Jon Grisham

The committee reviewed the revenue estimating group's recommendations for the upcoming fiscal year (FY24). Discussion included the likelihood of a recession and its potential impact on revenue. The committee adopted the general fund revenue estimate of \$7,523,800,000 for FY24. The Governor commented on the state's economic growth and job market, attributing the positive trends to state policies. The Governor expressed agreement with the revenue estimate and highlighted opportunities to cut spending and return money to taxpayers.

The Joint Legislative Budget Committee reviewed the staff budget recommendation and adopted the 2025 general fund revenue estimate, capital expense funds, and ARA. The committee discussed the state's economic outlook, anticipating a slowdown in growth in 2024 and 2025 due to factors such as tightening financial conditions and the effects of individual income tax rate decreases. There was discussion regarding the impact of interest rates on the economy and the implications for the budget. A significant portion of the meeting involved debate over the proposed revenue estimate, with differing opinions on whether to maintain the previous year's figure or adopt a lower estimate reflecting the anticipated economic slowdown. The committee ultimately adopted a revenue estimate that was the same as the FY24 signed estimate.

The committee meeting focused on the budget requests from various state agencies. Discussions included the approval of guidelines for 2025 staff, review of peer prison reports, and agency hearings. A significant portion of the meeting involved a presentation on the Public Employees' Retirement System (PERS), including investment returns, funded ratios, and proposed solutions to address unfunded liabilities. Specific actions taken by the board included phasing in employer contribution rate increases, adopting actuarial assumptions, determining the direction for a new tier V benefit structure for future employees, and seeking additional funding from the legislature. Proposed changes to the optional retirement plan (ORP) and cost of living adjustment (COLA) were also discussed.

The Joint Legislative Budget Committee meeting focused on adopting the committee's recommendation for the FY24 budget. Discussion included approval of per diem expenses, approval of the minutes from the November 9 meeting, and a presentation highlighting the FY24 budget recommendation, which included maintaining a two percent set aside in the general fund and strengthening the state's financial reserves. The committee approved a conservative budget with increased funding for several state agencies, including health insurance, Child Protective Services, the forensic lab, and the Department of Revenue. Reductions were made in funding for vacant positions, travel, contractual services, and one-time expenditures. The meeting concluded with a review of unallocated funds and a motion to adjourn.

The committee meeting included approval of per diem expenses and minutes from a previous meeting. An executive session was held, followed by acknowledgements of Tony Greer's seven years of service and the accomplishments of the committee over the past four years. The speaker's twelve years of service and leadership were also commended.