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Governor’s FY27 budget closes near‑term gap but projects growing long‑term shortfall
Summary
Department of Legislative Services told the Ways and Means Committee the governor’s $70.7 billion FY27 plan narrows the immediate shortfall and meets spending‑affordability targets, but out‑year structural deficits could exceed $4 billion by 2031, with major exposure from blueprint implementation and the Child Victims Act.
The Department of Legislative Services told the Ways and Means Committee on Jan. 27 that the governor’s proposed fiscal 2027 budget totals about $70.7 billion and narrows a near‑term cash shortfall while leaving large structural challenges later in the decade.
“Starting there on that, first page, the governor's proposed budget is about $70,700,000,000 for fiscal 27,” said David Romans, fiscal and policy coordinator for the Department of Legislative Services. Romans said the plan is roughly $500 million — a little under 1% — higher than the FY26 plan, noting FY26 included about $3.0 billion of efficiency appropriations.
Romans said the administration meets the spending‑affordability committee’s minimums, leaving an estimated general fund balance for the end of FY27 of…
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