Appropriations committee advances multiple agency budgets, rejects $10 million for literacy initiative

The House Committee on Appropriations on Jan. not specified advanced recommended budget actions for multiple agencies after budget report-outs from subcommittee chairs, and it rejected a separate motion to add $10 million to the Kansas Blueprint for Literacy for fiscal year 2026.

The committee adopted the Agriculture and Natural Resources subcommittee recommendations for the Kansas Department of Credit Unions and the office of the State Bank Commissioner, approved the Higher Education subcommittee recommendations for the Kansas Board of Regents (including restorations for two‑year and technical colleges), approved a recommended budget for the State Library, and approved appropriations for the Kansas State School for the Blind and the Kansas School for the Deaf as provided in HB 2007. Separately, a motion by Representative Hoye to add $10 million SGF to the Blueprint for Literacy failed on a voice vote.

Why it matters: the actions set funding and proviso priorities that affect community colleges, technical schools, K‑12 literacy initiatives, library grants and state regulatory functions for banking and credit unions. Committee members raised recurring concerns about growing fee fund balances, deferred maintenance at state institutions, and program implementation details for new or expanded initiatives.

Credit unions and bank oversight Chairperson Mosier reported the Agriculture and Natural Resources subcommittee recommended adopting budgets for the Kansas Department of Credit Unions for fiscal years 2025–2027. The department requested $1,400,000 from its fee fund for each year; the subcommittee noted decreases in salary and wage lines tied to continuing vacancies and lower training costs as examiners finish certifications. Mosier said the fee fund balance has been steadily rising and that “it is generally getting a bit high,” a concern voiced during questions from Representative Sutton about whether the fund could become “a behemoth.” The committee approved the recommendation by voice vote.

The subcommittee also recommended adopting the office of the State Bank Commissioner budgets for fiscal years 2025–2027, funded from the bank commissioner fee fund and the Consumer Education Settlement Fund. The agency’s 2025 revised estimate was reported at about $13.8 million; the subcommittee noted increased contractual services (attorney fees, software maintenance) and consumer education grants paid from the settlement fund. The committee approved the recommendation by voice vote.

Higher education: Board of Regents, restorations and campus funding Chairman Howe summarized the Higher Education subcommittee report for the Kansas Board of Regents. The board’s revised 2025 estimate was reported around $427.1 million (including roughly $407.2 million SGF); the agency’s 2026 request included substantial enhancement requests that the subcommittee largely deleted but did restore multiple items for two‑year and technical colleges. Howe said, “the budget committee basically restored funding for the community and technical college that the funding they’ve received for multiple years,” explaining the restorations were intended to preserve previously recurring community and technical college supports (apprenticeships, student success initiatives, technical operating grants and capital priorities) that had been omitted from another committee’s recommendation.

The subcommittee also recommended deleting the fiscal‑year‑2026 transfer of roughly $32.7 million to the Kansas Campus Restoration Act Fund (an earlier law established that fund); members said the deletion was intended as a one‑year pause to preserve flexibility amid broader fiscal uncertainty and to allow more time for review before a large, recurring transfer is made. Howe and other members said the pause does not foreclose transfers in later years.

The committee adopted the higher‑education recommendations for fiscal 2025 and 2026 as provided in HB 2007.

State Library and grants Howe presented the State Library budget report. The agency requested an increase to state grants and aids to libraries for 2026; the Legislative Budget Committee did not recommend that enhancement, and the Appropriations subcommittee recommended deleting the one‑time base increase and removing the $1,000 base amount for eligible libraries that had been added by proviso last year. The committee adopted the subcommittee recommendations.

K‑12 institutions for students with sensory impairments The committee adopted the subcommittee recommendations for the Kansas State School for the Blind and the Kansas School for the Deaf. Subcommittee chairs said they restored some capital requests for hazardous‑material abatement and critical utility repairs at both institutions using the State Institutional Building Fund; committee members repeatedly raised concerns about recurring deferred‑maintenance requests and the presence of asbestos in older buildings.

Blueprint for Literacy motion Representative Hoye moved to add $10 million SGF for the Kansas Blueprint for Literacy for fiscal 2026; Representative Ballard seconded. Supporters said the funding would help train teachers, expand dyslexia screening and support early‑grade literacy work. Opponents, including Chairman Howe and others, argued the committee needed more time to review program implementation and to coordinate with the K‑12 policy committee and stakeholders; some members said similar activities already occur in districts and questioned whether adding funding to universities was the most effective route. On a voice vote the “noes” carried and the motion failed.

Committee follow‑up Multiple members asked for follow‑up information on specific items: the growth of several fee funds (credit unions; bank commissioner), detailed line‑item history for proposed vehicle replacements, and the campus restoration funding schedule. Chairs said they expect subcommittees and the full committee to hold additional informational hearings before final budget action and noted the possibility of a small trailer bill to resolve implementation or technical issues.

Ending After the votes the committee adjourned. Members directed staff to provide follow‑up materials to representatives who requested additional detail.