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House committee approves biennial budget bills

House Appropriations and Revenue Chair Jason Petrie, R-Elkton, speaks on the state spending plan for the next biennium.

FRANKFORT — Four state budget-related bills were approved by the House Appropriations and Revenue Committee on Wednesday afternoon. 

The Kentucky General Assembly is tasked with approving the state’s spending plan every two years. House Bill 6 would appropriate billions per fiscal year to the state executive branch, House Appropriations and Revenue Chair Jason Petrie, R-Elkton, said. 

The chairs of the House Budget Review Subcommittees testified on the key investments in education, health care, public safety, infrastructure and more proposed in HB 6. 

They shared that among the many appropriations, the bill would:  


--Increase funding per-K-12 student by appropriating $117 million to the SEEK formula in 2024-25 and $164 million to SEEK in 2025-26.

--Appropriate $7.3 million in each fiscal year to establish the Student Teacher Stipend Program.

--Fully fund public school transportation by fiscal year 2025-26.

--Allocate $4.8 million per fiscal year for a Pilot Teacher Recruitment Student Loan Forgiveness Program.

--Fund 100 new social worker positions.

--Increase foster care per diem rates.

--Allocate an increase of $548.1 million toward Medicaid in the 2024 fiscal year.

--Allocate $24 million over two years to maintain the Child Care Assistance provider reimbursement increase.

--Appropriate millions toward clean drinking water initiatives.

--Meet the actuarial requirements for every state pension plan.

--Increase funding by $20 million in the 2025-26 fiscal year for primary and mental health care at juvenile justice facilities.

--Provide $7.8 million each fiscal year in additional funding for alternative detention programming for juveniles.

--Give a 4% inflationary salary increase for state employees in the 2024-25 fiscal year and an additional 2% the following fiscal year. 


Rep. Josie Raymond, D-Louisville said there is “a lot to like” about HB 6, but she had some questions about some of the appropriations in the bill. On education, Raymond noted there is a debate on whether the general assembly should fund teacher raises outright. 


“I know superintendents support your idea to put more money into SEEK and have raises flow from that,” she said. “But we’ve had superintendents here at the Capitol this week. With the small SEEK increases in this budget, they either can’t give raises or maybe it’d be 1%.” 


Petrie said the budget process is ongoing, and he and others are still talking with stakeholders on certain issues, such as SEEK funding. 


“This is the House version,” Petrie said on HB 6. “There will be a Senate version that I suspect will be different. And then there will be a conference committee that will be entirely different, most likely. We continue to listen for input.” 


Rep. Myron Dossett, R-Pembroke, said this is the seventh budget he’s voted on as a state representative. He reminded his colleagues that Wednesday’s committee hearing is the first step in a long process. 


“This is where we do our jobs as members of the general assembly, and now we start doing the work to make sure that we take care of our constituents at home in the best way possible,” Dossett said. 


The committee approved HB 6 by a 17-1 vote with four pass votes. 


In addition to HB 6, the committee approved House Bill 264, the proposed judicial branch budget, unanimously. House Bill 263, the proposed legislative branch budget, was approved by a 20-2 vote. 


House Bill 1 was approved by a 21-0 vote with one pass vote. The bill would give-one time budget reserve trust fund monies toward infrastructure improvements, state employee and teacher’s pensions, economic development projects and public safety. 

 

HB 1, HB 6, HB 263 and HB 264 will now go before the full House for consideration.

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