Budget Cycle

Governor Submits Budget
January (4th Wednesday)

Fiscal Year Begins
July 1 

Governor Signs Budget 

Budget Links

FY2023 (enacted)
FY2023 (proposed)
FY2022 (enacted)
FY2021 (enacted)
FY2020 (enacted)
FY2019 (enacted)
FY2018 (enacted)

Proposed Budget - Fiscal Year 2023

On January 26, Massachusetts Governor Charlie Baker released his proposed fiscal 2023 budget totaling $48.5 billion in authorized spending and transfers, which is approximately 0.5 percent above fiscal 2022, excluding transfers to the Medical Assistance Trust Fund. The proposed budget is based on the $36.9 billion consensus tax revenue estimate, which anticipates a 2.7 percent growth in total collections over revised fiscal 2022 tax estimates. The budget includes a $749 million increase to the stabilization fund, which in combination with projected fiscal 2022 transfers, would bring the balance to $6.64 billion by the end of fiscal 2023. The budget recommendation incorporates a $3.744 billion pension transfer, an increase of $329 million above fiscal 2022, keeping to the current pension schedule. The budget also proposes a supplemental pension transfer of $250 million. Along with the budget, the governor is also recommending a tax relief proposal that totals $693 million, including relief for low-income residents, renters, parents, and seniors.

Proposed Budget Highlights 

Major priorities in the proposed fiscal 2023 budget include education, housing, health care, and a package of tax breaks. Funding recommendations include:

  • Fully funds the Student Opportunity Act, adding a total of $591.4 million in new spending for a total of $6 billion.
    • Includes a $41 million increase over fiscal 2022 for special education circuit breaker reimbursement for cities and towns, and a $64.8 million increase in charter school reimbursement funding. 
  • $802 million in funding for the Department of Early Education and Care. 
  • $31.1 million to scale up college and career pathway programs for high school students with a focus on equity and recruitment of high-need student populations.
  • Increases unrestricted general government aid investment by $31.5 million, consistent with the expected 2.7 percent growth in tax revenue.
  • Housing investments of $213.2 million, an 8 percent increase above fiscal 2022, for emergency assistance family shelters and $85 million in funding for local housing authorities.
  • $17.8 billion gross amount and $7.2 billion net for MassHealth, which includes $115 million to expand outpatient and urgent behavioral health services and incorporates an increase of $21 million to expand the Medicare Savings Program.
  • Recommends a package of tax breaks for low-income workers, renters, and seniors totaling $700 million in tax relief to low-income families and residents.