Transcript Highlights:

• <00:25:21.120> These administer grant programs. These administer grant programs.
• We administer several state grant programs, including the Legacy Amendment competitive history grants
• <00:33:48.559> We administering grant programs. We administering grant programs.
• :50.799> programs administer several state grant programs administer several state grant programs
• responsibly administer these grant responsibly administer these grant programs,<00:34:01.200>

Keywords: 1183, house

Transcript Highlights:

• As you mentioned, the High Road program is a one-time funded grant program.
• They are assigned to grant programs that are funded.
• They are assigned to grant programs that are funded.
• Our grant programs are coming to a close.
• Legislature evaluating those grant programs by October 1 of every odd year.

Summary: The subcommittee heard a series of budget and trailer bill presentations focused on labor and public employment programs. The first item covered EDD Next modernization, where EDD described progress on customer service improvements, fraud prevention, language access, and the Integrated Claims Management System. The LAO urged stronger legislative oversight as the project enters its most difficult phase, and members questioned the revised schedule, total cost, change orders, stress testing, SB 1090 implementation, and how race and ethnicity data will be protected. EDD said the overall project cost remains about $1.2 billion, that the work is being phased with disability insurance and paid family leave first, and that fraud has been greatly reduced since pandemic-era programs ended. Members also asked for follow-up information on SB 590 outreach and equity impacts. The committee then reviewed the California Workforce Development Board’s request to reduce staffing as one-time grant workloads wind down, along with trailer bill language to streamline reporting requirements. The board and Department of Finance said the staffing reductions reflect the end of surge funding and that the proposal would consolidate roughly 10 to 12 reports into one annual report, with additional reporting only if new funds are appropriated for certain programs. Senator Durazo questioned the policy direction of reducing workforce staffing, while the administration said the positions were tied to temporary grant programs and that current staffing is sufficient for ongoing duties. Members also asked about the board’s role in AI-related workforce planning and the rationale for using state funds for the High Road Construction Careers Program. A major portion of the hearing focused on the Subsequent Injury Benefits Trust Fund reforms and related staffing request at DIR. The administration and LAO described rapid growth in applications, backlog, and liabilities, saying the program’s eligibility has expanded beyond its original intent and that liabilities could reach about $30 billion by 2030 without reform. The trailer bill would tighten eligibility, apply the changes to open cases, and use the QME process and contemporaneous evidence to document preexisting disabilities. Members raised concerns about fairness to pending claimants, evaluator capacity, and the relationship to other SIBTF legislation, while the LAO said the proposal largely aligns with its prior recommendations. DIR also presented a request to eliminate vacant positions under a statewide vacancy sweep, which drew criticism from members who argued the cuts could weaken enforcement and backlog reduction efforts; the committee asked DIR to return with more detail on impacts and on its use of temporary-help authority. The final items addressed a request for additional Cal/OSHA investigative staff and a trailer bill to make permanent the revised Workers’ Compensation Appeals Board petition timeline. DIR said the BOI staffing would help investigate fatalities and serious injuries more quickly, while members emphasized the importance of family contact and timely investigations. For the WCAB item, the chair explained that the 2024 change to Labor Code section 5909, which starts the 60-day decision clock when a case is transmitted rather than when a petition is filed, has reduced pending cases and should be made permanent; the remaining backlog was reported at 460 cases, down from 637 before the change.

Transcript Highlights:

• We also launched a business development and expansion grant that has become one of our core grant programs
• the recurring grant programs.
• For all of our grant programs, and that's been across the three grant programs that the division has
• So it's 18 local, state, and federal grant programs.
• For the State Meat Inspection Program and the Meat Processor Grant Program that went through the legislature

Transcript Highlights:

• Yeah, the other section of the bill is the community grant program.
• community grant program. community grant program.
• program to make it more community grant program to make it more whole<00:40:57.600> so<00:40:
• Chair, I just want to add on the community grant program.
• Uh, right now community grant program.

Keywords: 1187, senate, all

Transcript Highlights:

• That's a grant program or anything.
• There are no named grants within that program.
• It is just a grant program, a competitive grant program.
• grant programs that each the different grant programs that each of<00:21:03.679> the<00:21:03.840
• c> this other uh a grant program created in this other uh a grant program created in this article

Keywords: 1187, senate, all

Transcript Highlights:

• But here you have a bill that is entitled California Black-Serving Institutions Grant Program.
• I think as the name itself of the grant program would suggest to colleges receiving this, that there
• It depends on the grant, the way the grant program is written, but the goal for us, when we look at the
• The Cal Grant program is a...
• The Cal Grant program is a financial aid program administered by the California Student Aid Commission

Summary: The committee first adopted its 2025-26 rules on a 7-0 roll call, then approved three consent items—AB 88, AB 240, and AB 313—on a due-pass motion to Appropriations. The hearing then moved to AB 648, which would give community college districts the same zoning authority as the UC and CSU systems to build student and staff housing on property they own or lease. The author and supporters argued the bill would help address severe housing insecurity and homelessness among community college students, while opponents and some members raised concerns about local control, zoning exemptions, and the impact on nearby communities. AB 648 passed the committee on a 5-2 vote and was sent to the Local Government Committee. The committee next heard AB 466, which would require California Community Colleges and CSU campuses to provide organ and tissue donor registry information during student orientation, and request UC campuses to do the same. Supporters shared personal stories about transplants and donation, saying college orientation is a good opportunity to increase registrations. Some members worried about information overload during orientation and suggested campuses have flexibility in how they present the material, but the bill advanced on a unanimous 7-0 vote to Appropriations. AB 326 followed, proposing campus-by-campus external audits of the CSU every three years and public release of the audits. The author, faculty supporters, and a student argued that systemwide audits do not provide enough transparency about how money is spent at individual campuses, citing examples of financial mismanagement and fee increases. CSU opposed the bill, saying it already conducts annual consolidated external audits and that campus-level audits would add cost without added benefit. After extensive discussion about transparency, audit scope, and implementation, the bill passed 6-1 to Appropriations. The committee then took up AB 335, which would create a California Black-Serving Institution Grant Program to support Black student success and broader underserved student services; supporters emphasized persistent equity gaps and low completion rates, while an opponent argued the bill needed to be carefully amended to comply with Proposition 209 and equal protection requirements. The transcript ends during that item’s discussion, before a final vote is shown.

Transcript Highlights:

• know that it is a block grant.
• Expand the Community Connect program. Expand the Community Connect program.
• So housing programs, $2.5 million. Housing programs, $2.5 million.
• ICF grant, $4.4 million. $300,000 for programming. ICF grant, $4.4 million. That's for Ann Carlson.
• Section 4 applies to the full FTE block grant program. Mr.

Bills: SB2015

Keywords: corrections, rehabilitation, prison budget, department of corrections, adult services, youth services, correctional facilities, Heart River correctional center, Missouri River correctional center, James River correctional center, minimum security facility, county jails, regional jails, deferred maintenance, capital construction, strategic investment and improvements fund, Bank of North Dakota, line of credit, tasers, body cameras

Summary: The Senate Appropriations Human Resources Division met with all members present and took up several bills, focusing most of the discussion on SB 1577 and SB 1619, along with a detailed review of the HHS budget bill draft. On SB 1577, Senator Magrum explained that the bill was being revised to focus on wastewater rather than raw water, possibly shifting the Washburn project to the Department of Water Resources so it could access matching funds, and potentially converting the bill into a line of credit if federal money is restored later. Members discussed whether to keep an emergency clause or instead use a date-based approach, and agreed the bill would likely be handled through the full committee and possibly reconsidered later. On SB 1619, Senator Davison said amendments were still being worked on, including changes requested by the Bank of North Dakota, and the committee planned to hold it for possible amendment before full committee consideration. The bulk of the meeting was a section-by-section review of the HHS appropriations bill draft. Members discussed one-time funding items such as technology projects, child care programs, housing programs, behavioral health facility grants, infant and toddler care provider support, juvenile justice diversion, medical housing, and other public health and human services projects. Several adjustments were noted, including reductions or changes to IMD-related funding, incarcerated-person treatment funding, the child welfare technology project, and the provider rate increase. The committee also discussed the FTE block grant structure at length, with staff explaining that the apparent increase in positions reflected budgeting mechanics, zero-dollar “phantom” positions, and positions approved previously but not counted in the FTE total. Members raised concerns about transparency and whether the bill should list FTE numbers, but staff said the block grant was intended to give the department flexibility while quarterly reporting would provide oversight. Other topics included Medicaid expansion funding and provider reimbursement rules, the move toward certifying human service centers as certified community behavioral health clinics, a moratorium on new ICF beds, and studies or reports on Medicaid, obesity, disability services, truancy, and behavioral health facility grants. The committee also discussed removing or revising broad intent language in Section 31 so the department would report findings rather than implement changes without further legislative action. No final votes were taken in the transcript; instead, members agreed to make a few technical adjustments, continue reviewing the bill, and likely revisit it the next day before moving it to conference committee.

Transcript Highlights:

• > you river grant program and the what you river grant program and the what you could<00:13:08.160
• grant program, and the lead service line replacement grant program. my name is Chad Coloulston.
• It's just a affordability grant program.
• 01:09:40.080> help straight grant program to help straight grant program to help communities<01
• > really<01:10:21.600> well grant program that partners really well grant program that partners

Keywords: 1183, house

Transcript Highlights:

• other programming providing grants to other programming providing grants to other groups<00:07:46.560
• program, and that small grants program is put on by the Department of Natural Resources.
• program, and that small grants program is put on by the Department of Natural Resources.
• Here's the breakout of the Lard members. that small grants program is put on by that small grants program
• the small grants program that that's the small grants program that goes<00:31:40.159> to<00:31

Keywords: 1183, house

Summary: The Legacy Finance Committee held its first meeting of the session, with members and staff introducing themselves and the chair emphasizing the committee’s role in overseeing Minnesota’s Legacy Amendment funds. The committee then received an overview of the Arts and Cultural Heritage Fund from Mary Davis. She explained that the fund receives 19.75% of the 1% sales tax, is constitutionally limited to arts education, arts access, and preserving Minnesota history and cultural heritage, and is not a guaranteed base for prior recipients. She reviewed major recipients and statutory requirements, including the Minnesota State Arts Board’s 47% share, funding for the Historical Society, libraries, humanities and cultural organizations, public media, and the Minnesota Indian Affairs Council. She also noted the 5% reserve requirement, reporting obligations, and a 2023 legislative directive to improve access through free or reduced admission and outreach to households regardless of income. The committee next heard from Janelle Taylor on the natural resources funds, focusing on the Clean Water Fund and Parks and Trails Fund. She said the Clean Water Fund receives 33% of Legacy revenues and must be used to protect, enhance, and restore water quality and protect groundwater, with at least 5% dedicated to drinking water sources. She described the Clean Water Council’s recommendation process and said most of the money goes to Board of Water and Soil Resources projects, with additional funding for PCA and DNR monitoring. In response to a question about Hastings and PFAS contamination, she said the legislature could appropriate clean water money if the project fits the constitutional criteria and protects drinking water sources. For the Parks and Trails Fund, she explained it receives 14.25% of Legacy revenues and is allocated under the long-standing 40-40-20 split: 40% to state parks and trails, 40% to metropolitan regional parks and trails, and 20% to Greater Minnesota regional parks and trails. House Fiscal Analysis staff then reviewed the reserve requirement and available balances, noting that each Legacy fund must keep a 5% reserve to protect against forecast changes. For the upcoming biennium, they cited approximately $327.229 million available for the Outdoor Heritage Fund, $184.73 million for the Arts and Cultural Heritage Fund, and $133.13 million for the Parks and Trails Fund, with the Clean Water Fund total discussed earlier at about $311 million. Members briefly discussed the importance of the reserve and the zero-base nature of the funds. The committee then moved on to an overview of the Outdoor Heritage Fund and Outdoor Heritage Council from Mark Johnson and Joe Pelco, who explained that the fund was approved by voters in 2008, lasts 25 years, receives about one-third of the 3/8 of 1% sales tax, and is used to protect, restore, and enhance wetlands, prairies, forests, and habitat for fish, game, and wildlife. They described the council’s statutory role, the small grants program for projects from $5,000 to $500,000, and the annual recommendation process, but no votes or formal actions were taken in the portion provided.

Transcript Highlights:

• be new programs, burgeoning programs.
• I they eligible for the capitalization of workforce capitalization grant program to recognize yes. >>
• program.
• Program.
• And since receiving that grant enrollment has grown 28% in our apprenticeship programs.

Keywords: 999, senate, all

Transcript Highlights:

• By supporting this grant, it will expand our programs in sense of purpose and well-being.
• and aid for our Aloha ambassador grant and aid for our Aloha ambassador program<01:07:20.960> uh<
• We would like to testify in support of our application for the grant-in-aid program.
• <02:15:31.079> and<02:15:31.239> Grant through a variety of programs and Grant through
• a variety of programs and Grant help<02:15:31.800> to<02:15:31.920> bring<02:15:32.119

Keywords: 912, senate, all

Summary: The joint Ways and Means and Finance informational briefing on grants and aids was held February 14 and was organized as a high-volume public testimony session with strict procedures: no Q&A, one representative per applicant, one minute per testimony, in-person testimony first, and then Zoom participants. The chairs also announced a recess at 11:00 a.m. for floor sessions and a reconvening at 1:00 p.m. Testimony was heard first from neighbor island applicants, then Oʻahu applicants, with members repeatedly directing speakers to line up and keep remarks brief. Neighbor island testimony focused on a wide range of capital and operating requests. Health and community projects included Hawaii Island Community Health Center’s workforce housing in Kau, Wuli Hawaiian Homestead Association’s learning center and predevelopment work, Rescue Tube Foundation’s beach rescue tube expansion, Puna Community Medical Center’s planned hospital/ER campus, Maui Humane Society’s free veterinary care after the wildfires, Hawaiʻi Care Choices’ palliative care readiness, and the Lyman Museum’s HVAC replacement. Other requests included the Maui Advanced Manufacturing Alliance’s Pāʻia Mill redevelopment, Laua 2020’s preschool and learning lab, Mālama Aina’s USDA-compliant meat processing facility, the Hawaiian Lifeguard Association’s water safety programs, Kaha P Organization’s agriculture education support, Ohana Arts’ youth performance project, Friends of the Children’s Justice Center’s emergency closet, EOA Pacific’s Marshall Islands teacher training, and the Central Pacific Youth Athletic Club’s new facility. Oʻahu testimony included the YWCA Oʻahu/Pythink Center’s renovation of Juliet M. Atherton Hall and its community kitchen, West Oʻahu Community Health Center’s wildfire protection and security needs, the Early School’s playground improvements, Surfing the Nations’ food distribution center expansion, and Sounding Joy Music Therapy’s weekly services for people with disabilities. Speakers generally emphasized community benefit, workforce development, health access, food security, disaster recovery, and support for children, seniors, and underserved populations. No votes or formal committee actions were taken during the briefing.

Transcript Highlights:

• So the idea is it's a grant program. They apply.
• How does your, uh, grant program differ from the Texas Youth Livestock Show grant program?
• Is that county level, region, a board in Austin with grant program? Yes, yes, sure, yes ma'am.
• I served on the Austin Arts Commission, and we had grant programs and of course it's very flexible.
• They are already required to establish grant programs under government code.

Transcript Highlights:

• As you mentioned, the High Road program is a one-time funded grant program. Right.
• They are assigned to grant programs that are funded.
• At this point in time, we are seeing our grant programs are coming to a close.
• Our grant programs are coming to a close.
• If additional grant funds are appropriated for the purpose of those programs.

Keywords: 987, senate, all

Summary: The subcommittee heard a series of labor and public employment budget items. The first issue focused on EDD Next modernization, where EDD described progress on online claims, call center upgrades, fraud prevention, language access, and the phased Integrated Claims Management System. The LAO urged closer legislative oversight as the project enters a more difficult phase, and members questioned the schedule, cost, change orders, fraud reduction, stress testing, and the reasons for re-phasing unemployment insurance behind disability and paid family leave. EDD said the overall project cost remains about $1.2 billion, that it has no major cost overruns, and that it has saved more than $20 million by moving some shared customer portal work into ICMS. The committee also received updates on SB 1090 implementation timing, SB 1058 demographic data confidentiality, and SB 590 outreach concerns. The committee then reviewed the California Workforce Development Board’s request to reduce staffing over five years as one-time grant workloads wind down, along with trailer bill language to streamline reporting requirements. Members questioned the large staffing reduction in light of the board’s grant administration role and asked about the High Road Construction Careers Program, AI-related workforce needs, and the impact on reentry programs. The administration and Finance said the positions were added for surge grant work and are being phased down as those grants close, while the LAO had no objection to the reporting streamlining proposal. A major portion of the hearing addressed the Department of Industrial Relations, especially the Subsequent Injury Benefits Trust Fund trailer bill. DIR and the LAO said SIBTF applications, backlog, and liabilities have grown rapidly, with liabilities projected around $30 billion by 2030 if no changes are made. The administration’s reforms would tighten eligibility, apply the new standards to open cases, and use QME reports and contemporaneous evidence to document preexisting disabilities; DIR said this would reduce employer costs and help return the program to its original intent. Members raised concerns about fairness to pending claimants, the effect on workers with undocumented conditions, and the interaction with another bill moving through policy committees. The committee also discussed eliminating vacant DIR positions, adding Cal/OSHA Bureau of Investigation staff to handle fatality and serious injury cases, and making permanent the Workers’ Compensation Appeals Board change that starts the 60-day reconsideration clock when a case is transmitted rather than when the petition is filed. Finally, DIR requested a larger apprenticeship training grant augmentation to raise annual grants from $3 million to $20 million, citing available fund balances and construction workforce needs.

Transcript Highlights:

• As I mentioned, the border-to-border grant program and the low population density program are the two
• And within the history of the border-to-border grant program, we have done 10 rounds.
• /c><00:09:10.959> population grant program and the low population grant program and the low population
• done<00:10:27.360> 10 border grant program, we have done 10 border grant program, we have
• Um, with BEAD, there are states that just opened offices and have never run grant programs before.

Bills: HF3508, HF3548, HF3549

Keywords: dairy assistance, agriculture, investment, relief initiative, farm support, farm assistance, down payment, state funding, loan modification, grain indemnity, financial security, crop insurance, Minnesota agriculture, 1183, house

Transcript Highlights:

• so we're part of both of those programs, but we weren't eligible for any of the grant programs because
• the grant programs are for developers who we'd lend to. >> Right?
• Grant programs are for developers who we'd lend to. >> Right?
• You're saying you're not aware of grant programs. Sounds like Mr.
• You're saying you're not aware of grant programs. Sounds like Mr.

Keywords: 1183, house

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

Transcript Highlights:

• And as Tim O'Malley, the state director of program integrity, has noted, it is important in grant making
• Those services are ongoing, and the providers are more constant than a normal grant program.
• Those services are ongoing, and the providers are more constant than a normal grant program.
• Those services are ongoing, and the providers are more constant than a normal grant program.
• Services are ongoing, and the providers are more constant than a normal grant program. Thank you.

Keywords: 1183, house

Transcript Highlights:

• grant program in the next biennium.
• grant program in the next biennium.
• grant program in the next biennium.
• grant program in the next biennium.
• grant program in the next biennium.

Keywords: 1187, senate, all

Transcript Highlights:

• We're currently collecting data on the effectiveness of the grant program, and we're happy to share that
• grant program for district attorney's offices to prosecute human trafficking crimes.
• and the Missing and Murdered Indigenous People Grant Program items.
• Norhan Abolale with Transformative Programming Works, also urging your support of the Wright Grant.
• We're also members of Transformer Programming Works, and I am here to fully support the Wright Grant.

Keywords: 987, senate, all

Summary: The committee held an informational hearing on the Governor’s May Revision proposals for labor, public safety/judiciary, and transportation, and no votes were taken. In Part A on labor, the Employment Development Department reviewed proposals for EDD Next document management system funding, updated UI loan interest costs, disability insurance and paid family leave benefit and administration adjustments, WIOA funding changes, UI administrative and benefit changes, school employee benefit adjustments, an EMT training reappropriation, and a technical correction tied to EDD Next. PERB discussed funding tied to AB 28 and AB 1, including litigation-related workload and new jurisdiction over legislative employees. DIR presented proposals for legal unit reclassifications, two major IT modernization projects, a new Cal/OSHA emerging technologies unit, a COIA reappropriation, and trailer bill language on electronic assessment payments and the DWC director salary cap. CalHR proposed additional funding for a consolidated employee assistance program contract, and CalPERS and CalSTRS presented budget adjustments tied to investment costs and state contribution changes. Members focused heavily on UI debt and interest payments, asking the administration for a plan to reduce the outstanding loan and relieve employers. Finance said no specific repayment plan was included in the May Revision, while LAO said the state’s UI tax structure is structurally insufficient and that any debt payoff should be paired with tax-system reform. Senators also questioned EDD Next costs and timelines, PERB’s caseload and staffing needs, and DIR’s emerging technologies unit, with LAO noting that the unit would appear focused on physical workplace safety rather than broader AI labor issues. CalHR said the new EAP contract would consolidate services, improve access to clinicians, and lower costs relative to the current model. CalPERS defended higher external management fees as part of a strategy to pursue higher net returns, while some members pressed for more transparency about private investments; CalSTRS said it was not prepared to address investment-strategy questions at this hearing. Public comment in Part A was dominated by advocates urging support for an immigration enforcement emergency relief fund, along with comments supporting the Jails to Jobs proposal, the Apprenticeship Innovation Fund, and additional PERB funding. The chair noted that many of the immigration-related requests might fall under other committees and said staff would follow up. In Part B, Finance and LAO outlined judicial branch and DOJ May Revision items, including funding for court interpreter services, appellate court security, lactation room implementation delays, courthouse construction reappropriations, and DOJ budget increases. LAO recommended approving the language-access proposal with a report on reducing interpreter cost growth and reducing the General Fund backfill for state court facilities by $10 million on an ongoing basis.

Transcript Highlights:

• A couple other programs we have: the livestock investment grant.
• That was really the first grant program in the Agri program too, really kind of came out of creating
• That was really the first grant program in the Agri program too, really kind of came out of creating
• That was really the first grant program in the Agri program too, really kind of came out of creating
• That was really the first grant program in the Agri program too, really kind of came out of creating

Keywords: 1187, senate, all

Summary: The committee held a Dairy Day hearing focused on Minnesota’s dairy industry, beginning with a presentation recognizing Pat and Jodi Lunneman of Twin Eagle Dairy in Clarissa as Minnesota Milk Producers’ Dairy Producer of the Year. Their farm’s history, growth from a 50-stall tie-stall barn to an 800-900 cow freestall operation, and the role of family and long-term employees were highlighted. Members praised the Lunnemans’ work, community involvement, and the collaborative nature of the video tribute. Garrett Luthin, president of Minnesota Milk Producers Association, testified on industry priorities. He said the group represents Minnesota’s 1,625 dairy farms and emphasized that dairy farmers invest in their communities and want policies that support long-term viability. He raised concerns about compliance with labor mandates such as earned sick and safe time, paid family leave, and secure retirement requirements, saying dairy work does not fit a standard schedule and that smaller farms lack HR capacity to track leave requirements. He also urged improvements to county and state permitting by allowing processes to run concurrently rather than sequentially, and he expressed support for dairy profitability and development programs. Members asked about the status of federal dairy support programs, labor mandate implementation, and the realities of dairy work. Luthin said Minnesota Milk was waiting on federal action to keep certain dairy funds in place and described labor compliance as a wage and administrative burden. Pat and Jodi Lunneman later described why they expanded their farm in the 1990s, citing labor efficiency, changing economics, and the need to remain profitable; they said they do not use robotic milkers but do use robotic calf feeders. Pat explained their double-12 parallel parlor, three-shift milking schedule, and the need to keep equipment fully utilized. No votes or formal committee actions were taken during the hearing.

Transcript Highlights:

• Those programs are provided in group settings, so they're not individual education programs.
• For that program, and again, you know, with our mental health block grant, we've had to allocate all
• The Senior Hunger Program, there was an appropriation grant to the agency, but there was no funding attached
• I'm looking at the grants paying account and SNAP program, one for employment and training and the other
• the farmers' market program.

Summary: The committee heard a series of Arkansas Department of Human Services budget presentations and questions, beginning with the Secretary’s Office and then the Division of Aging, Adult and Behavioral Health Services. Staff described the divisions’ appropriations, funding sources, and major programs, including senior centers, Meals on Wheels, mental health grants, substance abuse treatment, community alcohol safety, the Medicaid tobacco settlement program, and crisis stabilization units. Members raised concerns about flat or limited funding for senior services, the use and tracing of federal block grants, the lack of a funding source for the veterans’ mental health grant, and the mechanics of the community alcohol safety and treatment programs. The committee also discussed patient benefits funds at state facilities, transportation for senior center clients, and whether some special-language appropriations or fund balances should be revisited. Executive recommendations were adopted for the divisions considered. The committee then reviewed the Division of Children and Family Services and the Division of County Operations. Questions focused on foster care growth, adoption subsidies, professional fees tied to staff training and onboarding, vacancies, the Children’s Trust Fund, and TANF subgrants. Members asked about the reduction or elimination of TANF funding to child advocacy centers and other subgrantees, and DHS explained that prior reserves had been spent down and that the department was now trying to live within the annual TANF block grant and rebuild reserves. County operations questions also covered summer EBT, SNAP employment and training, the farmers’ market program, and the expected impact of a federal SNAP administrative match change, which DHS estimated would increase state costs by about $24 million annually, with roughly $18 million affecting the current year because the change begins October 1. Executive recommendations were again adopted. Finally, the committee heard from the Division of Developmental Disability Services and the Division of Medical Services. DDS testimony covered vacancies, staffing shortages, human development center construction and repairs, the reopening of the Boonville work training program, and funding for infant infirmary and child/family life programs. Medical Services testimony covered the Medicaid program, the current FMAP rate, the Our Kids B CHIP program, Medicaid payments to schools, nursing home distress funding, and large appropriation lines used to provide flexibility for claims and potential facility closures. Members asked for more detail on school Medicaid payments, reserve balances, and why some appropriations were much larger than actual spending. In each division, the committee moved and adopted Executive REC after questions concluded.