BOSTON (AP) – Republican Gov. Charlie Baker has vetoed $320 million in spending from the state budget and is asking lawmakers to take a fresh look at a package of cost-saving Medicaid reforms.

Baker on Monday signed the rest of the roughly $40 billion spending package. The state has been operating on an interim budget since July 1.

The governor didn’t sign off on a budget provision calling for a new temporary assessment on Massachusetts employers to help offset rising costs for MassHealth, the state’s Medicaid program. He’s giving the Legislature 60 days to act on a broader set of changes.

The budget process has been complicated by a shortfall in tax collections. The administration projects revenue to be about $750 million less than what was projected when the governor filed his initial budget recommendations in January.

(Copyright (c) 2024 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed.)

Join our Newsletter for the latest news right to your inbox