Gov. Kemp signing FY2026 budget, regulatory reform legislation Friday

Gov. Kemp signs state budget, tort reform
Georgia Gov. Brian Kemp signed legislation on Friday related to the FY2026 state budget and tort reform.
ATLANTA - Gov. Brian Kemp signed Georgia’s $37.7 billion budget for fiscal year 2026, a spending plan that prioritizes prisons, education, and health care, on Friday morning.
What we know:
Gov. Brian Kemp said the fiscal year 2026 budget includes significant investments across education, health care, public safety, and infrastructure, with the goal of supporting Georgia’s continued growth while addressing critical needs.
In K-12 education, more than $300 million will go toward enrollment and expense growth, along with $49.7 million dedicated to student mental health and well-being. An additional $13 million has been allocated to improve literacy rates among elementary students. Georgia’s University and Technical College Systems will receive $267 million to support enrollment growth and workforce readiness efforts.
The budget also includes $20 million to replace 227 aging school buses and over $141 million for the Promise Scholarship Program, which provides education options for Georgia families.
Health care investments include $257 million in additional funding for Medicaid and PeachCare for Kids, $10 million for capital repairs at state hospitals, more than $5 million in salary enhancements for social services caseworkers, and over $4.5 million aimed at improving maternal health outcomes.
On the public safety front, the Department of Corrections will receive $200 million to raise salaries for corrections officers and other staff, expand hiring, and improve overall prison operations. The budget also provides:
$1.7 million for new positions and upgraded technology at GBI Crime Labs statewide
$1 million for new digital forensic investigators and crime scene leaders
$1 million for a statewide gang case management system and enforcement support
Over $1 million to expand gang and human trafficking prosecution units in Savannah, Macon, and Augusta
More than $421,000 to improve the 24/7 human trafficking hotline and victim services—a program backed by First Lady Marty Kemp
Finally, infrastructure remains a cornerstone of the FY 2026 budget, with $290 million set aside for transportation projects and $715 million allocated for capital improvements, including school-related construction.
Gov. Kemp said the budget reflects a shared commitment between his administration and lawmakers to invest in Georgia’s future, while maintaining the state’s reputation as a top destination for business and opportunity.
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Health care also receives attention in the new budget, with $16.9 million earmarked to increase reimbursement rates for Medicaid providers and $7.4 million for graduate medical education to help address a shortage of health care professionals, especially in rural areas.
What's next:
In addition to the budget, Kemp is expected to sign a major regulatory reform package into law at 1 p.m. Friday. The legislation—centered on tort reform—aims to level the playing field in Georgia’s courtrooms, restrict the influence of hostile foreign powers in consumer and legal matters, stabilize insurance costs, and increase fairness and transparency in the legal system. The governor has said the reforms are designed to keep Georgia the best state to live, work, and raise a family.