Summaries of Enacted State Budgets FY2025

What’s ahead for state budgets in Fiscal Year 2025 (FY2025)? In this comprehensive overview, we lead you through each state’s enacted budget for the year, their Medicaid spending plans, and program changes for FY2025. See where states are looking to allocate funds to best address their most mission-critical challenges and align with the needs of their communities.

During this year’s budget season, 34 states enacted budgets. Of those, 31 states enacted annual budgets for FY2025, and three states enacted biennial budgets for FY2025-FY2026. In 2023, 16 states enacted biennial budgets for FY2024-FY2025.

Among other trends, our analysis shows:

• 15 states decreased total spending

• 14 states decreased Medicaid funding

• At least 17 states appropriated funds for Medicaid provider rate increases

Additionally, the majority of states are expecting flat or modest revenue gains through FY2025 after significant growth during the COVID-19 pandemic. As Sellers Dorsey experts anticipated in the FY2025 Summaries of Proposed State Budgets report, governors chose to decrease or hold budgets relatively stable for FY2025 with increases generally being less than 5%.

For additional insights on budget trends including provider rate increases, rate rebasing, mental and behavioral health, healthcare workforce initiatives, and more, download our report, today.