JFAC hears FY2025–26 budget overview showing about $700 million structural balance, transfers and one-time uses highlighted

The Joint Finance-Appropriations Committee on Friday received an overview of the governor—s FY2025 and FY2026 budget from Keith Bybee, division manager of budget policy analysis for the Legislative Services Office.

Bybee said the current revenue forecast produces a structural balance of almost $700,000,000 in 2025 and that the governor—s recommendations keep a similar delta into 2026. "For fiscal 2025, you're seeing a structural balance of almost $700,000,000 with the current revenue forecast," Bybee said.

The presentation framed the state—s revenue picture as still elevated above pre-2020 trends, driven in part by pandemic-era federal funds and sustained population growth. Bybee said the State General Fund grew from about $4.0 billion before 2020 to roughly $5.7 billion in 2024 actual collections and that governor—s baseline projections show continuing growth rather than a reversion to earlier trends.

Why it matters: That sustained revenue base gives the legislature more room to choose among competing priorities — tax relief, increased ongoing services, or one-time investments — but also raises…