The Massachusetts House and Senate have reached agreement on the Fiscal Year 2027 state budget, approving a $63.4 billion spending plan that maintains strong operating support for transportation, environmental, energy, and capital agencies. From an ACEC/MA perspective, the conference budget contains few substantive policy changes affecting the engineering industry but continues to fund many of the agencies responsible for planning, permitting, designing, and delivering infrastructure projects across the Commonwealth.
The conference committee report now awaits final approval by the House and Senate, expected later today, before being sent to Governor Healey for her consideration. The Governor will then have 10 days to sign the budget, return it with amendments, or veto individual line items.
Transportation
- $605.0 million operating transfer to the Massachusetts Transportation Trust Fund, an increase from $558.9 million in FY2026.
- $465.2 million operating transfer to the MBTA.
- $217.5 million operating transfer to the Regional Transit Authorities, an increase from $209.0 million in FY2026.
Water, Environment & Climate
- $51.4 million for MassDEP administration, including continued support for permitting, drinking water compliance, wetlands protection, hazardous waste cleanup, and brownfields programs.
- $20.5 million for Executive Office of Energy and Environmental Affairs (EOEEA) administration.
- $4.75 million for climate change adaptation and preparedness initiatives.
- $4.0 million for environmental justice initiatives.
Energy
- $19.0 million for Department of Public Utilities administration, including continued funding for the Energy Facilities Siting Division.
- $7.1 million for Department of Energy Resources operations, supporting the Commonwealth’s energy policy and clean energy initiatives.
Buildings & Public Lands
- $31.6 million for Division of Capital Asset Management and Maintenance (DCAMM) operations, including continued funding for state building operations, maintenance, and the Contractor Certification Program.
- $32.1 million in departmental revenue support for the Department of Conservation and Recreation (DCR), along with continued funding for parkways, street lighting, state parks, and recreational facilities.
Outside Sections
The conference committee does not include several proposals that had been discussed throughout this and past budget processes and are of interest to our industry, including:
- Changes to Owner’s Representative qualifications or project value thresholds.
- Authorization for Progressive Design-Build procurement for public projects.
- Changes to Qualifications Based Selection (QBS) or other engineering procurement requirements.
ACEC/MA will continue to monitor the budget through final enactment and provide updates on any additional legislative developments affecting the industry.