Maryland

Maryland

Budget Cycle
Annual  

Governor Submits Budget
January (3rd Wednesday)

Fiscal Year Begins
July 1 

Governor Signs Budget 
Not applicable*

*Governor is not required to sign budget.

Budget Links

FY2025 (proposed)
FY2024 (enacted)
FY2023 (enacted)
FY2022 (enacted)
FY2021 (enacted)
FY2020 (enacted)


Proposed Budget - Fiscal Year 2025

On January 17, Maryland Governor Wes Moore released a $63.1 billion all funds budget for fiscal 2025, a decrease of 2.0 percent compared to fiscal 2024. General fund spending totals $25.8 billion, a decrease of $1.6 billion, or 5.8 percent, from fiscal 2024. Estimated general fund revenues for fiscal 2025 are $25.1 billion, an increase of 1.8 percent over fiscal 2024. The proposed budget would leave an unappropriated general fund balance of $103.0 million and maintains a rainy day fund balance of 9.4 percent of general fund revenues, or $2.3 billion, in fiscal 2025. The budget does not include any tax increases and shrinks the structural deficit by 34.0 percent. 


Proposed Budget Highlights 

The governor’s proposed budget focuses on four key areas: making the state safer, more affordable, more competitive, and making Maryland the state that serves. The budget also shifts money from programs that are underperforming to programs with a proven record of success. 

 

Ending Child Poverty

  • $15.0 million for implementation of the ENOUGH Act, a first-in-the-nation state level effort to end concentrated child poverty and build thriving communities.
  • $270.0 million additional funds to support the Child Care Scholarship program to help families enroll their young children in high-quality child care.
  • $9.0 million to support implementation of the new federal Summer EBT program, leveraging $69.0 million in federal matching funds.
  • $26.7 million for rate setting and reform for child placement providers in the Department of Human Services.

Education

  • Provides record funding for K-12 education, investing $9.2 billion, an increase of $461.0 million, or 5.3 percent, compared to the current year.
  • $160.0 million increase (8.0 percent) in funding to support low-income students, including $131.0 million to expand wrap-around services in schools with high concentrations of poverty.
  • $2.3 billion in record state funding to University System of Maryland institutions.
  • $25.0 million in new funding for a higher education campus security fund.

Economic Development and Connecting People to Jobs

  • $6.4 million in new funding to support Baltimore’s Tech Hub Consortium and compete for federal funds.
  • $7.5 million, a 20.0 percent increase, for the Pre-Seed Builder Fund to make investments in emerging technology companies led by entrepreneurs from socially or economically disadvantaged backgrounds.
  • Rollout of the new Maryland Jobs Development Tax Credit, which provides income tax credits to businesses with projects based on location and number of jobs created.
  • $2.0 million increase for the Employment Advancement Right Now (EARN) program, which focuses on industry sector strategies that produce long-term solutions to sustained skills gaps and personnel shortages.
  • $2.0 million increase for correctional education in the Adult Correction Program.
  • $2.5 million in new funding for a pilot program for apprenticeship pathways within state government agencies.

Safer Communities

  • $4.4 million in additional funding to expand Thrive Academy, a gun violence prevention program, across the state and enable participation for 300 youth.
  • $12.0 million increase for an Enhanced Services Continuum and community services for youth in contact with the Department of Juvenile Services.
  • $10.0 million in new funding and 3.0 positions within public health to launch statewide gun violence prevention efforts.
  • 43.0 additional positions and $3.0 million additional funds to the Office of the Public Defender to assist with high caseloads.

Affordable Housing

  • $115.5 million in increased capital support for housing and community revitalization efforts to support affordable rental housing, a new Appraisal Gap program, and statewide demolition programs.
  • $5.4 million to expand the Assistance in Community Integration Services program that supports housing and tenancy-based services for individuals experiencing housing insecurity.
  • $800,000 to start the Maryland Community Investment Corporation, which will make investments in low-income communities.

Health Care

  • More than $1.4 billion, a record funding level, in direct state support for mental health and substance use disorder programs.
  • $15.0 million to establish the Pathways to Health Equity Program and the Health Equity Resource Community Reserve Fund to reduce health disparities and improve health outcomes.
  • $35.5 million general funds and $65.9 million federal funds to provide coverage for an anticipated 5,700 noncitizen pregnant women.
  • $25.0 million increase, for $110.0 million total, for the Maryland Consortium on Coordinated Community Supports to oversee a statewide framework of wrap-around behavioral health services for students.
  • $10.0 million in new funding to implement provider recruitment strategies to build capacity and ultimately expand services for eight different waiver programs.
  • $92.0 million in general funds to increase the reimbursement rates to certain health services providers by three percent.
  • $21.0 million and 300.0 new positions across various Department of Health facilities.

Clean Energy and Natural Resources

  • $115.5 million in state transfer tax funds to programs that support state and local land preservation, operations of state lands, and projects at state parks.
  • $90.0 million from the Strategic Energy Investment Fund to support implementation of the Climate Pollution Reduction Plan.
  • $74.5 million in trust funds to support critical bay restoration activities and implementation of best practices.
  • $25.8 million for the Cover Crop program to support farmers who reduce agricultural run-off into the Chesapeake Bay.

State of Service

  • $13.0 million in additional funding for the Department of Service and Civic Innovation to support continued development of the Maryland Corps and Service Year Option programs, supporting expansion to 500 participants.
  • $1.75 million to continue the Maryland Conservation Corps.