House Ways & Means FY26 Outside Sections

The House Ways and Means Committee has released its proposal for the Fiscal Year 2026 state budget, totaling approximately $61.4 billion. As always, the budget is about more than just the numbers—it’s a reflection of policy priorities and legislative strategy. Below, we’ll walk through what the budget is funding and what’s tucked into the lesser-known “outside sections.”

What the Budget Funds

The bulk of the House FY26 budget goes to the state’s biggest responsibilities—healthcare, education, and local aid. Here's a summary of major allocations:

  • $22.4 billion for MassHealth, the state’s Medicaid program

  • $7.36 billion in Chapter 70 education aid for K-12 school districts

  • $1.31 billion in unrestricted local aid to cities and towns

  • $1.61 billion for the state's public higher education institutions, including UMass, state universities, and community colleges

  • $2.25 billion for debt service

  • $2.4 billion to cover the state’s share of group insurance costs

  • $687 million for the MBTA

  • $577.62 million for MassDOT

This proposal also includes $1.95 billion in spending backed by Fair Share Amendment revenue—the surtax on income over $1 million approved by voters in 2022. That funding supports:

  • A $500 million transfer to the Commonwealth Transportation Fund

  • 15 specific line items in Section 2F of the budget (these can include investments in education, transportation, and infrastructure)

Some standout investments tied to this Fair Share revenue include:

  • $360 million in childcare operational grants

  • $240 million to increase per-pupil reimbursements for school districts

  • $190 million to fund universal free school meals

  • $94 million to launch a free community college initiative

What Are "Outside Sections?”

Outside sections are one of the most important—and least understood—parts of the state budget. They don’t contain funding amounts like the main line items, but they change laws or create new ones.

Think of outside sections as a kind of policy toolkit. They’re used to:

  • Modify or clarify how money can be spent

  • Create or sunset state programs

  • Enact temporary or permanent law changes

  • Pass policy initiatives that might struggle to pass as standalone bills

While some outside sections deal with routine housekeeping—such as adjusting implementation dates or clarifying reporting deadlines—others are used to advance significant policy changes. These provisions can be a strategic way to enact reforms that might face steeper challenges as standalone legislation, effectively embedding major policy shifts within the broader momentum of the budget process.

Here are a few notable outside sections identified and summarized by MassTrac. To explore the full list with detailed summaries, check out our “Section By Section” report on the budget bill. 

What Didn’t Make It In?

A couple of high-profile proposals from Governor Healey’s version of the budget did not make it into the House plan, including:

  • The closure of Pappas Rehabilitation Hospital for Children

  • A proposed expansion of the sales tax to include candy

Both were significant policy moves that got pushback, and their omission in the House budget signals a difference in priorities between branches—or at least a decision to stall those debates for now.

The state budget can be dense, technical, and easy to lose track of—especially when major policy changes are buried in outside sections or when hundreds of amendments are filed in just a few days. That’s where MassTrac comes in. We break it all down so you don’t have to. Every outside section is summarized, every amendment is tracked, and every major funding priority is clearly outlined. Whether you're following a specific issue or just trying to stay in the know, we help you navigate the budget from start to finish. 

Have questions or need help finding something? Reach out to us at info@instatrac.com.

Training Sessions: Don’t forget to join our twice-weekly training sessions to learn how to maximize MassTrac’s features. Sessions are held every Wednesday at 2 p.m. and Friday at 10 a.m.

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