Maryland's 2027 budget will not raise taxes or fees, Gov. Wes Moore says

Maryland Gov. Wes Moore signed the budget for the 2027 fiscal year Wednesday morning, which totals nearly $70.8 billion.

The budget was crafted to address the state's $1.5 billion deficit without raising taxes or fees, according to the governor. 

In March, Moore also unveiled a supplemental budget proposal, which included $53 million in additional funding.

"We said we were going to do it without raising taxes and without raising fees on the people of Maryland. We said what we were going to do and today, we're thankful to stand on partnership and say we did it," the governor told reporters Wednesday. "This budget protects our people. This budget makes life a just a little bit more affordable for our people."

Initial budget proposal 

The initial budget proposal included about $900 million in cuts, along with other cost-saving measures. 

The proposal cut government spending by $154 million between 2026 and 2027, and maintained 8% in Maryland's Rainy Day Fund, the governor said. 

"The fund balance grew from $108 million when I introduced this budget to $250 million when it passed," Moore said.

Under the budget, local governments will be asked to cover retirement plans for local teachers, librarians and community college workers. 

The budget makes major investments into education, law enforcement and efforts to reduce energy costs.

"This budget puts $100 million back into people's pockets through utility fee relief because, honestly, people are upset when they open their utility bills and they should be," Moore said.

Under the budget, public schools will receive $10.2 billion, $124.1 million will be invested into local law enforcement and $73.7 million will cover economic development projects. 

Education funding in the 2027 budget is about 6% higher than it was in the 2026 budget, which totaled $67 billion. 

The budget also includes $10.6 million for the Department of Juvenile Services and $30 million to maintain facilities under the Department of Correction and Public Safety. 

Another $73.7 million will be used to fund 242 revitalization projects under the Maryland Department of Housing and Community Development. 

The budget sets aside $54 million for investments into quantum energy and includes about $100 million in business tax cuts. 

Supplemental budget proposal 

The supplemental budget proposal included $36 million to address the Developmental Disabilities Administration's budget shortfall. $5.5 million will be allocated to the Maryland Department of Health facilities.

The Department of Juvenile Services will receive $5.5 million in funding to improve its facilities and health records. 

The supplemental proposal also includes major investment into oversight efforts, including $2.5 million for the Department of Budget Management's Audit and Compliance Unit and $2.3 million for the Comptroller's Compliance Division. Another $5 million will be used to review repeat audit findings. 

The Board of Public Works' Contingent Fund will receive $5 million to manage unplanned, statewide emergencies.