Boston – State Representative Steven S. Howitt (R-Seekonk) recently supported a $63.4 billion state budget that calls for increased state aid to cities and towns, lays the groundwork for future local aid reform, and holds the line on new taxes and fees.
After several weeks of negotiations, House and Senate conferees agreed to a compromise spending plan to fund state government in Fiscal Year 2027. The final conference committee report was filed on June 30 and approved by the House and Senate on July 1, the first day of the new fiscal year.
During the initial House budget debate in April, Representative Howitt advocated for a series of reforms to assist municipalities struggling with rising costs and increasing budget constraints, factors which have forced many communities to pursue Proposition 2 ½ overrides just to maintain basic core services. While more work needs to be done to make communities whole, he/she noted that the latest budget continues to move in the right direction by providing additional state funding assistance to cities and towns.
Representative Howitt said the budget contains significant increases in local aid funding, including Chapter 70 education assistance and Unrestricted General Government Aid (UGGA), which supports a wide range of municipal programs and services, including public safety. Chapter 70 is funded at $7.66 billion statewide, which represents an increase of about $297 million over Fiscal Year 2026. UGGA is funded at $1.363 billion, which is a $40 million increase over the previous fiscal year, with the additional funding set to be distributed on a per capita basis.
The Fiscal Year 2027 budget increases per pupil aid to $160 per pupil while fully funding the sixth and final year of the 2019 Student Opportunity Act. Representative Howitt noted that the new budget will provide Norton with $14,044,622 in Chapter 70 aid and $2,693,320 in unrestricted municipal aid; Seekonk with $8,599,658 in Chapter 70 aid and $1,614,375 in unrestricted municipal aid; Swansea with $11,637,498 in Chapter 70 aid and $2,433,954 in unrestricted municipal aid; and the Dighton-Rehoboth Regional School District with $14,411,508 in Chapter 70 aid and Rehoboth with $1,367,802 in unrestricted municipal aid.
Advocating for the communities in his district, Representative Howitt was also able to secure funding in the budget for several critical local projects in Norton, Rehoboth, Seekonk, and Swansea.
With members of the House Republican Caucus continuing to push for expanded financial relief for cities and towns, Representative Howitt said he was encouraged by the inclusion of language reviving the Foundation Budget Review Commission, which will evaluate how foundation budgets are calculated and recommend potential changes to the Chapter 70 formula to ensure a more equitable distribution of school funding. The commission will also look at spending on other education-related programs to see where improvements can be made, such as rural school aid, charter school costs, out-of-district special education costs, and school district transportation costs, including road mileage and geographic area.
Representative Howitt said the commission will hold at least four public hearings in geographically diverse regions of the Commonwealth to gather input. The commission is required to file its initial recommendations by October 31, 2028.
According to Representative Howitt, the Fiscal Year 2027 budget provides cities and towns with $57.1 million in regional school transportation, $35.2 million in homeless student transportation under the McKinney-Vento Act, $654.6 million in Special Education Circuit Breaker funding, and $200.4 million in charter school reimbursements. It also provides $16 million in rural school aid, along with $5.3 million for the school food services program and $4.4 million for the school breakfast program.
In addition to not imposing any new taxes or fee increases, the Fiscal Year 2027 budget continues to build the state’s Stabilization Fund reserves, more commonly known as the Rainy Day Fund, which is used during times of extreme economic downturns to help preserve critical state programs for Massachusetts residents. With a planned $51 million deposit, the fund is expected to grow to $8.2 billion this year.
The Fiscal Year 2027 budget was signed into law by Governor Maura Healey on July 9 with no amendments or vetoes.
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