The 2016 Legislative Session Begins

January 13, 2016 by Mark Scott in 2016 Session, Blog, Budget and Tax, Economic Opportunity, Education

Decisions made during the 2016 legislative session, which begins today, will affect the prosperity of average Marylanders for years to come.

Legislators will have some key opportunities this session to support a higher standard of living for all Marylanders. They can respond to Governor Hogan’s call to help working people make ends meet by expanding the state’s Earned Income Tax Credit to cover the 355,000 people who currently get little or no benefit from the credit, despite very low wages.

And they can benefit the state’s economy by ensuring that Marylanders don’t have to choose between their health and their job by supporting legislation allowing all workers to earn paid sick leave.

It’s likely to be a fast-paced, combative 90 days, as the governor pushes tax cuts that many legislators realize would threaten the ability to preserve quality education and other essential services in Maryland.

Much of the battling will be over the state budget itself, which also was the source of a major rift between Governor Hogan and the General Assembly last year.

For the first time in more than a decade, a governor enters the session with a projected hefty surplus of revenue — roughly $500 million by the end of the current year’s budget — largely as a result of an improving economy.  Despite the rise in resources, when the governor previewed his upcoming budget proposal last week, he indicated that he will introduce a budget that invests $236 million less than what is needed to maintain the current levels in services. We won’t get more details until the governor submits his budget January 20.

Furthermore, Governor Hogan announced this week that he intends to propose tax cuts with a $480 million price tag over the next five years. These cuts would likely come at the cost of support for colleges and universities, hospitals and public safety.

Governor Hogan will also be seeking to reduce spending mandates, although he has not yet outlined which mandates he would like to change. More than 80 percent of the budget is based on state and federal requirements. However, for many legislators, the mandates are important because they protect spending on things like education and health programs from massive cuts. This is also one of the few ways legislators can increase spending on these important programs, as Maryland’s budget process heavily favors the governor.

Lawmakers will also debate controversial issues such as physician-assisted suicide, the once-every-decade redistricting process and overriding the governor’s vetoes from the last session, including a provision allowing people who are on parole or probation following a felony conviction to vote.

In addition, there is expected to be a significant focus on Baltimore City and on policing-related policies. In the first legislative session since the unrest following Freddie Gray’s death last spring lawmakers will propose a variety of ways to support Baltimore’s recovery and future growth.