Healey Proposes $63.4B Budget for Massachusetts

Governor's plan aims to boost spending by 3.8% despite projected 2.9% tax revenue growth

Jan. 28, 2026 at 1:15pm

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Massachusetts Governor Maura Healey has filed a $63.36 billion budget proposal for fiscal year 2027, representing a 3.8% increase in spending compared to the current budget. The plan comes amid challenges like eroding federal supports and sluggish growth in tax revenues, but Healey's administration says it focuses on affordability and delivering on key programs for residents.

Why it matters

Healey's budget proposal sets the stage for negotiations with the state legislature and will shape the funding priorities for Massachusetts in the coming fiscal year. With economic headwinds like inflation and potential recession, the governor's plan to balance spending increases with revenue projections will be closely watched.

The details

Healey's $63.36 billion budget proposal includes $60.114 billion in line item spending, $2.7 billion in spending supported by the state's income surtax, and a $550 million transfer to the Medical Assistance Trust Fund. The administration says its goal was to limit growth of accounts and seek efficiencies rather than eliminate programs, with healthcare costs expected to be the biggest budget challenge. The plan assumes $44.9 billion in tax revenue, a 2.9% increase over the current fiscal year.

  • Healey filed the budget proposal on Wednesday, January 28, 2026.
  • The fiscal year 2027 begins on July 1, 2026, but Massachusetts often misses the annual budget deadline.

The players

Maura Healey

The Governor of Massachusetts, who filed the $63.36 billion budget proposal for fiscal year 2027.

Matthew Gorzkowicz

The Administration and Finance Secretary, who said the administration's goal was to limit growth of accounts and seek efficiencies rather than eliminate programs.

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What they’re saying

“This budget is about making life easier and more affordable for Massachusetts residents and businesses.”

— Maura Healey, Governor (boston25news.com)

“At a time when budgets across the country are tight, this proposal maximizes our resources to deliver on what matters most while controlling spending, protecting taxpayer dollars and driving economic growth.”

— Maura Healey, Governor (boston25news.com)

What’s next

The House and Senate will now review and redraft Healey's spending blueprint, typically in April and May, before finalizing the state's fiscal year 2027 budget, which is due by July 1, 2026.

The takeaway

Governor Healey's budget proposal aims to balance increased spending on key programs with limited revenue growth, underscoring the fiscal challenges facing Massachusetts as it navigates economic headwinds. The final budget will be the result of negotiations between the governor and state legislature.