House approves fiscal 2026 state budget resolution after hours of debate

The Puerto Rico House of Representatives approved Resolution Conjunta de la Ce1mara 136, the state-only portion of the fiscal 2026 budget, on June 19 after extended debate about municipal allocations, Medicaid funding shortfalls and contingency reserves.

The chamber voted 34 in favor and 17 opposed to pass the resolution after the majority presented a set of last-minute amendments negotiated with municipal leaders and the Financial Oversight and Management Board. Portavoz Torres Zamora and Representative Bendez Nfaez (presenting the amendments) framed the measures as necessary to preserve services while maintaining compliance with the boards requirements.

The budget as presented for the record covers only state (non-federal) funds and totals roughly $13.95 billion in the figures described to the House during the committee process. Lawmakers said the largest single allocations are to the Department of Education (about $3 billion in state funds) and to funds held under the Office of Management and Budget custody; the plan also sets aside payroll and operational allotments, debt service and targeted capital items. The House adopted technical edits and item reallocations that its fiscal committee chair said reflect negotiations with the governors office and the oversight board.

Backers said the resolution increases the governments reserve target to 5 percent to create a larger contingency buffer against the scheduled phaseout of certain federal pandemic-era funds and the potential Medicaid cliff in 2027. Representative Bendez Nfaez said the package included municipal-targeted amendments for infrastructure, health and public-safety priorities negotiated with municipal associations and with board approval.

Opponents, including Representatives Ferrer Santiago and members of the Popular Democratic Party delegation, said the chamber lacked sufficient information about the final text of the amendments at the time of debate. Critics also said the budget relies on assumptions about federal funding continuity and that municipalities still faced fiscal uncertainty because some allocations would be subject to additional conditions or agency verification.

The House adopted a long list of line-item corrections and numeric adjustments during the sessions amendment process; the fiscal committee chair read multiple technical substitutions into the record before the final vote. The resolution now proceeds under the legislative process established for enactment.

Lawmakers signaled they will continue oversight: the House fiscal committee said it will monitor revenue and expenditure developments and may hold additional oversight sessions if federal funding or programmatic changes materialize.

A formal roll call reported the final chamber vote as 34-17 in favor of Resolution Conjunta de la Ce1mara 136.