A Week Late, Lawmakers Reach Deal on Budget

A compromise on how to spend $38.1 billion.

The long drawn out negotiations over how to allocate next year’s state budget has come to an end.

The House and Senate struck a deal on Beacon Hill today that will determine how the state’s $38.1 billion budget is spent.

The budget agreement comes a full week after the traditional end of the fiscal year on June 30. The state has been operating on a temporary budget during the impasse.

One of the key disagreements between the chambers has been language in the House version of the MBTA reform bill proposed by Gov. Charlie Baker. that limits the reach of the Pacheco Law. Meanwhile, the Senate froze the scheduled roll back of the state income tax at 5.15 percent while increasing the personal income tax exemption.

The Senate is scheduled to meet at 11 a.m. on Wednesday while House Democrats are scheduled to caucus tomorrow at 12:30 p.m before voting on the budget in a formal session at 1 p.m.