Press Release: 1/28/2026

The Arc’s Initial Response: Governor Healey Releases FY27 Budget Proposal

Today (Wednesday, January 28), Governor Maura Healey released her budget recommendation for fiscal year 2027 (FY27). This proposal, called House 2, serves as the first step in a months-long debate as the budget moves through the legislative process. This budget comes at a time of great fiscal uncertainty and looming federal cuts.

Our strong advocacy efforts in recent months, along with nearly 1,700 of your letters through our action alert, made a difference in advocating to the Governor to protect needed programs. The Governor did hold the line on several vital line items, including Chapter 257 workforce rates. However, as expected, some significant cuts have been proposed.

We will continue to analyze the budget in the coming days, but our initial review shows some investments and other areas where we need to continue to advocate. Most DDS line items were maintained or saw small increases. Maintenance funding in such a challenging budget year is a good start. Yet we cannot lose sight of the growing needs of our community.

The MassHealth budget will see an across-the-board rate freeze. The proposed budget also includes significant cuts to Adult Foster Care (AFC), Personal Care Attendant (PCA), and Adult Day Health programs. These Medicaid-funded programs all fall under Long Term Services and Supports (LTSS) and will be a focus of our advocacy with the legislature.

We will share a more detailed analysis and next steps in the coming days. Stay tuned.

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We will also be holding a webinar to review the Governor’s budget proposal and discuss advocacy needs on Monday, February 2 at noon. Register here.