Maryland emerged from the last fiscal year with about $479 million in uncommitted surplus after benefiting from a record amount of interest income and stronger-than-expected revenue growth, the state comptroller said last Friday. Maryland ended the previous fiscal year with $555 million in uncommitted funds, which was a fraction of its multibillion-dollar surpluses from the prior two years. The state has for years faced projections of budget deficits, largely driven by a lofty and expensive education plan, but infusions of federal COVID aid led to years with surpluses and delayed the need for spending cuts or tax increases.
Governor Moore’s budget: It’s not yet clear what impact the modest surplus amount will have on the Moore administration’s plans for its roughly $63 billion budget proposal, which is expected to come out in January. Officials will be waiting to see how this latest report will affect future revenue forecasts.
