Transcript Highlights:

• , an unrestricted cash balance is?
• We have not seen any school use that restricted cash balance provision, Mr. Chair.
• Not every district needs the same access to cash as another.
• Up as far as cash balances, does a school like Corona get the same unrestricted cash balance as Albuquerque
• We're trying to make sure that we're not saving excess cash.

Transcript Highlights:

• In considering these, the payment.
• </c> settlement but payment in 20 fiscal 25. settlement but payment in 20 fiscal 25.
• That, um, technically that's cash. You could convert that to GEO.
• </c> right and then you could use the cash right and then you could use the cash for<02:45:16.640><c>
• You could um technically that's cash.

Transcript Highlights:

• Writer 15 additional funding sources and cash flow contingency provides for the direct temporary transfer
• No. 5071 to be used for cash flow. and it's subprograms.
• required to transfer any remaining balances at the end of the biennium to TxDOT, which is why the cash
• Cash flow in the amount of $1.4 million and do not include any modifications. Page 9.
• Recommendations include $3 million in RWAF appropriations for debt service payments.

Bills: SB1 , SB 1

Committee: Senate Finance

Transcript Highlights:

• This slide is built using B-12s, which is essentially statements of cash flows that are submitted by
• the fiscal year 2025 expenditures: about two-thirds on personnel costs, 23% on trustee and benefit payments
• the fiscal year 2025 expenditures: about two-thirds on personnel costs, 23% on trustee and benefit payments
• year 2025 budget enhancements, there is $4.4 million from federal funds for trustee and benefit payments
• year 2025 budget enhancements, there is $4.4 million from federal funds for trustee and benefit payments

Summary: The committee first reviewed the Department of Juvenile Corrections budget. Legislative Services analyst Noah Peterson outlined the agency’s funding sources, staffing, recent expenditure patterns, and several FY 2026 and FY 2027 budget requests, including substance use disorder treatment, youth assessment center funding, replacement items, IT upgrades, and a clinician services transfer from the Department of Health and Welfare. Members asked about the governor’s holdback, public works projects, vehicle replacements, and staffing. Director Ashley Dowell said the department’s census has declined due to strong county partnerships, prevention and diversion efforts, and youth assessment centers, and she explained that a staffing analysis found the agency understaffed by 12 positions, with six vacancies converted to direct care roles. She also described the holdback impacts as coming from contract reductions, internal efficiencies, travel and training cuts, and substance use disorder funding adjustments. The committee adjourned after the department discussion. The committee then reviewed the Office of Energy and Mineral Resources budget. Peterson described the office’s mostly federal funding, small staff, dedicated funds, prior energy resilience appropriations, and FY 2027 requests for personnel realignment, Idaho Orchestrating Nuclear (ION) support, and home energy rebates. Administrator Callie Younger said the office is focused on energy resilience, permitting coordination, hydropower relicensing, geothermal and mining projects, and a growing nuclear policy portfolio. She highlighted the new nuclear task force, the office’s request for information to industry, and work on a federal request related to a nuclear lifecycle campus. Members asked about nuclear development, spent fuel, modular reactors, permitting efficiency, and whether the office might merge with the Office of Species Conservation. Younger said the office is exploring a merger because of overlapping permitting functions and could reduce positions and save some general funds, while also improving its ability to handle nuclear and mining work. The chair closed by noting the committee’s alignment with several governor’s office recommendations and adjourned the meeting.

Transcript Highlights:

• And in addition to the regular fee-for-service payments, we do make hospital access payments.
• And in addition to the regular fee-for-service payments, we do make hospital access payments.
• Our UPL payment, or upper payment limit payment, is $473 million for state fiscal year 25.
• upper payment limit payments.
• So the hospitals fund their upper payment limit payments.

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

Summary: The subcommittee met to review Arkansas DHS hospital spending and reimbursement methods, with Secretary Janet Mann and Deputy Secretary Misty Eubanks explaining Medicaid hospital payments. They described fee-for-service per diem payments, cost settlements, and the upper payment limit (UPL) program, noting that SFY 2025 hospital payments included $688 million in inpatient/outpatient claims, $473 million in UPL payments, $248 million in cost settlements, and about $47 million in other payments such as graduate medical education and disproportionate share hospital funds. Members asked about why per diem rates vary, how cost settlements work, why UPL applies mainly to private hospitals, and how assessment fees are structured and funded. DHS said the hospital assessment fee is broad-based and uniform, used as the state share to draw federal funds, and that supplemental hospital payments after federal match totaled $548 million with no general revenue used. The Arkansas Hospital Association’s Jody Ann Tritt then gave a broader overview of the hospital landscape, explaining the different hospital types in the state, including critical access hospitals, rural emergency hospitals, PPS hospitals, and specialty hospitals. She said Arkansas hospitals face financial strain, citing a negative 5.18% patient service margin statewide and lower reimbursement than surrounding states. She argued that Arkansas hospitals are paid less than hospitals in neighboring states for similar services, that commercial payer rates and administrative burdens are a major problem, and that Medicaid and Medicare rates remain below cost even with UPL support. She also said hospitals are the backbone of community care, provide emergency and public health functions, and are looking for ways to invest in technology and telehealth but often lack the revenue to do so. Members pressed for clearer data on hospital finances, reimbursement adequacy, and the impact of commercial insurers. Tritt said the association had just authorized a statewide survey to gather updated financial information from hospitals, which she said would take about a year to complete. She also explained that Medicaid pays weekly, Medicare and commercial plans can involve delays and denials, and that hospitals often spend significant resources on revenue cycle work. The discussion ended with a brief update on assisted living reimbursement: DHS said one facility, The Pillars of the Community in Crossett, had announced closure, nine Living Choices waiver clients were being transitioned, and the updated rate study would be available after cost reports are collected, likely before the end of the fiscal year. The meeting then adjourned.

Transcript Highlights:

• So these three elements together still are net positive, cash-flow-wise, to the state.
• So these three elements together still are net positive, cash-flow-wise, to the state.
• So these three elements together still are net positive, cash-flow-wise, to the state.
• So these three elements together still are net positive, cash-flow-wise, to the state.
• So these three elements together still are net positive, cash-flow-wise, to the state.

Committee: House Ways and Means

Transcript Highlights:

• So large corporations and hedge funds can move quickly with cash-only offers.
• So large corporations and hedge funds can move quickly with cash-only offers, outbidding working families
• available and affordable homes in their neighborhoods were unable to do so as they lost out to all-cash
• those homes, and two, your own state is underwriting, with tax benefits, their ability to provide cash-only
• And to let everybody know what CalHFA actually is, it provides financing and down payment assistance

Summary: The Assembly Committee on Revenue and Taxation met as a subcommittee and announced that all bills on the agenda had revenue impacts placing them on the suspense file, so none were eligible for immediate vote. The chair also reviewed procedural rules, including the deadline for position letters and the suspense-file threshold, and later established a quorum before proceeding through the agenda. Most measures were presented, heard, and then referred to suspense without committee votes. Several bills focused on tax credits or exclusions tied to housing and property. AB 1606 proposed a five-year tax credit for small businesses facing cleanup costs from illegal dumping and encampments; AB 1971 would clarify that home-hardening retrofits are not assessable for property tax purposes; AB 2394 would create a capital gains exclusion to encourage long-term homeowners to sell and downsize; AB 1714 would offer a credit for sellers who complete required repairs for CalHFA-assisted first-time buyers; and AB 2389 would extend the property tax exclusion for newly installed solar systems. Supporters generally framed these bills as targeted relief or affordability measures, while opponents raised concerns about revenue loss, policy effectiveness, or implementation. The committee also heard a series of agriculture-related bills. AB 2427 proposed a tax credit for qualified agricultural producers to offset labor, equipment, infrastructure, and production costs, and AB 2192 would extend the state’s farm equipment sales tax exemption to local sales taxes with a General Fund backfill for local governments. Supporters argued both measures would help preserve California agriculture, jobs, and food security amid rising costs and regulatory burdens; opponents questioned the need for the subsidies and the size of the fiscal impact. Both bills were referred to suspense. Other measures included AB 1611, which would end a tax break on capital gains from single-family home sales for large corporate investors to discourage investor competition with homebuyers; AB 2522, which would exempt over-the-counter medications from sales tax; AB 2444, which would add a state deduction for ScholarShare 529 contributions and align California law with federal Roth IRA rollover rules; and AB 1550, which would allow deductions for tips and overtime. Each drew support from sponsors and allied groups, while tax reform and local government representatives opposed several bills over revenue and policy concerns. All of these measures were also sent to the suspense file, and the committee adjourned after completing its agenda.

Transcript Highlights:

• You put in cash, and then you're able to convert that into cryptocurrency.
• population, being convinced online, whether it's through Facebook or through other means, to go and put cash
• immediately go and often could go overseas or to places where they just cannot get that back once that cash
• Once that money is converted into cryptocurrency, however, that hard cash that they take out is nearly
• To my knowledge, it would have no effect on insurance payments.

Committee: House Business

Transcript Highlights:

• The fee may be financed and paid from the loan proceeds or from a borrower cash contribution, and proceeds
• It removes an authorization for the fee to be paid from borrower cash contribution, meaning the fee must
• are not charged the fee multiple times simply because they're using layered financing, such as down payment
• So protecting that limited cash at closing helps to stabilize those transactions, and it puts homeownership
• So protecting that limited cash at closing helps to stabilize those transactions, and it puts homeownership

Bills: SB5884 , SB5885 , SB5937 , SB5938

Committee: Senate Housing

Keywords: sales tax, redevelopment, economic incentive, underutilized property, infrastructure, affordable housing, religious organizations, zoning laws, land use, community development, smart access system, smart lock, residential landlord-tenant act, tenant privacy, biometric data, fingerprint, face scan, iris scan, key fob, key card

Transcript Highlights:

• The fee may be financed and paid from the loan proceeds or from a borrower cash contribution, and proceeds
• It removes an authorization for the fee to be paid from borrower cash contribution, meaning the fee must
• are not charged the fee multiple times simply because they're using layered financing, such as down payment
• Second, the bill removes the option for the fee to be paid out of the borrower's cash at closing.
• So protecting that limited cash at closing helps to stabilize those transactions, and it puts homeownership

Summary: The Senate Housing Committee heard public testimony on several bills. SB 5885 would expand affordable housing on property owned by religious organizations by lowering the density-bonus affordability threshold from 100% to 50% and adding a sales and use tax exemption for qualifying projects. The sponsor and supporters from Redmond, Tacoma, Spokane, faith organizations, and housing nonprofits said the current standard is too restrictive and that churches and other faith groups have underused land that could help meet the state’s housing shortage. A county planning representative raised concern about an unfunded mandate to update local development regulations, and one testifier said the bill should be paired with funding for county planning work. The committee also heard SB 5884, which would expand a sales and use tax deferral program for redevelopment of underutilized property. The bill would broaden eligible land beyond surface parking lots to include vacant, partially used, or underutilized parcels, and would allow cities to approve projects with at least 50% affordable units, or 20% in designated residential targeted areas. Supporters from Spokane, Vancouver, Kent, Bellingham, and the Washington State Association of Counties said the current program is too narrow and should be available in more places, including counties and more cities. Construction industry groups supported redevelopment but objected to a provision tying eligibility to apprenticeship utilization, saying it could disadvantage nonunion contractors and create compliance burdens. For SB 5937, the committee heard testimony on smart access systems in rental housing. The bill would require landlords, upon request, to offer a non-biometric, non-app-based alternative key and to provide privacy policies and limits on data collection for smart access systems. Tenant advocates supported the bill as a privacy and access protection, citing concerns about app-based locks, data tracking, lockouts, and retaliation. Landlord and multifamily housing groups said they were open to the concept but argued the bill was too broad and could impose burdens on small housing providers or simple keypad systems, and they asked for narrower definitions and clearer implementation language. Finally, the committee took testimony on SB 5938, which would make technical changes to the foreclosure prevention fee created last year, including exempting certain reverse mortgages and chattel loans, preventing duplicate charges on some state-backed transactions, and directing Commerce to study a possible state homeowner assistance fund. Homeownership counselors, legal aid, HOA advocates, and equity organizations supported the bill, saying it would clarify fee collection, protect low- and moderate-income buyers from unnecessary costs, and help sustain foreclosure prevention services. No votes or final committee actions were taken in the transcript, and the meeting ended after public testimony.

Transcript Highlights:

• managed care payments have decreased.
• the Medicaid payments, are $2.5 billion.
• The medical vendor payments is the budget unit that payments for services come from, what most think
• And the third piece, which I think is quite innovative, is cash bonus payments to eligibility workers
• to LDH for the cash assistance program.

Committee: House Appropriations

Summary: The committee first heard a budget presentation on LSU Health Care Services Division and Lallie Kemp Medical Center. Staff reviewed HCSD’s roughly $74.7 million budget, much of it tied to legacy obligations for former LSU hospital systems and support for Lallie Kemp. Committee members asked about prisoner care, risk management costs, declining admissions and emergency visits, and the hospital’s 340B drug program. Lallie Kemp officials explained that prisoner care serves multiple state and local facilities, that lower admissions largely reflect more patients being placed in observation status, and that the in-house 340B program provides major savings to patients and the prison system. Members also asked about care for unhoused patients and the hospital’s discharge practices, and the hospital said social services works to find placement when possible. The committee then moved to the Louisiana Department of Health budget, which was presented as just under $23.5 billion, with Medicaid making up more than 90 percent of the total. The presentation covered the Office of the Secretary, Office of Public Health, Office of Behavioral Health, Office for Citizens with Developmental Disabilities, and Medicaid. Major items included the new Rural Health Transformation Program, the transfer of several functions from DCFS to LDH under the One Door initiative, changes to SNAP administration, and large Medicaid adjustments driven by enrollment, utilization, and federal policy changes. Testimony also highlighted the statewide crisis hub and 988, the commodity food program for seniors, women’s health and maternal outcomes, and the department’s efforts to modernize technology and reorganize services. Members questioned LDH officials on a wide range of budget and policy issues, including the rural health grant, crisis services, Medicaid redeterminations, provider taxes, physician and hospital supplemental payments, nursing home rates, HCBS funding, and the impact of the federal One Big Beautiful Bill Act. LDH said the rural health grant would support workforce, technology, and care-delivery improvements; that the crisis hub and mobile crisis units are being expanded to improve access and reduce emergency room use; and that the department is working to keep the SNAP error rate below 6 percent to avoid a projected state cost increase. Officials also said they expect to return next year with additional funding requests for HCBS and other programs, while emphasizing that current budget changes are largely meant to realign funding with actual expenditures and new federal requirements. No votes or formal actions were taken in the portion provided.

Transcript Highlights:

• And in addition to the regular fee-for-service payments, we do make hospital access payments.
• Our UPL payment, or upper payment limit payment, is $473 million for state fiscal year 25.
• upper payment limit payments.
• That sets your upper payment limit.
• So the hospitals fund their upper payment limit payments.

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

Summary: The subcommittee met to review Department of Human Services hospital payments in Arkansas Medicaid, with DHS Secretary Janet Mann and Deputy Secretary Misty Eubanks presenting first, followed by Arkansas Hospital Association Executive Vice President Jody Ann Tritt and a brief comment from Arkansas Children’s. DHS outlined the main hospital payment streams: fee-for-service per diem payments, upper payment limit (UPL) supplemental payments, cost settlements, and smaller payments such as graduate medical education and disproportionate share hospital funds. Members asked for plain-language explanations of cost settlements, why per diem rates vary by hospital type, and why UPL applies to private hospitals. DHS said cost settlements and UPL are mechanisms to help offset Medicaid underpayment, with SFY 2025 hospital payments totaling hundreds of millions of dollars and no general revenue used for supplemental payments beyond the state share funded through hospital assessments and related financing structures. Committee members focused heavily on whether Arkansas hospitals are adequately reimbursed and why rural hospitals struggle. Tritt explained that critical access hospitals, rural emergency hospitals, PPS hospitals, and specialty hospitals operate under different federal and state rules, and said lower per diem rates for some facilities help with cash flow and later cost settlement adjustments. She said Arkansas hospitals are under financial strain, citing a negative patient services margin statewide and noting that Medicaid, Medicare, and commercial payers all contribute to the problem. She also said the association had just authorized a statewide survey of hospital finances and costs, which she expected would take about a year to complete. A major theme was commercial insurance reimbursement. Tritt argued Arkansas hospitals are paid far less than hospitals in neighboring states even though premiums are similar, and said administrative burdens, prior authorizations, and denials add to the problem. She said hospitals receive about 52 to 53 cents on the dollar for Medicaid costs without UPL and about 78 cents with UPL, still below cost. Members also discussed Medicare wage index issues, Medicare Advantage, and whether hospitals could use technology or alternative arrangements to improve finances. No votes were taken on the hospital presentation. At the end of the meeting, DHS provided a brief update on Living Choices and assisted living reimbursement. Officials said one assisted living facility, Pillars of the Community in Crossett, had announced closure, with nine waiver clients being transitioned to other settings. DHS said the current cost reporting period was underway and that a new rate study could be ready for review before the end of the fiscal year if reports were submitted on time. Members also asked about the broader waiver plan, and DHS said the next waiver iteration would likely be brought back to the committee in the summer.

Transcript Highlights:

• These are little payments that are required under 424A of the statutes.
• In the relief association, they would pay those small payments.
• ><c> that</c><01:00:58.280><c> are</c> These are little payments that are These are little payments that
• </c><01:01:08.880><c> that</c> basically thousand-dollar payments that basically thousand-dollar payments
• They're intended to cover tax payments.

Transcript Highlights:

• Our cash reserves have fallen to $4 million, which is roughly 26 days of cash on hand.
• Our cash reserves have of $13 million.
• To remain solvent, days of cash on hand.
• They're not paying like a cash price at the pharmacy.
• They're not paying like a cash price at the pharmacy.

Committee: Senate Commerce and Consumer Protection

Transcript Highlights:

• These same employers will soon be making their first tax payments to the program on April 30th.
• While these deductions have been running since January, the cash flow impact of this lump sum payment
• Electrical contractors are uniquely be making their first tax payments to be making their first tax payments
• flow impact of this January, the cash flow impact of this lump<00:31:12.440><c> sum</c><00:31:12.640
• ><c> the</c><00:31:13.440><c> cost</c> lump sum payment will add to the cost lump sum payment will add

Bills: HF4110 , HF2113 , HF4569 , HF4414

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

Transcript Highlights:

• And this limits the reduction in bus depreciation payments for the grants and rebates to the 2025-26
• the reduction, and normal payments would resume thereafter.
• and may not reduce a depreciation payment for a school year below zero.
• The payments must be distributed by the county treasurer in the same way as property tax revenues.
• it's property tax or whether they pay payments in lieu of taxes to the county.

Summary: The House Appropriations Committee met in executive session on three bills. For Second Substitute Senate Bill 6182, staff explained it would create an abortion savings program funded by a new assessment on health carriers to support grants for abortion clinical care access. Representative Marshall offered amendments to limit grants to Washington residents, expand eligibility to IVF and fertility providers, prioritize medically underserved areas, and add a 2031 sunset; all were rejected or withdrawn. The committee then voted 18-10 to report the bill out with a do pass recommendation. For Engrossed Substitute Senate Bill 6260, staff briefed a striking amendment that would reduce savings in K-12 spending by changing local effort assistance and Running Start limits, prioritizing some transition-to-kindergarten funding, and eliminating inflation increases for National Board bonuses. Members debated a series of amendments on bus depreciation, charter school LEA payments, transition-to-kindergarten funding, and Running Start. Some amendments were adopted, including a bus depreciation change and a Running Start adjustment, while others were rejected. The committee then adopted the striker as amended and reported the bill out 17-12 with a due pass recommendation. For Substitute Senate Bill 6355, which would establish the Washington Electric Transmission Authority and related board and advisory structures, members considered amendments on rural land-use expertise, eastern Washington board representation, corridor review standards, tribal workgroup removal, and payments in lieu of taxes for transmission facilities. One amendment was withdrawn and the others were rejected except for a landowner/rural expertise amendment that passed. The committee then reported the bill out 18-11 with a due pass recommendation. At the end of the meeting, members exchanged closing remarks thanking staff and colleagues, and the committee adjourned.

Transcript Highlights:

• </c> to state government requiring payment to state government requiring payment transparency<00:09:56.880
• The ability for these investors to gobble up homes with cash payments hours after they go on the market
• </c> investors to gobble up homes with cash investors to gobble up homes with cash payments<00:21:45.039
• In the first matter, it says if you pay rent in cash, you get a receipt. Mr.
• In the first matter, it says if you pay rent in cash, you get a receipt. Mr.

Transcript Highlights:

• </c> a point that rather than having payment a point that rather than having payment capped<00:58:18.720
• </c> amount would fluctuate with the payments amount would fluctuate with the payments coming<01:02:12.640
• And um the same thing happened payment.
• We know that it's just like a cash cow.
• </c> which is the contemacious non-payment which is the contemacious non-payment statute<02:16:48.240

Committee: House Judiciary & Hawaiian Affairs

Summary: The committee heard testimony on House Bill 2046, which would establish and fund an Olo Hawaii Commission to coordinate and promote initiatives supporting the use of Olo Hawaii. The Attorney General suggested adding an end date because the bill creates a temporary commission, and several supporters from the University of Hawaii, Office of Hawaiian Affairs, and the Hawaii Civil Rights Commission said the commission could improve coordination, funding decisions, and consistency across agencies. Members discussed whether the commission should include broader representation, including expertise on Niihau dialect speakers and other stakeholders, and the bill was then set aside as the committee moved to the next measure. The committee next considered House Bill 2438, creating the Hawaii Cultural Trust within DBEDT, authorizing an income tax credit for contributions to the trust and qualified cultural organizations, and creating a special license plate to support the trust. DBEDT said it would need additional resources, including staff, to administer the program. The Department of Taxation recommended changing the effective date to 2026 to allow time for implementation and adding a requirement that credits be claimed within one year. OHA supported the bill but objected to language that would require it to maintain a prequalified list of organizations, saying that could limit applicants and conflict with its grant process. The Tax Foundation said it supported cultural funding but preferred direct appropriations and grants over a trust fund and tax credit structure. The final measure discussed was House Bill 2584, which would temporarily increase public land trust revenues transferred to OHA while reaffirming the state’s obligation to the 20% pro rata share, with a repeal date of June 30, 2028. The Attorney General recommended deleting the bill’s requirement that OHA receive a minimum amount equal to the 20% share, arguing the constitution and Admission Act do not specify a precise dollar amount and that the legislature must determine allocation. OHA strongly supported the bill, arguing the state currently pays only about 5% and that historical records show much higher amounts are owed; OHA also pointed to a carry-forward account it said held about $55 million. DLNR opposed the bill because the fiscal impact was unspecified and could affect land management and special fund budgets. Several OHA trustees and supporters urged the committee to pass the bill, and one testifier criticized the state for underfunding Native Hawaiian obligations. No votes were taken in the portion provided, and the committee continued hearing testimony on HB 2584.

Transcript Highlights:

• With their tax-exempt status in jeopardy, nonprofits can find their grants and payments frozen, face
• Chair and members, AB 2186 ensures that future reparation payments are not undermined by state taxation
• A tax liability on a reparations payment is not a technicality.
• A tax liability on a reparations payment is not a technicality. It's a reduction in justice.
• By covering monetary payments, trust distributions, debt forgiveness, and other financial compensation

Summary: The Assembly Revenue and Taxation Committee heard a series of bills focused on nonprofit tax status, housing, tribal land return, tax relief, economic development, journalism, reparations, manufacturing investment, and pawned property sales tax. The chair explained the committee’s suspense file process and noted that only AB 2270 and AB 2641 were eligible for immediate votes; other measures were referred to suspense after presentation. AB 2084 (Bauer-Kahan) would give the Franchise Tax Board discretion to delay or review revocation of state nonprofit tax-exempt status when federal status is revoked, and AB 2167 (Macedo) would clarify that tribally chartered corporations are eligible for existing tribal conservation land return tax exemptions. Both drew support from nonprofit and tribal representatives and were sent to suspense. AB 2270 (Arambula) sought to improve farmworker housing access to low-income housing tax credits by adjusting scoring criteria to reflect rural agricultural realities. Supporters said current amenity-based scoring disadvantages projects near farmland; the bill passed the committee 4-1 and was sent to Housing and Community Development. AB 2336 proposed excluding the first $25,000 of overtime pay and pension income from taxation; supporters framed it as affordability relief, while an opponent warned of major General Fund losses and a member raised the lack of an income cap. AB 2205 would reinstate the New Employment Credit to encourage hiring in high-unemployment areas, and AB 2222 would create refundable tax credits for local news organizations hiring journalists; both received strong support from business, labor, and media advocates and were referred to suspense. The committee also heard AB 2186, which would exclude future reparations payments from state income tax, with supporters arguing reparations should not be reduced by taxation; it was sent to suspense. AB 2377 would accelerate depreciation deductions for manufacturing equipment, with a larger benefit in high-need areas, and AB 2641 would extend the sales tax exemption for people repurchasing their own property from pawnbrokers, with the author agreeing to a five-year sunset amendment. AB 2641 passed 4-0 and was sent to Appropriations. After taking up the remaining roll calls for absent members, the committee adjourned.

Transcript Highlights:

• Since threats began emerging in early 2025, Cal Nonprofits has come... ...find its grants and payments
• Chair and members, AB 2186 ensures that future reparation payments are not undermined by state taxation
• This bill broadly defines reparation benefits to include monetary payments, grants, trust distributions
• A tax liability on a reparations payment is not a technicality.
• A tax liability on a reparations payment is not a technicality. It's a reduction in justice.

Committee: House Revenue and Taxation