Wednesday, January 14, 2026

FY27 MA state budget built on a 2.7% increase

 So far only State House News has this (sorry, they're paywalled), but next year's revenue figure (at least for now) has been agreed upon and released: 

Secretary of Administration and Finance Matthew Gorzkowicz, Senate Ways and Means Chair Michael Rodrigues and House Ways and Means Chair Aaron Michlewitz said their tax estimate agreement includes money coming in from the surtax on high-earning households. Excluding surtax revenue, the agreement foresees $42.2 billion in tax revenue for fiscal year 2027, an increase of 2.4% over the current fiscal 2026 benchmark. The most recent national measure of inflation showed prices rose at an annual rate of 2.7% as of the end of 2025.

The headline reads 2.7% because it includes the Fair Share funding:  

Budget managers also agreed to assume $2.7 billion in surtax revenue will come in during fiscal 2027 and to cap surtax revenue spending at the same amount. That would make $300 million more in surtax revenue available for spending compared to the current budget, they said. Massachusetts collected $3 billion from the surtax in fiscal 2025 and that revenue by law is supposed to only be spent on education and transportation.

So they're underbudgeting again...sigh.

 

No comments: