Transcript Highlights:

• The published reports show that they've received roughly $7 million right now to cover salaries, along
• This is effectively the federal government directly funding the salaries of people that are already being
• My concern is that with a particular organization, the Oakland Pregnancy Care Network, they didn't adjust

Bills: SB1177

Committee: House Joint Committee on Appropriations and Budget

Summary: The Joint Appropriations and Budget Committee took up Senate Bill 1177, the main budget bill, and first adopted the committee substitute as the working version. Chairman Caldwell presented the bill as the measure funding state government and answered a series of questions about major budget items, including CareerTech funding, child care, school security, teacher pay raises, the state plane purchase, Medicaid, mental health, veterans’ homes, and higher education projects. He said CareerTech received increased funding, child care funding was increased by roughly $12 million over last year, school security funding was continued at $50 million, and teacher pay raises were included through a mechanism that would raise the state minimum by $2,000. He also explained the $3 million state plane item as a restructuring of state aviation assets, and said the budget did not cut law enforcement funding tied to 287(g) agreements.

Transcript Highlights:

• </c><00:23:56.960><c> of</c> the 2026 minimum inseason salary of the 2026 minimum inseason salary of
• This would cover all work by minor league baseball players who are paid a salary under the salary scale
• So, it says $1,040 in-season salary.
• But the salary is an in-season salary.
• </c><00:34:30.560><c> season</c><00:34:30.960><c> salary</c> it's a championship season salary it's a

Committee: House Labor, Industrial and Rehabilitative Services

Transcript Highlights:

• As this slide shows, about 71% of campus budgets are for salaries and benefits, with another 13% for
• operating costs are estimated to increase by about $343 million, of which the majority is employee salaries
• It takes that actual spending, still adjusts it for projected COLAs moving forward.
• you're absolutely correct that these funds primarily go to support graduate students to pay their salaries
• The faculty salaries are paid by the university from our core funds, but the faculty are losing this

Transcript Highlights:

• general, to qualify, a family must have a household income at or below 60% of the state median income, adjusted
• We have seen instances where frontline workers receive salary bumps in the, I'm sorry, workers receive
• wage increases only in a few cents, while executives receive salary bumps in the hundreds of thousands
• It is neither transparent nor fair when a CEO's salary jumps from $300,000 to half a million dollars

Bills: HB1873 , HB2600 , SB5957

Committee: House Early Learning & Human Services

Keywords: child care, Working Connections Child Care, WCCC, graduate students, professional students, higher education, full-time student, affordable child care, subsidized child care, child care subsidy, Department of Children, Youth, and Families, DCYF, income eligibility, state median income, copayment, copay waiver, family support, workforce participation, working families, special needs child care

Transcript Highlights:

• We're going back and adjusting somebody's property by taking down solar panels.
• The first proposal is an operating adjustment.
• is an operating adjustment this is an enterprise-wide<01:21:47.960><c> adjustment</c><01:21:48.560><
• c> proposed</c><01:21:48.840><c> to</c> enterprise-wide adjustment proposed to enterprise-wide adjustment
• </c><01:21:54.920><c> and</c> Healthcare contributions salary and Healthcare contributions salary and

Committee: House Energy Finance and Policy

Transcript Highlights:

• And so it's really important for us now to make this request of you respectfully, to adjust and align
• in our recurring base of $5 adjustment in our recurring base of $5 million<00:09:37.279><c> annually
• I know that the CPE has asked for inflation adjustments, and I simply would say that, like every single
• A lot of the universities are talking about the tuition waivers, the inflation adjustments, performance
• For instance, the median salary was more than $55,000.

Summary: The House Budget Review Subcommittee on Postsecondary Education met without a quorum and postponed approval of the minutes. The committee first heard from Northern Kentucky University President Katie Short Thompson, who highlighted NKU’s enrollment growth, student success metrics, national recognition for value, lower student debt, and new programs tied to regional workforce needs, including AI, cybersecurity, supply chain analytics, cardiovascular perfusion, and the Norse Network Hub for employer access. She asked for a $5 million recurring base funding adjustment to align NKU’s general fund support with peer institutions, along with support for tuition waivers with FAFSA requirements, continued debt collection authority through the Department of Revenue, inclusion of fire and tornado insurance premiums in base funding, inflation and performance-funding support, and increased asset preservation funding. She also outlined capital priorities for the Hail College of Business building, Nunn Hall, and the MEP building, and requested $5.4 million to match private support for the Young Scholars Academy, a dual-credit program serving first-generation and low-income students. Representative Tipton questioned NKU about the number of older students using tuition waivers and whether the university could continue the program without a statutory age-based mandate. Thompson said the number of students over 65 using the waiver was small, that some students pursue degrees while others audit classes, and that external fundraising could potentially support the program if state funding changed. Tipton also confirmed NKU’s requested priorities and the $5.4 million match for the Young Scholars Academy. The committee then heard from University of Kentucky representative Dr. Cavallo, who framed UK’s request around accountability, workforce development, research, and health care impact. He described a patient story to illustrate UK’s medical mission, cited growth in enrollment, degrees awarded, hospital patients treated, and research grant revenue, and emphasized UK’s role in extension services and disaster response. He said UK is consolidating services for efficiency and is focusing on future workforce needs, especially artificial intelligence, noting the launch of the state’s first AI bachelor’s degree and a partnership with Microsoft to expand AI tools and training across campus and the Advancing Kentucky Together network. He also discussed demographic challenges, the need to retain graduates in Kentucky, and the importance of aligning programs and funding with long-term state needs.

Transcript Highlights:

• HB 2672, small school adjustment. HB 2681, employee mayor community. HB 2688, budget.
• HB 2883, small school adjustment. HB 2885, cultural impact.
• HCR 2025, salary. HCR 2026, controlled substances. HCR 2036, ratification.

Transcript Highlights:

• Relating to the Cost of Living Adjustment Provisions for Qualified Pension Recipients, providing cost-of-living
• adjustments that are equal to Social Security and supplemental services.
• Educational Retirement, increasing the salary a retired member may earn without a suspension of the member's

Transcript Highlights:

• The first one is 40-7-02, salary administration procedures.
• market equity increase to distinguish legislatively authorized equity programs from standard equity adjustments
• We clarified the definitions for performance increase, promotional increase, reclassification adjustment
• , temporary increase, and salary range to align with current HR practices.
• The revised rule now allows for additional payment methods to team members, such as payroll adjustments

Committee: Joint Administrative Rules Committee

Summary: The committee approved the March 12, 2026 minutes and granted the Board of Medicine an extension of time to implement rule changes tied to House Bill 1620/1622, which concern North Dakota’s entry into the physician assistant licensure compact. The Board said it is waiting on compact rules, especially fee structures, before finalizing its own rules. The committee then took up extensive Office of Management and Budget personnel rule revisions, covering salary administration, recruitment, leave policies, funeral leave, service awards, appeals, and shared leave. OMB said the changes modernize HR practices and implement recent legislation, including new hire leave and enhanced annual leave for hard-to-fill positions; the committee raised concerns about the subjectivity and fairness of the hard-to-fill leave provisions, but no action was taken against the rules. The North Dakota Lottery presented emergency and regular rule changes, including updates tied to the Millionaire for Life game and miscellaneous clarifications. The Board of Examiners for Audiology and Speech-Language Pathology described rule updates that add speech-language pathology assistants to the rules, ease continuing education requirements for out-of-state applicants, expand temporary licensure, and clarify supervision standards. The State Electrical Board reviewed numerous code updates, including changes to electrical and fire alarm standards, receptacle labeling, countertop receptacles, and a major new conveyance/elevator inspection program added by the Legislature; the board said it is preparing to begin inspections by August 1. The Industrial Commission’s Geological Survey Division presented new rules implementing House Bill 1459 on critical minerals in coal-bearing formations, including permit, reporting, confidentiality, and royalty-related provisions. The committee asked about confidentiality of exploration data and drilling depth. The Public Employees Retirement System outlined rule changes implementing several bills affecting defined benefit, public safety, defined contribution, insurance, deferred compensation, and retiree health credit programs, and noted possible future proposals to add state EMS or create a LOSAP-style plan. The Department of Health and Human Services presented substance use disorder voucher rules implementing House Bill 1012, including allowing individuals to apply directly and setting reimbursement procedures; the rules were expected to have a $250,000 general fund impact already included in the budget. The longest discussion involved the Gaming Commission rules. Members questioned whether the commission had authority to raise poker tournament buy-ins from $300 to $1,500, viewing it as an expansion of gaming rather than a mere clarification. After debate, the committee voted to void that specific rule section for lack of statutory authority. The rest of the gaming rules covered higher raffle limits from House Bill 1192, the change from “bar” to “alcoholic beverage establishment,” veterans’ organization proceeds, credit ticket voucher kiosks, online raffles, and advertising restrictions; the presenter said several public comments led to revisions or withdrawals of proposed language. The meeting ended with discussion of upcoming Ethics Commission travel-reporting rules and scheduling the next committee meeting in September.

Transcript Highlights:

• tuition and mandatory fee amounts for public post-secondary education institutions; provides for adjustments
• tuition and mandatory fee amounts for public post-secondary education institutions; provides for adjustment
• whether the original household was receiving public assistance benefits and, if so, to begin making adjustments
• I don't know if my budget allows me, with our pay, to buy what he buys with the council salary, but I'm
• I don't know if my budget allows me, with our pay, to buy what he buys with the council salary, but I'm

Bills: HR218 , HR219 , HR220 , HR221 , HR222 , HCR91 , HCR92 , HCR93 , HR210 , HR211 , HR212 , HR213 , HR214 , HR215 , HR216 , SCR29 , SCR38 , SB100 , HR171 , HCR49 , HCR65 , SCR23 , HB276 , HB508 , HB512 , HB599 , HB632 , HB656 , HB998 , HB1052 , HB1084 , HB1171 , HB1193 , HB1194 , HB1204 , HB1209 , HB1250 , SB2 , SB19 , SB24 , SB50 , SB70 , SB96 , SB101 , SB103 , SB104 , SB114 , SB122 , SB159 , SB160 , SB173 , SB180 , SB182 , SB260 , SB412 , SB418 , SB424 , SB442 , SB460 , SB476 , HCR41 , HCR76 , HCR77 , HCR63 , HCR69 , HCR86 , SCR19 , SCR3 , SCR6 , SCR18 , HB64 , HB68 , HB92 , HB130 , HB167 , HB227 , HB243 , HB321 , HB335 , HB398 , HB492 , HB624 , HB689 , HB708 , HB804 , HB906 , HB926 , HB955 , HB968 , HB969 , HB978 , HB985 , HB1005 , HB1029 , HB1069 , HB1077 , HB1095 , HB1104 , HB1107 , HB1187 , HB1203 , HB1217 , HB1220 , HB730 , HB225 , HB175 , HB198 , HB437 , HB457 , HB488 , HB646 , HB763 , HB909 , HB971 , HB981 , HB1066 , HB1089 , HB1125 , HB1154 , HB1231 , HB1246 , HB1248 , HB1249 , SB47 , SB82 , SB106 , SB206 , SB210 , SB248 , SB305 , SB376 , SB397 , SB441 , HCR32 , HB59 , HB617 , HB897 , HB911 , HB1223 , HB798 , HB824 , HB989 , HB1140 , HB1166 , HB1244 , HB901 , HB79 , HR20 , HR74 , HB284 , HB306 , HB366 , HB393 , HB458 , HB459 , HB577 , HB582 , HB605 , HB614 , HB682 , HB733 , HB752 , HB773 , HB996 , HB1035 , HB1113 , HB1180 , HB1234 , HB1240 , SB89

Summary: The House met with 89 members present and began with prayer, the pledge, and routine journal and leave requests. The early part of the session was largely ceremonial, with multiple personal privilege remarks recognizing visiting groups and special days at the Capitol, including St. Bernard Parish Day, Gulf States Renewable Energy Industries Association Day, ARPEC members, retired public servant Barney Arsenault, Deaf History Month, Asthma and Allergy Awareness Month, Young Farmers and Ranchers, Louisiana Housing Corporation participants, and Louisiana Hospital Day. The chamber also received Senate messages, including concurrence in several House concurrent resolutions, Senate passage of a number of bills, and a list of Senate resolutions lying over. The House then moved through a long series of resolutions and bills, many of them adopted without objection. Among the measures approved were resolutions designating or commending various observances and groups, and bills addressing inmate documentation upon release, court filings on letter-sized paper, safe harbor protections for trafficking victims, public benefits verification, travel meal reimbursement limits for state employees, the Governor’s Task Force on Impaired Driving, school emergency operation plans, justice of the peace jurisdiction in East Baton Rouge Parish, unaffiliated voter participation in party primaries, electronic monitoring rules, crime victims’ compensation terminology, the indigent defender fund threshold for small municipalities, sex offender identification procedures, the Office of State Public Defender, microbrewery special-event permits, alternative power sources for nursing facilities, relay attack device penalties, and a capital-case intellectual disability bill. Several of these passed overwhelmingly; some were temporarily returned to the calendar or tabled after passage. A few bills drew more discussion. HB 335 on citizenship verification for public benefits passed 77-17. HB 398, limiting meal reimbursements for state travel to GSA rates with an exception process, passed 62-32 after questions about scope and lodging. HB 906 on presidential preference primary qualification and party rules for unaffiliated voters passed 68-19. HB 897, protecting health data collected by pregnancy centers and imposing fines for unauthorized disclosure, passed 94-0 after an amendment and questions about its application. HB 1107 on intellectual disabilities in capital cases passed 75-11 after amendments informed by disability advocates. HB 1187, allowing Citizens Property Insurance to direct certain emergency assessment overages to the Fortify Homes Program or reserves, passed 87-9. HB 1220 on the State Board of Medical Examiners passed 95-0. The House also reconsidered and successfully revived HB 225 after suspending the rules, and several bills were returned to the calendar for later consideration, including HB 689 before it was later brought back and passed 84-7 after amendment. The session concluded with notice of additional Senate messages and upcoming floor scheduling.

Transcript Highlights:

• And Yountville is a good example of that, where we are adjusting these levels according to those buildings
• the Department of Cannabis Control, and we have item number four: Enforcement and Legal Affairs Adjustment
• Number 4, Enforcement and Legal Affairs Adjustment. All right, we have lots of people here.
• We're going to go ahead and open this up for public comments on enforcement and legal affairs adjustment
• This particular panel was put into a part of the statute that sets salaries for, like, the FPPC, the

Transcript Highlights:

• And Yountville is a good example of that, where we are adjusting these levels according to those buildings
• the Department of Cannabis Control, and we have item number four: Enforcement and Legal Affairs Adjustment
• Number 4, Enforcement and Legal Affairs Adjustment. All right, we have lots of people here.
• We're going to go ahead and open up this for public comments on enforcement and legal affairs adjustment
• This particular panel was put into a part of the statute that sets salaries for, like, the FPPC, the

Summary: The Assembly Budget Subcommittee on State Administration heard several CalVet budget updates first. CalVet reported progress on the Southern California Veterans Cemetery at Gypsum Canyon, explaining that DGS is revising the earlier feasibility study to reflect a smaller footprint and lower grading costs, with updated numbers expected by the end of April. Members and public commenters emphasized the project’s importance and asked whether additional budget authority or trailer bill language was needed; CalVet said it may need more spending authority but wanted to return after the revised study is complete. The committee also reviewed the Yountville skilled nursing facility replacement project, where CalVet said construction is nearing completion, a certificate of occupancy was received, and the new 240-bed facility will replace Holderman Hospital while older buildings will be repurposed for lower levels of care. CalVet also defended eliminating about 178 vacant positions at Yountville and West Los Angeles as a fiscal and staffing efficiency measure, saying current care levels can still be met and that retention and hiring efforts are improving. The committee then took up the Department of Cannabis Control’s enforcement and legal affairs proposal. DCC described the size of the illicit cannabis market, said enforcement alone cannot solve the problem, and asked for additional sworn staff, a new Redding-area field office, and more analysts to focus on distribution networks, organized crime, environmental harms, and high-priority public safety cases. Finance supported the proposal as a targeted investment, while the LAO had no additional comment. Members asked about funding impacts and local co-location options, and DCC said the request would be funded from cannabis excise tax revenues and could help shift sales into the legal market. Public testimony from the cannabis industry strongly supported more enforcement against illicit retail and said it would help legal operators compete. DCC also presented its hemp enforcement and regulation proposal tied to AB 8. The department said the law closes loopholes around intoxicating hemp products, strengthens enforcement across agencies, and prepares for hemp to enter the cannabis regulatory framework in 2028. DCC requested staff for a civil enforcement unit, field-testing equipment, lab capacity to detect synthetic cannabinoids, a track-and-trace specialist, and a policy specialist. Members asked about enforcement in informal retail settings and consumer confusion, and DCC said the biggest problems have been smoke shops and online sales. Public commenters from the legal cannabis industry supported the proposal, saying intoxicating hemp has harmed the regulated market and created public safety risks. The Cannabis Control Appeals Panel then requested ongoing funding of $3.4 million to support 12 positions and its quasi-judicial appeals function. The panel said that with provisional licenses largely phased out, more annual licensees now have appeal rights and the workload is beginning to increase, with two cases currently on the docket. The LAO recommended limiting funding to three years and requiring a workload and comparative analysis before making the funding permanent, while Finance supported ongoing funding as consistent with the panel’s permanent statutory role. Members questioned the panel’s compensation and workload, noting that the five-member body is paid at a high statutory rate despite historically meeting only quarterly, though panel staff said the work now includes substantial case preparation and monthly hearings. Finally, the Department of Consumer Affairs introduced two proposals: $2 million ongoing for the Contractors State License Board’s IT needs and $251,000 plus one limited-term position for the Board of Pharmacy to implement Proposition 34-related licensing policy and reduce barriers to licensure.

Transcript Highlights:

• That's the funding that we use to pay salaries in support of our faculty, educators, and the graduate
• We know that salaries have to increase for our educators and our faculty.
• So we’ve seen that success, and we’re starting to adjust based on that real-world experience, starting
• to adjust our planting date guidance for further south.
• to adjust our planting date guidance for further south.

Bills: HF3692

Committee: House Agriculture Finance and Policy

Keywords: Farmer-Lender Mediation Act, mediation, agriculture finance, debt relief, civil law

Transcript Highlights:

• These are, again, highly skilled, high-wage employees with an average salary of $92,000.
• We have 111 employees with an average salary of $106,000 per year.
• What the amendment does is simply adjusts that amount.
• What the amendment does is simply adjust that amount in FY29 from 100% of the premium surtax to 95%.
• So that's an example of a program that could be adjusted if the revenue went down or the distribution

Bills: HB2 , SB152

Committee: Senate House Appropriations & Finance

Summary: The committee heard a series of capital, bond, environmental, economic development, juvenile justice, and health care bills. Senate Bill 240, the capital outlay package, was presented as a $1.3 billion statewide appropriation, including discretionary capital projects and agency projects; after questions about CYFD projects and House/Senate capital allocations, the committee voted do pass on the committee substitute. House Bill 248, the general obligation bond package totaling about $392.5 million for senior centers, libraries, higher education, and tribal projects, also received a do pass after questions about project vetting, bond timing, and school bus funding. House Bill 80, which increases the share of oil and gas conservation tax revenue going to the Oil and Gas Reclamation Fund to speed orphan well plugging and site cleanup, drew strong support from business, environmental, and industry groups; members discussed funding balances, procurement bottlenecks, and the distinction between abandoned and orphan wells before voting do pass. House Bill 184, making technical fixes to the Conservation Legacy Permanent Fund and related distribution rules, passed with little debate. The committee also heard Senate Bill 172, which expands the TRIGGER program allowing companies to access national laboratory expertise; supporters from the labs, the governor’s office, universities, and business groups cited job creation, follow-on investment, and commercialization gains, while one senator raised concerns about the long extension of the program. The bill passed do pass. House Bill 95, creating a judge for the First and Second Judicial Districts, was described as matching a previously heard Senate bill and passed do pass. Senate Bill 165, a major juvenile justice bill, generated the most extensive debate: the sponsor said it updates the juvenile code, raises the age for certain serious offenses, extends services for youth sentenced as adults, and expands community corrections; law enforcement supported it, while the Public Defender, youth advocates, the ACLU, and a Bernalillo County commissioner opposed it, arguing it expands adult sentencing and relies too heavily on incarceration. Despite those objections, the committee voted do pass. Finally, House Bill 4, which increases the Health Care Affordability Fund distribution to support premium assistance and related coverage programs, was amended so that a portion of the premium surtax would go to the Behavioral Health Program Fund and any unexpended balance would revert to the affordability fund. Supporters from BeWell, health advocacy groups, the insurance office, and homeless services said the bill would protect coverage gains and help offset federal changes; members asked about the amendment’s effect on the behavioral health fund and the bill’s flexibility if revenues decline. The amendment was adopted, and discussion on the bill continued.

Transcript Highlights:

• The Division of Accounting Operations is requesting $180,000 in salaries and match for positions.
• The division of accounting operations is requesting $180,000 in salaries and match for positions.
• Your question was about making an adjustment.
• Yes, how would this possible adjustment maybe impact the overall sale of the remaining portion of the
• I know with the adjustments we've made in the past, they weren't removing parcels, but when we try to

Committee: All ALC-PEER

Transcript Highlights:

• the biennium and with that the FCIC will add 25 staff to double down on their efforts, provide some salary
• Commission is required to report certain financial information related to adjusted gross receipts and
• Adjusted gross receipts are the sum of paper card sales, electronic card sales, and pull tab bingo sales
• Working capital in calendar year 2023 adjusted gross receipts were $3.3 million, and net proceeds for
• Net proceeds as a percentage of adjusted gross receipts were 15.21 percent, an increase of increase over

Committee: House Licensing & Administrative Procedures

Transcript Highlights:

• It's a very useful tool to understand, and we're public officials, so our salaries are public.
• A salary of $150,000, which is typical of the legislature, and if you have a spouse, you're definitely
• in the financial aid delivery process, you will probably see something like a downward caseload adjustment
• for Cal Grant and an upward caseload adjustment for the Middle Class Scholarship.
• You said that there were cuts made to the IT contracts to make some of the budget adjustments.

Transcript Highlights:

• the salary of that person could triple the salary of that person just<01:14:16.920><c> in</c><01:14:
• </c><01:14:43.360><c> of</c> board and start with a salary of board and start with a salary of $425<01
• I’m not seeing out-of-control salaries for teachers, but when I look at the salaries for our SAU people
• for teachers but when I look at salaries for teachers but when I look at the<04:04:45.040><c> salaries
• They had a hard time adjusting.

Summary: The committee first heard House Bill 362, which would grant the Department of Education rulemaking authority related to educator licensure and testing requirements, including passing scores on professional education assessments. Representative Ladd said the bill is intended to preserve New Hampshire’s standards for classroom teachers and CTE instructors, while allowing DOE flexibility through rulemaking. He emphasized maintaining high standards, including for career and technical education, and said he was open to DOE clarifying the language further. Committee members raised concerns that the bill, as written, could remove language recognizing industry-recognized credentials for CTE instructors. Department of Education Director Steven Appy said DOE had drafted an amendment to clarify that the requirement applies to an initial New Hampshire license, to exempt CTE teachers from content exams, and to preserve current administrative practice allowing basic academic skills testing and industry-recognized credentials as substitutes. The committee discussed the distinction between basic academic skills tests and content assessments, and Appy said the amendment was meant to avoid conflating those requirements. The chair said the committee would take up executive session on HB 362 and related bills later. The committee then took up House Bill 90, which narrows and defines the rules for part-time teachers, especially in concurrent enrollment settings. Representative Ladd explained that the bill is meant to allow qualified college faculty or adjuncts from the University System or Community College System to teach high school concurrent-enrollment courses when local schools lack a teacher with the needed master’s-level credentials, particularly in math and STEM subjects. He said the bill is intended to expand student access to college-level coursework, save money, and preserve standards, while still requiring background checks and adherence to ethics and conduct rules. Members began asking questions about how the bill would work in practice, including certification and endorsement issues, but the hearing was not concluded in the portion provided.

Transcript Highlights:

• Their salaries are higher.
• I'm wondering what the impact of salaries are and the fact that salaries in New Hampshire are often significantly
• If you adjust for inflation, it was 2007.
• </c><04:16:17.800><c> median</c> the highest inflation adjusted median the highest inflation adjusted
• </c><04:38:26.760><c> for</c> bounce around this is not adjusting for bounce around this is not adjusting

Summary: The meeting was a Ways and Means briefing opened by the vice chair, who introduced Jason Wong of the Federal Home Loan Bank of Boston to discuss the national and regional economy. Wong focused on inflation, asking why it had fallen from about 9% in 2022 to the 2%–3% range, and what that meant for monetary policy and the risk of an economic downturn. He said the Fed’s target is 2%, noted that recent PCE inflation was about 2.4% and core PCE about 2.7%, and described the ongoing debate over whether interest rates should stay tight or be lowered further to protect the labor market. Wong explained that the improvement in inflation has been driven largely by goods prices, especially durable goods such as cars, appliances, and furniture, as well as non-durable goods like food. He said supply-chain disruptions during the pandemic caused major price spikes in 2022, but those pressures have eased and many goods prices are now at or below the Fed’s target. He also referenced the New York Fed’s Global Supply Chain Pressure Index, saying it showed extreme pandemic-era disruptions that have since receded. The main remaining inflation problem, he said, is in services, especially housing. Wong broke services into rent of shelter and all other services, explaining that shelter is a large share of household budgets and that housing inflation has a lag because rent measures often reflect older lease terms rather than current market rents. He said monthly Zillow data suggest market rents have cooled and may eventually feed through to official inflation measures. Members asked several questions about the chart’s time scale, the treatment of real estate, property taxes, and utilities, and Wong clarified that housing costs are counted in services and that the slides would be shared digitally. No votes or formal actions were taken.

Transcript Highlights:

• schedule of all other normal salary schedule of all other employees<00:49:11.040><c> they</c><00:49:
• </c><00:50:28.400><c> that</c> would adjust that would adjust that area<00:50:31.520><c> Rel</c><00:50
• Can adjust that in terms of replacing the teachers.
• The governor needed to go back out to the search committee to redo the salary portion of it.
• </c><05:51:33.478><c> did</c> because the salary did because the salary did change<05:51:36.160><c> and

Summary: The Committee on Finance received an informational briefing from the Department of Education on its budget request for the upcoming fiscal year. The Superintendent and staff described the department’s mission, enrollment and staffing scale, recent gains in NAEP reading and math, persistent attendance problems since the pandemic, and the need for resources to support student recovery, middle school math, and other strategic priorities. The department said its proposal is intended to be aligned with its 2023–2029 strategic plan, fiscally balanced, and reliable for schools, while also addressing inflation, workforce needs, and uncertainty in federal funding. Assistant Superintendent and CFO Brian Hallet reviewed federal grants, non-general funds, and the budget development process. He said federal funds make up about 11% of the department’s FY25 appropriation and warned that House budget proposals could threaten predictable funding for core programs. He also explained that the department began its biennial budget work in April 2024 and used an internal review group to identify possible reallocations. The department characterized its request as a “flat” budget proposal overall, with a large share devoted to continued funding for existing recurring needs, and noted challenges including a projected state funding decline, inflation, lingering pandemic impacts, recruitment and retention, and uncertainty about future federal support. A major topic was the department’s capital improvement program. DOE officials argued for a risk-based, proactive approach using lump-sum “buckets” to manage facilities and deferred maintenance across more than 21.5 million square feet at 268 sites. They said this would allow more efficient prioritization of projects and better coordination with complex area superintendents, principals, and legislators. Members asked about how legislative priorities would fit into the bucket system, county-versus-state property jurisdiction issues affecting school facilities, enrollment decline and staffing ratios, and how the department plans to adjust facilities and human resources to shifting enrollment patterns. DOE said it is studying enrollment trends, will brief the Board of Education next month, and is willing to provide further briefings to legislators. No votes or formal actions were taken during the informational briefing.