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is he back here don't know

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right members if you could go

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ahead and grab your seat we're

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going to get started

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right members are calling this

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meeting to order

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good morning good morning

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members at this time I want to

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recognize senator Stone for a

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morning prayer. Senator Stone

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Thank you praise your holy name

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dear Lord. I just pray that

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everything that's said and done

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here in this committee meeting

15
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today will bring glory and honor

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to you thelord let just let us

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be mindful just ask that you be

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with our country and our

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nation's leadership dearlord we

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just ask these things in Jesus'

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name amen

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thank you senator and members

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in your packet is an

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minutes from the last meeting I

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need a motion to adopt those we

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have a motion second all those

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in favor say aye opposed ayes

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have it and at this time we're

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gonna recognize Doctor

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Carlossilva for the presentation

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of the August 2026 revenue

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report Doctorsilva if you would

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please you're recognized.

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Thank Mr Charman carlossilva

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Burereau of legislative Reearch

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today I'm here to present the

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August 2026 monthly revenue

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report we thought gross

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collections for this month at

40
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$1.34 billion there's up50

41
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million dollars from the last

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fiscal each day those first two

43
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months of the last fiscal years

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around

45
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uh3.9% above there as we start

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looking down the line and we we

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take it all those off the tops

48
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you're gonna have a1.8 bill $18

49
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billion for this first two

50
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months of the fiscal year that

51
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is57 million dollars above

52
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fiscal year today and that

53
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is5.1% above those those first

54
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two months where we're gonna see

55
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here in the bottle we have

56
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include unemployment rate and

57
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labor force participation is the

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latest numbers we have at the

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time this report has been put it

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out as we look into the second

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page we're gonna see

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our accumulative deviation from

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the F andA latest forecast we

64
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have a a slight increase there

65
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of4.5 million dollars above

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forecast for this month

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continuing that that positive

68
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trend but if you look into

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just the month we're gonna have

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$14.1 million from the august to

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August difference as we're

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looking through our page three

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and page4 we're gonna have our

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general revenue collections

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our first page as we we talked

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about last month the cigarette

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paper tax you're gonna see that

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that that

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difference there we had last

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month was a a positive

81
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difference now we have negatives

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just the adjustment last month

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we have the overpayment if

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you want to think about this on

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on that specific account now has

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been ad addressed if looking to

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the ear today you're not gonna

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see that the large difference

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and then as we're moving on

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should should the other pages

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you're gonna continue to see the

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large difference on the dW

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wiring statement fees and fines

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and penalties due to the change

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by Ac 969 of2025 with the

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I will take any further

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questions related to this report

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we have a couple of questions

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here. Senator Hester you

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recognized

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thank you on on page four line

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three

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the real estate transfer tax it

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it looks like from 2005 to2006

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like they're consistent the

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market may not feel that way but

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our numbers are showing they're

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consistent do you know if that's

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is it consistent like

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residenttially or maybe big

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corporate things are selling do

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you have any breakdown on that?

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get it gets capped if you want

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to think about it there if

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you look into those tru months

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difference we eventually gonna

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reach that that the number of $2

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million but I do not have any

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sight right now specific for the

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real estate but I'll be happy to

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talk to you later on ok thank

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you

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thank you senatorpresentative

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wooten you're recognized

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thank you Mr Chairman. Do on the

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inflation, how much you

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know gasoline's dollar quarters

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a gallon more groceries are

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higher food higher

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utilities are increasing what

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how much how much of the five

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point 1% increaseries do you

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think is due to inflation

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we do not have any breakdown

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specific to the inflation

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again if there's something that

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you would like us to look into

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what how much of that is

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inflation but definitely there's

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inflationary pressures that

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would feel part of this report

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but there's no specific breakout

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as we need to break out specific

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regions and and how that's been

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working on but yes sir I'll be

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happy to look at that if that's

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we like it

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thank you thank you Mr Chairman.

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all right thank youpresentative

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members seeing no other

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questions Doctor Silva, thank

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you for the report. Reember that

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takes us down to item E, the

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executive subcommittee I'm going

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to recognize my co-chair Senator

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Boy

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Thank you Mr Chair

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the executive subcommittee met

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Tuesday, September 15th and took

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the following actions

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recommended adoption by the full

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ALc of interim resolution

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2025-009 by Senator Missy Irvin

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which is attached to this report

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and approved a motion to

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authorize payment of per diem in

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mileage to members elect for

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atten attendance at interim

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legislative committee meetings

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following the special or general

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election in which the member

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elect successfully ran

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in addition the subcommittee

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heard the following announcement

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concerning the October ALC

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meeting schedule due to the

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schedule for fall budget

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hearings the ALc subcommittee

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meetings for October will be

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canceled with the exception of

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peer review and administrative

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rules which may meet concerning

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imminent need items on Monday,

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October 12th and in the

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afternoon on Thursday, October

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15th.

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mattertters normally submitted

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to to the other subcommittees

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that have been determined by the

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ALc co-chairs of an imminent

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need such that they cannot wait

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until November Alc subcommittee

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meetings may be added to the

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calendar or taken up directly by

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the full ALC at itsoctober 16

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meeting aggency imminent need

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requests for October should be

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submitted to the appropriate

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subcommittee staff who will

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convey it to the Alc co-chairs

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through Director Garrty.

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Reports and requests for action

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usually submitted for

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consideration by the full ALc

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should be provided torector

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Garrty as usual

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I move adoption of the report

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including adoption of the

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interim resolution.

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all right members any questions

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on this item

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seeing none do we have a motion

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or we have a motion from Senator

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Boy in a second. all those in

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favor say aye oppose the ayes

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have it

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thank you senator. It takes us

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down to administrative rules

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uhpresentative Shepherd

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you're recognized

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thank you Mr Chairman. the

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administrative rules

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subcommittee met on Thursday,

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September 17,2026 the

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subcommittee received agency

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updates on outstanding

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rulemaking from the 2023 and2025

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regular sessions all rules were

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reviewed and approved as noted

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in the report. I would also

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mention since we we have a

232
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number of agencies here today

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that Senator deeses reminded

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00:10:07,893 --> 00:10:08,143
the agency to get their

235
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reports in by the first of the

236
00:10:10,329 --> 00:10:10,579
month so that those

237
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can be properly included by

238
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staff and just as when to make

239
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that reminder here today. So I

240
00:10:18,070 --> 00:10:18,320
would move adoption of the

241
00:10:18,604 --> 00:10:18,854
report

242
00:10:20,273 --> 00:10:20,523
thank you Representative

243
00:10:21,440 --> 00:10:21,690
shepherd.embers any questions on

244
00:10:22,108 --> 00:10:22,358
this item?

245
00:10:23,876 --> 00:10:24,126
all right seeing none we have a

246
00:10:26,078 --> 00:10:26,328
mos and degree second we have a

247
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second all those in favor excuse

248
00:10:29,582 --> 00:10:29,832
me any discussion, excuse me.

249
00:10:31,350 --> 00:10:31,600
all right seeing none all those

250
00:10:32,451 --> 00:10:32,701
in favor say aye oppose the ayes

251
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have it

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item three claims review. I'm

253
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going to recognize senator

254
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dotson

255
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thank you Mr Chair

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00:10:43,596 --> 00:10:43,846
The claimsview litigation

257
00:10:45,331 --> 00:10:45,581
reports oversight subcommittee

258
00:10:46,265 --> 00:10:46,515
met on Monday, September

259
00:10:46,799 --> 00:10:47,049
14,2026.

260
00:10:49,869 --> 00:10:50,119
the subcommittee reviewed 11

261
00:10:51,871 --> 00:10:52,121
litigation reports and approved

262
00:10:53,906 --> 00:10:54,156
one litigation settlement. One

263
00:10:55,374 --> 00:10:55,624
claim was held by the

264
00:10:56,142 --> 00:10:56,392
subcommittee pending receipt of

265
00:10:57,510 --> 00:10:57,760
further information from the

266
00:10:58,177 --> 00:10:58,427
claims commission

267
00:11:00,146 --> 00:11:00,396
the subcommittee affirmed the

268
00:11:01,347 --> 00:11:01,597
decision of the claims

269
00:11:02,048 --> 00:11:02,298
commission as to all other

270
00:11:03,949 --> 00:11:04,199
claims on the agenda. I move

271
00:11:04,617 --> 00:11:04,867
adoption of the report

272
00:11:07,486 --> 00:11:07,736
Thank you, Senator. M members

273
00:11:08,154 --> 00:11:08,404
any questions on this item?

274
00:11:09,889 --> 00:11:10,139
all right seeing none we have a

275
00:11:11,857 --> 00:11:12,107
motion. can I get a second? It

276
00:11:13,592 --> 00:11:13,842
was second any discussion seeing

277
00:11:14,327 --> 00:11:14,577
none all those in the paper say

278
00:11:14,994 --> 00:11:15,244
aye

279
00:11:15,761 --> 00:11:16,011
opposed ayes have it

280
00:11:19,598 --> 00:11:19,848
down to uhame and fish state

281
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police and recognize Senator

282
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Urban at this time?

283
00:11:23,636 --> 00:11:23,886
thank you Mr Chair.

284
00:11:25,838 --> 00:11:26,088
The game and fish statelice

285
00:11:27,606 --> 00:11:27,856
subcommittee met on Monday. we

286
00:11:28,307 --> 00:11:28,557
heard testimony from the

287
00:11:29,842 --> 00:11:30,092
Arkansasame and Fish Commission

288
00:11:31,811 --> 00:11:32,061
regarding enforcement protocols

289
00:11:32,545 --> 00:11:32,795
and I move adoption of the

290
00:11:33,079 --> 00:11:33,329
report

291
00:11:37,583 --> 00:11:37,833
all right thank you senator

292
00:11:38,184 --> 00:11:38,434
members any questions on this

293
00:11:38,851 --> 00:11:39,101
item?

294
00:11:41,387 --> 00:11:41,637
seeing none we have a motion.

295
00:11:42,121 --> 00:11:42,371
Can I get a second? the second

296
00:11:43,856 --> 00:11:44,106
in the discussion seeing none

297
00:11:45,858 --> 00:11:46,108
all those in favor say aye

298
00:11:46,459 --> 00:11:46,709
oppose guysy have it.

299
00:11:50,363 --> 00:11:50,613
I'm gonna recognize Senator

300
00:11:51,897 --> 00:11:52,147
Bryant for the hospitals

301
00:11:53,466 --> 00:11:53,716
medicaid andvelopmental

302
00:11:54,033 --> 00:11:54,283
disability study.

303
00:11:56,068 --> 00:11:56,318
good morning Mr chair. The

304
00:11:57,336 --> 00:11:57,586
hospital Medicaid and

305
00:11:58,104 --> 00:11:58,354
Developmental Disability St

306
00:11:59,372 --> 00:11:59,622
studyies subcommittee met on

307
00:12:01,340 --> 00:12:01,590
Monday to hear testimony on the

308
00:12:02,141 --> 00:12:02,391
following items an update on the

309
00:12:03,876 --> 00:12:04,126
reimbursement rates under Living

310
00:12:05,578 --> 00:12:05,828
Choices Assisted Living waiver

311
00:12:08,147 --> 00:12:08,397
by DHS and presentation onorked

312
00:12:09,615 --> 00:12:09,865
consulting and workforce

313
00:12:10,216 --> 00:12:10,466
advisory group recommendations.

314
00:12:13,386 --> 00:12:13,636
the subcommittee met again on

315
00:12:14,120 --> 00:12:14,370
Thursday to adopt the attached

316
00:12:16,122 --> 00:12:16,372
enema report which is F7 in your

317
00:12:18,357 --> 00:12:18,607
binder on recommendations

318
00:12:19,625 --> 00:12:19,875
concerning the Arkansas

319
00:12:20,159 --> 00:12:20,409
legislative study on workforce

320
00:12:20,793 --> 00:12:21,043
and social reform

321
00:12:25,398 --> 00:12:25,648
to meet October 1st,26 deadline.

322
00:12:26,132 --> 00:12:26,382
An additional update will be

323
00:12:27,633 --> 00:12:27,883
provided at the final ALC

324
00:12:29,869 --> 00:12:30,119
meeting of 2026 to inform ALC of

325
00:12:31,670 --> 00:12:31,920
further progress. Mr Chair, I

326
00:12:32,338 --> 00:12:32,588
move adoption of the report.

327
00:12:35,574 --> 00:12:35,824
all right thank you senator. Any

328
00:12:36,275 --> 00:12:36,525
any questions on this side of

329
00:12:36,942 --> 00:12:37,192
members?

330
00:12:38,077 --> 00:12:38,327
all right seeing none we have a

331
00:12:40,079 --> 00:12:40,329
motion. Can I get a second? No

332
00:12:42,047 --> 00:12:42,297
second any discussion? right

333
00:12:43,849 --> 00:12:44,099
seeing none all those in favor

334
00:12:44,483 --> 00:12:44,733
say aye oppose the ayes have it

335
00:12:49,388 --> 00:12:49,638
at this time recognized

336
00:12:49,855 --> 00:12:50,105
Senator Wallace for the

337
00:12:51,924 --> 00:12:52,174
occupational licensing review

338
00:12:52,591 --> 00:12:52,841
report you recognize.

339
00:12:54,093 --> 00:12:54,343
thank you Mr chairir

340
00:12:56,162 --> 00:12:56,412
Mr Chair the occupational

341
00:12:58,164 --> 00:12:58,414
licensing revieweittee met on

342
00:13:00,166 --> 00:13:00,416
Thursday and we received reports

343
00:13:01,867 --> 00:13:02,117
on various occupational

344
00:13:03,636 --> 00:13:03,886
authorization entities in group

345
00:13:05,471 --> 00:13:05,721
one. I move adoption of this

346
00:13:06,138 --> 00:13:06,388
report.

347
00:13:08,040 --> 00:13:08,290
all right thank you senator

348
00:13:09,475 --> 00:13:09,725
members any questions on this

349
00:13:10,109 --> 00:13:10,359
item?

350
00:13:11,844 --> 00:13:12,094
all right seeing no we have a

351
00:13:14,046 --> 00:13:14,296
motion. can I get a second? Any

352
00:13:15,781 --> 00:13:16,031
discussion seeing none all those

353
00:13:17,950 --> 00:13:18,200
in favor say aye opposed the

354
00:13:18,651 --> 00:13:18,901
ayes have it

355
00:13:21,821 --> 00:13:22,071
and would recognizepresentative

356
00:13:22,521 --> 00:13:22,771
Wardlaw for the peer report

357
00:13:25,858 --> 00:13:26,108
you Mrir of the peer

358
00:13:27,560 --> 00:13:27,810
subcommittee met on Tuesday,

359
00:13:29,595 --> 00:13:29,845
September 15th. the subcommittee

360
00:13:30,329 --> 00:13:30,579
reviewed reports reviewed

361
00:13:31,897 --> 00:13:32,147
requests and approved the

362
00:13:33,599 --> 00:13:33,849
following various temporation

363
00:13:34,400 --> 00:13:34,650
temporary appropriations

364
00:13:35,868 --> 00:13:36,118
American rescuelan Act

365
00:13:37,903 --> 00:13:38,153
appropriations infrastructure

366
00:13:39,472 --> 00:13:39,722
investment and Jobs Act

367
00:13:40,039 --> 00:13:40,289
appropriations

368
00:13:42,141 --> 00:13:42,391
and appropriation transfers and

369
00:13:43,676 --> 00:13:43,926
restricted reserve fund

370
00:13:44,143 --> 00:13:44,393
transfers. I movedoption of the

371
00:13:44,810 --> 00:13:45,060
report

372
00:13:47,847 --> 00:13:48,097
all right thank you

373
00:13:49,348 --> 00:13:49,598
Representative Bordlaw. we have

374
00:13:50,049 --> 00:13:50,299
a couple of questions. Senator

375
00:13:51,517 --> 00:13:51,767
Tucker you re you're

376
00:13:51,984 --> 00:13:52,234
recognized

377
00:13:53,886 --> 00:13:54,136
thank you Mr Cha. I just have a

378
00:13:55,354 --> 00:13:55,604
couple of questions for someone

379
00:13:56,055 --> 00:13:56,305
from AdE on the on the learns

380
00:13:56,689 --> 00:13:56,939
money.

381
00:13:57,623 --> 00:13:57,873
all right

382
00:13:59,458 --> 00:13:59,708
let me get some of them for the

383
00:14:00,125 --> 00:14:00,375
department up here please

384
00:14:17,376 --> 00:14:17,626
or ning when you get settled in

385
00:14:18,010 --> 00:14:18,260
just introduce yourself for the

386
00:14:18,744 --> 00:14:18,994
record and we'll get on to the

387
00:14:19,378 --> 00:14:19,628
questions.

388
00:14:22,147 --> 00:14:22,397
Good morning Courtneyallisfod

389
00:14:22,748 --> 00:14:22,998
chief of staff department of

390
00:14:23,415 --> 00:14:23,665
Education.

391
00:14:25,684 --> 00:14:25,934
greg rogers department

392
00:14:26,218 --> 00:14:26,468
ofducation.

393
00:14:28,153 --> 00:14:28,403
Darrell Smith Department of

394
00:14:29,388 --> 00:14:29,638
Education.

395
00:14:32,091 --> 00:14:32,341
right thank you Mr Chair. I

396
00:14:34,193 --> 00:14:34,443
just, I really have we not the

397
00:14:35,594 --> 00:14:35,844
first time y'all sat at that

398
00:14:36,328 --> 00:14:36,578
table in this meeting and I

399
00:14:37,596 --> 00:14:37,846
really have very similar

400
00:14:39,398 --> 00:14:39,648
questions to what I've I've had

401
00:14:41,333 --> 00:14:41,583
before the first man is for this

402
00:14:43,869 --> 00:14:44,119
2627 school year how many

403
00:14:46,171 --> 00:14:46,421
approved students we have on

404
00:14:47,606 --> 00:14:47,856
the private school side and then

405
00:14:48,274 --> 00:14:48,524
the homeschool side.

406
00:14:51,610 --> 00:14:51,860
thank you so right now we're

407
00:14:53,846 --> 00:14:54,096
looking at just over 28,000

408
00:14:55,814 --> 00:14:56,064
students in private schools and

409
00:14:57,816 --> 00:14:58,066
just over 21,000 homeschools so

410
00:15:01,654 --> 00:15:01,904
about49,000 approved overall and

411
00:15:03,589 --> 00:15:03,839
then you know a question I've

412
00:15:05,858 --> 00:15:06,108
asked before and we had had a

413
00:15:08,160 --> 00:15:08,410
little conversation about his is

414
00:15:10,429 --> 00:15:10,679
comparing the costs and I guess

415
00:15:11,664 --> 00:15:11,914
I'm curious from both the

416
00:15:13,399 --> 00:15:13,649
budgetary perspective and a cost

417
00:15:15,601 --> 00:15:15,851
incurred perspective of

418
00:15:17,937 --> 00:15:18,187
a student who's going to private

419
00:15:18,637 --> 00:15:18,887
school as opposed to a student

420
00:15:19,305 --> 00:15:19,555
who's going

421
00:15:21,340 --> 00:15:21,590
to homeschool if we've run any

422
00:15:23,575 --> 00:15:23,825
analysis about what the

423
00:15:24,109 --> 00:15:24,359
budget should be for a

424
00:15:25,844 --> 00:15:26,094
homeschool student relative to a

425
00:15:27,346 --> 00:15:27,596
private school student and then

426
00:15:29,348 --> 00:15:29,598
second that kind of forward

427
00:15:30,416 --> 00:15:30,666
looking and then also backward

428
00:15:32,151 --> 00:15:32,401
looking for the costs incurred

429
00:15:34,119 --> 00:15:34,369
how much those students in

430
00:15:37,389 --> 00:15:37,639
homeschool actually pay out

431
00:15:38,023 --> 00:15:38,273
compared to students in private

432
00:15:38,657 --> 00:15:38,907
school.

433
00:15:41,593 --> 00:15:41,843
right so as you know the law

434
00:15:43,629 --> 00:15:43,879
provides for 90% of foundation

435
00:15:45,864 --> 00:15:46,114
funding to be in an EFA account

436
00:15:47,366 --> 00:15:47,616
regardless of whether they're

437
00:15:48,334 --> 00:15:48,584
private school or homeschool.

438
00:15:49,868 --> 00:15:50,118
so we have not looked

439
00:15:51,870 --> 00:15:52,120
specifically at what is the cost

440
00:15:53,839 --> 00:15:54,089
of of an average say homeschool

441
00:15:55,374 --> 00:15:55,624
student versus private school

442
00:15:56,075 --> 00:15:56,325
student because the law allows

443
00:15:58,077 --> 00:15:58,327
the equal amount for for each.

444
00:16:00,045 --> 00:16:00,295
um, I can say though that

445
00:16:01,847 --> 00:16:02,097
very soon probably within the

446
00:16:03,882 --> 00:16:04,132
next few weeks the

447
00:16:05,384 --> 00:16:05,634
University of Arkansas is

448
00:16:07,386 --> 00:16:07,636
putting out a report looking at

449
00:16:08,120 --> 00:16:08,370
all of the past expenses so

450
00:16:10,189 --> 00:16:10,439
and it will have it broken down

451
00:16:11,924 --> 00:16:12,174
by like how much was used for

452
00:16:13,659 --> 00:16:13,909
tuition and fees how much it was

453
00:16:15,861 --> 00:16:16,111
used for curriculum and so I

454
00:16:17,630 --> 00:16:17,880
think that will give us a good

455
00:16:18,397 --> 00:16:18,647
idea of where the majority of

456
00:16:20,132 --> 00:16:20,382
funding is going and and it'll

457
00:16:21,834 --> 00:16:22,084
be good information for you all

458
00:16:23,869 --> 00:16:24,119
to have if you wanted to look

459
00:16:25,604 --> 00:16:25,854
at putting any limits on

460
00:16:27,339 --> 00:16:27,589
anything that are not already in

461
00:16:29,341 --> 00:16:29,591
statute. OK that's helpful.

462
00:16:30,109 --> 00:16:30,359
thank you and so I understand

463
00:16:32,111 --> 00:16:32,361
that the law authorizes the same

464
00:16:32,811 --> 00:16:33,061
amount for both. Does it direct

465
00:16:33,479 --> 00:16:33,729
that

466
00:16:36,115 --> 00:16:36,365
does it mandate that? Yes it

467
00:16:37,850 --> 00:16:38,100
provides that anyone who is

468
00:16:39,852 --> 00:16:40,102
approved for an EFA account gets

469
00:16:41,820 --> 00:16:42,070
90% of foundation funding

470
00:16:43,389 --> 00:16:43,639
because of course the full

471
00:16:44,089 --> 00:16:44,339
amount I think it makes sense

472
00:16:45,858 --> 00:16:46,108
not to give the full amount

473
00:16:47,393 --> 00:16:47,643
since you're not having

474
00:16:47,893 --> 00:16:48,143
buildings and overhead and

475
00:16:49,828 --> 00:16:50,078
things like a public school does

476
00:16:51,864 --> 00:16:52,114
but yes so as long as they

477
00:16:54,099 --> 00:16:54,349
are submitting eligible expenses

478
00:16:57,369 --> 00:16:57,619
so the the curriculum fees,

479
00:16:59,638 --> 00:16:59,888
tuition, supplies things like

480
00:17:01,340 --> 00:17:01,590
that they can spend up to that

481
00:17:02,374 --> 00:17:02,624
full 90% amount. OK. all right

482
00:17:03,042 --> 00:17:03,292
thank you very much

483
00:17:05,844 --> 00:17:06,094
thank you senator Representative

484
00:17:07,646 --> 00:17:07,896
Wooten, is your question for

485
00:17:08,313 --> 00:17:08,563
this department?

486
00:17:09,481 --> 00:17:09,731
all right you're recognized

487
00:17:11,950 --> 00:17:12,200
thank you chairman

488
00:17:17,589 --> 00:17:17,839
how much how much is the70

489
00:17:22,061 --> 00:17:22,311
million in addition to the379

490
00:17:25,364 --> 00:17:25,614
million or is it all how much

491
00:17:27,633 --> 00:17:27,883
money are you asking for? I know

492
00:17:29,501 --> 00:17:29,751
you ask you got70 million here

493
00:17:32,037 --> 00:17:32,287
but how many wants the total

494
00:17:32,671 --> 00:17:32,921
amount

495
00:17:37,576 --> 00:17:37,826
right so with the addition of

496
00:17:39,845 --> 00:17:40,095
the70 million it's379 million

497
00:17:42,347 --> 00:17:42,597
total yes sir so just short

498
00:17:42,915 --> 00:17:43,165
of400 million

499
00:17:46,285 --> 00:17:46,535
how how much

500
00:17:49,922 --> 00:17:50,172
each one of them gets 90%

501
00:17:55,327 --> 00:17:55,577
of foundation foundation money

502
00:17:57,396 --> 00:17:57,646
OK. what's the total amount of

503
00:17:58,097 --> 00:17:58,347
foundation money this year

504
00:17:59,798 --> 00:18:00,048
not not per student

505
00:18:07,339 --> 00:18:07,589
oh per student it's or the total

506
00:18:09,341 --> 00:18:09,591
in public school fund so the

507
00:18:10,042 --> 00:18:10,292
total amount per student this

508
00:18:12,311 --> 00:18:12,561
year is $8,034 how much

509
00:18:22,020 --> 00:18:22,270
$8000 last year it was 8020re0

510
00:18:23,822 --> 00:18:24,072
last year

511
00:18:27,626 --> 00:18:27,876
so there's a reduction in the

512
00:18:29,661 --> 00:18:29,911
amount of money that we're

513
00:18:30,229 --> 00:18:30,479
paying

514
00:18:34,099 --> 00:18:34,349
and we we're picking up the

515
00:18:35,901 --> 00:18:36,151
health insurance, correct?

516
00:18:36,435 --> 00:18:36,685
Correct.

517
00:18:41,340 --> 00:18:41,590
yeah the foundation funding went

518
00:18:42,074 --> 00:18:42,324
down just because we are pick

519
00:18:44,309 --> 00:18:44,559
the state is picking up 100% of

520
00:18:47,346 --> 00:18:47,596
the employer portion of the

521
00:18:49,581 --> 00:18:49,831
state of the teacher insurance

522
00:18:52,084 --> 00:18:52,334
how much what is the national

523
00:18:53,886 --> 00:18:54,136
average for public education

524
00:18:56,321 --> 00:18:56,571
on the foundation money

525
00:19:01,827 --> 00:19:02,077
don't don't know it's $12,000.

526
00:19:05,898 --> 00:19:06,148
what is ours 8084 that's just

527
00:19:07,633 --> 00:19:07,883
foundation funding if you

528
00:19:09,368 --> 00:19:09,618
include the categoricals and

529
00:19:09,935 --> 00:19:10,185
everything else we get close to

530
00:19:11,637 --> 00:19:11,887
the 15 I know exactly what it is

531
00:19:17,993 --> 00:19:18,243
it's $8084 per student in the

532
00:19:21,346 --> 00:19:21,596
national average is 12,000 and

533
00:19:23,849 --> 00:19:24,099
we're spending400 million. can

534
00:19:27,586 --> 00:19:27,836
you can you justify that once

535
00:19:28,253 --> 00:19:28,503
again would say that

536
00:19:29,655 --> 00:19:29,905
that the governor supports they

537
00:19:31,824 --> 00:19:32,074
can you justify that can you

538
00:19:35,360 --> 00:19:35,610
justify400 million dollars going

539
00:19:37,362 --> 00:19:37,612
to private education and

540
00:19:39,398 --> 00:19:39,648
we're4,000 dollars per student

541
00:19:40,098 --> 00:19:40,348
chart below

542
00:19:42,401 --> 00:19:42,651
the national average for

543
00:19:42,968 --> 00:19:43,218
foundation money

544
00:19:45,804 --> 00:19:46,054
Representative Wooton, the

545
00:19:47,539 --> 00:19:47,789
question for us today is the

546
00:19:48,140 --> 00:19:48,390
transfer of that70 million

547
00:19:49,608 --> 00:19:49,858
dollars we're not relitigating

548
00:19:50,209 --> 00:19:50,459
loans at this point if you want

549
00:19:51,610 --> 00:19:51,860
to do that offline you're

550
00:19:53,879 --> 00:19:54,129
welcome to realize that Chairman

551
00:19:55,614 --> 00:19:55,864
but I think it needs the fact it

552
00:19:59,351 --> 00:19:59,601
needs to be an explanation given

553
00:20:02,087 --> 00:20:02,337
to this body why we can spend400

554
00:20:03,755 --> 00:20:04,005
million dollars on a

555
00:20:04,189 --> 00:20:04,439
recommendation

556
00:20:06,191 --> 00:20:06,441
and asked for70 million more

557
00:20:09,995 --> 00:20:10,245
because the legislature approved

558
00:20:10,696 --> 00:20:10,946
that with the Learns Act.

559
00:20:16,068 --> 00:20:16,318
well they're biased but that's

560
00:20:17,836 --> 00:20:18,086
that's all we've got to say

561
00:20:18,470 --> 00:20:18,720
about it

562
00:20:24,042 --> 00:20:24,292
Senator hickey you're recognized

563
00:20:25,844 --> 00:20:26,094
I'm assuming this is not the

564
00:20:27,546 --> 00:20:27,796
group you're looking for right

565
00:20:28,213 --> 00:20:28,463
you

566
00:20:29,615 --> 00:20:29,865
you guys are excused thank you I

567
00:20:31,617 --> 00:20:31,867
believe we're gonna need

568
00:20:33,352 --> 00:20:33,602
Secretaryhudson and someone

569
00:20:35,487 --> 00:20:35,737
from DHS is that rightsenator

570
00:20:36,121 --> 00:20:36,371
that's correct

571
00:20:38,123 --> 00:20:38,373
just to kind of give everybody

572
00:20:41,360 --> 00:20:41,610
an explanation I in no way

573
00:20:42,127 --> 00:20:42,377
believe that we need to stop

574
00:20:43,662 --> 00:20:43,912
this of course I think we all

575
00:20:45,631 --> 00:20:45,881
know all know that we did I sit

576
00:20:46,298 --> 00:20:46,548
on the pier and I take full

577
00:20:48,133 --> 00:20:48,383
responsibility that we didn't

578
00:20:49,601 --> 00:20:49,851
discuss this. I think a lot of

579
00:20:51,603 --> 00:20:51,853
us knew what was going on. I

580
00:20:52,204 --> 00:20:52,454
literally walked out of here,

581
00:20:53,572 --> 00:20:53,822
went to lunch and thought you

582
00:20:56,108 --> 00:20:56,358
know we just took over a

583
00:20:57,910 --> 00:20:58,160
quarter of a billion dollars out

584
00:20:59,611 --> 00:20:59,861
of restricted reserve and didn't

585
00:21:00,345 --> 00:21:00,595
have any discussion for the

586
00:21:01,880 --> 00:21:02,130
public to know so that's my

587
00:21:03,882 --> 00:21:04,132
intent here today. so appreciate

588
00:21:05,717 --> 00:21:05,967
you you all both being down here

589
00:21:06,385 --> 00:21:06,635
if you would please just

590
00:21:06,919 --> 00:21:07,169
introduce

591
00:21:07,853 --> 00:21:08,103
yourselves so we have it on

592
00:21:08,487 --> 00:21:08,737
record and then we'll get to the

593
00:21:10,188 --> 00:21:10,438
questions you bet Jimhutson

594
00:21:10,722 --> 00:21:10,972
secretary DFfa.

595
00:21:13,625 --> 00:21:13,875
good morning Janet Mayn

596
00:21:16,128 --> 00:21:16,378
Secretary DHS I'll try to roll

597
00:21:18,130 --> 00:21:18,380
pretty quick. first of all

598
00:21:20,132 --> 00:21:20,382
though I'm on a guest for Miss

599
00:21:21,633 --> 00:21:21,883
mann. so

600
00:21:25,570 --> 00:21:25,820
and and Mrhudson so I went back

601
00:21:27,339 --> 00:21:27,589
and looked and we know that the

602
00:21:28,040 --> 00:21:28,290
trust fund's been higher but at

603
00:21:29,808 --> 00:21:30,058
the beginning of Fy26 we're

604
00:21:31,476 --> 00:21:31,726
at492 million thereabouts

605
00:21:35,347 --> 00:21:35,597
so in the report that you always

606
00:21:37,382 --> 00:21:37,632
do that we have you to do to

607
00:21:38,016 --> 00:21:38,266
come out with with the medicaid

608
00:21:38,684 --> 00:21:38,934
trust fund

609
00:21:41,320 --> 00:21:41,570
it's showing that we're about

610
00:21:41,987 --> 00:21:42,237
120 million

611
00:21:42,454 --> 00:21:42,704
this month

612
00:21:45,590 --> 00:21:45,840
Now one question I have for

613
00:21:47,826 --> 00:21:48,076
Misss mann is this I went back

614
00:21:49,394 --> 00:21:49,644
and tried to tried to see have

615
00:21:51,396 --> 00:21:51,646
we paid the hospital assessment

616
00:21:52,130 --> 00:21:52,380
out of that that we normally pay

617
00:21:52,764 --> 00:21:53,014
quarterly

618
00:21:55,834 --> 00:21:56,084
because it looked like to me the

619
00:21:56,568 --> 00:21:56,818
last one we had done was May.

620
00:22:00,072 --> 00:22:00,322
yes sir we are current on the

621
00:22:02,074 --> 00:22:02,324
hospital assessment. We pay

622
00:22:03,809 --> 00:22:04,059
it every quarter. Matter of

623
00:22:05,377 --> 00:22:05,627
fact, this quarter's payment

624
00:22:07,579 --> 00:22:07,829
will occur next week. OK, so

625
00:22:08,180 --> 00:22:08,430
it's not out but it's not out of

626
00:22:09,715 --> 00:22:09,965
the 12ies is what I'm trying to

627
00:22:10,382 --> 00:22:10,632
say.

628
00:22:11,583 --> 00:22:11,833
So,

629
00:22:15,354 --> 00:22:15,604
so the 120 may be a little bit

630
00:22:16,054 --> 00:22:16,304
high because what is that nor

631
00:22:17,622 --> 00:22:17,872
normally30 or35 million?

632
00:22:21,360 --> 00:22:21,610
it's what it looks like look

633
00:22:23,328 --> 00:22:23,578
like yes sir the total payment

634
00:22:25,364 --> 00:22:25,614
for the entire year on the

635
00:22:27,366 --> 00:22:27,616
access payments to the hospitals

636
00:22:30,102 --> 00:22:30,352
is around400 million. so the

637
00:22:31,603 --> 00:22:31,853
state's share is around

638
00:22:36,074 --> 00:22:36,324
120 total so it would be about30

639
00:22:38,043 --> 00:22:38,293
million dollars a quarter so it

640
00:22:39,378 --> 00:22:39,628
looks like that we're a little

641
00:22:40,112 --> 00:22:40,362
high because I believe their

642
00:22:41,847 --> 00:22:42,097
funds have already came into the

643
00:22:44,082 --> 00:22:44,332
fund and we just haven't sent

644
00:22:45,484 --> 00:22:45,734
them back out. so it appears

645
00:22:46,151 --> 00:22:46,401
like to me

646
00:22:48,186 --> 00:22:48,436
that we should we're probably

647
00:22:48,854 --> 00:22:49,104
around 90 million

648
00:22:53,592 --> 00:22:53,842
on the hospital on the hospital

649
00:22:56,128 --> 00:22:56,378
fund they keep a quarter in in

650
00:22:57,896 --> 00:22:58,146
their funds so that they can we

651
00:22:59,898 --> 00:23:00,148
can draw it and pay it and then

652
00:23:03,335 --> 00:23:03,585
they will reimburse or pay back

653
00:23:04,102 --> 00:23:04,352
their assessment the following

654
00:23:07,339 --> 00:23:07,589
quarter. so it's it's an inflow

655
00:23:08,039 --> 00:23:08,289
and an outflow yes sir. So do

656
00:23:09,574 --> 00:23:09,824
you think the true net amount

657
00:23:10,342 --> 00:23:10,592
right now is still 120 million

658
00:23:11,443 --> 00:23:11,693
or are we closer to 10re0?

659
00:23:15,847 --> 00:23:16,097
as of august 1st we were at 120.

660
00:23:17,616 --> 00:23:17,866
I I can't tell you what it is

661
00:23:19,584 --> 00:23:19,834
today I think it's probably

662
00:23:21,319 --> 00:23:21,569
supposed to be around 90 is the

663
00:23:22,154 --> 00:23:22,404
way I say 90 to100 because we

664
00:23:23,622 --> 00:23:23,872
haven't paid that out because

665
00:23:25,390 --> 00:23:25,640
we, I had the bureau staff and

666
00:23:25,991 --> 00:23:26,241
stuff to look so

667
00:23:27,359 --> 00:23:27,609
and

668
00:23:29,861 --> 00:23:30,111
unless you tell me that you all

669
00:23:31,596 --> 00:23:31,846
paid it and it just showed up

670
00:23:33,365 --> 00:23:33,615
somewhere else but it I just

671
00:23:35,333 --> 00:23:35,583
know that it has not been paid.

672
00:23:36,001 --> 00:23:36,251
not

673
00:23:37,636 --> 00:23:37,886
not been paid for this quarter

674
00:23:39,604 --> 00:23:39,854
but it is current yes sir and

675
00:23:41,339 --> 00:23:41,589
I'm not trying to say it's

676
00:23:41,973 --> 00:23:42,223
behind I'm just trying to I'm

677
00:23:42,574 --> 00:23:42,824
just trying to say that we're

678
00:23:43,241 --> 00:23:43,491
show

679
00:23:45,644 --> 00:23:45,894
ing 120 the last one we made was

680
00:23:46,311 --> 00:23:46,561
in May.

681
00:23:49,581 --> 00:23:49,831
but I would say you know, enator

682
00:23:50,315 --> 00:23:50,565
hickey we provide

683
00:23:53,585 --> 00:23:53,835
you know this committee every

684
00:23:55,353 --> 00:23:55,603
single month the snapshot on it

685
00:23:56,088 --> 00:23:56,338
and so I want to be very careful

686
00:23:57,856 --> 00:23:58,106
about trying to pick a

687
00:23:59,858 --> 00:24:00,108
particular day in the month and

688
00:24:01,626 --> 00:24:01,876
try to you know say here's the

689
00:24:04,096 --> 00:24:04,346
balance as of today so let's

690
00:24:05,397 --> 00:24:05,647
mean I think we can work off

691
00:24:05,997 --> 00:24:06,247
what the end the end of the

692
00:24:07,365 --> 00:24:07,615
month reporting is that we send

693
00:24:09,334 --> 00:24:09,584
to y'all that shows you all the

694
00:24:11,336 --> 00:24:11,586
cumulative activity for the

695
00:24:13,371 --> 00:24:13,621
trust fund in that month. OK

696
00:24:14,072 --> 00:24:14,322
again I'm I'm I'm just trying to

697
00:24:16,074 --> 00:24:16,324
make sure that we've got about

698
00:24:18,043 --> 00:24:18,293
what it is because like I say we

699
00:24:20,045 --> 00:24:20,295
started and and I'm going back a

700
00:24:20,712 --> 00:24:20,962
little bit further like I say

701
00:24:21,379 --> 00:24:21,629
the

702
00:24:24,015 --> 00:24:24,265
at 26 we had492 so now we're

703
00:24:24,649 --> 00:24:24,899
about 100 million

704
00:24:29,855 --> 00:24:30,105
you know is isish yeah we all

705
00:24:30,455 --> 00:24:30,705
know how this thing moves it's

706
00:24:33,625 --> 00:24:33,875
so big also for DHS there's been

707
00:24:35,594 --> 00:24:35,844
some talk of course and I think

708
00:24:37,362 --> 00:24:37,612
we all know this that we have

709
00:24:37,996 --> 00:24:38,246
some other accounts that you all

710
00:24:39,898 --> 00:24:40,148
have had and historically

711
00:24:41,600 --> 00:24:41,850
they've showed like some higher

712
00:24:43,335 --> 00:24:43,585
balances have we also been

713
00:24:47,639 --> 00:24:47,889
paying those down and if so, and

714
00:24:49,341 --> 00:24:49,591
I'd have to have you to come up

715
00:24:50,008 --> 00:24:50,258
and I'm just asking for round

716
00:24:50,675 --> 00:24:50,925
numbers

717
00:24:53,678 --> 00:24:53,928
approximately how much have we

718
00:24:54,346 --> 00:24:54,596
used of that

719
00:24:57,616 --> 00:24:57,866
sayy in the last year or

720
00:24:59,618 --> 00:24:59,868
biennial and I'm not I'm just

721
00:25:00,252 --> 00:25:00,502
wanting to know I'm not saying

722
00:25:02,053 --> 00:25:02,303
if it's 12 million or if it's

723
00:25:03,488 --> 00:25:03,738
100 million you know don't know

724
00:25:07,359 --> 00:25:07,609
for the past year if that really

725
00:25:08,093 --> 00:25:08,343
has been much of a of an issue

726
00:25:11,863 --> 00:25:12,113
you know we really worked hard

727
00:25:13,865 --> 00:25:14,115
two fiscal years ago to make

728
00:25:16,067 --> 00:25:16,317
sure those paying accounts did

729
00:25:19,337 --> 00:25:19,587
not maintain a high balance that

730
00:25:20,038 --> 00:25:20,288
you know we kept it in the trust

731
00:25:21,606 --> 00:25:21,856
fund until it was actually

732
00:25:22,307 --> 00:25:22,557
needed and then move it into the

733
00:25:25,377 --> 00:25:25,627
paying account. So I don't, I

734
00:25:25,944 --> 00:25:26,194
don't think there's an issue of

735
00:25:27,579 --> 00:25:27,829
having other funds out there

736
00:25:28,146 --> 00:25:28,396
that are holding large account

737
00:25:29,614 --> 00:25:29,864
balances that we're separately

738
00:25:30,382 --> 00:25:30,632
spending on it's it really

739
00:25:30,949 --> 00:25:31,199
should be a clearing account at

740
00:25:31,616 --> 00:25:31,866
this point.

741
00:25:36,087 --> 00:25:36,337
that's not exactly exactly what

742
00:25:37,589 --> 00:25:37,839
I asked but I'm sure it's

743
00:25:39,624 --> 00:25:39,874
because I wasn't clear so

744
00:25:41,626 --> 00:25:41,876
historically though it appears

745
00:25:42,360 --> 00:25:42,610
like we've always carried a

746
00:25:43,895 --> 00:25:44,145
balance there and now we're not

747
00:25:45,931 --> 00:25:46,181
carrying those balances and I

748
00:25:46,598 --> 00:25:46,848
assume that we've

749
00:25:49,534 --> 00:25:49,784
we've transferred that and used

750
00:25:51,603 --> 00:25:51,853
that no fault of your own. I

751
00:25:53,371 --> 00:25:53,621
mean we understand costs are up

752
00:25:55,373 --> 00:25:55,623
so it's it is what it is at this

753
00:25:57,342 --> 00:25:57,592
point. So do we know what those

754
00:25:58,076 --> 00:25:58,326
other accounts that we've spent

755
00:26:00,111 --> 00:26:00,361
down like historically have we

756
00:26:00,779 --> 00:26:01,029
kept

757
00:26:03,848 --> 00:26:04,098
a certain dollar amount in there

758
00:26:05,817 --> 00:26:06,067
and now they're down cumulative

759
00:26:08,119 --> 00:26:08,369
total to a lower amount and if

760
00:26:08,787 --> 00:26:09,037
so about how much?

761
00:26:13,625 --> 00:26:13,875
I'm just trying to come up give

762
00:26:17,596 --> 00:26:17,846
a balance or a dollar amount we

763
00:26:19,598 --> 00:26:19,848
we did work with the DFNA over

764
00:26:21,833 --> 00:26:22,083
the past 24 months. we started

765
00:26:23,535 --> 00:26:23,785
with the paying accounts that

766
00:26:25,303 --> 00:26:25,553
had balances to make sure that

767
00:26:27,372 --> 00:26:27,622
we were spending those and also

768
00:26:28,073 --> 00:26:28,323
working to make sure that those

769
00:26:29,874 --> 00:26:30,124
were state and federal funds

770
00:26:31,610 --> 00:26:31,860
paying those bills appropriately

771
00:26:33,612 --> 00:26:33,862
for the matching principle, then

772
00:26:36,114 --> 00:26:36,364
we do have some funds that we

773
00:26:38,316 --> 00:26:38,566
use every year. We use pharmacy

774
00:26:39,718 --> 00:26:39,968
rebates, we use provider fees

775
00:26:43,588 --> 00:26:43,838
we use a few other accounts

776
00:26:45,357 --> 00:26:45,607
that are in the operating

777
00:26:47,359 --> 00:26:47,609
process of of medicaid every

778
00:26:49,628 --> 00:26:49,878
year. I mean we would have to go

779
00:26:51,363 --> 00:26:51,613
back and scrub those to tell you

780
00:26:53,331 --> 00:26:53,581
exactly what was spent again

781
00:26:54,099 --> 00:26:54,349
I'll make sure we're we're we're

782
00:26:55,600 --> 00:26:55,850
talking about you know the right

783
00:26:57,602 --> 00:26:57,852
things here because sometimes we

784
00:26:59,871 --> 00:27:00,121
use the term fund we're

785
00:27:01,573 --> 00:27:01,823
referring to traditional funds

786
00:27:05,343 --> 00:27:05,593
that all agencies have for them

787
00:27:07,612 --> 00:27:07,862
it really is reflected in that

788
00:27:09,514 --> 00:27:09,764
medicaid trustst report that has

789
00:27:10,181 --> 00:27:10,431
multiple funds in it

790
00:27:13,852 --> 00:27:14,102
their temporary paying accounts

791
00:27:16,054 --> 00:27:16,304
really were funds that would

792
00:27:17,622 --> 00:27:17,872
accounts that would receive fund

793
00:27:19,658 --> 00:27:19,908
transfers from the trust fund in

794
00:27:21,626 --> 00:27:21,876
order to pay their obligations

795
00:27:25,363 --> 00:27:25,613
those accounts historically had

796
00:27:27,599 --> 00:27:27,849
had higher balances we thought

797
00:27:28,233 --> 00:27:28,483
that they should stay in the

798
00:27:29,601 --> 00:27:29,851
trust fund until they were

799
00:27:31,336 --> 00:27:31,586
actually needed held for a

800
00:27:33,371 --> 00:27:33,621
minimum amount of time in the

801
00:27:35,373 --> 00:27:35,623
temporary paying accounts just

802
00:27:36,107 --> 00:27:36,357
to clear the obligations but

803
00:27:37,842 --> 00:27:38,092
don't keep you know an average

804
00:27:39,644 --> 00:27:39,894
balance in there. I think it's

805
00:27:40,312 --> 00:27:40,562
better to have all the money

806
00:27:42,180 --> 00:27:42,430
in one place so you can see

807
00:27:42,747 --> 00:27:42,997
really what's in there

808
00:27:45,350 --> 00:27:45,600
and we've done that work over

809
00:27:46,117 --> 00:27:46,367
the past couple of years. I

810
00:27:49,354 --> 00:27:49,604
don't I I totally, I totally

811
00:27:49,988 --> 00:27:50,238
agree with your logic on what

812
00:27:51,623 --> 00:27:51,873
you're saying. And again, I know

813
00:27:52,357 --> 00:27:52,607
budget hearings are coming up so

814
00:27:53,858 --> 00:27:54,108
we can kind of get into that but

815
00:27:56,127 --> 00:27:56,377
what I'm saying is is that if

816
00:27:57,896 --> 00:27:58,146
those were carrying a balance

817
00:28:00,098 --> 00:28:00,348
and yes we went ahead and paid

818
00:28:01,599 --> 00:28:01,849
them down. we're not seeing

819
00:28:02,367 --> 00:28:02,617
where it come out of the trust

820
00:28:03,835 --> 00:28:04,085
fund. it may have had some

821
00:28:05,603 --> 00:28:05,853
balances and we used them to pay

822
00:28:07,605 --> 00:28:07,855
so we've actually spent more so

823
00:28:09,641 --> 00:28:09,891
that's all I was after but I

824
00:28:11,376 --> 00:28:11,626
agree with your thought process

825
00:28:12,143 --> 00:28:12,393
as long as we do that from now

826
00:28:12,844 --> 00:28:13,094
and all the way in the future

827
00:28:16,081 --> 00:28:16,331
that we don't start maintaining

828
00:28:18,049 --> 00:28:18,299
balances in them then yes I

829
00:28:20,085 --> 00:28:20,335
would rather do that it's since

830
00:28:21,820 --> 00:28:22,070
I've been secretary that's been

831
00:28:23,855 --> 00:28:24,105
my approach. OK? and again and

832
00:28:25,623 --> 00:28:25,873
the next question for you

833
00:28:27,625 --> 00:28:27,875
Mr.hudson I already you and I've

834
00:28:29,360 --> 00:28:29,610
already discussed this of this

835
00:28:32,063 --> 00:28:32,313
200 million, you know what my

836
00:28:33,598 --> 00:28:33,848
understanding was is that we

837
00:28:35,600 --> 00:28:35,850
think that it is going to be

838
00:28:37,335 --> 00:28:37,585
used by the end of the calendar

839
00:28:38,036 --> 00:28:38,286
year or maybe

840
00:28:40,372 --> 00:28:40,622
just a little bit after is what

841
00:28:43,875 --> 00:28:44,125
we discussed we will use the 200

842
00:28:47,345 --> 00:28:47,595
million in this fiscal year and

843
00:28:49,581 --> 00:28:49,831
it it will get us into you know

844
00:28:50,281 --> 00:28:50,531
calendar year you know,2027.

845
00:28:53,618 --> 00:28:53,868
I can't really give you a date

846
00:28:55,353 --> 00:28:55,603
at this point but you know it

847
00:28:56,154 --> 00:28:56,404
will be it will not get us to

848
00:28:57,355 --> 00:28:57,605
the end of the fiscal year let

849
00:28:59,391 --> 00:28:59,641
me say that well the other day

850
00:29:01,860 --> 00:29:02,110
or two days ago it was my

851
00:29:03,361 --> 00:29:03,611
understanding that we're we're

852
00:29:03,995 --> 00:29:04,245
fully talking about calendar

853
00:29:05,497 --> 00:29:05,747
year that we think we're going

854
00:29:06,164 --> 00:29:06,414
to spend this $200 million

855
00:29:09,567 --> 00:29:09,817
in this calendar year. or or

856
00:29:11,336 --> 00:29:11,586
maybe into January so that's

857
00:29:12,036 --> 00:29:12,286
that I think again what I just

858
00:29:13,805 --> 00:29:14,055
said is that I think it will get

859
00:29:16,040 --> 00:29:16,290
us into early 2027. I can't tell

860
00:29:18,076 --> 00:29:18,326
you what the exact exact date is

861
00:29:19,811 --> 00:29:20,061
don't expect you and I can't

862
00:29:20,412 --> 00:29:20,662
tell you what the exact need

863
00:29:22,080 --> 00:29:22,330
would be beyond that

864
00:29:23,615 --> 00:29:23,865
but that was my next question

865
00:29:25,817 --> 00:29:26,067
I guess that's my next question

866
00:29:27,852 --> 00:29:28,102
then. so we're not going to have

867
00:29:29,854 --> 00:29:30,104
very much money left in the in

868
00:29:31,389 --> 00:29:31,639
the trust fund we're gonna

869
00:29:33,625 --> 00:29:33,875
pretty much have used up the the

870
00:29:34,292 --> 00:29:34,542
200 million right here

871
00:29:38,129 --> 00:29:38,379
so we have to anticipate that

872
00:29:39,631 --> 00:29:39,881
we're going to have the rest of

873
00:29:41,866 --> 00:29:42,116
the fiscal year which you

874
00:29:43,568 --> 00:29:43,818
know, ends June30th.

875
00:29:44,035 --> 00:29:44,285
so

876
00:29:47,338 --> 00:29:47,588
what what all are you going to

877
00:29:48,373 --> 00:29:48,623
be asking for you think to

878
00:29:49,874 --> 00:29:50,124
finish out that fiscal yeargain

879
00:29:51,876 --> 00:29:52,126
I I think as you already noted

880
00:29:53,511 --> 00:29:53,761
we're going to go into the

881
00:29:54,078 --> 00:29:54,328
budget hearings next month

882
00:29:57,315 --> 00:29:57,565
the governor's going to present

883
00:29:59,317 --> 00:29:59,567
her balanced budget in November.

884
00:30:00,051 --> 00:30:00,301
you know, I think when she

885
00:30:01,886 --> 00:30:02,136
presents that she'll address all

886
00:30:03,588 --> 00:30:03,838
the needs that are required you

887
00:30:04,289 --> 00:30:04,539
know to be able to fund state

888
00:30:05,590 --> 00:30:05,840
programs. I'm not going to get

889
00:30:07,592 --> 00:30:07,842
ahead of her on that. My

890
00:30:08,126 --> 00:30:08,376
commitment though is this

891
00:30:11,362 --> 00:30:11,612
I think there are three things

892
00:30:12,096 --> 00:30:12,346
that we have to be looking at

893
00:30:14,065 --> 00:30:14,315
one we need to make sure that

894
00:30:15,600 --> 00:30:15,850
medicaid is adequately funded

895
00:30:17,569 --> 00:30:17,819
for its current operational

896
00:30:19,571 --> 00:30:19,821
obligations to get us through

897
00:30:21,573 --> 00:30:21,823
the fiscal year. I think we have

898
00:30:23,341 --> 00:30:23,591
to look at what are the

899
00:30:25,343 --> 00:30:25,593
recurring revenue needs in

900
00:30:27,312 --> 00:30:27,562
medicaid there are some that we

901
00:30:28,046 --> 00:30:28,296
need to address in the fy 28

902
00:30:29,848 --> 00:30:30,098
budget and then thirdly we need

903
00:30:31,349 --> 00:30:31,599
to look at the trust fund and

904
00:30:33,384 --> 00:30:33,634
make sure the trust fund is

905
00:30:35,353 --> 00:30:35,603
adequately capitalized to deal

906
00:30:37,355 --> 00:30:37,605
with any you know, surprises

907
00:30:37,989 --> 00:30:38,239
that occur in the future. Those

908
00:30:38,656 --> 00:30:38,906
three things I think are things

909
00:30:41,593 --> 00:30:41,843
that we need to be focused on as

910
00:30:44,062 --> 00:30:44,312
we get into budget today we're

911
00:30:45,363 --> 00:30:45,613
talking about the 200 million

912
00:30:47,632 --> 00:30:47,882
that will is the immediate need

913
00:30:48,333 --> 00:30:48,583
but those other things need to

914
00:30:49,801 --> 00:30:50,051
get talked about too at the

915
00:30:51,336 --> 00:30:51,586
right time. I just can't speak

916
00:30:52,036 --> 00:30:52,286
to the particulars at this

917
00:30:53,838 --> 00:30:54,088
stage. OK I just know that we're

918
00:30:55,573 --> 00:30:55,823
gonna have to address it though

919
00:30:56,274 --> 00:30:56,524
since we're not towards the end

920
00:30:58,042 --> 00:30:58,292
of the fiscal year so I I'll

921
00:30:59,344 --> 00:30:59,594
quit asking my questions and

922
00:31:00,078 --> 00:31:00,328
just kind of say this

923
00:31:03,581 --> 00:31:03,831
and and I think this is what you

924
00:31:05,850 --> 00:31:06,100
said but I want to make sure. so

925
00:31:07,619 --> 00:31:07,869
it's going to be our intent of

926
00:31:08,286 --> 00:31:08,536
course the way that we've been

927
00:31:08,953 --> 00:31:09,203
doing this with

928
00:31:12,090 --> 00:31:12,340
this by taking out these

929
00:31:14,092 --> 00:31:14,342
restricted reserves and whatever

930
00:31:16,094 --> 00:31:16,344
has been in the trust fund of

931
00:31:17,695 --> 00:31:17,945
course that hasn't run through

932
00:31:18,396 --> 00:31:18,646
RSa or our budget

933
00:31:21,633 --> 00:31:21,883
so the thing is is it's really

934
00:31:22,267 --> 00:31:22,517
not a true p picture out there

935
00:31:23,868 --> 00:31:24,118
of the public because you know

936
00:31:25,570 --> 00:31:25,820
whenever we say that state

937
00:31:27,839 --> 00:31:28,089
government's only grown x%

938
00:31:30,108 --> 00:31:30,358
actually it's more because this

939
00:31:30,842 --> 00:31:31,092
stuff for recurring

940
00:31:33,845 --> 00:31:34,095
expenses and I think we're all

941
00:31:36,047 --> 00:31:36,297
gonna say that medicaid is

942
00:31:37,582 --> 00:31:37,832
recurring

943
00:31:37,882 --> 00:31:38,132
so

944
00:31:41,352 --> 00:31:41,602
is it going to be our intent to

945
00:31:42,153 --> 00:31:42,403
try to get a very true pitcher

946
00:31:43,988 --> 00:31:44,238
during budget hearings

947
00:31:47,392 --> 00:31:47,642
to make sure that we're totally

948
00:31:49,494 --> 00:31:49,744
running all of this in RSA into

949
00:31:50,161 --> 00:31:50,411
the future

950
00:31:52,130 --> 00:31:52,380
And I under and I heard what you

951
00:31:53,464 --> 00:31:53,714
said about the trust fund

952
00:31:56,067 --> 00:31:56,317
but that would just be for

953
00:31:57,936 --> 00:31:58,186
surprises so this time next year

954
00:32:01,339 --> 00:32:01,589
we're not sitting here and

955
00:32:02,106 --> 00:32:02,356
saying well we've used all that

956
00:32:02,774 --> 00:32:03,024
up

957
00:32:05,610 --> 00:32:05,860
we put extra money into the

958
00:32:06,177 --> 00:32:06,427
trust fund at

959
00:32:08,046 --> 00:32:08,296
I think you and I are thinking

960
00:32:11,316 --> 00:32:11,566
$250 to300 million I don't know

961
00:32:11,950 --> 00:32:12,200
what everybody else here is

962
00:32:13,851 --> 00:32:14,101
thinking, but we're still

963
00:32:15,653 --> 00:32:15,903
thinking that our goal is is

964
00:32:17,655 --> 00:32:17,905
just to maintain that running

965
00:32:19,624 --> 00:32:19,874
balance of that 300 in there at

966
00:32:21,626 --> 00:32:21,876
all times and not and not put

967
00:32:23,861 --> 00:32:24,111
any more money in if we can. I

968
00:32:24,495 --> 00:32:24,745
think we ought to strive for a

969
00:32:27,398 --> 00:32:27,648
stable balance in the trust fund

970
00:32:28,099 --> 00:32:28,349
that it would have some

971
00:32:29,867 --> 00:32:30,117
oscillations in it but largely a

972
00:32:31,603 --> 00:32:31,853
stable balance that's that's

973
00:32:33,338 --> 00:32:33,588
something I'd love to see us be

974
00:32:35,640 --> 00:32:35,890
able to do it but I do want to

975
00:32:36,307 --> 00:32:36,557
challenge the premise

976
00:32:36,874 --> 00:32:37,124
respectfully

977
00:32:40,078 --> 00:32:40,328
now seriously because I mean

978
00:32:41,579 --> 00:32:41,829
this this is this is a good

979
00:32:42,213 --> 00:32:42,463
conversation it's a serious

980
00:32:45,350 --> 00:32:45,600
conversation but the the the

981
00:32:45,984 --> 00:32:46,234
idea that 100%

982
00:32:48,052 --> 00:32:48,302
of the state's share

983
00:32:51,589 --> 00:32:51,839
for medicaid should be in the

984
00:32:53,691 --> 00:32:53,941
RSA would be a novel proposition

985
00:32:56,127 --> 00:32:56,377
because I look back 10 years in

986
00:32:59,764 --> 00:33:00,014
the past 10 years not a single

987
00:33:00,398 --> 00:33:00,648
year

988
00:33:04,068 --> 00:33:04,318
have we put 100% of the state's

989
00:33:07,372 --> 00:33:07,622
share in the RSA and if we were

990
00:33:09,340 --> 00:33:09,590
to do that and we had a very hot

991
00:33:10,108 --> 00:33:10,358
year, I mean it's a hot year in

992
00:33:12,110 --> 00:33:12,360
general temperature wise but it

993
00:33:13,611 --> 00:33:13,861
was really a hot year for

994
00:33:17,315 --> 00:33:17,565
Medicaid for F-26 and the spend

995
00:33:18,349 --> 00:33:18,599
increased400 million. we really

996
00:33:20,151 --> 00:33:20,401
are talking about from a cash

997
00:33:21,886 --> 00:33:22,136
flow perspective more of an

998
00:33:23,921 --> 00:33:24,171
expenditure issue then we're

999
00:33:24,589 --> 00:33:24,839
talking about a revenue issue

1000
00:33:29,661 --> 00:33:29,911
40 $0 million in 19% increase in

1001
00:33:31,596 --> 00:33:31,846
one year the previous three

1002
00:33:32,363 --> 00:33:32,613
years combined4%.

1003
00:33:37,635 --> 00:33:37,885
so we shed a lot of cash in that

1004
00:33:39,370 --> 00:33:39,620
one year. Now if I would have

1005
00:33:40,104 --> 00:33:40,354
come to you when we were doing

1006
00:33:42,106 --> 00:33:42,356
budget hearings for Fy26 and I

1007
00:33:44,108 --> 00:33:44,358
would say to you you know

1008
00:33:45,843 --> 00:33:46,093
there's a chance we may need400

1009
00:33:47,879 --> 00:33:48,129
million dollars for the state's

1010
00:33:50,114 --> 00:33:50,364
share. let's increase DHS's

1011
00:33:51,716 --> 00:33:51,966
budget by400 million dollars. I

1012
00:33:53,718 --> 00:33:53,968
y'all would have thrown things

1013
00:33:54,385 --> 00:33:54,635
at me

1014
00:33:56,320 --> 00:33:56,570
I don't, I just don't think that

1015
00:33:59,857 --> 00:34:00,107
we can really view what is a $10

1016
00:34:02,093 --> 00:34:02,343
billion insurance company as

1017
00:34:04,095 --> 00:34:04,345
something that we fund 100%

1018
00:34:05,863 --> 00:34:06,113
through ourA we've never done

1019
00:34:08,099 --> 00:34:08,349
that we don't do that with Ebd

1020
00:34:09,634 --> 00:34:09,884
we don't do that with retirement

1021
00:34:11,636 --> 00:34:11,886
plans there needs to be a

1022
00:34:13,638 --> 00:34:13,888
component to this that is

1023
00:34:15,606 --> 00:34:15,856
recurring revenue in please hear

1024
00:34:17,608 --> 00:34:17,858
me be in agreement with you that

1025
00:34:19,877 --> 00:34:20,127
we do need to look at increasing

1026
00:34:21,846 --> 00:34:22,096
the recurring revenue to

1027
00:34:23,648 --> 00:34:23,898
medicaid. there needs to be a

1028
00:34:24,315 --> 00:34:24,565
piece of it as well that

1029
00:34:26,117 --> 00:34:26,367
is just in reserves and we have

1030
00:34:27,852 --> 00:34:28,102
to have adequate reserves to

1031
00:34:29,854 --> 00:34:30,104
deal with that too the

1032
00:34:31,355 --> 00:34:31,605
conversation as to the relative

1033
00:34:32,056 --> 00:34:32,306
mix of that I think is

1034
00:34:34,125 --> 00:34:34,375
appropriate for budget there's

1035
00:34:35,593 --> 00:34:35,843
another category we haven't

1036
00:34:36,227 --> 00:34:36,477
talked about it is the expense

1037
00:34:36,894 --> 00:34:37,144
side

1038
00:34:39,397 --> 00:34:39,647
and I said that two or three

1039
00:34:40,098 --> 00:34:40,348
times during during fiscal

1040
00:34:43,568 --> 00:34:43,818
session this cannot just be a

1041
00:34:45,570 --> 00:34:45,820
conversation about revenue it

1042
00:34:46,237 --> 00:34:46,487
needs to be a conversation about

1043
00:34:48,272 --> 00:34:48,522
our expenses as well just one

1044
00:34:49,640 --> 00:34:49,890
more comment I know we've got to

1045
00:34:50,308 --> 00:34:50,558
go

1046
00:34:53,344 --> 00:34:53,594
that's your analogy of that's

1047
00:34:54,045 --> 00:34:54,295
fine but this is what I'll say

1048
00:34:56,080 --> 00:34:56,330
and maybe it requires

1049
00:34:59,350 --> 00:34:59,600
legislation and and and DHS

1050
00:35:00,051 --> 00:35:00,301
you're not the only one we can

1051
00:35:01,586 --> 00:35:01,836
sit here and talk about the

1052
00:35:03,387 --> 00:35:03,637
freedomccos because if we take

1053
00:35:04,088 --> 00:35:04,338
those out of restricted reserve

1054
00:35:05,623 --> 00:35:05,873
and it appears that they're

1055
00:35:08,092 --> 00:35:08,342
going to be recurring those

1056
00:35:11,329 --> 00:35:11,579
those also are making it

1057
00:35:12,130 --> 00:35:12,380
whenever we say state government

1058
00:35:13,498 --> 00:35:13,748
hasn't grown as much that it

1059
00:35:14,165 --> 00:35:14,415
really has.

1060
00:35:16,100 --> 00:35:16,350
so maybe it's something that we

1061
00:35:17,568 --> 00:35:17,818
need to look at as this

1062
00:35:19,570 --> 00:35:19,820
legislature that if there are

1063
00:35:21,806 --> 00:35:22,056
things like that and like the

1064
00:35:23,808 --> 00:35:24,058
trust fund that if we are taking

1065
00:35:25,343 --> 00:35:25,593
things out of restricted reserve

1066
00:35:26,110 --> 00:35:26,360
for what we all know is

1067
00:35:31,349 --> 00:35:31,599
recurring stuff that whenever we

1068
00:35:33,351 --> 00:35:33,601
report those numbers out there

1069
00:35:35,586 --> 00:35:35,836
to the public about how much

1070
00:35:36,320 --> 00:35:36,570
state government's grown that we

1071
00:35:38,122 --> 00:35:38,372
need to include those. I think

1072
00:35:39,624 --> 00:35:39,874
that's the most fair and

1073
00:35:42,160 --> 00:35:42,410
transparent way, because we

1074
00:35:45,329 --> 00:35:45,579
all know that it should be an

1075
00:35:46,130 --> 00:35:46,380
RSA but maybe there are certain

1076
00:35:47,899 --> 00:35:48,149
times but at least we need to

1077
00:35:49,600 --> 00:35:49,850
report that and put that

1078
00:35:50,268 --> 00:35:50,518
percentage in there that that

1079
00:35:50,902 --> 00:35:51,152
took it up another

1080
00:35:54,205 --> 00:35:54,455
whatever it whatever it does so

1081
00:35:54,872 --> 00:35:55,122
anyway thank you sir

1082
00:35:57,842 --> 00:35:58,092
thank you senator thank you

1083
00:35:59,577 --> 00:35:59,827
senator members we've got about4

1084
00:36:01,345 --> 00:36:01,595
members in the queue. I would

1085
00:36:01,979 --> 00:36:02,229
like to remind you that the

1086
00:36:03,848 --> 00:36:04,098
question we're really debating

1087
00:36:05,383 --> 00:36:05,633
today is the transfer of this

1088
00:36:07,485 --> 00:36:07,735
200 million so Senator Flippo

1089
00:36:08,186 --> 00:36:08,436
you're recognized

1090
00:36:11,355 --> 00:36:11,605
thank you Mr. Chairman and if

1091
00:36:13,357 --> 00:36:13,607
you'll forgive my informalities

1092
00:36:14,125 --> 00:36:14,375
Jim Janet you know I like you

1093
00:36:15,593 --> 00:36:15,843
guys you've always been very

1094
00:36:17,361 --> 00:36:17,611
honest with me. I'm not nearly

1095
00:36:18,095 --> 00:36:18,345
as smart as ent hickey but I'm a

1096
00:36:19,864 --> 00:36:20,114
little bit more in line with

1097
00:36:23,334 --> 00:36:23,584
brevity so I'll get to it on

1098
00:36:25,870 --> 00:36:26,120
a scale of 1 to10,10 being the

1099
00:36:28,372 --> 00:36:28,622
most healthy how healthy is our

1100
00:36:29,006 --> 00:36:29,256
Medicaid trust fund currently?

1101
00:36:33,044 --> 00:36:33,294
you know our medicaid trust fund

1102
00:36:33,711 --> 00:36:33,961
needs to be plussed up

1103
00:36:37,582 --> 00:36:37,832
it needs to be plussed upive me

1104
00:36:38,316 --> 00:36:38,566
a number to t

1105
00:36:40,151 --> 00:36:40,401
that's going to be in the budget

1106
00:36:41,886 --> 00:36:42,136
process this is the governor's

1107
00:36:44,121 --> 00:36:44,371
budget you know is it healthy?

1108
00:36:44,822 --> 00:36:45,072
Is it sick

1109
00:36:48,059 --> 00:36:48,309
Is it knocking on won't put a

1110
00:36:49,660 --> 00:36:49,910
healthy or sick label on it this

1111
00:36:50,328 --> 00:36:50,578
is math

1112
00:36:51,863 --> 00:36:52,113
right? I think what we have to

1113
00:36:53,898 --> 00:36:54,148
look at is the total resources

1114
00:36:55,633 --> 00:36:55,883
that we have available as a

1115
00:36:56,200 --> 00:36:56,450
state to meet meet our

1116
00:36:59,370 --> 00:36:59,620
obligations and we have adequate

1117
00:37:00,037 --> 00:37:00,287
more than adequate resources to

1118
00:37:00,671 --> 00:37:00,921
be able to do that

1119
00:37:02,406 --> 00:37:02,656
I'll take that as a4 or5.

1120
00:37:10,147 --> 00:37:10,397
Senatoreyton, you're recognized

1121
00:37:11,916 --> 00:37:12,166
thank you Mririr

1122
00:37:16,153 --> 00:37:16,403
Mrhudson I hope I can articulate

1123
00:37:16,854 --> 00:37:17,104
this well but

1124
00:37:19,757 --> 00:37:20,007
I think I heard you say

1125
00:37:22,260 --> 00:37:22,510
that we knew this was coming

1126
00:37:27,598 --> 00:37:27,848
and planned on pulling it rather

1127
00:37:28,266 --> 00:37:28,516
than including it in the budget

1128
00:37:32,303 --> 00:37:32,553
so in regards to the two00

1129
00:37:33,471 --> 00:37:33,721
million dollars transfer

1130
00:37:37,608 --> 00:37:37,858
is that something that we knew

1131
00:37:39,477 --> 00:37:39,727
was coming and just decided to

1132
00:37:43,481 --> 00:37:43,731
not mention it during the budget

1133
00:37:44,148 --> 00:37:44,398
process

1134
00:37:47,351 --> 00:37:47,601
that sorry senator that's not

1135
00:37:49,620 --> 00:37:49,870
accurate. We we actually had the

1136
00:37:51,822 --> 00:37:52,072
$200 million you know approved

1137
00:37:53,824 --> 00:37:54,074
in the budget process we talked

1138
00:37:55,860 --> 00:37:56,110
about the $200 million during

1139
00:37:57,595 --> 00:37:57,845
fiscal session that there would

1140
00:37:59,397 --> 00:37:59,647
be a need and I said at the

1141
00:38:01,599 --> 00:38:01,849
table multiple times there would

1142
00:38:03,601 --> 00:38:03,851
be a need to infuse cash in

1143
00:38:05,803 --> 00:38:06,053
medicaid in this fiscal year.

1144
00:38:07,605 --> 00:38:07,855
Now what I will say is different

1145
00:38:09,840 --> 00:38:10,090
is they actually ran as I said

1146
00:38:11,342 --> 00:38:11,592
earlier they ran a little hotter

1147
00:38:13,377 --> 00:38:13,627
in terms of their expenses and

1148
00:38:13,978 --> 00:38:14,228
so they had a tremendous

1149
00:38:15,913 --> 00:38:16,163
amount of expense that we do not

1150
00:38:16,580 --> 00:38:16,830
foresee

1151
00:38:19,684 --> 00:38:19,934
for fy 26 that is part of the

1152
00:38:20,351 --> 00:38:20,601
issue that we have going on here

1153
00:38:23,354 --> 00:38:23,604
so when you talk about looking

1154
00:38:24,188 --> 00:38:24,438
back for 10 years and that

1155
00:38:28,125 --> 00:38:28,375
we have depended on the trust

1156
00:38:28,759 --> 00:38:29,009
fund

1157
00:38:32,129 --> 00:38:32,379
or other means rather than

1158
00:38:33,497 --> 00:38:33,747
include in RSA

1159
00:38:37,335 --> 00:38:37,585
that's it's a mixture of both

1160
00:38:39,603 --> 00:38:39,853
sir it's it's both you know they

1161
00:38:40,338 --> 00:38:40,588
get 1.8

1162
00:38:42,340 --> 00:38:42,590
billion roughly let me get my

1163
00:38:43,007 --> 00:38:43,257
question out

1164
00:38:45,643 --> 00:38:45,893
so the question I've got

1165
00:38:49,714 --> 00:38:49,964
is whether or not those upcoming

1166
00:38:51,615 --> 00:38:51,865
transfers

1167
00:38:53,985 --> 00:38:54,235
are known or unknown

1168
00:38:57,822 --> 00:38:58,072
during the RsA and budget

1169
00:39:01,826 --> 00:39:02,076
process I mean if if we're if we

1170
00:39:03,594 --> 00:39:03,844
hold money and reserve and trust

1171
00:39:06,097 --> 00:39:06,347
accounts that's smart expecting

1172
00:39:07,598 --> 00:39:07,848
that there's something's gonna

1173
00:39:09,567 --> 00:39:09,817
happen and we're gonna need that

1174
00:39:10,267 --> 00:39:10,517
money or we might need extra

1175
00:39:10,935 --> 00:39:11,185
money

1176
00:39:13,904 --> 00:39:14,154
but if we know that there's an

1177
00:39:14,572 --> 00:39:14,822
expense coming

1178
00:39:16,207 --> 00:39:16,457
and we're ignoring that in Rsa

1179
00:39:19,643 --> 00:39:19,893
and not including it in the

1180
00:39:20,211 --> 00:39:20,461
budget

1181
00:39:23,581 --> 00:39:23,831
then I think we need to take a

1182
00:39:25,616 --> 00:39:25,866
real close look at that practice

1183
00:39:28,052 --> 00:39:28,302
that's all and I think that if

1184
00:39:29,820 --> 00:39:30,070
if we would know exactly what

1185
00:39:30,488 --> 00:39:30,738
our claims experience was going

1186
00:39:31,122 --> 00:39:31,372
to be

1187
00:39:33,858 --> 00:39:34,108
and we could plan that like if

1188
00:39:35,626 --> 00:39:35,876
we're buying staples or or paper

1189
00:39:37,895 --> 00:39:38,145
clips it would be much easier

1190
00:39:39,497 --> 00:39:39,747
but we don't know until after

1191
00:39:40,197 --> 00:39:40,447
the fact

1192
00:39:43,334 --> 00:39:43,584
you know what the claims are you

1193
00:39:44,068 --> 00:39:44,318
know what the acuity of the

1194
00:39:46,037 --> 00:39:46,287
claims are the number of claims

1195
00:39:48,105 --> 00:39:48,355
you know we have trends but the

1196
00:39:51,342 --> 00:39:51,592
recent trends did not point to

1197
00:39:52,343 --> 00:39:52,593
a400 million dollars increase

1198
00:39:56,080 --> 00:39:56,330
for fy 26 so you're saying

1199
00:39:57,615 --> 00:39:57,865
mostly this was kind of

1200
00:39:58,149 --> 00:39:58,399
unexpected

1201
00:40:00,117 --> 00:40:00,367
in terms of the claim side of it

1202
00:40:01,619 --> 00:40:01,869
there was a little bit of drop

1203
00:40:03,354 --> 00:40:03,604
off in revenue from the FM map

1204
00:40:04,388 --> 00:40:04,638
rate changing the federal F

1205
00:40:06,123 --> 00:40:06,373
mapping rate changing but that's

1206
00:40:07,892 --> 00:40:08,142
not the bulk of it the bulk of

1207
00:40:09,860 --> 00:40:10,110
it is we we had an unfavorable

1208
00:40:11,629 --> 00:40:11,879
year in terms of experience Well

1209
00:40:13,364 --> 00:40:13,614
thank you I I may have

1210
00:40:14,131 --> 00:40:14,381
misunderstood what you stated

1211
00:40:16,100 --> 00:40:16,350
earlier but I appreciate you

1212
00:40:17,601 --> 00:40:17,851
saying you was probably a poor

1213
00:40:19,370 --> 00:40:19,620
communicator sir. so I'll just

1214
00:40:20,137 --> 00:40:20,387
take the the responsibility for

1215
00:40:21,839 --> 00:40:22,089
that. right thank yousenator we

1216
00:40:23,574 --> 00:40:23,824
have one last remaining question

1217
00:40:24,308 --> 00:40:24,558
and I'm going to give this to

1218
00:40:25,342 --> 00:40:25,592
Representative wooten if you

1219
00:40:25,943 --> 00:40:26,193
would please keep your remarks

1220
00:40:29,613 --> 00:40:29,863
based on this $200 million

1221
00:40:30,214 --> 00:40:30,464
transfer we're talking about to

1222
00:40:31,816 --> 00:40:32,066
the Medicaidrustund if you would

1223
00:40:33,617 --> 00:40:33,867
please sir you're recognized

1224
00:40:35,820 --> 00:40:36,070
thank you Mr Chairman and I'll

1225
00:40:36,487 --> 00:40:36,737
maintain that advice

1226
00:40:42,092 --> 00:40:42,342
did I understand you correctly

1227
00:40:43,627 --> 00:40:43,877
that the 200 million

1228
00:40:45,896 --> 00:40:46,146
will be out of reserve funds

1229
00:40:51,802 --> 00:40:52,052
will you pay that out of reserve

1230
00:40:55,306 --> 00:40:55,556
funds the 200 million is in a

1231
00:40:56,307 --> 00:40:56,557
set aside in restricted reserve

1232
00:40:57,842 --> 00:40:58,092
the general assembly approved

1233
00:40:59,610 --> 00:40:59,860
that during the fiscal session

1234
00:41:01,612 --> 00:41:01,862
this would transfer that money

1235
00:41:03,347 --> 00:41:03,597
to the medicaid program to be

1236
00:41:04,115 --> 00:41:04,365
able to use for their current

1237
00:41:07,351 --> 00:41:07,601
obligations. yes sir. So give us

1238
00:41:08,352 --> 00:41:08,602
the definition of where you're

1239
00:41:09,887 --> 00:41:10,137
occurring. what what what

1240
00:41:13,357 --> 00:41:13,607
reoccurring is that in other

1241
00:41:13,991 --> 00:41:14,241
words it's not in the RSA

1242
00:41:17,661 --> 00:41:17,911
when I said we need to look at

1243
00:41:19,497 --> 00:41:19,747
increasing recurring revenue

1244
00:41:20,231 --> 00:41:20,481
for Medicaid

1245
00:41:23,801 --> 00:41:24,051
that that would be a place to

1246
00:41:27,538 --> 00:41:27,788
put that in RSA for medicaid the

1247
00:41:31,575 --> 00:41:31,825
question I had I have is it's

1248
00:41:33,844 --> 00:41:34,094
not shown in RSA how how much

1249
00:41:35,713 --> 00:41:35,963
money is offsa

1250
00:41:39,617 --> 00:41:39,867
how much money is in there

1251
00:41:41,619 --> 00:41:41,869
that's not not should that we

1252
00:41:43,587 --> 00:41:43,837
actually don't see because I

1253
00:41:46,090 --> 00:41:46,340
asked for a report on money

1254
00:41:46,724 --> 00:41:46,974
outside of RsA

1255
00:41:51,362 --> 00:41:51,612
how how many millions are we

1256
00:41:53,597 --> 00:41:53,847
talking about and and is that

1257
00:41:56,367 --> 00:41:56,617
basically surplus money no sir

1258
00:41:59,336 --> 00:41:59,586
the the bulk of state government

1259
00:42:00,171 --> 00:42:00,421
is funded outside of RSA.

1260
00:42:05,609 --> 00:42:05,859
it is a combination of special

1261
00:42:07,811 --> 00:42:08,061
revenue and federal revenues RSA

1262
00:42:09,847 --> 00:42:10,097
does not fund the majority of

1263
00:42:11,382 --> 00:42:11,632
state expenses and I think you

1264
00:42:13,450 --> 00:42:13,700
know that really but what is the

1265
00:42:14,118 --> 00:42:14,368
total dollar amount

1266
00:42:15,719 --> 00:42:15,969
of what of reoccurring

1267
00:42:20,191 --> 00:42:20,441
in the whole state budget that's

1268
00:42:20,858 --> 00:42:21,108
out of ourS a

1269
00:42:25,496 --> 00:42:25,746
must the total amount of

1270
00:42:26,063 --> 00:42:26,313
expenditures

1271
00:42:31,869 --> 00:42:32,119
667 billion is the RSA budget

1272
00:42:33,637 --> 00:42:33,887
for Fy27

1273
00:42:35,773 --> 00:42:36,023
so

1274
00:42:41,345 --> 00:42:41,595
the 200 million that you're that

1275
00:42:44,081 --> 00:42:44,331
we approved that is not

1276
00:42:47,351 --> 00:42:47,601
considered a part of RSA, ir. if

1277
00:42:49,620 --> 00:42:49,870
you look at the act this general

1278
00:42:50,354 --> 00:42:50,604
assembly passed

1279
00:42:53,357 --> 00:42:53,607
the todddily act is the revenue

1280
00:42:53,991 --> 00:42:54,241
stabilization actct.

1281
00:42:57,361 --> 00:42:57,611
that is where it's at. now is it

1282
00:42:59,897 --> 00:43:00,147
it's not in the RSA allocation

1283
00:43:01,865 --> 00:43:02,115
for Medicaid but this general

1284
00:43:03,334 --> 00:43:03,584
assembly when it approved the

1285
00:43:04,101 --> 00:43:04,351
balanced budget for the state of

1286
00:43:06,337 --> 00:43:06,587
Arkansas approved that $200

1287
00:43:07,638 --> 00:43:07,888
million set aside. Y'all voted

1288
00:43:08,305 --> 00:43:08,555
for that

1289
00:43:09,473 --> 00:43:09,723
it's there

1290
00:43:13,877 --> 00:43:14,127
Well I recognize it's there but

1291
00:43:15,613 --> 00:43:15,863
is it going to be a reoccurring

1292
00:43:19,583 --> 00:43:19,833
expenditure as indicated the

1293
00:43:22,086 --> 00:43:22,336
the the governor will present

1294
00:43:23,654 --> 00:43:23,904
her balanced budget. it's not my

1295
00:43:24,355 --> 00:43:24,605
balanced budget it's her

1296
00:43:26,123 --> 00:43:26,373
balanced budget she will present

1297
00:43:28,158 --> 00:43:28,408
that according to statute in

1298
00:43:30,194 --> 00:43:30,444
November what she's proposing to

1299
00:43:33,664 --> 00:43:33,914
do for all RSa and then that'll

1300
00:43:34,298 --> 00:43:34,548
be you know subject for debate

1301
00:43:34,999 --> 00:43:35,249
obviously as we get into session

1302
00:43:39,336 --> 00:43:39,586
thank you thank

1303
00:43:41,305 --> 00:43:41,555
youpresentativeooten members

1304
00:43:42,072 --> 00:43:42,322
seeing no other questions thank

1305
00:43:42,706 --> 00:43:42,956
you for coming down.ppreciate

1306
00:43:43,374 --> 00:43:43,624
it.

1307
00:43:46,143 --> 00:43:46,393
hang on just a second. Senator

1308
00:43:46,777 --> 00:43:47,027
rice did you have a question

1309
00:43:49,880 --> 00:43:50,130
all right just a second

1310
00:43:59,823 --> 00:44:00,073
Senator rice we have a motion to

1311
00:44:01,759 --> 00:44:02,009
adopt this report do you have a

1312
00:44:02,459 --> 00:44:02,709
substitute motion?

1313
00:44:02,826 --> 00:44:03,076
right

1314
00:44:03,827 --> 00:44:04,077
yeah there you go

1315
00:44:07,865 --> 00:44:08,115
Thank you Mr chairir. I

1316
00:44:09,900 --> 00:44:10,150
appreciate the discussion on the

1317
00:44:11,335 --> 00:44:11,585
medicaid and I think it shows

1318
00:44:12,002 --> 00:44:12,252
budget

1319
00:44:14,171 --> 00:44:14,421
hearings coming up that we've

1320
00:44:15,873 --> 00:44:16,123
got some serious things to talk

1321
00:44:19,610 --> 00:44:19,860
about my request is on the EFA's

1322
00:44:23,647 --> 00:44:23,897
ond2 a lot of people our

1323
00:44:25,616 --> 00:44:25,866
whole goal is to educate kids

1324
00:44:27,618 --> 00:44:27,868
and we want to find the best way

1325
00:44:29,620 --> 00:44:29,870
a lot of concern that we need

1326
00:44:31,922 --> 00:44:32,172
to tap the brakes and come up

1327
00:44:35,626 --> 00:44:35,876
with some parameters so I

1328
00:44:37,928 --> 00:44:38,178
would ask that d2 on the EFAs be

1329
00:44:38,595 --> 00:44:38,845
pulled out for a separate vote

1330
00:44:39,997 --> 00:44:40,247
my motion

1331
00:44:55,612 --> 00:44:55,862
right so the motion is to pull

1332
00:44:57,881 --> 00:44:58,131
out the item d2 for the EFAs for

1333
00:44:59,583 --> 00:44:59,833
a separate vote that we'll also

1334
00:45:01,819 --> 00:45:02,069
include the the adoption of

1335
00:45:03,687 --> 00:45:03,937
the report is that correct

1336
00:45:04,254 --> 00:45:04,504
right

1337
00:45:05,856 --> 00:45:06,106
all right members you've heard

1338
00:45:08,058 --> 00:45:08,308
that motion we have a 2nd 2nd

1339
00:45:10,094 --> 00:45:10,344
all those in favor signify by

1340
00:45:13,397 --> 00:45:13,647
saying aye all those opposed

1341
00:45:15,866 --> 00:45:16,116
knows habitpresentative Wardlaw

1342
00:45:17,601 --> 00:45:17,851
has the original motion to

1343
00:45:19,336 --> 00:45:19,586
approve the entire report

1344
00:45:20,070 --> 00:45:20,320
including the album we just

1345
00:45:21,705 --> 00:45:21,955
mentioned. do you have a second?

1346
00:45:24,108 --> 00:45:24,358
right you have a second in

1347
00:45:25,609 --> 00:45:25,859
discussion seeing none all those

1348
00:45:26,310 --> 00:45:26,560
in favor say aye opposed

1349
00:45:29,880 --> 00:45:30,130
the ayes have it. right. thank

1350
00:45:31,648 --> 00:45:31,898
you members that takes us down

1351
00:45:32,282 --> 00:45:32,532
to item 12. we're going to

1352
00:45:32,916 --> 00:45:33,166
recognize Senator Mcee at this

1353
00:45:33,584 --> 00:45:33,834
time.

1354
00:45:36,120 --> 00:45:36,370
Thank you Mr Chairman. The

1355
00:45:37,855 --> 00:45:38,105
revenue subcommittee met on

1356
00:45:39,623 --> 00:45:39,873
Tuesday and reviewed methods of

1357
00:45:41,392 --> 00:45:41,642
finance alternative delivery

1358
00:45:42,126 --> 00:45:42,376
method procurements

1359
00:45:43,861 --> 00:45:44,111
discretionary grants one

1360
00:45:46,296 --> 00:45:46,546
ratification RfQ approvals

1361
00:45:48,132 --> 00:45:48,382
service contracts and received

1362
00:45:50,167 --> 00:45:50,417
reports all items were reviewed.

1363
00:45:51,468 --> 00:45:51,718
I moved the adoption of the

1364
00:45:52,035 --> 00:45:52,285
report

1365
00:45:53,637 --> 00:45:53,887
all right thank you senator

1366
00:45:55,773 --> 00:45:56,023
members any questions on item 12

1367
00:45:59,610 --> 00:45:59,860
seeing none we have a motion we

1368
00:46:01,578 --> 00:46:01,828
have a 2nd 2nd any discussion

1369
00:46:03,580 --> 00:46:03,830
seeing none all those in favor

1370
00:46:04,348 --> 00:46:04,598
say aye oppose the ayes have it

1371
00:46:07,851 --> 00:46:08,101
I'm gonna recognize Senator

1372
00:46:09,319 --> 00:46:09,569
Petty for the state insurance

1373
00:46:10,020 --> 00:46:10,270
programme's report. you

1374
00:46:12,055 --> 00:46:12,305
recognize. Thank you Mr chairir.

1375
00:46:13,357 --> 00:46:13,607
The city insurance programmes

1376
00:46:14,124 --> 00:46:14,374
oversight subcommittee met on

1377
00:46:16,126 --> 00:46:16,376
Wednesday and they reviewed the

1378
00:46:17,861 --> 00:46:18,111
employee benefits division

1379
00:46:19,396 --> 00:46:19,646
contract amendment with Navidus

1380
00:46:21,365 --> 00:46:21,615
Health Solutions Lllc

1381
00:46:22,132 --> 00:46:22,382
subcommittee also heard a

1382
00:46:23,367 --> 00:46:23,617
presentation from Doctor Wayne

1383
00:46:25,335 --> 00:46:25,585
Weingarten with Pacific Research

1384
00:46:27,471 --> 00:46:27,721
Institute. I may I move for

1385
00:46:28,005 --> 00:46:28,255
adoption of this report.

1386
00:46:30,007 --> 00:46:30,257
all right members you heard the

1387
00:46:31,842 --> 00:46:32,092
report. many questions?

1388
00:46:33,377 --> 00:46:33,627
seeing none we have a motion.

1389
00:46:33,944 --> 00:46:34,194
Can I get a second? I have a

1390
00:46:35,813 --> 00:46:36,063
second any discussion saying

1391
00:46:37,581 --> 00:46:37,831
none all those in favor say aye

1392
00:46:38,248 --> 00:46:38,498
opposed the ayes have it

1393
00:46:41,351 --> 00:46:41,601
senator Davis you're

1394
00:46:41,952 --> 00:46:42,202
recognized for the personnel

1395
00:46:42,619 --> 00:46:42,869
report

1396
00:46:45,789 --> 00:46:46,039
Mr Chair the personnel

1397
00:46:47,357 --> 00:46:47,607
subcommittee met Wednesday

1398
00:46:48,125 --> 00:46:48,375
September 16th and reviewed the

1399
00:46:49,893 --> 00:46:50,143
request and reports listed as

1400
00:46:51,829 --> 00:46:52,079
items 1 through7 on the

1401
00:46:53,597 --> 00:46:53,847
personnel committee report, I'll

1402
00:46:54,331 --> 00:46:54,581
take any questions and have a

1403
00:46:55,999 --> 00:46:56,249
motion for adoption at the

1404
00:46:56,567 --> 00:46:56,817
proper time.

1405
00:46:59,336 --> 00:46:59,586
all right members you've heard

1406
00:46:59,970 --> 00:47:00,220
the report any questions?

1407
00:47:03,307 --> 00:47:03,557
seeing none we have a motion.

1408
00:47:04,074 --> 00:47:04,324
Can I get a second? we have a

1409
00:47:05,843 --> 00:47:06,093
second. any discussion seeing

1410
00:47:07,611 --> 00:47:07,861
none all those in favor say aye

1411
00:47:09,480 --> 00:47:09,730
opposed the ayes have it members

1412
00:47:10,147 --> 00:47:10,397
if you would please turn

1413
00:47:11,882 --> 00:47:12,132
to page two of your agenda we

1414
00:47:13,350 --> 00:47:13,600
have some review of

1415
00:47:14,084 --> 00:47:14,334
communications there's no action

1416
00:47:16,320 --> 00:47:16,570
to be taken on these so if

1417
00:47:18,121 --> 00:47:18,371
there are no questions on any of

1418
00:47:18,789 --> 00:47:19,039
those items

1419
00:47:22,059 --> 00:47:22,309
I'd like to recognize Senator

1420
00:47:23,460 --> 00:47:23,710
Urvin for a moment.

1421
00:47:27,498 --> 00:47:27,748
you're recognized

1422
00:47:33,337 --> 00:47:33,587
so members a part of the

1423
00:47:35,806 --> 00:47:36,056
executive subcommittee report

1424
00:47:37,341 --> 00:47:37,591
if you look at that report

1425
00:47:39,843 --> 00:47:40,093
attached to that is a resolution

1426
00:47:41,612 --> 00:47:41,862
the resolution was passed to

1427
00:47:43,614 --> 00:47:43,864
executive subcommittee level.

1428
00:47:45,616 --> 00:47:45,866
the resolution has to deal with

1429
00:47:47,851 --> 00:47:48,101
our duck population there was

1430
00:47:49,887 --> 00:47:50,137
a change at the federal level to

1431
00:47:51,855 --> 00:47:52,105
a proposed change to some

1432
00:47:53,624 --> 00:47:53,874
rules at the federal level that

1433
00:47:55,392 --> 00:47:55,642
would have devastated the duck

1434
00:47:57,494 --> 00:47:57,744
population to thanks to the

1435
00:47:58,061 --> 00:47:58,311
good work of

1436
00:47:59,630 --> 00:47:59,880
our director of the Arkansas

1437
00:48:01,365 --> 00:48:01,615
Game and Fish, our game and fish

1438
00:48:02,099 --> 00:48:02,349
commission and I think also the

1439
00:48:04,034 --> 00:48:04,284
governor's office and others

1440
00:48:07,304 --> 00:48:07,554
may have helped in this but

1441
00:48:09,606 --> 00:48:09,856
to basically say no don't change

1442
00:48:10,307 --> 00:48:10,557
the language because it will be

1443
00:48:11,341 --> 00:48:11,591
devastating to the state of

1444
00:48:14,077 --> 00:48:14,327
Arkansas. so this interim of

1445
00:48:16,079 --> 00:48:16,329
this resolution is really our

1446
00:48:17,581 --> 00:48:17,831
opportunity as a legislature to

1447
00:48:19,349 --> 00:48:19,599
also speak to that and be part

1448
00:48:20,050 --> 00:48:20,300
of the public record at the

1449
00:48:21,818 --> 00:48:22,068
federal level so that if these

1450
00:48:23,620 --> 00:48:23,870
changes are considered in the

1451
00:48:25,355 --> 00:48:25,605
future to that federal rule

1452
00:48:27,491 --> 00:48:27,741
change then we are on record as

1453
00:48:28,158 --> 00:48:28,408
to saying that we

1454
00:48:29,826 --> 00:48:30,076
agree with our Arkansas game and

1455
00:48:31,628 --> 00:48:31,878
fish commission and Arkansasame

1456
00:48:33,830 --> 00:48:34,080
andish director that we need

1457
00:48:37,334 --> 00:48:37,584
to keep the rule intact and

1458
00:48:39,303 --> 00:48:39,553
and make sure that conservation

1459
00:48:41,338 --> 00:48:41,588
and our duck population can be

1460
00:48:43,373 --> 00:48:43,623
as strong as possible because

1461
00:48:44,041 --> 00:48:44,291
as you know that's very

1462
00:48:45,642 --> 00:48:45,892
important to the economy of the

1463
00:48:47,811 --> 00:48:48,061
state of Arkansas. so that is a

1464
00:48:49,580 --> 00:48:49,830
that's the purpose of the

1465
00:48:52,049 --> 00:48:52,299
resolution and I can take

1466
00:48:53,650 --> 00:48:53,900
any questions but this was a

1467
00:48:54,251 --> 00:48:54,501
report that came out of our

1468
00:48:55,852 --> 00:48:56,102
subcommittee and I felt like it

1469
00:48:57,487 --> 00:48:57,737
was a good thing for the

1470
00:48:58,055 --> 00:48:58,305
legislature to also speak to

1471
00:48:59,623 --> 00:48:59,873
this and be part of the federal

1472
00:49:01,625 --> 00:49:01,875
public record thank you thank

1473
00:49:03,360 --> 00:49:03,610
you Senator Irvin. Members,

1474
00:49:03,961 --> 00:49:04,211
there is no other business for

1475
00:49:05,495 --> 00:49:05,745
this committee. thank you for

1476
00:49:06,163 --> 00:49:06,413
your participation we are

1477
00:49:06,730 --> 00:49:06,980
adjourned