Governor Shapiro Delivers 2026-27 Budget Address

On February 3, 2026, Governor Josh Shapiro delivered his annual budget address to the General Assembly, outlining his proposed Fiscal Year 2026–27. The proposal totaling approximately $53 billion, will now be reviewed and negotiated by the General Assembly in the months ahead.

The budget proposes $260.3 million for health programs, reflecting a 0.3% increase over the prior fiscal year. Within this total, the proposal includes $2.019 million to maintain the Pennsylvania Immunization Electronic Registry System (PIERS), which supports statewide immunization reporting and public health surveillance.

The budget also proposes a $2.5 million increase for health promotion and disease prevention efforts, including expanded support for maternal health programs. Mental health remains a priority, with a 6.9% increase in funding for mental health services through the Department of Human Services, alongside a call to streamline credentialing for behavioral health providers.

Several public health programs would see modest increases, including funding for state health care centers, the state laboratory, sexually transmitted disease screening and treatment, local health departments, and tuberculosis screening and treatment. At the same time, many programs are proposed to remain level-funded, including newborn screening, cancer screening services, AIDS programs and special pharmaceutical services, school district health services, maternal and child health services, regional poison control centers, and programs addressing sickle cell disease and Lyme disease.

In addition to funding proposals, the Governor reiterated support for several policy initiatives, including efforts to lower prescription drug costs by prohibiting copay accumulator programs, as well as proposals to increase the minimum wage and legalize adult-use marijuana.

PAMED staff will continue to monitor the release of additional budget details and legislative developments and will share updates as FY 26 budget negotiations progress.

On February 3, 2026, Governor Josh Shapiro delivered his annual budget address to the General Assembly, outlining his proposed Fiscal Year 2026–27. The proposal totaling approximately $53 billion, will now be reviewed and negotiated by the General Assembly in the months ahead.

The budget proposes $260.3 million for health programs, reflecting a 0.3% increase over the prior fiscal year. Within this total, the proposal includes $2.019 million to maintain the Pennsylvania Immunization Electronic Registry System (PIERS), which supports statewide immunization reporting and public health surveillance.

The budget also proposes a $2.5 million increase for health promotion and disease prevention efforts, including expanded support for maternal health programs. Mental health remains a priority, with a 6.9% increase in funding for mental health services through the Department of Human Services, alongside a call to streamline credentialing for behavioral health providers.

Several public health programs would see modest increases, including funding for state health care centers, the state laboratory, sexually transmitted disease screening and treatment, local health departments, and tuberculosis screening and treatment. At the same time, many programs are proposed to remain level-funded, including newborn screening, cancer screening services, AIDS programs and special pharmaceutical services, school district health services, maternal and child health services, regional poison control centers, and programs addressing sickle cell disease and Lyme disease.

In addition to funding proposals, the Governor reiterated support for several policy initiatives, including efforts to lower prescription drug costs by prohibiting copay accumulator programs, as well as proposals to increase the minimum wage and legalize adult-use marijuana.

PAMED staff will continue to monitor the release of additional budget details and legislative developments and will share updates as FY 26 budget negotiations progress.