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Board hears Foundational Public Health Services funding shortfall and plan to close FY2026 gap

Washington State Board of Health · April 8, 2026
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Summary

Board staff reported a $4 million FY2026 FPHS funding shortfall and a projected $21 million FY2027 gap driven in part by a statutory change to tobacco product definitions; the steering committee plans to close 2026’s gap via underspend and one-time redirects and will reconvene on FY2027.

Executive Director Michelle Davis briefed the Washington State Board of Health on April 8 about the Foundational Public Health Services (FPHS) Steering Committee’s work to address current and projected funding shortfalls.

Davis said the steering committee agreed on a plan to close a $4 million shortfall for FY2026 through underspend and one-time funding redirects from the Department of Health and local health jurisdictions. The committee will reconvene to address a projected $21 million shortfall for FY2027, which staff attributed in part to a statutory change in the definition of tobacco products enacted during the 2025 legislative session.

Davis outlined the FPHS funding distribution: local health jurisdictions receive about 73.7% of the funding, the Department receives approximately 20.7%, Tribes 4.7%, and the Board less than 1%. Board members were encouraged to engage with FPHS work ahead of the next legislative session to understand impacts on local budgets and service delivery.

Members discussed dissemination of the 2026 State Health Report and the value of framing priorities to aid local boards and counties in budget discussions. The Board also heard that staff will consider system-investment reductions before seeking additional sector investments.

What happens next: the steering committee will reconvene to develop options for FY2027 and Board members were asked to provide feedback on report framing and priorities to staff.