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Ways and Means advances Early Learning budget amid debate over cuts to outdoor school and other programs
Summary
The Education Subcommittee reported Senate Bill 5514 out with reductions that include cuts to several early learning programs; legislators and advocates clashed over a statutory 4% lottery dedication for outdoor school funding.
The Joint Committee on Ways and Means education subcommittee advanced Senate Bill 5514, the Department of Early Learning and Care budget, with a dash‑2 amendment after extended debate about program reductions and the stability of funding for early childhood services and outdoor school.
The subcommittee approved a total funds budget of about $1.4 billion and 376 positions — a roughly 3% reduction from the current service level and a small reduction from the 2023‑25 legislatively approved budget. Key investments included $2.6 million general fund for seven operational positions, resources for systems maintenance including awards management and the Healthy Families Oregon database, and $3.1 million federal funds to establish 13 child‑care licensing positions to lower case loads and strengthen compliance.
The package also included reductions totaling $51.2 million, attributed to removal of above‑standard inflation and cuts to programs funded through the Early Learning Account, including Preschool Promise, the Early Childhood Equity Fund, early learning professional development, parenting education and Healthy Families. Lawmakers noted that the May 2025 revenue forecast reduced Corporate Activities Tax (CAT) revenue and the Fund for Student Success could not sustain the prior service level commitments.
Outdoor school funding became a focal point. Several members, including Representative Owens and Senator Solman, praised outdoor school’s educational benefits. Representative Owens and others said the program still received $48 million in the recommendation, but Representative Kate and others argued the package fails to honor the statutory dedication of “4% of lottery funds” to outdoor school. Kim To of the Legislative Fiscal Office explained that while lottery law dedicates 4% (up to an inflation‑adjusted cap) the program has not always been funded at that level and the subcommittee set funding based on the 2021‑23 actuals and the revenue forecast used to balance the budget.
Lawmakers expressed strong disagreement over whether the decision amounted to poor governance; supporters noted the subcommittee used actual receipts and faced a down forecast and other revenue declines. Several legislators urged follow‑up work on a stable long‑term funding strategy for early learning and pledged to continue negotiations during the interim.
Discussion versus decision: committee debate highlighted policy and moral choices about early childhood investments and statutory lottery dedications; the formal decision was to advance SB 5514 with the dash‑2 amendment recognizing current revenue constraints and program reductions.
Next steps: the bill advances with the dash‑2 amendment; lawmakers signaled follow‑up work and potential future adjustments as receipts and forecasts are updated.
