(WBFF) — As Maryland is grappling with a severe budget crisis and prepares to institute a statewide hiring freeze, some analysts questions why the state failed to heed the warning signs until now.
David Williams, an analyst with the Taxpayer’s Protection Alliance said, “The state should’ve prepared for that money to be cut off.” When former Governor Larry Hogan left office three years ago, he left behind a $5 billion budget surplus and cautioned against reckless spending. Hogan advised, “It would be a mistake for the legislature to use its budgetary old power to return to the habits of raiding the rainy day fund or recklessly spending down the surplus.”
Despite these warnings, headlines emerged a year later about a bleak five-year budget forecast. Moody’s warned state leaders of a potential downgrade in the state’s bond rating due to the dismal financial outlook. By last November, state budget analysts reported that the “budget gap” had reached a critical level, with one analyst noting, “That’s the largest gap that we’ve seen in 20 years and the most significant gap since the Great Recession.”…