Budget Cycle

Governor Submits Budget
November 15

Fiscal Year Begins
July 1 

Governor Signs Budget 
5 days after approval

Budget Links 

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

Proposed Budget - Fiscal Year 2023

On November 15, Mississippi Governor Tate Reeves introduced a fiscal 2023 executive budget recommendation that proposes $8.09 billion in state support funds, an increase of 22.4 percent over fiscal 2022. This increase is largely driven by a 530.8 percent increase in the Capital Expense Fund, a fund created for capital expense needs, repair and renovation of state-owned properties, and specific projects. General fund agency appropriations total $6.49 billion, a decrease of 1.7 percent from fiscal 2022. General fund revenue estimates for fiscal 2023 total $6.49 billion, a 9.6 percent increase over the prior year amount of $5.93 billion. The required 2.0 percent general fund revenue set aside removes $129.9 million from available general fund revenues, for a net of $6.36 billion. The executive budget recommendation includes proposals for spending the state’s allocation of American Rescue Plan Act (ARPA) funds.

Proposed Budget Highlights 

The budget highlights the governor’s key priorities for fiscal year 2023 including: increasing skills training; investing in infrastructure; eliminating the income tax; and improving education and raising teacher pay. Funding recommendations include:

Economic Development Proposals:
  • Eliminates the individual income tax. Allocating $1 billion of excess revenue would eliminate the 4 percent bracket in fiscal year 2023 and eliminate a significant portion of the 5 percent bracket starting in calendar year 2023. In order to completely eliminate the income tax in five years, the budget proposes allocating 50 percent of excess revenue to this goal.
  • Implements a budget cap to protect the state’s fiscal and financial health. The governor proposes limiting the increase of the state’s general fund budget to no more than 1.5 percent each fiscal year.
  • Invests $50 million in capital expense funds towards a Site Development Grant program to increase the number of marketable, or shovel ready, sites in the state.
  • Transfers oversight of state parks from the Department of Wildlife, Fisheries and Parks to the Mississippi Development Authority’s Tourism Department and creates a pilot program for an independent third party to manage two state parks.
Education Proposals:
  • Allocates $71 million for teacher pay raises. This includes an immediate $1,300 across-the-board teacher pay raise followed by a $1,000 raise per year in fiscal years 2024 and 2025.
  • Proposes a $3 million investment from capital expense funds in a Patriotic Education Fund.
  • Allocates $3 million to fund additional quality math coaches.
  • Invests $400,000 to increase the number of National Board Certified Career Technical Education (CTE) Teachers.
  • Recommends $2 million to fund a dedicated computer science coordinator at the state level and to train and prepare computer science teachers.
Public Safety Proposals:
  • Allocates an additional $5.5 million to double the size of the Capitol Police Force to 150 officers and help keep the capital city safe.
  • Provides an additional $5 million to recruit law enforcement officers from other states.
  • Adds employee positions at two correctional facilities and shifts $20.2 million from the private prison account to fund the facilities. Allocates an additional $9.3 million for correctional officer positions to ensure adequate staffing at both facilities.
  • Proposes $2 million for re-entry programs focusing on individuals eligible for parole within six months.
  • Proposes expansion of the work release program pilot program to each of the state’s 82 counties, administered by the county sheriff with oversight by the Department of Corrections. Allocates $200,000 for program operation.
ARPA Proposals:
  • $130 million to increase workforce training opportunities for in-demand career paths;
  • $200 million for broadband expansion efforts;
  • $100 million towards implementation of a Water and Sewer Grant program;
  • $50 million for downtown revitalization projects across the state;
  • $52 million over four years for additional tourism investment;
  • $300 million to upgrade the state’s aging 911 infrastructure and implement Next Generation 911;
  • $200 million to refill the Unemployment Insurance (UI) Trust Fund to pre-pandemic levels; and
  • $200 million to strengthen the Mississippi State and School Employees’ Life and Health Insurance Plan surplus.

Proposed Budget Information

Fiscal Year 2023 Budget Proposal