State Budget News Continues to Worsen

December 18, 2014

By Henry Bogdan, Director of Advocacy and Public Policy, Maryland Nonprofits

While many nonprofits have been hoping that improvements could be made to state programs that are already inadequate, the legislature’s Spending Affordability Committee yesterday “recommended” a limit on state spending growth for next year that could cut away half of the money needed to pay the growing costs of the current level of services. Done to address

growth of the state’s structural deficit, this means that at least $350 million of projected “baseline” costs would not be funded. While the recommendation does not carry the absolute weight of law, as a practical matter it is almost always observed by the General Assembly in approving the state’s budget. And continuing uncertainty about the state’s economy and revenues threaten to make eventual reductions worse.  

The final Spending Affordability report and recommendations are available online. A listing of all the “cost growth” in the state’s general fund budget can be found on pages 13 and 14 of the November 12 Spending Affordability briefing. Of course the actual spending reductions can come from any ongoing program or service in the budget, but

people and communities nonprofits serve or represent will be affected.

Join us at our Legislative Preview on January 12 to learn more about the state’s fiscal situation and funding that may be in jeopardy.

Join us January 12th for our 2015 Legislative Preview and Public Health Equity Discussions. 

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