MONTGOMERY — After relatively benign debate, the Alabama House of Representatives passed a series of bills allocating $3.7 billion from the state’s General Fund (GF) for the 2026 fiscal year.
The two bills handling GF expenditures passed through the House Ways and Means General Fund Committee on Tuesday. There, lawmakers agreed to cut some areas in Gov. Kay Ivey’s proposed budget and add to others.
The cuts led to protests in the Senate, specifically surrounding cuts made to several Birmingham-area institutions.
In the 2025 budget, lawmakers allocated $100,000 to the Birmingham Civil Rights Museum and $200,000 to the Magic City Classic, the annual football game between Alabama A&M and Alabama State. The FY2026 budget had no allocations for those items.
The removed item led to protests in the Senate Chamber from State Sen. Rodger Smitherman (D-Birmingham) and Senate Minority Leader Bobby Singleton (D-Greensboro). After Smitherman and Singleton’s protests, House GF Committee chairman Rex Reynolds (R-Huntsville) met with them and other lawmakers. Reynolds said on Thursday that he had promised Senate leadership that he would allow the missing items to be reinserted when the budgets reach that body.
Reynolds' proposed amendments seemed to quell many lawmakers' concerns, leading to a debate on the budgets that lasted just over 30 minutes.
The House passed the two budget bills on Thursday: House Bill 186 (HB186), the main non-education budget bill covering 3.7 billion in the budget, and House Bill 185 (HB185), which covers supplemental appropriations.
“It’s no coincidence that the state is in a position to meet its financial commitments and make meaningful investments while carrying little to no debt year-over-year,” said House Speaker Nathaniel Ledbetter (R-Rainsville). “This achievement is the result of 16 years of conservative governance focused on ensuring every dollar of taxpayer money is spent effectively and responsibly. Our budgeting process is calculated, transparent, and guided by the principle of not spending every dollar that comes in. I commend Rep. Reynolds and the members of the House for their work in developing the state’s financial plan for 2026 and setting Alabama up for continued success.”
The amended budgets increased funding by $6 million from Ivey’s proposal, which included several increases and cuts. This year’s budgets are comparatively mild compared to previous years after state officials warned of diminished state income in the near future.
Notable cuts from Ivey’s recommendation include $250,000 from the Department of Natural Resources, $500,000 from the Electric Vehicle Infrastructure and Planning Grant Program, $1 million from the Alabama Department of Public Health, $1.6 million from the Department of Human Resources, $5 million from Medicaid, $5 million from the Industrial Development Authority, and $3.7 from the Department of Mental Health.
Notable budget increases include $7.5 million for the Airport Development Grant Program, $2.5 million for Capitol security, $3 million for the Metro Area Crime Suppression Unit, $2 million for the Commerce Department, $3 million for the Port of Mobile and $1.5 million for the Forestry Commission.
“With the passage of the 2026 General Fund Budget, Alabama is extending its 16-year streak of funding government in a responsible, cost-effective manner, ensuring our state remains on solid financial footing," Reynolds said. “Sustainability is always my priority when developing the budget—we must make decisions that the state can afford not only now but in the future, as well. While high interest rates are driving revenue growth in state accounts, that will not always be the case, which is why we must continue to approach this process from a fiscally conservative standpoint.”
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