Transcript Highlights:

• respiratory exposures from even just sitting in the fire station, because they don't have adequate diesel

Committee: Senate Labor and Technology

Summary: The joint hearing covered Senate Bills 470, 828, 730, and 1383. SB 470 would create a deferred retirement option program for police officers. The Employees Retirement System warned it could worsen the system’s $14.1 billion unfunded liability by stopping employer and employee contributions during the DROP period, and the Attorney General raised possible tax-qualified status, Internal Revenue Code, and age-discrimination concerns. Police and other supporters testified in favor, but the committees ultimately recommended deferring the bill indefinitely. SB 828 would expand workers’ compensation medical benefits for firefighters to cover an additional respiratory condition. The Department of Labor and Industrial Relations and the Hawaii Firefighters Association supported the measure, citing occupational exposure and health risks. The committees recommended passage with amendments, and the motion was adopted by both committees. SB 730, which concerns allowance on service retirements, drew support from the Department of Human Resources Development and the Department of Law Enforcement, but also comments from the Attorney General and ERS. DHRD said the bill could help recruitment and retention but requested more time to work on language with ERS, Budget and Finance, and the AG’s office. The committees postponed decision-making until Friday, February 7, at 3:15 p.m. in Conference Room 225. SB 1383, relating to fire protection, received broad support from the Governor’s office, Department of Defense, DLNR, Hawaiian Electric, and others. The committees agreed to pass it with amendments, including language suggested by the Hawaii Insurance Council on wildfire-related insurance issues and a committee report link to the Lina fire forward-looking report, phase three. The amended recommendation was adopted by both committees. Later in the meeting, the committees also heard SB 1360 and SB 1361 on ERS administrative and reporting matters, SB 340 on HLRB enforcement authority, and SB 997 on energy; SB 1360 and SB 1361 were presented as housekeeping measures, SB 340 drew disagreement between the Attorney General and HLRB over enforcement authority, and SB 997 was amended to incorporate prevailing-wage renewable energy rate language from SB 743 and then passed with amendments.

Transcript Highlights:

• I had diesel, carpentry, air conditioning, electricians trying to find instructors. It's hard.
• I had diesel, carpentry, air conditioning, electricians trying to find instructors. It's hard.
• I had diesel, carpentry, air conditioning, electricians trying to find instructors. It's hard.

Summary: The committee first heard HB 295, which would make school building aid funds non-lapsing/non-APS. Representative Cahill said the bill was intended to keep any unused building aid money available for future projects, potentially helping move projects up the priority list or provide a little more funding for school construction. Members asked about how much money has lapsed in past years, whether the education trust fund and building aid are separate, and whether any lapsing dollars could be used to pay down debt. Department of Education official Jim Carney said about $29.1 million would be available if building aid is funded to the $50 million maximum in FY26, confirmed that the fund currently lapses, and said the department would gather historical lapse data. Committee members also discussed whether a dedicated fund structure could achieve the same goal, and the chair noted that the education trust fund statute includes school building aid as one of its uses. No vote was taken; the hearing was closed and the committee said it would later hold a work session after receiving more information. The committee then took up HB 237, introduced by Representative Dan McGuire, which would prohibit the use of special education state funds and differentiated aid for students not receiving special education services. The New Hampshire School Boards Association, through Becky Wilson, opposed the bill as written, saying it was unclear, potentially unnecessary, and difficult to implement because adequacy and differentiated aid are distributed as part of a districtwide lump sum rather than as student-specific dollars. She explained that special education costs are embedded across district budgets, including staffing, training, transportation, and instruction, and that some staff and services benefit both special education and general education students. Wilson also said differentiated aid is not tied to a specific pupil and is used at the district’s discretion, though it is intended to support students with greater needs. Committee members pressed on whether the bill would require districts to track money by individual student, whether it could conflict with federal special education law, and whether it would affect least restrictive environment requirements. Wilson said making the funds student-specific could create privacy and accounting problems and could make it difficult to staff inclusive classrooms, though she did not give a definitive legal opinion on federal compliance. She agreed that students who are not eligible for special education would not be included in the separate catastrophic/special education aid reimbursement program. The discussion continued into the second section of the bill, with members exploring how adequacy aid and differentiated aid are used in practice, but no action was taken during the portion provided.

Transcript Highlights:

• So would is that times their salaries in those five years, or is it somehow a blended?
• in those five years or is it<03:40:12.319><c> somehow</c><03:40:12.720><c> a</c><03:40:12.960><c> blended
• </c><03:40:14.000><c> It's</c><03:40:14.319><c> it's</c><03:40:14.720><c> their</c> it somehow a blended
• It's it's their it somehow a blended?

Summary: The Committee of Conference on HB 1 and HB 2 met to review revenue estimates and begin working through the HB 1 detail change sheet. New Hampshire Lottery Director Charlie McIntyre reported stronger-than-expected lottery performance, raising the current-year return estimate to $27 million and the next biennium estimate to $200 million, with the increase attributed to improved scratch ticket sales and sports betting not hurting revenue as much as expected. Members questioned the assumptions behind the higher estimates, including the impact of $50 scratch tickets and whether the figures accounted for future conversion from historical horse racing (HHR) machines to video lottery terminals (VLTs). McIntyre and committee members discussed machine counts, per-day revenue assumptions, and the likelihood that VLT conversion would increase revenues over time, though the timing and pace of conversion remained an open question. The committee also discussed several gaming-related policy items in HB 2, including changes to kino hours and local option games of chance, and noted that the Senate and House differed on how gaming revenues would be allocated between charities, education, and general funds. Members emphasized that revenue projections should remain conservative because operators, not the state, would control the pace of machine conversion. Representative Sweeney noted that operators could earn more per machine under the VLT model, and McIntyre said the new facilities and expansions were largely concentrated near the Massachusetts border. The committee then moved to the HB 1 detail change sheet. It agreed to Senate position on the Department of Safety’s road toll bureau and international registration program changes, which were described as a zero-cost realignment of positions, and held the Department of Corrections section for later discussion. On the judicial side, members approved a technical footnote fix, but held a new contract counsel item for involuntary mental health admissions and deferred discussion of the public defender program increase. The committee also noted no change for the PE development authority, moved safety rest area funding from HB 2 into HB 1 with no additional cost, and flagged the tourism development fund and other judicial items as issues that may depend on overall available revenue.

Transcript Highlights:

• So is that times their salaries in those five years, or is it somehow a blended?
• in those five years or is it<03:40:12.319><c> somehow</c><03:40:12.720><c> a</c><03:40:12.960><c> blended
• </c><03:40:14.000><c> It's</c><03:40:14.319><c> it's</c><03:40:14.720><c> their</c> it somehow a blended
• It's it's their it somehow a blended?

Summary: The committee of conference on HB 1 and HB 2 met to review revenue estimates and begin working through a side-by-side of the budget. New Hampshire Lottery Director Charlie McIntyre testified that lottery revenues are outperforming prior estimates, projecting a $27 million return to the state this year, up $7 million, and $200 million per year in the next biennium, up $6.5 million per year. He attributed the increase to stronger scratch ticket sales, no negative impact from Massachusetts sports betting, and overall better performance. Members questioned the assumptions behind the higher numbers, including the proposed $50 scratch tickets, the effect of inflation, and whether the projections were conservative enough. McIntyre said the $50 ticket could produce modest growth and that the estimates were intentionally cautious. The discussion also covered gaming revenue assumptions for historical horse racing and video lottery terminals, with McIntyre saying the state market is not yet saturated and that future conversions from HHR to VLTs should be net positive for the state. Members also discussed differences between House and Senate revenue numbers for gaming, including machine counts, daily revenue assumptions, and the tax split. The Senate version used higher machine counts and a 31.25% tax rate, with a quarter-point reserved for responsible gaming and the remainder split between charities and the state. The House had used a 30% rate with a different distribution. McIntyre and committee members also reviewed House Bill 2 items affecting Kino hours and local option games of chance, with McIntyre explaining that the bill would expand playing hours and shift towns to an opt-out model. No votes were taken during the lottery discussion, but the committee indicated it would continue refining the revenue model and circulate the spreadsheet used for the estimates. The committee then moved through the HB 1 detail change sheet, accepting several Senate positions and holding others for later. It agreed to a zero-cost realignment in the Department of Safety moving the international fuel tax agreement function from administration to motor vehicles, and it restored eight passenger motor vehicle inspection positions for later discussion in HB 2. The Department of Corrections reorganization was set aside for a later, more detailed discussion. The committee also accepted no-change positions for the Department of Employment Security and agreed to a technical footnote fix in the Judicial Council section. It discussed a new HB 2 item moving contract counsel for involuntary mental health admissions from the judicial branch to the Judicial Council, funded at $100,000 per year, and noted that the public defender funding issue would be revisited when the overall budget picture is clearer. The meeting ended with the committee continuing its review of the remaining pages of the detail change sheet.

Transcript Highlights:

• what this amendment does is that it allows those peaking plants who use B100, which is a biodiesel blend
• /c><00:52:49.680><c> is</c><00:52:50.160><c> a</c><00:52:50.880><c> biodiesel</c><00:52:52.040><c> blend
• </c><00:52:53.040><c> to</c> 100, which is a biodiesel blend to 100, which is a biodiesel blend to consider

Transcript Highlights:

• Uh, and honestly, candidly, I think it looks better when you have a blend versus just machines as you
• when</c><00:11:39.120><c> you</c><00:11:39.279><c> have</c><00:11:39.360><c> a</c><00:11:39.519><c> blend
• </c><00:11:40.320><c> versus</c><00:11:40.880><c> just</c> better when you have a blend versus just better
• when you have a blend versus just machines<00:11:41.839><c> as</c><00:11:42.000><c> you</c><00:11:42.160

Summary: The committee met with Lottery Director Charlie McIntyre and Charitable Gaming Chief Compliance Officer Kulie Aoyo to review proposed changes in HB 2 and related amendments affecting video lottery terminals, historic horse racing, charitable gaming, and scratch tickets. McIntyre said the late-arriving amendment made revenue estimates difficult, especially because the bill would allow operators to decide when to convert from HHR to VLTs and would change the floor-space rules. He explained that the existing 70/30 floor-space split between machines and table games was negotiated to protect charity revenue, and warned that moving to a 90/10 split could reduce charity revenue, potentially by as much as $17 million, while also changing the character of the facilities. Committee members discussed whether to keep the 70/30 split, and McIntyre said he could provide updated estimates later that day, including net impacts after any offsetting gains or losses under current law. Members also asked about the governor’s proposed operator share versus the Sweeney amendment’s higher operator share. McIntyre said the governor’s 45% figure was based on his own estimate and on comparable rates in other states, and he supported it as a way to maximize revenue for the state and charities. He also described a change to high-stakes tournaments: after speaking with Rep. Sweeney, he said the amendment was clarified to apply only to those tournaments and would lower the house take from 10% to 5% to encourage participation in rare, high-buy-in events. The committee also discussed a separate proposal to raise the maximum scratch ticket price from $30 to $50; McIntyre said the change would take time to implement, would likely increase net state revenue by about $1 million in year two, and was consistent with pricing in neighboring states such as Massachusetts and Connecticut. Additional questions covered sports betting and a separate Kino-related estimate. McIntyre said March Madness is the busiest period for sports betting and that the state’s sports betting revenue has exceeded initial expectations. He also said he had estimated that removing a municipal-vote restriction for Kino could cost about $12 million total, with $2 million in the first year and $10 million thereafter. No formal votes were taken during the discussion; the chair indicated the committee would revisit the VLT amendment and other sections later, and McIntyre agreed to send updated revenue estimates to committee members.

Transcript Highlights:

• Out-of-state companies do things, you know, maybe a little bit differently too, so there's a blend.
• 00:25.359><c> a</c> little bit differently too so there's a little bit differently too so there's a blend
• 00:26.960><c> the</c><04:00:27.080><c> board</c><04:00:27.359><c> is</c><04:00:27.600><c> there</c> blend
• but we're there the board is there blend but we're there the board is there to<04:00:28.040><c> make

Summary: The committee first reviewed House Bill 1, focusing on the legislative branch budget, especially the Senate and House lines. Members discussed that the Senate’s fiscal year 2025 adjusted authorized amount was higher than 2024 actual spending, largely due to personnel, benefits, and travel, and one member proposed a $500,000 annual cut. Staff explained that any reduction would need to be allocated across specific line items such as personnel, benefits, and travel, and noted that the Senate budget is entirely General Funds. After discussion of how the adjusted authorized figures were calculated and why the branch no longer staffs some joint committees as it once did, the committee moved on without taking a vote on that section. The committee then heard a detailed presentation from the New Hampshire Retirement System. NHRS officials described their statutory administrative budget, which is funded through the retirement trust rather than the General Fund, and said the FY 2026-2027 increase is driven by IT modernization, cybersecurity, a new strategic plan, and additional staff positions. They also reviewed the system’s funding progress, clean audit opinions, investment performance, and changes to asset allocation, while noting that several recent pension-related laws required major database changes. Members questioned the large increase in salaries and benefits, the need for new employees versus contractors, the purpose of training costs, and the source of the Group Two benefit funding. NHRS said the governor’s budget includes General Funds for Group Two benefit changes, with $5 million in FY 2026 and $27.9 million in FY 2027, and that the figures reflect the governor’s recommendation and related HB 2 provisions. Committee members also asked about employer and employee contribution rates for Group Two police and fire members, which NHRS said were not included in the budget document but were about 31.2% for police and 30.35% for fire, with employee shares around 11.55% and 11.8%. The committee did not make a decision on the NHRS budget during this exchange and indicated it would review the details further before returning to it later. The committee then heard from the Community Development Finance Authority on the State Treasury Department budget line for the required state match to administer the federal Community Development Block Grant program. CDFA explained that its $280,000 annual request for FY 2026 and FY 2027, totaling $560,000, supports administration, technical assistance, contracting, and monitoring of roughly $19 million in annual federal CDBG funds. Members asked about the leverage of the state match, oversight of projects, staffing, and grant prioritization. CDFA said it has 18 employees, uses public hearings and a scoring system to prioritize awards, and conducts both desk and on-site monitoring, with annual audits to ensure compliance. No vote was taken on the CDFA item in the portion provided.

Transcript Highlights:

• required to take as part of that over at Granite Community College, so I'm not quite sure how many blended
• college so not quite sure how how<06:05:13.360><c> many</c><06:05:13.798><c> uh</c><06:05:14.000><c> Blended
• </c><06:05:14.558><c> opportunities</c><06:05:15.280><c> there</c> how many uh Blended opportunities
• there how many uh Blended opportunities there are<06:05:15.680><c> but</c><06:05:15.840><c> there's</

Committee: House Criminal Justice and Public Safety

Transcript Highlights:

• Information from these sensory-level studies allows our members to learn, lean in, and develop wine blends

Summary: The committee heard several bills, with testimony largely in support and some opposition on a few measures. AB 458 would direct the Department of General Services, in consultation with the Department of Justice, to develop model procurement guidelines for state purchases of firearms, ammunition, and accessories so agencies avoid vendors that violate gun laws; law enforcement and San Francisco representatives supported it, and members discussed adding oversight and vetting. AB 1729 would update state telework policy by requiring written telework plans for return-to-office decisions and restoring public reporting on telework savings; supporters cited cost savings, productivity, climate benefits, and worker flexibility, while the author clarified it would not alter collective bargaining under the Dills Act. AB 1754 would require post-completion reporting on bond-funded programs’ goals and outcomes; supporters framed it as a transparency and accountability measure, while counties and water agencies opposed it unless amended, warning of added bureaucracy, delays, and litigation risk. AB 1841 would create a paid state holiday recognizing California Native American Day, and AB 2115 would issue a formal legislative apology to California’s first peoples and install a commemorative plaque at the Capitol; both drew strong tribal and labor support and broad committee praise, with members emphasizing education, historical acknowledgment, and healing. AB 2211 would allow craft distillers to operate a satellite room and use certain alcohol modifiers on premises, and AB 1991 would authorize wineries, breweries, and craft distilleries to conduct sensory tastings for research with guardrails; both had industry support, with AB 1991 drawing one opposition voice from Alcohol Justice. AB 1578 would require elected officials to take anti-hate speech training as part of existing sexual harassment training; it drew sharp First Amendment objections from opponents and mixed committee views, but the motion to send it to Appropriations passed on a recorded vote. The committee also heard AB 1807, which would bar state-owned property from being used for federal immigration enforcement operations; the author and supporters argued it would protect communities and prevent state complicity in federal actions.

Transcript Highlights:

• friends and neighbors in virtually every city and town, living with low incomes, with a wide range of blended

Committee: Joint Joint Committee on Community Development and Small Businesses

Summary: The Joint Committee on Community Development and Small Business held its final hearing of the session on H. 5187 and S. 3022, the Enough Act, with Chair Andy Vargas and Senator Adam Gomez opening by thanking committee members and stakeholders for their work during the session. The bills were described as a grant-based, place-based anti-poverty initiative intended to support cradle-to-career services by funding local nonprofits, schools, community organizations, and backbone entities that can coordinate housing, education, health, workforce, and family supports in high-poverty neighborhoods. Testimony was overwhelmingly in support of the bills. Speakers including Strategies for Children, Chelsea Public Schools, Bunker Hill Community College, Senator Sal DiDomenico, Rep. Kate Lipper-Garabedian, Rep. Antonio Cabral, the Harlem Children’s Zone’s Kwame Owusu Kesse and Jeffrey Canada, former Education Secretary Paul Reville, AFT Massachusetts, United Way, the Boston Foundation, Give Black Alliance, Eastern Bank Foundation, and others argued that poverty is a systems issue that schools alone cannot solve. They emphasized the need for local control, community voice, coordinated services, and long-term public-private investment, often citing examples from Chelsea, New Bedford, Springfield, Lowell, Boston, and other communities, as well as the Harlem Children’s Zone and Maryland’s similar model. Committee members asked several questions about how the bill would function in practice, including what organizations would do on day one, how it would interact with existing efforts like community schools, McKinney-Vento, and the Student Opportunity Act, and how it would be sustained over time. Witnesses said the act would help create or strengthen backbone organizations, reduce duplication, align existing resources, and leverage philanthropy and future revenue sources for long-term sustainability. No vote was taken during the hearing, but multiple speakers urged the committee to report the bill favorably and quickly.

Transcript Highlights:

• He has shown impressive seamlessness in blending into this legislative body, and his contributions to

Bills: LB764 , LB815A , LB839 , LB888 , LB955 , LB972A , LB1029 , LB1087 , LB1091 , LB1126A , LB1181A , LB1237A , LB1261A , LB304A , LB762 , LB889 , LB929 , LB966 , LB1022 , LB1187 , LR508

Transcript Highlights:

• colleagues or even judges, I really try to get them to respect that distinction because I think we tend to blend

Committee: Senate Senate Federalism and Family Law Committee of Reference

Summary: The committee first heard HB 2793, which would let cities and towns expedite annexations when 100% of the affected property owners request it, and would modernize notice requirements by allowing electronic newspaper publication and a single on-site notice for small single-parcel annexations. Buckeye supported the bill as a way to streamline uncontested annexations and reduce delay and cost, while a senator raised concerns based on a recent contentious Tucson annexation and the speed of public notice. The committee voted 4-3 to give HB 2793 a do pass recommendation. Members then considered HB 2041, which would prohibit a parent, guardian, or custodian from being found to have abused or neglected a child solely because poverty prevented them from providing supervision, clothing, food, shelter, or medical care. Child welfare advocates supported the bill as a step toward decriminalizing poverty, while another witness argued it did not go far enough because it still allowed investigations based on poverty. Several members said they supported the concept but wanted further changes, and the bill passed 4-3. The committee also approved HB 2239, creating a child care grant program and infrastructure fund at DES to expand access in underserved areas; testimony from child care providers and parents emphasized shortages, workforce challenges, and the need for facilities, and the committee adopted an amendment adding tax credit language and eligible applicants before passing the bill 6-0 with one not voting. HB 2321, requiring DCS to place a credit freeze on a child’s credit report when the child enters care, passed 7-0 without testimony. HB 2371, allowing consenting divorcing parties without minor children to use AI-assisted arbitration and adding an amendment on therapeutic interventions and expert testimony in parenting cases, drew concerns about using AI for binding family-law decisions and about the amendment’s relevance; it passed 4-3. HB 2594, strengthening protections for participants in the address confidentiality program in family-law matters and sealing related voter records, received strong support from a witness describing repeated attempts by an ex-partner to obtain a protected address and passed 7-0 after amendment. HB 2661, requiring DCS to inform parents under investigation that they may delegate temporary guardianship and, as amended, limiting additional documentation requirements, passed 4-3 despite concerns that it gave too much discretion to parents accused of abuse or neglect.

Transcript Highlights:

• colleagues or even judges, I really try to get them to respect that distinction because I think we tend to blend

Bills: HB2041 , HB2144 , HB2239 , HB2321 , HB2371 , HB2594 , HB2661 , HB2662 , HB2793 , HB2968 , HB2995

Committees: Senate Federalism and Family Law , Senate Senate Federalism and Family Law Committee of Reference

Keywords: child neglect, financial resources, behavioral health, Christian Science treatment, parental rights, child support, preborn children, retroactive support, medical expenses, child welfare, child care, grant program, low-income, early learning, infrastructure, economic growth, HB2371, Arizona divorce, family law, dissolution of marriage

Transcript Highlights:

• Stop lobbying against the cleaner-burning gasoline blend elimination.

Summary: The House opened with prayer, the Pledge of Allegiance, attendance, and a series of guest introductions and recognitions, including Doctor of the Day Dr. Eric Osowski, State Farm visitors, Donate Life Day participants, and representatives from Ganado and Chinle Unified School Districts. The chamber also read proclamations honoring Ganado Unified for the ASBA Golden Bell Promise Program Award and Chinle Unified for multiple academic and cultural achievements, including national recognition for Chinle Elementary School and district leadership. The body then moved through committee and floor business, including consent for the Senate to adjourn, first and second readings of several bills, and a motion to reconsider HB 2429. In Committee of the Whole, HB 2093 was amended to restore mental health instruction while removing social emotional learning, HB 2229 advanced after debate over reproductive health and abortion-related provisions, HB 2429 and HB 2950 were amended and recommended do pass, and HB 4136 also advanced as amended. The House adopted the Committee of the Whole report and referred the measures to engrossing. The chamber then considered HB 4001, a bill regulating alternative nicotine products, with amendments and debate focused on licensing, enforcement, youth access, and whether to add a tax or education provisions; the bill was recommended do pass as amended. It also debated HB 4030 and the related HCR 2052, both aimed at limiting municipal tax and fee increases and allowing increases tied to inflation or new water-source costs. Amendments offered by Democrats to redirect the measures toward affordability, housing, and health insurance claims were ruled out of order or defeated on roll-call votes, while the Olson substitute amendments prevailed. The House ultimately adopted the Committee of the Whole report, sending HB 4001, HB 4030, and HCR 2052 forward as amended.

Transcript Highlights:

• targeted outreach, streamlining readmission policies, offering completion grants, and developing blended

Summary: The subcommittee heard opening remarks and updates from UC President James Milliken and CSU Chancellor Mildred Garcia on the state of higher education, including federal funding losses, civil rights/Title IX compliance, enrollment, housing, and budget needs. Both leaders emphasized the value of UC and CSU to California’s workforce, research, and economic mobility, while warning that federal grant cancellations, investigations, and changes to student aid are creating major financial and operational strain. UC reported losing or having at risk more than 1,600 grants and over $1 billion in research activity, while CSU said it had lost more than 200 grants totaling about $161 million, including minority-serving institution grants that affected student support programs. Both systems said they are investing in civil rights services and trying to limit the release of personally identifiable information in response to federal requests. The committee then reviewed the higher education student housing grant program. Finance and Legislative Analyst’s Office staff said the governor’s budget does not include major new changes but continues support for the program. CSU reported 12 approved projects that will add about 5,047 beds, with roughly 75% below market rate, and said it has about 68,000 beds systemwide, a 92% occupancy rate, and ongoing housing insecurity among students. UC said its housing projects have added more than 7,000 beds when reduced-rent and regular-rent units are combined, but nearly 10,000 students were on housing wait lists at the start of fall 2025. Both systems described rapid rehousing efforts, emergency beds, and partnerships with community colleges, and UC noted several joint housing projects, including at Riverside, Merced, and Santa Cruz. Members discussed whether future housing bonds and use of surplus school sites could help expand capacity. In the enrollment section, the LAO recommended maintaining UC’s 2026-27 resident undergraduate target, funding enrollment growth separately from base increases, pausing the nonresident reduction plan at the three highest-demand UC campuses, and holding UC enrollment flat in 2027-28. For CSU, the LAO recommended revising the 2026-27 enrollment expectation downward to reflect updated projections, while also funding enrollment growth separately and holding enrollment flat in 2027-28. CSU said it has rebounded from pandemic-era declines, is above its funded target by about 3,000 FTE, and is shifting about $89 million and 10,000 FTE from lower-demand campuses to higher-demand ones while developing turnaround plans for seven campuses with sustained enrollment declines, including Sonoma State. UC said it has already exceeded its compact enrollment goals and is planning continued growth, but that sustaining it depends on ongoing state support. Members raised concerns about campus-specific enrollment declines, nonresident caps at UC San Diego, and the need for stronger turnaround plans and teacher preparation pathways. The final section covered core operations and deferred payments: Finance said the governor proposes another one-year deferral of about $129.7 million for UC and $143.8 million for CSU, and the LAO recommended retiring the deferrals when one-time funds are available. CSU described rising compensation, financial aid, utilities, insurance, and deferred maintenance costs, and said it is pursuing cost-saving measures such as procurement alignment, campus integration, and shared administrative services.

Transcript Highlights:

• I encourage you to take a look at the New Mexico Indigenous Scope, which really blends together what

Bills: SB234 , SB210 , SB243 , SB244 , SM16 , HB8

Committee: House House Education

Keywords: foster children, school transportation, education funding, public education, child welfare, New Mexico Highlands University, soccer field, women's sports, infrastructure improvement, funding allocation, student athletes, appropriation, New Mexico State University, nutrition, travel support, funding, education, university support, financial assistance, parenting students

Transcript Highlights:

• Whereas Grant County is known for its mining, ranching, and art communities, its blend of Hispanic, Native

Bills: HM3 , HM11 , HM14 , HM15 , HM18 , HM21 , HB10 , HB11 , HB12 , HB13 , HB14 , HB31 , HB50

Keywords: nurses, health care workers, healthcare workers, frontline workers, hospital staff, clinicians, allied health professionals, support staff, public health, workforce shortage, nursing shortage, safe staffing, patient safety, rural health care, frontier communities, behavioral health, mental health, substance use disorder, substance abuse, health care memorial

Transcript Highlights:

• Representative, it's a little different for each plan, but the blended FMAP rate—the federal medical

Summary: The committee heard a budget presentation on the Division of Medicaid within the Department of Health and Welfare, including an overview of the division’s five programs, staffing, spending trends, and the large share of the budget that goes to trust and benefit payments. Ms. Williamson explained the difference between ongoing and one-time enhancements, the role of population forecast adjustments, and why the fiscal year 2026 and 2027 numbers change significantly. Members asked about the growth in the budget, the FMAP match rate, the impact of provider rate changes, and the shift of some positions into Medicaid from other divisions after last year’s reorganization. A major topic was House Bill 345 and related budget changes, including the hospital assessment fund alignment, the 4% provider rate reduction, and the effect on Medicaid expansion and other populations. The committee discussed the decline in expansion enrollment, rising costs in traditional Medicaid populations, and the governor’s recommendation to offset part of the 2027 increase with additional reductions. Members raised concerns about access to care, especially for dental, behavioral health, developmental disability, and home- and community-based services, while the deputy director said the department is trying to contain costs through prior authorization, fraud and abuse work, and policy changes. The committee also focused on the MMIS replacement project, which is in year four of a five-year procurement and is funded through dedicated and federal dollars tied to milestones. Another significant item was estate recovery, where the department requested funding to replace an outdated case management system and add contractor support to address a backlog of roughly 20,000 cases; members questioned the return on investment and asked for more detail on the software and staffing split. The deputy director also explained the federally qualified health center reconciliation issue, saying the state had not been properly paying change-in-scope amounts and is now using a new process with interim payments and later reconciliation. In addition, lawmakers asked about program integrity staffing, the use of AI, and whether the department could better target fraud, waste, and abuse investigations. The deputy director said the department is reviewing AI use cautiously and sees opportunities for it in claims review and anomaly detection, but emphasized that the current request is for dedicated receipt authority rather than general funds. No formal votes were taken in the excerpt, but the committee received the presentation, asked extensive questions, and was told that some follow-up information would be provided later.

Transcript Highlights:

• prevailing wage, Prevailing wage, so to get the more granular detail of just the prevailing wage, it's a blend

Committee: House Budget

Transcript Highlights:

• The vaquero and caballero traditions uniquely shaped California, blending Spanish, Latino, and American

Summary: The committee heard multiple bills, with extensive discussion focused on short-term rental regulation, street vending, park/public safety financing, transit-oriented housing fees, and demographic data collection. SB 346 would require short-term rental platforms to provide local governments with listing addresses and related information to help collect transient occupancy taxes and enforce local ordinances; supporters argued cities and counties need the data to identify unlicensed operators and recover taxes, while opposition from platforms raised privacy and due process concerns and said administrative subpoenas already exist. The bill was amended and passed 7-0 to the Judiciary Committee. SB 635, the Street Vendor Business Protection Act, sought to protect street vendors’ personal information from being shared in ways that could expose them to federal immigration enforcement; supporters described raids and fear in vendor communities, and the bill passed 6-1 to Public Safety. SB 499 would clarify that certain park and recreation facilities designated in local safety or hazard mitigation plans can qualify for fee deferral exemptions when they serve emergency or public safety functions; supporters said parks can serve as fire buffers, evacuation sites, and recovery hubs, while some housing advocates sought a clearer nexus to development impacts. The bill passed as amended 6-0 to Appropriations. SB 358, which would modernize traffic impact fee rules to better reflect lower automobile trip generation for walkable, transit-oriented housing, drew support from housing and transportation advocates and passed 8-0 to Appropriations. SB 515, aimed at improving demographic data collection and reporting by local governments and state entities, passed to Appropriations on a 4-0 vote. The committee also took up SB 276, presented by Assembly Member Stefani on behalf of Senator Wiener, which would allow San Francisco to create a permit-and-enforcement system for the sale of commonly stolen goods on sidewalks. Supporters said the measure is needed to address fencing operations and protect legitimate vendors, while emphasizing it is narrowly targeted and not aimed at food vendors or permitted sellers. The transcript ends during testimony on SB 276, with supporters from the Mission street vendor community and San Francisco Public Works describing enforcement problems and the need for clearer rules and city resources.