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Panel approves fund-source move, OIT modernization and funding shifts for Health and Welfare’s administrative division

Joint Finance-Appropriations Committee · March 12, 2026
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Summary

Lawmakers approved a budget-neutral fund-source change to isolate background-check revenues, authorized replacement items and OIT modernization (moving FTP to OITS), and addressed the fiscal impact of SB 1314 as part of the Division of Indirect Support Services package.

Alex Williamson (LSO) described an enhancement to move 19 FTP and roughly $3.1 million from the cooperative welfare dedicated fund to the miscellaneous revenue fund to isolate background-check unit revenue and expenses. The governor’s recommendation also included replacement items for state hospitals and funding associated with IT modernization and consolidation that would remove 58 FTP from the Department of Health and Welfare and move those positions to the Office of Information Technology Services (OITS).

A committee motion packaged these fund-source changes with replacement-item dollars, the OIT modernization personnel realignment, and a reduction to account for the fiscal impact of Senate Bill 1314 (repeal of some health boards). A member voiced concern about eliminating regional behavioral health boards, saying those boards provide public input and quasi-judicial functions; the sponsor said the motion would be carried despite his objection to the policy change.

The committee approved the motion; the chair recorded the roll-call tallies and carried a do-pass recommendation.