In the amended fiscal year 2025 (AFY25) budget, the Georgia House of Representatives made several adjustments to Gov. Brian Kemp’s initial recommendations. One key area of agreement is the increased allocation for disaster relief following Hurricane Helene. The House proposes an additional $150 million to the Georgia Development Authority to aid farmers and timber producers, bringing the total to $250 million. This complements the governor’s previously announced $600 million in direct financial assistance for industries affected by the storm.
Beyond disaster relief, the House increases funding for public services. Public safety initiatives also see boosts, such as $7.1 million for an overwatch and logistics unit to enhance security in correctional facilities and $3.3 million for body cameras, tasers and certifications to improve safety.
The House also increases funding in other key areas. An additional $35.6 million is allocated to rural and critical access hospitals to help stabilize financially distressed facilities. The Georgia Gateway Integrated Eligibility System receives a $35 million boost for modernization, improving efficiency in benefits processing. Another notable increase is $25.9 million in funding for out-of-home care to support rising costs and utilization in child welfare services.
However, the House introduced notable reductions in funding for certain areas. It recommends using $80.5 million in existing funds for information technology modernization instead of adding new resources. Funding increases for correctional facility expansion are cut by $46.6 million, reducing the number of planned modular units from four to two. Medicaid funding sees a reduction in funding increases of $21.5 million based on projected enrollment and utilization. The House also reduces university system maintenance funding increases by $20 million, lowering planned renovation and maintenance spending.
Infrastructure improvements are another focus of the House’s plan, including an additional $7.5 million for airport aid and $5 million to upgrade short-line railroads, aimed at reducing truck traffic on highways. Additionally, the House directs $7 million to the Georgia World Congress Center Authority in preparation for major sporting events like Super Bowl 62, the 2026 FIFA World Cup, and the 2031 NCAA Men’s Final Four.
Largest Increases from Gov. Kemp’s AFY 2025 Recommendations
- Disaster relief assistance (+$150 million): extra funds for farmers and timber producers recovering from Hurricane Helene
- Rural and critical access hospitals (+$35.6 million): one-time grants to stabilize hospitals in financial distress
- Georgia Gateway Integrated Eligibility System (+$35 million): modernization efforts to improve efficiency in benefits processing
- Out-of-home care (+$25.9 million): more funding to address child welfare needs
- Legislative office building expansion (+$15 million): expanding state office facilities in Atlanta
- Hurricane Helene relief via OneGeorgia Authority (+$10 million): additional funds for disaster response
- Airport aid (+$7.5 million): strengthening infrastructure at Georgia’s airports
- Overwatch and logistics unit (+$7.1 million): enhancing security in correctional facilities
- Georgia World Congress Center (+$7 million): preparing for large-scale sporting events
- Rail upgrades (+$5 million): improving short-line railroads to reduce highway congestion
Largest Decreases from Gov. Kemp’s AFY 25 Recommendations
- Debt defeasance (-$100 million): reprioritizing for additional Hurricane Helene relief
- Information technology modernization (-$80.5 million): using existing resources instead of allocating new funds
- Correctional facility expansion (-$46.6 million): reducing the number of planned modular units from four to two
- Statewide capital projects (-$22 million): scaling back investments in infrastructure
- Medicaid growth (-$21.5 million): adjusting funding based on projected enrollment
- University system maintenance (-$20 million): lowering renovation and maintenance spending
- Ballot scanner and printer updates (-$15.2 million): removing funding for QR code ballot scanner changes
- Prison design (-$10 million): cutting back on new prison planning investments
- Public safety debt service savings (-$6.4 million): lowering costs through project repeals
What’s Next?
The next step in Georgia’s budget process is for the Senate to review and adjust the House’s version of the AFY25 budget. If the House and Senate cannot agree on a final version, a conference committee is convened to resolve any differences. Once a compromise is reached, the budget is sent to the governor, who can sign it into law, veto specific line items, or request changes. The final budget will determine the state’s spending priorities for the rest of the fiscal year, shaping funding for key programs and services across Georgia.
Authored by: Ryan Shacklette (MWC)
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