With the House and Senate having overridden a number of the Governor's vetoes, the Fiscal Year 2016 (FY 2016) budget is now largely complete. This year's budget makes few major changes in overall funding provided to educate our children, keep our communities safe, protect our most vulnerable, strengthen our economy and improve the quality of life in our communities. Click HERE for our full analysis.

The budget does include several significant new initiatives, including:

The final budget, like the budget proposed by the governor back in March, relies heavily on temporary strategies to balance the budget. It spends $300 million in capital gains tax revenue that would have gone into the Rainy Day Fund under current law. It also counts on $100 million from a tax amnesty and $116 million from putting off paying some of our FY 2016 MassHealth bills into FY 2017.

As has been the case for many years, state budget choices are being shaped by fiscal challenges that date back to the late 1990s: after cutting the income tax by over $3 billion dollars between 1998 and 2002 our state has had to make deep cuts in areas like higher education, local aid, and public health. Meanwhile, the highest income residents in the Commonwealth are paying a substantially smaller share of their income in state and local taxes than do the other 99%. If our tax system were reformed so that the highest income 1% of taxpayers paid roughly the same share of their income in taxes as everyone else, that would raise about $2 billion that could be invested in things like making college affordable, improving our transportation systems, and providing all children with the supports they need to thrive.