Kehoe releases budget estimate for upcoming fiscal year

Mike Kehoe says the state should expect a "conservative, balanced budget" in fiscal 2026.

Gov.-elect Mike Kehoe is getting a jump on the next fiscal year budget for the state.

Kehoe, who next month is scheduled to be sworn in as governor, this week in a news release unveiled Missouri's consensus revenue estimate for fiscal 2026.

The CRE, established by state budget experts, projects net general revenue collections in fiscal 2026 at $13.56 billion. That's a 1.6% increase from net general revenue growth projected in the revised CRE for fiscal 2025, which ends June 30.

“I appreciate House and Senate leadership, our state budget team and other state partners for helping develop this year's revenue estimate to inform our budget for next year,” Kehoe said in the release. “I look forward to working with the legislature on a conservative, balanced budget this upcoming session.”

Kehoe is expected to outline his proposed fiscal 2026 budget during his first State of the State address in January. Gov. Mike Parson in June signed a $50.5 billion budget for fiscal 2025, including $14.9 billion in general revenue, according to past reporting.

The revised estimate for fiscal 2025 assumes nearly $13.4 billion in net general revenue collections, according to the release.

“I am pleased to reach a consensus revenue estimate and anticipate working with the Kehoe administration and the House to build a sustainable, conservative budget,” said Sen. Lincoln Hough, a Springfield Republican who serves as Senate Appropriations chair, in the release.