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Massachusetts Governor Announces $375M Budget Cuts Amid Revenue Shortfall

Cuts to Affect Various Programs, but MassHealth Eligibility Unchanged

  • Massachusetts Governor Maura Healey has announced $375 million in budget cuts due to a shortfall in tax revenue, which is running $769 million, or about 4 percent, behind projections midway through the current fiscal year.
  • The cuts will affect hundreds of millions from programs that provide outreach for seniors, behavioral health supports, homeless shelters, prostate cancer research, and more than 60 others.
  • The biggest cut will be to MassHealth, the state’s Medicaid program, but it won't impact anyone's eligibility to apply to the health insurance system.
  • The rest of the anticipated $1 billion shortfall will be covered by $625 million in what administration officials describe as opportunities to increase revenue without the need for tax increases.
  • Despite the cuts, Healey's administration maintains that the state's economy is still growing, albeit at a slower pace than expected.
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