Subcommittee rejects amendment to fund Office of Entrepreneurship, advances DCCED FY2026 budget

Representative Galvin, chair of the House Finance Department of Commerce, Community and Economic Development Subcommittee, presided over a March 4, 2025, closeout meeting in Grunberg Room 120 where members rejected an amendment to add funding for a new Office of Entrepreneurship and adopted the subcommittee's FY2026 operating budget recommendation for the department.

The subcommittee failed to adopt Amendment No. 1, moved by Representative Rauscher, which related to the chair's proposal to add $577,200 in unrestricted general funds (UGF) and three full-time positions to establish an Office of Entrepreneurship. The roll-call on the amendment recorded three votes in favor (Representatives Rauscher, Costello and Hilton) and five opposed (Speaker Edgmon, Representatives Collin, Cox, Mears and Chair Galvin), and the amendment failed.

Lisa Keller, staff to Representative Galvin, reviewed the chair's budget amendment (BA) report for the department and told members the BA report contains 34 items with one substantive change from the governor's budget: the chair's Item 8, shown in blue in the report, is an increment of $577,200 UGF to establish an Office of Entrepreneurship. Keller said the increment represents a "0.3 increase from the governor's budget" and that the chair's proposal adds three full-time positions. She also noted that items 20, 21, 22 and 23 on the report are technical fixes and not under the subcommittee's purview.

Representative Rauscher said the amendment stemmed from concern about funding a program before related bills complete the committee and legislative process. "I'm just thinking that this may be the cart before the horse," Rauscher said, arguing the finance committee would better vet fiscal notes and the proposal's costs. Representative Holland, who identified bills he believed were related, described the proposed funding as separate from the pending legislation and said the increment would restore economic development resources lost over the past decade. "I view this funding as reestablishing the resources that DCCED needs in order to support these emerging sectors," Holland said.

Speaker Edgmon said he supported the intent but cautioned the amendment's prospects beyond the subcommittee. "I'm gonna vote to support it today. But just to let you know that adding stuff to the budget right now is very difficult," he said.

After the amendment failed, the subcommittee moved to forward the FY2026 subcommittee recommendation for the Department of Commerce, Community and Economic Development operating budget out of committee. Representative (mover not specified) moved the recommendation; with objections withdrawn and no further roll call recorded, the subcommittee adopted the BA as written and directed the Legislative Finance Division to make any necessary conforming or technical changes.

The meeting opened at 12:44 p.m. and adjourned at 12:59 p.m. Wednesday's action completes the subcommittee's work on the DCCED operating budget and moves the package to the next steps in the House finance process.