Senate approves $58 billion House and Senate compromise budget

Budget includes funding for Bristol County Superior Courthouse and Taunton State Hospital

Boston – Dean of the Massachusetts Senate Marc R. Pacheco announces that the Legislature enacted a $58 billion budget for Fiscal Year 2025 (FY25), which includes $750,000 set aside for Bristol County Superior Courthouse in Taunton along with providing resources to support continuing mental health care at Taunton State Hospital.

The FY25 conference committee report resolves differences between the versions of the budget passed by the House of Representatives and the Senate earlier this year and maintains fiscal responsibility while delivering historic levels of investment in every level of education, transportation, regional equity, workforce development, and health care.

“This budget provides the investment in the Commonwealth’s resources and services, like infrastructure and education, that our communities rely on day in and day out—without raising taxes,” said Senator Pacheco. “This budget also includes funding for projects that will enhance quality of life for stakeholders in the Third Bristol and Plymouth District and beyond.”

The FY25 budget recommends a total of $58 billion in spending, a $2 billion increase over the Fiscal Year 2024 (FY24) General Appropriations Act (GAA). This spending recommendation is based on a tax revenue estimate of $41.5 billion for FY25, which is $208 million less than revenues assumed in the FY24 GAA. This represents nearly flat growth, as agreed upon during the consensus revenue process in January, plus $1.3 billion in revenue generated from the Fair Share surtax.

As the Commonwealth adjusts to a changing economic landscape and ongoing tax revenue volatility, the FY25 budget adheres to disciplined and responsible fiscal stewardship. It does not raise taxes, nor does it draw down available reserves from the stabilization fund or the transitional escrow fund, while at the same time judicially utilizing one-time resources to maintain balance. The FY25 budget continues responsible and sustainable fiscal planning for the future by continuing to grow the Rainy Day Fund, already at a historic high of over $8 billion, to an anticipated balance of roughly $9 billion at the close of FY25.

Consistent with the consensus revenue agreement reached with the Healey-Driscoll Administration in January, the FY25 budget includes $1.3 billion in revenues generated from the Fair Share surtax of four percent on annual income above $1 million and invests these public dollars to improve the state’s education and transportation sectors.

To create a new funding source for EEC initiatives, the budget allows the Massachusetts Lottery to sell its products online. A portion of the new revenue collected from online lottery sales, estimated to be $100 million in FY25, would fund C3 grants, which provide long-term stability for high-quality and affordable care for families.

The FY25 budget invests $1.15 billion in housing, dedicating resources for housing stability, residential assistance, and homelessness assistance programs, ensuring the state deploys a humane, responsible, and sustainable approach to providing families and individuals in need with an access point to secure housing.

As part of Massachusetts investments in mental health services, Senator Pacheco secured the continuation and expansion of adult mental health care, support services and recovery programs at Taunton State Hospital.

“The services offered at Taunton State Hospital are vital to meeting the needs of those in our community who are struggling with mental illness and substance abuse,” said Senator Pacheco. “Accessing the resources this facility offers is vital for Taunton and nearby communities.”

The FY25 budget includes important consumer protections, including ending the practice of home equity theft, a practice where cities, towns, and even private companies can foreclose on a home for taxes owed, sell it, and pocket the profits. With this crucial step, the Legislature strikes a balance to ensure equity is returned to homeowners and taxpayers, while municipalities will be made whole and protected moving forward.

The budget also supports students across the full spectrum of the Commonwealth’s education system, shaping policies to make high-quality education more accessible and making significant investments in the education system, from our youngest learners to adults.

The FY25 budget further demonstrates the Legislature’s commitment to partnerships between the state and municipalities, dedicating meaningful resources that touch all regions and meet the needs of communities across the Commonwealth. This includes $1.3 billion in funding for Unrestricted General Government Aid (UGGA), an increase of $38 million over FY24, to support additional resources for cities and towns.

“Unrestricted General Government Aid funding allows our local municipalities to invest resources into their communities and the people that live there,” said Senator Pacheco. “Putting these funds into the hands of municipal leaders allows them to best decide what programs and projects should be invested in to improve the lives of their residents.”

The FY25 budget codifies several provisions that transform the early education sector by improving affordability and access for families, increasing pay for early educators, and ensuring the sustainability and quality of early education and care programs.

In addition to the record levels of investment in early education and K–12, the FY25 budget removes barriers to accessing public higher education by codifying into law MassEducate, a $117.5 million investment in the universal free community college program that covers tuition and fees for residents, aimed at supporting economic opportunity, workforce development, and opening the door to higher education for people who may never have had access.

The FY25 budget follows through on the Legislature’s commitment to fully fund and implement the Student Opportunity Act (SOA) by Fiscal Year 2027, investing $6.9 billion in Chapter 70 funding, an increase of $319 million over FY24, as well as increasing minimum Chapter 70 aid from $30 to $104 per pupil, delivering an additional $37 million in resources to school districts across the state. With these investments, the Legislature continues to provide crucial support to school districts confronting the increasing cost pressures that come with delivering high-quality education to all students.

“Investments in education, including through Chapter 70 funding, will allow Massachusetts students to take advantage of a better equipped and more accessible school system,” said Senator Pacheco. “Including this funding in the budget will not just go to our young students but also to supporting those in the workforce by boosting their access to higher education and workforce training opportunities.”

Local communities and school districts receiving Chapter 70 funding and Unrestricted General Government Aid include:

Municipality or District - Chapter 70 - Unrestricted General Government Aid
Berkley - $4,222,848 - $749,194
Carver - $10,619,393 - $1,798,774
Dighton -  $8,253 -  $952,104
Marion -  $1,195,102 -  $277,832
Middleborough -  $22,651,805 -  $3,035,815
Raynham -  $0 -  $1,400,176
Rehoboth - $0 - $1,283,550
Seekonk -  $7,970,778 -  $1,515,221
Taunton -  $94,965,614 -  $10,356,565
Wareham -  $16,460,832 -  $2,436,234

Regional School Districts
Bridgewater-Raynham -  $31,528,709
Bristol County -  $5,148,716
Bristol-Plymouth -  $14,460,069
Dighton-Rehoboth -  $13,618,578
Somerset-Berkley -  $7,069,701
Totals - $229,920,398 -  $23,805,465

Senator Pacheco also secured $500,000 that will be used for restoring and replacing the iconic copper flame sculpture that sat atop the historic Bristol County Superior Court House in downtown Taunton, which was removed due to safety concerns.

“This funding is necessary for the restoration of the Bristol County Superior Court House building,” said Senator Pacheco. “This courthouse will once again have this iconic symbol of downtown Taunton.”

Additionally, Senator Pacheco secured a $250,000 bond authorization for Bristol County Superior Court House in Taunton to use on renewable and sustainable initiatives at the 130-year-old courthouse building.

Having passed the House of Representatives and the Senate, the FY25 budget now moves to the Governor’s desk for her consideration.