Committee hears JFO estimate that H.933 would shift about $10M to transportation fund; members warn of general-fund risk

Christopher of the Joint Fiscal Office presented the bill's fiscal note and told the Senate Appropriations Committee that an allocation change in H.933 would redirect about $10 million annually into the transportation fund by shifting portions of meals-and-rooms and purchase-and-use tax receipts. ‘‘This proposal would make a roughly $10,000,000 shift of revenues...’’ he said while explaining the mechanics, adding the change does not alter tax rates but reallocates which fund receives specified shares.

Members pressed the committee on timing and prudence. One member (Speaker 5) argued the permanent reallocation would ‘‘short’’ the general fund and reduce the state’s flexibility during a potential economic downturn, urging either a one-time transfer or delaying permanent reallocations. The member said the general fund supports social services and expressed concern about making permanent structural changes in an uncertain fiscal environment.

Christopher explained the governor’s proposal and the committee’s construct: the administration initially proposed an up-front general-fund transfer and phased allocations; the H.933 language accomplishes the same net $10 million effect by changing allocation percentages. He said the transportation fund benefits and the education fund is largely neutral in his estimates, but the general fund shows a loss beginning in FY27.

Committee members suggested further chair-to-chair budget talks before voting on the bill and discussed potential amendments to narrow the revenue shift or delay its permanent status. No formal vote occurred; the committee agreed to follow up before the bill moves to floor consideration.