Kemp signs amended 2026 budget with $2B in tax relief

Gov. Brian Kemp signed the amended budget at the state Capitol Tuesday for the 2026 fiscal year.

Kemp touted the income and property tax relief that the budget includes as well as the funding set aside for state employees, such as teachers and law enforcement.

“This isn’t the government’s money, it is the people of Georgia’s money. So I am proud to sign this budget that includes two billion dollars for income and property tax relief,” he said. “There is still more work to do, including final passage of enabling legislation to provide over a billion dollars in income tax relief to hard-working Georgians, but together I’m sure that we will get that done too.”

Lt. Gov. Burt Jones, who is running for governor in 2026, commended the allocation of $409 million to build a hospital and expand the state’s capacity for mental health services.

“I know our sheriffs and law enforcement officers are all across the state are very excited about that,” he said.

Georgia House Speaker Jon Burns also applauded the House’s work to pass property tax relief and include a tax refund in the budget.

“This budget is more than just numbers on a page. It is a direct reflection of this General Assembly’s commitment to each of our neighbors in every corner of our great state,” Burns said. “From returning nearly $2 billion directly back to hardworking taxpayers and homeowners and providing $2,000 pay supplements to state employees, to investing in healthcare, education, public safety and infrastructure—every Georgian can be proud of the investments we’re making today to create a better, brighter future for our state.”

Here are some highlights of the 2026 amended budget:

• $1.7 billion for a tax refund
• $1.68 billion for the extension and expansion of I-75 express lanes in Henry County
• $850 million for the Homeowner Tax Relief Grant program
• $409 million to build the new Georgia Regional Hospital in Atlanta to expand mental health services
• $325 million to fund the DREAMS Scholarship program, a needs-based scholarship
• $250 million for funding a program for city and county transportation projects
• $185 million for interchange conversions on State Route 316.
• $173 million for correctional officer positions, drone detection systems and bed space for the Department of Corrections

Rural Georgia investment:

• $35 million for a natural gas infrastructure program within the Georgia Environmental Finance Authority
• $15 million for rural site development grants
• $8.9 million for the Georgia Forestry Innovation Initiative to support Georgia’s timber industry