Governor’s Proposed FY 2026 Budget Includes Key Investments

On February 25, 2025, Governor Murphy unveiled his proposed $58.1 billion budget for Fiscal Year 2026 (FY26). Autism New Jersey gratefully acknowledges the Murphy Administration’s continued commitment to education and Medicaid-funded services, which are critical to supporting individuals with autism and their families.

Department of Human Services (DHS)

The proposed FY26 budget proposes to allocate $10.3 billion to DHS, marking a 3% increase. This would include vital funding for the Division of Developmental Disabilities (DDD), with nearly $195 million in increased spending.

Key DHS Proposals:

• Developmental Disabilities Waiting List: Funding for an additional 318 people to be removed from the waiting list is projected for the upcoming fiscal year in Community Care Program (CCP) expansion.
• Direct Support Professionals (DSP): $18 million more would be allocated to DSP wages to help further strengthen the workforce.
• WorkAbility Program Expansion: $73 million would be designated to continue supporting this program which offers people with disabilities who work and earn income to continue their Medicaid benefits with no income or asset limit.

Department of Education (DOE)

In the proposed Education budget for FY26, $12.1 billion would be allocated for K-12 education. This budget includes critical provisions for special education and early childhood learning.

Key DOE Proposals:

• Special Education Aid: Adjustments would be made to funding formulas, ensuring aid is based on actual special education enrollment.
• Preschool Education Aid: $1.3 billion would be allocated for preschool education aid.

Advocacy for Continued Support

New Jersey’s FY26 budget assumes anticipated federal funding. Any potential cuts at the federal level—especially those affecting Medicaid funding—could have significant consequences and impact the funds the State can commit to certain programs and services.

Autism New Jersey is closely monitoring the changing landscape of federal funding proposals and engaging with elected officials and agency staff. We are committed to keeping you informed and offering strategic recommendations to advocate for sustained federal funding to protect critical programs.

Note: This article is being written prior to the publication of the complete FY26 budget proposal. When the complete FY26 budget proposal becomes available, we will update this article. For now, readers may refer to The State of New Jersey Budget in Brief: Summary of Budget Recommendations Fiscal Year 2026.