“Another Year, Another Budget Gap: Gov. Healey Still Needs A Long-Term Solution for Funding the T” – StreetsBlog Mass

By Christian MilNeil, January 22, 2026

The MBTA’s Chief Finance Officer and transit advocates are in agreement: the T will need a major, sustained infusion of state funds within the next two years to avoid major service cuts, and the higher-than-expected “Fair Share” transportation funding that rescued the T’s budget last year won’t be enough.

Last week, the T’s budget chief, Mary Ann O’Hara, delivered her first budget presentation of the year to the MBTA’s Board of Directors.

O’Hara revealed that the T expects to end the current fiscal year (ending June 30th) with a $239 million deficit, which it will cover with its reserve funds.

Worse, that deficit is expected to bloat to $648 million next year, and $837 million by 2028, barring any major changes to state budget policies.

MassBudget Reference:

On Wednesday, Transportation for Massachusetts (T4MA), a statewide coalition of transportation advocacy groups, issued a joint report with MassBudget that came to similar conclusions.

“The Commonwealth will not be able to count on stepped-up federal support, and we are not dedicating sufficient resources to meet the transportation challenges ahead,” the organizations warn.

—-

In their new funding report, T4Mass and MassBudget argue that “there is no shortage of solutions. The issue is more of political will.”

Those organizations noted that Governor Healey could, without any legislative action necessary, adjust highway tolls and Registry of Motor Vehicle fees to account for inflation and raise a considerable amount of new revenue.

Read the full article here.

Related

“MassBudget: Enrollment Decline and Fiscal Pressure in Massachusetts Public Schools” – Franklin Matters

By Steve Sherlock, June 1, 2026 Since FY 2019, statewide public school enrollment has declined by nearly 50,000 students, placing school districts under growing financial ...
Read More →

“The middle class was hanging on. ‘Now they’ve kind of toppled into the abyss.’” – Boston Globe

By Katie Johnston, June 1, 2026 Within five years, the income needed to maintain a middle-class standard of living for a two-parent family with two ...
Read More →

“Millionaire (and Billionaire) Taxes Pick Up Steam” – Governing Magazine

By Jared Brey, Quarter 2, 2026 How much do the richest people owe to society? For a growing number of states, the answer is “more.” ...
Read More →
Scroll to Top

Register for our upcoming PolicyTALKS event!

Explore the increasing burden of rent across the Commonwealth, the social and economic impacts of unaffordable housing, and what the state can do about it. 

Get news from Massachusetts Budget and Policy Center in your inbox.