Budget bill passes House
The FY 2012-14 Executive Budget (HB 265) passed the House yesterday by a vote of 78-17. The House passed a House Committee Substitute for HB 265 that adopted the governor’s proposed budget with a few notable changes:
- The additional $15 million in FY 14 proposed by the governor to add 4,000 four year-olds to the preschool program was reduced by half to $7.5 million, with the other half going to Read to Achieve and extended school.
- The governor proposed that any surplus revenue received that was above the revenue estimate would be split between SEEK and the budget reserve trust fund, but the House budget put all these funds in the budget reserve trust fund.
- Family Resource Centers receive an additional $2 million in each year of the biennium.
- Commonwealth and county attorneys both receive an additional $800,000 in both FY 13 and FY 14.
- Specifies no raises for state employees.
- Specifies no Cost-of-Living Adjustment (COLA) for state retirees (does not include teachers under KTRS) to help address the state’s massive unfunded pension liabilities.
- The state fair board receives $5.5 million in the current fiscal year proposed by the governor, but does not receive the additional $1.6 million in FY 13 and $1.7 million in FY 14 the governor proposed.
- Legal costs recovered by the attorney general in the National Mortgage Settlement go into a restricted fund for later appropriation by the General Assembly.
- The salary of the president of the Council on Postsecondary Education was frozen at the January 1, 2012 level.
- The Department of Aging and Independent Living receives an additional $5 million in each year of the biennium.
- Language is included to require reports by Medicaid Managed Care Organizations and access to their records.
- An additional $15 million is taken from the Treasury from unclaimed property held by the State Treasurer.
- All university bond projects funded with university funds were deleted.
HB 265 now heads to the Senate, which will likely make additional changes to the bill.
Categories: Taxes & Budget