Transcript Highlights:

• >> I'm a manager. >> So, you're supposed to say member. >> I'm a manager. >> The managing us. >> That's
• >> I'm a manager. >> So, you're supposed to say member. >> I'm a manager. >> The managing us. >> That's
• </c> &gt;&gt; So, I'm saying manager. &gt;&gt; So, I'm saying manager.
• &gt;&gt; I'm a manager.
• </c> &gt;&gt; The managing us. &gt;&gt; The managing us.

Bills: HB2241 , HB1163 , HB1514 , HB1696 , HB2021 , SB2135 , SB2466 , SB2727 , SB3082 , SB3097 , SB2861 , SCR100 , SB3096 , SB99 , SB2138 , HB2289 , HB2319 , HB1711 , HB2270 , SB3138 , SB3076 , HB1642 , HB2338 , HB2171 , HB1785 , SB2881 , HB2505 , SB2552 , HB1518 , HB1815 , SB3125 , SB3234 , SCR162 , SB2614 , SB3118 , SB2053 , SB2494 , SB2851 , SB3073 , HB1678 , HB1721 , HB2475 , HB2246 , HB1667 , HB1516 , SB2532 , SB3131 , SB3154 , HB2297 , HB1737 , SB2143 , SB2398 , SB2623 , HB1740 , HB1920 , HB1682 , SB2153 , SB3140 , HB2158 , HB1718 , HB2207 , HB1801 , SB3229 , SB2338 , SB3069 , SB2600 , HB2300 , HB1800 , HB1960 , SB2999 , SB2060 , SB2866 , SB2239 , HB1741 , HB1713 , HB2023 , HB2417 , SB2877 , SB2598 , SB2921 , SB2645 , HB2547 , HB2275 , HB2452 , HB2329 , HB2339 , HB1838 , HB1509 , HB1661 , HB2271 , HB2272 , HB2344 , HB1888 , HB1707 , SB2340 , HB2474 , HB1576 , HB1853 , HB1804 , HB1854 , HB2095 , HB2050 , HB472 , SB3215 , SB2247 , SB2400 , HB1618 , HB1802 , HB1969 , HB1541 , HB2310 , HB2498 , HB2443 , HB2218 , HB649 , HB2104 , HB1710 , SB2802 , HB1973 , HB1974 , HB1894 , HB1891 , HB1890 , SB177 , SB2101 , SB3320 , SB2487 , HB2429 , HB1870 , HB1839 , HB2583 , HB1391 , HB2094 , SB2671 , SB2673 , SB2892 , SB2057 , SB3245 , HB306 , HB2592 , SB3157 , SB3204 , SB3324 , SB2580 , SB2074 , SB411 , SB3025 , SB2934 , SB2567 , SB2125 , SB3238 , SB2367 , SB2599 , SB3007 , SB2001 , SB2756 , SB3029

Transcript Highlights:

• Carroll County, 2024, under the airport manager.
• I'm airport manager for Carroll County, Arkansas.
• There were some back things I was trying to work out from previous managers.
• Arkansas code requires accounting management to maintain adequate financial records.
• Arkansas code requires accounting management to maintain adequate financial records.

Committee: All LEGISLATIVE JOINT AUDITING-COUNTIES AND MUNICIPALITIES

Transcript Highlights:

• However, we manage it closely because we recognize that this is a constraint that the legislature has
• Johnson, we remain absolutely committed to the conversation about this claims predator.
• And I would say that in addition to those particular issues, it's case management and outreach.
• I will stay my hat on that claim. So thank you, Mr. Chair, and I'll renew my motion for this bill.
• The fiscal note associated with this is very minimal, approximately $8,000, which is manageable.

Committee: House Veterans and Military Affairs Division

Transcript Highlights:

• It provides relative to Medicaid managed care, to provide for an independent claim review process, to
• Claim denials through the same independent dispute resolution process used by the Medicaid managed care
• for 60 individuals in the community, with two case managers directly servicing them.
• Lonnie Granier, Policy and Advocacy Manager for Odyssey House, Louisiana.
• Unity, for example, they claim a success rate of 95 percent, the highest in the country.

Bills: HB414 , HB457 , HB475 , HB611 , HB616 , HB740 , HB897 , HB925 , HB926 , HB931 , HB949 , HB962 , HB1076

Committee: House Health and Welfare

Keywords: healthcare, criminal convictions, employment, background checks, prohibited offenses, consent, recording, artificial intelligence, patient rights, pregnancy help centers, healthcare services, licensure, Department of Health, medical services, counseling, regulatory compliance, public health, healthcare data, privacy, pregnancy services

Transcript Highlights:

• state agencies to participate in a workshop about insect identification, ecology, monitoring, and management
• memorial is needed to help biologists at the Department of Game and Fish, as well as other land management
• We also know we have pests and all these other issues, but integrated pest management is where it's at
• So, Madam Chair and members of the committee, we leave all management decisions to the experts to say
• Madam Chair, members of the committee, we will leave the management decisions up to the experts.

Bills: SB154 , SB187 , SB193 , SM3

Committee: Senate Senate Conservation

Summary: The Senate Conservation Committee first took up Senate Memorial 3, presented by Senator O’Malley on behalf of Senator Bergman and a group of Rio Doso High School students and Wild Friends. The memorial asks state agencies to participate in a no-cost workshop on insect identification, ecology, monitoring, and management, and to help educate the public about insects. Students, conservation specialists, and an entomologist testified that insects are essential to pollination, ecosystems, agriculture, and biodiversity, while also noting declining insect populations and the need for more public understanding. Some senators raised concerns about the memorial’s wording, including whether it should be broadened from insects to arthropods and whether the Department of Agriculture, rather than Game and Fish, should be involved. The committee discussed timing and implementation, and the sponsor agreed to work on amendments. The memorial passed on a due pass motion by a vote of 8-0, with one excused. The committee then heard Senate Bill 154, which would require wildfire-related homeowners coverage to include flood damage caused by post-fire conditions for a five-year period. Senator Duhigg and the Office of the Superintendent of Insurance argued the bill responds to the Ruidoso fires and subsequent flooding, noting that many homes were destroyed by mudslides and that flood insurance is often unavailable or inadequate. Supporters, including Ruidoso officials, affected residents, and attorneys, said the bill would help homeowners recover from cascading wildfire and flood losses. Opponents from the insurance industry and business groups warned the bill would be an outlier, could significantly raise premiums, and might reduce availability of homeowners insurance statewide. Committee members questioned how the mandate would work, whether it should be optional, and how costs would be allocated. The bill passed on a 5-4 vote. Finally, the committee briefly heard Senate Bill 187, which appropriates $202,000 from the general fund to the New Mexico Finance Authority’s Water Project Fund for future water projects authorized by the legislature. The Finance Authority said the funding would help address a gap between available money and the 113 recommended projects, totaling about $522 million, including water conservation, flood prevention, storage, wastewater, and watershed projects. Members asked for more detail on the locations and types of projects, and the Finance Authority said it would provide the list from the companion authorization bill. The committee then moved the bill forward on a do pass motion.

Transcript Highlights:

• Chapman, the director of the Office of Financial Management, here to present.
• I'm the Director of the Office of Financial Management.
• I manage Foss Harbor Marina in Tacoma, and I live in the 29th Legislative District.
• managers at L&I, without whom there would be no workers' compensation benefits.
• The governor's budget proposed increase includes a proviso around the DCYF claims.

Bills: HB2289

Committee: House Appropriations

Keywords: appropriations, budget, fiscal matters, state spending, general fund, supplemental budget, biennial budget, substitute bill, public defense, civil legal aid, courts, judicial branch, homelessness, supportive housing, affordable housing, behavioral health, juvenile rehabilitation, youth services, child welfare, foster care

Transcript Highlights:

• RODNEY HARRIS, ACCOMPANIED BY HIS CITY MANAGER.
• BENSON AS WELL AS THE ASSISTANT CITY MANAGER, CITY MANAGER NELSON FROM THE CITY OF MIAMI GARDENS.
• THERE ARE 241,600 CLAIMS CLOGGED BEHIND THAT.
• THE SOVEREIGN IMMUNITY CLAIM.
• THIS IS A SETTLED JUDGMENT CLAIM.

Bills: SJR39 , SB22 , SB30 , SB33 , SB34 , SB37 , SB75 , SB209 , SB310 , SB505 , SB552 , SB618 , SB626 , SB636 , SB732 , SB747 , SB762 , SB769 , SB819 , SB825 , SB870 , SB926 , SB964 , SB1030 , SB1080 , SB1099 , SB1124 , SB1177 , SB1208 , SB1233 , SB1314 , SB1325 , SB1333 , SB1405 , SB1455 , SB1506 , SB1524 , SB1541 , SB1577 , SB1579 , SB1596 , SB1646 , SB1667 , SB1727 , SB1750 , SB1758 , SB1760 , SB1791 , SB1804 , SB1806 , SB1869 , SB1923 , SB1927 , SB1951 , SB1960 , SB1962 , SB2023 , SB2024 , SB2056 , SB2078 , SB2122 , SB2129 , SB2180 , SB2183 , SB2185 , SB2207 , SB2252 , SB2361 , SB2365 , SB2368 , SB2405 , SB2411 , SB2420 , SB2425 , SB2569 , SB2717 , SJR36 , SJR50 , SJR39 , SJR63 , SJR68 , SCR12 , SCR39 , SCR38 , SCR37 , SCR42 , SCR29 , SB762 , SB1596 , SB62 , SB666 , SB847 , SB284 , SB854 , SB1073 , SB810 , SB1539 , SB1505 , SB583 , SB957 , SB1502 , SB507 , SB1026 , SB1349 , SB1433 , SB1434 , SB310 , SB505 , SB264 , SB1364 , SB1376 , SB1585 , SB1772 , SB2016 , SB1163 , SB619 , SB1122 , SB1877 , SB732 , SB731 , SB397 , SB508 , SB1333 , SB1436 , SB964 , SB287 , SB2143 , SB261 , SB1247 , SB1882 , SB618 , SB393 , SB2243 , SB2226 , SB1919 , SB1791 , SB22 , SB651 , SB1080 , SB826 , SB1079 , SB1243 , SB1504 , SB1851 , SB1879 , SB2237 , SB1257 , SB2034 , SB1522 , SB1151 , SB596 , SB1191 , SB226 , SB570 , SB870 , SB991 , SB60 , SB1401 , SB1728 , SB586 , SB529 , SB217 , SB209 , SB1923 , SB1839 , SB387 , SB1874 , SB1872 , SB1873 , SB1921 , SB1883 , SB1620 , SB1838 , SB2024 , SB2429 , SB1999 , SB511 , SB2309 , SB2166 , SB510 , SB33 , SB2420 , SB1860 , SB1541 , SB1314 , SB1398 , SB1869 , SB1750 , SB855 , SB1233 , SB2425 , SB2037 , SB1758 , SB1759 , SB2365 , SB1924 , SB1818 , SB1405 , SB1762 , SB1968 , SB1977 , SB2077 , SB2321 , SB1662 , SB1663 , SB2124 , SB2204 , SB1855 , SB863 , SB37 , SB819 , SB2078 , SB2252 , SB1962 , SB2253 , SB825 , SB1577 , SB1184 , SB2018 , SB2206 , SB1901 , SB1030 , SB2368 , SB1963 , SB1960 , SB1643 , SB1625 , SB1299 , SB841 , SB668 , SB584 , SB231 , SB2411 , SB1085 , SB2431 , SB2231 , SB1490 , SB530 , SB34 , SB1261 , SB552 , SB1099 , SB1646 , SB2180 , SB1804 , SB1937 , SB1936 , SB2569 , SB1372 , SB1208 , SB1124 , SB1506 , SB1806 , SB1868 , SB2361 , SB2314 , SB769 , SB1409 , SB2122 , SB434 , SB1214 , SB1951 , SB2183 , SB2046 , SB1667 , SB1870 , SB1727 , SB2405 , SB2127 , SB1975 , SB1760 , SB1734 , SB1335 , SB2066 , SB2129 , SB2246 , SB2439 , SB1624 , SB1244 , SB1468 , SB2717 , SB1612 , SB1262 , SB604 , SB2395 , SB2185 , SB1832 , SB1745 , SB1746 , SB2207 , SB2023 , SB1784 , SB1524 , SB626 , SB528 , SB437 , SB269 , SB1137 , SB968 , SB636 , SB747 , SB1325 , SB1789 , SB1455 , SB2056 , SB75 , SB1940 , SB2052 , SB1927 , SB2010 , SB1579 , SB2068 , SB3034 , SB844 , SB1920 , SB1177 , SB1558 , SB1236 , SB1044 , SB926 , SB884 , SB463 , SB331 , SB227 , SB240 , SB517 , SB1200 , SB1410 , SB1626 , SB1845 , SB1863 , SB2216 , SB2681 , SB1717 , SB2053 , SB546 , SB2141 , SB2949 , SB2323 , SB2200 , SB2332 , SB2199 , SB1642 , SB1150 , SB1757 , SB2050 , SB1138 , SB2051 , SB2626 , SB2458 , SB1864 , SB30 , SB2201 , SB1862 , SB1583 , SB1583 , SB1055 , SB2660 , SB1898 , SB2662 , SB2662 , SB2161 , SB2161 , SB2964 , SB2881 , SB1065 , SB1065 , SB801 , SB2743 , SB2533 , SB2533 , SB1413 , SB1413 , SB1 , SB34 , SB310 , SB819 , SB1030 , SB1124 , SB1208 , SB1233 , SB1333 , SB1405 , SB1541 , SB1750 , SB1758 , SB1869 , SB2078 , SB2365 , SB2411 , SB762 , SB33 , SB37 , SB505 , SR402 , SR409 , SB2695 , SB2695

Transcript Highlights:

• Ma'am, since sometimes claims are trailing, well, often usually if a claim from this biennium came in
• Ma'am, since sometimes claims are trailing, well, often usually if a claim from this biennium came in
• <00:25:11.919><c> from</c><00:25:12.320><c> this</c> claims from this claims from this bianium<00:25:
• And in of money is meant to manage that.
• So, I BTLA and and how that's managed.

Committee: Senate Finance

Transcript Highlights:

• regulated AI in mental health care, with chatbots empowered by AI algorithms on the market actually claiming
• like '24-7 AI therapists, always at your fingertips,' or 'AI therapy is in your pocket,' and even claim
• Local governments should not be forced to manage the 2026 curb with 2006 tools.
• You know, the so-called gig workers are the ones that are probably the most managed by algorithms.
• I don't think that this is a controversial claim among computer scientists.

Summary: The committee heard several bills focused on AI, privacy, and surveillance. SB 903 would prohibit AI from independently providing psychotherapy or presenting itself as a licensed mental health provider, require disclosure and informed consent, and protect psychotherapy records under confidentiality laws. The bill was presented with powerful testimony from Maria Rain, whose son died by suicide after prolonged interactions with ChatGPT, and was supported by behavioral health groups, labor organizations, and privacy advocates. Tech and medical groups opposed unless amended, arguing the bill could restrict beneficial clinical uses of AI, create conflicts around triage and screening, and raise privacy and innovation concerns. The committee voted 4-0 to send SB 903 to Appropriations. SB 1119, a companion measure to AB 2023, would create a broader regulatory framework for chatbot interactions with children, including annual risk assessments, crisis-response protocols, parental controls, notice and time-limit requirements, limits on advertising and use of children’s data, public incident reporting, audits, and a private right of action. Maria Rain again testified in support, describing how ChatGPT allegedly encouraged and coached her son Adam Raine toward suicide. Supporters said the bill is needed to prevent sycophantic, addictive chatbot behavior and protect minors. Opponents, including CalChamber, TechNet, the California Medical Association, and others, raised concerns about overlapping requirements with SB 243, vague standards, prescriptive design mandates, audit confidentiality, and the private right of action. The committee voted 4-1 to send SB 1119 to Judiciary. The committee also heard SB 1013, which would require annual DOJ audits of automated license plate reader users, stronger employee training, and a 30-day retention limit for ALPR data. Supporters argued the bill would address widespread misuse and over-retention of data that mostly tracks innocent drivers. Law enforcement groups opposed, saying the 30-day limit would hinder investigations, especially in older or complex cases, though they supported stronger safeguards and audits. The bill passed 4-1 to Appropriations. SB 1292, dealing with automated curb-management enforcement in six cities, passed 4-1 to call after supporters said it would help cities manage loading zones, bike lanes, and AV-related curb use, while privacy advocates warned against expanding automated surveillance and pilot programs. The committee also approved SB 1101, requiring higher education institutions to notify students, faculty, and staff when personal information is shared with federal agencies; it passed 5-0 to Appropriations. Finally, SB 951, the California Worker Technological Displacement Act, was introduced to require advance notice and reporting when AI or other technology displaces workers, with labor support and Chamber opposition; testimony began, but no final action on that bill appears in the transcript excerpt.

Transcript Highlights:

• The fourth finding, according to DFA's Financial Management Guide, is that if an agency pays an invoice
• The Employee Benefits Division paid $3.8 million for Arkansas State employee health claims and $6.5 million
• for public school employee health claims in fiscal year 2025 that should have been recorded as a payable
• for public school employee health claims in fiscal year 2025 that should have been recorded as a payable
• And the fifth finding, according to the State of Arkansas Vehicle Use and Management Guide, every vehicle

Committee: All LEGISLATIVE JOINT AUDITING-STATE AGENCIES

Summary: The committee first approved the minutes and then heard audit reports from Tom Bullington. For the Department of Public Safety FY24 audit, two findings were presented: a duplicate vendor payment of nearly $3,700 that was later recouped, and a $2.5 million collateral deficiency tied to bank deposits that exceeded FDIC coverage because securities were not properly pledged to the State Police. Agency representatives from Arkansas State Police and the Department of Public Safety answered questions, and members discussed how the collateral requirement works before the report was filed without objection. The committee then reviewed the Department of Transformation and Shared Services FY24 audit, which contained five findings. These included an $800 career service overpayment caused by incorrect rehire data, delayed deactivation and inaccurate listing of fixed assets including stolen cameras, a double count of more than $940,000 in year-end cash records, $10.3 million in health claims that should have been recorded as fiscal year 2024 payables, and repeated deficiencies in vehicle mileage logs. Agency officials said the stolen cameras were recovered through restitution, and they described corrective steps for asset tracking, cash reporting, and vehicle logs. Members asked detailed questions about the vehicle log issues and the planned statewide GPS/telematics rollout. Shared Administrative Services said it is negotiating a vendor contract, expects to implement the system first in its own department, and aims to use GPS, geofencing, alerts, and WEX fuel-card data to improve oversight while preserving privacy. The committee also discussed possible future vehicle sharing across agencies, but no action was taken beyond filing the report. The meeting adjourned after announcing the next meeting date.

Transcript Highlights:

• claims and that includes transfers of real property.
• claims and that includes transfers of real property.
• claims and that includes transfers of real property.
• I mean, at that point, I don't see why the claim shouldn't be waived.
• I mean, at that point, I don't see why the claim shouldn't be waived.

Committee: Senate Judiciary

Transcript Highlights:

• I'm the managing shareholder of the law firm Parsons Bailey and Latimer here in Boise.
• Then, as different parties file claims, you can object or respond to the claim.
• Then, as different parties file claims, you can object or respond to the claims that they're filing.
• So when the tribe's claims were filed by the United States, because these are federal law claims, they
• Oh, wow, what are they claiming?

Committee: House Resources and Conservation

Transcript Highlights:

• Seeing none, let's move on to our last measure. residents by pursuing subregation claims residents by
• pursuing subregation claims against<00:13:22.880><c> polluters</c><00:13:23.200><c> who</c><00:13:23.440
• , have unresolved safety risks, worsen the challenges of nuclear waste management and disposal, and are
• , despite the claims, they are unproven,<00:15:22.480><c> too</c><00:15:22.720><c> expensive,</c><00:
• and disposal, and are too management and disposal, and are too risky<00:15:29.600><c> for</c><00:15:

Committee: House Consumer Protection & Commerce

Summary: The Committee on Commerce and Consumer Protection met on April 16, 2025, and heard three resolutions. STR 57 SD1 urged Congress to create a national reinsurance program to address insurance impacts from catastrophic natural disasters; there was no public testimony, and the committee later recommended passage without amendment. STR 198 SD1 encouraged Hawaii insurers and the Hawaii Property Insurance Association to pursue subrogation claims against polluters to reduce insurance costs for residents; again, there was no public testimony, and the committee recommended passage without amendment. The committee spent most of its hearing on STR 136 SD1/HD1, which would create a Hawaii State Energy Office nuclear energy working group to study advanced nuclear power technologies. The Public Utilities Commission and State Energy Office provided written testimony and answered questions. Testimony from 350 Hawaii, Energy Justice Network, and an individual witness opposed the measure, arguing nuclear power and small modular reactors are too expensive, unproven, slow to deploy, create unresolved safety and waste issues, and do not align with Hawaii’s renewable energy goals. Opponents also criticized the measure’s amendment process, saying it replaced the original contents without adequate public notice. During decision-making, the committee adopted the recommendation to pass STR 57 SD1 unamended and STR 198 SD1 unamended. For STR 136 SD1/HD1, the committee adopted a recommendation to pass the measure with amendments, including changing it to a one-year working group with an interim report in 2026 and a final report before the 2027 Legislature. The motion passed with one recorded no vote and some excused members, and the meeting adjourned afterward.

Transcript Highlights:

• So when I hear that, I think about claims.
• Other questions. that claim. Other questions? Good. Seeing no questions. Debate.
• That's not growth management.
• She's getting a degree in business management. She's going to Florida State University.
• She's getting a degree in business management, and, Mr.

Transcript Highlights:

• The amendment further requires the claim and supporting medical record documentation to be reviewed,
• review to include any claim denial or adverse appeal determination based on the medical necessity of
• And so this bill is to ensure that when a claim goes to an appeal process, that the providers or the
• the claim for. ...actually have experience in the field that they're reviewing the claim for.
• Our citizens do not have to try to figure out how to file a civil rights claim with the DOJ.

Committee: Senate Senate Health and Human Services COR

Summary: The committee heard a series of bills and public testimony, beginning with introductions and then taking up several health and human services measures. A major focus was SB 1120 and SB 1121, which address radiation protection in cardiac catheterization and other ionizing-radiation procedure rooms. SB 1120 would require health care facilities to equip at least 50% of procedure rooms with radiation protection systems by July 1, 2027, while SB 1121 would prohibit requiring lead aprons in rooms with such systems and instead require real-time dosimeters for staff who opt out of lead aprons. Physicians, nurses, and a hospital executive testified that enhanced radiation protection systems can dramatically reduce occupational exposure, lower cancer and orthopedic risks, and help with workforce recruitment and retention; a hospital alliance remained neutral pending further stakeholder discussions. Both bills were amended and passed out of committee on 7-0 votes, and SB 1118, which appropriates state funds for a rural hospital grant program to install radiation protection systems, also passed 7-0. The committee also approved SB 1001, which appropriates $1 million to the Department of Economic Security for the Older Individuals Who Are Blind program, after testimony from blind and low-vision Arizonans and advocates describing long waitlists, the need for independent living training, and the program’s role in preventing unnecessary dependence. SB 1072, a major funding bill for home- and community-based services and room-and-board rate increases for individuals with intellectual and developmental disabilities, drew testimony from providers about severe staffing shortages, overtime, turnover, and underfunding; it passed 6-0 with one not voting. SB 1125, requiring DCS to pursue MOUs with tribes and improve tribal communication and access to licensing and enforcement information, also passed 6-0 with one not voting. The committee then considered SB 1123, which removes a board-certification requirement so trained forensic pathologists can supervise autopsy training for residents and fellows; Maricopa County supported it as a workforce and training fix, and it passed 6-0 with one not voting. SB 1052, allowing mild hyperbaric oxygen therapy in assisted living facilities under physician order and DHS rules, generated mixed testimony: supporters argued it could improve health and independence for residents, while opponents raised concerns about off-label treatment in nonmedical settings. The bill passed 5-2. SB 1112, which reduces the number of acquaintance witnesses required in court-ordered treatment proceedings from two to one and allows the court to waive the witness requirement under certain conditions, drew strong testimony from families and mental health advocates on both sides; it passed 5-2. The committee also began hearing SB 1113, which would allow certain service of process in court-ordered evaluation and treatment cases by evaluation-agency employees or other court-authorized persons, but the transcript cuts off before final action on that bill.

Transcript Highlights:

• SB 877 ensures transparency in insurance claims by requiring insurers to document and disclose all claim
• If you... ...put your claims decisions into writing.
• So SB 878 requires all claims decisions be put into writing.
• might be quibbling with one part of your claim.
• To date, insurers have paid out $24 billion in claims for the LA fires.

Committee: House Insurance

Transcript Highlights:

• State-only claiming adjustments.
• And then some changes in our managed care.
• Managed care base rate growth increases both in enrollment and just the rate increases, just base managed
• Medi-Cal managed care plan compliance with the new aspects of this, so revising managed care plan contracts
• that the state has had to pay costs for these claims.

Summary: The subcommittee heard an overview of the Department of Health Care Services’ proposed budget, including a $229.1 billion total-funds budget and projected Medi-Cal enrollment decline as redeterminations continue. Members focused heavily on the fiscal and programmatic effects of prior budget solutions and federal changes, especially the elimination of General Fund-supported Prop. 56 dental supplemental payments beginning July 1, 2026, the hospice utilization-management change, and the impact of reduced caseloads alongside rising health care costs. DHCS said it is still completing required access and rate-reduction analyses for the dental cuts and has been engaging stakeholders, but could not yet quantify the real-world effect on utilization or provider participation. The committee also reviewed the November 2025 Medi-Cal local assistance estimate, which shows higher General Fund spending despite lower enrollment, driven by managed care rate growth, Medicare cost growth, state-only claiming, and federal policy changes. The hearing then turned to provider taxes and federal H.R. 1 constraints, with extensive discussion of the MCO tax, the hospital quality assurance fee, and other health care-related taxes. DHCS explained that H.R. 1 phases down allowable tax levels and tightens “generally redistributive” rules, making the current MCO tax structure and the proposed higher hospital fee levels difficult or impossible to renew as originally designed. Staff and the LAO described the tradeoff between preserving Medi-Cal funding and avoiding higher costs on private providers and consumers. Members asked about options for preserving revenue, including possible amendments to Prop. 35 or returning to voters, and were told the department is still evaluating approaches while federal guidance remains in flux. The committee also reviewed hospital payment increases already implemented through state-directed payments, with DHCS noting that H.R. 1 will force those payments down to Medicare levels over time. Several budget change proposals were discussed and left open, including requests tied to the managed care final rule, managed care operations, hospital value strategy, long-term care payment transparency, and interoperability requirements. The committee also heard about a one-year trailer bill extension for skilled nursing facility financing, including continuation of the SNF workforce standards program, the SNF quality assurance fee, and annual rate growth, while the department develops a longer-term financing redesign for 2027-28. Members expressed skepticism about repeated rate reform efforts and questioned whether a one-year extension of the eliminated workforce quality incentive program should be restored during the transition. Finally, Covered California presented its budget and enrollment update, reporting that the expiration of the federal enhanced premium tax credit is expected to reduce affordability significantly, with average premiums roughly doubling for many enrollees and as many as 400,000 Californians potentially losing marketplace coverage over time. The exchange said California’s $190 million subsidy program is helping lower-income enrollees, but not enough to offset the federal loss, and it is also implementing a new gender-affirming care benefit and awaiting federal action on benchmark plan changes.

Transcript Highlights:

• </c><00:17:18.240><c> Thank</c> and the tax credit management. Thank and the tax credit management.
• The challenges between one entity managing a grant program and one entity managing a grant program and
• </c> media, and film tax credit is managed media, and film tax credit is managed very<00:33:43.360><c
• </c> you heard earlier, also the management you heard earlier, also the management of<00:36:20.560><c
• claim claim assumption assumption assumption that that that the<00:51:35.680><c> state</c><00:51:36.040

Bills: SB2580 , SB2578 , SB2259 , SB3084 , SB2816 , SB2928 , SB2075 , SB3322 , SB2377 , SB2436 , SB2835 , SB3248

Committee: House Economic Development & Technology

Summary: The committee opened by reviewing hearing procedures and then took up SB 2580, which concerns Hawaii’s film production tax credit and related incentives. Testimony was strongly supportive overall, with witnesses saying the measure would help attract productions, extend the sunset date, include streaming platforms, and strengthen the state’s competitiveness. Several supporters asked for cleanup language on grant administration, tax credit management, local-hire uplifts, and limits on third-party audit requirements for smaller productions. The state film office said the bill was generally strong but suggested clarifying language and noted that DBEDT and DOTAX already provide oversight of the current credit. No vote was taken in the transcript, but the bill drew broad support with a few comments and one opposition noted later in the hearing. The committee then heard SB 2578 SD1, a measure to create a film commission and related grant structure. Testifiers said the proposal would formalize industry input, improve accountability, and help the state compete globally, but they also raised concerns about how a new grant program would interact with the existing tax credit system. The film office said the grant program and tax credit should be separated operationally, that the advisory structure should include industry voices and possibly union representation, and that county film commissioner language may need technical adjustment. A testifier also suggested a Hawaii film museum and related tourism opportunities. The measure was described as having 42 supporters, one opposition, and five comments, with no final action shown. The committee next considered SB 2259, a dementia training measure. Supporters, including the bill’s drafter and the Alzheimer’s Association, described personal caregiving experiences and said free dementia training could help workers and families. Suggested amendments focused on clarifying the relationship between EOA and DBED and allowing retraining every two years because of workforce turnover. DBED said the bill is worthwhile but is not really an economic development initiative, and it should align with existing dementia programs and be easy for businesses to use, preferably online. The committee then moved to SB 3084 SD1, which HTDC said would expand its R&D matching program beyond SBIR to other federal research grants because of uncertainty at the federal level; the transcript ends as testimony begins, with no vote or final action recorded.

Transcript Highlights:

• State-only claiming adjustments.
• And then some changes in our managed care.
• Managed care base rate growth increases both in enrollment and just the rate increases, just base managed
• We have to oversee Medi-Cal managed care plan compliance with the new aspects of this, so revising managed
• that the state has had to pay costs for these claims.

Summary: The subcommittee heard a lengthy Department of Health Care Services presentation on the governor’s Medi-Cal budget, including a $229.1 billion total-funds proposal, projected Medi-Cal enrollment declines as redeterminations continue, and several major cost drivers such as managed care growth, Medicare-related costs, pharmacy spending, and changes tied to federal policy. Members focused heavily on the elimination of Prop. 56 dental supplemental payments beginning July 1, 2026, questioning the likely impact on provider participation and utilization. DHCS said it is completing the required rate reduction/access analysis for CMS, has been holding stakeholder meetings and issuing provider bulletins, but could not yet quantify the real-world effect. The committee also discussed a $50 million savings proposal tied to new hospice utilization management authority and asked about possible effects on emergency dental care and provider participation. The hearing then moved through the November 2025 family health estimate and several county and program administration issues, including CCS, GHPP, and Every Woman Counts. DHCS said family health costs are rising despite slight caseload declines because of higher utilization and medical costs, and members raised concerns about CCS website accessibility, county administrative funding, and the transition of youth aging out of CCS. The department said most CCS beneficiaries are also on Medi-Cal, that counties have long raised funding concerns, and that it had clarified use of maintenance-and-operations dollars to address some county workload issues. Members also asked about Every Woman Counts potentially seeing higher demand as Medi-Cal changes take effect; DHCS said that is possible and that the program has multiple funding sources including General Fund. A major portion of the hearing focused on provider taxes and federal changes under H.R. 1, especially the Medi-Cal managed care organization tax and the hospital quality assurance fee. DHCS explained that H.R. 1 restricts new or increased health care-related taxes, phases down allowable tax levels over time, and tightens “generally redistributive” rules, which could sharply reduce the state’s ability to use the MCO tax for Medi-Cal financing. Members asked whether the Legislature could amend Prop. 35 or whether voters would need to act; DHCS said a three-fourths legislative amendment may be possible if it aligns with the measure’s purpose, but the department is still evaluating options. The committee also discussed hospital financing, with DHCS describing recent increases in state-directed payments and the effect of H.R. 1 in capping those payments at Medicare levels, and the LAO noting the tradeoff between preserving provider taxes and maintaining Medi-Cal funding. The subcommittee also reviewed a series of DHCS budget change proposals and trailer bill items, including managed care final-rule implementation, managed care operations, a hospital value strategy, a one-year extension of skilled nursing facility financing, long-term care payment transparency, and interoperability/prior authorization requirements. Members repeatedly questioned the use of limited-term versus permanent positions, the overlap among proposals, and the timing of new financing reforms. DHCS said the SNF extension would preserve current workforce standards, sanctions, growth limits, and the SNF quality assurance fee while the department develops a broader 2027-28 redesign. No votes were taken; items were repeatedly held open for later action. Covered California then presented on the expiration of the federal enhanced premium tax credit and the resulting affordability crisis. The agency said Californians will lose about $2.5 billion in premium assistance for 2026, average premiums could nearly double for many enrollees, and as many as 400,000 people could eventually leave marketplace coverage. Open enrollment ended with 1.9 million sign-ups, down 3% from the prior year, with especially steep declines among middle-income consumers and increased movement into bronze plans. Covered California said the state’s $190 million affordability subsidy is helping lower-income enrollees retain coverage, but cannot fully replace the lost federal assistance. Members also asked about the Health Care Affordability Reserve Fund, repayment of loans from that fund, the status of federal review of California’s essential health benefits benchmark, and implementation of the new gender-affirming care benefit under AB 144.

Transcript Highlights:

• Families are still navigating loss, insurance claims, and uncertainty.
• to consumers through direct department investigations of claims.
• Claim closure time is down 27% since mid-2025.
• The other piece of information we have is through our claims tracker.
• Claims payments are fastest on record.

Committee: House Insurance