Appropriations reviews FY26 fund transfers, drafts $2M housing appropriation from cash fund

The House Appropriations Committee on March 21 reviewed proposed FY2026 interfund transfers and cash-fund reallocations and discussed a draft $2 million line-item appropriation to the Agency of Commerce and Community Development (ACCD) for housing and related infrastructure.

Committee members and staff focused first on transfers that do not involve the general fund, including a $12,500,000 transfer out of a cash-fund subaccount to the transportation fund to serve as federal match for IIJA-funded projects and an annual downtown/transportation contribution from the transportation fund to capital-related debt service. Emily Byrne, Joint Fiscal Office staff, summarized the non‑general-fund items as “the other transfers that are not related to the general fund,” and walked the committee through the spreadsheet detail.

Why it matters: those cash‑fund moves affect how the state draws down federal Infrastructure Investment and Jobs Act (IIJA) dollars, relieve or add pressure on specific capital accounts, and change the pool of cash available for other capital projects. Scott Moore of the Joint Fiscal Office warned the committee that current plan language would ‘‘spend all the cash down’’ in the cash fund over the two‑year cycle unless new transfers occur.

Key facts and decisions discussed

- IIJA match: Committee staff explained…