Transcript Highlights:

• Taxpayers have developed a program. Not every program runs in perpetuity.
• Taxpayers have developed a program. Not every program runs in perpetuity.
• Taxpayers have developed a program. Not every program runs in perpetuity.
• was a voucher program.
• programs that support important programs programs that support feeding<00:41:39.079><c> children</c>

Committee: Senate Education

Transcript Highlights:

• program for our pod.
• I applied for the step-down program. I applied for the step-down program.
• I was, getting placement into programs. I applied for the Step Down program.
• Programs that did help out a lot were the educational programs.
• PEP program, the Boston College Prison Education Program.

Summary: The Special Commission on Correctional Consolidation and Collaboration met at 10:07 a.m. and approved the minutes from its February 9 meeting. The commission said it would accept Department of Correction testimony in writing because of a scheduling issue, and then spent most of the hearing hearing from people with lived experience in county and state correctional settings. Members repeatedly reminded witnesses to keep remarks to about three minutes and focused the discussion on correctional consolidation, collaboration, programming, and reentry. Testimony from multiple sheriff’s offices was broadly supportive of county-based programming, treatment, education, and reentry services. Witnesses from Hampshire, Barnstable, Hampden, and Franklin counties described access to GED and college courses, vocational training, recovery meetings, therapeutic groups, housing and ID assistance, work release, and reentry centers. Several said these programs helped them gain sobriety, employment, family reunification, and parole readiness. Hampden County witnesses emphasized immediate reentry planning and individualized case management; Franklin County witnesses praised respectful treatment and an accessible off-site reentry center; Barnstable witnesses highlighted the women’s therapeutic treatment program, creative writing, and the Bridge Center; Hampshire witnesses described the Bridge House, work release, and transition supports. Several witnesses contrasted those experiences with what they described as limited or delayed programming in DOC facilities, especially for people serving longer sentences or with restrictive classifications. One witness said DOC programming was hard to access because shorter sentences and offense labels affected eligibility; another described overcrowding, little counseling, and no reentry planning in state prison. A juvenile lifer testified that classification barriers and lack of tailored programming left him feeling unprepared, and another witness said DOC’s handling of classification hearings and records was unfair and opaque. Some speakers also raised concerns about mental health care and visitation policies, especially at Framingham, where one witness said suicidal thoughts were met with inadequate responses and another said family visitation was denied without clear explanation. Commissioners asked follow-up questions about DOC access, step-down opportunities, family support, and whether more transitional housing or acclimation time before release would help. No formal votes were taken beyond approval of the prior minutes.

Transcript Highlights:

• In authorizing the program on an ongoing basis, DSH will be able to Thank you. ...four-year program.
• And in one case, not on this program but also a similar program, like I said, the CCE program, the letters
• who operates the BrightLife Kids programs, and Coots, that operates the Soluna program, have a long
• I'm anxious for us to get going, whether it's this program or, you know, last hearing's program or a
• program from two hearings ago.

Summary: The hearing opened with remarks from the chair and members about recent federal cuts to public health, mental health, family planning, and Title X funding, with strong concern about the impact on California programs and providers. The committee then turned to the Department of State Hospitals, which presented its 2025-26 budget proposal of $3.4 billion, including new positions, capital improvements, and funding tied to increased patient costs and incompetent-to-stand-trial services. DSH reported major progress in reducing the IST waitlist and wait times, said it had met the court’s 28-day treatment benchmark for those without extenuating circumstances, and described workforce recruitment and retention efforts such as residency programs, fellowships, outreach, and hiring streamlining. Members asked about future IST referral trends, SB 1323’s effect on diversion and community treatment, and workforce lessons in high-cost regions; public comment urged reconsideration of county IST growth cap methodology in light of new criminal justice initiatives. The committee next received an informational overview of Proposition 1 and its changes to behavioral health funding and governance. The Legislative Analyst’s Office explained that Prop. 1 restructured county MHSA funding buckets, expanded the Commission for Behavioral Health, shifted prevention and early intervention responsibilities, and authorized a $6.4 billion bond, including $4.4 billion for behavioral health facilities through BHCIP. DHCS said it had released guidance for county integrated plans and was receiving extensive public comment. Members focused on BHCIP application requirements, especially letters of support and tribal projects, and raised concerns about whether DHCS’s implementation matched statutory intent. DHCS said it had authority to set application requirements and that tribal entities were treated differently because of sovereignty and funding structure. DHCS then updated the committee on BHCIP, the Behavioral Health Bridge Housing Program, and related bond implementation. The department said BHCIP had awarded about $1.7 billion across five rounds, with more than 130 projects and 223 distinct facilities funded, and that it was preparing to award the new bond funds after receiving nearly $8 billion in applications. The LAO’s assessment found that more than half of awards served at least 80% Medi-Cal enrollees, but also raised concerns that the regional allocation model could reinforce inequities, that the program had not sufficiently addressed the highest-need regions such as the southern San Joaquin Valley, and that smaller counties and less launch-ready applicants faced barriers. For bridge housing, DHCS said more than $1.1 billion had been awarded, serving over 5,000 people and supporting more than 2,000 operational beds, but the Governor’s budget proposes to eliminate Round 4 funding as the administration weighs other statewide investments and Proposition 1 implementation workload. Public commenters and members urged more accountability, better regional equity, stronger labor and community involvement, and caution about funding for for-profit psychiatric facilities. Finally, the committee heard on the Children and Youth Behavioral Health Initiative. CalHHS and DHCS described CYBHI as a broad prevention- and equity-focused effort with more than 1,300 organizations funded, over $2.1 billion awarded, and multiple work streams spanning schools, community programs, workforce, and digital supports. DHCS highlighted school-based services, the fee schedule rollout, and digital platforms BrightLife Kids and Soluna, which it said are reaching users statewide and providing low-barrier access to coaching and support. Members and public commenters raised concerns about delays in school fee schedule implementation, the large share of funding going to digital tools, the need for more in-person services, and whether the initiative is sufficiently tracking outcomes and equity impacts. No formal votes were taken during the hearing.

Transcript Highlights:

• The program that we are responsible for is a $2 billion last mile program.
• We manage six legislative mandated programs to help us strive towards achieving this program.
• The California Lifeline Program, along with the Federal Lifeline Program, provides a combined $28.25
• This FFA program, the Federal Funding Account, is a multi-year program and to date 108 projects have
• Assemblymember Colosa, you mentioned the Affordable Connectivity Program, which was a federal program

Committee: House Communications and Conveyance

Transcript Highlights:

• Our child care and development programs are provided through voucher-based programs, which provide certificates
• Program, also known as CAP, our Migrant Alternative Payment Program, CMAP.
• To my second point, expanding programs across our mixed delivery system, child care program enrollment
• The program has been in a state...
• doubled the impact of the youth legal services program and the removal defense program.

Summary: The committee heard an extensive Department of Social Services presentation on child care budget issues, including the Governor’s proposed 2026-27 budget, federal CCDF changes, Prop. 64 revenue adjustments, and a one-time $11.5 million disaster-related infrastructure grant for licensed child care facilities affected by 2025 declared disasters. DSS said federal formula updates and lower Prop. 64 revenues would reduce funding and could result in about 4,176 CCTR slots being reduced, but the department said it was working to avoid impacts to currently enrolled children. The LAO supported aligning general child care funding with lower revenues and asked for more detail on the disaster grant. Members pressed DSS and Finance on why reductions were not being backfilled and why so many awarded slots remain uncontracted or unused; DSS said delays are largely due to providers building new infrastructure, licensing, staffing, and enrollment challenges, and that some unspent funds revert to the General Fund. The committee also discussed whether some contract dollars should be shifted to vouchers and whether more flexibility should be allowed for infrastructure and expansion costs. A second panel focused on the state’s commitment to expand child care and on rate reform. DSS reported that nearly 125,000 new slots have been awarded since 2021-22, but speakers from Stanislaus County Office of Education, Parent Voices California, and the California Budget and Policy Center argued that unmet need remains large and that the system still leaves many families without access. Stanislaus County described a large local shortage of infant and toddler care and said reimbursement disparities between child care programs and state preschool create disincentives for providers. Parent Voices gave testimony about the burdens and instability families face when trying to access care, especially for survivors and low-income parents, and called for a universal, publicly funded system. The Budget Center said only about 16% of eligible children were enrolled in 2024, urged expansion across the mixed delivery system rather than concentrating investment in TK, and called for faster rate reform and new revenue. LAO estimated that bringing certain CCTR adjustment factors up to CSPP levels would cost $88 million to $131 million ongoing. Members and witnesses discussed the single rate structure, automation needs, and the need for deadlines and a ramp-up plan; DSS said the goal is to eliminate disparities, but that policy decisions are still needed before automation can proceed. The committee then reviewed several trailer bill proposals. DSS outlined a 2026-27 COLA proposal that would apply a 2.41% increase through cost-of-care-plus payments, though the department said it had inadvertently excluded CalWORKs Child Care and the Emergency Child Care Bridge Program and would revise the proposal; LAO recommended making the COLA methodology uniform across programs. DSS also proposed replacing the market rate survey with the federally approved alternative methodology on a triennial schedule, limiting temporary absences in family child care homes to 20% of monthly hours, defining excessive unexplained absences as more than 30 days in a year, and aligning family fee deductions with new federal requirements so providers receive the full voucher value. Members generally supported the temporary absence change and asked about implementation timing for the family fee deduction, with DSS saying it was in contact with Riverside County. The committee also heard a brief update on the Early Childhood Policy Council reappropriation, which would extend unused funds through June 30, 2028 because prior costs came in higher than expected.

Transcript Highlights:

• As you mentioned, the PUA program was a lot different than the UI program is now.
• As you mentioned, the High Road program is a one-time funded grant program. Right.
• It sounds like you run the program.
• program.
• program.

Summary: The Senate Budget Subcommittee on Corrections, Public Safety, Judiciary, Labor, and Transportation heard presentations on labor and public employment issues from the Employment Development Department (EDD), the California Workforce Development Board (CWDB), and the Department of Industrial Relations (DIR). The committee first focused on EDD Next modernization, where EDD described progress on online claims, call center upgrades, language access, fraud prevention, and the Integrated Claims Management System (ICMS). The Legislative Analyst’s Office urged closer legislative oversight, especially as the project moves into the most difficult phase. Senators asked about the revised timeline, total cost, fraud reduction, stress testing, transparency around change orders, and the decision to phase in disability insurance and paid family leave before unemployment insurance. EDD said the overall project cost remained about $1.2 billion, that it had no major cost overruns, and that it had saved more than $20 million by shifting some shared customer portal work into ICMS. The subcommittee then considered CWDB’s request for additional operational resources and trailer bill language to streamline reporting. CWDB and the Department of Finance said staffing had been expanded during the pandemic-era surge in grant funding and should now be reduced as one-time grant programs wind down. Senators questioned the proposed staffing reduction, arguing that workforce development needs remain strong and that the board’s policy role still requires adequate capacity. The committee also discussed a proposal to consolidate multiple annual and interim reports into a single biennial report, with LAO supporting the streamlining. Members asked about reporting for specific programs and the cost savings from reducing duplicative evaluations. A major portion of the hearing addressed DIR’s proposed reforms to the Subsequent Injury Benefits Trust Fund (SIBTF) and related workload funding. DIR and LAO described rapid growth in applications, a large and growing backlog, and sharply rising liabilities and employer assessments. The administration’s trailer bill would tighten eligibility, apply reforms to open cases, and use contemporaneous evidence and QME reports to document preexisting disabilities. LAO said the proposal largely matched its prior recommendations and would help return the program to its original intent. Senators raised concerns about fairness to pending claimants, the effect on workers with undocumented preexisting conditions, and whether the QME system could absorb the added workload. The committee also heard DIR’s request to eliminate vacant positions under a statewide vacancy sweep, with members objecting that some vacancies reflect unmet enforcement and safety needs rather than excess capacity. The hearing continued with DIR proposals for additional Cal/OSHA investigative staff, permanent changes to Workers’ Compensation Appeals Board petition deadlines, and apprenticeship-related funding increases. DIR sought 14 permanent positions for its Bureau of Investigation to handle serious workplace fatalities and injuries, and members emphasized the importance of timely investigations and family communication. The WCAB requested making permanent a 2024 change that starts the 60-day reconsideration clock when a case is transmitted rather than when the petition is filed; the board said this had reduced the number of cases awaiting decisions from 637 to 460. Finally, DIR proposed increasing apprenticeship training grants from $3 million to $20 million annually using the Apprenticeship Training Contribution Fund, citing an $80 million fund balance and workforce demand tied to rebuilding and infrastructure needs, and then began discussion of a separate request to expand pre-apprenticeship programs.

Transcript Highlights:

• And this includes funds for the line program.
• for the Bright Futures Scholarship Program.
• Veterans Program, and the Effective Access to Student Education, the EASE Grant Program. ...fully funding
• that, the Benacquisto Scholarship Program, Children and Spouses of Deceased and Disabled Veterans Program
• . $38 million to address caseload growth in the Guardian Assistance Program, extended foster care program

Summary: The Appropriations Committee met for Budget Day and heard presentations on the Senate’s proposed 2025-2026 budget, SPB 25-200, totaling $117.4 billion. Chair Hooper said the plan reduces overall spending from the prior year, keeps strong reserves, includes a 4% pay raise for state employees, maintains employee health care contributions, and makes major investments in water quality, transportation, and education infrastructure. Committee chairs then summarized their budget silos, including K-12 education, higher education, health and human services, criminal and civil justice, transportation/tourism/economic development, and agriculture/environment/general government. Members asked questions mainly about school funding, AP and dual enrollment support, voucher and scholarship impacts, and the My Safe Florida Home program. The committee adopted a large consent package of amendments and then approved three late-file amendments: funding virtual college tours for high school students, funding the FSU Sunshine Genetics program, and providing money for the Port of Fernandina customs facility. The committee then voted to report SPB 2500, the General Appropriations Bill, as a committee bill. It also favorably reported SPB 2502 (implementing bill), SPB 2504 (state employees placeholder), SB 7022 (Florida Retirement System contribution rates and DROP changes), CS/SB 1320 (recreating the Resilient Florida Trust Fund), SPB 2506 (gaming compact revenue distributions, including water projects and rural lands), SPB 2508 (29 new judgeships), SB 7014 (ending the court mediation and arbitration trust fund), SPB 2510 (K-12 conforming bill), SPB 2512 (higher education conforming bill), and SPB 2514 (health and human services conforming bill). The committee also took up several policy bills. It approved SB 7028 on cancer research, creating grant parameters, reporting requirements, a five-year pediatric cancer research incubator, and the Bascom Palmer Eye Institute VisionGen Initiative. It approved CS/CS/SB 170 on nursing home quality, adding resident satisfaction surveys, medical director standards, safety culture reviews, electronic health record requirements, financial reporting penalties, and a study of best practices. It approved CS/CS/SB 168, the Tristan Murphy Act, which expands mental health diversion options, adds Hillsborough County to a forensic hospital diversion pilot, expands grant uses, and creates a behavioral health data repository. It also approved SB 114 creating the Florida Center for Excellence in Insurance and Risk Management at FSU and moving the public hurricane loss model there. The committee then began considering SB 180 on emergency preparedness and response, including a late-file amendment, but the transcript cuts off before final action on that bill.

Transcript Highlights:

• government is particularly interested in the Medicaid program and the DTA program and the Medicaid program
• , the adult foster care program, and the adult day health program.
• The personal care attendant program, the adult foster care program, and the adult day health program
• programs, I am.
• Programs on that campus, which includes substance use disorder treatment programs, residential programs

Committee: Joint Joint Committee on Ways and Means

Summary: The Joint Committee on Ways and Means held a Health and Human Services budget hearing in Clinton, with opening remarks from Chairs Meg Kilcoyne and Robin Kennedy, local officials, and many House and Senate members introducing themselves. The hearing focused on Governor Healey’s FY27 EOHHS and MassHealth budgets, with repeated themes of rising health care costs, federal funding uncertainty, workforce shortages, and access to care in underserved regions. Members also raised concerns about primary care shortages, rural and regional disparities, behavioral health access, maternal health, food insecurity, and the impact of federal policy changes on Massachusetts programs. EOHHS Secretary Kiame Mahaniah said the FY27 EOHHS budget totals $33.7 billion, reflecting mostly non-discretionary growth from health care costs, labor costs, caseload increases, and provider rate pressures. He highlighted targeted investments in foster care, family resource centers, maternal health, youth services, nutrition programs, immigrant legal services, and human service workforce rates, while warning that federal actions could strip roughly $3.5 billion annually from the state’s health care funding. In response to questions, he defended the administration’s cooperation with federal audits and program integrity efforts, discussed the primary care crisis, and said the state is trying to preserve core services while preparing for a more difficult FY28 budget cycle. MassHealth Undersecretary Mike Levine then described two major FY27 challenges: double-digit cost growth and the expected effects of the federal One Big Beautiful Bill Act. He said MassHealth’s proposed $22.7 billion gross budget includes a 7.5% increase and relies on a moratorium on new expansions plus targeted reductions, including a $1,000 annual adult dental cap, ending GLP-1 coverage for weight loss only, reducing care management to peer-state levels, and work groups to slow growth in PCA, adult foster care, and adult day health spending. Members questioned the impact on Boston Health Care for the Homeless, preventive care, and regional access; Levine said the changes are meant to preserve sustainability, that children and certain disabled populations remain protected, and that the administration will continue working with providers, advocates, and the Legislature on implementation and longer-term reforms.

Transcript Highlights:

• Bill, including the federal-aid and non-federal-aid highway programs and two popular grant programs:
• the Municipal Pavement Program and the Shared Streets and Spaces municipal grant program.
• The CTF has been used effectively for the Accelerated Bridge Program and Rail Enhancement Program in
• The Rail Enhancement Program...
• Some of these new programs, like the FAIR Program for municipally owned bridges and the rail...

Committee: Joint Joint Committee on Bonding, Capital Expenditures and State Assets

Summary: The Joint Committee on Bonding, Capital Expenditures and State Assets held a public hearing on H. 5279, a bill financing long-term improvements to municipal roads and bridges. MassDOT and A&F testified in support, describing the bill as a more than $5 billion transportation bond package centered on a four-year, $1.2 billion Chapter 90 authorization, plus funding for MBTA rail reliability and modernization, housing-related transportation improvements, a new DCR/MassDOT PRISM program for parkways and other DCR assets, and reauthorizations of the Municipal Pavement Program, Shared Streets and Spaces, and highway programs. They said the bill would support safety, resilience, housing production, and multimodal transportation, and noted that some bonds could be issued as special obligation bonds backed by the Commonwealth Transportation Fund and Fair Share revenues. Committee members asked about the size and structure of the authorizations, the federal match for highway projects, the source of MBTA vehicle procurement, bridge repair needs, and whether the housing-related funds could be used flexibly for items like sidewalks, bike lanes, bus stops, and other local transportation improvements. Administration witnesses said the bill is intended as a temporary refill of existing programs until a larger transportation bond bill is filed next session, that the federal-aid line includes the full spending authority while the state only borrows the 20% match, and that the housing-related program is deliberately broad and not limited to MBTA communities. They also said Chapter 90 includes a road-mile component that especially helps rural communities and that preservation and safety are built into the programs. The Massachusetts Municipal Association also testified in strong support, emphasizing that Chapter 90 is the most important tool municipalities have to maintain the roughly 30,000 miles of local roads and bridges they are responsible for. MMA urged timely passage before construction season and praised the continued $300 million Chapter 90 level, especially the $100 million road-mile distribution that helps communities with large road networks and smaller populations. No votes were taken on the bill, and the hearing concluded with adjournment after testimony ended.

Transcript Highlights:

• A lot of programs taught me about myself, did CBT programming, and things like that.
• program for our pod.
• I applied for the step-down program. I applied for the step-down program.
• PEP program, Boston College Prison Education Program.
• program, which is program engagement strategy, meaning if you don't partake in programs, we're going

Summary: The Special Commission on Correctional Consolidation and Collaboration met to approve prior minutes and then heard extensive testimony focused on reentry, programming, and the differences between Department of Correction facilities and county sheriff programs. Much of the testimony came from incarcerated or formerly incarcerated people describing how county facilities offered education, treatment, work release, identification documents, housing help, and reentry planning that they said were often unavailable or harder to access in state DOC settings. Several witnesses emphasized that these programs helped them obtain sobriety, employment, family reunification, and parole readiness, while others said they needed more time, mentoring, or transitional support before release to make the most of those services. Witnesses from Hampshire, Barnstable, Hampden, and Franklin counties described specific programs such as high school/GED completion, college courses, culinary arts, vocational training, recovery groups, therapeutic treatment, and community-based reentry centers. Many said staff treated them with dignity and that the facilities’ culture encouraged accountability and personal change. A few witnesses also noted that some programs were not a fit for their needs, especially for people without substance-use issues or for those whose mental health needs were not adequately addressed. One Barnstable witness said she returned to custody within 48 hours of release because she was not mentally prepared for reentry, and another from Framingham said mental health support was insufficient and visitation restrictions worsened her experience. Commissioners asked follow-up questions about DOC access to programming, classification barriers, reentry preparation, and visitation policies. Several witnesses said DOC programming was limited by sentence length, classification status, or program waitlists, and that some people were steered into programs that did not match their needs. A number of commissioners and the sheriff present responded by stressing the importance of wraparound services, individualized planning, and hiring formerly incarcerated staff. No votes or formal actions were taken beyond approving the minutes and receiving testimony.

Transcript Highlights:

• only education programs or only workforce programs.
• CTE programs and workforce programs are, in fact, just different sides of the same coin.
• That's not a program cost.
• Now, WIOA is not the Pell Grant program. WIOA is not the student loan program.
• Now, we owe is not the Pell Grant program. We owe is not the student loan program.

Committee: All ALC-HOSPITAL, MEDICAID, & DEVELOPMENTAL DISABILITIES STUDY SUBCOMMITTEE

Summary: The committee heard a lengthy presentation from Nick Moore, acting assistant secretary of the Office of Career and Technical Education, focused on integrating workforce, education, training, and human services systems. Moore argued that federal programs under WIOA, Perkins, and ESSA should be aligned more closely, with fewer administrative layers, more state flexibility, and stronger use of labor market information to steer training toward in-demand jobs. He emphasized combined state plans, streamlined reporting, cross-training staff, integrated intake and case management, and better use of tools such as apprenticeships, talent marketplaces, and co-enrollment with SNAP, TANF, and Medicaid to help people overcome benefit cliffs and move into work. Moore also criticized current workforce outcomes, saying too much money is spent on overhead and too few participants end up employed in jobs related to their training. He urged states to reduce duplicative one-stop centers, improve transparency in budgeting, modernize data systems, and use performance measures tied to labor force participation, training-related employment, and retention. Members asked about balancing flexibility and accountability, the role of employers versus postsecondary institutions, rural “training deserts,” statewide waivers, and data-sharing systems such as Mississippi’s workforce technology efforts. Moore said the department wants to help states get to “yes” on innovative ideas, but that some changes would require congressional action. After Moore’s presentation, DHS Secretary Janet Mann and Director Jay Hill gave a brief update on reimbursement rates. They said the agency had compiled and posted responses to more than 100 public comments, had recommended that the governor keep current rates in place, and expected the executive review process to take about 30 to 60 days. A senator asked for clarification on the legislation requiring monthly verbal and written reports. The meeting then adjourned, with members noting a later presentation on an audit of state programs.

Transcript Highlights:

• IHSS is a very large program.
• IHSS is a vital program. It's not an optional program for those who use it.
• residual program.
• This is a growing program. This is a growing program.
• Part C programs.

Transcript Highlights:

• So if they were to receive federal grant programs, it's used in conjunction with the UAS program.
• So does that, if I could continue, expand outside of the UAS program? Other programs also?
• No, the grant programs. So you presented a report regarding our grant program?
• Programs, the ability to understand program needs, and set funding priorities that align with overall
• Two of those programs you'd highlight are the Community Development Block Grant program, which helps

Summary: The Budget Section’s Commerce and Legal Services Division met to review the Department of Commerce base budget for the 2027-29 biennium and to receive an update on Commerce programs. Legislative Council staff first walked the committee through the “blue sheet” base budget summary, explaining the major line items, the large share of federal grant authority in Commerce’s budget, and the continuing appropriations that support several Commerce funds. Members asked how grant funding is coordinated across agencies, and staff said collaboration varies by program but is strong in areas like UAS and LIHEAP. Commerce Commissioner Chris Schilken then presented on current activities, focusing heavily on grant administration, transparency, and economic development programs. Members questioned how grant applicants are selected, whether Commerce tracks applications and return on investment, and how long grant awards take to reach recipients. The commissioner said Commerce uses scoring criteria, outside reviewers, a minimum 30-day application window, and typically completes awards within two to three months. A lengthy exchange followed over whether Commerce should open some grants only to intended recipients versus running competitive application processes; Commerce said it follows best-practice grantmaking and that its attorney in the Attorney General’s office approved that approach. Commerce also highlighted the North Dakota Development Fund, citing long-term investment and job creation results, examples such as Red Trail Energy, Packet Digital, Valiance, Corvent Medical, child care loans, and the Automate ND program. Members asked about acceptable failures, lessons learned, regional economic development coordination, and the expansion of the fund into non-primary sectors. Workforce Director Katie Ralston Howell then outlined a statewide workforce ecosystem review, a new governor’s workforce sub-cabinet, and three task forces focused on simplifying entry, warm handoffs, and data integration. She discussed the in-demand occupations list, Workforce Pell, apprenticeships, and efforts to better connect students with employers and higher education. Commerce also briefly reviewed housing programs and a new housing sub-cabinet. No votes were taken; the committee simply received testimony, asked questions, and adjourned after setting up the next meeting to hear the Attorney General budget in June.

Transcript Highlights:

• Youth development programs are defined as programs that serve youth from ages 5 to 24 and focus on holistic
• These programs may include mentoring, expanded learning opportunities, after-school or summer programs
• programs, college and career counseling, sports, arts, STEM programs, and time outdoors with community
• Thanks to our program, and we are one example of Washington's youth development programming.
• a program were available.

Summary: The committee first heard Senate Bill 5992, which would create a non-appropriated Youth Development Fund account to support grants for positive youth development programs serving ages 5 to 24. Staff explained that OSPI would administer grants to nonprofits, tribes, and local parks and recreation entities, with school districts and ESDs eligible mainly as partners; annual reporting would be required. The sponsor and many testifiers, including students, youth-serving nonprofits, tribal representatives, and agency partners, described after-school, mentoring, arts, sports, outdoor, and wraparound programs as important for mental health, belonging, safety, civic engagement, and prevention, especially for vulnerable and rural youth. The committee then moved to executive session and adopted a substitute and passed SB 5992 to the Rules Committee. The committee also took executive action on Senate Bill 5952, which would standardize the process for excusing high school students from physical education, and on Senate Bill 5961, which would transfer the Imagination Library of Washington from DCYF to OSPI. In both cases, the committee adopted proposed substitutes that narrowed or adjusted the bills, then voted them out of committee: SB 5952 was sent to Rules, and SB 5961 was sent to Ways and Means. The committee also heard Senate Bill 5969 on allowing an IEP transition plan to satisfy high school and beyond plan requirements; after discussion, a substitute was adopted that instead directs OSPI to reduce duplication in the statewide IEP system, and the bill was passed to Ways and Means. Later, the committee heard Senate Bill 5918, which would increase materials, supplies, and operating costs (MSOC) funding by $100 per student or $100,000 per district, whichever is greater, starting in the 2026-27 school year. Testimony from educators, administrators, school board members, PTA, and OSPI emphasized that districts are using local levy dollars to cover basic operating costs such as utilities, insurance, curriculum, and maintenance, leaving less for enrichment and forcing cuts or deferred purchases. One opponent argued against additional taxes and questioned the return on school spending. The sponsor framed the bill as necessary to meet the state’s paramount duty to fund basic education. The transcript then shifted to Senate Bill 5951 on school access to albuterol, which would allow schools to keep stock albuterol under a statewide standing order and let trained staff administer it under certain conditions; students, nurses, and advocates testified that stock albuterol could reduce absences and improve safety for students with asthma. Finally, the committee began hearing Senate Bill 6042 on school mapping, which would require school safety plans to include accurate, interoperable digital maps for first responders; the sponsor and emergency response witnesses said standardized maps are critical for coordinated, timely response in school emergencies.

Transcript Highlights:

• ... ...of the Homekey program.
• The mixed-income program, which I had ...where he said similar to the mixed-income program.
• to modernize the program.
• Housing Program.
• We know this program works.

Transcript Highlights:

• Yeah, the My Home program is a down payment assistance program with a smaller down payment assistance
• And in terms of the exercise program, it has been, so far, a successful program.
• reductions within the program.
• Housing Program.
• We know this program works.

Summary: Assembly Budget Subcommittee 5 on State Administration heard two housing-related trailer bill items tied to the Governor’s reorganization plan. The first item would codify the creation of a new Housing and Homelessness Agency and a Business, Consumer Services and Housing Agency structure; the second would further streamline the state housing finance system by creating a Housing Development and Finance Committee and reserving most private activity bond capacity for affordable housing. Administration officials said the changes are intended to reduce duplication, speed awards to construction, and make housing funding more predictable and efficient. Agency leaders described recent housing investments and implementation steps, including work groups, coordination with Finance, the Controller, and the Treasurer’s Office, and development of new guidelines and staffing. Members raised concerns about limited funding, the need for better program-by-program outcome data, youth homelessness, excess sites, and fraud prevention. The Interagency Council on Homelessness presented new three-year action plan metrics, including goals to increase exits from unsheltered homelessness to 70% and move more people into permanent housing, while also noting current performance data and quarterly public reporting. The Legislative Analyst’s Office said it had no concerns with the first trailer bill, but supported the general concept of the second while recommending changes, including removing or revising the proposed 50% bond-cap floor for the new committee and adding attention to 9% and state tax credits. Public commenters, including local governments, nonprofit developers, housing authorities, and advocacy groups, largely supported the reorganization and streamlining goals, but several urged stronger protections for deeply affordable housing, earlier reallocation of unused bond authority, continued access to 9% credits, and more funding for housing programs. No votes were taken in the portion provided; the chair closed item one and moved to item two after member and public testimony.

Transcript Highlights:

• questions and if it's a new program what is the full funding of it look like if it's a pilot program
• And they comprise not only federal workforce programs... ...federal workforce programs.
• our federal workforce programs.
• Maybe it should be called a tax credit program so it doesn't count in that 80, you know, programs.
• John, on the program evaluators, how are you determining what programs they're going to look at?

Summary: The committee met with a quorum, approved the previous minutes, and then received an update from Senator Jonathan Sickler on the Cash Management Board’s work under House Bill 1278. He said the board has been reviewing statewide cash, liquidity, and investment practices, finding that the state generally manages money well but could improve forecasting, automation, and coordination across agencies. He highlighted that the state has about $35 billion in liquid assets and investments, with most in longer-term investments, and described a change already underway replacing more than 500 six-month CDs with a special-rate savings account to reduce administrative work. Members also discussed the impact of House Bill 1176 on Legacy Fund earnings and the possibility of future legislation to avoid losing investment returns when large transfers are made all at once. The board also noted that some agencies still hold funds outside the Bank of North Dakota system, and that this is being reviewed. Representative Nathan Toman then updated the Task Force on Government Efficiency, saying the group has focused on how to measure whether programs are actually working. He said the task force has not yet proposed legislation, but the administration has agreed that new and expanding programs should answer five questions, including who is affected, what outcome is expected, whether there is another way to do it, and how success will be measured. Members discussed the need for dashboards, program evaluators, better data collection, and possible use of artificial intelligence to identify duplicate or outdated programs. Toman said the task force will continue reviewing agency workflows, with upcoming presentations from courts, the university system, the auditor, and other agencies, and that future legislation or rule changes may be needed to require performance metrics. Phil Davis of Job Service North Dakota presented labor market and program updates. He reported that North Dakota’s unemployment rate is 2.5%, labor force participation is about 68.7%, and the state continues to rank near the top nationally. He reviewed job openings, in-demand occupations, and several workforce programs, including H-2A agricultural worker inspections, the Job Placement Partnership Program with DOCR, and virtual and in-person job fairs. Davis said the DOCR partnership has shown strong results, with lower recidivism and higher earnings for participants, and he emphasized that Job Service tracks outcomes and reports them to federal and state partners. Members asked about child care subsidies, workforce participation, agency coordination, and whether more staff are needed for H-2A inspections. Finally, Allen Knutson presented the updated S&P Global revenue forecast. He said oil prices have risen sharply since the last update, making the revenue outlook more favorable but still volatile. S&P’s baseline forecast showed the current biennium’s four major tax collections about $89 million above the legislative forecast, and a much larger increase for the next biennium, though he cautioned that federal tax changes and oil market uncertainty could alter the numbers. In an alternate scenario using higher near-term oil prices, he estimated about $242 million more in oil and gas tax collections and roughly $120 million more for the Strategic Investment Fund. Members asked whether another forecast should be requested once oil markets stabilize and about changes in tribal oil production assumptions.

Transcript Highlights:

• This includes funding for the nursing program.
• Bright Futures Scholarship Program.
• Grant Program may be used for.
• scholarship programs and requires the use of a single application for all scholarship programs.
• This creates a tax program to encourage supporting these programs by offering tax relief.

Transcript Highlights:

• programs decreased.
• of program types completing the program over that time.
• programs.
• Loan Forgiveness Program.
• I've seen the EPP, the preparation programs, the teacher prep programs.

Transcript Highlights:

• And we know that that's been the case with a lot of our programs because our programs are complex.
• We have 29 grant programs, 34 subcategories to those grant programs.
• across several of those programs.
• The Washington Wildlife and Recreation Program is our largest single grant program, but it has 12 subgrant
• That's all within that program.

Committee: House Capital Budget

Summary: The Capital Budget Committee met on December 4 and heard presentations from the Department of Commerce, the Recreation and Conservation Office (RCO), and a consultant on the School Construction Assistance Program (SCAP) study. Commerce described its $5 million pilot under SB 5200 to reduce barriers for historically excluded community organizations and local governments, using trusted community messengers and technical assistance; officials said 18 organizations received readiness funding and 79 smaller projects were also supported. Commerce emphasized persistent barriers such as match requirements, reimbursement-based payments, site-control rules, insurance and audit costs, and extensive contracting requirements, and said it is responding with more outreach, digital modernization, internal process improvements, and planned innovation centers. Members asked about small business support, housing program placement, outreach in Eastern Washington, and tribal engagement, and Commerce said it would share contact and demographic information and continue follow-up. RCO reported on its equity work and implementation of a 2021-23 proviso directing it to reduce barriers and improve equitable delivery of grants. The agency said it had already made changes before the proviso, including a small-communities carve-out in youth athletic facilities, stipends for advisory committee members, and match reductions in some programs. Its equity review recommended prioritizing high-need areas, changing scoring criteria, improving applicant capacity, and funding projects that address broader community challenges. RCO said it has since updated grant criteria, added objective measures, aligned application questions, expanded technical assistance, and launched the Planning for Recreation Access program, which funded 54 projects in 34 counties. It also described the Community Outdoor Athletic Facilities program, which did not require match and drew broad interest, with about $200 million in applications across COAF and youth athletic facilities. Members raised concerns about access to information and application complexity, and RCO said it is expanding outreach, advisory committee diversity, and support for outdoor learning programs. The final presentation summarized the SCAP planning study and proposed nine policy changes to address school facility funding challenges. The report found that construction costs have risen faster than SCAP support, many districts have limited debt capacity, and local bond/levy approvals have become harder to secure. Proposed solutions included stronger planning support, a new minor modernization category, use of unused biennial SCAP funds for faster deployment, an education-specification prototype, a SCAP enhancement program for low-capacity districts, acceptance of all non-SCAP local funding, phased modernization, streamlined D-form and reimbursement processes, and revisions to the SCAP formula to better reflect grade-band differences, enrollment projections, and regional cost variation. Committee members said some recommendations could be implemented by OSPI in the near term and asked for supporting documentation on the application and funding formulas. The committee took no formal vote and adjourned after the presentations and questions.