Today is the start of the new fiscal year, and yesterday Governor Mike Kehoe approved the budget for the 2027 fiscal year, totaling around $50 billion.
That included $2 billion for public safety, $59.4 million for agriculture, $9.8 billion for education, $24.8 billion for healthcare, and $338 million for economic development.
However, Kehoe did withhold about $441 million total in vetoes, including funding for a new Energy Innovation Center at the University of Missouri, as well as several local projects.
In an interview with the St. Louis Post-Dispatch, State Auditor Scott Fitzpatrick projects Missouri’s budget surplus to fall from a high of nearly $6 billion in 2023 to an estimated $600 million at the end of the next fiscal year, and the balance being erased in its entirety by 2028.
Kehoe said in a news release, “State government doesn’t have a revenue problem, we have a spending problem, and continuing to spend faster than we grow our economy is not a sustainable path forward. Our work doesn’t end with balancing this year’s budget. By maintaining fiscal discipline and continuing to grow Missouri’s economy, we are building the foundation for an even more strong and resilient Missouri.”