Maryland Gov. Wes Moore is expected to reveal the Fiscal Year 2027 budget proposal on Wednesday morning. 

The governor has promised that the state will "not raise taxes or fees," according to our partners at the Baltimore Banner.

The budget will have to address a nearly $1.4 billion deficit. It must be passed by the House and Senate by April 6 before it can be signed into law. 

Initial 2027 funding proposals

Gov. Moore has already shared parts of his budget plan and some priorities for the 2026 legislative session, which began on Jan. 14. 

In early January, the governor said he plans to allocate $10.2 billion to public schools, $124.1 million to law enforcement and $73.7 million for revitalization and economic development projects.  

The $10.2 billion for schools would represent a 6% increase in funding for K-12 programs compared to the 2026 budget, which totaled $67 billion. The 2026 budget allocated $9.7 billion to public schools.

The $124.1 million for law enforcement would come from the State Aid for Police Protection Program, according to the governor.

The $73.7 million would fund 252 revitalization projects under the Maryland Department of Housing and Community Development. 

Maryland's 2026 budget 

Maryland's $67 billion spending plan for 2026 was crafted to address a nearly $3 billion budget shortfall. 

The 2026 budget introduced more than $1.8 billion in new and increased taxes, leaving the state with a $2.4 billion cash reserve and surplus. 

Changes included a new 3% tax on IT and data services, and a 2% tax on capital gains for residents with income over $350,000. The 2026 budget also increased sports betting, cannabis and vending machine sales taxes. 

According to the governor, 94% of Marylanders saw tax cuts or no changes to their income taxes under the 2026 budget. 

"We turned a $3 billion inherited deficit into a surplus, while still reserving 8% in the rainy day fund above the recommended levels," Gov. Moore said last year. "We made over $2 billion in targeted cuts, which was hard, but it's the largest amount of cuts that we've seen from a Maryland budget in 18 years."