Governor Martin O'Malley unveiled his fiscally responsible budget for Maryland. More info here: http://www.governor.maryland.gov/budget.html

1. Better Choices,
Better Results

2. Highlights: 2007 - 2015
 $9.1 B in cumulative cuts to State spending
 Eliminating the structural deficit by FY 2017
 Budget growth held to lowest levels in a generation
 Reduced the executive branch to 1973 levels, per capita
► More than 5,800 positions abolished since 2007
 8 consecutive budgets in compliance with Spending
Affordability Guidelines
 Rainy Day Fund Preserved at 5% of General Fund
Revenues
 State’s AAA Bond Rating Secured
► 1 of only 7 States to maintain an AAA rating from all three
rating agencies throughout the entire recession

3. Maryland is one of only 17 states to have recovered
over 100% of the jobs lost during the recession
3

4. This is a Jobs Budget
Creating Jobs by Rebuilding Schools,
Highways, Roads and Bridges
Public School Construction
Rental Housing Works
Bay Restoration Fund
Transportation Capital Budget
Other Capital Spending
Jobs Supported
7,416
2,500
283
16,317
21,637
48,000+
Accelerating Innovation for Jobs
Biotech and Life Sciences (20% Increase)
Cyber Security (33% Increase)
Research & Development (12.5% Increase)
Sustainable Communities (Level Funded)
$12 M
$4 M
$9 M
$10 M
4

5. 84 Cents of Every FY 2015 General Fund Dollar
Goes to Education, Health, & Public Safety
$0.48
Education
$0.25
Health
$0.11
Public
Safety
$0.16
Other
4

6. The O'Malley Brown Administration
Mission Statement

To strengthen and grow an upwardly-mobile middle
class and our family-owned businesses and farms.

To improve public safety and public education in every
part of our State.

And, to expand opportunity – the opportunity to learn,
to earn, and to enjoy the health of the people that we
love, as well as enjoy the health of the land, the water,
the environment that we love – to more people rather
than fewer.

7. College Affordability
Since 2007, we have done more
to hold down the rising cost of
college tuition than any other
state in the nation

8. Health

9. Public Safety
Since taking office, we've driven
down juvenile homicides 47 percent.

10. Sustainability
Oyster production and
planting driven up 234%
since 2006

12. National Recession
Resolving Structural Budget Deficit
Structural Deficit
Eliminated by FY'17
In October 2007, budget officials
projected a $1.7 billion structural
deficit in FY 2010.

13. Total 8-Year Spending Cuts: $9.1 B

14. Record Funding for K-12 Education

15. Average Annual Budget Growth Rate
General Fund Spending Growth
*Excludes Appropriations to the Rainy Day Fund

16. A Balanced FY 2015 Budget

After the federal shutdown, revenue estimates
deteriorated, contributing to a $584 M shortfall
►
$193 M in FY 2014 and $391 M in FY 2015

This budget fully closes the projected shortfall with no
tax or fee increases

$621 M in balancing actions achieved through…
►
74% ($457 M) in spending reductions, 26% ($163 M) in sale of
old helicopters, transfers and payments
►
These actions close the shortfall and leave a $37 M balance

17. A Fiscally Responsible Budget
 FY 15 budget includes $457 M in spending cuts and
no tax or fee increases
 Total spending cuts since 2007 now reach $9.1 B
 Securing cash reserves to total $837 B
►
Rainy Day Fund - $800 M (5% of General Fund)
►
Unallocated General Fund balance – $37 M
 Closing Maryland’s Structural Deficit
►
Nearly 50% of the structural gap closed in FY '15
►
Projected surplus of $31 M in FY '17
 8th Consecutive Budget in Compliance with General
Assembly’s Spending Affordability Guidelines
►
Spending held below 4% recommendation
►
Deficit cut by more than the $125 M
recommendation
$457 M
IN CUTS
IN CUTS
$0
TAX OR FEE
TAX OR FEE
INCREASE
INCREASE
$800 M
RAINY DAY FUND
RAINY DAY FUND
FY 2017 SURPLUS
FY 2017 SURPLUS
$31 M
8 BUDGETS
8 BUDGETS
IN A ROW THAT
IN A ROW THAT
MEET SPENDING
MEET SPENDING
AFFORDABILITY
AFFORDABILITY
GUIDELINES
GUIDELINES

18. Highlights: 2007 - 2015
 $9.1 B in cumulative cuts to State spending
 Eliminating the structural deficit by FY 2017
 Budget growth held to lowest levels in a generation
 Reduced the executive branch to 1973 levels, per capita
► More than 5,800 positions abolished since 2007
 8 consecutive budgets in compliance with Spending
Affordability Guidelines
 Rainy Day Fund Preserved at 5% of General Fund
Revenues
 State’s AAA Bond Rating Secured
► 1 of only 7 States to maintain an AAA rating from all three
rating agencies throughout the entire recession

19. For more info, visit
www.governor.maryland.gov