Big cuts in aid to counties, libraries, schools, universities, health care, state police and dozens of other programs will be needed if the legislature doesn?t pass tax increases next month, Gov. MartinO?Malley said Tuesday as he unveiled his own version of a “doomsday” budget.
“There is a price to doing nothing,” said O?Malley, flanked by his Cabinet. “When we understand what the price of doing nothing is, we will find a way to move forward.”
In a move clearly designed to put pressure on lawmakers, the governor listed $1.7 billion in cuts he would propose if the General Assembly he has called into session next Monday does not pass most of the eight revenue measures he has proposed.
The plan includes $530 million in cuts to county governments, including freezing Thornton education aid and teacher retirement funding, along with reductions in money for police, open space and community colleges. There would be another drop in funding for Medicaid and foster care.
There are $791 million in cuts to state programs, including a $110 million reduction for university funding, likely to lead to tuition increases, O?Malley said.
Some of these potential cuts are the kind of budget plans he criticized Republican Gov. Robert Ehrlich for implementing. Senate GOP Whip Allan Kittleman said, “He?s trying to scare people into consensus, and it?s not going to work.”
“The new movie in town is ?Nightmare on State Circle,?” Kittleman said, with the leading man played by “Martin ?Freddy Krueger? O?Malley. If you fall asleep in that movie, you?re going to get hurt.”
Despite the dire budget scenario, O?Malley expressed confidence that much of his plan for tax increases and more limited spending cuts would be enacted. “Some pieces of the plan may be moved this way and that,” he conceded.
House Speaker Michael Busch and Senate President Thomas Mike Miller believe much of O?Malley?s plan to raise sales and corporate taxes and make the income tax more progressive would pass.
“I really think the majority of his package will be enacted,” Miller said. But getting slot-machine gambling approved will be more difficult. “It?s going to be up to the governor to get the votes.”
“I don?t think there?s enough Democrats in the House to pass slots,” Busch said, urging Republicans to introduce their own slots plan.
Miller and Busch said that further cuts in local aid must be made because 40 percent of the state budget is local aid. Busch said the legislature would need to find an additional $100 million to $200 million in aid reductions, in addition to those that are part of the original O?Malley deficit-reduction plan.
“If we?re not successful, we?ll be back here in January,” Busch said.
