Minority Party Leader Steve Hershey debates budget.

News: WUSA9: 4-9-26

April 09, 20262 min read

Senator Steve Hershey

Maryland’s FY2027 Budget: What It Means for You

Annapolis, Md.Maryland has adopted its Fiscal Year 2027 budget, closing a projected $1.5 billion shortfall and funding state government for the year ahead. While the final plan avoids new broad-based taxes or fees, it relies heavily on short-term solutions that do not address the state’s long-term fiscal challenges.

Here’s what that means for Maryland families.

Senator Hershey with media WUSA 9

Recent coverage from WUSA9, reported by Matt Gregory, outlines what is included in the budget and how it may impact Maryland families. You can read the full article here:
https://www.wusa9.com/article/money/economy/maryland-2027-budget-explained/65-09be11d3-0da5-4bf3-8309-e8bc3ca97e1e

No New Taxes, No Real Reform

The $70.8 billion budget does not include new statewide taxes or fee increases. That is important for households already dealing with rising costs.

But it is equally important to understand how the budget was balanced.

Rather than making structural reforms, the state relied on spending reductions, fund transfers, and one-time adjustments. These are temporary measures. They do not fix the underlying issue: Maryland continues to spend at a level that outpaces long-term revenue.

In other words, the problem has been pushed forward, not solved.

Where the Money Is Going

The budget includes several major areas of investment:

  • Education: $10.1 billion for K–12 education, including efforts to address teacher shortages and improve school facilities.

  • Community Schools: $572 million to expand wraparound services for students and families.

  • Energy Relief: An estimated $150 rebate for households, tied to implementation of the Utility RELIEF Act.

  • Housing and Economic Development: Targeted efforts to expand affordable housing and support local economies.

These are significant commitments, and they will have real impacts across Maryland.

The Tradeoffs

Balancing the budget without new taxes required difficult decisions:

  • Developmental Disabilities Administration (DDA): A $126 million reduction that will affect services many families depend on.

  • Agency Spending: Nearly every state agency will operate under tighter budgets.

  • Ongoing Structural Deficit: Even with this budget in place, projections show the state facing growing shortfalls in the coming years.

This is the core concern. A balanced budget on paper does not mean the state is on stable financial footing.

A More Responsible Path Forward

Maryland needs a long-term approach that matches spending with sustainable revenue—without placing additional burdens on taxpayers.

That means making disciplined decisions, prioritizing core services, and addressing structural challenges now rather than delaying them.

As Senate Republican Leader, I will continue to focus on responsible budgeting that protects taxpayers and ensures the state is on solid financial ground for the future.

Staying Informed

Budget decisions affect every Marylander, from schools and public safety to energy costs and local services. My office will continue to provide clear, straightforward updates so you understand what’s happening in Annapolis and how it impacts your community.

Campaign Communications Consultant to Senator Steve Hershey

Jeannette Blake

Campaign Communications Consultant to Senator Steve Hershey

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