Tough budget decisions are in Maryland’s future as the state navigates how to handle billions of dollars in budget shortfalls.
“The overarching takeaway from this meeting is there is an enormous gap between the ongoing spending commitments the state has made and the ongoing revenues,” said David Romans, fiscal policy analyst.
Simply put, the state is spending more money than it’s bringing in.
Some of the biggest issues are a rise in medicaid spending and the blueprint for Maryland’s future.
“The general assembly has made a number of commitments in recent years. Most notably the k-12 enhancements known as the blueprint that continue to be rolled out and they drive a lot of the growth in cost,” said Romans.
In the last legislative session, the state increased fees on transportation and taxes on tobacco to balance the budget.
Kali Schumitz with the Maryland center on economic policy spearheaded a plan focused on increasing taxes on the wealthiest Marylanders.
The plan fell through despite the group warning tough economic decisions were coming.
“We hope that the situation that they’re facing that they talked about the committee yesterday is a wake up call and that the legislature is ready to have a serious conversation about revenue,” said Schumitz. “I don’t think that Marylander can afford to absorb those kind of cuts in services.”
Senator Justin Ready has been against tax and fee increases, highlighting how the spending in Annapolis is unsustainable.
“It’s been a choice that the general assembly and the governor has made. I think we really need to get serious about examine everything we’re doing in government to make our dollars that we’re being given by the people go farther,” said Senator Ready.
To solve the issue there is really only two things the state can do — cut funding to current programs, or raise taxes and fees.
Governor Wes Moore said last session he doesn’t want to increase taxes and fees unless he absolutely has to.
The governor’s office releasing a statement saying, “Marylander have come to expect fiscal responsibility from the Moore Miller administration and the governor will continue to move forward into the next session with that at the top of his mind.”
Maryland isn’t bringing in enough money to cover its expenses, projects show
