What to expect from next week’s Special Session

Editor’s note 5/27/2022: I have brought this home from the dead Examiner.com pages.

On Friday Governor O’Malley made it official: the Maryland General Assembly will be called in beginning May 14 for a Special Session to deal with the state’s budget. While the Maryland legislature passed a budget prior to the close of the regular session April 9, O’Malley and majority Democrats complained the so-called “doomsday budget” didn’t fund all the items on their wish list – this despite being $700 billion higher than the budget for fiscal 2012, which ends June 30. The one measure which will be scheduled for consideration will be along the lines of legislation Annapolis regularly passes each spring to adjust the ongoing budget year, a bill called the Budget Reconciliation and Financing Act, or BRFA.

It’s worth noting, however, that there is no restriction on bills which can be introduced in a Special Session. Last fall, at a gathering called to deal with Congressional redistricting, over 50 bills were introduced between the House of Delegates and Senate – a roster which included bills addressing tolls, environmental issues, and taxes. While few of these bills ever progressed beyond first reading, there’s always the chance that something could come in under the radar.

Republicans and conservative groups like Americans for Prosperity, however, feel the Special Sessions – a second one dealing with gaming issues is proposed for later this summer – are not necessary because the General Assembly did its appointed job and passed a state budget, even if it’s one not to the Governor’s liking. AFP claims that thousands have signed an online petition which expressed the desire of Maryland taxpayers to leave well enough alone.

Conversely, the Maryland State Education Association teacher’s union posted a ‘doomsday clock’ on its website, claiming dire consequences from $200 million in budget cuts, including a $100 cut in per-pupil aid. Law enforcement could also be affected in certain jurisdictions as the state grants local governments have grown dependent on are on the chopping block under the budget that passed.

The hue and cry from various special interest groups has become so loud that it’s presumed the budget holes will be patched with still further tax increases which will affect Maryland’s working families. If they’re not tagged by income tax hikes, it’s still likely Free Staters will be hit with a gas tax increase or new fees on services. Democrats in probable 2014 swing districts will likely join Republicans in opposition to tax hikes, but most of the majority party hails from areas which have become used to state government largesse and will feel they can safely vote yes to higher taxes.

Thus, these proposed new revenue streams will receive a handful more than the requisite 71 votes in the House of Delegates and 24 Senate votes to advance to Governor O’Malley’s desk, where he will be waiting with bated breath to sign another round of tax hikes as he did in 2007.

In all honesty, the only three questions about next week’s session are these:

  • How many majority Democrats will be allowed to take a pass and stand against tax increases? Look for those who represent more conservative areas of Maryland like the western panhandle, Southern Maryland, and the Eastern Shore to be among the few who say “no.”
  • Which tax hikes will take effect, and who will be the winners and losers? The smart money says it will be wealthy taxpayers taking the bullet, but a recent decline in gas prices may make an increase in the gas tax more palatable – particularly if the General Assembly can push its enactment back to this fall, after tourist season and the 2012 elections.
  • If the tax hikes are placed into effect, will the promise of a second Special Session to address gaming be reneged upon? Senate President Mike Miller was adamant that the prospect of a sixth casino in Prince George’s County be addressed as part of solving the budget crisis, but promising a Special Session this summer when the immediate issues will be resolved next week may mean his proposal is now on the back burner.

Since it costs Maryland taxpayers upwards of $20,000 per day to host a Special Session, it’s thought this rendition will be a brief one, perhaps two to three days. But the final cost to already overburdened Maryland taxpayers may be far greater once they are finished.