Morrisey Signs State Budget Into Law, But Cuts Millions Proposed By Legislature

The governor signed off a bill setting the state’s budget for fiscal year 2026, but cut some funding allocations that lawmakers had approved earlier this month.

After extensive review during this year’s legislative session, the state budget for fiscal year 2026 — beginning July 1 — received the governor’s stamp of approval Thursday.

But the version Gov. Patrick Morrisey signed into law strikes several funding allocations that lawmakers agreed upon when passing House Bill 2026. The governor gets a final review on bills before they become law, during which he can sign them into effect, veto them or let them pass into law by default.

Shortly after taking office in January, Morrisey’s office projected the state would experience a roughly $400 million budget deficit for the upcoming fiscal year, a figure they said could rise in future years.

Morrisey has attributed this to his predecessor, former Gov. Jim Justice, using one-time funding sources for ongoing expenses like Medicaid instead of finding long-term funding sources. Justice has denied the existence of a budget shortfall.

In a letter to Secretary of State Kris Warner outlining his objections to the legislature-passed budget, Morrisey repeatedly cited a need for “conservative budget planning” and “fiscal responsibility” in his reasoning for cutting certain areas of funding.

“It is imperative that we take steps to limit new spending,” Morrisey wrote.

In his final version of the state budget for fiscal year 2026, Morrisey changed budget amounts approved by the West Virginia Legislature as follows:

  • Economic Development Project Fund: eliminated new funding entirely, which would have totaled $75 million.
  • Road maintenance through the State Road Fund: reduced by $25 million to a final figure of $675.2 million new funds.
  • Division of Highways surplus fund: reduced by $25 million to a final figure of $100 million new funds.
  • Water Development Authority: eliminated new funding entirely, which would have totaled $10 million.
  • West Virginia Department of Health, current expenses: cut by $3 million, more than half its funding provisions.
  • Ronald McDonald House of Morgantown: cut by $3 million.
  • A new computer science education program: cut by $1.4 million, removing most of the $2 million allocated to it by lawmakers.
  • Court-appointed special advocates for youth experiencing alleged abuse or neglect: reduced by $800,000, leaving just $300,000 allocated from the bill next fiscal year.
  • Public transit federal funds/grant match: reduced by $500,000.
  • Ongoing library expense funds: reduced by $500,000, or roughly one-third of their allocated dollar amount.
  • Martinsburg Berkeley Public Library: reduced by $500,000, or one-third of their allocated dollar amount.
  • Military College Advisory Council Fund, which aimed to take steps toward establishing a military college in West Virginia: eliminated all $293,500 in funding. Morrisey said this should fall under capital projects overseen by the Higher Education Policy Commission.
  • Safe Schools program: reduced by $200,000, with an additional $200,000 cut for “school mapping services.”
  • Mountain State Digital Literacy Program: reduced by $300,000.
  • Tourism industry development: reduced by $300,000.
  • Green Acres Regional Center in Cabell County: had $300,000 in funding eliminated entirely, as Morrisey said no supporting documentation was included to justify this expense in the legislature’s bill.
  • Mountwood Park in Wood County: had $300,000 in funding eliminated entirely, as Morrisey said no supporting documentation was included to justify this expense in the legislature’s bill.
  • Lily’s Place, a residential treatment center for substance use disorder in Cabell County: $250,000 to be provided through the Cabell County Commission eliminated entirely.
  • West Virginia University College of Law: new funding of $250,000 eliminated entirely.
  • LPN to BSN nursing program at West Virginia State University: new funding of $250,000 eliminated entirely.
  • Tuition contract program from the Higher Education Policy Commission: reduced by $208,000.
  • Nursing homes for veterans under the Department of Veterans’ Assistance: reduced by $187,650.
  • Trooper classes for West Virginia State Police: reduced by $161,172 after “consultation” with the agency.
  • In-home family education services funding for the West Virginia Division of Human Services: reduced by $100,000.
  • Local economic development assistance: reduced by $100,000. Morrisey said this funding source had money left over from previous years, and that executive-branch funding resources should share the weight of budget constraints for the coming fiscal year.
  • Willow Bend Agricultural Innovation Center in Monroe County: stripped of the entire $100,000 set aside by lawmakers because Morrisey argued this funding was needed by Agriculture Commissioner Kent Leonhardt. Morrisey instructed Leonhardt to help the center identify other funding resources, he said.
  • Math Counts educational program: had its entire $50,000 allocation eliminated.

These dollar amounts refer to the difference in budget allotments lawmakers had set aside for each program and the final figures Morrisey approved Thursday. They may not indicate an actual loss in money for each program, but rather a reduction in how much new funding each program will receive.

“I am hesitant to add funding to programs when the future challenges of West Virginia’s budget make it imperative that a cautious and prudent approach be taken,” Morrisey wrote in his letter to Warner.

Morrisey also struck language that would have prohibited the West Virginia Department of Human Services from transferring general revenue dollars between certain funding pools within the department.

The governor wrote that he was advised this would be “overly burdensome and restrictive” for the department, and that striking the language would help it more “efficiently allocate resources.”

Senate Moves Vetoed Election Bill Across Legislative Finish Line

The Senate amended and re-passed a rules bundle bill during its Thursday floor session after Governor Patrick Morrisey vetoed it on April 1.

The West Virginia Senate amended and re-passed a rules bundle bill during their Thursday floor session after Gov. Patrick Morrisey vetoed it on April 1.

Senate Bill 369 was vetoed and returned to the Legislature by Morrisey on Tuesday for what the governor’s office called, in a letter to Senate President Randy Smith, “its imprecise and unwieldy regulation of political action committees [that] will likely cause confusion for those attempting to have their voices heard in our political process,” 

The Senate took the bill back up during its Thursday morning floor session.

West Virginia’s Secretary of State, Kris Warner, released a statement minutes before the Senate’s floor session, expressing frustration over Morrisey’s veto and asking legislators to override it.

Warner said in the release that the rules bundle had been published for public review and comment for at least eight months, and he was shocked when Morrisey vetoed the bill.

“Not only is it questionable whether a governor can ‘veto’ a Legislative Rule, this was the first time anyone raised concerns with this rule’s language in the last eight months,” Warner wrote.

In addition to state agency regulations, Warner said the rules bundle in Senate Bill 369 updates campaign finance rules that aim to increase transparency in political campaign finances, and alleged that to be the real reason for the governor’s veto.

“Who, I wonder, is ‘attempting to have their voices heard in our political process’ that cannot under our existing or proposed rules? Federal and state laws provide broad protections and rights for citizens to voice their opinions,” Warner wrote. “The government’s interest in regulating that speech has been extensively litigated.”

Warner said in his statement that the public deserved the time to review the new version of the bundle, which he, senior counsel, and staff of the House and Senate, the governor’s attorney, and his staff revised and “had their days hijacked because of this easily avoidable situation.”

“I’m confident that the revised language is palatable—it merely provides guidance for existing law,” Warner wrote. “But what if it were something else such as a topic that impacts the daily lives of citizens, the public health, our schools? Had we been approached, we would have explained the well-researched updates and offered to clarify any ambiguous provisions. But that’s not what happened.”

Sen. Patrick Martin, R-Lewis and Senate Majority Leader, made the motion for the body to reconsider the bill during Thursday’s floor session.

“I move that, in accordance with section 14, Article Seven of the Constitution the state of West Virginia, that the Senate proceed to reconsider enrolled committee substitute for Senate Bill 369 and heretofore disapproved and returned to His Excellency, the governor, with his objections,” Martin said.

Senators amended the bill without discussion to provide clarity for candidates who form and operate separate political action committees under existing law. 

Martin explained the amendment on the floor.

“The state election commission, by the Secretary of State, revised the language in Section 14 of the rule to provide clarity and guidance as requested in the public comment as follows,” Martin said. “To provide clarity for candidates who form and operate separate political action committees under existing law, which must be separate from candidates’ committee funding and activities, two reinforcing existing law regarding coordinated expenses and prohibited use of funds for personal use, I urge adoption.”

The bill passed unanimously, as amended.

The bill was made effective upon passage and is designated as completed legislation on the legislature’s website.

Warner closed his statement by expressing his frustrations, but acknowledging and thanking the staff who made the revisions possible under a tight deadline.

“So while we were able to get the rule back on track, I’m frustrated with how we got here,” he said. “I’m frustrated with how many legislators, staff, and attorneys had their days hijacked because of this easily avoidable situation. Election-related regulations are directly within my jurisdiction according to the State Constitution and West Virginia Code as the State’s Chief Election Officer. Campaign finance regulations fall to the State Election Commission, of which I am a member by law. In the future, I’m hopeful that concerns with election regulations are raised before the timeclock runs out, and so the public has ample opportunity to participate.”

Morrisey’s office did not respond to WVPB’s request for comment. But, on Thursday afternoon, Morrisey responded to two journalists’ X posts discussing Warner’s statement from his campaign and personal account, claiming his office “helped them fix the issues and clean things up. We do need to get things right.”

X Screenshot captured at 4:35 p.m. on April 3, 2025.

The original version of Senate Bill 369 also had two technical errors.

The first technical error was in the proposed changes to the licensure and regulation of pharmacies.

Lawmakers passed and sent Senate Bill 291, allowing the Board of Pharmacies to provide registration every two years, instead of annually, to the governor for his signature on March 18. Morrisey signed the bill into law on March 24.

Language included in the original version of Senate Bill 369, which was passed by lawmakers and sent to the governor for his signature on March 25, would have required the Board of Pharmacies to provide annual registration and annual license fees, conflicting with Senate Bill 291.

The second technical error was the absence of a section name on a proposal for the Board of Respiratory Care that, according to Morrisey’s office, would have made it inconsistent with procedural formatting standards.

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