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Civil Service presents FY26 budget, highlights Act 655 skills‑based hiring; Board of Tax Appeals seeks two staff positions

2838171 · April 1, 2025
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Summary

State Civil Service described FY26 spending plans, implementation of Act 655 (skills‑based hiring) and market adjustments; the Board of Tax Appeals requested two new staff positions and the committee asked for additional budget detail.

State Civil Service Director Byron Decoteau and Deputy Director Chris Dear presented the agency’s FY26 budget to the House Appropriations Committee on April 1, 2025, describing a $27.1 million recommendation and recent policy work to remove hiring barriers.

Decoteau told the committee that Act 655, effective Jan. 1, 2025, requires agencies not to demand a college degree or more than three years’ experience for state jobs unless legally necessary; Civil Service completed revisions of minimum qualifications and has worked with agencies to broaden applicant pools. The director said the department has also implemented a leadership academy and expanded training through the Comprehensive Public Training Program.

Civil Service said it expects market adjustments for eligible classified employees this fiscal year (a 4 percent or 3 percent adjustment, depending on where an employee falls in a pay range) and that those adjustments are included in the governor’s FY26 budget plan and would take effect July 15, 2025.

The board of tax appeals’ chairman, Francis J. Labrano, asked for two additional T.O. positions, a law clerk (attorney) and an administrative support position, and the board requested $363,000 in related salary and benefits. Committee members asked for a line‑item breakdown (salaries, benefits, travel and other costs) supporting that total and requested the Board of Tax Appeals and State Civil Service return at a follow‑up hearing with detailed justification; the committee scheduled a follow‑up budget appearance.

Civil Service described its primary funding model: agencies with classified employees pay an interagency transfer based on a statutory billing formula (a fraction of average annual classified salary) that supports Civil Service operating costs and training programs. Filia said civil service has 184 authorized T.O. positions and five vacancies as of Dec. 30, 2024.

Lawmakers asked several operational questions about turnaround time for job assessments, special entrance rates, and whether training resources are budgeted; Civil Service staff said many adjustments can be turned around quickly for single agencies, while multi‑agency market adjustments take longer because of funding coordination with the Commissioner of Administration.