What you need to know about the House budget proposal

What follows is an explainer about what’s in the House Ways and Means budget proposal for fiscal 2024.

How big is the House Ways and Means budget?

It comes in at nearly $56.2 billion, and that’s before lawmakers start adding earmarked spending during the budget debate that starts April 26. The budget is about $170 million higher than Gov. Maura Healey’s proposal because the governor wants to give more money back in the form of tax relief while the House would phase in many of its tax breaks over time, allowing the branch to spend more money now.

That spending total seems like a lot of money.

It is a lot. For perspective, the state budget in fiscal 2016 was $38.4 billion. Over the last eight years, the state budget has grown by $17.8 billion, or 46 percent.

What’s going on with the state’s stabilization fund?

The “rainy day” fund is getting big, reaching record highs over the past few years. As of March 14, it was $7.1 billion. It is expected to grow to $8.5 billion this fiscal year and reach $9 billion next year, which begins July 1.

Does the House propose any new policy directions?

The House is trotting out a proposal that failed to pass last year – giving the Massachusetts Lottery the power to sell its tickets and games online. House officials say online lottery gambling would bring in $200 million, which would funnel into a grant fund for early education and care programs. House budget chief Aaron Michlewitz said the shift online is needed to put the Lottery on equal footing with sports betting operators.

Does the House budget do anything to address problems at the MBTA? 

The budget proposes using $330 million of money from the millionaire tax to support the T. It also proposes expanding the MBTA board from seven to nine members, adding spots for an appointee of Boston Mayor Michelle Wu and a sixth appointee of Gov. Maura Healey who would come from a municipality in the MBTA service area.

How did state Auditor Diana DiZoglio fare in the House budget? Lawmakers aren’t so happy with her efforts to audit the Legislature. Did they cut her budget in retaliation?

It doesn’t appear so. Healey upped DiZoglio’s budget and gave her four years to audit each state program rather than the three years required under current law. The House Ways and Means budget provides a bit more money but retains the three-year audit cycle.

“We felt the budget was not the place to potentially settle political scores,” Michlewitz said at a briefing with reporters.

“Our office is very grateful to Chairman Aaron Michlewitz, the House Ways and Means Committee, and all staff for their support of our work,” DiZoglio said in a statement. “We look forward to continued conversations regarding the audit cycle.”

Healey in her budget proposed a significant expansion of a tax credit program designed to boost housing construction, particularly in Gateway Cities. What’s happening with that?

The Healey proposal, which would use state tax credits to build market-rate housing, has stirred some pushback from those pressing for more affordable housing. The House Ways and Means budget proposal doesn’t increase funding for the Housing Development Incentive Program. But Michlewitz says that shouldn’t be interpreted as opposition to the program. “It’s not something we don’t support,” he said.

Medicaid rolls expanded during COVID but officials say they are going to start coming down soon. What’s happening with that and what are the budget implications?

The state’s Medicaid program, which didn’t turn anyone away during COVID, is now going through what is called a redetermination process to sever ties with those who no longer meet eligibility requirements. The expectation is that 300,000 current members will be cut loose. To help them transition out of Medicaid, the House Ways and Means budget proposes a pilot project extending ConnectorCare eligibility to those at 500 percent of the federal poverty level, which works out to $30,000 a year for a family of four.

What about phone calls for prison inmates? 

The issue died last year when it became ensnared in a political power play between the governor and Legislature. Healey in her budget proposed using $20 million already set aside to help fund 1,000 minutes of free phone calls a month for inmates at state prisons and correctional facilities.The House Ways and Means budget would tap the same money but offer unlimited calls to inmates at both state prisons and county jails.