Gov. Patrick Morrisey presented a balanced general revenue budget for fiscal year 2026 to lawmakers after initially announcing a $400 million budget gap last month. State revenue officials, including Budget Director Mike McKown, provided details to the House Standing Finance Committee. The budget bill, HB 2026, projects a 1.1% increase in revenue to $5.323 billion. McKown explained that expenses are outpacing revenues, leading to the budget gap. To address this, revenue adjustments, lottery revenue increases, surplus funds, cuts to departments, and consolidation of state agencies were implemented. The budget does not rely on Rainy Day or personal income tax reserve funds, and includes a $40 million allocation for economic development. The future budget forecast shows narrower gaps, with key expenses being public employee pay raises, health insurance, and the Hope Scholarship program. The Hope Scholarship is expected to cost over $300 million annually when all students are eligible in fiscal year 2027. Morrisey’s budget fully funds essential programs and marks the first time PEIA is funded without reserve funds. Nelson, McKown, and other revenue officials also briefed the state Senate Finance Committee.
Note: The image is for illustrative purposes only and is not the original image associated with the presented article. Due to copyright reasons, we are unable to use the original images. However, you can still enjoy the accurate and up-to-date content and information provided.
