Transcript Highlights:

• Here are the adjustment criteria.
• We need to make some adjustments to it.
• I want to make sure on your third bullet under adjustment criteria.
• I would recommend that we adjust.
• To make this work or make any adjustments that are necessary down the road.

Transcript Highlights:

• we we did ask for lump suum adjustments we we did ask for lump suum adjustments for<00:38:26.760
• Then continuing into page 11, there's housekeeping adjustments for fringe adjustments for the various
• Then continuing into page 11, there's housekeeping adjustments for fringe adjustments for the various
• adjustments for Fringe adjustments<00:42:00.319> for<00:42:00.520> the<00:42:00.760>
• > various<00:42:01.319> non-general adjustments for the various non-general adjustments for

Keywords: 912, senate, all

Transcript Highlights:

• And just knowing that we have a DE coming to make the February forecast adjustments.
• Line 145 shows the school special education adjustment elimination.
• In light of the February forecast, additional adjustments are necessary.
• So, this would again eliminate $132 per adjusted pupil unit.
• This includes cost of living adjustments for salaries and benefits.

Bills: HF2430, HF2433

Keywords: education finance, teacher training, Read Act, state aid, school funding, education funding, children with disabilities, transition aid, special education, school district consolidation

Transcript Highlights:

• We're not choosing to spend those inflationary adjustments.
• The discretionary inflation adjustments.
• the deal just simple math adjustments. the deal just simple math adjustments.
• The discretionary inflation adjustments.
• Some things like the K12 adjustments.

Keywords: 919, house, all

Summary: House Democratic leaders and House Republican leaders announced a compromise set of budget targets reached Friday night, describing it as a numbers-only deal that leaves policy issues aside. They said the targets are the first step in the budget process: House committee chairs will write bills to fit the targets, those bills will go to Ways and Means, and later leaders will negotiate global targets with the governor and Senate. Leaders emphasized that the agreement reflects compromise rather than either party’s ideal budget, and that they will continue talks with Governor Walz and the Senate over the next several weeks. The speakers highlighted what was not included in the deal, saying it does not target paid family and medical leave, earned sick and safe time, reproductive rights, or universal school meals. They said the House priorities that did make it in include housing, education, pensions, public safety, and transportation. On education, they said the compromise provides $40 million in new money in the first biennium for the READ Act and no cuts in either biennium, contrasting that with larger cuts in the governor’s and Senate proposals. They also said schools could still choose to fund unemployment insurance for school workers from existing resources, though it was not earmarked in the targets. Leaders said the agreement leaves room for committee chairs to make choices within the targets, including in health and human services, where they described the target as a reduction in projected growth rather than a cut to existing appropriations. They said the budget plan sets aside discretionary inflation adjustments in the first biennium while preserving inflation indexing for items like the K-12 formula. They also said the deal improves the state’s long-term balance, with a projected $1.6 billion balance in the first biennium and a $1.3 billion deficit in the second, and that the House’s numbers do not include the same revenue assumptions as the governor’s and Senate’s plans. In questions, leaders said conference committees will require majority support from both House and Senate conferees, and that the House will send equal numbers of Democratic and Republican conferees. They said the bonding bill size is still under discussion, but the adopted numbers would allow for roughly a $700 million general obligation bill. They also said large state spending for professional sports facilities is likely over, and explained that the press conference was held without Republican leaders for logistical reasons after the deal was reached late Friday.

Transcript Highlights:

• I really don't know that there is a way to adjust those spending unless we pull back dollars, and then
• But if there are ways to address it in curricular areas, if there are ways for schools to adjust their
• and you ask about changes um adjustments and you ask about changes um I<00:07:05.840> think<00
• I really don't know that there is a way to adjust those spending unless we pull back dollars.
• I really don't know that there is a way to adjust those spending unless we pull back dollars.

Keywords: 1187, senate, all

Transcript Highlights:

• Some fees date back to 1959, while the most recent fee adjustments for some programs were made in 2013
• Some fees date back to 1959, while the most recent fee adjustments for some programs were made in 2013
• The proposed trailer bill language also adjusts the Commissioner's... ...fee levels.
• It has been quite a long time since they have adjusted, so a shorter term...
• It has been quite a long time since they have adjusted, so a shorter term would allow you a chance to

Summary: The Assembly Budget Subcommittee 5 on State Administration heard presentations from Go-Biz and the Department of Financial Protection and Innovation on the Governor’s budget proposals. Go-Biz described California Jobs First, the state’s 10-year economic development strategy, and emphasized support for small businesses, workforce development, and targeted investment in sectors such as ag tech, life sciences, semiconductors, and advanced manufacturing. Members raised concerns about federal policy changes, tariffs, tourism, housing, child care, and whether state incentives are truly additive; Go-Biz responded that it tracks federal actions closely, works with chambers and advocates, and uses programs like California Competes to target jobs that would not otherwise come to California. The committee then reviewed the proposal to restore the California Competes grant program with $60 million. Go-Biz said the grant would help businesses that cannot use the nonrefundable tax credit, and explained the program’s five-year contracts, milestone-based awards, and recapture provisions. The Legislative Analyst’s Office said the grant could be effective but recommended stronger oversight and clearer eligibility criteria, while also noting the 30% cap in trailer bill language may be too restrictive given the smaller funding level. Public testimony supported the grant and suggested considering refundability or transferability for the tax credit to broaden access for smaller and startup businesses. Members also heard the CHIPS-related proposal for $25 million to support Natcast’s semiconductor design and collaboration facility in Sunnyvale. Go-Biz and public witnesses argued the state investment would help secure a major federal research facility, retain engineering talent, and leverage billions in broader investment, while the LAO recommended rejecting the item because of its dependence on uncertain federal funding and the state’s budget condition. The committee also considered a $17 million continuation of CA RISE, which supports employment social enterprises; Go-Biz and several grantees cited strong job placement and workforce outcomes, while the LAO recommended rejection absent a more rigorous evaluation, noting prior LA RISE evidence did not show long-term employment gains. Finally, the Department of Financial Protection and Innovation presented budget requests for IT security and rent increases, and a trailer bill to raise fees across several programs. DFPI said decades-old fee schedules, inflation, and new regulatory responsibilities have created a structural deficit and warned the department could face insolvency without adjustments. The LAO recommended approving the fee increases only on a three-year limited-term basis and asked for more detailed revenue plans for programs not covered by the proposal, so the Legislature can assess actual collections and market impacts before making the changes permanent.

Transcript Highlights:

• The Senate proposal expands upon these adjustments, and these adjustments will reduce administrative
• The Senate amendment proposes three further adjustments to the House's original adjustments.
• And these adjustments these adjustments.
• to the House's three further adjustments to the House's original<00:44:17.680> adjustments.
• One moves an original adjustments.

Keywords: 926, house, all

Summary: The House opened with routine proceedings, including a moment of silence and the Pledge of Allegiance, then referred three bills to money committees under House Rule 35A: S.197 to Ways and Means, and S.193 and S.278 to Appropriations. The chamber also read and celebrated HCR 304, honoring the display of Julian Scott’s Civil War painting, The Fourth Vermont Forming Under Fire, in the State House and recognizing the people who helped locate and acquire it for Vermont. HCR 303 was also read, extending best wishes for a speedy recovery to Rep. Ann Donahue; members then offered warm remarks welcoming her back to the chamber. Several members introduced guests in the gallery, and caucus announcements were made before the body moved to the calendar. On transportation, the House took up H.944, the fiscal year 2027 transportation program. The House Transportation Committee reported major differences with the Senate version and, by straw poll, recommended a committee of conference. The House refused to concur in the Senate amendment, appointed conferees, and suspended rules to message its action to the Senate forthwith. The House then considered S.214, which would allow the NEK Choice School District to pay tuition for pre-K students to nearby New Hampshire public-school programs, with administration by Essex North Supervisory Union and possible waivers from state agencies. Education, Ways and Means, and Appropriations all recommended concurrence, citing limited fiscal impact and improved access for children in Essex County; the bill was read a third time and ordered to third reading after debate that included support for rural access and concerns about relying on out-of-state capacity. The House also concurred in Senate amendments to H.171, adding “the role of victim advocates” to officer-involved shooting investigation protocols, and to H.577, the Vermont prescription drug discount card program, which added annual reporting requirements and a terminology fix. The House likewise concurred in Senate amendments to H.588, the annual Office of Professional Regulation bill, including changes on rescission authority, substance-use treatment alternatives, CPA language, pharmacy technician authority, fee placement, and background checks. It then concurred in Senate amendments to H.611, a DVHA housekeeping bill, including 340B protections, a one-year delay for the community-based doula certification program, and codification of current HIV-prevention coverage practice. H.921 was postponed for two legislative days. Finally, the House took up S.227 on immigration protocols in Vermont schools, with the member from Williston describing it as a school safety measure that limits collection and sharing of immigration-status information, provides trusted resources to families, and requires a judicial warrant before law enforcement enters non-public school areas for immigration matters.

Transcript Highlights:

• And finally 74.7 million related to settle up in other adjustments together recommendations include a
• This is comparing to that 24-25 adjusted base.
• And we know that you all helped with cost of living adjustment and some other benefits.
• I mean, you're just arguing inflation adjusted. Is that what you're arguing?
• 6,000, no, I'm not. arguing inflation-adjusted at all. $6,160 is the basic allotment.

Keywords: 1184, house, all

Transcript Highlights:

• So staffing—basically staffing adjustments, a lot of staffing adjustments, besides the stuff that carried
• Reducing reliance on the small school adjustment is the top priority.
• So 2020... ...qualify the following year for the small school's adjustment.
• essential in positioning us to move forward with the small school's adjustment.
• The small school's adjustment will now generate $250,000 annually.

Keywords: 1182, all

Summary: The committee first heard the January 2026 follow-up to the special audit of the Arizona State Board of Chiropractic Examiners. The auditor’s contractor reported that the board had implemented or was in the process of implementing most of the 28 recommendations from the 2024 audit, but three remained unimplemented: resolving complaints within 180 days and two open meeting law recommendations. The follow-up also identified new concerns about outdated or incomplete public disciplinary records and the lack of a complete public records request log and response procedures. Committee members pressed the board on open meeting compliance, complaint delays, transparency, and lobbying activities, while the executive director said the board had adopted new policies, added staff and investigators, created an intake committee, improved complaint prioritization, and was transitioning to a new licensing platform. She also said the board had ended broad subpoenas, improved conflict-of-interest tracking, and was working to formalize its practices in rule. The committee did not take a vote or other formal action in the transcript provided. The committee then received the Arizona school district financial risk analysis for January 2026. The Auditor General’s office reported that the number of highest-risk districts increased from two to nine, and districts approaching the highest-risk category increased from seven to nine. The presentation explained the financial risk measures used, common risk patterns among the highest-risk districts, and the district action plans posted on the report website. Tucson Unified School District was used as an example of a highest-risk district, and Scottsdale Unified as an approaching-highest-risk district. Members asked about declining enrollment, reserve balances, negative fund balances, and the use of capital monies for operations. Sierra Vista Unified School District then presented its response to being identified as financially at risk. The superintendent said she had recently taken over and was implementing a turnaround plan that included a school closure, staffing reductions through attrition, spending freezes, tighter purchase controls, a three-year sustainable spending plan, and efforts to stabilize enrollment through outreach, customer-service changes, and alternative program offerings. She also said the district was redirecting some capital assistance to operations, renegotiating contracts, and improving communication with families and staff. Committee members questioned the district about declining enrollment, instructional spending, school safety, academic performance, and whether the action plan adequately addressed those issues. No formal vote or action was taken on the school district item in the transcript provided.

Transcript Highlights:

• And it does that through five major adjustments.
• is revised down from 2.43 percent to 2.3 percent and along with a few other adjustments in there.
• So turning to page 5 the May revision makes a few adjustments to the January proposals.
• So the figure was adjusted for COLA, which decreased slightly.
• The May revision proposes the following adjustments to the California Community College budget.

Keywords: 988, house, all

Transcript Highlights:

• <00:05:05.919> for year-toear without adjusting for year-toear without adjusting for inflation
• or orange line is um after adjustment or orange line is um after adjustment for<00:05:12.400>
• Inflation-adjusted figures.
• It's attendance adjusted for inflation.
• funding inflation adjusted funding inflation adjusted from<00:14:00.959> 1990<00:14:01.600

Keywords: 958, all

Summary: The Budget Review Subcommittee on Education met without a quorum, so the minutes were not approved. The main presentation was from retired economics professors John Garren and Dr. Kums, who discussed their Bluegrass Institute research on teacher compensation in Kentucky since the Kentucky Education Reform Act era. They said teacher base salaries, adjusted for inflation, have declined over the last decade, while state-paid “on-behalf” benefits such as pension and health insurance contributions have risen sharply; they argued total teacher compensation has increased modestly overall, but less than per-pupil funding. They also presented broader context on staffing growth, declining average daily attendance, Kentucky’s low share of teachers among total school staff, and flat or weak NAEP and ACT performance trends, including widening white-Black score gaps on NAEP. Members questioned the methodology and interpretation of the compensation figures. Representative Bojanowski argued the on-behalf calculations may overstate teacher compensation because they include insurance and pension costs that also benefit classified employees and retirees, and he asked for clarification on the denominator used to derive the per-teacher amount. Representative Truit said the presentation could be misleading if it implies teachers earn $94,000 in salary, and he objected to framing pension stabilization payments as teacher pay. The presenters responded that they were using total compensation, not salary alone, said they had divided total personnel-related on-behalf payments by the relevant staff count, and promised to review and send a technical explanation. Representative Truit and Chairman Typton both emphasized that compensation should be viewed as salary plus benefits, not salary alone, and noted that pension contributions are part of the cost of employing teachers. The presenters said their intent was to show the full compensation package and its relevance to labor supply and teacher shortages, not to claim that individual teachers earn the total compensation figure as salary. No votes or formal actions were taken beyond the decision to revisit the minutes at a later meeting due to the lack of quorum.

Transcript Highlights:

• Could you explain the cost of living adjustment in the bill? How that would—there's an adjustment.
• cost of living adjustment in the bill? cost of living adjustment in the bill?
• How that would there's an adjustment. How that would there's an adjustment.
• adjustment would apply to?
• but what the cost of living adjustment but what the cost of living adjustment<00:25:19.200> would

Bills: HB1719, HB1742, HB1737, HB2049, HB1725, HB1726, HB1738, HB1799, HB1700

Keywords: housing crisis, manufactured homes, factory-built housing, zoning, relocatable housing units, farm employee housing, agriculture, Hawaii Revised Statutes, agricultural districts, land use, regulation, renewable energy, community development, housing, affordable housing, real estate, state regulation, building codes, construction, permitting

Summary: The joint public hearing covered several housing-related bills and one building-code measure. HB 1719 would make manufactured homes a permitted use by right on residentially zoned lots in the urban district, HB 1742 would authorize self-contained relocatable housing units with restrictions, and HB 1737 would clarify that a farm dwelling in an agricultural district may include an accessory employee housing structure. Testimony on these bills was overwhelmingly supportive from groups including Hawaii Realtors, Grassroot Institute of Hawaii, Housing Hawaii’s Future, the Modular Building Institute, the Hawaii Farmers Union, and others, with a few agencies offering comments. No one testified in opposition on HB 1719 or HB 1742, while HB 1737 drew one opposition and one comment in addition to broad support. No votes were taken during the hearing segment provided. A major portion of the hearing focused on HB 2049, which restructures the conveyance tax into a marginal-rate system and changes how the revenue is allocated, including funding for the Department of Hawaiian Home Lands and the rental housing revolving fund, while also affecting the legacy land conservation fund. Supporters, including DHHL, Hawaii Appleseed, Aahu Youth Action Board, Hawaii YIMBY, and others, argued the bill would help Native Hawaiian housing and, for most transactions, function as a tax cut. Opponents, including NAP Hawaii, Hawaii Realtors, Hawaii Land Trust, Mhai Land Trust, and the Tax Foundation of Hawaii, objected to using conveyance tax as a revenue-generating tool and raised concerns about higher upfront costs and reduced funding for other housing uses. Committee members and staff discussed the bill’s revenue estimates, the reduced percentage but higher cap for the land conservation fund, the effect on rental housing funding, and the bill’s cost-of-living adjustment language; staff said a line-by-line comparison of the current and proposed tax structure would be provided before decision-making. The hearing also took up HB 1725, which would extend the state building code adoption cycle from two years to six years, apply the IRC to triplexes and fourplexes, allow counties to adopt more or less stringent amendments, and appropriate funds for code adoption work. Most testimony supported the bill, with advocates saying the current process is unmanageable, too resource-intensive, and creates confusion because state and county codes can diverge; supporters said a longer cycle would improve clarity and allow more focused review. The International Code Council and the American Society of Heating, Refrigerating, and Air-Conditioning Engineers opposed the measure, warning that delaying adoption could have negative consequences and urging the committee to let an existing statewide code-adoption strategy proceed first. Members asked about sequencing, county implementation, and whether the longer cycle would create catch-up problems, but no action was taken in the excerpt provided.

Transcript Highlights:

• You'll see on line six an operating adjustment that is funded at the governor's suggested level for the
• You'll see on line six uh an operating<00:04:34.240> adjustment<00:04:34.720> that<00:04
• also at the governor's adjustments also at the governor's proposed<00:04:46.960> levels<00:04
• For military affairs, the House also includes the $599,000 for the operating adjustment.
• For military affairs, the House also includes the $599,000 for the operating adjustment.

Keywords: 1183, house

Transcript Highlights:

• The first item starting at line 800 is the governor's recommendation for an operating adjustment for
• The governor recommended a modest operating adjustment increase, which the House bill also includes.
• The governor recommended an operating adjustment, which the House bill also includes.
• We're deeply concerned that this adjustment is not continued into the next biennium.
• We urge you to reconsider the amount you have allocated for the DCYF operating adjustment.

Bills: HF2436

Keywords: child welfare, economic assistance, child care, grant program, video security cameras

Transcript Highlights:

• Every session we adjust because the programs that we run are based on focus and program so that we can
• This carries the Health Committee's Minnesota Care Adjustment, Medical Assistance, and the Behavioral
• And so under this bill, the inflationary adjustments would be adjusted every two years. workers with
• a cap of 2% per year or 4% per adjustment.
• At that income level, the TEFRA fees are set at 4.5% of adjusted gross income, and then they increase

Transcript Highlights:

• Turning to the next page lottery Commission the cost adjustment you see here has three components and
• is concerned with lottery sales estimates, and this is adopted, the one technical Adjustment concerning
• Item 1, cost of Cost adjustment associated with the motor vehicle crime prevention authority is adopted
• There are two technical adjustments associated with the agency's capital budget, which are adopted.
• There are three technical adjustments which are adopted.

Bills: SB 1

Keywords: campground safety, youth camp regulations, flood safety, emergency evacuation, health and safety standards, 1185, senate, all

Transcript Highlights:

• years to how things have changed, both in life and especially in schools, a lot has significantly adjusted
• So... lot has significantly adjusted.
• Now, this can be adjusted by the budget committee and the full legislature, depending on how the body
• Will that weight be adjusted?
• If their situation changes, will that weight adjust based on, let's say, if their poverty level goes

Keywords: 1136, house, all

Transcript Highlights:

• Ensure that FTE adjustments are made to conform to committee decisions.
• Adjust the informational item on agencies that generate their own revenues to ensure that the agencies
• Adjust informational items following each agency's bill pattern that identifies.
• Adjust the informational listing and agency bill patterns for the percentage of funds available to the
• Decisions, adjust capital budget authority to conform to committee decisions, adjust the employee benefits

Transcript Highlights:

• Um it recommended operating adjustment.
• Um, these are the operating adjustments Um, these are the operating adjustments that<00:13:54.399
• <00:16:01.920> that's licensing division fee adjustment that's licensing division fee adjustment
• Um governor's proposed fee adjustment.
• adjusted we had an adjusted fiscal note. adjusted we had an adjusted fiscal note.

Keywords: 1187, senate, all

Transcript Highlights:

• The major adjustments contained in the budget request focus on sustainment, safety, and reorganization
• contained in the major adjustments contained in the budget<00:10:37.920> request<00:10:38.320
• The Council on Revenue adjusted—they made a very small adjustment to things, taking into account the
• So a lot of what was happening is they were adjusting to the state tax payment.
• they made a very small adjusted they made a very small adjustment<01:46:16.280> to<01:46:16.480

Keywords: 910, house, all

Summary: The Committee on Finance held informational briefings first with the Department of Defense on its FY 2026 budget request, then with the Hawaii School Facilities Authority. Major General Steve Logan outlined the Department of Defense request for $40.5 million in state funds, which he said would leverage about $74 million in federal matching funds and support 411 open projects that could attract up to $2.3 billion in additional federal grant money. He said the budget focuses on sustainment, safety, and reorganization in light of lessons from the Maui wildfires. Key requests included $1.3 million to sustain IT systems, $2.7 million for 32 HEMA emergency management positions, three new Hawaii Army National Guard positions plus four upgrades, and $1.9 million for the Youth Challenge Program to cover state-mandated fringe costs and staffing needs. He also reviewed capital improvement projects, including Youth Challenge facility upgrades, siren modernization, ADA improvements, building retrofits for disaster resilience, Army facility upgrades, a third state veterans home on Maui, HEMA EOC improvements, and a maintenance/fuel building at Diamond Head. Members asked about the siren modernization timeline, and HEMA said roughly 26 to 31 sirens would be modernized this year, with 15 on Maui, eight on Oahu, and eight on the Big Island. Questions also focused on Youth Challenge and Job Challenge enrollment and vacancies, with the department saying the Hilo Job Challenge Academy is growing and that combining Youth Challenge recruiting statewide into one Kilauea program has helped enrollment. Logan also answered questions about the New Year’s Eve medical transport mission, explaining the Hawaii Air National Guard’s relationship with active-duty Air Force assets and saying the flight cost is about $20,000 per flight hour, though the final bill had not yet been determined. On the Maui veterans home, staff said the University of Hawaii site was no longer viable after faculty senate opposition, so the department is now focused on a 10-acre Puna District site; the project remains tied to a certified $35 million state match and August 2025 and August 2026 federal suspense dates. Logan said the veterans home remains one of the department’s highest priorities, but it could not be moved higher in the submitted CIP ranking. The department also discussed a Governor’s add-on for a fire marshal/Office of Recovery and Resiliency proposal. Logan said the fire marshal position was reestablished last session but has not yet been filled, and that if the function is transferred to the Department of Defense, the department wants funding ready to move quickly. Staff later said the request would include about $1.1 million for seven positions and about $2.2 million for operating costs, though details were still preliminary. The committee then reconvened for the School Facilities Authority briefing, where Executive Director Ricky Fujitani described the agency as a startup created in 2020 to improve school and workforce housing development through standardized designs, prefabrication, best-value procurement, and public-private partnerships. He said Hawaii’s single school district still functions like 15 different districts because of its 264 schools across 15 complex areas, and that the authority’s goal is to create more efficient, maintainable, and cost-effective facilities.