ANNAPOLIS–Gov. Wes Moore called on lawmakers Wednesday to “confront crisis with courage” in the coming months as they try to close their massive budget gap and navigate an unpredictable new administration in the White House.
The state is being tested by unprecedented fiscal challenges, Moore said, while also by “a new administration in Washington that sows uncertainty, confusion and chaos.”
“While there are many opinions about how we ended up in this crisis,” Moore told lawmakers, “let’s work together to make sure there is never a question about who solved it.”
The remarks came as part of Moore’s third State of the State address, where he recounted the successes of the first half of his administration and laid out the challenges to come. Those remarks were immediately met by critique from Republican colleagues dismayed by Moore’s budget plan – and by his words about President Donald Trump.
“I didn’t like the shots that he was taking at the new federal administration who’s been in office for a mere two weeks blaming, somehow, our financial crisis on potentially what could come out of the federal government,” Republican House Whip Jesse Pippy told reporters.
“I wish I would have heard some accountability from some of the policies coming out of Annapolis and the policies coming out of the second floor, and we didn’t hear any of that,” Pippy said. “And that was disappointing.”
It’s not yet clear how much Trump policies will trickle down into Maryland and affect the state’s budget crisis. Moore is intent on bridging an almost $3 billion budget deficit through program cuts and tax hikes, but the gap could grow much larger if the federal government suddenly decides to drastically cut Medicaid funding to Maryland, for example.
Moore warned of tough decisions ahead, acknowledging the state’s “distinct reliance” on D.C. and the need to break it.
In his address, Moore made a case to the legislature for tax code reforms and changes to state programs like the Blueprint for Maryland’s future, measures that could pull the state out of the current budget crisis.
The Blueprint, passed in 2021, called for costly improvements to public education to be phased in over the coming years. As it turns out, those ambitious standards are set to cost the state more than it is taking in in revenue, and Moore urged to lawmakers adjust for that.
“Working together to make the Blueprint more successful and sustainable doesn’t mean we’re backing down,” Moore said. “It means we’re stepping up.”
To supplement the cuts, Moore would also raise taxes on wealthy Marylanders. Under the current Maryland tax code, someone making $30 million a year is in the same tax bracket as someone making $300,000, Moore said. Moore said the new tax code would require those in the top tax bracket to pay a quarter point more than others.
“As someone who will be affected by this change, I am okay with paying a little more if it means we don’t have to lay off firefighters or police officers,” Moore said.
Senate Budget and Tax Committee Vice Chair and Democrat Jim Rosapepe said these changes would help families in Maryland.
“Governor Moore’s State of the State showed he’s the unTrump,” said Rosapepe, who serves Prince George’s County and Anne Arundel County. “Wes focused on helping our working families.”
But Republicans are skeptical.
Republican Senate Leader Stephen Hershey Jr. said that Moore’s focus on eliminating this year’s $3 billion dollar deficit is leaving larger issues unaddressed.
“I think everybody in Annapolis here is focused on the $3 billion deficit that we have this year,” said Hershey, who represents Caroline, Cecil, Kent and Queen Anne’s Counties. “But it’s important to note, with the full implementation of the Blueprint, we’re looking at $5 and $6 billion deficits in the out years. And that’s something I think all of us Republicans believe we should be trying to address this year as well.”
House Republican Leader Jason Buckel said that there was more style than substance in Moore’s address.
“We’re happy to work with him on areas where we can but a lot of that was sort of smoke and mirrors,” said Buckel, who represents Allegany County. “A lot of puffery.”