Overview
Through February 25th, governors from 43 states and territories have delivered a State of the State address. In their speeches, governors described the state of their state as strong, resilient, and well positioned for the future. Many highlighted economic growth, job creation, fiscal discipline, record reserves, sustained investment in core priorities, and efforts to increase opportunities and build a brighter future. At the same time, challenges with affordability and the cost of living emerged as a central focus across many governors’ addresses. Governors repeatedly cited rising housing, childcare, food, healthcare, and utility costs as top concerns for families.
Below are trends from State of the State speeches through January. To read individual summaries of State of the State addresses, please click here.
Key Speech Highlights
In their addresses, governors discussed:
· Affordability and Cost of Living – Addressing affordability and the rising cost of living was frequently identified as a top priority; many of the program area-specific initiatives highlighted below were aimed at responding to these concerns. Examples of proposals addressing affordability included reducing or reforming property taxes, providing one-time rebates, and expanding or creating child and earned income tax credits. Governors also emphasized holding the line on utility price hikes, accelerating housing production, expanding affordable housing, increasing access to childcare, providing free school meals, and reducing healthcare expenses.
· Energy and Utilities – Governors outlined plans to stabilize or freeze utility rate increases, expand in-state power generation, modernize transmission systems, invest in renewable and nuclear capacity, and protect ratepayers from large energy users shifting costs to households. Several states emphasized diversifying energy portfolios to reduce long-term volatility.
· Housing and Homelessness – Governors discussed accelerating housing production through zoning and permitting reform, reducing regulatory barriers, leveraging public land, expanding affordable and workforce housing programs, and supporting first-time homebuyers. Some proposed housing bonds or new housing acceleration funds. Many also highlighted expanded services for individuals experiencing homelessness and housing-first approaches integrated with healthcare and behavioral health supports.
· Childcare and Early Learning – Proposals included expanding access to childcare, stabilizing providers, increasing wages for childcare workers, supporting universal or expanded pre-kindergarten, and providing childcare tax credits or direct subsidies. Several governors framed childcare as both an affordability strategy and a workforce development initiative.
· Elementary and Secondary Education – Governors proposed increasing per-pupil funding, raising teacher pay, strengthening literacy and math instruction, investing in school safety, expanding school choice options, and implementing cellphone restrictions during the school day. Many emphasized accountability measures, improved academic outcomes, and preparing students for postsecondary success.
· Higher Education – Efforts included tuition freezes at public colleges and universities, expanded scholarships and need-based aid, dual enrollment programs, career and technical education investments, and alignment of higher education systems with workforce needs. Some governors proposed making community college tuition-free or highlighted plans to make such a program permanent.
· Workforce and Economic Development – Governors highlighted private-sector investment, job creation, site readiness initiatives, apprenticeship expansion, workforce training, and support for small businesses. Many emphasized rural economic development, advanced manufacturing, technology sectors, and aligning education and workforce systems to meet labor market demand.
· Health Care and Rural Health – Initiatives focused on lowering healthcare costs, expanding access, reforming Medicaid, addressing workforce shortages, reducing prescription drug costs, eliminating medical debt, and expanding behavioral health services. Several states emphasized Rural Health Transformation initiatives and stabilizing rural hospitals.
· Public Safety – Governors discussed investments in law enforcement staffing and pay, improving or building new corrections facilities, sentencing reforms, efforts to combat drug trafficking and violent crime, school safety measures, and expanded behavioral health crisis response services.
· Infrastructure and Transportation – Speeches highlighted continued investments in roads, bridges, transit systems, broadband expansion, ports, ferries, and capital projects.
· Natural Resources and Water – Proposals included strengthening water supply planning, expanding conservation efforts, investing in flood mitigation and wildfire prevention, protecting agricultural resources, and enhancing long-term climate resilience.
· Fiscal Management and Government Efficiency – Many governors emphasized disciplined budgeting, maintaining reserves, paying down debt, consolidating agencies, streamlining regulations, government transparency, and modernizing state systems to improve service delivery and long-term fiscal sustainability.
· Tax Reform – Proposals included additional personal income tax reductions, property tax relief, expanded tax credits, targeted tax relief for seniors and working families, one-time rebates, modernizing the sales tax base, pausing planned future tax cuts, and creating a new income tax on millionaires. Governors also discussed their recommendations to conform, or not to conform, with various provisions of the One Big Beautiful Bill Act (OBBBA).
· Other – Governors also focused on responding to federal policy changes, emergency preparedness and disaster recovery, artificial intelligence oversight, rural community investment, food security, veterans’ services, attracting and retaining state workers, promoting civility, and strengthening civic engagement.