Transcript Highlights:

• Speaker, let me just unmask that claim for you.
• The federal government takes up to 60% for adjusted gross income for donations.
• They could go claim domiciles somewhere else. And so again, Mr.
• They claimed that we owed them thousands and thousands of dollars. We fought them.
• They owed us almost triple what they claimed that we owed them.

Bills: HB2720 , HB2073 , SB5816 , SB5919 , SB5831 , SB6244 , SB6044 , SB5109 , SB5877 , SB6258

Keywords: behavioral health, emergency services, health insurance, provider access, mental health funding, premium assistance, funding, healthcare, subsidies, juice grapes, agriculture, commerce, state regulation, market access, fire safety, insurance incentives, best practices, community protection, voluntary measures, mortgage modification

Transcript Highlights:

• This is an amendment to try to exercise some legislative oversight of tort claims that are above certain
• Adjust the total appropriation accordingly. Senator Christian. Thank you, Mr. President.
• And yet, we seem surprised when DCYF is the leading tort-claim department in the entire state.
• Senator Christian: Saving money and not having somebody to work claims, it's time that we support these
• The Secretary will read: On page 474, line 10, increase the general fund-state appropriation and adjust

Bills: SB6061 , SB6234 , SB6170 , SB6176 , SB6182 , SB6335 , SB5647 , SB6047 , HB2367 , HB2606 , SB5998 , SB6005 , SB6003 , SB6129 , SB6225 , SB6228 , SB6231

Keywords: tourism, self-supported assessment, funding, statewide promotion, economic development, sewage, grinder pumps, residential buildings, regulation, construction, contracting rules, state highway construction, procurement limits, state regulations, infrastructure funding, vehicle registration, enforcement, renewal, transportation, state law

Summary: The Senate met on February 23, 2026, opened with the usual roll call, pledge, prayer, and approval of the previous journal. Members then adopted Senate Resolution 8698 recognizing piano teachers, with several senators sharing personal remarks about their own teachers and the role of music education in families and communities. Guests from the Washington State Music Teachers Association and the National Guild of Piano Teachers were recognized in the gallery. The chamber then moved into budget debate, considering a series of amendments to the operating budget. Several proposals focused on housing costs, local planning, utility rates, and state spending restraint. Amendment 0772, which would have created a housing-related task force and increased funding, was rejected after debate over housing affordability and regulatory costs. Amendment 0785, restoring growth management planning funding for local governments, was also rejected. Amendment 0791, directing the Department of Commerce to study the effects of climate and clean energy laws on utility costs, and Amendment 0769, related to grid capacity and clean energy investments, were both adopted. Other amendments drew sharper partisan debate. Amendment 0798, which would have reduced the Supreme Court from nine justices to five and redirected savings to public defense, failed. Amendments 0794 and 0795, seeking funding for ballot measure costs tied to initiatives, also failed. Amendment 0799, intended to redirect Pacific Tower lease savings to developmental disability services, was rejected after discussion of the building’s current public uses. Amendment 0773, capping state spending growth and tying it to median wage growth, failed on a roll call vote, while Amendment 0777, addressing concurrent use of paid family and medical leave and sick leave by state employees, also failed after extended debate. Later, Amendment 0776 on tort liability reporting was adopted, as were Amendment 0758 creating a DSHS work group on community-based services for people with intellectual and developmental disabilities, and Amendment 0786 was introduced to reduce cash and food assistance work-related funding, with debate beginning before the transcript ends.

Transcript Highlights:

• We cannot claim to lead the nation while singling out a certain group of taxpayers for second-class care
• Individuals claiming parole or protected under color of law and pregnant individuals are excluded from
• So we think as one alternative to consider, the legislature could adjust the income thresholds for this
• So we are working with the federal government with regard to how we do our claiming, and our assistant
• We looked at utilization and the significant growth in both the members and utilization and claims, and

Summary: The Assembly Budget Subcommittee on Health held the first of several hearings on the Governor’s May Revision for health care, with opening remarks focused on the state’s projected $12 billion deficit, looming federal Medicaid changes, and the potential impact on Medi-Cal, public health, reproductive health, and safety-net providers. Several members criticized the proposal as balancing the budget on vulnerable Californians, while others defended the need for cost containment and questioned the administration’s assumptions. The chair set ground rules for respectful, focused questioning and outlined three topics: the Medi-Cal proposals, Proposition 35, and Proposition 56. DHCS Director Michelle Baas presented the May Revision’s Medi-Cal package, saying the department’s budget totals $200.6 billion overall, including $45.2 billion General Fund, and that the proposals are intended to address rising caseloads, pharmacy costs, and managed care spending. She described proposed changes for adults with unsatisfactory immigration status, including a freeze on new full-scope enrollment for those 19 and older, $100 monthly premiums beginning in 2027, elimination of adult dental and long-term care coverage, removal of PPS/RAP payments to FQHCs and rural health clinics for that population, and a pharmacy rebate aggregator. Other proposals included eliminating certain OTC drug classes, removing GLP-1 coverage for weight loss, prior authorization and step therapy changes, reinstating the Medi-Cal asset test, eliminating acupuncture as an optional benefit, allowing utilization management for hospice, raising the managed care minimum medical loss ratio to 90%, reducing PACE capitation rates toward the midpoint of the actuarial range, eliminating the skilled nursing facility workforce and quality incentive program, and suspending the SNF backup power requirement. The LAO said the revised Medi-Cal spending estimate is about $2.5 billion higher than the Governor’s Budget in the budget year, and that the increase appears driven more by higher per-enrollee costs than by caseload alone. The LAO said the budget solutions are concentrated in a few areas, are largely ongoing, and should be considered in light of federal uncertainty, but suggested the Legislature could explore alternatives such as more targeted income thresholds for the undocumented expansion and simpler asset-test rules. Department of Finance officials said the proposals are difficult but necessary to address a third consecutive deficit and rising Medi-Cal costs. Members then pressed the administration on the methodology and impacts of the proposals, especially the enrollment freeze, premiums, asset test, hospice controls, PACE reductions, and the elimination of benefits and provider payments. No votes or formal actions were taken at this hearing.

Transcript Highlights:

• And these adjustments are focused on continuing and empowering the vision. provisions.
• Makes an adjustment to parking reduction requirements, requiring local governments provide at least a
• There are an additional 241,601 claims backlogged.
• Some of these claims go back decades.
• This is a bill with a settled excess judgment claim for $200,000.

Summary: The committee considered a long agenda of bills, with most measures reported favorably after brief sponsor presentations, amendments, and roll calls. Early bills included SB 658 on lien waivers/releases, SB 736 on Brownfields redevelopment, SB 1002 on utility service restrictions, SB 1132 on right-to-repair for certain equipment, and SB 1378 on restitution for leaving the scene of a crash involving property damage. Each was amended or discussed as needed and then approved by the committee. The committee also advanced SB 768 on foreign control interests in health care licensing, SB 772 on school diabetes management and access to glucagon, SB 1400 on removal of altered sexual depictions posted without consent, SB 1696 on prearranged transportation services, and SB 1374 on school district reporting requirements for educator arrests and misconduct. Several bills drew notable public testimony and debate. SB 1132 prompted strong support from the sponsor and agriculture interests, but opposition from equipment dealers, technology groups, and wireless industry representatives who argued the market already provides repair options and that the bill could harm dealer networks and security. SB 1730, the Live Local/affordable housing bill, received extensive discussion about parking reductions, height and density preemption, attorney’s fees, local government authority, and impacts on Monroe County and other areas; the committee adopted an amendment and reported the bill favorably despite concerns from some members and advocates about parking, due process, and local control. SB 606 on public lodging and food service establishments also generated significant debate, with opponents warning it could displace long-term guests and vulnerable families, while the sponsor said it clarifies transient occupancy and removes ambiguity in the removal process; the bill passed after the committee rejected a related amendment. Other measures advanced with less controversy. SB 576 updated service-of-process rules, and SB 1164 authorized email delivery of landlord-tenant notices if the parties agree in writing, though tenant advocates urged clearer safeguards and the sponsor said he was not yet committed to the House version. SB 940 prohibited the resale of restaurant reservations without consent and was supported by restaurant interests. SB 1690, allowing infant safety devices or “baby boxes” as a legal surrender option, drew emotional support from several witnesses who said it would provide anonymous, life-saving alternatives for mothers in crisis; the committee continued discussion into the latter part of the meeting. Throughout, the committee adopted several amendments, heard both support and opposition from industry, advocacy, and local-government witnesses, and reported the discussed bills favorably by recorded vote.

Transcript Highlights:

• Uh, so I'm moving this adjustment.
• It's a cola adjustment. It's happened before.
• I do adjustment. It's happened before.
• I it's standard level has been adjusted.
• ChatGPT does not claim to offer mental health services.

Committee: House Executive Departments and Administration

Keywords: 1189, house, all

Transcript Highlights:

• It allows us to claim savings for grid flexibility, which is critically important.
• And so being able to categorize those and claim savings in a common way is critically important.
• It allows us to claim savings for grid flexibility, which is critically important.
• And so being able to categorize those and claim savings in a common way is critically important.
• So I just want to highlight there's, I think, arguments and value to thinking of both, adjusting both

Summary: The Assembly Committee on Utilities and Energy held a hearing on how California Public Utilities Commission energy efficiency programs are budgeted, evaluated, and measured for cost-effectiveness. The chair framed the issue as not whether energy efficiency works, but how to ensure ratepayer-funded programs continue to deliver value as the portfolio has shifted from simple measures like lighting to more complex retrofits, electrification, workforce, and equity programs. CPUC staff outlined the statutory framework, the four-year budget cycle, recent spending of about $795 million in 2025, and the use of total system benefit (TSB) and the total resource cost (TRC) test, noting that some programs are exempt from cost-effectiveness requirements at the individual program level but not at the resource acquisition portfolio level. Utility, regional network, implementer, and advocacy witnesses offered differing views on the current metrics. PG&E described its portfolio as cost-effective overall and argued that cost-effectiveness should remain at the portfolio level to allow innovation and multi-year program flexibility. SoCalREN and the Energy Coalition emphasized the value of local government delivery, equity-focused programs, and the need to credit programs for broader benefits such as workforce development, market transformation, and electrification. The Public Advocates Office argued that ratepayer-funded programs should produce benefits greater than costs and raised concerns about the growing share of budgets going to programs that have not met cost-effectiveness thresholds. Several witnesses said the current math is too complicated and that different program types may need different metrics. Committee members repeatedly pressed witnesses on the complexity of the TRC and TSB calculations, the treatment of participant costs, and whether the state should use a simpler or more transparent framework. CPUC staff said the relevant issues are already being addressed in two open proceedings, with one budget application proceeding expected to conclude in roughly the second or third quarter of next year and a broader policy rulemaking ongoing. No votes were taken and no formal action was reported; the hearing functioned as an informational discussion and policy review.

Transcript Highlights:

• Is this to avert a particular lawsuit or a particular claim by some beneficiaries in Delaware?
• , public lodging establishment owners may be unable to remove non-paying guests because they are claiming
• The bill before us today makes a few minor adjustments to the original legislation, particularly regarding
• These adjustments are not about changing the vision, but about strengthening the implementation and ensuring
• It makes an adjustment to parking reduction requirements to require local governments to provide a 20%

Summary: The Senate opened with a prayer, the Pledge of Allegiance, doctor and guest introductions, and then moved to the special order calendar. Early bills passed included measures on the Florida Trust Code (SB 806/HB 1173), school district reporting requirements and educator misconduct reporting (SB 1374), debt collection email communications (SB 232), service of process updates (SB 576/HB 157), public lodging and food service establishments (SB 606), lien waivers and releases (SB 658), Crime Stoppers public records exemptions (SB 710), health care licensure and foreign-country business interests (SB 768, amended), diabetes management in schools (SB 772/HB 597), platting procedures (SB 784), fentanyl testing in hospitals (SB 1346/HB 1195), third-party reservation platforms (SB 940), electronic landlord-tenant notices (SB 1164/HB 615), leaving the scene of a crash restitution (SB 1378/HB 479), background screening for athletic coaches (SB 1546), surrendered infants and infant safety devices (SB 1690/HB 791), and affordable housing/Live Local Act changes (SB 1730, amended). Several other bills were temporarily postponed, including measures on trespass, higher education, transportation services, the UCC, altered sexual depictions, firearms during emergencies, Brownfields, false reporting, health care billing, motor vehicles, utility services, and others. Most of the debate centered on a few controversial bills. Senators debated the fentanyl testing bill in support of faster detection and life-saving treatment, and the surrendered infants bill drew opposition over safety, anonymity, and liability concerns, though supporters argued baby boxes provide a monitored safe surrender option. The affordable housing bill received an amendment and broad support as a continuation of the Live Local Act, with changes to zoning, parking, height, and litigation procedures. The day’s most contentious measure was the agriculture/consumer services package (SB 700), where senators argued over the bill’s fluoride-related preemption; opponents criticized the policy and process, while the sponsor emphasized broader agriculture, consumer protection, and FFA-related provisions. That bill passed 27-9. Votes on the other major bills were largely bipartisan and often unanimous or near-unanimous, with several bills passing 35-37 yeas and few or no nays. The Senate also adopted a motion to immediately certify all bills passed that day to the House. The session concluded with announcements recognizing visitors, including Taiwan representatives, and remarks about a lantern-lighting observance tied to the 250th anniversary of Paul Revere’s ride, followed by adjournment until the next scheduled meeting.

Transcript Highlights:

• The Campaign Finance Board has disputed approximately $160,000 of our claim, suggesting at a minimum
• lobby for the largest corporations in the United States, is using a civil rights statute in order to claim
• So, what this is, is an adjustment of one of the thresholds that are on the low end for one specific
• Adjusting that late candidate filing period so for most of our cities, our school boards, our townships
• Sahlberger mentioned, it does make a number of technical adjustments.

Committee: House Elections Finance and Government Operations

Transcript Highlights:

• TELL YOU PERSONALLY IN MY OFFICE WE ALSO TRY TO ISSUE MARRIAGE LICENSES AND ADMINISTERED THE VALUE ADJUSTMENT
• WE ALSO HAVE CIVIL SMALL CLAIMS COUNTY IN CIRCUIT COURT AND FAMILY JUVENILE PROBATE AND GUARDIANSHIP
• BUT WE MUST ENGAGE IN A LONG TERM DISCUSSION ADJUSTING REVENUE STREAMS THAT FUND OF THE OFFICE AND STREAMS
• I BELIEVE THE FEES SHOULD BE ADJUSTED EVERY FIVE YEARS OR SO FOR INFLATION BASED ON A CPI INDEX ENSURING
• Chair: YOUR RECOGNIZE. >> FOR REGULAR COUNTY CASE, LET'S SAY YOU ARE AN ATTORNEY AND YOU FILE A SMALL CLAIMS

Keywords: 999, senate, all

Transcript Highlights:

• of the Voting Rights Act, making claims that their vote was being diluted.
• And that ruling was only applied to those types of claims, not any other constitutional claim under the
• Instead of dismissing all of their claims in the litigation.
• It seems that the statements and claims being made...
• It seems that the statements and claims being made, The statements and claims being made by the Department

Summary: The Senate Special Committee on Congressional Redistricting met virtually for its West Texas regional hearing, established a quorum, and explained that the hearing was part of a series of statewide information-gathering sessions before any map was filed. The chair outlined the Zoom procedures, the two-minute testimony limit, and the availability of written comments through the committee’s public portal. Senators also discussed the logistics and transparency of the process, including the expectation that any proposed map or amendment would be made public once filed and that additional hearings would follow. Senator Blanco, whose district includes West Texas and the border region, said the area’s communities of interest should be kept together and warned against repeating the loss of representation that followed the last redistricting cycle. Senators Alvarado, Hinojosa, Miles, and others debated the value of virtual hearings versus in-person hearings, the number of people who had testified, and whether the committee could subpoena witnesses after the regional hearings ended. The chair said he was awaiting legal guidance and would consider a subpoena motion at a formal meeting the next day. A lengthy exchange also occurred over the tone of public testimony and the chair’s view that some comments directed at Republicans and the president had been offensive or historically inaccurate. Invited witnesses and public commenters largely opposed mid-decade redistricting and argued that any new map should reflect population growth, especially among Latino and other minority communities, and comply with the Voting Rights Act. Nina Perales of MALDEF said the hearings were not meaningful without a draft map and testified that Texas has a long history of discriminatory redistricting; senators questioned her about litigation, DOJ’s July 7 letter, and the 2021 congressional map. Tania Chavez Camacho, Luis Figueroa, and several El Paso residents emphasized that maps should preserve communities of interest, avoid cracking and packing, and be transparent and participatory. A smaller number of witnesses supported redistricting, including one El Paso resident who said the current districting leaves the area underrepresented and another who argued that some communities want to return to a map closer to the earlier District 16 configuration. Several witnesses also criticized the DOJ letter as inconsistent with the state’s position that the 2021 maps were drawn race-blind, while others said the current process was too rushed and lacked sufficient public input.

Transcript Highlights:

• And from the adjusted gross, when I say adjusted gross, this is in our reporting.
• And from the adjusted gross, when I say adjusted gross, And from the adjusted gross, when I say adjusted
• Representative Claiming. Thank you.
• We don't claim that this is an all-inclusive list.
• Let me try to adjust that. Hopefully, I do this first.

Summary: The Judiciary Interim Committee met to begin its study of charitable gaming and the ownership of alcoholic beverage establishments by licensed charitable gaming organizations, a study directed by Senate Bill 2334. Legislative Council gave an overview of the constitutional and statutory framework for charitable gaming, site authorizations, rent limits, proceeds, and recent legislative changes. The Attorney General’s Gaming Division then clarified the financial flow of gaming, explaining that in fiscal year 2025 North Dakota had about $2.5 billion in gross gaming proceeds, with roughly 88-90% paid back in prizes and about $256 million available to organizations after taxes; most of that activity came from electronic pull tabs. Members asked for more detail on winnings, replays, rent, and the breakdown of manufacturer/distributor revenues, and the AG’s office agreed to provide supplemental information. The committee also heard from the League of Cities and the Association of Counties about local site authorization. Cities said they have a limited role in approving gaming sites, can adopt policies after public hearing, may charge up to $100, and can set certain conditions, including local nexus requirements, but cannot require donations or force a specific charity or site. The League said it had worked with stakeholders on a model policy to provide more consistency, though members raised concerns that local requirements could become too restrictive for charities serving broader areas. Counties said the issue is mostly a city matter, with little county involvement beyond minimal site fees and general site approval. The North Dakota Gaming Alliance testified in support of the study and provided IRS-related material suggesting charities may use asset diversification, while emphasizing it had not taken a position on whether charities should own bars. Members questioned whether bar ownership is being used for site stability or to channel charitable gaming dollars, and whether city policies might disadvantage charities with broader missions. The committee also discussed the relationship between gaming organizations, manufacturers, and distributors, including restrictions on incentives and interference, and asked for more information on those entities and their ownership. Later in the meeting, the Racing Commission gave its regular update on live racing, pari-mutuel wagering, ADW providers, purse and promotion funds, a new TRPB contract, and concerns about cease-and-desist actions from other states. Finally, the State Hospital superintendent briefly reported on the Department of Corrections and Rehabilitation’s support services, including the SORT team, training, and security assistance for the hospital campus.

Transcript Highlights:

• </c> looking at both eligibility and claims looking at both eligibility and claims one<01:33:37.679><
• That's our encounter claims data.
• , so I don't have the claim to tell you how much it's worth.
• , so I don't have the claim to tell you how much it's worth.
• </c><04:00:03.880><c> in</c> lines is if you don't make adjustment in lines is if you don't make adjustment

Keywords: 1189, house, all

Summary: House Finance Division III convened a work session on the DHHS budget, with the chair noting there would be no votes and that the committee would spend the day hearing from the commissioner’s office. Nathan White, DHHS Chief Financial Officer, opened with the Division of Finance/Office of Business Operations, explaining that the unit supports the department through daily financial management, AP/AR, audit work, expense projections, transfers, and procurement functions such as contracts, amendments, RFPs/RFAs, and grants management. He also described the division’s revenue and reporting work, including federal draws, CMS-64 reporting, and the public assistance cost allocation plan, and said the department had centralized rate-setting work and a small team handling Medicaid rate analysis and nursing facility rebase work. Members asked about vacancies, turnover, and budget changes. White said the division had 18 positions unfunded in the governor’s budget, reducing personal services from about $10.8 million to $9.9 million, and estimated the division’s vacancy rate at about 11 percent, below the department average. He said turnover was relatively low, with one retirement at the manager level and higher turnover mainly at lower AP-level positions. He also explained that some budget lines reflected reallocations rather than new spending, including fringe benefits centralized elsewhere and an EBT card contract moved into this unit because the staff member overseeing it works in Finance. When asked about a rent/lease increase, he said it was due to higher copier leasing costs under a statewide DAS contract. White highlighted several management and technology improvements. He said a business intelligence tool procured in 2022, using Salesforce and Excel-based data, helped DHHS better track federal revenue and maintenance-of-effort spending, reducing FY24 General Fund lapse by about 70 percent and federal/other revenue lapse by 88 percent compared with FY23; he warned that the tool is not funded in the current budget. He also described Lean Six Sigma efforts in the contracts team, training for vendors and nonprofits on procurement and indirect cost rules, and a Finance Academy to standardize policies and procedures. On the contracts side, he said the department uses Smartsheet for project management and DocuSign for electronic signatures, which cut contract execution time dramatically, but noted DocuSign is also not funded in the governor’s budget. The session ended as the committee prepared to move on to the Employee Assistance Program presentation.

Transcript Highlights:

• and Bane Act claims.
• It is so hard to prove a claim. And so they would always be tacked on as an adjacent state claim.
• of constitutional claims.
• of constitutional claims.
• individual-capacity claim.

Committee: Joint Judiciary

Summary: The committee heard and advanced several bills. SB 479 would let Berkeley, Long Beach, and Pasadena use multidisciplinary homeless response teams and share specified information across departments; the author and a Berkeley official said current state confidentiality rules prevent effective coordination, and the bill passed 9-0 to Senate Appropriations. SB 46 would bar a person who has served two terms as President from appearing on the California ballot for a third term; supporters argued California has authority to enforce constitutional qualifications, while Senator Niello questioned whether the bill was needed, and it passed 6-1 to Senate Appropriations. SB 99 would improve coordination between civilian and military authorities on military protective orders and restraining orders; the Department of Defense supported it, the ACLU raised due process concerns about MPOs, and the bill passed 6-0 as amended to Senate Appropriations. SB 719 would extend the sunset on Department of Technology reporting on state agency use of high-risk automated decision systems from 2029 to 2032; there was no opposition and it passed 6-0 to Senate Appropriations. The committee also took up SB 300, which would strengthen California’s new AI chatbot law by requiring operators to prevent minors from being exposed to sexually explicit material or facilitation of such content. Supporters said new evidence shows current protections are insufficient and that the bill is needed now to address harms to children; industry groups opposed the bill as premature, arguing SB 243 had just taken effect and that the new standard could create strict-liability-like exposure and uncertainty. After extensive questioning, the bill passed 9-0 to Senate Appropriations. SB 381 would give adult adoptees and descendants access to original birth certificates and create a nonbinding contact preference form for birth parents; many adoptees and birth parents testified in support, while some members raised privacy concerns for birth parents. The bill passed 13-0 to the Senate Health Committee, with the author noting amendments would be taken in Health rather than Judiciary. At the end of the hearing, the committee shifted chairs and began SB 33, which would eliminate the sunset on the existing public works contractor claim-resolution process so agencies must continue to respond to claims, pay undisputed amounts, and use early dispute resolution. The author and sponsor said the process has reduced litigation and helped contractors and workers, and the bill was just being introduced when the transcript ended.

Transcript Highlights:

• I'll just mention this is unrelated to the other issue about the, uh, inflation adjustment related to
• I'll just mention this is unrelated to the other issue about the inflation adjustment related to ICF/
• I'll just mention this is unrelated to the other issue about the inflation adjustment related to ICF/
• I'll just mention this is unrelated to the other issue about the inflation adjustment related to ICF/
• I'll just mention this is unrelated to the other issue about the inflation adjustment related to ICF/

Committee: Senate Human Services

Keywords: 1187, senate, all

Transcript Highlights:

• </c><03:41:38.200><c> may</c> so that informed budget adjustments may so that informed budget adjustments
• A funding level that would then be adjusted by routine COLA adjustments.
• by routine COLA then be adjusted by routine COLA adjustments. adjustments. adjustments.
• ,</c> The result of these HB 651 adjustments, The result of these HB 651 adjustments, when<04:04:49.520
• </c> in the place they claim as a domicile. in the place they claim as a domicile.

Keywords: 1189, house, all

Transcript Highlights:

• You want to adjust the table down a little bit. You're welcome to do it.
• Again, when you get up, you can adjust that table in the microphone where you're comfortable.
• Same drill, you can adjust the table for your height. Thank you. Good morning.
• arising out of ordinary negligence only if the claims are contractually waived.
• You want to adjust the table? Well, it's okay. It's okay. All right, fine.

Summary: The committee took up House Bill 2308, which would prohibit a dental insurer or its holding company from owning interests in dental practices regulated by the Arizona Board of Dental Examiners. The sponsor and Arizona Dental Association argued the bill is meant to prevent vertical integration and insurer control over provider care, while Delta Dental opposed it, saying the measure would block nonprofit insurers from investing in clinics for indigent care and create divestment burdens. After discussion of possible exemptions and market-share caps, the committee passed HB 2308 on a 7-0 vote. The committee then considered House Bill 4001, as amended, which creates a licensing and enforcement framework for alternative nicotine products beginning in 2028, increases penalties for sales to minors, restricts youth-oriented marketing, and licenses manufacturers and distributors. Supporters, including the sponsor, Border Security Alliance, Arizona Petroleum Marketers Association, and Vapor Technology Association, said the bill would improve supply-chain transparency and help curb illegal products and youth vaping. Opponents, including the American Cancer Society Cancer Action Network, argued it should instead use a full tobacco retail licensing model and that the bill’s enforcement structure lacks sufficient resources. The committee adopted the amendment and passed the bill 6-1. House Bill 2873, as amended, was also approved unanimously. The strike-everything amendment allows a person or organization that filed a city or town referendum petition to withdraw it before ballot qualification, applies the rule retroactively to withdrawals filed on or after January 1, 2026, and bars tallying or canvassing votes for referenda with a withdrawal notice. The sponsor described it as a common-sense governance fix, and the committee gave it a 7-0 do-pass recommendation. The committee next heard House Bill 2408, which revises Arizona Board of Nursing complaint procedures, confidentiality, investigation timelines, expungement authority, and related disciplinary processes. Nursing board officials opposed parts of the bill, warning that changes to nursing education oversight and tighter deadlines could weaken patient safety and increase costs and liability, while the Arizona Nurses Association and several nurses supported the bill as a way to prioritize serious complaints, improve timeliness, and allow expungement in appropriate cases. After adopting the amendment, the committee passed HB 2408 on a 5-2 vote. The committee also passed House Bill 2342, which limits HOA restrictions on backyard shade structures, and House Bill 2323, which extends Arizona’s motor vehicle lemon law protections to lessees, both by unanimous votes. Finally, the committee began hearing House Bill 4010 on creating a Board of Genetic Counselors, with the sponsor and supporters describing it as a licensure and patient-safety measure; the transcript ends during testimony on that bill.

Transcript Highlights:

• If we look at a couple of the other big ones: abandoned property claims.
• We would have to make the adjustment to the Internal Revenue Code reference in order to pick up those
• to the Internal Revenue code adjustment to the Internal Revenue code reference<01:37:49.080><c> in</
• And then when you're in it, you haven't adjusted the plan with any of the information that's coming at
• </c> measures and make um budget adjustments measures and make um budget adjustments this<02:41:11.359

Keywords: 928, house, all

Summary: The committee meeting began with an overview from the Legislative Budget Assistant Office on how Ways and Means will work with agencies and leadership during the budget and revenue-estimating process. Staff explained that the governor’s budget is still being developed, agencies are cautious about going on record early, and the committee will use worksheets and updated fiscal reports to track estimates. The presentation emphasized that the fiscal year 2025 budget status is a point-in-time snapshot and remains fluid because the annual comprehensive financial report has been delayed, which could change the beginning balances for both the general fund and education trust fund. The budget update highlighted that the general fund is currently stronger than originally assumed, while the education trust fund is weaker. The speaker said the general fund began FY25 with a much larger balance than expected, while the education trust fund came in lower due to higher-than-budgeted adequacy spending and weaker business tax performance. Revenue trends showed the general fund slightly ahead year to date, but the education trust fund down significantly. The committee also discussed unbudgeted appropriations, including attorney general litigation, legal settlements, abandoned property claims, adequacy true-ups, and education freedom accounts, as well as the role of lapses and off-budget items in the final balance. Members asked about the delayed liquor commission audit and whether it could affect revenue forecasts. Staff said the delay was mainly caused by the commission’s switch in point-of-sale systems and staffing losses, but did not expect major ongoing reporting issues. They also noted that liquor fund variances are more likely tied to Medicaid expansion costs than to commission operations. The governor’s office was said to be working on possible budget reductions, but no January request to the fiscal committee was expected. Commissioner Lindsay Stepp of the Department of Revenue Administration then presented an overview of state revenue sources, focusing first on the meals and rentals tax. She explained that DRA administers 14 taxes that account for most state revenue, and that meals and rentals tax growth has slowed after strong post-pandemic gains. She described factors affecting the tax, including employment, inflation, fuel and food prices, wages, and weather, and noted that online platforms like Airbnb have improved compliance by collecting and remitting tax on behalf of hosts. Members asked about short-term rental compliance and how DRA identifies unlicensed rentals; Stepp said referrals, anonymous tips, and platform data help enforcement.

Transcript Highlights:

• And then, who's going to administratively handle the claims and the payouts, et cetera?
• I think, again, this money can go back into paying claims and/or reduction of premiums.
• The claim that these pharmacological interventions are harmless and reversible is false.
• This would set the minimum, and then it would let you adjust accordingly.
• More than 85% of the claims are settled for less than $50,000.

Bills: HB778 , HB 1266 , HB1576 , HB2213 , HB2517 , HB2518 , HB2841 , HB3306 , HB3320 , HB3388 , HB3508 , HB3520 , HB3689

Committee: House Insurance

Keywords: credentialing, healthcare, physician assistants, advanced practice nurses, managed care, hurricane, windstorm, loss mitigation, grants, insurance discounts, property retrofitting, insurance, Texas Windstorm Insurance Association, board composition, coastal counties, property insurance, taxation, Texas FAIR Plan Association, premium taxes, maintenance taxes

Transcript Highlights:

• managers to reach an average caseload of 141 claims per manager.
• The amendment allows L&I to increase the number of claims managers on staff.
• Lark study that recommended that L&I's claims managers not manage more than 140 claims.
• They would go actually from a claim, a level one claims manager, up to a three.
• The amendment also requires that the review of claims be moved to 14 days.

Summary: The Labor and Workplace Standards Committee held public hearings on several labor-related bills. SB 6197 would change plumbing license suspension rules from three infractions in three years to five infractions in five years, remove the advisory board recommendation requirement, and require L&I enforcement updates; the sponsor said the bill was narrowed after stakeholder talks, though one transition-timing issue remained unresolved. SB 6134 would require the Employment Security Department to notify striking workers applying for unemployment benefits that they may later owe overpayments if they receive retroactive wages; the sponsor and a testifier said the bill would prevent workers from being paid twice. SB 5292 would replace the PFML program’s statutory look-back premium formula with a forward-looking actuarial method while keeping the 1.2% cap and adding a four-month reserve requirement; labor, business, and policy witnesses offered support or concerns about the reserve. SB 6106 would exempt tribes and tribally owned businesses from the state WARN-style notice law and protect affected workers’ names and addresses from public disclosure; ESD and business groups supported it, while agricultural witnesses asked for a future fix for seasonal agriculture. The committee then moved into executive session on six bills. It adopted amendments to ESSB 5847, which expands access to medical care in workers’ compensation, including allowing certain outside-network providers and authorizing additional claims managers; the bill was reported out 7-2 as amended. SSB 6014, a cleanup bill correcting a date typo and protecting sensitive L&I records from public disclosure, passed unanimously. SSB 6039, allowing L&I to use electronic communications while offering a non-electronic option first, also passed unanimously. ESSB 6058, giving L&I discretion to prioritize wage complaints, was amended to align with the House companion and then passed unanimously. SB 6136, requiring publication of actuarially indicated workers’ compensation rates and disclosure when rates are set below them, passed unanimously. On SB 6188, which would expand L&I’s asbestos-certification rulemaking authority, the committee rejected an amendment that would have restored current-law limits and instead passed the bill without amendment. Members supporting the bill said it would let Washington strengthen asbestos protections if federal standards weaken, while opponents argued it could create conflicting requirements and unnecessary regulatory expansion. The bill was reported out 6-3. The committee adjourned after announcing the votes and noting it would reconvene the next day.

Transcript Highlights:

• It provides for the requirements for a taxpayer to claim the rural development and housing tax credit
• just to make sure I’m doing the math correctly, in year one, up to $2 million of a credit can be claimed
• , and then that is paid out every year for... $2 million of a credit can be claimed, and then that is
• If that's wrong, I'm happy to adjust it, and that is the best number I could get.
• If that's wrong, I'm happy to adjust it in time and the budget process and all that, but I think for

Committee: House House Appropriations Committee of Reference

Summary: The committee first heard HB 2584, which would prohibit public monies from being used for genetic sequencing procedures involving devices made by companies owned or substantially controlled by entities domiciled in a foreign adversary. The sponsor said the bill is intended to protect genetic data from being sold or used against the United States. There was no public testimony, and the committee approved the bill on a 13-5 vote for a do pass recommendation. The committee then took up HB 2804, which creates a rural development and housing tax credit capped at $2 million per year and tied to federal low-income housing tax credit projects in counties under 800,000 population. Supporters, including the sponsor, the Flagstaff mayor, and housing investors/developers, argued it would leverage private capital to address rural affordable housing shortages, especially for seniors, veterans, and low-income residents. Opponents, including the Arizona Free Enterprise Club, argued state LIHTC programs are inefficient, costly, hard to oversee, and can add complexity and higher per-unit costs. The bill passed 13-4 with one not voting. HB 2388, as amended, appropriates $100,000 for the Arizona Commerce Authority to study the economic benefits of small modular reactors and data centers, with a report due June 30, 2027. Supporters said the study would help Arizona plan for energy demand and data center growth, while opponents argued the agency should use existing funds instead of a new appropriation. The committee adopted the amendment and then approved the bill 10-7 with one not voting. The committee also received a presentation from the Auditor General on county treasurer procedural reviews, including the response to the Santa Cruz County treasurer embezzlement case and the office’s ramp-up plan for reviews and staffing. Later, the committee approved HB 2352, which appropriates $2,385,900 in FY2029 to make the Auditor General’s county treasurer review funding ongoing. Members supporting the bill said the office needs certainty to plan audits and retain staff, while opponents objected to funding it so far in advance during budget uncertainty. The bill passed 11-7. The committee also approved HB 2418, as amended, which directs $600,000 to be evenly distributed among five county sheriff task forces in Cochise, Coconino, Navajo, Pinal, and Yuma counties; supporters said it codifies the long-standing distribution practice, and it passed 17-1. Finally, the committee heard HB 2499, which would provide $2.6 million and 12 FTEs to the Department of Education for ESA administration; supporters argued the program’s rapid growth requires more staff for enrollment, reviews, and accountability, while members questioned the lack of standardized testing data and how to measure student outcomes. The transcript ends during that discussion, before a final vote on HB 2499.