Subcommittee reports HB 4,578 H1 after HFA overview highlights child‑care and FTE reductions

The House Appropriations Subcommittee on Higher Education and Community Colleges voted to report the H1 substitute for House Bill 4,578 after a presentation from House Fiscal Agency (HFA) staff outlining top‑line changes in the proposal.

Noel Benson of the House Fiscal Agency said the H1 proposal shows an approximate $3.5 million gross decrease versus year‑to‑date numbers, totaling about $640.5 million overall. Benson said the package includes roughly a $46.4 million increase in General Fund and about a $49.9 million federal decrease. He also said the proposal reduces authorized staff by 62 full‑time equivalents, from 343 to 281.

Benson highlighted a $44.3 million increase for child development and care caseload costs, which HFA described as an adjustment from prior estimates. He also summarized departmental adjustments that include information technology reductions, child‑care licensing and regulation cuts, and reductions in student financial assistance authorizations and funding.

Perry Zylak of HFA turned to boilerplate and reporting changes in the House substitute. Zylak said the House concurs with deleting one‑time appropriations from the executive recommendation, adds reporting requirements on pension and retiree health legacy costs, requires 14‑day reporting of severance for certain high‑ranking officials, and adds grant‑award transparency language. He also said the House adds a contractor E‑Verify requirement and language that limits spending on services for non‑citizens to qualified aliens or correctional facility uses.

Representative Rogers asked why the House would not include funding to comply with recent federal changes to child development and care; the chair and presenters said the issue remains subject to negotiation with the Senate and governor.

The committee recorded the motion to report the H1 substitute as adopted with five members voting yes and two opposed.