Transcript Highlights:

• A lot of this, too, is because of federal court decisions really making the federal government the primary
• The city approved that project, and when the project commenced, that’s exactly the practices they were
• We actually had a, and it still may be going on, a federal Davis-Bacon project in Kansas City that we
• project, and there are undocumented workers getting paid cash on that project.
• Again, a county-funded project, prevailing wage project, where they had cash-pay workers on the site.

Committees: House Commerce , House Commerce, Consumer Protection, Energy and the Environment

Summary: The Commerce Committee met in executive session first and approved a committee substitute combining House Bills 1842 and 2150, with members clarifying that the substitute simply rolled the two bills together without substantive changes. The committee then took up House Bill 2384, adopted an amendment narrowing the bill so its code-reference changes focused specifically on energy standards, and voted the resulting committee substitute do pass by a 7-3 roll call. Members discussed how the amendment would preserve local authority to adopt building codes while limiting energy-code changes to the 2009 standard. The committee then held a public hearing on House Bills 2511 and 2366, both aimed at addressing the use of undocumented or cash-paid labor in construction. The sponsors said the bills were intended to create a more level playing field, give the Attorney General independent investigative and enforcement authority, and impose stronger penalties on employers who knowingly hire illegal workers. Supporters, including labor representatives, argued current enforcement is ineffective because complaints get lost in referrals to local governments and federal agencies, and they described examples of cash-paid labor and undercutting of lawful contractors. Opponents from construction and business groups said they support compliance but objected to vague standards such as “should have known,” and warned that suspension of licenses or permits during an investigation could unfairly harm good-faith contractors and delay major projects. Several witnesses said they were willing to work on clarifying language. Finally, the committee heard House Bill 2099, a squatter-removal bill that the sponsor said was a return of a previously enacted measure that had been struck down in court, with one change to cover vacant land as well as dwellings. The sponsor and supportive witnesses said the bill would let property owners get faster relief, with a 48-hour process and sheriff enforcement if occupants do not leave. A mortgage industry witness and a public advocate both supported the bill, though the advocate noted the fiscal note was unknown. No votes were taken on the public hearing bills before the committee adjourned.

Transcript Highlights:

• for Park Terrace project, where they are using federal funding, it's also a public housing project,
• Um, there is language in the bill that says essentially, provided that for federal projects the federal
• So currently if to federal projects.
• </c> essentially provided that for federal essentially provided that for federal projects<01:12:15.920
• projects the federal regulations that projects the federal regulations that offer<01:12:17.520><c> greater

Bills: HB1721 , HB1714 , HB1718 , HB1732 , HB1740 , HB1777 , HB1842 , HB1919 , HB1701 , HB1923 , HB1741 , HB1734 , HB1739

Committee: House Housing

Summary: The House Housing Committee met on February 4 and heard testimony on several housing measures, beginning with HB1721, which clarifies insurance, indemnification, and certificate-of-occupancy requirements for expedited permits. Testimony on HB1721 was uniformly supportive from the American Council of Engineering Companies, the Grassroot Institute, and individual testifiers, who said the bill would fix insurance issues for design professionals and encourage more participation in the expedited-permit program. No opposition was heard and no questions were raised. The committee then heard HB1714, which would raise salary caps for the executive director and deputy executive director positions at the Hawaii Housing Finance and Development Corporation and allow more autonomy in personnel matters, including employment contracts. HHFDC supported the bill, saying greater flexibility is needed to recruit and retain staff and that current pay ceilings are not the main issue because the agency lacks operating funds to reach them. The Department of Human Resources Development offered comments and raised concerns about autonomous personnel authority and employment contracts, saying state personnel matters are governed by existing statutes and collective bargaining rules; the Hawaii Public Housing Authority also offered comments, and one board member and one individual opposed the measure. Members questioned whether performance-based pay or existing incentive policies could address retention instead of statutory salary changes. The committee also heard HB1718, which would make permanent county authority to facilitate mixed-use developments and issue county bonds for low- and moderate-income housing projects. Support came from OPSD, HHFDC, the City and County of Honolulu’s Department of Housing and Land Management, and Housing Hawaii’s Future, all emphasizing that permanent authority is needed to finance long-term mixed-use and transit-oriented projects. A member asked whether the sunset provision would make bonding impractical, and the city representative agreed that temporary authority would make financing difficult because development takes time. Later, the committee took up HB1732, establishing the Kamina Homes program to fund counties’ purchase of voluntary deed restrictions from eligible buyers. The Department of Taxation and several groups, including HHFDC, AARP Hawaii, the Tax Foundation of Hawaii, Hawaii Realtors, Holomua Collaborative, and others testified, with most supporting the bill as a way to help local families remain in Hawaii and age in place. Holomua said a recent survey found 75% of 3,200 working families were considering moving, and argued the bill could preserve housing for local residents. Members asked about the bill’s 8% cap on deed-restriction cost and why the program focuses on residency rather than resale restrictions; the bill’s proponents said the cap allows flexibility for county negotiations and that the measure is aimed at workforce preservation rather than land-trust-style appreciation limits. Finally, the committee heard HB1740, which would modify a prior HHFDC housing pathway by reducing the qualified-resident requirement from 100% to 80% and allowing more flexibility for long-term rental instead of owner occupancy. HHFDC and Holomua Collaborative supported the change, saying the earlier 100% requirement had produced no developments or applicants and that the revised standard would make projects more feasible while still preserving housing for local residents. The committee did not take final votes on these measures during the portion of the hearing provided.

Transcript Highlights:

• deadline up to four years for nuclear facility projects.
• For nuclear facility projects.
• labor agreement used for the construction of the project and a statement of The workforce or project
• We need more funding for water and sewer projects that meet state and federal needs.
• This federal exemption applies specifically to C corporations.

Summary: House Finance heard bill briefings and testimony on several tax and property-tax measures. HB 2175 would exempt licensed nonprofit providers of free durable medical equipment from retail sales and use tax on items reasonably necessary to operate and provide care; the sponsor and a nonprofit provider described how the bill would help organizations that refurbish and donate wheelchairs, beds, walkers, and similar equipment, and staff noted a small Department of Revenue fiscal impact. The committee then heard HB 2608, which revises the targeted urban area property tax exemption for nuclear facility projects by requiring labor standards, including submission of a workforce or project labor agreement and related wage/apprenticeship information, and extending project-completion deadlines. Supporters said it would help attract major clean-energy and nuclear supply-chain investment and jobs, while opponents from construction groups, environmental advocates, and some public commenters objected to the PLA requirement, the tax preference for nuclear projects, and the broader policy direction; tribal consultation concerns were also raised. No votes were taken on these bills in the transcript. The committee also heard HB 2227, which expands an existing REET exemption for affordable homeownership sales from self-help housing to other nonprofit affordable homeownership programs, including community land trusts. The sponsor and nonprofit witnesses said the change would lower transaction costs, improve affordability, and support permanently affordable resale models; staff clarified the exemption applies to the initial sale from the nonprofit to an income-qualified buyer, not later resales. HB 2528 would allow cities and counties that fully plan under the Growth Management Act to impose the second local REET without voter approval, aligning opt-in jurisdictions with those required to plan under GMA. Supporters from cities and counties said the revenue would help fund sidewalks, ADA upgrades, water, sewer, and other infrastructure, while opponents argued it would raise home-selling costs and bypass voters. Finally, the committee heard HB 2292, which would subject long-term capital gains from qualified small business stock to the state capital gains tax beginning in 2026. Staff said the bill would affect about 260 taxpayers and raise roughly $1.2 million in FY 2027, while the sponsor and supporters argued the current QSBS exemption mainly benefits very wealthy investors and should be treated like other capital gains; opponents from the tech and startup community said the exemption helps founders attract investment, keep companies in Washington, and create jobs, and warned the bill would send a negative signal to entrepreneurs. The committee also heard HB 2257, a Department of Revenue request bill making technical and administrative changes to the tax code, largely to codify guidance from last year’s sales-tax-on-services law and make other clarifications; DOR said it was intended to provide certainty and had no fiscal impact. School groups testified that the 5814-related service-tax changes have increased costs for districts, especially for staffing and professional learning, and asked for relief or a broader exemption.

Transcript Highlights:

• The federal government has canceled tax credits for clean energy projects and canceled $1.2 billion in
• can secure federal funding before they expire.
• And this is a project that can help us bridge that gap, get maybe hopefully to a more friendly federal
• This project is an urban intermodal rail station.
• And by definition, frequently, like this project, many of those individual projects have had extensive

Committee: House Natural Resources

Transcript Highlights:

• So the numerous water projects no longer have funding that covers the numerous water projects for full
• We found Some very successful projects.
• And then you have state tax credits, federal tax credits, state grants, federal grants, and it's all
• And there's actually a dot on the map for each project, so you can just click on projects that way too
• So, each year from the federal government, each state gets an apportionment from the federal government

Committee: House Water & Natural Resources Committee

Transcript Highlights:

• We're getting our federal reimbursements ready.
• We're developing projects as we complete projects, and so some predictability and upper-level capital
• We're developing projects as we complete projects. And so some predictability.
• federal wells with federal dollars.
• How many projects are we working? How did we fund those projects? What's the current status?

Committee: Senate Senate Finance

Transcript Highlights:

• The projects completed. It will be fast.
• Most of it is all federal, ma'am.
• And due to federal hiring constraints, they...
• We were waiting for federal approval.
• Please, reserve, arm to the overall projected expenses.

Transcript Highlights:

• Obviously, when we do get major construction investment for our projects, federal dollars can be used
• Obviously, when we do get major construction investment for our projects, federal dollars can be used
• You've got projects identified for the first year, pretty big, big projects.
• Chair, Representative, I mean, as far as major rehabilitation projects, some projects really it's going
• but a lot of these pavement preservation projects... ...rehabilitation projects identified with the

Summary: The committee met with quorum and took up only HB 3, the Department of Transportation Appropriation Act of 2026 for FY27. The bill was presented as an amended budget that would increase NMDOT’s operating budget by about $132.6 million, or 10.2%, using available cash balances, additional projected revenue, and contingent revenue tied to Senate Bill 2, the highway bond bill. Staff walked through the amendment section by section, explaining changes to project design and construction, highway operations, program support, modal programs, federal and interagency transfer lines, corrected performance-measure language, and added budget adjustment authority for the current and next fiscal years. Several members raised concerns about the late circulation of a revised amendment and the appearance of multiple bill versions, arguing the committee had not had enough time to review the changes and that the process may have violated the 24-hour rule. Others asked for clarification on how the budget distinguished between rehabilitation and maintenance, and DOT staff explained that major rehabilitation is generally tied to STIP projects while maintenance is handled through district-level plans and contracts. Members also discussed the use of cash balances for non-recurring spending, the impact of electric vehicles on road revenue, and the need for more maintenance, litter cleanup, fencing, and beautification funding. DOT and executive representatives noted the amendment includes a significant maintenance increase and said additional non-recurring funding could also come through House Bill 2 and the capital bill. The committee first rejected a substitute motion to delay action, then adopted the amendment and later voted due pass on HB 3 as amended. Public comment was opened, but no one spoke in support or opposition. After passage, members explained their votes, with some supporting the bill as a needed transportation investment and others objecting to the process and the compressed review timeline.

Transcript Highlights:

• There have been many federal projects looking at this particular technology in the state.
• So I'll start off first with DNR projects that are federally funded.
• I also think you should be aware of non-DNR federal projects in the region.
• a real explosion of projects, especially since 2018, with the advent of new federal policy and the increases
• There are also some small power projects, hydrogen, and direct air capture projects.

Committee: House Environment & Energy

Transcript Highlights:

• recovery on federal grants.
• Federal F&A rate, also known as indirect cost recovery on federal grants.
• For health care, changes to Medi-Cal rules and federal reimbursement policies could reduce federal payments
• changes eliminate the Grad PLUS loan program and introduce new federal caps on federal loans.
• The idea behind the CCN project is to...

Summary: The Assembly Budget Subcommittee on Education Finance, chaired by Assemblymember Alvarez, held a hearing focused on University of California budget issues. The committee reviewed UC core operations funding, enrollment trends, federal funding threats, Title IX implementation, and basic needs support. Major themes included the end of the Governor’s multi-year UC compact, the state’s fiscal outlook, UC’s enrollment growth, and the potential impacts of federal policy changes on research, health care, and student aid. On core funding, the Department of Finance described the Governor’s proposal to continue compact-related support, defer some payments, and authorize a cash-flow loan. The LAO recommended a smaller or no base increase, earmarking some funds for capital renewal, retiring deferrals when possible, avoiding new compact commitments, and funding UC annually rather than through compacts. UC argued that the compact has supported enrollment growth, student services, and operating costs, but said campuses face rising expenses, structural deficits, and limited reserves. Members questioned the effects of deferrals on students and discussed the need to prioritize less harmful reductions if cuts become necessary. The enrollment panel focused on UC’s growth in California resident enrollment and the nonresident replacement plan at Berkeley, UCLA, and UC San Diego. The LAO recommended maintaining the current enrollment target, funding enrollment separately from base increases, pausing the nonresident replacement plan, and holding enrollment flat in 2027-28. UC said it has already met compact enrollment goals, grown California undergraduate enrollment by about 18,800 students, and that further growth depends on ongoing state support. The committee also discussed the cost of enrollment growth, possible differential nonresident tuition, and a reporting request for UC to analyze the nonresident replacement approach; the motion to adopt supplemental reporting language passed. The hearing also covered federal funding risks, with the LAO and UC warning that federal changes could affect research grants, medical center reimbursement, and student financial aid. UC said research cancellations and suspensions are disrupting labs and graduate student support, while federal health policy changes could increase uncompensated care at UC hospitals. In the Title IX update, UC described its systemwide civil rights structure, annual student training, and campus support offices, and members praised the work while asking about ongoing concerns and intersegmental collaboration. The final basic-needs item began with Finance stating the Governor’s budget does not change ongoing support, but the transcript cuts off before further discussion or action.

Transcript Highlights:

• There was a mention of federal funding and perhaps disruptions in federal funding.
• Sequestering federal funds.
• government on federal funds.
• So as we consider federal funding that may be withheld from California, federal funding that may not
• federal government...

Committee: House Budget

Transcript Highlights:

• , our flood projects and all that, and how to best work on those things with state and federal agencies
• , our flood projects and all that, and how to best work on those things with state and federal agencies
• , our flood projects and all that, and how to best work on those things with state and federal agencies
• , our flood projects and all that, and how to best work on those things with state and federal agencies
• and</c><00:37:53.680><c> all</c> projects, our flood projects and all projects, our flood projects and

Summary: The Disaster Prevention and Resiliency Task Force opened its sixth meeting by approving the minutes and then taking up a presentation from University of Pikeville representatives and local leaders on an Eastern Kentucky Disaster Relief Center at Bear Mountain in Pike County. Speakers included Greg May, Rep. Ashley Tacket Laferty, Lori Worth, and Laura Damron. They described repeated flooding and other disasters in eastern Kentucky, the lack of a single prepared relief location, and the need for a centralized, elevated site that could serve as a flood and broader natural-disaster hub. The presenters said the Bear Mountain property, about 530 acres and well above flood levels, could support a multi-use facility combining disaster response functions with university and community uses. Proposed features included a command and communications center, distribution space, emergency shelter, medical and clinic support, food service, restroom facilities, RV hookups, and an indoor track/distribution building. They emphasized that the project would help avoid disrupting existing venues such as the Pikeville Expo Center and Jenny Wiley State Resort Park, while also supporting tourism and economic recovery. Committee members asked about community and emergency-management support, annual operating costs, and resilience standards such as tornado-related building codes. In response, the presenters said local stakeholders, including Appalachian Wireless, Pikeville Medical Center, Community Trust Bank, the city of Pikeville, and emergency management officials, had expressed support. They said the university planned to absorb some operating costs through multiple uses of the facility, community camps, and budgeted maintenance, and that construction documents were nearly complete with plans to begin building within months. After the presentation, the chair thanked the presenters and moved the committee into its recommendations discussion, noting the broader fiscal and humanitarian importance of disaster preparedness and resiliency and indicating that future legislation would likely follow from the task force’s work.

Transcript Highlights:

• The project that we work on...
• Currently, between the state and the federal government, we have about $200 million moving in those projects
• had finally paid off their loans to the federal government, and now were entitled to operate that project
• Federal reclamation law requires that if any reclamation project water is going to be used for different
• I'm calling the project, the Rio Grande project, has a priority date now of what?

Committee: House Water & Natural Resources Committee

Transcript Highlights:

• , little projects?
• So they're with the project, without the project analyses, without the project would change the baseline
• wetlands to avoid any federal interconnection with the project that was built.
• Federal law.
• It does mirror a federal standard that has been established in federal case law.

Committee: Joint Agriculture and Water Management Committee

Summary: The committee met for its third interim meeting, approved the prior meeting minutes, and heard a series of statutory reports from the Department of Agriculture and the Department of Water Resources. Chair Hauck noted that Legislative Management had denied the committee’s earlier request for a fertilizer capacity study, and that the committee would also revisit the proposed Union Pacific/Norfolk Southern merger later in the day. Commissioner Doug Goring reported on several agriculture topics, including uncrewed aerial systems grants to detect noxious weeds, irrigation expansion potential, the low-carbon fuels program for ethanol plants, the Environmental Impact Mitigation Fund, model zoning ordinances for animal feeding operations, and fertilizer production and usage in North Dakota. He emphasized that fertilizer supply depends heavily on natural gas and water, that most nitrogen fertilizer is imported, and that large-scale fertilizer plants require very large capital investments. Members discussed fertilizer storage, natural gas pipeline capacity, water availability, and the role of state infrastructure in supporting value-added agriculture. A major portion of the meeting focused on the Department of Water Resources’ economic analysis tool for water conveyance and flood-related projects. Dr. Dwayne Poole explained that the tool was created under 2017 legislation to help evaluate projects expected to cost $1 million or more, and that the department is proposing adjustments to better account for end-of-useful-life conditions and changing hydrologic data. He said the changes would remain focused on direct, demonstrable costs and benefits, not indirect impacts, and would be implemented through guidance and operating procedures rather than statutory changes. Committee members and water users discussed whether the revisions would better reflect real-world conditions, including deferred maintenance, changing rainfall patterns, and downstream effects. A representative from the Water Resource District Association said the group was working with DWR and hoped to review test scenarios before the June meeting. The committee then received a detailed presentation on Devils Lake, its outlets, and the Tolna Coulee control structure. State Engineer John Paskowski reviewed lake history, outlet capacities, sulfate and downstream flow constraints, and the purpose of the Tolna Coulee structure in limiting head cutting and preventing uncontrolled downstream releases. Members questioned whether the structure was effectively a dam, whether the lake would naturally overflow without it, the last time the outlets ran, and whether water quality in Devils Lake has improved over time. Paskowski said the outlets last operated in August 2025, that sulfate levels still limit operations, and that the lake has freshened somewhat but not enough to eliminate water-quality concerns. The discussion also touched on whether water from flooded areas or closed-basin systems could be reused for irrigation, and on the broader implications of wet cycles, inundated land, and drainage management across the state.

Transcript Highlights:

• projections.
• So I will just speak to the federal funding very quickly.
• Federal grants, and most recently, federal transportation as well, for electric buses, and then most
• And also what happens in terms of, take, for example, federal regulatory action or federal administrative
• Depending on what happens in the next six to nine months with federal, you know, with federal-state partnership

Committee: Joint Joint Committee on Ways and Means

Summary: The hearing focused on House Bill 55, the governor’s FY25 supplemental budget proposal to spend about $1.3 billion in surplus Fair Share revenue. House and Senate chairs framed the bill as a one-time opportunity to invest fairly in education and transportation, while also noting the need to protect the state’s long-term fiscal balance. Administration officials said the proposal should be considered alongside the FY26 budget and related bills, since the governor’s broader Fair Share plan aims for roughly an even split between education and transportation over time. Secretary of Administration and Finance Matthew Gorzkowicz, Transportation Secretary Monica Tibbits-Nutt, and Education Secretary Patrick Tutwiler outlined the administration’s priorities. Transportation funding would go mainly to the MBTA and related reserves, including money for the Federal Transit Administration reserve, MBTA stabilization reserve, low-income fares, winter resilience, RTA workforce support, MassDOT workforce and project delivery, and micro-transit grants. Education funding would support universal preschool expansion, early education and care capacity, early literacy tutoring, adult basic education and ESOL, early college and career technical education, MyCAP expansion, and special education circuit breaker funding. The administration emphasized that many of these investments are one-time or multi-year measures designed to address current needs without creating unsustainable recurring costs. Committee members raised concerns about regional equity, especially the large share of transportation money going to the MBTA versus regional transit authorities and rural areas. Several members asked for more detail on how the proposal would benefit Western Massachusetts and other non-MBTA regions, and whether micro-transit and Chapter 90-related investments would be sufficient. Education questions focused on special education reimbursement shortfalls, federal funding cuts to school districts, and how CTE and vocational investments would align students with workforce needs. The administration said it would provide additional data on MBTA versus RTA investment and explained that the special education circuit breaker and transportation reimbursement changes were intended to improve predictability and relief for districts. After the administration panel, Jessica Tang of AFT Massachusetts testified in support of using Fair Share funds to protect public education amid federal uncertainty and cuts. She argued that schools are facing a fiscal cliff, that vulnerable students would be hit hardest by funding losses, and that the Fair Share revenue should be used to preserve services and support students’ needs.

Transcript Highlights:

• . to make sure that we have the appropriate numbers of people needed for that project or projects.
• We work on the federal level.
• So when you're looking at building a project, you obviously are going to have some project equity in
• So for these early-mover projects, about half of your project costs can come in before...
• It's NEA's Project WIZARD.

Committee: Joint Advanced Nuclear Energy Committee

Transcript Highlights:

• assistance as that's all being looked at at federal levels.
• Of course, the federal government was a huge partner in that.
• there have been delays in the federal grant allocations for those.
• But that 700 projects is a pretty good definition of the universe.
• Many times, especially large agencies, they start on a project.

Summary: The committee heard an overview from Cal OES on disaster response, LA wildfire recovery, federal FEMA reimbursements, security monitoring, and the state’s 911 transition. Cal OES said its budget supports disaster preparedness and recovery, including ongoing work in Los Angeles, where it reported about 700 FEMA public assistance applications totaling roughly $1.2 billion and about $545 million in state wildfire response and recovery funding already allocated under AB 100. Members pressed for more detail on FEMA delays, hazard mitigation grants, federal event planning, and the status of Operation Stonegarden, while also raising concerns about small-disaster recovery, federal shutdown impacts, and the need for more timely reporting. A major portion of the hearing focused on Next Generation 911. Cal OES described problems with the current regional deployment, especially call-routing and transfer failures, and said it now plans to shift to a statewide provider as an interim step, then run an open procurement for a long-term vendor. The agency said it expects to execute a bridging contract in the coming weeks, release an RFP in the second quarter of 2026, award a long-term contract in the fall, begin transitioning Los Angeles-area PSAPs ahead of the 2028 Olympics, and complete statewide migration by summer 2030. The LAO urged the Legislature to pause further implementation until it has more information on the problems, alternatives, costs, privacy/security issues, and oversight needs, and recommended quarterly and monthly reporting if the project proceeds. Several senators echoed concerns about cost, redundancy, cybersecurity, and whether the statewide model could create new risks, and the chair said she would pursue a joint oversight hearing with the Emergency Management Committee and seek input from the State Auditor. The Department of Justice then presented its overall workload and budget pressures. DOJ highlighted its work on fentanyl enforcement, human trafficking, firearms recovery, housing enforcement, consumer protection, environmental and civil rights litigation, and a large federal litigation workload, saying it has filed 59 lawsuits against the Trump administration and won most of them. DOJ said the added federal cases and other mandates have strained existing staff, though 44 additional hires have been made. Members praised DOJ’s work on immigration, housing, and federal accountability, and asked for more information on detention facilities and staffing. The committee also reviewed DOJ’s firearms-related budget proposals. DOJ requested funding for continued firearms IT modernization, implementation of SB 704 on firearm barrels, and a temporary shift of Bureau of Firearms costs to the General Fund. The LAO supported the IT modernization request but recommended funding SB 704 from the Dealer’s Record of Sale Special Account, with startup costs covered by a loan from the Firearm Safety and Enforcement Special Fund, and suggested limiting the General Fund shift to one year and treating it as a loan. The LAO also asked DOJ to develop a framework by January 10, 2027, for deciding which firearm and ammunition workload should be supported by fee revenue rather than the General Fund.

Transcript Highlights:

• There have been many federal projects looking at this particular technology in the state.
• I'll start off first with DNR projects that are federally funded.
• I also think you should be aware of non-DNR federal projects in the region. There's the Hero...
• I also think you should be aware of non-DNR federal projects in the region.
• And there's been a real explosion of projects, especially since 2018, with the advent of new federal

Summary: The committee held an interim work session focused first on carbon capture, utilization, and sequestration (CCUS), then on hazardous waste and extended producer responsibility (EPR). On the CCUS topic, industry and nonprofit presenters described point-source capture, direct air capture, mineralization, and geologic sequestration, emphasizing Washington’s basalt formations and state trust lands as strong candidates for storage. They argued that CCUS can help hard-to-abate industrial sectors, support jobs and investment, and provide a pathway for compliance, while also noting the need for clearer permitting, subsurface rights, pipeline authority, and storage infrastructure. Ecology and Commerce staff explained current state policy touchpoints, including Cap-and-Invest offsets and exemptions for permanently stored CO2, the public comment process underway to define “thousand-year” permanence, and how CCUS might fit within the Clean Energy Transformation Act without counting emitting generation as non-emitting. Some presenters supported more state action and primacy over federal permitting, while others warned about costs, energy use, uncertain capture performance, and the need to ensure real net greenhouse gas reductions and long-term liability protections. Members asked about public meetings, whether mineralized carbon would qualify as exempt under the Climate Commitment Act, the timeline for Ecology guidance, aquifer and water-quality concerns, energy intensity of capture systems, and liability if storage later proves problematic. Responses said Ecology’s guidance process is already underway, public meetings will be virtual, mineralized carbon would likely qualify if it meets the permanence standard, and EPA rules require storage in deep saline formations below drinking water aquifers. Industry speakers said capture energy use varies by source and concentration, and one presenter noted that some states use trust funds funded by injectors to address long-term liability. The second half of the session shifted to hazardous waste and EPR. Ecology staff reviewed existing product stewardship programs for electronics, paint, batteries, and mercury lights, and described moderate risk waste and household hazardous waste management in Washington. They highlighted that E-Cycle and PaintCare are producer-funded, that the battery stewardship program will begin in 2027, and that the mercury lamp program is in transition after its prior stewardship organization exited, prompting enforcement notices and a pending replacement plan. Ecology recommended best practices for future EPR programs, including clear producer and product definitions, full producer funding, convenience standards, annual reporting, and strong agency enforcement and plan approval authority. Local government speakers from King County and Douglas County described rising collection costs, equity and access barriers, rural travel distances, and the need for stable funding and flexible local implementation. King County said it collected over 3 million pounds of hazardous products in 2025 and supports EPR as a way to shift costs from ratepayers to producers, while Douglas County emphasized that rural residents will participate when services are accessible and that future systems should account for geography and local infrastructure.

Transcript Highlights:

• tools to support future projects.
• Projects and renewable fuel projects are coming online, and we're going to be gathering lessons learned
• with recommended projects.
• A PIS does not approve or deny a project, nor does it evaluate a specific project or analyze a specific
• project.

Bills: HB2111 , HB2495

Committee: Senate Transportation

Keywords: Interstate 5 bridge, toll facility, bond retirement, transportation, state funding, vehicles, streetcar operation, public safety, urban regulation

Transcript Highlights:

• We have received some federal funds for several pieces of this project along the way, and we're looking
• We recently secured $2 million in federal money for this project.
• This project is in this project.
• In 2024, the federal government followed suit and appropriated $4.9 million to the project.
• </c> the project. the project.

Committee: Senate Transportation