages.
• up, sometimes that means that they have to shift their compensation package away from benefits to fund
• or whatever indexing it might be that have a constant increase in that minimum wage.

Committee: House Business

Summary: The committee held a study on the potential effects of living wage or minimum wage laws in Oklahoma, with the chair emphasizing that the discussion was not intended to advocate for or against State Question 832. The first panel focused on economic and workforce impacts. An Oklahoma Department of Commerce representative argued that living wage calculations vary by region and household type, that Oklahoma’s average wages are already near or above many living-wage estimates, and that higher mandated wages could lead employers to cut hours, reduce hiring, automate, or avoid expansion, especially in rural areas where childcare, healthcare, broadband, and infrastructure constraints also affect labor participation. Committee members asked about wage distributions, rural cost differences, training pathways, and whether higher wages might draw workers or businesses out of state; the witness said many low-wage workers move up over time and that Oklahoma has seen net in-migration. A State Chamber Research Foundation witness then testified that a $15 statewide wage floor would raise payroll costs substantially, especially for small rural employers, and cited examples from California and Seattle to argue that higher wages can reduce hours, jobs, and benefits while increasing consumer prices. She suggested alternatives such as expanding the state earned income tax credit and promoting upskilling through existing education and training programs. A Missouri Chamber of Commerce and Industry representative described Missouri’s recent voter-approved minimum wage increase to $13.75, rising to $15, along with paid sick leave provisions. She said the chamber opposed the measure because it would raise business costs, hurt rural communities and youth employment, and force some employers to cut hours, reduce hiring, or close. She cited examples from Missouri businesses facing significant added costs and warned that a future ballot initiative could create a patchwork of local minimum wages. In response to questions, she said Missouri’s law did not distinguish by age or industry, that businesses had raised concerns about union contracts and compliance, and that the chamber viewed the measure as harmful to competitiveness. Peter Hansen of NFIB presented the final major testimony, summarizing an NFIB study projecting that a higher Oklahoma minimum wage would produce some short-term GDP gains but longer-term losses, with GDP turning negative by the early 2030s and job losses growing over time. He said businesses respond to higher wage mandates by raising prices, trimming jobs, converting full-time positions to part-time, reducing benefits, and shifting investment toward automation or other capital. He argued that the burden falls most heavily on vulnerable workers such as young or marginal employees, who are less likely to be hired when labor costs rise. In questioning, he acknowledged that higher wages can improve pay for some workers and may have some short-term positive effects, but maintained that the long-term employment and investment effects are negative. No votes or formal actions were taken in the meeting.

Transcript Highlights:

• SB 1291 contains no dedicated funding source.
• And for a couple of the mutuals in Southeast L.A....
• They've reached out to mutuals, like they don't get a response.
• We have been working with the mutuals in Cudahy, and in fact, the two mutuals are in the process of consolidating
• The state funded $10 million to give this community that had...

Committee: Senate Banking and Financial Institutions

Keywords: 987, senate, all

Bills: SB2350 , SB2349 , SB2178 , SB2101 , SB2373 , SB2905 , SB3231 , SB3296 , SB2704 , SB3162 , SB2885 , SB2174 , SB3256 , SB2333 , SB2713 , SB2100 , SB3012 , SB2805 , SB2102 , SB2478 , SB2103 , SB3233 , SB2678 , SB2461 , SB2645 , SB3247 , SB2005 , SB2022 , SB2083 , SB2128 , SB2130 , SB2240 , SB2306 , SB2547 , SB2603 , SB2756 , SB2782 , SB2818 , SB2944 , SB2982 , SB2986 , SB3022 , SB3031 , SB3032 , SB3035 , SB3053 , SB3288 , SB2435 , SB2970 , SB2938 , SB3110 , SB3251 , SB3322 , SB2068 , SB2268 , SB3046 , SB2526 , SB2231 , SB2448 , SB2567 , SB3095 , SB3264 , SB3131 , SB3069 , SB3180 , SB2119 , SB2137 , SB2209 , SB2180 , SB2949 , SB2431 , SB2410 , SB3199 , SB3245 , SB2274 , SB2277 , SB2175 , SB2080 , SB2799 , SB2491 , SB2310 , SB2489 , SB2925 , SB2709 , SB17 , SB2227 , SB2887 , SB2006

Keywords: agriculture, aquaculture, livestock, agribusiness, Department of Agriculture, regulatory functions, employee benefits, restorative practices, sustainability, environmental stewardship, local food systems, Native Hawaiian, workforce development, industrial hemp, Hawaii, Native Hawaiian practices, regulation, cultural stewardship, economic development, organic waste

Bills: SB2350 , SB2349 , SB2178 , SB2101 , SB2373 , SB2905 , SB3231 , SB3296 , SB2704 , SB3162 , SB2885 , SB2174 , SB3256 , SB2333 , SB2713 , SB2100 , SB3012 , SB2805 , SB2102 , SB2478 , SB2103 , SB3233 , SB2678 , SB2461 , SB2645 , SB3247 , SB2005 , SB2022 , SB2083 , SB2128 , SB2130 , SB2240 , SB2306 , SB2547 , SB2603 , SB2756 , SB2782 , SB2818 , SB2944 , SB2982 , SB2986 , SB3022 , SB3031 , SB3032 , SB3035 , SB3053 , SB3288 , SB2435 , SB2970 , SB2938 , SB3110 , SB3251 , SB3322 , SB2068 , SB2268 , SB3046 , SB2526 , SB2231 , SB2448 , SB2567 , SB3095 , SB3264 , SB3131 , SB3069 , SB3180 , SB2119 , SB2137 , SB2209 , SB2180 , SB2949 , SB2431 , SB2410 , SB3199 , SB3245 , SB2274 , SB2277 , SB2175 , SB2080 , SB2799 , SB2491 , SB2310 , SB2489 , SB2925 , SB2709 , SB17 , SB2227 , SB2887 , SB2006

Keywords: agriculture, aquaculture, livestock, agribusiness, Department of Agriculture, regulatory functions, employee benefits, restorative practices, sustainability, environmental stewardship, local food systems, Native Hawaiian, workforce development, industrial hemp, Hawaii, Native Hawaiian practices, regulation, cultural stewardship, economic development, organic waste

Transcript Highlights:

• </c><00:05:55.759><c> the</c><00:05:55.919><c> non-federal</c> state statute to fund the non-federal
• state statute to fund the non-federal share<00:05:56.880><c> of</c><00:05:57.120><c> Medicaid</c><00:
• Now I asked funding through Medicaid.
• Um, oftentimes we get paper copies and then our staff have to, you know, index what they call index them
• index them and then index what they call index them and then file<01:03:16.400><c> them</c><01:03:16.559

Committee: Senate Health and Human Services

Keywords: 1191, senate, all

Transcript Highlights:

• of it is TIB funding, and traditionally one-third is federal funding.
• And by us funding the main arterials, that allows those agencies to fund-shift and work on their residential
• And by us funding the main arterials, that allows those agencies to fund shift and work on their residential
• Our board is consistently chosen to fund well above the $1 million floor for funding.
• Our board is consistently chosen to fund well above the $1 million floor for funding.

Bills: SB5989

Committee: Senate Transportation

Keywords: aircraft fuel tax, tax revenue distribution, aviation funding, transportation, state revenue, 904, all

Transcript Highlights:

• They did not fund the ongoing place.
• </c> funds with another 50%. funds with another 50%.
• All funded by the Army.
• All funded by the Army. The next years. All funded by the Army.
• </c> current funding or a little less? current funding or a little less?

Keywords: 958, all

Summary: The committee heard an Office of Education Technology presentation on the Kentucky Education Technology System (KTS) and a request to increase its annual budget from $15.4 million to $30 million, including an additional $14.6 million. The witness described KTS as a statewide service model that provides districts with student information and financial systems, internet bandwidth, regional support, cybersecurity, online registration, learning management and email services, and collaborative instructional technology support. He argued the state’s centralized purchasing saves districts 40% to 60% compared with buying services individually, and said federal internet discounts and district matching funds create a strong return on investment. He also said KTS has faced long-term funding cuts, has not received a cost-of-living increase since 1992, and is now at a “breaking point” where some services may have to be shifted to districts at higher cost. The request was broken into six main items: restoring funding for the computer science and information technology academy; strengthening cybersecurity defenses in response to sharply rising attacks on K-12 systems; funding online registration through Infinite Campus; stabilizing ongoing support costs for Infinite Campus; providing cost-of-living increases for KTS services; and increasing the KTS financial assistance sent to districts, which requires local matching funds. Members asked about the current appropriation, and the witness said it is $15.4 million. One member praised the office’s work and support for districts, while another noted the district had been an early adopter of one-to-one technology. The committee then received an overview of the KRS 156 salary schedule and step-and-rank system for state-operated career and technical education staff at area technology centers. Officials explained that salaries are set under statute and regulation based on years of service and educational rank, with annual calculations tied to statewide teacher salary averages and retroactive adjustments to July 1. They said the current ABR request is $325,000 over the biennium to cover step and rank increases. The presentation noted that KRS 156 salaries are generally comparable to local districts but are less competitive with business and industry, making recruitment and retention difficult, especially for instructors coming from the trades. Members agreed that trade instructors are underpaid relative to the market and said the issue deserves further review, with department officials indicating they are considering possible statutory revisions and a delayed implementation in a future biennium.

Transcript Highlights:

• There's no other funding for that.
• of it is TIB funding, and traditionally one-third of it is federal funding.
• And by us funding the main arterials, that allows those agencies to fund-shift and work on their residential
• And by us funding the main arterials, that allows those agencies to fund shift and work on their residential
• Our board is consistently chosen to fund well above the $1 million floor for funding.

Summary: The committee first met in brief executive session and advanced Senate Bill 5989 without recommendation to the Ways and Means Committee. Staff explained the bill would redistribute sales tax on aircraft fuel, affecting general fund revenue, which was why it was better suited for Ways and Means. The motion passed by voice vote. The committee then heard a presentation from Transportation Secretary Julie Meredith on WSDOT’s 2025 work and 2026 priorities. She highlighted agency reorganization, safety initiatives, preservation needs, bridge strikes and storm damage, ferry service improvements, major projects such as Revive I-5, the Interstate Bridge Replacement Project, fish passage work, and preparations for the World Cup. Members praised the department’s communication and work, and asked about additional paving and preservation funding; Meredith said WSDOT had prepared projects that could be advanced if more money were available. Washington State Ferries Assistant Secretary John Vizina and staffer Jenna Forty followed with a detailed briefing on vessel and terminal preservation. They described the aging fleet, the need for new hybrid-electric vessels, the governor’s proposed funding for three additional ferries and life-extension work on older vessels, and the importance of terminal upgrades such as Fauntleroy. Senators asked about service contingency planning, the cost and timing of hybrid versus diesel vessels, and whether additional vessels would require rebidding; staff said hybrid-electric construction is the fastest path and that any expansion would depend on statutory direction and legal review. The committee then heard from local government representatives on preservation and storm recovery. The Association of Washington Cities and the Transportation Improvement Board described city road and bridge needs, limited local funding, and the importance of sustained preservation investment and programmatic grants. County representatives from the Washington State Association of County Engineers, Snohomish County, and the County Road Administration Board discussed the December flooding, road washouts, bridge damage, and recovery costs, emphasizing that counties face large preservation backlogs and need state and federal help for repairs and resiliency.

Transcript Highlights:

• funds.
• Where are the other funds? The other funds are federal funds. The other funds are federal funds.
• On page 5, Section 7, other funds, state disaster relief fund.
• On page 5, Section 7, other funds, state disaster relief fund.
• Item 6 adds ongoing funding from the State Disaster Relief Fund for emergency response funding.

Bills: HB1603

Committee: Senate Appropriations

Keywords: Native American, grave protection, repatriation, cultural heritage, tribal compliance, 908, all

Summary: The Appropriations Committee met with a quorum and announced it would begin meeting at 8 a.m. for the rest of the week to work through a growing bill list. The committee first approved House Bill 1603, a companion to the Historical Society budget dealing with NAGPRA, including a $500,000 matching grant to be divided among North Dakota’s five tribes and a committee to address repatriation of human remains and cultural items. The vote was unanimous, 15-0. The committee then considered House Bill 1225, which would increase penalties for reckless endangerment involving a firearm and create a mandatory prison term. After debate over public safety concerns versus the bill’s fiscal note and prison costs, the committee adopted a do not pass recommendation by a 9-6-1 vote. Members also discussed House Bill 1018, the State Historical Society budget, and approved an amendment that adjusted one-time funding items, including NAGPRA compliance, museum exhibits, military gallery funding, local historic grants, and line-of-credit repayment. The amended bill then received a due pass recommendation by a 14-2 vote. The committee next approved House Bill 1468, a behavioral health facility grant for St. Hayes, which supporters said would expand in-state access to acute and adolescent behavioral health care and reduce the need to send patients out of state. The bill passed 14-1. It then amended and passed House Bill 1485, increasing the personal needs allowance for certain Medicaid recipients by $15 and indexing it to inflation; the amendment and the bill as amended both passed 14-2. Finally, the committee approved House Bill 1016, the Adjutant General/National Guard budget, after adopting an amendment that funded disaster relief, response equipment, IT and website costs, and staffing changes for the watch center; the amended bill passed 14-2. The committee adjourned after completing six bills and planned to resume the next morning at 8 a.m.

Transcript Highlights:

• $328,000 in... state general fund um and are just in state general fund um and are just in the<00:12:
• $328,000 in... ...the student aid index.
• And so account or an emergency fund.
• This does not impact the state general fund at all.
• This does not impact the state general fund at all.

Committee: Senate Higher Education

Keywords: 1187, senate, all

Transcript Highlights:

• So what the NCSL Legislature Security Fund is, it's a newly created fund, and it's to help state legislatures
• How the funding works is the legislature, either one or both chambers, can apply for this grant funding
• , to provide funding to the nation's about 7,500,000 or so legislators. funding to the nation's about
• How the funding works is the legislature, either one or both chambers, can apply for this grant funding
• A little more information on how that funding... ...will be applying for that grant funding.

Summary: The Legislative Procedures and Arrangements Committee met with a quorum and approved the minutes from the previous meeting. The committee first considered and adopted a Joint Rule 211 change clarifying the deadline and statutory references for bill drafts involving health insurance mandates, after discussion that the process is still somewhat cumbersome but improved by the clarification. The committee then reviewed a revised draft addressing confidentiality protections for certain legislators and candidates, but members expressed concerns about the breadth, enforceability, and transparency implications of the proposal, and the committee chose not to advance it at this time. The committee received an informational update on the new NCSL Legislator Security Fund. Staff explained that North Dakota is applying for the grant, which could provide about $200 per legislator for home security or related safety expenses, subject to Emergency Commission approval and reimbursement procedures. Members asked about eligible expenses, administrative burden, and whether new legislators would be covered; staff said guidance would be provided if funding is approved. The committee also approved the 2027 timing for the State of the Judiciary, tribal-state relationship message, and State of the State address on January 5, and set the Commerce Department and agricultural commodity reports for January 13 and 14, respectively, as required by statute. A major portion of the meeting focused on legislative staffing and organizational planning. The committee approved a recommendation for 36 Senate staff positions and 41 House staff positions, along with a 3% compensation increase for session staff. Discussion centered on replacing some procedural clerk duties with permanent policy analyst staff, retaining quality assurance roles for now, and adding or repurposing positions in IT, program evaluation, legal, and administration. Members also discussed expanding program evaluation capacity and the need for clearer oversight of new programs, with staff noting upcoming training and model-sharing with other states. Finally, the committee reviewed a proposed new legislator orientation day on November 30 and broader organizational session training changes, including mock committee and floor sessions, security training, and more robust budget/appropriations instruction, but took no final action on the agenda items and adjourned after completing the budget-related recommendations.

Transcript Highlights:

• Engrossed House Bill 5323, relating to indexing of license and stamp fees.
• Engrossed House Bill 5323, relating to indexing of license and stamp fees.
• , and Closing Fund.
• , and closing fund.
• Senate Bill 845, supplemental appropriation to the Governor's Office, Civil Contingent Fund.

Keywords: 994, senate, all

Transcript Highlights:

• So what the NCSL Legislator Security Fund is, it’s a newly created fund, and it’s to help state legislatures
• How the funding works is the legislature, either one or both chambers, can apply for this grant funding
• How the funding works is the legislature, either one or both chambers, can apply for this grant funding
• . and that's Can apply for this grant funding.
• A little more information on how that funding Will be applying for that grant funding.

Committee: Joint Legislative Procedure and Arrangements Committee

Keywords: 908, all

Transcript Highlights:

• You appropriate general fund, fund.
• 15:58.840><c> funds,</c><00:15:59.160><c> road</c> restricted funds, federal funds, road restricted funds
• And so funds, tobacco funds.
• . funding. funding.
• . funding. funding.

Committee: Joint Appropriations & Revenue

Keywords: Meeting Start 00:00:00 Budget Process 00:02:28 Allotment Process 00:10:30 School Facilities Construction Commission 00:29:10 Role of KDE in School Facilities Funding 00:47:00 Kentucky School Boards Association 01:13:25 Elementary and Secondary School Construction 01:20:40 Perkins V Funding 01:35:32, 958, all

Transcript Highlights:

• The DNA Identification Act of 1994 authorized the establishment of a federal national DNA index.
• The laboratory applied for federal funds, and we wanted to address this by collecting those lawfully
• The National DNA Index System contains 26 million profiles, 19.2 million offender profiles, 6 million
• The laboratory applied for federal funds, and we wanted to address this by collecting those lawfully
• The National DNA Index System contains 26 million profiles.

Summary: The House Judiciary and Rules Administration Committee approved the minutes from March 3, 2026, then heard House Bill 691, which would narrow Idaho’s definition of child neglect to align more closely with federal language. The sponsor and supporters argued the current definition is too broad, leads to many unsubstantiated CPS referrals, and can unnecessarily harm families, while opponents from child welfare and law enforcement said the bill would raise the intervention threshold and make it harder to protect children from chronic neglect or medical neglect. After debate over the bill’s impact and a question about existing faith-healing language, the committee rejected a motion to send H 691 to the floor on a 8-7 roll call vote. The committee then heard Senate Bill 1240, a comprehensive rewrite of Idaho’s guardianship and conservatorship statutes. Sponsors said the bill modernizes laws that have not been updated since 1972, improves clarity and due process, and reflects years of work with courts, attorneys, disability advocates, and other stakeholders. AARP testified in support, saying the bill better balances protection and independence for vulnerable adults. No opposition was presented, and the committee voted to send SB 1240 to the floor with a do-pass recommendation. Next, the committee considered Senate Bill 1226, which adds misdemeanor sexual battery and domestic violence to the offenses requiring DNA samples and thumbprints. Sponsors said the change would help solve crimes and close gaps where serious offenders had pleaded down from felonies, and Idaho State Police testified that the bill would improve the DNA database and clarify collection procedures. The committee moved the bill forward with a do-pass recommendation. Finally, the committee heard Senate Bill 1239, which clarifies that residency restrictions for registered sex offenders apply near daycares licensed, permitted, or approved by cities or counties. Sponsors said it closes a loophole in current law, and the committee approved the bill for the floor by voice vote.

Transcript Highlights:

• But the challenge is that there are major issues not funded in the baseline.
• It's removing that agency from the general fund to generate some state savings that way.
• And then the Shiller CAPE Index saying 2025 is second only to the year 2000.
• Federal funds rate has been coming down.
• The extent of the index to use effectively now. I was shocked at those numbers.

Summary: The Finance Advisory Committee met for its January session to review Arizona revenue and economic conditions ahead of the budget process. JLBC staff presented the January baseline, noting projected positive cash balances through FY 2029 and about $577 million to $578 million in discretionary capacity, but also highlighting major unfunded items not included in the baseline, including federal tax conformity costs, ongoing one-time spending for state employee health insurance and school facility repairs, and administrative costs tied to H.R. 1. Staff also reviewed revenue trends by category, saying FY26 general fund revenues were running above forecast overall, with strength in retail, restaurants and bars, and individual income tax payments, while contracting and utility-related collections were weaker or flat. They also compared JLBC and executive revenue assumptions and discussed the executive’s proposed revenue changes, including border reimbursement assumptions, sports betting tax changes, data center-related tax and fee proposals, and other non-general fund measures. A major topic was income tax conformity with recent federal tax law changes. Staff explained that current Department of Revenue forms assume “straight conformity,” but the governor’s proposal and vetoed SB 1106 do not fully match those forms, creating possible amendment and timing issues for taxpayers and the department if the legislature adopts a different policy. Members also discussed the difficulty of forecasting revenues amid volatile monthly collections and uncertainty over how much of the current revenue strength will persist in the second half of the fiscal year. Danny Court of Elliott Pollack gave a broader national and state economic outlook, arguing that the U.S. has avoided recession despite several warning indicators, largely because of AI and data center investment, while employment growth has softened and inflation remains above the Fed’s target. He said Arizona remains relatively resilient, with strong population and job pipelines, but faces housing affordability constraints, slowing employment growth, and a more concentrated population forecast in the Phoenix area. Panelists generally agreed that Arizona remains in better shape than many states, though they cautioned that job growth is slowing, population estimates may be revised, and budget and revenue forecasts should be treated carefully given uncertainty in the data. No votes or formal actions were taken.

Transcript Highlights:

• IT IS THESE ARE ORGANICALLY FUNDED AT THE LOCAL LEVEL.
• SO I WILL START WITH THE MUTUAL AID OVERVIEW, GO INTO THE STATEWIDE MUTUAL AID AGREEMENT THAT WILL THEN
• AND I GET THOSE FUNDS DOWN TO INDIVIDUALS.
• IF WE HAVE THE OPPORTUNITY TO FUND EQUIPMENT, FUND PEOPLE FOR A PERIOD OF TIME CERTAINLY WE CAN DO THAT
• WITH STATE FUNDS.

Transcript Highlights:

• One of them, I'll start with the inflation index.
• I think it's the wrong direction, but at least there was funding, you know, potential funding for that
• and what not to fund, but the concern.
• You know, the discussions we have on what to fund and what not to fund, but the concern that I see here
• Another deep disappointment in the bill was the elimination of the funding for additional...

Bills: SCR8410

Keywords: returning bills to house of origin, sine die, end of session, legislative procedure, Rules Committee, third reading, unfinished business, pending bills, joint resolutions, concurrent resolutions, joint memorials, special session, bill numbering, legislative records, House of Representatives, Senate, Washington Legislature, session adjournment, procedural resolution, 904

Summary: The Senate considered engrossed substitute Senate Bill 6346, a major tax package creating a new income tax on high earners, providing tax reductions and credits, and funding various spending priorities. A point of order was raised that House amendments exceeded the bill’s scope under Senate Rule 66, focusing on new provisions affecting sales and use taxes and business and occupation taxes. The President ruled the amendments were within scope, finding they were tax reductions similar to those already in the Senate-passed bill, and the Senate then took up the motion to concur in the House amendments. Members debated the House changes at length. Supporters said the amendments improved the bill by expanding the Working Families Tax Credit, adding exemptions for diapers and over-the-counter medicines, bringing forward some tax relief, preserving business loss carryforwards, and adding funding or intent language for items such as Fair Start for Kids, K-12 investments, local government replacement funding, and universal school meals. Opponents argued the bill remained unconstitutional or unfair, criticized the income tax structure and inflation indexing changes, objected to the gambling-loss deduction and limits on charitable deductions, and said the bill’s promises on public defense, education, and other priorities were not secured in the body of the measure. On a roll call vote, the Senate concurred in the House amendments by a vote of 27-21, with one excused. The Senate then passed Engrossed Substitute Senate Bill 6346 as amended by the House by the same 27-21 vote, and the President signed the bill in open session. The chamber also received several messages from the House announcing signed bills, and then adjourned until the next scheduled meeting.