Transcript Highlights:

• I always like to show the economic impact, so it's kind of the return on investment.
• So there is an economic impact of buying a home in North Dakota.
• So based on the number of loans we did last year, that equated to a $185 million economic impact for
• that one there, yeah, the average price of oil since 2000 has been at $65 a barrel, but what has inflation
• And typically, oil and gasoline doesn't keep up with the inflation price.

Summary: The committee met as the Regulatory Division of the budget section and received updates on several Industrial Commission-related agencies and programs. Legislative Council first reviewed base budget materials, then the North Dakota Housing Finance Agency reported on its current appropriation and staffing, noting that its new FTEs were being filled gradually and that it remained largely funded through special and federal funds. Agency leaders described homeownership lending, loan servicing, and housing incentive fund activity, including below-market mortgage rates, down payment assistance, and a growing servicing portfolio that has increased workload but not yet required additional FTEs. Housing Finance also detailed use of the Housing Incentive Fund and homeless grant dollars. Officials said the multifamily HIF round drew more than $73 million in requests and awarded $25 million, while the single-family program supported rural development and community land trusts. Homeless grant funding was split between emergency shelter, prevention, and rapid rehousing, with performance-based scoring used to renew or reallocate awards. Members discussed housing affordability, aging households, rental assistance, and the need to coordinate housing and site-preparation messaging with Commerce. The agency asked that HIF, single-family, and homeless funding be maintained or increased in the next session. The Department of Mineral Resources then presented its budget and operations update. Staff said the agency was on track financially, had filled most of its new reclamation FTEs, and was not expecting major litigation costs beyond normal late-biennium invoices. The director reviewed agency initiatives including Project North Star IT modernization, organizational restructuring, succession planning, rulemaking, and implementation of the development incentive well tax program and critical minerals rules. He also discussed oil and gas activity, explaining that longer laterals, especially three- and four-mile wells and the first five-mile spacing case, are helping keep production relatively flat even as rig counts ease. Members asked about gas capture, hedging, break-even prices, and the effects of Iran and Venezuela on oil markets. The committee also heard about enhanced oil recovery grants and the Pipeline Authority. The EOR program’s $25 million appropriation was fully allocated to six projects, with total awards reaching about $45.1 million when other fund balances were included, subject to a possible 5% reduction if federal DOE money does not materialize. Officials said the projects are public, reimbursement-based, and will produce results over the next several years. Finally, the Pipeline Authority outlined natural gas transmission projects, including the imminent Bakken Express line and the proposed Bakken East project, which WBI was selected to advance after an Industrial Commission RFI process. The project is moving through open season, survey permission, and regulatory work, with in-service dates projected for 2029 and 2030.

Transcript Highlights:

• I always like to show the economic impact, so it's kind of the return on investment.
• So there is an economic impact of buying a home in North Dakota.
• So based on the number of loans we did last year, that equated to $185 million economic impact for the
• that one there, yeah, the average price of oil since 2000 has been at $65 a barrel, but what has inflation
• And typically, oil and gasoline doesn't keep up with the inflation price.

Summary: The committee met as the Budget Section’s Regulatory Division and first reviewed base budget materials for the North Dakota Housing Finance Agency and the Department of Mineral Resources. Legislative Council explained the blue-sheet budget summaries and historical funding trends. The Housing Finance Agency then reported on its ongoing homeownership, housing incentive, and homelessness programs, noting that its new FTEs are being filled, loan servicing remains above benchmark, and the agency is operating largely on special and federal funds rather than general fund dollars. Housing Finance officials said the Housing Incentive Fund continues to be heavily oversubscribed, with requests far exceeding available dollars, and described how funds are being used for multifamily gap financing, rural single-family development, community land trusts, and homeless prevention/rapid rehousing. Members asked about performance measures, the number of people served, and the relationship between housing costs, wages, and homelessness. The agency said it uses scoring criteria tied to performance and outcomes, and requested that the Legislature maintain or increase funding for HIF, single-family housing, and homeless grants. Committee members also discussed the need to coordinate housing finance efforts with Commerce and broader site-preparation and workforce issues. The Department of Mineral Resources reported that it is on track with its budget, has filled most of its newly authorized reclamation positions, and is moving ahead on several initiatives, including IT modernization through Project North Star, organizational succession planning, and rulemaking for critical minerals and oil and gas programs. The director gave an extensive update on oil and gas activity, explaining that longer laterals and operational efficiencies are keeping production relatively flat even as rig counts decline, and that gas capture remains around 95 percent. Members asked about oil prices, hedging, spacing units, and the effects of geopolitical events on markets and state revenues. The committee also received an update on the enhanced oil recovery grant program and the Pipeline Authority. The EOR program’s $25 million appropriation was fully allocated to six projects, with additional oil and gas research funds also committed, and officials said the projects will require public status reports and final reports. The Pipeline Authority described major natural gas transmission projects, including the upcoming Bakken Express line and the proposed Bakken East project, which recently completed a binding open season after the Industrial Commission selected WBI Energy’s proposal to move forward.

Transcript Highlights:

• I always like to show the economic impact, so it's kind of the return on investment.
• So there is an economic impact of buying a home in North Dakota.
• So based on the number of loans we did last year, that equated to $185 million economic impact for the
• And typically, oil and gasoline doesn't keep up with the inflation price.
• It was well attended, primarily by landowners, folks that were going to be potentially impacted as that

Summary: The committee met as the Regulatory Division budget section and first reviewed the North Dakota Housing Finance Agency’s budget and program update. Legislative Council outlined the agency’s base budget and historical funding, and Housing Finance staff reported on homeownership lending, housing incentive fund (HIF) awards, and homeless grant spending. Agency officials said the five new FTEs approved last session are mostly filled, with one homeless program manager still open. They described strong demand for HIF, noting that September 2025 multifamily requests exceeded $73 million while only $25 million was available, and that single-family and homeless programs are also heavily subscribed. Members discussed the agency’s local loan servicing workload, interest-rate benefits, down payment assistance, and the need to coordinate housing discussions with Commerce and site-preparation efforts. The agency asked that HIF, single-family, and homeless funding be maintained or increased, and committee members emphasized accountability and statewide access for homeless prevention and rapid rehousing funds. The Department of Mineral Resources then presented its budget and agency initiatives. Staff reported that the department is on track financially, that most of the five new reclamation-related FTEs are hired, and that litigation costs tied to oil and gas matters are expected to continue appearing late in the biennium. The director reviewed ongoing modernization and organizational efforts, including the North Star IT project, succession planning, training, and rulemaking for oil and gas and critical minerals. Members asked about longer laterals, spacing, and production trends; the department said operators are increasingly drilling three-, four-, and even an initial five-mile lateral, which is helping keep North Dakota oil production relatively flat even as rig counts ease. The director also discussed oil price volatility tied to Middle East conflict, hedging practices among producers, gas capture remaining around 95%, and the likelihood that current production levels will stay near flat unless prices or geopolitical conditions change significantly. An update on the enhanced oil recovery grant program followed. The Industrial Commission’s grant administrator said the full $25 million appropriation was allocated in the fall to six projects, and because the oil and gas research fund also had carryover and biennial tax revenue, total awards reached about $45.1 million. The projects are expected to run two to four years, with meaningful results not likely until mid-2026 or later. Members questioned whether the public would have access to the research findings and how accountability would be maintained; staff said the grants are reimbursement-based, require regular status reports, and will culminate in public final reports. The committee also heard from the North Dakota Pipeline Authority, which updated members on natural gas transmission projects, especially WBI Energy’s proposed Bakken East pipeline. The authority said the project has advanced through a nonbinding and then binding open season, with WBI now securing survey permissions and moving through regulatory and landowner processes, while other related gas transmission projects near Minot and Epping are also in development.

Transcript Highlights:

• </c> diligence what may be the impact diligence what may be the impact negatively<00:30:13.600><c> if
• There are real public health increases and impacts, and there are real revenue positive impacts that
• There are real public health increases and impacts, and there are real revenue positive impacts that
• Inflation has occurred; it's down.
• That was my next question, that in the years from 2011 now to 2025, despite the impact of inflation,

Summary: The public hearing focused on HB 290, which would raise cigarette and e-cigarette/vaping taxes and create a committee to study tobacco and nicotine tax policy. Representative Jerry Stringham introduced the bill as both a public health and revenue measure, arguing that nicotine use causes health harms and public costs, and that New Hampshire’s cigarette tax has been unchanged at $1.78 per pack since 2013. He said the bill would raise the cigarette tax by $1 per pack to $2.78, still below most New England states, and would also adjust vaping taxes, which he described as having been set as placeholder rates in 2019. He said the bill would also establish a study committee to review broader tobacco and nicotine taxation, including products such as premium cigars. In response to questions, Stringham said the proposed cigarette tax would be roughly equal in real dollars to the 2008 rate after inflation, and he suggested that a smaller annual increase could be considered, though he believed a larger increase would have a stronger public health effect. He explained that the vaping tax structure differs between closed and open systems because one taxes a fixed hardware product while the other taxes reusable liquid, and he said the proposal would move the rates toward a more uniform approach. He also said New Hampshire would remain below neighboring states even after the increase, though members raised concerns about cross-border shopping, business impacts, and preserving the state’s competitive advantage. Several members questioned whether the bill’s main purpose was revenue or reducing smoking and vaping. Stringham said he viewed it primarily as a public health bill, but also as a revenue measure, and said he would consider it successful even if consumption fell enough to reduce revenue. Other members emphasized personal freedom and argued the committee should focus on taxation rather than cessation, while some supported the bill as a way to capture revenue from out-of-state buyers and keep New Hampshire’s rates below surrounding states. The hearing consisted of testimony and questions only; no vote or final action was taken in the excerpt provided.

Transcript Highlights:

• The impact of a $6 billion deficit.
• Um, it does add inflation indexing bump.
• Wetlands mitigation right now, if a road is going to impact wetlands and then that impact must be offset
• Last year a gas tax happened with an inflator for inflation.
• Last year a gas tax happened with an inflator for inflation.

Transcript Highlights:

• To take some time to look at this data and see the impact that it's making and also see the impact that
• ><c> having</c><01:23:55.280><c> on</c> also see the impact that it's having on also see the impact that
• </c> inflation, this is a really good thing. inflation, this is a really good thing.
• </c><02:57:40.000><c> class</c> staff layoffs that will impact class staff layoffs that will impact class
• </c> Um indexing the formula to inflation Um indexing the formula to inflation provides<03:57:57.040>

Transcript Highlights:

• in landmark laws under this committee's NEPA requires federal agencies to consider environmental impacts
• The impacts of this development are minimal in most cases and are in or near the communities that need
• Since the passing of the Inflation Reduction Act, offshore wind has been a tremendous contributor of
• Increased project costs, as inflation and material shortages make projects more expensive over time.
• And ultimately, companies are evaluating how the process to operate in this country impacts them.

Committee: Senate Environment and Public Works Committee

Keywords: environmental review, permitting process, infrastructure, bipartisan legislation, economic growth, Nucor, West Virginia

Summary: The meeting focused on critical discussions surrounding the need for modernizing the federal environmental review and permitting processes. Witnesses from various sectors, including Nucor, provided testimony on the delays and costs associated with current regulations, emphasizing the impact on infrastructure and economic growth. Major projects in West Virginia, such as the Corridor H and Coalfield Expressways, were highlighted as examples of initiatives stalled by excessive permitting hurdles, prompting calls for bipartisan legislation to streamline these processes while maintaining environmental protections. The committee expressed a commitment to address these issues immediately, highlighting the urgency to enhance efficiency in permitting to facilitate economic development.

Transcript Highlights:

• So we expected to have a small impact there.
• But do you think it's going to impact us on our income for the state? So that is a great question.
• But overall, can I ask you, what is the inflation rate do you think in Arkansas at this point?”
• It might have an impact on inflation, right? Because that’s going to increase.
• So we’re going to see that in the long term make an impact.

Committee: All ARKANSAS LEGISLATIVE COUNCIL (ALC)

Summary: The meeting began with a prayer, approval of the prior minutes, and a February 2026 revenue report from Carlos Silva of the Bureau of Legislative Research. He reported gross revenues of $5.36 billion and net collections of $4.5 billion, both above the prior year, and said the updated forecast showed a larger expected surplus than before. Members asked about declines in some tax categories, natural gas severance fees, and possible effects of inflation and international conflict; Silva generally attributed the changes to timing issues, prior tax cuts, refund activity, and price fluctuations, and said he could not speculate on future impacts. The committee then heard and adopted several subcommittee reports, including the Executive Committee, Administrative Rules, Claims Review, Game and Fish State Police, Higher Education, Infrastructure Investment and Jobs Act, Hospital/Medicaid/Developmental Disabilities, Occupational Licensing Review, State Insurance Programs Oversight, and APER filings. Most reports were approved without objection. One budget classification transfer for the Commissioner of State Lands was reviewed and failed. The review report also led to discussion of several contracts, including DHS staffing contracts and a Department of Education security contract, with some items held or separated for individual votes. A major portion of the meeting focused on DHS and state staffing contracts for the Human Development Centers, Arkansas State Hospital, and related facilities. DHS officials said the contracts were on track against seven-year projections, but members expressed concern about heavy reliance on contract labor, vacancy rates, and the need to move workers onto state payrolls. Officials said they were preparing a recruitment and retention plan and described staffing levels, vacancies, and turnover. Members also questioned contract projections and federal-state funding matches, and several urged faster action to reduce contract labor costs. The committee also discussed a Department of Commerce reduction-in-force affecting the Division of Services for the Blind and Employment and Training. Secretary Hugh McDonald said the cuts were driven by funding shortfalls, over-obligation of funds, and federal issues, and that 27 positions would be permanently eliminated while furloughed employees would be recalled. Members raised concerns about service impacts, board appointments, and the division’s fiscal management. The meeting ended after the personnel report was adopted and APER was filed as reviewed, followed by adjournment.

Transcript Highlights:

• It doesn't appear that the tariffs are affecting inflation, but have you ever been able to come up with
• Does that not impact their performance relative to comparing it to the public schools?
• And just to kind of clear it, Not impact that school district. I agree.
• And just to kind of clear it, not impact that school district. I agree.
• And we've had 8% inflation. And nothing in the budget has ever reflected that.

Committee: All ARKANSAS LEGISLATIVE COUNCIL (ALC)

Summary: The Arkansas Legislative Council meeting began with approval of the December 2025 minutes and a presentation from the Bureau of Legislative Research on the December revenue report. Dr. Carlos Silva said gross collections were about $4.02 billion, up slightly from the prior year, and net available for distribution was also above last year but down modestly from the previous month because of higher-than-expected corporate income tax refunds. Members asked about corporate tax trends, tariffs, and inflation, and Silva said it was too early to call the corporate decline a trend and that tariff effects would likely show up mainly in sales tax collections. The council then adopted several subcommittee reports, including the Executive Committee Subcommittee, Administrative Rules, Hospital/Medicaid/Developmental Disabilities, Occupational Licensing Review, PEER, Review, State Insurance Program Oversight, and Personnel. The PEER report drew the most debate because of a Department of Agriculture grant tied to Perry County and Central Arkansas Water; members discussed whether removing the Perry County portion would affect the grant’s competitiveness, and the report was ultimately adopted with the item included. The Review Subcommittee also heard questions about a BDO contract for the rural health transformation program, with DFA explaining that the contractor would manage the program while state agencies would make funding decisions consistent with the state’s application. A major portion of the meeting focused on the Education Freedom Account appropriation tied to LEARNS. Senators and representatives debated whether the program helps families or diverts money from public schools, with supporters arguing it funds students and choice and opponents arguing it is costly, vulnerable to fraud, and harms public school funding. Department of Education officials said roughly 28,000 private school students and 17,500 homeschool students were participating, that EFA students must submit standardized tests annually, and that the requested $32 million was to cover existing participants. After multiple substitute motions and extended debate, the body rejected a motion to strip out the $32 million and then adopted the report and related motions. The meeting ended after routine approvals of additional agency items and adjournment.

Transcript Highlights:

• But we hadn't changed that $1 and $2 when you look at the impact of inflation, it's long even before
• But we hadn't changed that $1 and $2 when you look at the impact of inflation, it's long even before
• But we hadn't changed that $1 and $2 when you look at the impact of inflation, it's long even before
• <c> assessments</c> And those privacy impact assessments And those privacy impact assessments have<00
• </c> going to impact us?" going to impact us?"

Summary: The committee met on May 29 and approved the draft minutes. DHHS Commissioner Weaver then opened the department update by asking Medicaid Director Henry Litman to brief members on federal and state Medicaid changes, and later turned to DHHS Chief Operating Officer David Weathers for an update on data governance. Members also asked that acronyms be spelled out in future materials and requested a follow-up on the federal Medicaid rule once it is published. Litman reviewed several federal Medicaid provisions tied to HR 1/"OBBA" and related state implementation issues. He said the first major change would be restrictions on certain non-citizens’ Medicaid coverage, affecting about 400 people in New Hampshire, with notices likely 30 to 60 days before the effective date. He also discussed new work requirements/community engagement rules, saying New Hampshire is on track to implement them and will likely need a state plan amendment rather than an 1115 waiver. Other changes included shorter retroactive coverage periods, a new state option for certain community-based services with an estimated $740,000 in implementation support, a freeze and phased-down reduction in the Medicaid enhancement tax beginning in state fiscal year 2029, and limits on directed payments to hospitals after a grandfathering period. He also noted that Medicaid enrollment has fallen from pandemic-era levels, with about 167,000 people covered as of May 1, and that the department is working with CMS on child premiums and other cost-sharing changes approved in HB 2. Committee members asked how the department could plan for the 2029 changes given the number of elections before then, and Litman said federal rules may be adjusted over time as states and stakeholders raise concerns. He emphasized planning for the worst while hoping for the best, and said rural health care transformation funding would help the state prepare. In the second presentation, Weathers explained that data governance is now embedded in DHHS operations to control access, manage reporting, and respond to risk. He defined it as managing what data is collected, how it is used, who can access it, and what laws apply, and said DHHS has moved from governance as a committee to governance as an operational process. He described privacy impact assessments for new systems going into production, monthly privacy and security training, and ongoing review of access controls and data-sharing rules.

Transcript Highlights:

• inflation especially.
• inflation especially.
• So here's the 80 cities and townships that are impacted.
• </c> cities in townships that are impacted cities in townships that are impacted there's<00:27:06.720
• and it's human health impacts Pas and it's human health impacts happening<01:01:13.200><c> at</c><01

Committee: Senate Capital Investment

Transcript Highlights:

• In the finance arena, we were able to protect linking the general education formula to inflation and
• </c><00:03:09.200><c> and</c> education formula to inflation and education formula to inflation and universal
• Nearly nine out of 10 schools in Minnesota are severely impacted by the shortage.
• This creates instability in the educator workforce, which has the greatest impact on students of color
• This link provides an to inflation.

Bills: HF1388

Committee: House Education Finance

Transcript Highlights:

• These changes don't have a substantive impact; they just provide some clarification and some language
• 00:03:56.879><c> have</c><00:03:57.000><c> a</c><00:03:57.159><c> substantive</c><00:03:57.720><c> impact
• </c><00:03:58.120><c> they</c> don't have a substantive impact they don't have a substantive impact they
• in recent years suffering from inflation in recent years now<00:43:38.280><c> in</c><00:43:38.440><c
• So I just have concerns about this moving forward and how this will impact our budget and our ability

Committee: House Transportation Finance and Policy

Transcript Highlights:

• Increasing operational and maintenance costs due to inflation are a challenge, which is why the governor's
• Our first proposal focuses on identifying, preventing the spread of, and managing the impacts of aquatic
• going forward if there were a impact going forward if there were a place<00:40:49.839><c> where</c><
• on what ultimately the to have an impact on what ultimately the decision<01:02:58.559><c> is</c><01:
• </c><01:04:12.160><c> over</c> cover the full cost of inflation over cover the full cost of inflation

Committee: House Environment and Natural Resources Finance and Policy

Transcript Highlights:

• Just last year, we had 45 of our projects that were impacted by wildfires that had a positive impact
• Second, are the programmatic impacts. What are they?
• Our focus has been on trying to minimize the impact.
• So you think it could have an impact? Yes, thank you.
• of coverage. impact the cost of coverage.

Transcript Highlights:

• Um, first, since we're kind of talking about 2023 and on, I want to be clear that impacts are making
• to be clear that impacts are making a<01:06:40.160><c> huge</c><01:06:40.400><c> difference</c><01:06
• that might have on when what impact that might have on when interest<01:11:04.640><c> rates</c><01:11
• We don't want to expend every dollar at the front end and then not have an inflation adjuster for rent
• So between rent inflation, variable family size, and unpredictable sales tax revenue, and no reason to

Bills: SF2434

Committee: House Housing Finance and Policy

Transcript Highlights:

• Can you explain what's happening with that, and is that impacting? Impacting the state's audit too?
• It is very much beginning to impact our future revenue forecasts.
• We have inflationary impacts, so just generally.
• The cost of our materials has been rising much higher than our budgets and inflation.
• This impact is perhaps the clearest in our tribal communities.

Transcript Highlights:

• And then a few observations updating from last year regarding HR1 impacts.
• How does that impact that?
• “More stable leadership, which has been really impactful.
• Inflation is a tough one for us when we're forecasting these numbers.
• So HR1, the impacts start hitting in 2027–28 and down the road.

Transcript Highlights:

• Primarily it's inflation from when we have submitted before and looked at this.
• Primarily<00:25:32.960><c> it's</c><00:25:33.440><c> infla</c><00:25:34.080><c> inflation</c><00:25:35.279
• ><c> uh</c><00:25:35.440><c> from</c> Primarily it's infla inflation uh from Primarily it's infla inflation
• could do something like this um throughout the years to ensure and we've kept that up to date as inflation
• has grown, but um we've had inflation has grown, but um we've had independent<00:31:26.080><c> reviews

Summary: The House Budget Review Subcommittee on Personnel, Public Retirement, and Finance held its first meeting and heard a presentation from personnel cabinet officials on a major request to replace the Kentucky Human Resources Information System, known as CHRIS, which currently handles HR, payroll, tax compliance, and health plan administration for state government and several local offices. Officials said the system supports payroll for about 48,000 employees, covers all three branches of government and 24 sheriff and county clerk offices, and stores records for nearly 475,000 current and former users. They explained that SAP has said the system will reach end of life and lose support by 2030, creating risks around security, maintenance, and tax compliance if it is not replaced. Commissioners and staff emphasized that the replacement is needed not just as an upgrade but as a full system replacement, especially because the current platform no longer receives meaningful HR enhancements and will eventually lose security updates and tax tables. They also described the Kentucky Employees Health Plan as a major driver of the project, noting it serves nearly 300,000 covered lives, many school boards, pre-65 retirees, and more than 700 entities, with significant complexity in billing, premium collection, and regulatory compliance. Officials said the new system would help address current manual workarounds, support changing insurance rules, and better protect personally identifiable and health information. Members asked detailed questions about the $151 million request, including why the estimate had risen by more than $50 million, what would happen if the project missed the 2030 deadline, how progress would be tracked, how vendor costs were estimated, and what the largest cost components would cover. Officials said the increase was mainly due to inflation and changing requirements, and that there was no real backup plan if the replacement was not completed before support ends. They said the project would be managed through an RFP process expected in July 2026, with kickoff in January 2027 and go-live by July 2030, and that oversight would include an enterprise steering committee, monthly updates, and existing quarterly COT reporting to LRC. They also explained that the largest share of the request is for implementation and integrator services, with additional amounts for software licensing and hosting, independent verification and validation, dependent verification, FSA administration, and limited contract support, and that payments would be tied to deliverables and acceptance testing.

Transcript Highlights:

• The impact would hit the Rio Grande Valley particularly hard, where warehouses and freight operations
• In Hidalgo County, the impact would be significant. ...is particularly pronounced.
• I'd say it's essentially against Texas and Arizona, because that's where the impact is going to be felt
• And you've heard the studies from A&M; there's a real impact to the Texas economy.
• I want to shed a little bit more light on how this directly impacts... ...impacts our small community

Bills: HCR108 , HCR127

Committee: House S/C on International Relations

Keywords: Tomato Suspension Agreement, trade, Mexico, Texas economy, agriculture, import tariffs, job preservation, Taiwan, U.S. relations, economic cooperation, sister-state