Georgia Budget Primer

At a time when Georgia sits on the strongest fiscal foundation in its modern history, the decisions our lawmakers make during legislative session determine whether prosperity is broadly shared among all Georgians or further concentrated among those who have the most wealth.

Georgia’s FY 2026 budget outlines $67.2 billion in planned spending, drawing from a mix of state, federal and agency-raised funds. But beneath the surface of this balanced ledger lies a stark reality. While state revenues have surged, federal investments, especially those that support families with low-incomes, schools and health care are under threat.

One-third of Georgia’s budget, or $22.5 billion, depends on federal funds. These dollars help educate our children, feed families, cover health care for millions and support rural hospitals. Federal cuts to programs like Medicaid, SNAP or child care in the recent budget reconciliation bill (once known as the One Beautiful Bill Act, or OBBA), don’t just reduce line items in Washington. Federal cuts in the reconciliation bill directly threaten the services thousands of Georgians rely on to survive and thrive. The reconciliation bill rewinds decades of efforts to reduce poverty for rural Georgians and has the potential to harm local economies throughout the state. It cuts federal support to that matter: from families feeding their children and themselves, sick loved ones needing treatment and care, to farmers, family-owned grocery stores and even main street small businesses.

Meanwhile, the state’s growing reserves now nearing $17 billion stand as a striking contrast to the unmet needs in our classrooms, clinics and communities.

Our primer offers a clear-eyed look at how Georgia raises and spends public dollars and the opportunities that exist to use our resources responsibly. It is a call to our state’s leadership rooted in equity, transparency and foresight. With federal aid uncertain and economic headwinds gathering, state leaders must invest—not retreat. Our shared future depends on it.

For over 20 years, GBPI has produced this budget primer to educate Georgians about how the state is using their dollars. The state should be using dollars to support the shared dream to be the best state to live, work and raise a family in. This year, we have expanded our scope to include the impact of federal threats. The threats are real, and the surplus, a resource of one-time funding, would be unable to close an annual gap.  Our state is already not meeting the needs of all Georgians and not supporting our shared dream.  You can find the proof of this in the pages of our state budget, which we outline here in our Budget Primer.

Count on us at GBPI to continue to deliver on our mission—to advance lasting solutions that expand economic opportunity and well-being for all Georgians. This mission starts with a level-set: where do the economic opportunities for Georgians lie within the state budget. This level-set begins with the budget primer.