BOSTON – The House Committee on Federal Funding, Policy and Accountability held a hearing recently focusing on the broad impacts to the state budget and the economic health of the Commonwealth. The hearing, chaired by State Representative Kathy LaNatra, was the first hearing of the newly named Committee. Those who testified in front of the Committee included Doug Howgate, President of the Massachusetts Taxpayers Foundation; Sarah Mills, Vice President of Government Relations at the Associated Industries of Massachusetts, and Quentin Palfrey, Director of the Federal Funds and Infrastructure Office in the Healey-Driscoll Administration.
“Just five months into the current administration, we’re already seeing significant shifts in the federal funding that Massachusetts depends on,” said State Representative Kathy LaNatra (D–Kingston). “From higher education and childcare to small businesses and major employers, organizations across the Commonwealth are trying to understand how policy changes, funding cuts, grant rescissions, and tariffs will affect them. As Chair of this committee, I’m committed to making sure we fully understand the many ways our state partners with the federal government—and to creating a forum where nonprofits, businesses, institutions, and agencies can share information directly with the Legislature. These insights will help shape our response to the challenges ahead. I want to thank Doug Howgate, Sarah Mills, and Quentin Palfrey for their testimony today, and Speaker Mariano for the opportunity to lead this important work.”
Testimony from Doug Howgate of the MTF focused on the effects of federal funding cuts to the State budget. Howgate emphasized that one in four dollars in the House’s FY26 State Budget comes from the federal government, representing a higher share of revenue than both the sales tax and the lottery. He cautioned that an economic downturn, caused by uncertainty and tariffs would be more harmful to the State’s economy than any one policy proposal. Sarah Mills of AIM also focused on tariffs, highlighting their impact on businesses across the Commonwealth, which export around $77 billion to over 210 global markets each year. Director Palfrey focused on the efforts of the Healey Administration to track changes to federal funding, as well as logistical changes to how the state and localities apply for available federal dollars.
The Committee on Federal Funding, Policy and Accountability was created to monitor the effects of federal policy decisions on Massachusetts, particularly in areas like education, public health, veterans’ services, civil rights, and climate policy. The committee will engage with residents, businesses and stakeholders who have been impacted by President Trump’s actions, a process that will allow the House to better understand how to respond to the developments in Washington.
For questions about the Committee, or concerns about Federal funding or policy that you would like directed to the Committee, please email Christopher.Jean@mahouse.gov.
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