House Appropriations

House Appropriations Committee · February 26, 2026

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Staff briefing: House Bill 2689 (Working Connections Childcare proposed substitute)

Presentation

1:53 → 7:59(6m 6s)

Jordan Clark, committee staff, briefed the committee on substitute HB 2689 (H-3), explaining four major changes: (1) it removes scheduled income eligibility expansions (75% and 85% SMI), (2) it reduces future subsidy rate targets from the 80th to the 70th percentile of the market-rate survey beginning July 2027, (3) it prohibits providers receiving regional-differential rates outside their subsidy region beginning 07/01/2026, and (4) it changes attendance-payment rules (full-month pay only if absences ≤10 days; half-month pay for 11+ absences) with staggered effective dates; Clark noted fiscal

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House Appropriations Committee held a series of staff briefings and public hearings on multiple bills including childcare subsidy changes (HB 2689), Medicaid post-acute network standards (SSB 5124), retirement COLA proposals, hospital payment designations and several labor and regulatory bills; advocates, agency staff and local officials provided testimony.

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