Spending generally reflects the State’s program priorities. Comparing spending to revenue provides an indication of the State’s ability to support continuing programs. State spending, which includes spending from federal funds, is recorded on a cash basis.

See Appendices 1 and 2 for a breakdown of State spending by major service function and funding source for the past five years.

Growth in State Spending Has Exceeded the Rate of Inflation Over the Past Five Years

• Compared to the prior year, State spending increased $11.1 billion (5.3 percent) to $220.5 billion in 2023.
• Since 2019, the growth in State spending (29 percent) has exceeded the rate of inflation (Consumer Price Index increase of 17.7 percent).
• State spending has been partially paid for by borrowing $31 billion since 2019, including $5.4 billion in 2023.
• In 2023, State spending was $11,204 per person.
• Spending on public health and education represents 70.1 percent of total State spending.