Transcript Highlights:

• 15 years, a couple specific periods of meteoric growth stand out, both immediately following the reduction
• taxing entities Reduce, reduce their property taxes in an equivalent amount and make sure that this reduction
• My hope is that, you know, ultimately, in this case, we'll have, we'll see a reduction in property taxes
• little bit even though some of the cities, the smaller cities will have just an incremental, uh, reduction
• uncontested amount or they can pay the full amount and then receive a refund, uh, if there is a reduction

Transcript Highlights:

• So I see that the agricultural land reduction is a 42% reduction in taxes. Is that purposeful?
• Why is there a larger reduction proposed for agricultural land than homesteads?
• So there's not a specific reasoning for the agricultural reduction being larger than the property tax
• So there's not a specific reasoning for the agricultural reduction being larger than the property tax
• So there's not a specific reasoning for the agricultural reduction being larger than the property tax

Bills: SJR50, SJR51, SJR52, SJR53, SJR54, SJR39, SB1290, HB4028, HB4029, HB4073, HB4074, HB4075, HB4076, HB4077, HB4078, HB1250, HB2951, HB2961, HB3151, HB3581, HB3705, HB3970, HB3972, HB3980, HB3981

Keywords: Medicaid, federal funding, state law, healthcare, low-income adults, Oklahoma Constitution, healthcare regulations, Oklahoma Health Care Authority, permanent rules, joint resolution, OHCA, health care rules, administrative rules, major rule, Title 75, Title 317, Oklahoma Administrative Code, OAC 317:30, health policy, state health programs

Summary: The Senate convened with a quorum, prayer, pledges, and several floor recognitions, including the Doctor of the Day, Psychologist of the Day, and Nurse of the Day. Members also honored the OSBI Cold Case Team for its work on unsolved cases, recognized the 75th anniversary of the American College of Obstetricians and Gynecologists, and welcomed guests for the Prague-Kolache Festival. The chamber then moved into floor action on multiple measures and conference motions. The most significant item was Senate Joint Resolution 39, a property tax constitutional amendment. After extensive debate over the impact on homeowners, seniors, farmers, schools, local governments, and future revenue, the Senate adopted House amendments by a 27-19 roll call and then passed the resolution 40-8. However, the motion to order a special election failed 26-20, so the measure did not advance to a special election call. Senators also rejected House amendments to Senate Bill 2 and Senate Bill 215 and requested conference on both. The Senate passed Senate Bill 1290 unanimously as an emergency measure, and advanced or passed several House bills dealing with ARPA and funding reallocations: HB 4028, HB 4029, HB 4073, HB 4074, HB 4075, HB 4076, HB 4077, and HB 4078. Other approved measures included HB 1250 creating a Public Safety Technology Revolving Fund for local law enforcement grants, HB 2951 renaming Red Rock Prison as the Chief James Smith Correctional Center, HB 2961 creating a Gold Star Survivor tuition benefit, HB 3151 extending the school year to 173 days, and HB 3581 increasing penalties for riot-related offenses. The Senate also took up HB 3705, which would raise the Parental Choice tax credit cap from $250 million to $275 million, but the transcript cuts off during questioning on that bill.

Transcript Highlights:

• It's actually a reduction in government, a reduction in regulation, and I urge you to support it.
• I know it's a reduction and it's meant to speed it up.
• It's actually a reduction in government, a reduction in regulation, and I urge you to support it.
• new license any further discussion I'll get the answer for you representative Carter I know it's a reduction
• The bill also directs the Arizona Commerce Authority to consider price reduction of fuel to be its primary

Keywords: 1182, all

Summary: The meeting covered a long series of bills, mostly in health, education, commerce, federalism, and government. In health, members discussed radiology technology updates (HB 2050), a tribal Medicaid waiver/drawdown measure with no state cost (HB 2177), an emergency medicine study committee (HB 2183), fetal death certificate and remains-transfer requirements (HB 2184), a physician assistant licensure compact (HB 2190), dementia care telemonitoring funding (HB 2202), SNAP error-rate reduction and fraud/eligibility oversight bills (HB 2206, HB 2442, HB 2797), child welfare protections like credit freezes and recorded interviews (HB 2321, HB 2322), and podiatric licensure compacts (HB 2438). Several of these were described as consent-calendar items, while HB 2206 and the SNAP-related measures drew discussion about fraud reduction, administrative burden, and work requirements. In commerce and finance, the committee heard bills on mobile food vendors and local permits (HB 2118), earned wage access services with fee caps and disclosure rules (HB 2309), CPA licensure changes (HB 2476), cash acceptance for retail purchases under $100 (HB 2555), drone delivery and unmanned aircraft guardrails (HB 2875), timeshare salesperson licensing (HB 2877), and a prohibition on state-mandated social credit scoring in lending decisions (HB 2903). The tax and retirement-related items included 529 plan conformity and Roth IRA transfer rules (HB 2477), annual tax conformity to the Internal Revenue Code (HB 2785), ASRS technical and disability-related changes (HB 2089, HB 2090, HB 2092), and a bill on employee health insurance definitions (HB 2089). The Arizona Commerce Authority bill (HB 2754) would add legislative members to the board and shift more control over trade offices and Arizona Competes Fund spending to the legislature. The education section focused heavily on school governance and finance. Bills included patriotic youth group presentations in schools (HB 2312), school board term limits (HB 2318), mandatory training for governing board members (HB 2379), independent municipal advisors for bond elections (HB 2320), restrictions on districts buying operating charter/private school sites to game enrollment formulas (HB 2376), conflict-of-interest limits for school facilities board architects and engineers (HB 2378), public meeting and travel transparency rules for districts (HB 2380), limits on long-term school property leases and reporting requirements (HB 2384), tighter bidding rules for school construction job orders using Building Renewal Grant funds (HB 2482), and a voluntary computer science proficiency seal (HB 2764). Sponsors repeatedly framed these as transparency, accountability, and anti-abuse measures, while some opposition centered on local flexibility, housing use, and existing training providers. In federalism and government, the committee heard bills to give counties more time to mail sample ballots (HB 2006), require courts to identify veterans at first appearance for possible veterans court referral (HB 2226), study veterans’ awareness of benefits (HB 2406), broaden military leave protections (HB 2663), require SAVE verification for voter registration and certain state services (HB 2806), require U.S.-sourced voting machine components by 2029 (HB 2901), affirm the Electoral College (HB 2902), and establish due process protections for justice of the peace courts against outside administrative action (HB 2976). Government committee items included a later deadline for library trustees’ annual reports (HB 2129), a two-year limit on certain adult protective services reports to the Attorney General (HB 2228), and an exemption for public and semi-public cold plunges from ADEQ spa rules (HB 2439). Several bills were reported as consent-calendar items, and a number of sponsors noted committee votes, fiscal neutrality, or favorable testimony in support of the measures.

Transcript Highlights:

• Leading contributors to the reduction are focused in agriculture, forestry, fishing, mining, and oil
• In addition to the reductions of H.R. 1 to federal business tax and our conformity with those, there
• is another $44 million reduction.
• Before H.R. 1, we had the Inflation Reduction Act of 2022, which raised the federal royalty rate.
• Do you see any reductions?

Transcript Highlights:

• And now we have to make some decisions and make reductions where we see inefficiencies.
• We have to make reductions where we're not being utilizing the resources of the state and put them where
• And now we have to make some decisions and make reductions where we see inefficiencies.
• And now we have to make some decisions and make reductions where we see inefficiencies.
• And now we have to make some decisions and make reductions where we see inefficiencies.

Keywords: 1183, house

Transcript Highlights:

• And importantly, these deals, there's no evidence that there's been actual rent reductions.
• , and then they have... ...substantiate 50% of the property tax savings as rent reduction, and then they
• And it also requires that the total amount of rent reduction that is below the prevailing market rate
• deals are being marketed on Wall Street as Goldilocks and exemptions up to 99 years without any reduction
• One is the insertion of a requirement that the total amount of rent reduction must be equal to or greater

Summary: The Senate convened with a quorum, offered an invocation, approved the previous day’s journal, and received a House message announcing passage of HB 4 on public school accountability and assessment. The chamber also recognized the Doctor of the Day, adopted SR 520 honoring Rosser Coke-Newton Sr. for his biography of former Governor Richard Coke, and adopted SR 518 recognizing Texas Moral Injury Awareness Day, with remarks focused on the impact of moral injury on veterans and first responders. The Senate later adopted SR 395 honoring the ninth class of Governor William P. Clements, Jr. Scholars, and several other resolutions were adopted by voice vote, including college savings awareness recognition and other member-sponsored recognitions. The body then took up several bills and resolutions on the floor. HB 3307, allowing online continuing education for arbitrators in property tax appeals, passed unanimously after suspension of the rules and the three-day rule. HB 913, renaming and reorganizing certain state hospitals, and HB 2970, governing the Gulf Coast Protection District and coastal barrier design, also passed unanimously. HJR 1 and HB 9 advanced a proposed constitutional amendment and statutory change to raise the business personal property tax exemption from $2,500 to $125,000; both measures passed, with HJR 1 receiving one no vote and HB 9 passing unanimously after a clarifying amendment. The Senate also passed HB 1151, which limits child removals and termination of parental rights based solely on parental medical treatment decisions, and HB 116, which revises grounds for involuntary termination of the parent-child relationship by removing the “O grounds” and requiring support from financially able parents whose rights were terminated. HB 1899 lowered the age for pyrotechnic operator licenses and fireworks display permits from 21 to 18. SB 1285, as amended, passed to protect bats by prohibiting entombment while preserving removal options from unoccupied spaces, and SB 2847 passed to promote innovations in core curriculum for faster bachelor’s degrees. On criminal justice, SJR 87, a proposed constitutional amendment requiring denial of bail for certain repeat violent felony offenders, passed after two floor amendments clarifying due process and representation language; Senator Eckhardt spoke against it on final passage, arguing it lacked judicial discretion and a clear-and-convincing standard. SB 3073, requiring magistrates to make written findings in certain criminal proceedings, also passed. Later, SB 128, requiring hospitals to report suspected child abuse-related information to HHSC, advanced on a divided vote, and SB 2619 and SB 2972 passed on public school accountability and expressive activities at public colleges, respectively, with Senator Eckhardt opposing SB 2972 as too restrictive on campus protest rights. The chamber also heard extended debate on HB 21, targeting “traveling” housing finance corporations and their use of tax exemptions for apartment projects, with supporters arguing it curbs abuse of the tax code and critics warning about unintended effects on affordable housing; the discussion continued with questions but no final action shown in the excerpt.

Transcript Highlights:

• the housing initiatives as we just talked about, but why those areas were selected for shifts or reductions
• the housing initiatives as we just talked about, but why those areas were selected for shifts or reductions
• the housing initiatives as we just talked about, but why those areas were selected for shifts or reductions
• We have seen a significant reduction in overtime.
• We have seen a significant reduction in overtime.

Bills: HF3006, HF2130, HF1290

Keywords: Department of Corrections, DOC, corrections budget, supplemental appropriation, deficiency funding, public safety finance, incarceration, prerelease services, community supervision, postrelease services, supervised release, probation, reentry, reentry services, prison reform, body-worn cameras, corrections officer cameras, ARMER radio system, PREA, Prison Rape Elimination Act

Transcript Highlights:

• Now when we work in the forest ecosystem and specifically looking at um fuel reduction, fire prevention
• ,<00:21:32.559> fire looking at um fuel reduction, fire looking at um fuel reduction, fire
• So about $100,000 from another timber sale was put down to get this fuels reduction work done around
• work done around the reduction work done around the reservoir.<00:23:54.960> Um<00:23:55.280>
• fuels reduction projects. fuels reduction projects.

Bills: SF0069, SF0070, SF0016, HB0078, HJ0002, HB0085, HB0086

Keywords: wastewater, stormwater, infrastructure, environmental quality, public data, data collection, funding, study, water development, irrigation, public works, agricultural supply, municipal water, grazing lands, subleasing, non-owned livestock, state lands, rental fees, agricultural policy, land management

Transcript Highlights:

• Members, I'll cover the new spending in the bill, and Co-Chair Schumacher will cover the reductions.
• In this bill, we focused on actual spending reductions.
• There are some automatic reductions that happen in this.
• The reductions are from care-related expenses areas. So when Governor Walz...
• We focus on spending reductions in program integrity.

Transcript Highlights:

• We do a back-of-the-budget reduction and we restore the IT budget.
• <00:47:59.119> which the 3% Medicaid rate reduction which the 3% Medicaid rate reduction which
• So there was actually no real money change in the operating budget for that reduction.
• There was no budget for that reduction. There was no action there.
• So another reduction of 91 91.2. Yes.

Keywords: 1191, senate, all

Transcript Highlights:

• <00:12:04.240> in also made some slighter reductions in also made some slighter reductions
• I know the court has had some reduction in things that are filed there, which is a reduction in funds
• <01:28:53.600> in know the court has had some reduction in know the court has had some reduction
• Have you seen a reduction in cases filed since that's been law?
• c> to<01:37:55.920> current We also made reductions to current We also made reductions to

Keywords: 1191, senate, all

Transcript Highlights:

• course, subsidizing fossil fuel-burning equipment runs directly contrary to the state's emission reduction
• proportionately to environmental justice populations and mandates compliance goals tied to our emissions reduction
• no longer rely on the innovative funding provided by the federal government under the Inflation Reduction
• can no longer rely on the innovative funding provided by federal government under the Inflation Reduction

Keywords: 995, all

Summary: The Joint Committee on Telecommunications, Utilities and Energy held a hearing on grid transmission and distribution, green financing, environmental justice, renewable portfolio standards, and clean energy workforce policy. Testimony on H. 352/S. 2268 focused on eliminating or scaling back the Alternative Energy Portfolio Standard, with Green Energy Consumers Alliance arguing it costs ratepayers about $30 million annually and largely subsidizes fossil-fuel combined heat and power, biodiesel blending, and woody biomass. Committee members raised concerns that a full repeal could affect heat pumps and solar thermal projects that currently receive APS credits, and the witness acknowledged those technologies are the strongest part of the program but said Mass Save would be a better home for them. Renew Northeast supported H. 3497 on renewable portfolio standard review and clean energy procurements, but urged an indexed renewable energy credit model like New York’s rather than an attribute-only arrangement, arguing it would reduce financing risk and consumer costs. Vote Solar and Senator Liz Miranda testified in support of H. 3540/S. 2303 on clean energy equity, saying environmental justice communities and renters receive too few benefits from clean energy spending and need stronger tracking, tenant protections, and measurable benefit allocation. Miranda described long-standing environmental harms in Roxbury and called for data and accountability to ensure benefits reach environmental justice communities. A major portion of the hearing was devoted to H. 3475/S. 2276 on just transition and clean energy workforce standards. Labor representatives from the pile drivers, building trades, electrical contractors, SEIU, United Steelworkers, the AFL-CIO, and Climate Jobs Massachusetts Action backed the bill, emphasizing prevailing wage, project labor agreements, apprenticeship requirements, workforce transition plans, and protections for gas workers and other fossil-fuel employees as the state shifts to clean energy. They argued the bill would create family-sustaining jobs, support training, and prevent workers from being left behind during the transition. The hearing concluded after all sign-ups were heard, and the committee voted to close the hearing.

Transcript Highlights:

• That would then also get a premium reduction for those homes, as well.
• /c> So, that would then also um get a So, that would then also um get a premium<00:03:42.239> reduction
• c> about<00:03:43.760> for<00:03:43.959> those<00:03:44.600> um premium reduction
• for about for those um premium reduction for about for those um homes,<00:03:45.400> as<00:03

Keywords: 919, house, all

Summary: House File 4223 was presented as an appropriation to implement and jump-start the Strengthening Our Homes program enacted in 2023. Rep. Elkins said the goal is to help homeowners strengthen roofs using standards promoted by the Insurance Institute for Business and Home Safety, citing other states such as Alabama as examples where hardened homes performed better in major storms. He emphasized rising homeowners insurance costs, especially for affordable apartments, older condo buildings, and seniors on fixed or limited incomes, and said the grants would help people who may not have the upfront cash to make improvements. Committee members generally supported the concept, describing it as a way to reduce storm damage and lower insurance premiums. One member highlighted that the income threshold for grant eligibility could reach a large share of Minnesota homeowners and potentially harden nearly a million homes, while another noted the program’s focus on lower-income households. A Commerce Committee discussion was referenced in which an alternative approach was raised: tax incentives, including possible sales tax relief, for materials and labor used to harden homes against hail and other weather risks. Rep. Elkins responded that labor is an important part of the cost and that many potential beneficiaries are seniors with little taxable income, making a grant program more practical than a tax-based incentive. Another member agreed the upfront cost is a major barrier and said the grant design appears thoughtful. No vote was taken; the bill was laid over for further discussion.

Transcript Highlights:

• Two years ago, following the reforms, we saw a reduction in the cost of reinsurance on a risk-adjusted
• Reinsurance costs are passed directly onto consumers, so if you see that reduction, you would see that
• And that is on top of significant rate reductions across the entire private passenger auto space.
• We're seeing substantial post-reform reductions taking place in one case with just one company to the

Summary: The Senate Committee on Banking and Insurance convened with a quorum present, and Commissioner Michael Yaworsky of the Office of Insurance Regulation delivered a broad update on Florida’s property insurance market. He outlined the division of responsibilities between OIR and the Department of Financial Services, then reported market indicators including 7.61 million residential policies in force, an average premium of $2,755, 1.5 million Citizens takeout approvals, and recent negative trends in homeowners rate requests. He credited recent legislative reforms, especially tort reform and the Insurer Accountability Act, with improving market stability, increasing competition, and allowing the office to conduct more examinations and investigations, recover consumer restitution, and fine insurers for misconduct tied to recent hurricanes. Yaworsky emphasized that Citizens Property Insurance has been rapidly depopulating from its 2022 peak and may fall below 300,000 policies, while cautioning that over-depopulation could create residual-market risks and assessments if a major storm hits. He also discussed the distinction between admitted and surplus lines markets, the role of reinsurance in Florida pricing, and the effect of inflation on total insured values and premiums. He said Florida has seen comparatively modest property rate increases relative to other states and noted that recent hurricanes did not produce the kind of rate spikes seen in prior years, which he attributed to a more stable market and reduced fraud and litigation pressure. In response to a question from Senator Martin, Yaworsky explained that California’s wildfire crisis and regulatory structure are not a direct one-to-one comparison for Florida, but that California’s market problems can affect global reinsurance capacity and serve as a cautionary example of regulatory missteps. He also highlighted a recent Progressive auto insurance excess-profits refund of about $1 billion to policyholders, discussed possible federal changes to the National Flood Insurance Program, and urged greater home resiliency and code-plus adoption. The commissioner closed by calling for clearer consumer disclosures and responsible oversight of AI use in insurance filings. No bills were considered and no votes were taken; Senator Hooper moved to adjourn, and the committee adjourned without objection.

Transcript Highlights:

• The dynamics will... ...be defined in November of 2026 when the public goes to vote on reduction of property
• issues for Floridians, it is very difficult for local governments when they are facing potential reductions
• increase in expenditures. [00:17:05] The speaker said that, as local governments face potential reductions
• by cities, meaning only 7% were municipal claims bills. [00:19:35] The speaker said the workload reduction

Summary: The Civil Justice and Claims Subcommittee considered HB 145, by Rep. McFarland, which would raise Florida’s sovereign immunity caps from $200,000 per person and $300,000 per incident to $500,000 and $1 million, with a future inflation-based increase, extend the time to bring claims, and allow local governments to settle claims above the cap without a claims bill. McFarland argued the bill modernizes an outdated system and helps injured people obtain compensation more fairly and efficiently, while preserving sovereign immunity. Several members spoke in support during debate, saying the bill better balances government accountability and victims’ rights and that current caps have not kept pace with inflation and damages. Public testimony was largely in opposition. Local governments, counties, cities, insurance groups, and school-related organizations warned the bill would significantly increase liability exposure, insurance premiums, and taxpayer costs, especially for small and rural governments and school districts. Opponents also objected to the provision allowing settlements above the cap without legislative action, saying it would weaken the cap and increase litigation and costs. Supporters countered that injured people often wait years for claims bills and that governments should be able to resolve meritorious claims directly. After debate, the committee voted 16-1 to report HB 145 favorably, with Rep. Lopez voting no. The meeting then adjourned.

Transcript Highlights:

• So AB 60, the Musk Reduction Act. It's all about having a little less musk in the environment.
• And these ingredients show, demonstrably, that there are. are several log reductions of bacteria on the
• Now for the consumer product, the FDA has said that they want to see the actual disease reduction, not
• just a surrogate endpoint like bacterial log reduction, right?

Keywords: 988, house, all

Transcript Highlights:

• That represented about $4.5 trillion in net tax cuts, offset by $1.1 trillion in net spending reductions
• in federal funds programs, reductions in federal funds trigger<00:27:02.400> increases<00:27:
• funding reductions in HR 1. funding reductions in HR 1.
• So, for even a 10% reduction in SNAP support, that would result in us needing to essentially double our
• <01:29:44.040> for<01:29:44.160> public reductions in federal support for public reductions

Keywords: 1187, senate, all

Transcript Highlights:

• Next, on line 92 in the insurance division, there is a reduction of a fiscal year 26 base amount
• of about 1.1 million a year, a reduction of about 1.1 million a year, a workers<00:24:34.320> comp
• <00:24:38.799> and<00:24:39.039> the 215,000 a year uh reduction and the 215,000 a
• of a fiscal year division is a reduction of a fiscal year 26<00:24:57.760> base<00:24:58.080>
• Those three lines add up to the reduction, and those amounts will be gone from the base here.

Keywords: 1187, senate, all

Transcript Highlights:

• It establishes the community fuels reduction project to be administered by the Department of Land and
• It establishes the community fuels reduction project to be administered by the Department of Land and
• terms of the community fuels Reduction terms of the community fuels Reduction Program<00:40:55.960
• <00:41:30.319> projects<00:41:30.680> on uh these fuel reduction projects on uh these
• fuel reduction projects on their<00:41:31.079> lands<00:41:31.599> with<00:41:31.839><

Keywords: 912, senate, all

Summary: The committee first took up SB 534, a measure concerning development in Kakaʻako Makai involving the Hawaii Community Development Authority and the Office of Hawaiian Affairs. The chairs explained that the hearing was decision-making only and no testimony would be accepted, though members could ask clarifying questions. The chair outlined amendments to clarify HCDA’s approval process, require an environmental impact statement before residential development proposals are submitted, require Department of Health documentation on hazardous substances, and specify that only OHA-owned parcels would be eligible for certain residential development with a 400-foot height limit and maximum floor area ratio of 10.0. The amendments also addressed affordability, owner-occupancy, association fees, and a special fund, while noting Attorney General concerns that the fee could be construed as a tax and suggesting further review by Judiciary and Ways and Means. Members discussed the affordability threshold, with one senator suggesting 160% AMI instead of 140% due to high housing costs and concern that essential workers could be priced out. Others raised concerns about Native Hawaiian affordability, the long-term effect of perpetuity restrictions, and whether the process would protect OHA’s interests. An HCDA representative said 140% AMI was used in existing reserve housing rules and that lower thresholds could make development economically infeasible. OHA and other supporters said the proposal was still early in planning and emphasized the need for public hearings, community input, and compliance with environmental and remediation standards. The committees voted to pass SB 534 with amendments: Water and Land approved it 4-1, and Hawaiian Affairs also adopted the chair’s recommendation, with one member excused and one voting no. The meeting then moved to SB 3, relating to water resource management. The bill would authorize the Commission on Water Resource Management to retain independent legal counsel, create an executive director position, allow challenges to emergency orders under certain conditions, establish fines for water use offenses, and revise emergency and shortage declaration procedures; Red Hill-related provisions were noted as removed from this version. Testimony was largely supportive, including from DLNR, the Board of Water Supply, OHA, and Sierra Club, with OHA stressing the measure’s importance to Native Hawaiian water rights and past litigation. A Department of Hawaiian Home Lands representative supported the bill with amendments and recommended explicit language directing the commission chair or designee to advocate for water rights and reservations for homelands. The chair indicated the committees would use the prior Senate-passed version as the basis for further action, and the discussion then moved on to SB 130, a search-and-rescue reimbursement bill.

Transcript Highlights:

• We're definitely concerned about the hospitals, um, especially our rural hospitals, but any reduction
• in benefits, any reduction in provider reimbursement is definitely going to be detrimental to the state
• rural hospitals, but any any reduction rural hospitals, but any any reduction in<00:21:26.840>
• > benefits,<00:21:27.360> any<00:21:27.520> reduction<00:21:28.080> in<00:21
• :28.680> uh in benefits, any reduction in uh in benefits, any reduction in uh provider<00:21:29.240

Keywords: 958, all

Summary: The Budget Review Subcommittee for Health and Family Services met for its first meeting, established quorum, and heard a presentation from Department for Medicaid Services Commissioner Lisa Lee and CFO Steve Becktold. The department reviewed its compliance with House Bill 695, which requires legislative approval before certain Medicaid eligibility, service, benefit, or waiver changes, along with fiscal impact reporting to the Legislative Research Commission. They described current waivers, including home and community-based waivers, managed care and transportation waivers, and the 1115 re-entry waiver, and said the community engagement waiver is in public comment and on track for submission to CMS. They also said required reports and other HB 695 tasks, including a pharmacy rebate fund, budget analyses, expenditure reports, and a behavioral health scorecard, are underway or completed as required. The CFO outlined Medicaid’s budget, saying the department has two appropriation units and projecting near-full use of state funds while leaving some federal funds unspent because of matching-rate differences. They reported roughly 211 filled positions and 11 vacancies. Members asked about the vacancy makeup, the behavioral health scorecard, and whether a provider involved in quality metrics could have a conflict if used in the scorecard process; the department said it would follow up. Members also asked about the community engagement waiver and its interaction with federal policy, and the department said CMS guidance is still pending and that it will proceed under HB 695. A substantial portion of the discussion focused on federal Medicaid policy changes under a reconciliation bill, including possible limits on provider taxes, directed payments, cost-sharing, and community engagement requirements. Department officials said the final federal impact is still uncertain because the Senate bill is not finalized, but they have modeled several scenarios and warned that any reduction in federal support or benefits would be harmful, especially for hospitals and rural hospitals. They estimated Medicaid benefits are funded about 80% federal and 20% state overall, with expansion populations closer to 90% federal funding, and said administrative costs would also rise if federal requirements change. Members also asked about work requirements and eligibility. The department said the community engagement waiver would mainly affect the expansion population, which they estimated at about 450,000 people out of roughly 1.5 million total Medicaid enrollees, and that many groups are exempt, including children, the aged, blind, disabled, and people in substance use disorder treatment. Officials said they can provide data on how many enrollees are working or work-ready and explained that their eligibility system is designed to prevent duplication by automatically placing people in the correct category and correcting errors quickly. They also noted a federal proposal to require expansion eligibility reviews every six months, compared with current annual renewals.