Governor Mike Kehoe signs FY 2026 state budget into law
$50 billion state budget funds state departments and services
On June 30, Gov. Mike Kehoe put his stamp of approval on a series of bills that make up the state's operating and capital improvement budget for the 2026 fiscal year. Totaling more than $50 billion, the budget bills allocate funding for state departments and capital improvement projects throughout Missouri.
Governor Mike Kehoe acts on the budget bills passed by the General Assembly during the 2026 legislative session. Photo courtesy of the governor's office.
"We appreciate the work of the General Assembly in getting this budget to my desk," said Gov. Kehoe. "While we exercised veto authority to rein in unsustainable spending, we are proud to support funding for smart policies advancing our shared vision of a safer, stronger and more prosperous Missouri. We believe this budget reflects our commitment to limited government, fiscal discipline and a long-term vision to support public priorities."
The budget approved by the governor makes significant investments in education. Once again, the state will fully fund the K-12 education foundation formula. The budget also includes more than $375 million to support school transportation costs. Additionally, the governor approved $50 million in funding for the Empowerment Scholarship Account program, allowing families to use state funding to send their children to the school of their choice. From a higher education perspective, the FY 2026 state budget provides a 1.5% funding increase for the state's public colleges and universities, including community colleges and State Technical College of Missouri.
While the state has made significant investments in infrastructure in the past, the FY 2026 budget continues that trend by investing more than $90 million in rural roads. The budget also includes $40.5 million to ensure the state is prepared to host next summer's FIFA World Cup.
In addition to acting on the budget bills, the governor issued 208 line-item vetoes, totaling nearly $300 million. According to the governor's office, the General Assembly approved more than $770 million in new general revenue spending above the governor's original recommendations. This includes 405 items that were either not recommended by the governor or that went beyond his original budget requests.
"As governor, I have a constitutional obligation to balance the budget, and our administration will always follow the Constitution and rule of law," said Gov. Kehoe. "We support funding for education and have proudly championed tax cuts for hard-working Missouri families and the desperately needed resources for our fellow Missourians affected by natural disasters this spring. However, these initiatives do not come without budgetary consequences."
Additionally, the governor issued 32 funding restrictions, totaling more than $210 million in general revenue. For more information on the FY 2026 state budget, including the governor's actions, please visit the Office of Administration's Division of Budget and Planning website.