Hogan Outlines Budget Plan
Maryland Governor-elect Larry Hogan and Fiscal Adviser Bobby Neall held a news conference on Dec. 11 in Annapolis to outline what they described as the economic problems the state of Maryland faces heading into the new administration.
“On November 4, the people of Maryland rejected massive spending increases and tax increases, and a failing economy that has been losing businesses, jobs, and taxpayers at an alarming rate. The voters decided that our state was going in the wrong direction, and they decided that our state government had to finally start living within its means,” Governor-elect Hogan said. “The tough decisions have not been made, and the wrong decisions have been made for far too long. And it simply cannot continue.
“Let me put it into simple everyday terms: We have drained our checking and savings accounts, maxed out every credit card, we tapped into the Christmas fund, the college tuition funds, and we even broke into every one of the kid’s piggy banks. We are going to have to make some very difficult choices, because state government cannot continue to spend more than it takes in.”
Neall then outlined the state’s fiscal situation.
“The state’s fiscal position is a very serious one, and it’s not something that’s happened overnight,” Neall said. “Maryland has been struggling with a so-called structural deficit for many years, possibly over a decade.”
“I believe we need a set of clear and consistent decisions, grounded in fiscal discipline, to reduce the size and scale of general fund expenditures until the revenue line is above the expenditure line,” Neall said.
“Based upon the cold, hard facts of our economic situation, I am asking my fiscal team to bring to me budget recommendations for the next six months of the current administration’s budget and options for our next year FY 2016 budget,” Hogan concluded. “I would like to see a list of fiscal policy options that could help us get to a balanced budget as quickly as possible.”