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HB 7127

AN ACT MAKING APPROPRIATIONS FOR THE SUPPORT OF THE STATE FOR THE FISCAL YEAR ENDING JUNE 30, 2027

2026 Regular Session Introduced by Marvin Abney

Allocates FY2027 resources across state operations, health and human services, education, transportation, and capital projects, with governance rules for funds, transfers, and ARPA

06/12/2026 Signed by Governor
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Bill Summary · HB 7127

Overview

HB 7127 (Rhode Island, 2026) is an omnibus appropriation act detailing/statewide funding for the fiscal year ending June 30, 2027. It assembles general revenues, federal funds, restricted receipts, and other funds across multiple articles and programs to support state government operations, health and human services, education, transportation, capital projects, and related activities. It also includes provisions on debt management, government reform, and administrative/fiscal governance.

Main purpose and intent

  • Authorize and appropriate the state’s resources for FY 2027 to fund operating budgets, capital projects, and specific programs across all executive, legislative, and judicial branches, as well as public higher education, public safety, health and human services, and other state functions.
  • Establish a framework for managing funds, transfers, internal service funds, and capital improvements, with attention to federal funds and ARPA-related and State Fiscal Recovery Fund activities.
  • Provide targeted programmatic allocations (e.g., health, education, housing, workforce development) and reappropriation authority for capital investments.

Key provisions and changes

  • Article 1: Detailed line-item appropriations by department and program, including:
    • Administration (Central Management), Legal Services, OMB, Purchasing, Human Resources, Library and Information Services, Planning, General (including major capital plan items), and Debt Service.
    • Major investment areas include the Rhode Island Health Benefits Exchange, Executive Office of Health and Human Services (Medical Assistance), Children, Youth and Families, Health (including Health Laboratories, Environmental Health, Behavioral Healthcare, and related services), and Human Services (including income support, child support enforcement, and aging programs).
    • Capital plan fund allocations for numerous state buildings and facilities (e.g., Pastore Campus, State House Renovations, various asset protections, university infrastructure, CCRI, URI, RIC, and others).
    • Public Higher Education: allocations for URI, Rhode Island College, Community College of Rhode Island, and related debt service and asset protection.
    • Transportation: funding for Highway Improvement Program, Maintenance, RIPTA, and related infrastructure.
  • Article 2: State Funds—indirect cost recoveries provision (retroactive to July 1, 2025) directing 15% indirect cost recoveries from restricted receipt accounts to general revenues, with numerous exceptions and a list of accounts not subject to this provision.
  • Article 3: Government reform and reorganization (provisions enabling executive transfers of appropriations when functions shift between departments, subject to limits and approvals; continuity safeguards).
  • Article 4-12: Various administrative, debt, tax, capital development, education, health and human services, and affordability-related provisions, including contingency fund use, FTE limits, and legislative intent language.
  • Article 13-14: Reappropriation of Rhode Island capital plan funds for multiple projects and long-range capital planning, with procedures for reappropriation and project-by-project schedules.
  • Article 17-19: ARPA/State Fiscal Recovery Fund and Capital Projects Fund-specific allocations and oversight, including monitoring requirements, reporting, and reclassification procedures for underspent programs.
  • Article 20: Effective date of July 1, 2026 for the referenced article (Article 1 in general).

Who/what is affected

  • State agencies and departments listed in Article 1 (e.g., Administration, Health, Human Services, Education, Public Safety, Transportation, DOJ, Judiciary, Higher Education institutions, and multiple capital projects).
  • Public colleges and universities (URI, Rhode Island College, CCRI) with capital improvements and debt service.
  • Health and human services recipients and programs (Medicaid/Medical Assistance, Rhody Health, Early Head Start/Head Start, child welfare, behavioral health, elderly services, and social safety nets).
  • Local governments and transportation providers (via state highway and RIPTA funding).
  • State employees (through FTE limits and internal service funds).
  • ARPA/State Fiscal Recovery Fund initiatives and reporting requirements.

Procedural and timeline aspects

  • Annual appropriations for FY 2027, with scheduled transfers and allocations contingent on official vouchers and fund availability.
  • Contingency and contingency transfers governed by the Governor, with authorization processes for reallocations when duties/functions shift.
  • Reappropriation provisions for capital projects extend to subsequent years (2028–2031) with final General Assembly approval for certain reappropriations.
  • Oversight and reporting requirements for ARPA/SCF funds, including quarterly/biannual progress reports and potential reclassification if underspending risks federal funds.

Note: The bill is extensive and includes many specific line-item amounts; this summary captures the core structure and substantive impact.

Compiled from official sources — confirm details with the bill’s official record.

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