Hogan Introduces $58.2 Billion Budget, Including Tax Relief Proposals
By Danielle E. Gaines
Published January 19 in Maryland Matters
Excerpt: Gov. Lawrence J. Hogan Jr. (R) released his final budget proposal on Wednesday, a $58.2 billion spending plan that increases state education funding, expands relief programs for Marylanders hit hardest by the pandemic, and — if the governor’s team sees legislative success — would steer tax relief to Maryland retirees.
“I can think of no better way to begin this last year than by presenting a budget which continues to keep the promises we made. And that builds on the bipartisan progress that we have achieved to change Maryland for the better,” Hogan said.
The budget is built on an unprecedented level of fund balances and revenue growth. And, in addition to a $2.4 billion appropriation to the state’s rainy day fund, it would leave the state with a $1.3 billion structural surplus going forward.
In October, Hogan committed to a “five-point plan” for spending the surplus, including increasing the state’s rainy day fund, providing tax breaks for retirees and working families, increasing relief programs for underserved Marylanders and enhancing state employee salaries and benefits.
The budget includes more than $850 million over the current and next fiscal year to give salary enhancements and bonuses for state employees.