Appropriations Committee hears analysis of supplemental budget; BRE write-down puts state budget out of balance

The Appropriations Committee heard a presentation on Supplemental Budget No. 1 showing a roughly $100 million projected general fund balance under the governor's plan — before a Board of Revenue Estimates adjustment announced the same day that cuts roughly $350 million from projected general fund revenues across fiscal 2025 and 2026.

That BRE revision would turn the governor's plan into an estimated $247 million deficit by the end of fiscal 2026, David Romans of the Department of Legislative Services told the committee. "If you were to take in the BRE write down ... you have a closing balance of about $247,000,000 negative under the governor's plan," Romans said.

Why it matters: the shortfall means the General Assembly must take additional steps to bring the budget into balance, lawmakers and analysts said. The supplemental includes a mix of one-time transfers, fund swaps and spending restorations that reduce near-term pressure but depend on further legislative action and accounting treatments to be effective.

Key revenue and transfer changes described by analysts include an $80 million transfer from the Strategic Energy Investment Fund to the general fund, and approximately…