The Human Resources Appropriations Division voted to recommend House Bill 1066, a Department of Health and Human Services request to give administrative rule authority to set the compensation rate paid to participants in the Senior Community Service Employment Program.

Eric Haas, Assistant Chief Financial Officer at the Department of Health and Human Services, told the committee the program — a job training component tied to Older Americans Act grant requirements — currently requires paying participants the state minimum wage, which in North Dakota is lower than many entry jobs. Haas said that mismatch makes it difficult to attract participants and meet federal participation targets; failing to meet those targets can trigger penalties that reduce grant funding.

Haas said the bill is intended to allow the state to set a higher hourly rate via administrative rule so it can increase participant wages across the state and “better utilize the grant.” He told senators the fiscal note assumed $213,000 in expenditures in the program but no new appropriation because the department budgets to spend all federal funds. When asked, Haas confirmed the dollars in the program are federal funds.

Senators pressed program details: whether positions are part‑time (Haas said they are generally job‑training positions and often part‑time), whether benefits are provided (no benefits are guaranteed by program funding; the program subsidizes wages and the goal is to create training opportunities leading to longer‑term employment), and how quickly a statutory change would take effect compared with a rules‑only approach. Haas said including the authority in statute would make the change effective July 1 and allow the department to set the new rate sooner than going through public notice for rules alone.

Motion and vote: Senator Davison moved a do‑pass recommendation on House Bill 1066; the motion passed in division and the bill will be carried to the full committee for further consideration.

Ending: Committee members agreed to carry the bill forward for full committee review and to coordinate with policy committee members on fiscal details.