Transcript Highlights:

• Do you do eight years smoothing? Is that it? Correct. So it's up to an eight-year smoothing.
• The amount of the smoothing period depends on how large or small... Eight-year smoothing.
• You don't want to be smoothing something over a 20-year period, a 30-year period.
• it's just a straight five-year smoothing.
• We've talked about asset smoothing.

Keywords: 904, all

Transcript Highlights:

• There is no asset smoothing in this plan, so there's no smoothed assets.
• There is no asset smoothing in this plan, so there's no smoothed assets.
• So, as Graham talked about asset smoothing, one thing to know is that while...
• So, as Graham talked about asset smoothing, one thing to note is that while asset smoothing spreads out
• asset smoothing, one thing to note is that while asset smoothing spreads out the impacts of investment

Summary: The Pension Funding Council met on June 23, 2026, for a work session that began with an overview of the Higher Education Supplemental Retirement Plan (SRP) and a 2025 accounting valuation of that plan. Staff explained that the SRP is a closed defined benefit supplement for higher education employees hired before the 2011 closure, with employer contributions currently pre-funding benefits in institution-specific trusts while institutions still pay benefits on a pay-as-you-go basis. The State Actuary’s office reported that the plan’s accounting position has improved, with combined market assets of about $245 million against $377 million in accrued liability, and that strong market performance since 2022 has increased the asset-to-liability ratio. The office emphasized that this was an educational accounting valuation, not a funding valuation for rate-setting. The council then received the 2025 actuarial valuation report for the state retirement systems. Actuaries reviewed the recent demographic experience study, noting updated assumptions for mortality, retirement, termination, and salary growth, and said the net impact on most plans was small. They reported that most plans’ funded ratios improved, with all plans at least 94% funded and several at or above 100%, and that contribution rates for the 2027–2029 biennium are generally lower than current rates. They also noted that future rates could be affected by market volatility as deferred gains are recognized over the next few years. During public comment, a representative of the Association of Washington Cities urged the council to consider rate reductions to help local governments facing budget pressures. In executive session, the council first approved a motion directing the Office of the State Actuary to perform an actuarial evaluation and analysis of each institution’s Higher Education Supplemental Retirement Plan, including institution-specific contribution rates, asset sufficiency, and funding policy options, due by July 1, 2028. The council then adopted the 2027–2029 pension contribution rates based on the 2025 actuarial valuation report. Both motions passed 5-0, with one member excused. The meeting concluded with no further business.

Transcript Highlights:

• There is no asset smoothing in this plan, so there's no smoothed assets.
• On the AVA side, you might hear us sometimes call this the smoothed value of assets.
• So when we smooth gains and losses, what we do is we take a given gain or loss and we divide it into
• So as Graham talked about asset smoothing, one thing to know is that while...
• So as Graham talked about asset smoothing, one thing to note is that while asset smoothing spreads out

Keywords: 904, all

Transcript Highlights:

• And as part of our asset smoothing method, we are still incrementally recognizing the impacts of that
• Instead, it's a smooth value, which helps limit volatility over time.
• We start with the market value of assets, but then we develop what's called an actual value, or a smooth
• We'll smooth it over a number of years and up to eight years under the current methodology.
• That's the only smoothing mechanism that we use in this regard.

Summary: The Pension Funding Council met on October 8 with introductions from council members and staff, then received a detailed presentation from the Office of the State Actuary on long-term economic assumptions and the state pension systems’ financial condition. OSA reported that the combined pension systems are currently 100% funded on a smoothed basis, with open plans above 95% funded, and that legacy Plan 1 systems remain on a path toward full funding under current policy. The actuaries recommended updating assumptions to 3% inflation, 3.5% general salary growth, and a 7.25% investment return, while keeping Plan 1 membership growth at 1%. They also explained asset smoothing, the role of recent strong investment returns, and the expected budget impacts of the recommended changes. Representatives from the Economic and Revenue Forecast Council and the State Investment Board offered supporting perspectives, generally describing the assumptions as reasonable and consistent with their own outlooks. The council also heard an overview of the Long-Term Services and Supports Trust Program (WACares) from DSHS and OSA. Program staff described the program’s social insurance structure, premium collection, benefit eligibility, and upcoming implementation milestones. OSA reported that the program’s first actuarial valuation showed a positive actuarial balance under the base scenario and recommended no change to the current 0.58% premium rate during the program’s early learning phase, noting that future changes would depend on experience and the program’s risk-management framework. OSA also said the recommendation would remain the same regardless of the outcome of the pending ballot measure affecting investment options. During public comment, a representative of the Washington State School Retirees Association urged continued work on Plan 1 funding and related legislation, while the Association of Washington Cities cautioned against increasing pension assumptions in a way that could raise future employer costs and reduce flexibility for current local government services. In action, the council adopted a motion to maintain the current long-term economic assumptions by a 4-2 vote, adopted the recommendation to keep the WACares premium rate at 0.58% by a 6-0 vote, and then elected Katie Chapman as council chair by unanimous vote. The meeting then adjourned.

Transcript Highlights:

• This is not about keeping the process simple and smooth, not slowing people down.
• Those simple steps will help keep screening fast and smooth for everyone.
• Our goal is a screening process that is not only secure, but smooth and efficient.
• screening fast and smooth for everyone. screening fast and smooth for everyone.
• <00:08:20.560> and that is not only secure, but smooth and that is not only secure, but smooth

Keywords: 919, house, all

Summary: Minnesota Department of Public Safety Commissioner Bob Jacobson and State Patrol Colonel Christina Bogey announced that weapon screening will begin Tuesday at the Minnesota State Capitol at the start of the 2026 legislative session. They said the change is based on an independent security assessment and the Axtell report’s top recommendation, and framed it as an added layer of protection rather than a weapons ban or a change in state law. Both emphasized that the Capitol will remain open, accessible, and welcoming while reducing preventable risks, citing heightened threats to public officials and the recent murders and shootings involving Minnesota lawmakers and their families. Bogey outlined the screening plan: visitors will use four public access points, with the south ground-level entrance as the primary entry, while other exterior doors will not be open for public entry. She said the process should take only seconds for most people, with bags going through separate scanners and additional screening only if needed. The Capitol will close to the general public at 4:30 p.m. on weekdays, though accommodations will be made when hearings or floor sessions run later. She also said the entrances and screening areas are ADA accessible and that staff will be available to help guide visitors. In questions, officials said prohibited items are defined by statute and administrative rules and referred reporters to the State Patrol website for the full list. They confirmed that lawful permit-to-carry holders may still bring firearms, but must declare the permit, show government ID, and go through screening; elected officials are exempt, while staff are not. They also said the State Patrol will fund the rollout from its own budget, with costs to be evaluated over time, and that tunnel key-card access will be restricted to everyone. The briefing ended with a plan to demonstrate the screening equipment upstairs.

Transcript Highlights:

• Oh, nothing comes smooth anymore.
• Oh, nothing comes smooth anymore.
• Oh, nothing comes smooth anymore.
• water and it all come and smooth. water and it all come and smooth.
• Oh, nothing comes smooth anymore. >> Yeah. Oh, nothing comes smooth anymore.

Bills: HB125, HB116, HB183, HB342, HB341, SB280, SB245, SB159, HB125, HB116, HB183, HB342, HB341, SB280, SB245, SB159

Keywords: HB125, sunset law, Alabama Sunset Committee, Alabama State Board of Veterinary Medical Examiners, veterinary medical examiners, veterinary board, veterinary licensing, veterinary regulation, professional licensing board, state board continuation, sunset review, regulatory board, animal health, veterinarians, disciplinary authority, HB116, Alabama Sunset Law, sunset bill, Alabama Professional Bail Bonding Board, bail bonding

Transcript Highlights:

• So, we try to smooth out that volatility when we do our calculations.
• For the sake of the committee, can you explain what the smoothing process is really quick?
• But that blue line right there represents the smoothed value that we've been talking about.
• But it's really hard to smooth over 26.5%. So, that's been.
• It's going to drop the investment return rolling smooth, the average.

Transcript Highlights:

• <00:04:51.280> Jazz<00:04:51.720> Fest,<00:04:52.600> and the Lexington Smooth
• Jazz Fest, and the Lexington Smooth Jazz Fest, and cultural<00:04:53.160> performances<00:04:
• And that has now gone from the LEX Smooth Jazz Fest, which was a three-day event that happened once a
• event now is the Lexus the LEX Smooth event now is the Lexus the LEX Smooth Jazz<00:09:01.520>
• Jazz Fest, which was the uh Lexus Smooth Jazz Fest, which was a<00:09:14.720> three-day<00:09

Keywords: 958, all

Summary: The Commission on Race and Access to Opportunity met and first heard a presentation from Johnny Cole III, president and CEO of the African American Forum in Lexington. Cole described the organization’s 30-plus year history, its signature events and programs, and its mission to promote African American arts, culture, education, and community development. He said the group has reached more than 60,000 people through events and more than 90,000 students through its arts partnership work, and estimated its programs have generated about $4.5 million in local economic impact. He also outlined a proposed legacy project in Lexington’s First Council District that would include a facility, culinary kitchen, food court, mobile truck, and expanded communications and internship opportunities, and said the organization was seeking a $3 million state request to help purchase a building and expand its mission. The committee then discussed a juvenile justice funding proposal presented by Senator Catoria Herring. Herring said the bill would create a juvenile justice fund for prevention, early intervention, alternatives to detention, re-entry, and wraparound services, with money coming from state appropriations, gifts, grants, and federal funds. She said the proposal was based on her experience in juvenile justice and on concerns that the state has invested heavily in detention facilities but not enough in upstream services. She cited recent facility spending and said the bill would seek $9 million. Members asked how the fund would work, who could apply, and how it would be overseen; Herring said she envisioned a grant program open to local governments, law enforcement, nonprofits, and school districts, with reporting requirements and oversight through the juvenile justice system. No vote was taken, and the discussion ended with general support and a suggestion to adjust the request amount to a round $9 million figure.

Transcript Highlights:

• And if you don't get the smooth surface, you can't put the coating on it because the coating will then
• and it's not as smooth right but as<00:59:25.520> soon<00:59:25.680> as<00:59:25.799><
• <00:59:36.799> from<00:59:37.000> the get a really strong smoothness from the get a
• fibers are doing to help that smoothness fibers are doing to help that smoothness but<00:59:42.839
• get the smooth surface you can't<00:59:50.440> put<00:59:50.599> the<00:59:50.760>

Keywords: 1187, senate, all

Transcript Highlights:

• dollar cap in House Bill 1194 smooths dollar cap in House Bill 1194 smooths the<00:19:25.360>
• smooth out tax revenues to make it smoother?
• smooth out tax revenues to make it smoother?
• Would that smooth out would that Yeah.
• smooth that out. smooth that out.

Keywords: 1191, senate, all

Transcript Highlights:

• Let me just figure out how to go forward here so we can make this presentation smooth.
• The other thing is we've stated—you stated this before—a seven-year smoothing period.
• Is that for asset smoothing? Yes. Up to eight years. Eight years. Okay.
• Regardless of whatever happens next year, that smoothing has a tendency to do exactly that: smooth out
• Yeah, I mean, asset smoothing is intended to essentially manage some of that volatility through when

Keywords: 904, all

Summary: The Select Committee on Pension Policy approved its minutes by roll call vote, then postponed an OSA annual update due to a family emergency. The committee received an Open Public Meetings Act refresher from Assistant Attorney General Kate Adams, who reviewed key compliance points including quorum and serial meetings, notice and agenda rules, executive session limits, public comment requirements, and the consequences of violations. She also noted a litigation hold notice sent to members and provided resources for further guidance. Staff then briefed the committee on E2 Second Substitute House Bill 2034, which restates and terminates LEOFF 1 on June 30, 2029, creates a restated LEOFF 1 funded by transferred assets, and places excess assets into a pension surplus holding account that could later be used by the state. The bill requires DRS to seek IRS guidance, directs OSA to calculate the transfer amount and assess any future unfunded liability, assigns implementation duties to DRS, OSA, the Pension Funding Council, the State Investment Board, and the Treasurer, and requires two SCPP studies on LEOFF 1 medical benefits and policy oversight. OSA’s actuary estimated the transfer to the surplus holding account at about $3.9 billion under current assumptions and said the bill increases the modeled chance of future state contributions if the restated plan falls below 100% funded; members asked about IRS timing, the 2029 transfer date, and whether the 110% buffer is sufficient. The committee also received an update on the LEOFF 1 medical benefits study required by the bill. Staff said the study will examine the administration of pension boards and medical liabilities, likely focusing on medical benefits, and will gather anonymized data from local boards, cities, counties, and related agencies over the next three years. Members and public commenters discussed the number and structure of local boards, whether spouses receive medical benefits, and the possibility of regionalizing or consolidating administration. No action was taken, but staff said they would return with milestones and further updates. Finally, staff outlined a possible Plan 3 study, prompted by DRS, to evaluate whether the original goals of Plan 3 have been met after 30 years. The proposed study would review historical context, member choice outcomes, policy questions, and possible recommendations over a two-year period. The committee also heard an update on new correspondence procedures, including a new online web form, a correspondence log in meeting packets, and removal of correspondence from the public website. During public comment, retiree groups urged the committee to pursue an ongoing COLA for PERS and TRS Plan 1, with interim ad hoc COLAs until then, while LEOFF 1 retirees urged caution about changing the current board structure and emphasized the complexity of medical benefit administration.

Transcript Highlights:

• What guides you in terms of the total assets, the deferred assets you are smoothing?
• And that smoothing period ranges from immediate recognition all the way up to eight years.
• The larger the deviation, the longer the smoothing period.
• And then I love that eight-year smoothing policy.
• And then I love that eight-year smoothing policy.

Summary: The committee approved the July minutes and then received an informational presentation from the Office of the State Actuary on the financial condition of the state retirement systems. The actuary reported that employer contribution rates are generally declining, helped by strong investment returns and reduced funding for PERS 1 and TERS 1, while funded ratios have continued to improve; on a combined basis the plans were reported at 100% funded in 2024, with open plans above 95% and legacy plans varying by system. The presentation also reviewed projected rates and funded ratios under current assumptions, noted that pension costs are taking a smaller share of the state general fund, and discussed risks from investment volatility, policy changes, and demographic experience. Committee members asked about savings from lower rates, deferred asset smoothing, and how Washington compares with other states. The committee then considered the state actuary’s recommendation on long-term economic assumptions and adopted all four recommendations by roll call votes: inflation at 3.0%, general salary growth at 3.5%, membership growth for Plan 1 funding at 1.0%, and investment rate of return at 7.25%. The actuaries explained that the inflation and salary growth increases were driven largely by higher long-term inflation expectations, while the investment return recommendation matched the current statutory assumption. Members discussed the timing of the Pension Funding Council’s decision, the effect of tariffs and inflation uncertainty, and how assumption changes would affect future contribution rates and budgets, particularly for open plans. Staff then gave an update on the LEOFF 1 study, explaining the difference between being “ahead of schedule” and truly overfunded, and summarizing responses received from DRS, the State Treasurer, and the State Investment Board on the merger and restatement proposals. DRS said both bills could be administered, though the merger bill’s COLA banking provision would be challenging until its new system is ready; the Treasurer urged caution, especially about the restatement bill and the use of one-time funds; and the Investment Board said removing assets from the trust would have some transaction costs but likely small impacts. The committee discussed whether to invite additional agencies and local government groups to testify, and staff said more responses, including from Ice Miller and the State Actuary, were expected for the October meeting. Finally, the committee heard a briefing on PERS 1/TERS 1 COLA policy and related bills from the last session. Staff reviewed the committee’s prior ongoing COLA recommendation, the SCPP-endorsed bills that would have created a one-time 3% COLA followed by an ongoing COLA, the Senate merger bill, and a separate ad hoc COLA bill. Public testimony largely supported Plan 1 COLAs and stable contribution rates, while several speakers urged caution about transferring LEOFF 1 surplus assets or merging legacy plans, and others raised concerns about climate risk and the pension fund’s investments. No further committee action was taken on the COLA item during this portion of the meeting.

Transcript Highlights:

• Now, I have one more question, and that this is regarding smoothing.
• So it's called the actuarial value of assets, and we smooth that over a four-year period.
• So our investment return is 8.66 percent in our actuarial valuation when we smooth it.
• The smoothing just reduces the volatility so it's not so up and down.
• That smoothing process does affect all of this, so I just Wanted to mention that.

Transcript Highlights:

• This is not about keeping the process simple and smooth, not slowing people down.
• Those simple steps will help keep screening fast and smooth for everyone.
• Our goal is a screening process that is not only secure, but smooth and efficient.
• <00:08:20.800> only<00:08:21.039> secure,<00:08:21.599> but<00:08:22.000> smooth
• <00:08:22.479> and that is not only secure, but smooth and that is not only secure, but smooth

Keywords: 918, senate, all

Summary: Minnesota Department of Public Safety Commissioner Bob Jacobson and State Patrol Colonel Christina Bogoich announced that weapon screening will begin Tuesday at the Minnesota State Capitol, at the start of the 2026 legislative session. They said the change is based on an independent security assessment and the Axtell report’s top recommendation, and is intended as an added layer of protection rather than a weapons ban or a change in state law. Both officials emphasized that the Capitol should remain open, accessible, and welcoming while reducing preventable risks, citing increased threats nationwide and the recent murders of Speaker Emerita Melissa Hortman and Mark Hortman and the shootings of Senator John Hoffman and Yvette Hoffman. Officials said visitors will enter through four public access points, with all other exterior doors closed to public entry. The primary entrance will be the south ground-level entrance, with additional access through tunnels connecting to the Senate building, State Office Building, Parking Lot C, and the Judicial Center. They said the screening process should take only seconds for most people, with bags scanned separately and additional checks only if needed. Prohibited items will not be stored by the Capitol, and the public was told to plan ahead, carry fewer items, and follow staff instructions. The Capitol will close to the general public at 4:30 p.m. on weekdays unless legislative business is still underway, in which case accommodations will be made. In questions, officials said people with valid permit-to-carry authorization may still bring a firearm if it is otherwise legal, but they must declare the permit, show government ID, and go through screening. Elected officials are exempt and will have a separate lane, while staff will be screened. They also said the tunnels will be locked with restricted key-card access, and that the Senate is implementing its own screening, with questions about Senate doors referred there. Jacobson said the State Patrol will cover the costs within its existing budget, and that the process will be evaluated and adjusted as needed to keep it efficient and not a deterrent to visitors.

Transcript Highlights:

• It includes language to ensure a smooth transition for health care benefits for the employees of the
• and we make sure that ERS receives full contributions for the applicable months and that this is a smooth
• You're going to hear from a number of people, you know, This is a smooth transition.
• It keeps things simple for students, too, smoothing out credit transfers and avoiding extra costs.

Summary: The Senate Committee on K-16 met with 14 bills on the agenda and announced it would recess around 9:45 to attend the floor session, then resume afterward. The committee first took up Senate Bill 2361, which would transfer governance of the University of Houston-Victoria from the University of Houston System to the Texas A&M University System and rename it Texas A&M University-Victoria. Senator Cole explained that the committee substitute added transition language for employee health benefits and ERS contributions. Supporters, including Texas A&M System officials, Victoria’s mayor, regional economic development leaders, a Formosa Plastics representative, a Victoria College trustee, and a local business owner, said the move would better align the university with regional industry needs, especially engineering, agriculture, and workforce development, while helping retain local students and support economic growth. A Texas A&M official also noted accreditation, data-system, and other transition challenges, but said the change was manageable. Because there was no quorum, the committee could not adopt the substitute, and SB 2361 was left pending subject to the call of the chair after public testimony closed. The committee then heard Senate Bill 530 from Senator Sparks, which would update Texas higher education law to match federal rules allowing institutions to use any nationally recognized accreditor rather than only a regional accreditor. Sparks said the bill was a cleanup measure responding to a 2019 federal rule change and prior concerns had been addressed over the interim. Testimony in support came from a Texas Public Policy Foundation fellow, who said the bill would give universities flexibility, preserve quality standards, and simplify credit transfer and costs for students. With no opposition and no questions, public testimony closed and SB 530 was left pending. The committee then recessed subject to the call of the chair.

Transcript Highlights:

• We'll sort of smooth that out, allow people to budget.
• We'll<00:04:58.320> sort<00:04:58.479> of<00:04:58.720> smooth<00:04:58.960>
• that<00:04:59.199> out,<00:04:59.440> allow We'll sort of smooth that out, allow We'll
• sort of smooth that out, allow people<00:04:59.919> to<00:05:00.160> budget.

Keywords: 1191, senate, all

Transcript Highlights:

• exchange in the parking lot that you'd hear inside, and yet two or three meetings later they got it all smoothed
• exchange in the parking lot that you'd hear inside, and yet two or three meetings later they got it all smoothed
• exchange in the parking lot that you'd hear inside, and yet two or three meetings later they got it all smoothed
• Um, but the retaliatory piece and the timing got it all smoothed out.
• Is could we got it all smoothed out.

Bills: HB0002, HB0022

Keywords: building permits, local government, residential construction, permit timelines, code compliance, municipal officers, recall election, petition requirements, local governance, voter participation, 916, all

Transcript Highlights:

• that experience, legislators I thought it wise to create a reserve fund so that we would be able to smooth
• It's good to have, uh, a savings account, if you will, that can smooth out those downturns in the economy
• Um, I mean, I think the rainy day fund is, was created as, as the chairman said, to sort of, uh, smooth
• out some of those, uh, smooth out some of that volatility interstate revenue, uh, streams.

Bills: SJR 4

Keywords: term limits, state offices, constitutional amendment, governor, lieutenant governor, election reform

Transcript Highlights:

• That is on an actuarial smoothed basis, meaning that we smooth investment earnings over five years.
• That is on an actuarial smoothed basis, meaning that we smooth investment earnings over five years.
• If you look at it on a market value basis, Meaning that we smooth investment earnings over five years

Keywords: 987, senate, all

Summary: The Senate Labor, Public Employment and Retirement Committee heard and advanced several bills covering workers’ compensation, public pensions, workplace training, public works wages, and disability/paid family leave benefits. AB 1048 would require greater transparency when medical provider payments in workers’ compensation are reduced through network or administrator arrangements; supporters said providers need the underlying contract to verify reductions, while opponents argued the problem is overstated and existing dispute remedies are available. AB 1601 would give Sonoma County flexibility to provide targeted cost-of-living adjustments to retirees; supporters emphasized retirees have gone without a COLA since 2008 and that the retirement system is well funded, with no opposition testimony heard. AB 1439 would request a UC Berkeley study on labor standards in real estate and infrastructure projects funded through CalPERS and CalSTRS portfolios; labor groups supported it, while local governments, housing, and industry groups opposed it as unnecessary and potentially burdensome. AB 1697 would delay implementation of last year’s AB 692 on stay-or-pay and related employment contract provisions to 2027, with some support from the NFL and a support-if-amended request from the financial services industry for a 2028 date. AB 1803 would add anti-hate speech content to existing workplace harassment training; supporters framed it as a response to rising antisemitism and workplace hate, while opponents raised First Amendment concerns and argued current law already addresses harassment. AB 2120 would extend Los Angeles Unified’s selective certification hiring authority and allow retention of such employees in layoffs, and AB 2292 would bar providers from charging administrative fees for completing disability insurance and paid family leave certification forms; both drew support and no opposition testimony in the hearing. AB 1198, the Fair Pay for Construction Workers Act, would tie prevailing wage to the time work is performed rather than bid advertisement, with supporters calling it a fairness fix and opponents warning of uncertainty and higher costs on public projects. The committee later reconvened and voted all of the heard bills out, with most passing on unanimous or near-unanimous votes; AB 1439 was the only measure with recorded dissent, passing 4-1 on the final committee vote. Several items were also placed on call before final passage.

Transcript Highlights:

• And using the three-year rolling average provides a mechanism for smoothing distributions by reducing
• Moving to the Permanent School Fund market value line graph, you can see the importance of the smooth
• <00:45:50.319> the modeling, did you kind of smooth the modeling, did you kind of smooth the
• <00:46:20.560> We returns are not going to be smooth.
• We returns are not going to be smooth.

Bills: HF3900

Keywords: permanent school fund, school endowment fund, Minnesota constitutional amendment, school aid, public school funding, State Board of Investment, investment income, distributable amount, school districts, property taxes, income taxes, voter approval, ballot question, constitutional amendment 2026, education finance, fund perpetuity, purchasing power, trust lands, swamp lands, internal improvement land fund