Transcript Highlights:

• The inefficiency that we have here is that we are not receiving contributions on total payroll.
• that's built in TRS, and that'll be significantly more difficult the longer we deal with these inefficiencies

Bills: HB886 , HB1514 , HB2434 , HB2688 , HB2802 , HB3161 , HB3221 , HB4029 , HB4339 , HB4591 , HB4774 , HB4802 , HB4853 , HB5627 , SB1737

Committee: House Pensions, Investments & Financial Services

Keywords: retirement, supplemental payment, benefits, Employees Retirement System, eligible annuitants, legislation, annuity, service credit, Employees Retirement System of Texas, employee benefits, pension reform, public retirement systems, municipality pensions, firefighters, police officers, retirement age, DROP program, actuarial studies, pension benefits, municipal retirement

Transcript Highlights:

• At this time, this bill just eliminates any outdated reporting requirements. creates inefficiencies and
• watering lawns and of that water that gets used used on irrigation, about half of it gets used in inefficient

Bills: HB1520 , HB1525 , HB1530 , HB1535 , HB2068 , HB2091 , HB2347 , HB2372 , HB2805 , HB2815 , HB2867 , HB3154 , HB3482 , HB3483 , HB3663 , HB3781 , HB3901 , HB3915 , HB4135 , HB4153 , HB4158 , HB4329 , HB4331

Committee: House Natural Resources

Keywords: Angelina and Neches River Authority, river authority, Sunset Advisory Commission, Texas Sunset Act, Special District Local Laws Code, local government, natural resources, board of directors, director training, board governance, public testimony, open meetings, public information, conflict of interest, ethics, complaint system, general manager, board president, staggered terms, removal of director

Transcript Highlights:

• SB 484 could help tremendously by shining light on waste, inefficiency, and by reviewing each agency
• And that's inefficient.

Committee: Senate Senate Rules

Transcript Highlights:

• SBA has a responsibility to address the inefficiencies in private lending, support true competition.
• It's inefficient, it's slow, it's high-touch, and it's highly effective. I agree with you.

Committee: Senate Small Business and Entrepreneurship Committee

Keywords: SBA, 7A loan program, underwriting standards, loan defaults, Community Advantage Program, small business funding, testimony

Summary: The committee meeting focused on discussions regarding the SBA's 7A loan program and its implementation challenges. Members raised significant concerns about recent changes to the underwriting standards, which have been criticized for leading to an increase in loan defaults. Ranking members expressed a desire for a return to stronger guidelines to protect taxpayers and ensure the program remains a viable source for small businesses struggling to secure funding. Testimonies from community lenders highlighted their efforts to support underserved communities and stressed the importance of the Community Advantage Program.

Transcript Highlights:

• It was going to wind up just grinding to a halt under the weight of its own inefficiencies.
• This is wildly inefficient. So I fully support Chair Robbins. I support your bill.

Transcript Highlights:

• Because of its inefficiency to utilize the space that’s there properly, that’s what we’re basically looking
• Again, a little bit of an inefficient floor plan, not nearly as much as the other location, but they
• Some inefficient insulation and windows, but the reconfiguration is the primary thing that we want to

Summary: The hearing reconvened with testimony from several agencies on their capital budget requests. The Department of Environmental Services requested a little over $38 million, with major emphasis on dam repairs and design work for aging state-owned dams, including a $5.25 million match for possible FEMA BRIC funding at Pawtuckaway/Tuckaway and other projects such as Milton Three Ponds, Murphy Dam, and Lakeport Gates. DES also requested funding for state revolving loan fund matches, a Superfund match for the Savage Well site, IT and air-monitoring upgrades, and a new $750,000 cybersecurity request for water and wastewater systems. Committee members asked about FEMA eligibility, the distinction between design and construction money, and the timing and risk of banking funds if federal grants do not materialize. The University System of New Hampshire requested $20 million in state support, primarily $15 million for a major Diamond Library renovation at UNH to create a student support hub and reduce/repurpose collection space, plus $2.5 million each for deferred maintenance at Plymouth State and Keene State. The Community College System requested about $16.6 million across seven projects, led by critical maintenance, campus safety/security upgrades, IT infrastructure, parking and site improvements, HVAC replacement at White Mountains Community College in Littleton, a building management/energy system, and modernization of NHTI’s dental clinic and radiology spaces. The Department of Education requested $29.5 million, including a $4.9 million internal management platform to replace paper-based and siloed systems, plus career and technical education capital projects; Milford’s CTE project was described as being revised after repeated failed bond votes, while ConVal said its revised project would focus on modernizing existing CTE space and adding a security vestibule. Fish and Game requested $1.075 million for three facilities: Sewall Falls in Concord, the Lancaster Armory, and the Bunker Lane Barn in Durham, focusing on structural repairs, security, reconfiguration, and in one case replacement of a failing barn with a new 40-by-60 building. The department also said hatchery work is ongoing but that it is taking a cautious approach because of the planned New Hampton Hatchery and future capital needs. The Department of Natural and Cultural Resources requested $9.26 million for eight projects, including campground electrical upgrades at Ellacoya and Lake Francis, White Lake water system replacement, Mount Washington fuel tank and safety work, Odiorne Point visitor center work funded through parks revenue, roofing and parking lot repairs, Fox Forest office safety upgrades, and historic site repairs at White Island and Fort Constitution. Members asked about revenue-based capital, the stability of the parks fund, and flexibility in choosing projects as bids come in. The Department of Transportation began its presentation at the end of the transcript, but its detailed requests were not yet discussed.

Transcript Highlights:

• When an exemption of this importance becomes administratively inefficient, this strain ultimately falls
• The inefficiencies of the current system are not just operational.
• The inefficiencies of the current system are not just operational.

Summary: The Assembly Committee on Revenue and Taxation heard several bills, most of them referred to the suspense file because of their fiscal impact. AB 2465 and AB 1675 would deny state grants, loans, tax credits, or other benefits to companies doing business with ICE or related immigration-enforcement agencies; both drew strong support from immigrant-rights, labor, and community groups, and opposition from CalChamber and industry groups that argued the bills were overly broad and could affect unrelated federal contracts. AB 1633 would impose a 50% gross receipts tax on for-profit private immigration detention facilities, with supporters saying it would hold companies accountable for dangerous conditions and opponents warning it was punitive and could disrupt detention operations. The committee also heard AB 2089, which would streamline the welfare property tax exemption process for affordable housing, and AB 2250, a cleanup bill to clarify hemp enforcement laws; both were supported by affected industry and advocacy groups, while county assessors and tax collectors opposed AB 2089 unless amended over workload and implementation concerns. AB 2172, which would allow counties to use a single-member assessment appeals commissioner for complex property tax appeals, was the only bill taken up for a vote during the meeting. Supporters, including Los Angeles County Assessor Jeffrey Prang, said the change would reduce a large backlog and speed resolution of appeals; the committee adopted amendments and passed the bill 4-0 to the Assembly Committee on Appropriations. The committee also heard AB 2319, creating a proposed post-production tax credit to keep film and television post-production work in California, with support from labor and industry representatives who said jobs and spending were leaving the state; the author said the bill still needed work on labor standards and the annual credit cap. Finally, AB 2403 was presented to create a commercial production tax credit to keep commercial shoots in California. The author and supporters said commercial production has declined sharply in the state and that other states are winning work through targeted incentives, while labor-backed witnesses argued the bill would protect middle-class jobs and local spending. The transcript ends during the presentation of AB 2403, before any vote or final action on that measure.

Transcript Highlights:

• financial reporting: how will you coordinate that with PED's budgeting to prevent any overlapping or inefficiency
• bureaucracies, and if we're not communicating correctly, we end up down the road evaluating or noticing inefficiencies
• systems in place to be able to avoid that, because that costs us money in the long run when we're inefficient

Transcript Highlights:

• our observations indicate that the elevated limits mandated by UM/UIM have become economically inefficient
• Our observations indicate that the elevated limits mandated by UM/UIM have become economically inefficient
• This inefficiency is largely attributable to inflated attorney-represented claims, often involving substantial

Committee: House Insurance

Summary: The committee heard several insurance-related bills. SB 371 by Senator Cabaldon would reduce uninsured/underinsured motorist coverage limits for rideshare companies from $1 million to $100,000 per person and $300,000 per incident, with the stated goal of lowering fares and improving driver economics. Uber, Lyft, and business groups supported the bill, while consumer attorneys, labor groups, and other opponents argued it would cut passenger and driver protections and should include stronger guarantees that savings reach riders and workers. Members raised questions about data, fee breakdowns, and whether the bill should include a look-back or other accountability measures; the bill was passed on a do-pass vote as proposed to be amended in another committee. SB 487 by Senator Grayson would change how third-party recoveries are distributed when peace officers or firefighters are injured in the line of duty, ensuring injured public safety workers receive at least two-thirds of the at-fault party’s liability insurance limits in certain cases. Supporters, including injured officers and public safety organizations, said current law can leave injured first responders with little or no recovery after employer reimbursement, while opponents representing local governments argued the bill would reduce recovery of taxpayer-funded workers’ compensation costs and lacked sufficient data. The committee discussed the interaction with existing workers’ compensation and retirement benefits, and the bill was moved on a do-pass vote to Appropriations. SB 616 by Senator Rubio would create an independent community hardening commission within the Department of Insurance to develop statewide wildfire mitigation standards and post-catastrophe reports aimed at improving insurability and affordability. The Department of Insurance, local governments, consumer advocates, and fire-related groups supported the measure, while water agencies opposed provisions they said could improperly involve the commission in water infrastructure recommendations and create litigation and ratepayer concerns. The bill was approved on a do-pass vote to Appropriations, with some members voting no or not voting. The committee also considered SB 547 by Senator Perez, coauthored by Senator Rubio, which extends wildfire-related insurance moratorium protections to commercial property policies for one year after a state emergency in affected areas. The Department of Insurance and a broad coalition of local government, consumer, and business groups supported it, and the major insurance trade groups withdrew opposition after amendments. The bill was passed as amended to Appropriations. Separately, SB 770 by Senator Allen would remove an insurance requirement that an HOA be named as an additional insured for residents installing EV chargers in common-interest developments; supporters said the rule is a barrier to home charging, while community association representatives warned it could raise premiums for all members. The discussion focused on balancing EV access with HOA insurance costs, and the bill was supported out of committee.

Transcript Highlights:

• Another really egregious and inefficient use... which is in the bill that the audit would explore is
• , I think this is something we should look at in terms of how much, I mean, when we talk about inefficiency
• I'm against inefficiency.

Bills: HB1540 , HB3837 , HB5571 , SB370 , SB2425

Committee: House Delivery of Government Efficiency

Keywords: government review, Texas Sunset Act, regulatory oversight, agencies, sunset provisions, autonomous vehicles, regulation, safety, criminal offense, Autonomous Vehicle Commission, registration, regulations, Level 4 automation, Level 5 automation, self-driving technology, traffic laws, permit system, collision reporting, safety standards, Automated Vehicle Commission

Transcript Highlights:

• We know that a lot of that demand is inefficient homes and smaller businesses that of that demand is
• inefficient homes and smaller businesses that may not avail themselves of some of those programs, sometimes
• Very good. of that demand is inefficient homes and smaller businesses that may not avail themselves of

Bills: SB1113 , SB1117 , SB1206 , SB1460 , SB1802 , SB1906 , SB1917 , SB2340 , SB2455 , SB2680 , SB2690 , SB705 , SB748

Committee: Senate Business & Commerce

Summary: The committee took up pending business first and reported several bills favorably, including SB 2139, SB 2610, SB 1856, SB 2530, SB 2401, SB 2858, and SB 3016, with most of those measures moving out on committee substitutes and being sent to the local and uncontested calendar or to the full Senate. The committee also heard SB 1906 on expanding Chapter 342E consumer lending rates; supporters argued it would modernize Texas law and expand access to safe, regulated credit, while opponents from Texas Appleseed and AARP warned it would raise costs on already expensive loans and worsen debt burdens. SB 1906 was left pending after testimony. The committee also reconsidered and re-voted SB 1856 after a procedural issue, with the substitute ultimately adopted and the bill reported favorably. The committee then heard SB 1113, which would clarify that certain vehicle converters, including a Texarkana business, do not need an additional dealer license to sell converted vehicles. The bill’s supporters described a long-standing business model and said the new metal license plate rules had created problems, while the Texas Automobile Dealers Association opposed the bill in its current form and said it could be resolved through DMV action or narrower changes. DMV said it was still researching a possible administrative fix, and SB 1113 was left pending. The committee also heard SB 2680, a Public Information Act cleanup bill dealing with emergency deadlines, business-day exclusions, and litigation timing; broadcasters and other open-government advocates argued the issues were already addressed by prior law and court rulings, while the Attorney General’s office said the bill would help with catastrophe notices and timing conflicts. SB 2680 was left pending. Other bills heard included SB 1117, which would allow any Texas-licensed dentist to administer botulinum toxin neuromodulators for aesthetic purposes in the oral and maxillofacial region; the author and dental witnesses said it would clarify scope and improve access, and the bill was left pending. SB 2340 would clarify the Attorney General’s investigative authority over Texas corporations, including pre-suit depositions and sworn written questions; opponents raised due process and separation-of-powers concerns, and the bill was left pending. The committee also heard SB 705 and SB 748, both TDLR cleanup bills, and SB 1206, which would impose timelines and notice requirements on municipalities reviewing transmission projects; SB 1206 was supported by an electric cooperative and left pending. SB 1460, creating an ethics violation registry tied to licensing consequences, drew constitutional and due-process objections from several witnesses and was also left pending. After a recess, the committee heard SB 1802 on landlord duties to repair mobility assistance devices like elevators and ramps in rental housing, with the author describing prolonged outages affecting seniors; the bill was left pending. Finally, SB 2455, creating an Energy Waste Advisory Committee to coordinate efficiency and demand-response programs, drew support from energy-efficiency and environmental witnesses and was left pending, and SB 2690, targeting deceptive business-certification solicitations, was laid out and opened to testimony before the transcript ended.

Transcript Highlights:

• I think the ClassWallet platform right now has created a lot of these inefficiencies that we're seeing
• Right now, the vendor has created a lot of these inefficiencies. I'm sorry, what platform?
• been working with ClassWallet over the last seven to eight months on trying to work on these inefficiencies
• As we went through the school year and the volume of requests have come in, these inefficiencies...
• As we went through the school year and the volume of requests have come in, these inefficiencies began

Committee: All ALC-ADMINISTRATIVE RULES

Transcript Highlights:

• Competing mandates create the gray area. where inefficiencies take root.
• In doing so, we would be following President Trump's lead of removing inefficiencies and redundancies
• team verifies that all of our eligibility. rules, our procedures are followed, and also look for inefficiencies
• It's inefficient, incredibly inefficient for us in the process.

Bills: HB150 , HB869 , HB876 , HB 1043 , HB1494 , HB1522 , HB150

Committee: House Delivery of Government Efficiency

Keywords: cybersecurity, state command, information resources, data protection, incident response, information technology, classification officer, job descriptions, state positions, competency-based, information sharing, government efficiency, public sector, private sector, distributed ledger, title registry, real estate, property liens, pilot program, healthcare

Transcript Highlights:

• These challenges include inconsistencies in coding, tracking, and responding to absences; inefficient
• These challenges include inconsistencies in coding, tracking, and responding to absences; inefficient
• These challenges include inconsistencies in coding, tracking, and responding to absences; inefficient
• These challenges include inconsistencies in coding, tracking, and responding to absences; inefficient
• These challenges include inconsistencies in coding, tracking, and responding to absences; inefficient

Committee: Senate Education Policy

Transcript Highlights:

• , we found that both the system and the infrastructure that it sits on were outdated, unstable, inefficient
• This outdated computing system has become unstable and increasingly inefficient as it struggles to meet

Summary: The committee heard a State Auditor’s Office performance audit on OSPI’s school apportionment system, which distributes K-12 funding to districts. Auditors said the system and its underlying 2008-era infrastructure are outdated, unstable, inefficient, and at high risk of errors or failure. They also found weak controls over data input, documentation, oversight, and monitoring, with heavy reliance on a small number of staff and vendor knowledge. In limited testing of three districts, the system calculated 2023–24 funding correctly, but auditors identified small discrepancies between state budget inputs and underlying statutory language and said broader system risks remain unresolved. JLARC members asked about the scope of the district testing, whether smaller districts face greater risk, the meaning of the funding discrepancies, and whether the system could support a future change to a simpler per-student funding formula. Auditors said the discrepancies were small but could compound into millions statewide, and that the audit did not evaluate broader policy questions or alternative system owners. They recommended OSPI modernize or replace the system and address current control weaknesses while the new platform is developed. OSPI officials largely agreed that the current platform needs replacement and said a feasibility study completed in 2024 found the system at catastrophic risk of failure. They clarified that the Legislature had approved up to $16 million in the state IT pool for the project, but that funding is released through gated oversight and not all of it had yet been appropriated for the current biennium. OSPI disputed the auditor’s characterization of some rounding and budget-law issues, saying the calculations were consistent with agency rules and legislative inputs, and explained that some manual workarounds are used to handle newer statutory requirements. One member of the public testified in support of modernizing the system and strengthening controls. The committee then adjourned.

Transcript Highlights:

• I know that's usually kind of inefficient. At a minimum, we get the report once a year.
• I know that's usually kind of inefficient.

Committee: Senate Appropriations Committee on Pre-K - 12 Education

Transcript Highlights:

• early childhood education governance structure is fragmented across multiple agencies, creating inefficiencies
• current fragmented governance... ...structure of Texas's system undermines this goal, creating inefficiencies

Bills: HB 117 , HB2196 , HB2689 , HCR64 , HB117

Committee: House S/C on Academic & Career-Oriented Education

Keywords: early childhood education, task force, governance, Texas Education Agency, child care, education policy, virtual education, hybrid learning, school funding, average daily attendance, education technology, remote learning, education legislation, workforce development, adult education, high school diploma, industry certification, pilot program, gifted education, education support

Transcript Highlights:

• increases both in dual credit and at the local colleges, you know, I just I think there's a lot of inefficiency
• You know, I just I think there's a lot of inefficiency in the system that needs to be addressed. >> All
• know, I just I think there's a lot you know, I just I think there's a lot of<00:10:05.480><c> inefficiency
• c> the</c><00:10:06.280><c> system</c><00:10:06.760><c> that</c><00:10:06.920><c> needs</c> of inefficiency
• in the system that needs of inefficiency in the system that needs to<00:10:07.200><c> be</c><00:10:07.320

Summary: The Interim Joint Budget Review Subcommittee on Education met for its first summer interim meeting, opened with prayer and the Pledge of Allegiance, and took roll. The first presentation came from Jerry Gels, principal of Ignite Institute in Erlanger, who focused on the rising cost of dual credit. He said dual credit tuition has increased from about $150 to $290 for a three-credit course over roughly five years, which he argued is discouraging participation, especially for working-class and low-income students. He cited Ignite data and broader college outcomes to argue dual credit improves college persistence, shortens time to degree, and reduces student debt, noting that many of his students enter college with substantial credit and that low-income students at Ignite have increasingly participated after targeted efforts and scholarship use. He also said the instructional labor is largely paid by county school systems, so he questioned the size of the tuition increase and said the committee should examine how the costs are being set and whether college tuition should be stabilizing as more students arrive with credits already earned. Members asked about who pays for dual credit, the role of state scholarship support, and whether tuition varies by institution. Gels said students in his district generally pay the dual credit cost themselves, though some districts may cover it, and he noted the dual credit scholarship now covers fewer classes than before. He said the price appears to be set centrally rather than varying by university, and he emphasized that the higher cost is creating barriers even though the courses are taught largely by local teachers on school payrolls. He also described Ignite’s efforts to expand access for free- and reduced-lunch students, saying participation among that group rose from 27% with no dual credit to about 90-92% taking at least one dual credit class. The committee then heard from the Goldwater Institute, represented by Michael Frazier and Dr. Tim Minella by Zoom. They argued Kentucky’s public universities should face stronger accountability and transparency, citing declining public confidence in higher education, rising costs, and what they described as administrative growth and research spending that does not clearly benefit students or the Commonwealth. They proposed requiring a 10-year accounting of staffing growth by category, comparing it to enrollment and low-income Kentucky enrollment, and limiting non-STEM faculty teaching releases for research unless approved under a baseline consent process. They also criticized certain university-funded research projects as examples of misdirected spending and said public reporting should distinguish Kentucky residents from non-residents more clearly, pointing to a reported decline in low-income in-state undergraduate enrollment. No votes or formal actions were taken during the meeting.

Transcript Highlights:

• /c><00:43:23.200><c> fiscal</c> significant service and fiscal significant service and fiscal inefficiencies
• . inefficiencies. inefficiencies. and<00:43:25.280><c> it</c><00:43:25.440><c> limits</c><00:43:25.760
• 12.400><c> through</c> transit patterns rather than through transit patterns rather than through inefficient
• <00:48:14.079><c> parochial</c><00:48:14.640><c> fights</c><00:48:14.960><c> and</c> inefficient parochial
• fights and inefficient parochial fights and mindsets.

Bills: HF3676 , HF3593 , HF3785 , HF3774 , HF4111 , HF3513

Committee: House Transportation Finance and Policy

Keywords: Safe at Home, address confidentiality, domestic violence, sexual assault, stalking, harassment, victim privacy, survivor protection, confidential address, protected address, secret address, identity protection, residential confidentiality, program participant, nondiscrimination, court disclosure, protective order, service of process, driver's license, state ID

Transcript Highlights:

• And I think that there are instances where we have waste or inefficiencies, or where we have unclear
• inefficiencies inefficiencies um<01:39:05.200><c> or</c><01:39:05.360><c> where</c><01:39:05.480><c>
• And I don't want us to find inefficiencies or waste or unclarity.
• </c><01:39:57.240><c> or</c><01:39:57.480><c> waste</c> want us to find inefficiencies or waste want
• us to find inefficiencies or waste or<01:39:59.080><c> un-</c><01:39:59.600><c> like</c><01:40:00.120

Committee: Senate Human Services