Money Matters

Maryland Governor Hogan Introduces Budget Plan

Here are 8 takeaways from the Jan 19 press conference by Maryland Gov. Larry J. Hogan:

1. Effort taken to avoid fiscal crisis: in March immediate action taken, freezing all non-emergency COVID related spending and directed the department of budget and management to recommend cuts to all state agencies; vetoed all legislation that required any significant spending increases

2. In May: immediate budget reductions to the Board of Public Works

3. Economic recovery budget FY2022: will provide immediate targeted emergency tax relief and economic stimulus to help struggling Maryland families and small businesses that need it most

4. The $49 billion budget provides record investments in education, crime prevention, public health, and all key priorities.

5. Top legislative priority is the Relief Act of 2021: provides more than a billion dollars in immediate (targeted) emergency tax cuts and financial relief for Maryland families and small businesses who need it most

6. Budget calls for reducing the tax burden on all of Maryland’s retirees which includes more than $1 billion in tax cuts

7. Expand Hometown Heroes tax cuts to exempt law enforcement, fire rescue, corrections, and emergency response personnel from state tax on all retirement income specific to their service, and increase tax exemption for all military retiree pensions

8. 70% of Maryland economy was kept open throughout the entire pandemic with 100% of businesses opening back up in July