Better Choices, Better Results
Governor O’Malley’s Fiscally Responsible Budget – January 15, 2014
The O’Malley-Brown Record of Fiscal Responsibility and Shrinking Government
- Cuts and Fees in FY15 Budget: This year’s budget includes $760 million in spending cuts and includes no tax or fee increases.
- A History of Cuts: The O’Malley-Brown Administration has cut spending by a total of $9.4 billion over the last 8 years - more cuts than any administration in modern Maryland history.
- Progress on the Inherited $1.7 Billion Structural Deficit: Gov. O'Malley inherited a $1.7 billion structural deficit in 2007. This year's budget cuts the structural deficit by $125 million, which meets the Spending Affordability Committee's recommendation. The budget makes progress towards eliminating the structural deficit and keeps spending below the 4% recommendation.
- Executive Branch Positions at Historical Low: Gov. O'Malley shrank the size of government, abolishing 6,000 state positions since 2007. Under his leadership, the state's executive branch is the smallest it has been, per capita, since 1972.
- Maryland’s AAA Bond Rating: Maryland is one of only 7 states to maintain an AAA rating from all three ratings agencies throughout the Recession.
- Lowest Budget Growth as Governor: Under Gov. O’Malley, general fund budget growth has been held to its lowest level in a generation – 2.1% (compared to 7.5% under the preceding governor).
Governor O’Malley’s Commitment to Maryland Families, Workers and Students
- Future Job Growth: This budget supports 48,000 jobs, including over 7,000 jobs for our public schools; 2,500 jobs for our thriving tourism industry; and over 16,000 jobs for transportation projects that will connect Maryland businesses and employees.
- Investing in Innovation: This budget funds the Biotech Tax Credit ($12 million), the Cyber Tax Credit ($4 million), and the R&D Tax Credit ($9 million).
- Public Schools: Gov. O’Malley is investing a record $6.05 billion in K-12 education; $4.3 million in pre-kindergarten opportunities; and $275 million in school construction.
- Higher Education: Since 2007-08, Maryland has done more than any other state in the nation to hold down the cost of college. This year, the University System of Maryland’s tuition increase is capped at 3%, including a freeze at Morgan State University and St. Mary’s College.
- Public Safety: Maryland has driven down violent crime to 30-year lows. This year’s budget includes a $20.3 million investment in Maryland’s correctional facilities, including 100 additional correctional officers.
- Sustainability & The Bay: Gov. O’Malley is investing $42.4 million in the Bay 2010 Trust Fund, bringing total funding during the Administration to $160 million.
- Healthcare: Gov. O’Malley is leading the way on affordable healthcare, including providing health insurance for over 1 million people at a cost of $8.9 billion while also investing $30 million in a medical center in Prince George’s County and $13.25 million – a record for the Administration – for cancer research through Academic Health Centers.