Transcript Highlights:

• So expenditures are calculated using data from the Arkansas Public School Computer Network, which we'll
• These are calculated by the Division of Elementary and Secondary Education.
• Again, these are calculated by the Division of Elementary and Secondary Education.
• And in the PowerPoint yesterday, in the presentation, there's a discussion, some calculations, if that's
• Are there... federal dollars prevents us from identifying exactly which fund sources and revenues are

Summary: The joint education committee continued its adequacy study with a detailed Bureau of Legislative Research presentation on resource allocation, covering how Arkansas school districts and charters spend foundation and other funds on matrix and non-matrix items. Staff explained the methodology for mapping expenditures, the district and school categories used in the analysis, and key findings showing that districts spend more per student from all fund sources than the foundation amount alone. The presentation highlighted that classroom teachers account for the largest share of matrix spending, while operations and maintenance, student support staff, nurses, and other lines also drew significant attention. Members asked for additional breakdowns by district type, size, rural/urban status, and trend data, and several questions focused on how waivers affect funding and spending, especially for library media specialists and other positions. The committee then discussed non-matrix spending, including instructional aids, non-technology-related facilities, school safety, mental health services, dyslexia support, food service, gifted and talented, career and technical education, and other items not explicitly defined in the matrix. Staff reported that non-matrix spending exceeded $2 billion in 2025, with most of it coming from other fund sources, and that the top superintendent-identified unmet needs over recent surveys were mental health services, school safety, and dyslexia support. Members raised concerns about dyslexia identification and funding, possible over-identification, and whether some support costs are being coded in ways that obscure the true spending picture. There was also discussion of facilities funding, the building fund, and the Department of Education’s partnership program for school construction and maintenance, with staff agreeing to provide more information and potentially bring department officials back for a future meeting. Throughout the meeting, members repeatedly requested more granular data and clarifications, including waiver counts and funding impacts, trend lines for superintendent-reported needs, district-by-district spending spreadsheets, and definitions for certain matrix and accounting terms such as salary enhancement, LEA indebtedness, and other employee health insurance. The chair noted that the committee would continue the adequacy process over the coming months and use the worksheet in the binder to develop recommendations for the next biennium. No votes were taken during this portion of the meeting; instead, the committee received the report, asked for follow-up data, and agreed to continue the discussion at future meetings.

Transcript Highlights:

• of house household income calculation of house household income for<00:36:12.400><c> renters's</c><00
• </c><00:37:22.960><c> of</c> excluded from um the calculation of excluded from um the calculation of
• </c> there was an error in the revenue there was an error in the revenue estimate<00:38:04.480><c> that
• The department of revenue as possible.
• department of revenue had um assured<00:53:48.880><c> us</c><00:53:49.119><c> and</c><00:53:49.599><

Keywords: 1187, senate, all

Transcript Highlights:

• My question is, it doesn't show any generation of revenue.
• And then I see no revenue increase.
• It's just revenue explanation. So it basically is saying that... “Where’s that at?”
• “It’s just revenue explanation. So it basically is saying that... Oh, $750.5.
• And I know that there’s other fracture gradient calculation methods.

Summary: The committee heard House Bill 706 by Representative Riser, which would set a more detailed process for commercial saltwater disposal wells, including site-specific modeling and pressure review. Riser and industry witnesses argued the bill would provide clearer, more predictable rules for operators who have faced long delays and changing requirements, while Department of Conservation and Energy officials said they are already developing guidance and that any pressure standard must remain site-specific to avoid fracturing confining layers, protecting drinking water, and staying within EPA primacy requirements. The department emphasized that geology varies widely across Louisiana and that a fixed pressure number in statute could be unsafe in some locations. Members also discussed the fiscal note, the need for additional staff, and whether the bill would tie the department’s hands or force approvals; witnesses said the bill’s modeling requirements were conservative, but opponents warned the statutory pressure ranges could conflict with site-specific safety determinations. After a technical amendment was adopted, the committee voted on the bill and it failed on a 6-6 tie. The committee then took up House Concurrent Resolution 4 by Representative McCormick, which would suspend Louisiana’s deer baiting ban for 18 months in areas affected by chronic wasting disease (CWD). McCormick and Hunter Nation representatives argued that baiting bans have not stopped CWD in other states, that deer feeders and food plots are part of hunting culture, and that Louisiana should rely on science and a more flexible approach. They cited Wisconsin as an example where CWD spread despite long-standing feed bans and said there has been no proven human transmission. Department of Wildlife and Fisheries officials said bait bans are one of the few tools available to reduce artificial congregation of deer and help limit disease spread, and they explained that the department is also working with a CWD task force and another proposal that would tie restrictions to a 1.5% prevalence threshold rather than an across-the-board suspension. The discussion ended with the department providing information on the impacts of both measures, but no final action on HCR 4 was recorded in the transcript.

Transcript Highlights:

• I have confirmed with the Department of Revenue that all 114 counties in the state have the personal
• The revenue has been balanced out.
• The language that confuses me is where it says the revenue neutral.
• So the revenue they got last year. Right.
• The gentleman from Pike asked, “And what do they use that revenue for?”

Keywords: 959, house, all

Summary: The House established a quorum and then took up several bills for perfection and printing. House Bill 2189, sponsored by the Jasper member, would allow five-year vehicle registrations, eliminate the old even/odd model-year registration rule, and limit the five-year option to vehicles six years old or newer. Members discussed how the bill would interact with emissions, safety inspections, insurance verification, and county tax collection systems. House Amendment 1, which set the five-year fee at $45, was adopted, and the bill was then perfected and printed. The chamber next considered House Committee Substitute for House Bill 1790, a ballot-language measure sponsored by the St. Louis County member. The bill requires clearer ballot wording for local tax levies, including stating levy amounts in dollar terms, alphabetic labeling of propositions, disclosure when a measure would nullify a prior sunset, and a rollback rule tied to reassessment years and voter-approved levies. Members generally supported the transparency goals, and a drafting correction amendment adding a comma was adopted before the committee substitute was perfected and printed. House Committee Substitute for House Bill 2178, sponsored by the Pike member, drew the most extended debate. The bill would limit commercial property assessment increases to 15% per reassessment cycle, require a physical inspection if increases exceed that threshold, and require Board of Equalization decisions by the end of September or revert to the prior year’s assessment. Amendments were adopted to add short-term rental protections so assessors cannot reclassify residential short-term rentals as commercial property, to incorporate ballot-language provisions from other bills, and to add taxpayer protections requiring clearer assessment notices, faster refunds, and litigation-cost recovery in some successful appeals. The body adopted House Amendment 1 by roll call, 92-43 with 5 present, and later adopted House Amendments 2 and 3; House Amendment 4 was then taken up for further discussion at the end of the transcript.

Transcript Highlights:

• the Washington College Grant amount for private not-for-profit four-year institutions would be calculated
• The College Bound Award amount for private, not-for-profit, four-year institutions would be calculated
• This would have an indeterminate decrease on the potential revenue from penalties collected.
• But this would direct 80% of the revenues back to addressing low-income patients.
• But this would direct 80% of the revenues back to addressing low-income patients.

Summary: The committee heard public testimony on Substitute Senate Bill 5828, which would restore and adjust Washington College Grant and College Bound Scholarship award levels for students attending private, not-for-profit four-year institutions. Staff explained the bill would set the awards at 90 percent of the regional and state college rate rather than 50 percent of the research rate, with an estimated fiscal impact of $3.3 million in fiscal year 2027 and $18.6 million over four years. Testimony was largely in support from private college presidents, students, and school counselors, who said the bill would help low-income and first-generation students and preserve access and enrollment choices; some public college student representatives said they did not oppose the bill but argued that cuts to public-school aid should be restored first. The committee also heard Substitute Senate Bill 5911, which would prohibit DCYF from using benefits or funds of youth in extended foster care as reimbursement for their cost of care beginning in 2027, while requiring support for benefit management and payee arrangements and allowing protected accounts such as ABLE accounts. Staff estimated a net fiscal impact of $608,000 in fiscal year 2027 and $2.2 million per biennium thereafter. Testimony in support said the bill would end the practice of withholding SSI and other benefits from youth in care and better support disabled youth transitioning to adulthood. Members asked questions about fiduciary responsibility and representative payee arrangements. In executive session, the committee adopted amendments and advanced several bills. It adopted Amendment Clark 350 to House Bill 2689, raising the required provider response rate for the child care market rate survey to 65 percent, and then reported the bill out with a due pass recommendation by a vote of 18-11, with two excused. It adopted Amendment H-3743.1 to Engrossed Second Substitute Senate Bill 5395 on retrospective prior authorization denials and reported that bill out unanimously. It also adopted Amendment Pool 272 to Senate Bill 5420 and reported that bill out unanimously. For Engrossed Second Substitute Senate Bill 5496, the committee adopted several amendments clarifying scope and penalties but rejected amendments that would have delayed the bill or replaced it with a study; the bill was then reported out with a due pass recommendation. The committee also heard amendment briefings on other bills, including 5981, 6026, 6160, 6184, and 6211, but deferred action on some items heard that morning.

Transcript Highlights:

• current law revenue stream for 2027-29.
• When revenue is lower, and it's assuming there is enough revenue to hit that cap.
• It would be getting 68% of whatever the revenue amount is.
• They each get a percentage of the revenue, the actual revenue, as it's coming in, until they hit these
• So if there's a scenario where the revenue is high, the capital account got a lot of revenue, and then

Summary: The committee held public hearings on several transportation-related bills. On Substitute House Bill 2251, staff explained changes to Climate Commitment Act accounts and revenue distribution, including new operating and capital accounts and a revised split of auction proceeds among transportation, capital, operating, and air quality accounts. Members asked about the bill’s effect on CERA funding, the air quality account, and whether the bill responded to projected revenue declines. Testimony was mixed but generally supportive of the bill’s goal of clearer, more predictable budgeting; tribal testimony requested clearer protections and a dedicated tribal set-aside, while other witnesses supported the bill for its transparency and climate/transportation benefits. No action was taken on the bill during the hearing. The committee then heard House Bill 2588, which would allow county ferry districts to operate and finance vehicle ferries, not just passenger-only ferries. The prime sponsor and county officials from Whatcom and Pierce described the bill as a local option to help fund aging ferry systems without raising taxes, and public testimony from island residents, county representatives, and advocacy groups strongly supported it as a way to stabilize essential ferry service. The committee also heard House Bill 2722, which would raise the vehicle weight threshold for Transportation Benefit District fees from 6,000 to 10,000 pounds. Staff said the change would modestly increase TBD revenue statewide, and the sponsor argued the current law unfairly exempts heavier trucks while lighter vehicles pay the fee. Cities and local officials supported the bill, while the trucking association said it would support a compromise at 9,000 pounds instead of 10,000. The committee also heard House Bill 2727, creating an Educational Transit Access Grant Program for transit agencies and community and technical colleges to pilot free or reduced fares for students; the sponsor and transit advocates said it would improve affordability and access, and testimony emphasized equity and student retention benefits. In executive session, the committee considered Second Substitute House Bill 1923, which would expand who can form passenger-only ferry service districts and where they can be formed, with added intent language related to southern resident orcas and a revised effective date. After discussion, the committee voted 23-4 to pass the bill out of committee with a do pass recommendation. The chair also announced a deadline extension for amendment requests on bills heard that day and thanked staff before adjournment.

Transcript Highlights:

• And then we get down to the funding formula revenue.
• And then we get down to the funding formula revenue. And that's identified as every credit is.
• So when we say funding formula revenue, you're talking the higher ed funding formula.
• Jamie, one, I've another kind of calculation question for you.
• I have another calculation question for you.

Committee: Joint Higher Education Institutions Committee

Keywords: 908, all

Transcript Highlights:

• or coming from general revenue.
• Recurring general revenue is expected to be reduced by $16 million.
• It reduces the tax on slot machine revenues from 35% to 34%.
• And it reduces the gross receipts tax on card room revenues from 8% to 5%.
• It creates three new distributions for doc stamp tax revenues...

Keywords: 999, senate, all

Transcript Highlights:

• We also hope that revenue bonding authority could be added.
• And that internal revenue that comes to the state, local communities, local governments—growth begets
• The port's aviation revenues last year exceeded a half billion dollars.
• The current language gives other public entities the authority to dictate use of port revenues, staff
• How do you calculate this, right?

Summary: The committee heard public testimony on three bills. SB 5652 would require the University of Washington, Commerce, the King County Department of Public Health, and the Port of Seattle to study and mitigate aviation-related air quality and noise impacts around Sea-Tac, create a work group and grant program, address failed noise insulation “port packages,” and require a state auditor review. The sponsor and supporters from affected cities and community groups described serious health and quality-of-life harms from airport noise and pollution, while the Port of Seattle, Washington Public Ports Association, and AWB opposed the bill, arguing it would impose new mandates, raise cost and governance concerns, and interfere with airport operations. Testimony on the bill was reopened after other business and then closed; no vote was taken. SB 6124 would direct Commerce to study an appliance affordability index that would consider repairability, maintenance, recyclability, performance life, and related factors. The sponsor said the bill is meant to help consumers compare lifetime costs and repair options, drawing on family experience with durable appliances. Consumer and environmental advocates supported the idea as a way to improve transparency and encourage repairable products, while industry groups opposed a state-specific index, warning it would create a patchwork of standards and compliance burdens. The hearing closed after testimony, with no action reported. SB 5466 would create a Washington Electric Transmission Authority, give it powers to support transmission development and, in some cases, acquire property and own or sell transmission projects, and provide a SEPA categorical exemption for certain transmission upgrades with tribal and resource-protection conditions. Supporters from clean energy, labor, utilities, and state agencies said the bill is needed to expand grid capacity, improve reliability, speed clean energy interconnection, and create jobs, though many asked for bonding or financing authority and refinements to the exemption language. Some utilities and business groups supported parts of the bill but opposed state ownership or said the authority should focus more on permitting and coordination; others raised concerns about ratepayer risk and duplication. The hearing closed after extensive testimony, with no vote announced.

Transcript Highlights:

• </c> other than June the two biggest Revenue other than June the two biggest Revenue months<00:16:07.880
• </c><00:16:11.480><c> uh</c> better information as far as revenues uh better information as far as revenues
• information for General and education trust revenues.
• information for General and education trust revenues.
• information for General and education trust revenues.

Committee: Senate Finance

Keywords: 1191, senate, all

Transcript Highlights:

• :54.960><c> use</c><01:09:55.120><c> per</c> The calculation for water use per The calculation for water
• Um, so what happens if revenue property tax revenue is less than expected from the development?
• </c><01:21:35.520><c> in</c> do how do they project the revenue in do how do they project the revenue
• </c> right you've taken away now revenues right you've taken away now revenues that<02:13:17.840><c>
• </c><02:13:33.199><c> coming</c> either no property tax revenue coming either no property tax revenue

Bills: SB2190 , SB2338 , SB2424 , SB2356 , SB2981 , SB3028 , SB3187 , SB2378 , SB2398 , SB2192 , SB2155 , SB3219 , SB3218

Committee: House Housing

Keywords: affordable housing, employment contracts, salary caps, housing finance, public housing authority, executive compensation, parking minimums, off-street parking, transit-oriented development, TOD, housing supply, smart growth, redevelopment, adaptive reuse, micro units, rail transit, public transit stations, county zoning, land use, urban planning

Summary: The House Housing Committee heard testimony on a series of housing-related Senate bills. SB 2190 SD2 on inclusionary zoning drew support from HHFDC, Hawaii YIMBY, Grassroot Institute, Housing Hawaii’s Future, and Hako Seed Center, with opposition from OHA and Aloha Independent Living Hawaii. SB 2338 SD1, dealing with housing agency personnel authority, received comments from the Attorney General cautioning that the bill should be clarified to avoid conflicts with civil service and collective bargaining laws and recommending removal of a provision limiting employment contracts; HHFDC said its comments addressed those concerns and supported the measure. SB 2424 SD1, concerning HHFDC, received broad support from housing, business, and community groups, with one opposition. Testimony focused on changing the definition of “qualified resident” so people who already own an HHFDC-assisted unit could later purchase another if their housing needs change; HHFDC said the current rule forces people to sell before buying again and that the bill would help people move up the housing ladder and encourage more housing development. SB 2356 on parking also drew broad support from state agencies, housing advocates, business groups, and local officials, with Unite Here Local 5 in opposition. SB 2981 on land use had strong support from many organizations and 67 individuals, with Unite Here Local 5 opposing. SB 3028 SD2 on property conveyance generated the most detailed policy debate. Supporters, including Catholic Charities Hawaii, Hawaii Children’s Action Network, Indivisible Hawaii, and others, backed restructuring the conveyance tax into a marginal rate system and urged changes to revenue allocations, including dedicated funding for homeless services, DHHL, and the rental housing revolving fund. The Tax Foundation of Hawaii supported the marginal-rate concept but opposed dedicated special-fund allocations and criticized the bill’s blank sections. Committee members questioned the historical purpose of the conveyance tax, and the Tax Foundation explained it was originally a modest tax tied to property-value tracking when the state still ran the property tax system. The committee also heard SB 3187 SD2 on off-site construction, SB 2378 SD2 on housing permitting, and SB 2398 SD2 on residential housing utilities. OPSD supported SB 3187 but said it preferred the House version and wanted clarification that off-site certification should apply to factories in Hawaii, not out of state, to avoid outsourcing labor; it also suggested starting with a small scope. SB 2378 SD2 drew support from engineering, housing, and labor groups, with testimony that the House version included needed fixes to make the program insurable. On SB 2398 SD2, the Board of Water Supply opposed the bill, saying it could require disclosure of sensitive infrastructure information beyond ordinary water-availability assessments and raise critical-infrastructure and cybersecurity concerns; developers and housing groups supported the measure. No votes or final actions were taken in the portion of the hearing provided.

Transcript Highlights:

• All the revenues come into my account. office.
• Of those revenues come to support the Small and Rural Hospital Relief Program.
• This was mostly due to declining tobacco tax revenue.
• One is a per unit measure that looks at the net patient revenue with a case mix adjustment.
• So did that factor into your calculations in choosing a company to make this decision?

Keywords: 988, house, all

Transcript Highlights:

• After these exemptions to raise state revenue.
• I think last year I calculated $1.6 million to Iron County.
• Sales tax revenue for the year 2022, which was prior to this legislation, our overall income revenue
• Sales tax revenue for the year 2022, which was prior to this legislation, our overall income revenue
• Despite the loss of revenue, the demand for services has not changed.

Committee: House Rules - Legislative

Keywords: 959, house, all

Transcript Highlights:

• </c> and keeps it consistent for calculating and keeps it consistent for calculating the<00:10:14.720
• the impact on our region becomes more severe, shrinking our tax base, depressing local business revenues
• <c> business</c> our tax base, depressing local business our tax base, depressing local business revenues
• <c> and</c><00:15:29.440><c> pushing</c><00:15:29.760><c> more</c><00:15:30.000><c> families</c> revenues
• , and pushing more families revenues, and pushing more families toward<00:15:30.959><c> economic</c><

Bills: HF3393

Committee: House Workforce, Labor, and Economic Development Finance and Policy

Keywords: unemployment insurance, iron ore mining, additional benefits, labor force, economic support, 1183, house

Transcript Highlights:

• And so the punchline is that when the census food security data goes away, the calculations behind a
• And so the punchline is that when the census their calculations based on other county level data.
• And so the punchline is that when the census food security data goes away, the calculations behind a
• And they estimate about $600 million worth of taxable revenue that just left because of that.
• And they estimate about $600 million worth of taxable revenue that just left because of that.

Summary: The House Agriculture and Natural Resources Committee held a work session on food systems and food security, with no public testimony. The first panel focused on household food security and data. Marie Spiker of the University of Washington explained what food insecurity means, its health impacts, and the importance of reliable measurement, warning that the federal Census food security data is being terminated and that there is no true replacement. She described Washington’s WaFOOD surveys as a useful complement, not a substitute, and noted that they show food insecurity affects households at a range of income levels. Katie Raines of WSDA described the state’s food systems work, the need for shared data and dashboards, and the role of agriculture in both food production and the hunger safety net. Committee members asked about the $2.2 million state food assistance allocation, the scale of the SNAP gap, and how household size, housing costs, and other factors intersect with food insecurity. The committee then heard from Tracy Roof of the University of Richmond on the history of SNAP and its relationship to agriculture. She traced the program from Depression-era commodity distribution through the modern farm bill, emphasizing that food assistance has long functioned both as anti-hunger policy and as an agricultural and economic stabilizer. She highlighted how SNAP expands during recessions, supports retailers and farmers, and has become more important since the Great Recession because participation stayed high even as the economy recovered. Roof also noted that Washington has relatively high SNAP participation and low payment error rates, but that recent federal changes could reduce eligibility and shift more costs to states. Members asked how Washington compares to other states and why the program is structured as it is. A later panel featured the Washington State Food Policy Forum and a joint systems presentation from the Washington Farm Bureau, Washington Retail Association, and Washington Food Industry Association. The Food Policy Forum described its consensus-based recommendations on food insecurity, climate and water, regional food infrastructure, farmland protection, and farm viability, including more support for producer purchasing, water planning, and farmland conservation. The industry groups presented a systems map showing how agriculture, processing, retail, and transportation are interconnected, and argued that rising costs, regulations, labor and fuel expenses, retail theft, and thin margins make it harder to keep farms and stores viable. They said food security depends on store viability and local agricultural profitability, and promised to provide a more detailed list of policy recommendations. The final panel included state agency staff from DSHS, DOH, and WSDA. Bryce Montgomery said the Basic Food program serves about 920,000 Washingtonians monthly and warned that H.R. 1 could require Washington to pay up to 15% of SNAP benefits, broaden work requirements, and restrict immigrant eligibility. Karen Mullen described DOH nutrition programs, including WIC, farmers market nutrition benefits, fruit and vegetable incentives, and a fruit-and-vegetable prescription program, while noting funding instability and the end of SNAP-Ed. WSDA’s Katie Raines began describing ongoing food assistance and farmer support challenges, including farmer mental health and the need to address food insecurity across both producers and consumers.

Transcript Highlights:

• We've been here before as the Chair for House Taxation and Revenue.
• Speaker and gentlemen, sorry, I had my calculator out. Can you repeat your question, please?
• Again, I stand by the math, and I stand by the totals and the calculations.
• House Taxation and Revenue Committee substitute for House Bill 450 with an emergency clause.
• Speaker, gentlemen, I apologize that I couldn't follow all of those calculations.

Transcript Highlights:

• The Minnesota Housing Finance Agency calculates that Minnesota needs roughly $350 million annually in
• I'll also mention that one of our community action partners has calculated that it costs them roughly
• However, it clearly shows the need for a dedicated revenue source for housing.
• the "Our Future Starts at Home" constitutional amendment campaign that could bring the dedicated revenue

Committee: House Housing Finance and Policy

Transcript Highlights:

• The eligible space for new construction is calculated by comparing the district's current space-wide
• Because this exclusion would reduce the amount of counted space compared to SCAP's calculation of the
• Because this exclusion would reduce the amount of counted space compared to SCAP's calculation of the
• As originally drafted, this bill would have backfilled any shortfall in federal revenues with additional
• After learning that... ...any shortfall in federal revenues with additional state funding.

Bills: HB2470 , HB2353 , HB2420 , HB2338

Committee: House Capital Budget

Keywords: HB2470, school construction assistance, capital budget, school facilities, on-base schools, military base schools, military installations, public school construction, school plant projects, state funding assistance, superintendent of public instruction, OSPI, school capital funding, instructional space, school district construction, alternative learning experience, ALE, free and reduced-price meals, special housing burden, district growth

Transcript Highlights:

• categories and the status of those revenue categories.
• And this is reflected in the IIT revenue picture.
• As you can see, withholding... ...is reflected in the IIT revenue picture.
• In the dark blue bars are revenue, the white bars are spending.
• So you've got a huge pressure pulling down your sales tax revenues.

Summary: The Finance Advisory Committee met for its January session to review Arizona revenue and economic conditions ahead of the budget process. JLBC staff presented the January baseline, noting projected positive cash balances through FY 2029 and about $577 million to $578 million in discretionary capacity, but also highlighting major unfunded items not included in the baseline, including federal tax conformity costs, ongoing one-time spending for state employee health insurance and school facility repairs, and administrative costs tied to H.R. 1. Staff also reviewed revenue trends by category, saying FY26 general fund revenues were running above forecast overall, with strength in retail, restaurants and bars, and individual income tax payments, while contracting and utility-related collections were weaker or flat. They also compared JLBC and executive revenue assumptions and discussed the executive’s proposed revenue changes, including border reimbursement assumptions, sports betting tax changes, data center-related tax and fee proposals, and other non-general fund measures. A major topic was income tax conformity with recent federal tax law changes. Staff explained that current Department of Revenue forms assume “straight conformity,” but the governor’s proposal and vetoed SB 1106 do not fully match those forms, creating possible amendment and timing issues for taxpayers and the department if the legislature adopts a different policy. Members also discussed the difficulty of forecasting revenues amid volatile monthly collections and uncertainty over how much of the current revenue strength will persist in the second half of the fiscal year. Danny Court of Elliott Pollack gave a broader national and state economic outlook, arguing that the U.S. has avoided recession despite several warning indicators, largely because of AI and data center investment, while employment growth has softened and inflation remains above the Fed’s target. He said Arizona remains relatively resilient, with strong population and job pipelines, but faces housing affordability constraints, slowing employment growth, and a more concentrated population forecast in the Phoenix area. Panelists generally agreed that Arizona remains in better shape than many states, though they cautioned that job growth is slowing, population estimates may be revised, and budget and revenue forecasts should be treated carefully given uncertainty in the data. No votes or formal actions were taken.

Transcript Highlights:

• We have revenue estimates from, or not revenue estimates, fee thing information from Safety.
• </c> we were discussing in um the revenue we were discussing in um the revenue committee<00:35:30.000
• It needs the revenue.
• by your Revenue 367 account are driven by your Revenue estimates<00:48:48.200><c> so</c><00:48:49.040
• </c><01:08:19.679><c> of</c> that uh House Bill 563 calculation of that uh House Bill 563 calculation

Keywords: 1189, house, all

Summary: The Finance Division II work session focused on organizing the committee’s remaining budget work and reviewing a set of recommended changes to House Bills 1 and 2. Mr. Landrian explained the committee’s tracking sheets and draft amendment package, noted that the division was being asked to find roughly $200 million in reductions, and said the governor’s lottery proposal in House Bill 2 could help offset part of that target. Members also discussed how revenue estimates tied to fee changes would be handled, with the chair saying the committee could seek Ways and Means input but would ultimately decide the estimates itself. The committee then considered four mostly technical amendments to House Bill 2. It voted unanimously to delete Section 81, which duplicated CCSNH dual and concurrent enrollment language already moving in House Bill 192; to delete Sections 143 and 144, which duplicated police standards and training extra-duty language already in House Bill 778; to adopt a correction to Section 151 that removed an inadvertently repeated sentence; and to delete Section 178 because the same Lottery Commission language already appears in House Bill 1. The committee also agreed to approve Section 4 of House Bill 1, the Lottery Commission boilerplate language, while deferring action on Section 2 of House Bill 1 until the university and community college budget is settled. A substantial portion of the meeting was spent planning upcoming work sessions and discussing possible revenue measures. The committee planned to invite Fish and Game on Monday to review a large set of follow-up materials and to discuss a possible amendment requiring hunters and trappers to pay the license fee before taking free training classes, with a second chance to retake the class if needed. Members also discussed possible fee adjustments for Safety and Fish and Game, including using dedicated-fund fees to reduce reliance on general funds and help stabilize the Highway Fund and Fish and Game Fund. The chair emphasized that all actions were recommendations until the committee’s final deadline and encouraged members to review draft language carefully before voting.