AN ACT FOR THE OFFICE OF THE TREASURER OF STATE - REFUND OF LOCAL TAXES APPROPRIATION FOR THE 2026-2027 FISCAL YEAR.

2026 Fiscal Session

HB 1033 creates a dedicated appropriation of $1.13 billion for local tax refunds through the Treasurer’s Office for the 2026-2027 fiscal year.

Notification that HB1033 is now Act 98

Purpose and Intent

The bill appropriates funds to the Office of the Treasurer of State specifically for the “refund of local taxes” for the 2026-2027 fiscal year.

The amendment (Amendment No. 1) increases the referenced appropriation amount from $1,100,000,000 to $1,130,000,000. This indicates an intent to provide a larger pool of funds for local tax refunds during the 2026-2027 period.

Key Provisions and Changes (as introduced and amended)

Establishes an appropriation line item in the Treasurer of State’s budget dedicated to refunding local taxes.

The amendment modifies the total amount available for this purpose, increasing the appropriation by $30,000,000.

The bill is framed as an operating appropriation for a specific fiscal year rather than a permanent statutory change.

Who/What Is Affected

State government:

Office of the Treasurer of State: Responsible for administering the refund program funded by this appropriation.

Local governments and taxpayers:

Local tax refunds funded under this appropriation would benefit eligible taxpayers who are owed refunds as part of state-initiated tax policies or settlements.

Other state programs:

If the refund program interacts with existing tax relief or refund mechanisms, those programs may be affected in terms of funding availability or coordination.

Procedural and Timeline Aspects

Legislative history notes:

Filed and introduced in April 2026 during the 95th General Assembly (Fiscal Session).
Referred to the Joint Budget Committee (JBC) for consideration.
As part of the amendment process, Amendment No. 1 to HB 1033 was proposed and adopted on April 15, 2026, increasing the appropriation amount.
The bill was reported correctly engrossed after the amendment and advanced in the process (second reading, with amendments read and adopted).

Effective date:

The bill specifies funding for the 2026-2027 fiscal year; any effective date for the appropriation would typically align with fiscal year start or an explicit date in the final enacted law (not provided in the text excerpt). The primary timeline is the fiscal year 2026-2027.

Budgetary context:

The amendment shows active engagement by the Joint Budget Committee, indicating alignment with the state’s budget planning and funding priorities.

Practical Notes

The increase to $1.13 billion suggests a substantial program of local tax refunds, requiring administrative capacity within the Treasurer’s Office to process refunds, ensure compliance, and prevent misuse.

Details such as eligibility criteria, refund calculation methodology, processing timelines, and any caps or priorities for refunds are not provided in the excerpt and would be defined in the enacted bill or accompanying fiscal notes.

Bottom Line

HB 1033, as amended, creates and funds a dedicated appropriation for refunding local taxes through the Office of the Treasurer of State for the 2026-2027 fiscal year, increasing the appropriation from $1.10 billion to $1.13 billion. The bill passed through the standard legislative process with the amendment adopted, positioning the program for implementation in the upcoming fiscal year.

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