Georgia

Georgia

Budget Cycle
Annual
  
Governor Submits Budget 
January (2nd week)

Fiscal Year Begins
July 1

Governor Signs Budget
May

Budget Links

FY2027 (proposed)
FY2026 (enacted)
FY2025 (enacted)
FY2024 (enacted)
FY2023 (enacted)
FY2022 (enacted)

Proposed Budget - Fiscal Year 2027

On January 15, Georgia Governor Brian Kemp released a $76.5 billion total funds budget proposal for fiscal 2027, a decrease of 4.2 percent from the amended fiscal 2026 budget. From state funds the budget proposes spending $38.5 billion, a decrease of 8.9 percent compared to the amended fiscal 2026 budget (which includes $3.7 billion in funds available from the beginning fund balance for one-time, high priority investments); compared to the original fiscal 2026 budget, the proposed fiscal 2027 budget increases 2.0 percent. General fund appropriations total $32.9 billion in the fiscal 2027 proposed budget, a decrease of 10.7 percent compared to the amended fiscal 2026 budget and an increase of 1.3 percent compared to the original prior year budget. State general fund receipts are projected at $36.6 billion in fiscal 2027, a decrease of 0.4 percent from amended fiscal 2026, while total state treasury receipts are estimated at $38.5 billion in fiscal 2027, a decrease of 0.3 percent from amended fiscal 2026. The Revenue Shortfall Reserve was $5.6 billion at the end of fiscal 2025, maintaining a “filled” status for the fifth consecutive year; current law provides that the reserve cannot exceed 15 percent of the previous fiscal year’s net revenue. Across state funds appropriated in the fiscal 2027 budget, the largest categories of spending are dedicated to Educated Georgia (54.0 percent), Healthy Georgia (23.5 percent), Safe Georgia (7.5 percent), and Mobile Georgia (7.4 percent). 


Proposed Budget Highlights 

The governor’s proposed budget builds on the momentum built over prior years by advancing policies that keep Georgia competitive, put hardworking Georgians first, and prepare the state for the industries and uncertainties of the future. 

Tax Provisions

  • In the State of the State speech, the governor announced a fourth, one-time, $1.0 billion tax rebate this year that will save the average filer $250 dollars and a married couple up to $500.
  • Proposes a further 20-basis point reduction in the state’s personal and corporate income tax rate, bringing it to 4.99 percent. 

Educated Georgia

  • Early care: 
    • Allocates funds for year three of a four-year phase-in to reduce Pre-K classroom size from 22 to 20 students.
  • K-12 schools: 
    • Adds funds for enrollment growth and training and experience as well as to fund the state share of employer increases on certified educators who participate in the health insurance plan. 
    • Provides funds for growth in the State Commission Charter Schools Supplement and for additional local charter incentive grant funding to encourage growth of locally authorized charter schools.
    • Allocates funds for enrollment growth in the special needs scholarship and for the Pupil Transportation Grant. 
  • Higher Education:
    • Provides additional funds to the University System of Georgia to reflect an increase in credit hour enrollment and to support expansion of graduate medical education.
    • Allocates additional funds for Dual Enrollment and to establish the Georgia Foster Care Scholarship.

Healthy Georgia

  • Allocates funds for the Georgia Housing Voucher Program for 404 additional housing vouchers to achieve substantial compliance with and termination of the behavioral health requirements of a settlement agreement.
  • Provides funds to support the state’s mental health crisis system through mobile crisis response teams and the 988 hotline.
  • Directs funds for Medicaid and PeachCare, including for Medicare Part B premiums, Medicare Part D Clawback, and skilled nursing centers.
  • Adds funds to reflect a reduction in the SNAP administrative reimbursement from 50 percent to 25 percent.
  • Allocates funds for a SNAP payment accuracy innovation effort to reduce the SNAP payment error rate.
  • Provides funds to expand the maternal home visiting program to an additional 21 counties to increase access to maternal fetal medicine in rural communities. 

Safe Georgia

  • Allocates funds for additional correctional officer positions to improve staff to offender ratios.
  • Provides funds for operations of five modular correctional units and for increases to health contracts to increase staffing ratios, a per diem increase, and to reflect the opening of additional beds.
  • Directs funds for three new special agent positions at the Georgia Bureau of Investigation and to annualize three human trafficking positions.
  • Provides funds to establish the State Law Enforcement Officers defined contribution retirement plan. Under this new model, the state will provide a higher match to the 401(k) savings accounts of eligible public safety officers’ through a steeper contribution schedule.

Other Priorities

  • Adds staff to reduce collection delinquency and replenish the Unemployment Trust Fund along with financial auditors to prevent unemployment insurance fraud.
  • Utilizes bond funds for major renovations and improvements at State Parks and department facilities.
  • Provides additional lottery funds for the HOPE scholarships and grants to meet the projected need.