ANNAPOLIS, Md. — In Annapolis, all eyes are on the budget and things just got worse.
"I think it's safe to say compared to where our expectations were in December, a worst-case scenario has developed," said Robert Rehrmann, while giving a presentation on the state's fiscal outlook.
The state is projected to bring in $280 million less than previously thought in the next fiscal year.
State leaders say the Trump Administration's cuts to the federal workforce are causing this issue.
This means Maryland lawmakers have to make more tough choices, and Marylanders will either see more tax and fee increases or fewer services.
Senator Guy Guzzone and Delegate Ben Barnes spoke frankly about the potential changes we could see as they try to balance the budget.
"It reflects a president, Donald Trump, who is intent on decimating our federal workforce, cutting services for those who need it most and in doing so wrecking our economy," said Barnes.
"There are a lot of things that aren't accounted for and that will need to be accounted for over the course of time. We don't actually know what that looks like there has been this level of uncertainty and it continues to be," said Guzzone.
Senator J.B. Jennings says lawmakers are preparing to come back in September if the federal government makes more cuts that impact Maryland.
Republicans are looking for more cuts to the state government and less tax and fee increases.
"Colleagues on my side of the aisle, we're looking at cuts, and that's what we're focused on right now. The other side of the aisle, I think they're focused on both cuts and revenue generation," said Jennings.
Current proposals to close the gap include:
- Cuts to Maryland's education funding plan.
- A tax increase for Marylanders who make more than $500,000.
- Ending itemized deductions while doubling the standard deduction.
- Cuts to the developmental disabilities administration.
- Tax increases on business-to-business services and sugary drinks.
The next major milestone for Maryland's lawmakers comes on March 14 as the federal government must pass a funding bill or shut down.
