THE GOVERNOR’S FY2021-22 BUDGET RECOMMENDATIONS
Federal Funds Would Lead to Record Spending
Despite the negative revenue impact of the COVID-19 pandemic and the Legislature’s early talk of shortfalls and budget cuts, Governor Ron DeSantis has released a proposed budget for FY2021- 22 that totals $96.578 billion, a $4.308 billion (4.7 percent) increase over current year spending. This would be the largest state budget in history and the fourth largest annual growth in the last ten years.
Estimated General Revenue (GR) collections for the upcoming budget year (FY2021-22) are $1.4 billion below what was anticipated by the pre-pandemic forecast. This follows total revenue losses of $3.9 billion in FY2019-20 and FY2020-21. Still, the Governor’s budget recommendations would increase GR spending by more than $1 billion (3.0 percent) next year, and still leave $2.2 billion in unallocated GR (cash) reserves. Total state reserves of $4.9 billion would be at the largest level since before the Great Recession
The proposed budget includes some significant spending priorities of the Governor including a new program to provide $1 billion in grants to improve coastline resiliency, more than $625 million for water resource restoration and recovery, $550 million to continue raising teacher salaries, $423 million for affordable housing, a $285 million increase in public school funding, and a net increase of 324 state employee positions. The Governor is also recommending limited tax relief.
Read the full report below.