South Carolina First Steps asks lawmakers for $5M to expand local innovation investments, cites KRA findings

A First Steps official told the Senate budget education subcommittee that the agency is requesting $5,000,000 to maintain and expand competitive innovation investments aimed at improving kindergarten readiness across South Carolina.

The official said First Steps’ five‑year goal is for 75 percent of the state’s children to enter kindergarten ready by 2030 and presented data showing about 280,000 children ages birth to 5 statewide, roughly 41 percent in low‑income households. "In fall 2024, 30 percent of children in poverty achieved demonstrated readiness compared to 55 percent of their higher‑income peers," the official said, adding that statewide readiness currently sits at about 39 percent. The presenter also described an analysis of about 123,000 students showing the kindergarten readiness assessment is strongly predictive of third‑grade reading and math outcomes: about 74 percent of children who demonstrated readiness later met or exceeded third‑grade benchmarks.

Why it matters: The agency framed the $5 million as a targeted investment to scale locally proven, evidence‑based interventions. First Steps described an innovation investments program that required collaboration between contiguous counties, had no geographic cap, and increased reach by roughly 600 children (an 11 percent increase year over year). The presenter said 20 of 46 counties now operate formal collaboration agreements and that recent 4K improvements added 31 classrooms and served 8 percent more children than the prior year.

Funding details and related requests: The presenter said the governor’s executive budget also includes $9.9 million from EIA surplus to expand 4K eligibility (from 185 percent FPL to 300 percent FPL), an item the presenter said is separate from the $5 million innovation request. The agency also noted a pending House proviso to move funding for the Dolly Parton Imagination Library to First Steps. "The $5 million is to maintain and expand innovation investments through the local partnerships," the official said.

Committee exchange: Committee members asked staff whether House 1 had funded the $5 million; staff answered that the $9.9 million in the executive budget remained in House 1 but the separate $5 million innovation request was not funded. Senator Williams pressed the presenter on whether rural communities are being shortchanged by the funding formula; the presenter replied that the agency does not intend to reduce rural investment but also wants to ensure populous areas are positioned to serve more children, noting that per‑child allocations can differ by about $2,000 between urban and rural markets under the current formula.

What’s next: First Steps asked the committee for support for the $5 million innovation request and for the 4K expansion item in the executive budget; the agency said it may return with additional proposals to address formula‑driven allocation differences.