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Committee advances bill to codify tip-pooling rules and cut off litigation

Employment, Labor and Pensions · February 11, 2026
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Summary

The Employment, Labor and Pensions committee passed SB 245 to codify federal tip-pooling regulations into state law and make the change retroactive to 2023; sponsor said the bill will preserve industry practice and end a pending lawsuit. The committee approved the bill 12-0.

Senator Freeman introduced Senate Bill 245 on tip pooling, saying the measure would put the federal regulatory framework for tip pools into state law and blunt litigation that followed recent federal regulatory shifts.

"All this bill will do is codify in state law the federal regulations regarding this to allow for tip pulling," Freeman said, and added that…

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