Arkansas Legislative Council (ALC)
Video
Transcript
26 documents
Machine transcript
May contain errors. Verify important quotations against the official video.
About transcript accuracy
- Source
- SliQ live captions
- Model
- SliQ live ASR
- Processing date
- October 2, 2026
Senator Ben Gilmore
Unverified
1:13
right, I'm gonna ask members to begin taking their seats so we can get started here in just one second. Te this man
to go right good morning. I'm going to call Arkansas legislative
council to order and we are going to begin with a prayer
I believe it is Representative Warren who is going to do that for us sopresentative warren you're recognized please stand for the prayer.
Representative Les Warren
Unverified
1:57
Thank you Mr Chairman. please pray with me our heavenly Father we thank you so much for the time that we get to come together this morning. Father we we thank you that we get to live in such an amazing state father we lift up the leadership of this state we ask for your
divine guidance as we do the business of the state father we also lift up the leadership of this country but we're in unusual times Fa we prayed that you would guide every step that's taken we also ask that you watch over guide and protect those who are serving Father we ask that you be with us today. got everything that we do so that what we do will be pleasing in your sight. We ask all these things in Jesus' name. amen.
Senator Ben Gilmore
Unverified
2:53
Thank you Representative members good morning thank
you for being here we will begin with item C that's the approval of the minutes of
last meeting I will entertain a motion to adopt those have a motion have a second any discussion on those see none all in favor say aye any opposed ayes have it
right Doctorsilva if you would please come item d we'll hear the revenue report please recognize yourself and introduce yourself for the record
Speaker 20
3:25
and you may proceed. Thank you Mr Chairman Carlos Silva, Bureau Legislative research and I'm here to present the February 2026 monthly revenue report as we look into page number one you see a5.36 billion dollars they're collecting gross revenues there's $89 million above the last fiscal year today around 1.7% above last fiscal year today as we start looking to the deductions you're gonna see net collections at4.5 billion dollars that's
up $163.7 million from last fiscal year today from those first eight months of the last fiscal year around3.7% of February 2025 we're gonna look on those first five months as we move into page number 2
Representative Jim Wooten
Unverified
4:09
we'll have here the update of the forecast so the cumulative deviation from DF andA net general revenue available for distribution forecasts so if you look into this line here7.4 million dollars that does not mean they went down from 1 60 to7.4 this is a reset so
originally the the forecast had a sur expected surplus of $185 million now with the updated forecast by the FNA there's an
Speaker 20
4:36
expected surplus of334 million dollars so when you add the 185 to this 160 that's kind of what it is so when you move into February that has been7.4 million dollars above what
Representative Jim Wooten
Unverified
4:47
the the FA expected so things still moving forward with that as we're moving to page number 2 in the page number3 you're gonna
see gross receipts taxx it's gonna say a small decline there on this month at3.5% a portion of this refunds economic development refunds around $10 million so when you take that out that's even to what happened on the last month or last year February 2025 as we move down here on the the other pages you're gonna see a large changes again on driver search fees and things related
Speaker 20
5:22
to driver search fees against that timing issue it's a timing thing you're gonna
see5,066,000% change but just a timing does not mean that anything major
Representative Jim Wooten
Unverified
5:33
going in there as we move into a major discussion here for what is going on this year this month there's some fluctuations in payroll numbers as you guys have seen national level but and when you start look into private data and not only relying on the public data you see that it's a low hiring environment there's some fluctuations but still in a low high environment as we look and trusts around the states that
have provided the monthly revenue for February they seem to be in a similar situation in the state of Arkansas with it slight increase
Speaker 20
6:08
on on the collections or close to what they expected for this month without taking any further questions related
Senator Ben Gilmore
Unverified
6:15
to this report thank you doctorsilva looks like we do have some questions Representative Wooten coming
Representative Jim Wooten
Unverified
6:21
to you you're recognized thank you Mr Chairman doctor in looking at the report one to ask about two things. The
first one I see a lot of minuses in corporate income corporate taxes and then miscellaneous taxes that are down and then the 27% drop in the beverage tax of all the tax collections 19.2% minus while all the minuses is this month is is is is the time that we collected taxes fell differently or is what's the reason
sergeantrupt so yes there's a couple of things that could have happened here right so first of all we look into
Speaker 20
7:07
some of the taxes last few years were higher because they have those tax cuts right so we expected to see that I wanna talk about taxes and then when you look into some of the other collections you're gonna remember
Representative Jim Wooten
Unverified
7:16
that some of those cross sales tax numbers have come into later January right and so then we have the winter storm it it was kind of a large winter storm so we expected to have a small impact there and when you look into some of those specific
categories those are are small numbers but as you look into the overall here you you're not gonna see much of a of a change but when you look through we
Speaker 20
7:42
look into the state as a whole and what we're seeing is is as of right now a positive trend do you
Representative Jim Wooten
Unverified
7:49
think we're do you think that we're moving toward a a to end when we have minuses of like we have on this report and let me preface that by saying if I may Mr Chairman, the
the Iranian war is taking its toll on truckers, farmers and then just the ordinary hardworking citizen of the state out there it's good for sales tax increases with prices going up but do you think it's going to impact us on our income for the state so so that that is a great question 11 of the things that really looking to right now it
is the length of of this conflict right so is this is gonna be a short term or this
Speaker 20
8:36
gonna be a long term and that is really gonna help us understand how that's gonna impact not only the households while the firms in the state of Arkansas if there's any specific scenario that you would like us to look into I'll be happy to talk about because there's a vari of scenarios that could happen a lot of things that could happen between now and then as last meeting we didn't expect this should happen now we we're in a different situation if you have any specific scenario be happy to discuss with you but unfortunate things stand right now I would
Representative Jim Wooten
Unverified
9:06
be speculating what what's gonna happen so I'd rather not
Chair
Unverified
9:11
do that as a staff thank you chairman thank youpresentative right going topresentativeladyman you're recognized thank you Mr
Chairman got a question on page six about the natural gas
severance special fee I get a special fees I think I may have asked you this a couple of months ago but that number's up quite a bit like almost60% for the year
and about 30% for the month quite a bit of difference there but is that a an anomaly or is that what's what's going on there are we producing more natural gas does it have anything to do with like the fayetteville shell or anything the the natural gas one's an interesting one because it depends
Speaker 20
9:54
on how they collect there's some other things that they could take it out so when price changes to have some price fluctuations we're gonna see huge shocks and that's kind of what happened there when we talk about natural gas we're not gonna see a huge increase
because it's a finite resources so to my knowledge from last time I have talking to some of the individuals related to this there's not really a large change on extraction but basically basically it is the change on the as price fluctuates you're gonna have this huge spikes because the way that the taxes are collected are some other things they can deduct the market
fluctuates a lot I know that but but I mean this is over a period of time and60% so that may be a trend that that's
Speaker 20
10:40
why I'm asking. yes sir. so as I said depends on the flo depends on how things are taking it out first I
Speaker 40
10:45
I had some notes before like last few months about the natural gas price I'll be I don't not wanna talk about because I might be wrong here exactly how
Speaker 20
10:54
it has changed but I'll be happy to talk to you afterwards just give me a few minutes here to kind of make
Senator Ben Gilmore
Unverified
10:59
sure I look into my data thank you OK uhpresentative Johnnyy recognized thank
Representative Lee Johnson
Unverified
11:05
you Mr chairir so let me ask you this at this point it it all looks
pretty good but overall can I ask you what is the inflation rate do you think in Arkansas at this point So
Representative Jim Wooten
Unverified
11:21
we we have a few few points right so let's go back to the original conflict talking about right now so how
Speaker 20
11:27
long that's gonna progress it might might be a might be an impact on on inflation right because that's gonna increase that's import for many goods so we're gonna see that in the long term make an impact but it all depends on how long this gonna last and how we
adapt to those changes so as of right now we have you know less than a month of this going on if this progresses then we might expect to see an impact but then again I'll be speculating on how long this is gonna last if there's a specifics and everyone's wants as I said before that would you like me to talk to you about or or discuss I'll be happy to but right now there's many things in the air that I cannot really opine but you know like you say if
Representative Lee Johnson
Unverified
12:08
this continues in which you know this gasoline going up we don't know what's
going to happen with this but like over a period of time it's probably gonna have an effect on this budget wouldn't you think? as your staff I
Speaker 20
12:23
I can give my opinion on that sir I I can talk about what what is out here I can talk about what what some other data source that we're looking to and and other data providers that we talked about but I cannot really give my opinion on what what's gonna happen thank you sir and thank you Mr chair thank youpresentativeppresentative garner
Representative Denise Garner
Unverified
12:45
I've just got a quick question on the the economic development incentives that's also up to page one that's also down334.9% is that are those specific or specific incentives that are down or how how are we measuring that and what is what is it that's down yes ma'am
are you talking about the economic developmentent fun here
Representative Jim Wooten
Unverified
13:06
those big portion of this they create rebates so they'll have new jobs and that changed
Speaker 20
13:12
from year to year we do not
have a detail on exactly what they are that's something we need to talk to to the agents about it but those changing from year to year and
Speaker 46
13:22
a big part of it is that this create rebate for new jobs
Speaker 25
13:28
and things like that great thank you thank you representative thank you doctorsilva seeing no additional questions you're
Senator Ben Gilmore
Unverified
13:34
out of the hot seat right members moving on to F which is the or excuse me E which is the executive committee report
Representative Les D. Eaves
Unverified
13:45
thank you Mr Chairman the executive subcommittee met yesterday and approved a waiver request for cooperative purchasing construction services for the Stuttgart school district. the subcommittee approved two contracts one for the consulting services for the hospital medicaid and developmental disability studies subcommittee related to their ongoing study and one for actuarial services related to oversight of state property insurance issues copies of those contracts are attached to this report in your packets and the subcommittee also approved a motion to approve the use of Blr funds for renovations to committee
room C and Mr Chair I have a motion
Senator Ben Gilmore
Unverified
14:22
at the proper time. let's hear your motion I move adoption of the report. Thank you. I have a motion to have a second. any discussion on the report? see none all in favor sayy aye any post ayes have it thank you moving moving
to item F let's go to item one under F which is the rules representative shepherd you're recognized thank you Mr Chairman. The
Representative Matthew J. Shepherd
Unverified
14:47
administrative rules subcommittee met on March 19,2026 the subcommittee approved one agency request for exclusion from the reporting requirements for rulemaking subcommittee accepted the recommendation of the Arkansas State Library concerning the extension of rules pursuant to Act781 of2017 and Acts65 of2021. the subcommittee received agency updates on outstanding rulemaking from the 2023 regular session and filed agencies's monthly written updates on rulemaking from the 2025 regular session
and all rules were reviewed and approved as noted in the report and I would move adoption
Senator Ben Gilmore
Unverified
15:26
at the appropriate time. All right, I think that is the appropriate time so we have a motion do we have a second? I have a second any discussion on the motion see none all
in favor say aye in your post ayes have it. moving to the claims reportsenator dotson you're recognized
Senator Jim Dotson
Unverified
15:44
thank you Mr Chairman The claimsvie litigation reports oversight committee subcommittee
met on Monday March 16,2026. the subcommittee reviewed 13 litigation reports and one litigation settlement one dismissed claim appealed by the claimants was referred to the joint budgetgetittee's claimsview litigation reports oversight subcommittee the subcommittee affirmed the decision of the claims commission as to all other claims on the agenda. Mister Chair, I move adoption of the report right, I have a motion do I have
Senator Ben Gilmore
Unverified
16:14
a second? I have a second any discussion see none all in favor say aye
any opposed ayes have it thank you senator. All right we're going to move down to item
Senator Missy Irvin
Unverified
16:32
number4 Senator Irvin you're recognized. thank you Mr Chair. The game and fish state police subcommittee met on Tuesday, March 17 at the Joe Hoganish hatchery in Loanoak, Arkansas. The subcommittee received an update from the Arkansas Game and Fish Commission and toured the Joehoganfish hatchery facility I would encourage folks to look up the Arkansas legacylunker
programme and go large mouth bass bass fishing this weekend for an opportunity to win an incredible bass boat. but look up the program so that's my report. I move for adoption of the report at the proper time. right this will be the proper time. Thank you senator.
Senator Ben Gilmore
Unverified
17:11
it sounds like we're doing a fish fry at your house do I have a second on the motion? I have a second in discussion see none on favor say aye any opposed ayes have it
all right number5 higher education subcommittee looks like Senator
Davis you are recognized thank you Mr
Senator Breanne Davis
Unverified
17:33
Chair. The higherducation subcommittee met on Wednesday March 18th. The subcommittee received the annual certification of adequate funds fiscal year 2025 through 26 as required by law. The subcommittee heard testimony on the following items artificial intelligence and education and ministerial and community programs in schools. I move for adoption of the report at the
Senator Ben Gilmore
Unverified
17:57
proper time. right this will be the proper time. I'll take that motion to have a second I have a second
in discussion see none all in favor sayy aye any opposed ayes have it. All
Chair
Unverified
18:11
right, moving to item6 Representative Mcnair you are recognized thank you Mr Chairman. The highway commission review and advisory subcommittee met Monday and heard testimony on the efficiency study recommendations rules for implementation quarterly land conveyances reports infrastructure investment and
jobs actct reports report on annual expenditures of revenues and the report on highway construction projects of 10 $million million or more I move adoption of the report at the proper time proper time I'll
Senator Ben Gilmore
Unverified
18:41
take that motion to have a second. right, I have a seconding discussion on the motion? See none all in favor say aye any opposed ayes have it. right umpresentative Mary Bentley you are recognized for the medicaid subcommittee report. thank you chairman. Hospi
Representative Mary Bentley
Unverified
18:58
Medicaid andvelopment disabilities studyy subcommittee met on February 24th at the central Arkansas Council in Benton. In addition the subcommittee met on March 2nd to discuss a final report provided by the Georgia Center for Opportunity and approved a motion to engageorked consulting. the subcommittee met again on Monday to hear testimony in DHS hospital spending and an update on reimbursement rates under the livingving Chossisted Living waiver and I move for an adoption of the report at the proper time. all right thank youpresentative properper time I'll
Senator Ben Gilmore
Unverified
19:23
take that motion do I have a second? right, I have a second. any
discussion see none all in favor say aye any opposed ayes have it moving to item 10 occupational licensing review Senator Wallace. is Senator Wallace you are recognized the
Senator Dave Wallace
Unverified
19:42
occupational licensing review subcommittee met on Thursday and received reports from various occupational authorization entities inroup one I'll have a motion at the proper time all right let's hear your motion sir. I move
adoption of this report right thank you senator. I have a motion to have a
Senator Ben Gilmore
Unverified
20:00
second. Any discussion see none all in favor sayy aye
aye any opposed ayes have it. Thank you senator uhpresentative
Representative Jeff Wardlaw
Unverified
20:11
Wardlaw on Tuesday March 17th, the subcommittee received reports reviewed requests
and approved the following variations tempora temporary appropriations American rescue plan act appropriations infrastructure investment and Jobs Act appropriation and restricted reserve fund itemutmg1 in a budget classification transfer
of $250,000 for a commissioner of state lands. there was a motion to review this item failed this transfer request was due to the purchase of a building and the existing lease went on for an extra year at 16,000 and change a month. I moved to I moved out to motion to approve this report at the
Senator Ben Gilmore
Unverified
20:50
proper time. properper time I'll take that motion do have a second? have a second any discussion on the motion see none all in favor sayy aye
any opposed ayes have it. thank you Representative Wardlaw. right, moving to the review report, Senator Johnson
Senator Mark Johnson
Unverified
21:12
you're recognized subcommittee met on Tuesday and reviewed the methods of finance one alternative delivery
Speaker 90
21:18
construction project procurement discretionary grants RfQ request, services contracts and received the regular monthly reports instate contract number4 with the Department of Education and6 and7 with the department of
humanman Services were held to legislative council meeting today pending follow up information requeststaff has received information to distributed it to the interested parties. I'll have a motion at the proper time I thank Representative Wardlaw has something he would like to add OK uhpresentative Wardlaw did you have something to
Senator Ben Gilmore
Unverified
21:49
add on this senator Johnson rec do you have something to add on this you're recognized repeatat Senator Johnson
Senator Jim Petty
Unverified
22:04
this is the review report oh yes can I get DHS to the table? I thought he was
Representative Jeff Wardlaw
Unverified
22:18
asking a question on the report I gave. I'm sorry all good He invoked your name so I was gonna give you a chance
Senator Ben Gilmore
Unverified
22:35
if you would recognize yourself and then proceed with questions. Jennifer Bris director of the division ofvelopmental Disability Servi
Speaker 95
22:42
Paulestone, director of the office of Substance Abuse and Mental Health. Hi, good morning Melissa
Speaker 97
22:48
Weatherton director for medicaidpecialtyopulations. and hill director for agging anddultervices you're
Speaker 98
22:52
recognized representatives you gotta love it that you come
Speaker 101
22:57
down on Friday and we're actually going to take
Representative Jeff Wardlaw
Unverified
23:05
a vote that matters and four of them show up because we didn't subcommittee and I think we had one of them but this is great now we had a conversation yesterday Miss Weatherton and and we went through the dollar figures and I just want to iron this out for the committee because I think it's important that we understand where we're at and where we're going these contracts are based on seven year projections and when you look at the total projected amounts you divide that by se and that's what the annual
amount should be and Miss Weatherton I'd like for you to kind of walk us through each one of these labor contracts and where we're projected to run out of money at if my mind serves me right, human developmententer when we're at a six year projection and some of the other ones were fouryear projection on these labor contracts so if you would kind of walk us through that so the
committee can understand where we're at and when we run out of
Speaker 107
24:01
money. absolutelypresentative Wardlaw. So I think the the trickiness with some of these contracts is
some some months we hit some hard and some months we hit others hard which is why we have multiple oncall staffing contracts but I will say for Jay's health center we have 1234. we have5 contracts that he can utilize the paid to date amount across all five of those contracts is roughly7.2 million and our total projected cost for
Speaker 111
24:42
those5 contracts is 28.5 million. Do you want
Speaker 112
24:52
No I would agree I agree with Director Weatherton we're we're not at risk of running out of funding
Speaker 109
25:00
on these contracts work to and then for Miss Stone
Speaker 107
25:04
whoever sees the Arkansas State Hospital. she also has multiple she has4 contracts oncall contracts at the state hospital can utilize when they
need coverage. put paid to date is 10.8 million across these four contracts total projected costs for the seven years on these contracts is43 million. So again on track to not overspend on those seven year figures and then lastly Missria who's over the humanmanvelopmentents she has multiple contracts looks like about
a dozen and across those she has spent today 10.9 million utilizing the on call and the projected total cost for her contracts is over se years is63.7 million. so members you could see the
Representative Jeff Wardlaw
Unverified
25:57
concern here is as we go down the road, the first two entities are on a fouryear expenditure line item and on the humanmanvelopmentents we're at about a5.8 to 6 year mark so I think it's just a very important that we're conscious
of this we talked to them about their hiring practices on Tuesday, Monday and Tuesday and when we had those conversations in two different committees, we were assured that those things would get fixed. there's a written plan that was submitted I think today are going to be submitted today. can you walk us through where we're at on that and how many people OPm would have to hire and they're their OPM's placing these folks on a instant basis which the department's not used to because
of the way the school works and I think
it's important members understand how this stuff plays
Senator Ben Gilmore
Unverified
26:50
out so Miss Weatherton, I'll turn it over to you Mr Chair I appreciate the latitude of course, sir, Miss Weathererden, did
Speaker 107
26:56
you have a response? Yes sir so yes since Tuesday we've done a lot of digging into this right to see exactly what's going on and be prepared to come speak with y'all today we are working on a comprehensive recruitment and retention plan that we hope to be able to put before
you very soon but we did produce some information to BR later yesterday that has some current state figures on that I can walk through. So the human development centers are allocated 1880 budgeted positions as of yesterday when we pulled a position report we had filled 1,712. Thats means that we have 91% of our positions filled at
the HdCs um, which we need that to be much higher. We have 168 vacancies when we pull data from July 1 of 25 through February twentyeth of this year we had onboarded499 staff across the centers but unfortunately we have lost613. so it's some of the discussion that we've been talking about earlier this week of just we're we're losing more than we're bringing in at this moment
also on that is a more granular data showing you how many people are applying forcA positions across the centers how many qualified applicants were able to get conway Conway is seeing great numbers like for example on one CA position we had 195 people apply for it. so we are we are so excited about payy plan is working in conway, they're almost fully staffed with directare and conway and we're in the right direction
where we're struggling is some of the others so we're not seeing those types of applicants at Arkadelphia and we're not seeing them at Boonville and we are struggling for applicants in Jonesbororo. So part of what we're going to take back and be working on with the governor's office is a real thoughtful comprehensive strategy on how we fill those 168 vacancies I think it's going to take several different mechanisms but we that is
Representative Jeff Wardlaw
Unverified
29:23
concerns that needs to play out of this members and understand is what she just said we're 91% in human development centers that's reflective when you look at these contracts because we're at a sixyear expended mark on that one and it's because we're at 91% but when you look at the health center where the percentage is much lower we're at a fouryear projected outspin. so we have to do a better job across the road and across the board and we have to put our
focus bigger than just the human development center when we're pushing for them to hire people on the state payroll to curb these contractual prices the other part of this equation is not at the table today is the VA nursing home. We heard from them earlier this week and they're at70% contract we don't push on them to hire folks and we most definitely should because we're always amending that contract for the VA nursing home to hire more people under contracts we have to do better with the
taxpayers' money and control the way we're spending it on these contracts on these healthcare workers and make sure we're putting these people on a state payroll which is where they genuinely supposed to be. Mr
Chair, I'd remove my hold and I appreciate
Senator Ben Gilmore
Unverified
30:35
the latitude. of coursepresentative thank you for that and thank you for the information this morning OK
I'm going to my cochair and then senator Rice you're next. just a quick question
Representative Les D. Eaves
Unverified
30:44
this is maybe more of a technical question because I hate I don't like how these reports are listed and Representative Wardlaw brought
this up in the subcommittee but if you look at item number4 on the endsta the umbrella
security solutions I don't know if you guys can answer this or not but and and there's several that are like this it says total projected is735,000 but total authorizes 1.1 million. What is that735 based on and I know you this is really not your contract but sometimes yours are the same way where you where you have a lower number as the initial total projected and then a higher
number going on is it based on just an initial thought of what it might be or do you know or can you answer that? I know you're like I said you're not the right department but
Speaker 120
31:35
sometimes yours are the same way we actually discussed this internally with our procurement office. so they set that initial seven year
Speaker 107
31:42
projection based on the first year's cost of what the first year is and they they put the seven year out. so it's my understanding that when we go in and do a amendment if we increase funds
on year two that we go in and increase the seven year
Representative Les D. Eaves
Unverified
31:58
projection as well so that first number is just the first year? Yeah? OK.
Senator Ben Gilmore
Unverified
32:04
thank you. thank you co-chair. right members we've got quite a few in the queue so I'm gonna ask that we be expeditious in the center right you're recognized
Senator Terry Rice
Unverified
32:13
Mr Cha mine is not for these I did express my concerns about HDCs and committee Ttusday but when you get through with this I'll get back into cu mines for something else. thank you senatorpresentative painter you're recognized
Representative Stetson Painter
Unverified
32:27
thank you Mr chairir. I just I got a report last night and I wanna make sure I'm understanding it correctly so as of paid to date for contract nurses alone is 28.9 million. so far to date Yes sirc across all the contracts yes then we're projected to spend $145 million just on contract nursing alone in my understanding that yes that would be if we spent
every single dime for the next seven years that's the number you told VA the other day we need to have a conversation. COVvid's over and we've got to stop just immediately going to contract nursing we are paying5 to10 times more than what we should be and so count me in to have those conversations to work with you guys and let's address that problem. thank you thank you Mr chairir thank youpresentative majorjority Leader beatty sorry. what were you recognizing me thank you Mr chairir. I
Representative Howard M. Beaty, Jr.
Unverified
33:31
I just wanted to extend grace and thanks. I mean y'all came back and provided us with a lot of work on this HDC plan to show exactly what you were working on but I think the key is that this committee and this body and the subcommittee need to be aware of what was going on I do anticipate that it will be a good plan once it's finalized and all parties weigh in and it's presented back to committee do you have a timeline on when we can expect that completed plan to be presented
Speaker 107
34:04
we can, I mean this is a this is a number one priority for Miss Bri down there and so we can work as quickly as you need us to to get that back before you. if you would like to have it by next ALc if you want it earlier
Senator Ben Gilmore
Unverified
34:20
than that would think earlier because June I think would be the next
Speaker 137
34:23
ALllc representative answer that I I just want to be clear when when I asked the question about a
Representative Howard M. Beaty, Jr.
Unverified
34:28
written plan earlier in the week. I didn't put a deadline on it
I just want a good comprehensive plan that's going to address the problems so whatever you bring and whenever you bring it, let's make certain that all parties have weighed in and that is a good plan that takes care of our citizens. So I I don't have a I don't have a a hard line for that. I don't think this body does either. We just want a good plan and something that's gonna work and address the problem so so thank you for the work that you did in the time period of this week. Thank you. thank
Speaker 137
35:01
you Representative beatty p re s ent ative la dy man you're recognized
thank you Mr Chairman. Well thank you all for that information that you
sent out after the meetings this week that was good because we got we got to recognize what the problem is before we can figure out how to fix it and you know we complain we get on to you all a lot but this is a lot of money aspres representative beatty said and we we we really need to fix the problem but I'd like to work in the solutions rather than the complaints
so I know in Jonesboro looking at that report they only had 9 people I think apply and I don't know how many jobs there was open but it was a large amount and you know I know that they're doing everything they got electronic billboard out on the highway. they got a sign in the back and they're they're constantly trying to fill those positions but as we know that's very difficult to do so in the technology or or higher paying jobs there are
organizations that recruit people OK they advertise and I know advertising and recruiting companies are very expensive but we're spending multiple millions of dollars iss it a possibility that we could recruit outside of the areas where we're recruiting now because Boonville as an example people had to move in there maybe to take those jobs so if we're not recruiting other
people in in other areas of southern Arkansas that don't have a job. I mean is there some things that we might be able to look at and I'm not sure these will work I'm just offering this as a as a suggestion to look at advertising employment agencies that might be able to help at a lower cost per person because we've got to think outside the envelope here I think and and anna these are outlandish things to think about but but we're spending tons of money and there's got to be a solution
but I appreciate you all sending that information out it was very good. thank you. thank you Representativeladyman Representative
Representative Matt Brown
Unverified
37:23
Brown you're recognized thank you Mister Chair and I appreciate all the information you've put together and this is no criticism of you, but I have an extreme concern about our veteran's home and if they are at70% of contract labor I don't know how many people in this room have had a
family member at the veterans homeme. I've had two family members there and I know that and even in assisted living whatever the contract labor people do not develop the close relationships with the with the patients they're insensitive because they just don't know the little nuances of each individual because they haven't had time to develop those relationships we have worked on this issue for the eteran's homeme for so
many years and we have a new pay plan I thought that was going to solve that so that we didn't have to have so many contract people there but we've got to solve this problem or we've got to get out of the nursing home business is my opinion thank you
Senator Ben Gilmore
Unverified
38:33
thank youpresentative all right DHS thank you I hope you hear this committee and hear it well there's been a lot of concerns and it looks like
Senator Missy Irvin
Unverified
38:44
we're not done with questions Senator Irvin just have a really quick question what's the number of the contract again? I'm sorry that we're discussing
is there a specific number of that's listed here yes ma'am it was two contracts were held one
Senator Missy Irvin
Unverified
39:08
8. ok so so what's the federal versus state match on these
Speaker 120
39:17
the funding on the contract one So 11 was held for the state hospital. they don't receive
Speaker 107
39:35
you know that's primarily just state general revenue at the at the state hospital unfortunately um, but the one for the Arkansas Health Center is um, highly Medicaid funded. which one is that? What's the federal state
Senator Missy Irvin
Unverified
39:48
match just I just can't find it
Speaker 120
39:51
looks like72 federal 27 state for the Arkansas Health Center contract which is number7. when and so
Senator Missy Irvin
Unverified
40:02
that's consistent if we utilize contract for labor versus on state payroll we still get the same do we still get the same match rate and it's a simple question but I just wanted to make sure that there's not any kind of
like incentive for more federal dollars to pay for it if we used contract versus state employee. there's not it's the same OK that was my question thank you thank you senator so again, I hope you
Senator Ben Gilmore
Unverified
40:31
hear this committee. there's always concerns with DHS and I know that's part of being who you are because you're big and you handle a lot of things but please hear this committee and these members and let's try to address these concerns but thank you for your work thank you for being here.
Senator Terry Rice
Unverified
40:49
Senator Rice I'm coming back to you thank you Mr chairir. I have two requests on E520 was the Department of Public Safety regarding the maintenance for the Kingair state owned aircraft they told me they do a yearly analysis on cost effectiveness for that and then they said they would get get me information on that they have not I am asking
for a hold on that and to go to and if you're saying we're not meeting next month that it go to joint budget committee or hold it till ALc in June if that would be possible it's 142,000 they testified previous years they'd flown like 90 hours he's he's guessing off top of his head and he said much less recently so we've we've discussed this
over the years the cost effectiveness of that aircraft and again they did not supply what they told the committee they would send or told me during the committee they would send me ok and you and you requested that information before this meeting I requested it publicly and they said I went back and watched the video again and they said they would send it to me and again they said they do that every year in analysis on it so they could've sent me the the 2025 data
Senator Ben Gilmore
Unverified
42:23
OK? would you like to have the agency if they're present to come forward and I'm and I'm fine with entertaining
Speaker 157
42:33
a motion to hold this for I'm fine with I'm fine
Senator Ben Gilmore
Unverified
42:36
with that is is the agency here to address these concerns
and as is typical senator you know we typically do not meet Alc during the month of april or or during our
fiscal session so I'm fine if if we want to hold this for joint budget
committee but if we can get the agency in here I'd like to do that well, I do not see anyone. so senator would you like to make a substitute to Senator Johnson's motion to review all these items
Senator Terry Rice
Unverified
43:16
holding those specifically will address another one too
and put them in the same motion I also ask questions regarding the
one time new contract for departments shared services which is E4223.3 million for deloitte it will be they testified it will be on up in 2027 before there'll be any kind of analysis on that I have some concerns I would ask for a separate vote on that so my motion is to hold E520 Department of Public Safety on 142,000 until the joint budget
can take it up and then a separate vote
on E422 on Deloitte. that's my motion
Senator Ben Gilmore
Unverified
44:02
we have a motion do we have a second? have a second I'm I'm coming to questions right now for just discussionent flowers I'm I'm trying to understand
Senator Stephanie Flowers
Unverified
44:13
what is he referring to E4 and E5 on what report this would be the review report senator I'm looking
at the review report review subcommittee F12
Senator Terry Rice
Unverified
44:30
where's what he's talking about Senator Rice, can you the u on E4 or E5 center I'm trying
Senator Stephanie Flowers
Unverified
44:51
to find what report you're referring to'm talking about
Senator Terry Rice
Unverified
44:54
section E of the review committee the E422 ok that would be
Senator Ben Gilmore
Unverified
45:04
in your packet that would be F12 go down to item
Senator Terry Rice
Unverified
45:11
I'm I'm working off the subcommittee
Senator Stephanie Flowers
Unverified
45:15
report. there is no ev for or5 on F12.
Senator Ben Gilmore
Unverified
45:20
I think it's page31 in that packet
Senator Missy Irvin
Unverified
45:31
and which which number on page
Speaker 181
45:34
31 trying to get there 1919 would be the
Senator Ben Gilmore
Unverified
45:42
public safety ones what that is
Senator Terry Rice
Unverified
45:48
is is annual maintenance on the Kingair aircraft which is required if they're going to fly what I had asked was for the analysis which they testified they do every year I ask if they turn that into the
director of public safety they said they did they had that and they
would get me information to look at. they did not do that they did not contact me
Senator Ben Gilmore
Unverified
46:15
and and on that one we're and on that one your motion would be just to hold that one to hold that let your joint budget take it out senator flowers does that answer your question? Well that's
Senator Stephanie Flowers
Unverified
46:27
the what is the other one is the other one Department ofilitary? where's the other
Senator Terry Rice
Unverified
46:39
if somebody can find that in a new packet again it's department sharedervices it is a3.388 million for office of personal manage OPm and utilizing a state contract to purchase implementation services for the SAPes factor performance and goals management compensation management career development planning modules
Senator Ben Gilmore
Unverified
47:09
this is a one time purchase and I think it's on page 22 to in the packet and not
Senator Terry Rice
Unverified
47:18
I'm not asking to hold that I'm just asking for a
separate vote OK? and my co-chair would like to address something Senator rice are you looking at page 22
Representative Les D. Eaves
Unverified
47:26
item 22? in ter flowers does that answer your question yes it
Senator Stephanie Flowers
Unverified
47:40
it and and what what is your issue with this department of shared administrative Services I'm just asking that
Senator Terry Rice
Unverified
47:47
we take a separate vote I expressed concerns in committee for outcome and all I'm just gonna be on record for that and anybody else wants to be they can vote I'm just asking for a separate votes that a
Senator Stephanie Flowers
Unverified
48:04
proposed contract or is that contract already in existence? you'd have to ask staff
is it the staff know if the if the contract is already in existence or is that a proposed contract? do we
Senator Terry Rice
Unverified
48:20
have someone from the it shows to be a one time contract it is
not is not repeat funding it's a one time contract for a new system but is
Senator Stephanie Flowers
Unverified
48:31
it already been executed or is it something that's being proposed you have to get somebody else
Senator Ben Gilmore
Unverified
48:41
so staff is checking we are in discussion period on
Senator Stephanie Flowers
Unverified
48:45
because we have motions it says original term is March 21st2026 go a year to next March'm going to
Senator Ben Gilmore
Unverified
48:52
recognize Director Garrty marty Gerrtyenter flowers this is the
Speaker 200
48:55
new contract it's for integration of the new S4hanna system that's gonna that's going to be replacing the AI system. What I'd like to ask the
Speaker 202
49:04
agency what's wrong with the As system
Senator Stephanie Flowers
Unverified
49:17
and is that contract whatever it is that implements ACs
is that expired or about to expire so senator we're in the discussion
Senator Ben Gilmore
Unverified
49:28
phase on the motion. I cannot bring people to the table to answer these questions
because we have a motion on the table with discussion period we can withdraw motions and then I can bring people to the table to answer questions like what senator Rice
Senator Stephanie Flowers
Unverified
49:50
is motion was for is it to hold it or just to get just just to have a separate vote well if he would withdraw his motion
for just a few minutes so we can have some discussion from the agency about the existing contract or ACces program Iu I will
Senator Terry Rice
Unverified
50:12
amend my motion we can go ahead and do the first part that we hold the
Department of Public Safety aircraft maintenance over to JBCok Senator Davis did you
Senator Ben Gilmore
Unverified
50:33
a motion a substitute motion to hold over but approve all all the other items except for the item that was just stated which was I don't remember the number at
this point the shared services were 22 item 22. right Senator Johnson you're recognized
Speaker 90
51:12
I never made a motion whenever I thought I heard you read the report I did and I said I'd have a motion at the appropriate time so Senatorice
Senator Ben Gilmore
Unverified
51:23
is is is the only motion understood thank you senator. All right so we are voting on Senator Rice's motion OK uhpresentative
Wardlaw do you have something to add to this discussion about a hold coming to you we got a contract
Representative Jeff Wardlaw
Unverified
51:43
fromation department I haven't released yet and if we want to hold that for a couple months I'm fine with it I don't care but if we want to release it then I'd like to work
through it doesn't matter to me but it's not included in any of these motions at the current
Senator Ben Gilmore
Unverified
51:59
moment. then how about we take that motion up separately after we deal with this one are you good with that thank youpresentative we were under the impression that was released we're sorry about that all right Senator Rice would you restate your motion so that
Senator Terry Rice
Unverified
52:13
everyone's clear my motion is to hold number 22 which is the department of
Public Safety142,000 maintenance for the Kingair aircraft until it until the joint budget committeesenator can I think you're speaking if it's the aircraft that's
Senator Ben Gilmore
Unverified
52:32
19. OK19 excuse me in and again what all I asked for was current
Senator Terry Rice
Unverified
52:37
data that they said they would submit so Iu I would ask that that be held OK Senator Irvin you're recognized for a point of order
Senator Missy Irvin
Unverified
52:55
' m trying to understand when you called Senator Rice's
Senator Stephanie Flowers
Unverified
53:00
motion after he restated his motion and with a motion to substitute he just took out the aviation that item 19 but and and you sounds like you were saying everything else will be voted on but what about item 22 this department of shared administrativeervices
and the exchange of aces for some other the contractor looks like the
Senator Ben Gilmore
Unverified
53:36
law I thought I stated it would be everything but that one and we would take that one up separately but I'm I'm happy to I'm happy to do this. If Senator Rice will withdraw that motion we will get your answers to your questions and then we will try to dispense with all of this at one time Senatoric are you amenable to that will yield to the chair and withdraw my
motion thank you Senator Rice all right Senator Flowers, you had questions on 22 Senator Irvin did you have a question thank you perfect. rightent flowers you had a question on 22. I think shared services in the room they will now come to the table thank you thank you
Speaker 215
54:47
would you state your names for the record? barnhill state personnel
Speaker 25
54:53
directorull that mic a little closer please barnhill go ahead No
Senator Stephanie Flowers
Unverified
55:02
Cape barnhill Jim Hudson secretary of DFfa. Leslie Fiskin, Secretary
Speaker 219
55:06
of shared administrative Services. right Senator Flowers
Senator Stephanie Flowers
Unverified
55:09
you're recognized for a question. Thank you Mrir. I'm trying to understand this is a proposed new contract with a new contractor
deloitte yes ma'am and so who who holds the contract now for As? en ator AIS
Speaker 224
55:30
between DFfa DFfa has primary responsibility for that. SAs also has some responsibilities I do want to clarify for the committee there is a separate project on replacing the current version with asis to the new version of
AI. that's not what this project is this project is focused on a performance evaluation system that will connect to the new AI system. This will make sure that once the new aI system is up and running and that project is well underway we're able to actually do performance evaluations on our 27,000 state employees and you're not able to do that now Senator Flowers, the
Speaker 215
56:14
system we're using now will not be supported next fiscal
year so we're able to complete this year's performance evaluations but we won't we won't be able to
Senator Stephanie Flowers
Unverified
56:28
do next year's without this particular system. the
company that holds the portion of aces that's not state dFNA or shared services who who is that it's it is
Speaker 222
56:42
strictly sa it's an SAP product that the state has
Speaker 224
56:49
licensed and so DFA is in charge of that portion which relates to the financial accounting systems for the state of Arkansas SAs has responsibility for those pieces that touch on the payroll side so we
Senator Stephanie Flowers
Unverified
57:02
purchased a license for the application that you're using now is is that the
intent of this new proposed contract yes ma'am
Speaker 224
57:12
for both the financial piece and the personnel piece the existing system is no longer going to be supported and we
have to migrate off that to the next version of the product from SAP.
Senator Stephanie Flowers
Unverified
57:27
and so we will be purchasing I guess once they figure out how to integrate the system with the new with the old system yes ma'am this is strictly the
Speaker 224
57:38
integration services we've already we've already paid for the licenses. This will be paying to configure the system to meet our specific needs how often do we need to change
Senator Stephanie Flowers
Unverified
57:46
these systems the existing ASI system has been in place for almost 25
years so it's it's it's not a frequent thing and so we expect that the the the new proposed contract for a new license process
Speaker 236
58:02
or application is going to last for 25 years.u don't know for the last 25
Speaker 224
58:07
years but it will it will last for a good long time. The financial piece will go live in July that project is going very very well we're very satisfied with that the personnel piece will come in about6 months later and we have no other way to
determine performance and goal management this will this will allow us to be able to do that really kind of in a paperless
Senator Stephanie Flowers
Unverified
58:36
environment and it will help us do
that better so now we're collecting papers from I guess directors or supervisors all over the state more than we need
Senator Ben Gilmore
Unverified
58:47
to thank you thank you senator flowers. Senator hammer you're recognized thank you Mr Chair. Several sessions ago maybe3 or4 I don't
Senator Kim Hammer
Unverified
58:54
remember how long back it was we had a discussion where what we wanted to do was to be able to evaluate employees as far as their job performance and you know that would tie in possibly with you know, pay increases all that kind of thing is this part of what is this going to help achieve that and is this something new that will help us be able to achieve that yes sir this system will
Speaker 215
59:19
help us do that as you know we recently implemented the pay plan which
raised the rates. what we're trying to do now is have performancebas pay so all state employees would be evaluated on this particular plan, it would generate the associated compensation that would go with their performance evaluation results right and previously have we been able to do that or
Senator Kim Hammer
Unverified
59:41
this will allow us to do that now we have been able to do
Speaker 215
59:45
it previously this that system though is going out of date what this will allow us to do it also will allow us to
ensure consistency across each department we'll be able to calibrate look at those results and see if there's problem areas in any one particular department or anything along those lines it provides us a lot of analysis that we don't currently have thank
Senator Ben Gilmore
Unverified
1:00:09
you all right thank you senator senator hickey is this for them you're recognized
Senator Jimmy Hickey, Jr
Unverified
1:00:14
just one question so this is just a one time cost is what I heard you say. are there any increases in our operational costs by doing this on an annual basis
Speaker 224
1:00:27
there's cash impact obviously the central central state central services fund but then once we fully completed the project those expenses go away. OK, so it's it's gonna just nt even as far
Senator Jimmy Hickey, Jr
Unverified
1:00:36
as year to year after everything's up and after it's solely implemented yes sir thank you sir thank you senator I see
Senator Ben Gilmore
Unverified
1:00:42
no additional questions thank y'all Now I'm going to senator ice is this for them because I have someone wants to bring another agency to the table you're you're recognized
senator Rri. iss this for
Senator Terry Rice
Unverified
1:01:02
these individuals now let me state the staff has told me regarding the department of public safety that they their staff had received that from the department yesterday and had not been sent out to the committee so I will withdraw my holding of the maintenance money the aircraft's gonna have to be
serviced at some point anyway whether they keep it or sell it or whatever else I I will come back and after we disseminate that information we can discuss that later but I am not holding that. I am still calling when we get through
with this other I still will call for a separate vote and and and I'll I'll get to that
Senator Ben Gilmore
Unverified
1:01:47
thank you senator and I was going to raise that that that information was received I appreciate you stating it. Sopresentative Wardlaw did you have a question for another agency
Representative Jeff Wardlaw
Unverified
1:02:00
you're recognized. how can we get MrRogers and the department of edd people to the table please Department of Education
Speaker 247
1:02:33
Good morning Courtney Salisford. I assume I'm the other people from the
Representative Jeff Wardlaw
Unverified
1:02:37
department of ed yeah sorry I couldn't remember your name. greg rogers department of education. I'm
getting old too the can you kind of walk us through because looking at that contract on in review on Tuesday the projected cost on our paper was700,000 dollars. your paper showed3 million. Your paper was the one that was accurate at the end of the day and it's because
you added Capitol Mall#2 and school of the blind and you added later 24 hour security at school of blind and my concern is is after we double triple these contracts at what point do we rebid them and I think that was the question I was asking Tuesday and when you gave me all that information yesterday, I really appreciate that it does kind of show that we might should have remitted it but maybe the cost wouldn't be cheaper. We really don't know that answer because we did not rebid it but can you walk us through all that please
Speaker 251
1:03:37
So yeah so we are going into your four of this seven year contract and when we went through adding school for the blind and deaf. they they're contracted in with a different company and so we did look at what the cost would have been to bring them on to our existing umbrella contract or doing another one just for blind and death at that time it was looked at it was more costeffective for them to bring them under the umbrella contract that the department already had so at the end of this seven years we will rebid it for the entire thing again
Senator Ben Gilmore
Unverified
1:04:08
you I'm good Mr Cha. thank you representative so you're releasing your hold. Got it.
thank you for coming to the table. right going back
Speaker 90
1:04:21
to Senator Johnson you're recognized Mr Chairman I think I can make this motion without screwing it up I certainly hope so. I move for the adoption of the report with contracts4,5 and6 instate contracts and
and do a separate vote on the out of state contract number 22 move for the adoption. OK, so we have
Senator Ben Gilmore
Unverified
1:04:53
a motion. I have a second. any discussion on the motion see none all in favor say aye any opposed ayes have it all right
Senator Johnson you're gonna call for the separate vote on item 22.
Speaker 90
1:05:15
I moved for the adoption of instate contract number 22 or out of state contract number 22. right so I'd
Senator Ben Gilmore
Unverified
1:05:29
have a second any discussion see none all in favor say aye any opposed ayes have it thank you
all right members thanks for bearing through all of that let me get my papers back in order
and we will get back on the agenda we now will hear item 13. I think that
would be is it Senator Petty you're recognized
Senator Jim Petty
Unverified
1:05:57
thank you Mr chairir. The state insurance programmes oversight subcommittee met on Wednesday March 18th. sub committee heard an update on the United Healthcare rebid by themployee Benets division and a presentation on Medicare advantage prescription drug contracts by the Seegalroup.
Mr chairir, Ill have a motion to
Senator Ben Gilmore
Unverified
1:07:10
adopt the report at the proper time. I think it is the proper time to have a second I have a second in discussion see none all in favor sayy aye any opposed ayes have it moving down to personnelenator Davis you're recognized. Thank you Mr Chair. The ALC personnel subcommittee met Wednesday, March 19th and heard all items listed in the report items two and three received approval by the committee as required by code and the remaining items were reviewed as well. I'll take any questions and
we'll make a motion at the proper time. OK, so we will take questions before we get to the motion Representative Woootten, you're recognized Mr Chairman, I'd like to have a director Mcdonald and whoever he brought with him come forward that's permissible they're coming up and that is permissible. thank you and I
Representative Jim Wooten
Unverified
1:07:28
will point out that this is not an action item but we're happy to hear from them. if you would state yourself or
Speaker 259
1:07:31
state your name for the record, introduce yourself and you may proceed. good morning Hugh Mcdonald, Secretary ofcomerce. Good morning Aison Hatfield, chief of staff department of com Represent wouldn't be recognized
Representative Jim Wooten
Unverified
1:07:40
thank you Mr Mr Secretary we've got a question first of all on make a statement the media was not real kind to you this morning in the newspaper relative to the article so what is the reason for the reduction in the department of commerce in the divisions that you mentioned is it mismanagement? I it budget constraints is that federal funding being
cut and the division manager is all
Senator Stephanie Flowers
Unverified
1:08:18
three all four of them a factors not enough federal funding for the staff that has been that is there largely when we realign did the realignment a couple of years ago we we uncovered lots of cross subsidization from one which was fine but from one
federal funding to another federal funding that found that in certain areas but we also realized that for example in an employment and training where we've a rift 10 employees that the WagnerPieser funding was just not adequate to be able to fund all the employees so and it's it was not a secret that Wagner Piser was was low funding
funding levels were low that's that's been known across the country so we made those adjustments there DSB is a little division of services for the blinds a little different it's first starting with more employees than funding was available over obligating funds or over over committing on obligations for funds that were not available were
expected to be available but we're not when the government was federal government shut down so combination of a lot of things and we're
Hugh Mcdonald
Unverified
1:09:56
working through the DS continued to work through the DSB
Representative Jim Wooten
Unverified
1:10:05
so are there 83 employees involved in being dismissed over there
in the commerce no it's urs 27 positions just the positions are on the are on the
Hugh Mcdonald
Unverified
1:10:17
riff list between DSB17 and DSB10 within employment and training both within Arkansas workforce Connections of the se7 5 of them have found new jobs and we're we're prioritizing those employees with the support of OPmopPm to
Senator Stephanie Flowers
Unverified
1:10:38
get those employees placed in government where it makes sense so they're competing for jobs
like everyone else. one of those so for NDSB went to
Hugh Mcdonald
Unverified
1:10:53
the state and state government but another another department one went to the private sector and two within employment and training two out of the 10 have also found jobs but the 27 positions want to make clear within commerce those will permanently go away and not
Representative Jim Wooten
Unverified
1:11:10
be refilled so the56 furlough positions that are currently furloughed they will be called
back. They will be called back but
Senator Stephanie Flowers
Unverified
1:11:21
then of of that56 there's 17. within
Hugh Mcdonald
Unverified
1:11:24
DSB that will you know end their employment on March31st. Now again back that's the same 17 of which5 have found so there's 12 remaining that and they're still looking for jobs and we're still supporting that
Chair
Unverified
1:11:41
all right Representative Woootten I've got others in the queue thank you. thank you Mr.
Senator Ben Gilmore
Unverified
1:11:50
Senator Love, you're recognized for a question thank
Senator Fredrick J. Love
Unverified
1:11:53
you Mr. Chair and and and Secretary Mcdonald thank you for the report that you s that you
sent now of the of the 12 that are remaining because I I've now fielded I don't know how many calls in regards to this of the 12 that are remaining how many of the 12 are visually impaired or blind I I couldn't tell you what that number is senator. OK did you
did did we even do an assessment because you know the first the the question that I asked you was about the race factor but I think the other question I should have asked you about was the visually impaired or blind factor because some of these persons and I did not know this until I start feeling the calls are either visually impaired severely or or blind so did we not did we not even think about that factor at all
Senator Stephanie Flowers
Unverified
1:12:54
Iu I couldn't tell you senator you know we we didn't look at it from a race perspective we didn't look at it from a you know visually impaired perspective we looked at it from a perspective of is the work there to support the people and is the funding there to support the people as well and now
Senator Fredrick J. Love
Unverified
1:13:19
another question is this is that because when I was having these
conversations we were talking about the DSB board which we talked about in the in the committee meeting now are there going to be new appointments to the DSB board? I would expect that to occur yes. OK. and one of these appointments because it's my understanding that these people have been serving for years without
Hugh Mcdonald
Unverified
1:13:47
being reappointed don't don't know yeah the terms are expired on the existing board members and they continued to serve until there's a new
Senator Fredrick J. Love
Unverified
1:13:57
board member nominated ok and then lastly I want to ask you about persons have mentioned about legislation that failed this past session in regards to merging rehab services with the division ofervices for the blind is is that is I'll ask a question like this are we still trying to make that happen
despite not having the legislation in
Senator Stephanie Flowers
Unverified
1:14:32
place well let me let me tell you that there was not legislation filed last year to merge the division of services for the blind into ARs that is a common thing across the across the country so we did not file that legislation we worked on it I believe that that is the right thing to do long term and so I think you should
expect that in the next legislative session it's inefficient the way it's operated today it's ineffective the way it's operated today as well as evidence by the condition the state we're in today it's totally dysfunctional OK Mr chairir, I I have a comment to make before
Senator Fredrick J. Love
Unverified
1:15:17
we take up the motion. you have the microphone center I do have others in the queue so if we make it in discussion so let me wait to discussion that'd
Senator Ben Gilmore
Unverified
1:15:32
be finesenator flowers you're recognized. Thank
Senator Stephanie Flowers
Unverified
1:15:38
you Mr chairir Mr secret I Im told that of these reduction in force se7 be terminated from East Arkansas that provide services for the
blind and that's not correct they're from all over the state they're not all from Eastarkansas there are some from eco East Arkansas but how many from East Arkansas'd I'd have to look at the numbers specifically we'd
be happy to provide that information to you are there sufficient employees left that are not affected by this reduction in force to provide necessary services over in East Arkansas
there's there's plenty of available staff post post reduction in fact it's it's overstaffed which is why we have to do the rf which is why we're we're furloughed today Overstaffed because they
don't have enough individuals that require the services overstaff because we don't have
the funding to support them how does that mean
overstaffed because you don't have the
funding but my question is the funding will not support the current staff levels but I'm concerned about individuals that need these services that they would have them
Hugh Mcdonald
Unverified
1:17:24
available to them as as we are concerned as well and and unfortunately
Senator Stephanie Flowers
Unverified
1:17:29
the entire all but five of the DSp employees have been furloughed since the end of January because of the fiscal
mismanagement of the the the division and we are waiting on the RSA to to send the next4 million dollars of funding so we can work out of this position we're in today you mentioned mismanagement
of funding is anybody been referred to a prosecutor for mismanagement or no no one has been we don't
know fraud if that's what you're implying but our neglect you said mismanagement we're we're looking to in have new leadership from the
Speaker 276
1:18:24
outside of the agency to to write the ship
Senator Stephanie Flowers
Unverified
1:18:29
has this agency been audited and and they're findings made or
something you suggest mismanagement seems like there should be some type of audit
Hugh Mcdonald
Unverified
1:18:41
reflecting findingsertainly it's been audited and I I can
Senator Stephanie Flowers
Unverified
1:18:47
reads excerpts of the federal federal rehabilitation services letter that we received from them February 25th but that has the the RSa from the federal government has designated DSB as a highris grantee and the letter says that the
notice recountsdSP's excessive spending and administrative costs and drawdown patterns correlate to dwindling carryover amounts which resulted indSB obligating or expending all of its award funds or toA stated that the data makes clear thatdSB had fiscal data that projected the financial difficulties it had encountered. However, DSB did not take the steps necessary to continue to operate the program in accordance with the
assurances made for the receipt of the federal funds lack of fiscal planning and oversight raises serious questions as to DSB's ability to effectively manage and administer the Vr program DSB did not communicate to RSa of any fiscal planning cost containment measures or strategies implemented by DSB to mitigate the effect that a lack of fiscal resources would have on Vr programme those aren't my words those are the that's the federal government's words
so as a result of that will the the funds be restricted or or decreased going forward I
can't tell you what the funds we're we're waiting on about a $4 million grant to continue operations and bring our employees back and the only thing that's standing in the way of that is the DSb board chair to sign a letter that they accept and acknowledge the appointment of
the governor's recommendationaththan Winters who is to be the interim DSB director heaththan currently is serving as the deputy to Joe Baxter of Arkansas rehabilitation Services he is a occupational therapist he's been in the business for over 20 years he's been with the state employee of 14 years he knows the occupational therapy
he he understands working with the federal rehabilitation services administration he understands the the financial commitment the aware thewa funding system's interim now we're not officially he's not he's not there I mean he's he's not been appointed by the board is there a current director the current director has retired they have retired
they're gone that person is no longer employed by the state and if and we in fact I sent the I sent the board chair a letter last night on the advice of the federal rehabilitation Services administrator that if he would sign the letter that acknowledgesaththan Winter being the interim director as appointed by the governor and employ him immediately the funds would come so that
signature is the one thing standing in the way of getting all of our DSb employees some of who are in the room back to work and getting services to the visually impaired in Arkansas.
Well he can't sign a report when when and say that the that there is an interim director if there's not
yet one he can he can sign the letter that the DSB on behalf of the DSB boardard
he can that they acknowledge and accept the governor's selection ofaththan Winters as the interim the interim director. he can do that I send him that to be
Mr chairir doesn't have that nominee have to be approved by the senate not the not the interim he's
Senator Ben Gilmore
Unverified
1:23:13
not a board chair he's a I'm sorry well I I think it's asked and answered so senator
we have quite a few people in the queue.
I'd like to point out that one last question if this is short you can say yes or no 11 last question but I do want to point out this is not an action item. this is merely
Senator Stephanie Flowers
Unverified
1:23:38
a report on their actions. so one last question Senator. so my last question is is it your understanding
that the state of Arkansas may have to reimburse the federal agency I don't I don't know the answer to that question senator
but and and well I asked for one question but I'd like to know about how much is out there at risk
of being reimbursed it's a it's a good question I don't
don't know and I don't think we're in that position I've not been advised that we're we're in that position but we are the reason we had to do the rf is because we over obligated we just we don't have the funding to continue that level of staff
and you know we need to get the people back to work, our employees back to work
Senator Ben Gilmore
Unverified
1:24:35
so they can start delivering the services thank you all right thank you senator again I'm I'm going to state
members this is a report from the agency on this this is not an action item for for
our approval. and we do have other things on the agenda so I have quite a few people in the queue also have Senator Cawell who would like a personal privilege
to recognize a group. So I'm going to go to him so he can recognize his group here today because I don't know how much time they have and
Senator Ronald Caldwell
Unverified
1:25:09
apparently we want to be here quite a while. So Senator Cawell you're recognized thank you Mr. Chairman. thank you committee. I want to introduce the junior ROtC members from Wynn High School they're here to tour the capitalol give them a little idea that this is the Arkansas legislative council meeting today and basically you're seeing the legislature at work
when we're not in session but I want to welcome y'all and Cheryl's gonna take y'all around show you the Caol but again, welcome please ask any questions of anyone that you might have and I hope you learned a lot and I will see y'all in a few minutes thank y'all for being here thank you thank you Mr Chairman for this
point of personal privilege. Thank you senator and thank you all for being here.
Senator Ben Gilmore
Unverified
1:26:01
welcome and I hope you get an advanced tutorial on parliamentary procedure why you're here. So with that umpresentative wooten do you have a question for the secretary and if so I would
Representative Jim Wooten
Unverified
1:26:17
ask that it be very brief miss thank you Mr Chairman. Mr Secretary, I'm, I'm still confused. which is it? mismanagement or was it budget constraint or is
it federal funding or is it the division director all of that all the above yeah all the above and this this this person that was director of the division had been there since 2016. and you just now she just now retired in
Speaker 294
1:26:49
February of 25. I think she's been there longer than that frankly I don't know
Representative Jim Wooten
Unverified
1:26:55
if the directed in the position is is that correct? how in the
world did we get by and I've been where you are I've been director of the department of commerce they had 1800 employees but if I had one that was mismanaging a division I dealt with it. So what what what's why
Senator Stephanie Flowers
Unverified
1:27:19
why is this just now coming up? well we we noticed some peculiar expenses last summer and actually initiated the office of inspector general audit so that's when it started
from my perspective the agency has or the the division has always been very independent and that's some things that's that's something we've got to fix going forward. because the independence really hasn't worked for the Arkansas citizens nor for the employees that are that are furloughed so that led to in the in the November federal government shutdown we noticed there was over
obligation of funds our our fiscal operation we centralized our fiscal they used to do their own fiscal operation DSB did. we've centralized that now our fiscal organization that's led by Tammy Williams and Stteenessey they noticed some over obligation of fundsmmediately addressed it but we had we had a furlough in November with the federal shutdown of the DSB employees then the same56
and got temporary funding for a basically another month and a half or two months' worth of funding and we're right back in the same position in in end of January or middle of January we noticed again funds were not deobligated and here we are so we're
Hugh Mcdonald
Unverified
1:28:57
we're we're fixing to put out the fire on the dumpster fire. thank you thank you Representative Wooten. All right, Senator
Senator Ben Gilmore
Unverified
1:29:05
Irvin has a motion so I'm going toenator Irvin you're recognized
Senator Missy Irvin
Unverified
1:29:12
thank you Mr Chair I I think this is an issue that perhaps probably you know may be discussed in JPR so my motion would be to refer this issue to JPR but to do to adopt the report and for immediate
Senator Ben Gilmore
Unverified
1:29:25
consideration thank you senator.gain this is just merely a report there is no action item so'm
Senator Missy Irvin
Unverified
1:29:30
talking about adopting the personnel report correct. OK. so
Senator Ben Gilmore
Unverified
1:29:34
I will take the motion to adopt the report and you're asking for immediate consideration and I have a second on that. Any discussion
well there's immediate consideration no discussion so we're
going straight to vote all in favor say aye any opposed ayes have it. thank you. OK we are now to itemh I'm gonna ask if there's anybody that has any questions on any communication or reports. I do haveh1 that I need a motion to file as reviewed that is the aper I have a motion. Do I have
a second? I have a second in discussion see none all
in favor sayy aye any opposed ayes have it. Any other reports that members want to hear from please speak now if not thank you for your time and attention this morning and we are adjourned
Agenda
A. Call to Order.
B. Roll Call.
C. Approval of the Minutes of the Last Meeting, February 20, 2026.
D. Presentation of the February 2026 Revenue Report – Dr. Carlos Silva, Legislative Economist
E. Report of the Executive Subcommittee — Sen. Ben Gilmore, Rep. Les D. Eaves, Co-Chairs
F. Reports of Standing Subcommittees:
G. Reports of Interim or Special Committees: (none)
H. Review of Communications:
I. New Business: (none)
J. New Interim Study Proposals and Interim Resolutions: (none)
K. Business Carried Over: (none)
L. Adjournment.
Documents
Speakers
Senator Ben Gilmore
Unverified
Representative Les Warren
Unverified
Speaker 20
Representative Jim Wooten
Unverified
Chair
Unverified
Representative Jack Ladyman Chair
Unverified
Speaker 40
Representative Lee Johnson
Unverified
Representative Denise Garner
Unverified
Speaker 46
Speaker 25
Representative Les D. Eaves
Unverified
Representative Matthew J. Shepherd
Unverified
Senator Jim Dotson
Unverified
Senator Missy Irvin
Unverified
Senator Breanne Davis
Unverified
Representative Mary Bentley
Unverified
Senator Dave Wallace
Unverified
Representative Jeff Wardlaw
Unverified
Senator Mark Johnson
Unverified
Speaker 90
Senator Jim Petty
Unverified
Speaker 95
Speaker 97
Speaker 98
Speaker 101
Speaker 107
Speaker 111
Speaker 112
Speaker 109
Speaker 99
Speaker 120
Senator Terry Rice
Unverified
Representative Stetson Painter
Unverified
Representative Howard M. Beaty, Jr.
Unverified
Speaker 137
Representative Matt Brown
Unverified
Speaker 149
Speaker 157
Senator Stephanie Flowers
Unverified
Speaker 181
Speaker 200
Speaker 202
Speaker 74
Speaker 215
Speaker 219
Speaker 222
Speaker 224
Speaker 236
Senator Kim Hammer
Unverified
Senator Jimmy Hickey, Jr
Unverified
Speaker 247
Speaker 251
Speaker 259
Hugh Mcdonald
Unverified
Speaker 260
Senator Fredrick J. Love
Unverified
Speaker 276
Senator Ronald Caldwell
Unverified
Speaker 294