Md. Board OKs Plan to Address $410M Budget Hole - WBOC-TV 16, Delmarvas News Leader, FOX 21 -

Md. Board OKs Plan to Address $410M Budget Hole

Posted:

ANNAPOLIS, Md. (AP) - Maryland state agencies will take a 2 percent across-the-board budget cut, and higher education will absorb an added $18 million cut as part of plan to fill a $410 million shortfall for the current fiscal year, according to a plan approved by a state board Wednesday.

Also, people who work with the developmentally disabled in communities won't get as much of a raise as they thought they would. A 4 percent pay hike will be shaved to a 2 percent increase.

The Board of Public Works voted 3-0 to approve cuts and fund transfers needed to make up for underperforming state revenues. It was the ninth time Gov. Martin O'Malley brought cuts to the board during his eight-year tenure to deal with budget problems since the recession.

The term-limited Democratic governor, who leaves office Jan. 21, blamed federal cuts that have hurt large numbers of federal employees in Maryland as a main cause of lowering revenue projections. He also said cutbacks in Washington have hurt small businesses that act as contractors and subcontractors on work needed by the federal government.

"And so government shutdowns, continued threatened government shutdowns, congressional misbehavior that results in sequester cuts that continue on and on and on, have a disproportionate impact on our economy - compared to say the economy of southern California, the northwest or even New England," O'Malley said.

Laura Howell, executive director of the Maryland Association of Community Services, said the cut in pay for people who work with the developmentally disabled is a devastating blow. The increase was part of an agreement in last year's decision to raise the state's minimum wage. It was aimed at keeping wages for providers that help the developmentally disabled live and work in communities above minimum wage.

"Our providers will absolutely struggle to hire highly skilled workers who are needed to help people with disabilities live and work," she said.

The cuts include voluntary early retirement and the elimination of up to 1,000 vacant positions, which together are expected to save about $37.5 million. When the state last offered early retirement to save money in 2010, more than 600 people accepted it.

No layoffs are part of the plan. The 2 percent reduction across state agencies adds up to about $113 million of the savings. The board also will rely on about $108 million in spending transfers from other state funds to help fill the hole.

While the board has the unique power of making budget cuts when the Legislature is not in session, some of the provisions in the plan will need to be approved by the General Assembly, which convenes next week.

Maryland faces a shortfall of about $1.2 billion this fiscal year and the next, which begins July 1. The adjustments are aimed at putting the state on better financial footing to tackle the remaining shortfall of roughly $750 million in the next fiscal year. Gov.-elect Larry Hogan, a Republican, will submit a budget two days after he takes office on Jan. 21.

  • Delmarvawide NewsDelmarvawide NewsMore>>

  • Discussion Sparked on Kent County's "Dangerous" Animal Ban

    Discussion Sparked on Kent County's "Dangerous" Animal Ban

    Monday, May 22 2017 7:46 PM EDT2017-05-22 23:46:41 GMT
    Monday, May 22 2017 7:46 PM EDT2017-05-22 23:46:41 GMT

    DOVER, Del. -- John Zalewski of Kent County says he'd like to keep poison dart frogs at his home near Milford, something he thinks would not be blocked by the state's permitting process for exotic animals. However, Zalewski claims he was told by Kent County the frogs would be classified as dangerous animals, even though he said the amphibians are not poisonous when held in captivity. "I'd put one in my mouth or whatever. They're completely harmless," he said. Kent Co...

    More

    DOVER, Del. -- John Zalewski of Kent County says he'd like to keep poison dart frogs at his home near Milford, something he thinks would not be blocked by the state's permitting process for exotic animals. However, Zalewski claims he was told by Kent County the frogs would be classified as dangerous animals, even though he said the amphibians are not poisonous when held in captivity. "I'd put one in my mouth or whatever. They're completely harmless," he said. Kent Co...

    More
  • Ocean City Postpones Median Project

    Ocean City Postpones Median Project

    Monday, May 22 2017 7:20 PM EDT2017-05-22 23:20:09 GMT
    Monday, May 22 2017 7:20 PM EDT2017-05-22 23:20:09 GMT

    Ocean City median project has been postponed till fall of 2018. 

    More

    Ocean City median project has been postponed till fall of 2018. 

    More
  • Wicomico County Hires New Finance Director

    Wicomico County Hires New Finance Director

    Monday, May 22 2017 6:30 PM EDT2017-05-22 22:30:22 GMT
    Monday, May 22 2017 6:30 PM EDT2017-05-22 22:30:22 GMT

    Wicomico County Executive Bob Culver announced the replacement of former finance director Leslie Lewis.  

    More

    Wicomico County Executive Bob Culver announced the replacement of former finance director Leslie Lewis.  

    More
  • Most Popular VideosMost Popular VideosMore>>

  • Cruisin' OC Weekend Raises Concerns

    Cruisin' OC Weekend Raises Concerns

    Although this weekend brought in a lot of business for the 25th Annual Cruisin' Ocean City, there were many people left in town that had mixed emotions about the event.More
    Although this weekend brought in a lot of business for the 25th Annual Cruisin' Ocean City, there were many people left in town that had mixed emotions about the event.More
  • Locals React to Cruisin' Ocean City

    Locals React to Cruisin' Ocean City

    Thousands of cars rumbled into Ocean City for Cruisin' OC but not everyone was thrilled about it.

    For 27 years unique cars have traveled from hundreds of miles away to drive up and down the streets of Ocean City.

    While this event might be a big attraction for people who aren't from Delmarva, not everyone gets revved up for the weekend.Locals said that over the past few years the noise and the smell has gotten to be a little too much.

    More

    Thousands of cars rumbled into Ocean City for Cruisin' OC but not everyone was thrilled about it.

    For 27 years unique cars have traveled from hundreds of miles away to drive up and down the streets of Ocean City.

    While this event might be a big attraction for people who aren't from Delmarva, not everyone gets revved up for the weekend.Locals said that over the past few years the noise and the smell has gotten to be a little too much.

    More
  • Residents Worry About Uptick in Violence on One Particular Street

    Residents Worry About Uptick in Violence on One Particular Street

    In Dover, in recent weeks, shootings have mostly been concentrated on the south side of New Street with a person, a home, and a car being hit by gunfire.

    More

    In Dover, in recent weeks, shootings have mostly been concentrated on the south side of New Street with a person, a home, and a car being hit by gunfire.

    More
Powered by Frankly

All content © Copyright 2000 - 2017 WBOC. All Rights Reserved. For more information on this site, please read our Privacy Policy, and Terms of Service, and Ad Choices