Budget director details ARPA spending, pay‑plan and warehouse consolidation during House Bill 20 briefing

State budget director Dan Hogg told the House Budget Committee on March 12 that Missouri received roughly $2.6 billion in federal ARPA (American Rescue Plan Act) funds and must obligate those funds by the end of calendar year 2026. The director said roughly $1.2 billion has been spent so far and that the remaining money is locked to statutorily‑allowed ARPA purposes.

Hogg said the FY26 House Bill 20 materials include many line‑by‑line adjustments reflecting projects that have been partially spent or cancelled. "We got about $2,700,000,000. We have spent about $1,238,000,000," he said, putting current expenditure at roughly 46 percent of total ARPA receipts.

Why it matters: ARPA dollars are time‑limited and subject to federal rules. Hogg told the committee those constraints prevent moving money freely between projects; unspent balances must be obligated by the federal deadline or returned. To avoid returning unobligated balances, the FY26 budget includes a $150 million appropriation to the education foundation formula as a “safety valve” that would preserve general revenue only if unobligated ARPA funds remained.

Key details and changes - Foundation‑formula “safety valve”: Hogg described a $150 million line…