The Maryland General Assembly's Judiciary Committee convened on January 28, 2025, to discuss significant changes to the state's K-12 education funding and other fiscal matters. A proposed increase of $551 million, approximately 6%, in K-12 education funding was highlighted, but it comes with notable cost containment measures.

One of the most contentious proposals involves a reduction in funding for behavioral health services for school-age children. The governor has suggested cutting the annual allocation from $130 million to $40 million, marking a permanent change that raises concerns about the support available for students in need.

Additionally, the governor plans to suspend the phase-in of collaborative time for teachers, which is intended to provide more training and less classroom time. This suspension, set to begin in fiscal year 2030 instead of 2026, is projected to save $124 million in fiscal 2026 and over $500 million by fiscal 2029. The rationale provided is a current shortage of teachers, which complicates the implementation of this initiative.

The concentration of poverty grants, which support schools with high percentages of low-income students, will also see changes. While fully funded in fiscal 2026, the growth of this program will be paused for two years, saving approximately $70 million in fiscal 2027 and nearly $200 million in fiscal 2028.

The meeting also touched on new programs aimed at attracting teachers to Maryland and additional support for students struggling with reading and mathematics. Most of these initiatives will be included in a separate bill focused on the blueprint for education, while the behavioral health funding will be addressed in the Budget Reconciliation and Financing Act (BRFAA).

In other budgetary matters, state employees are set to receive a 1% cost-of-living adjustment, alongside their usual merit increases, costing $180 million in general funds. However, local governments will face a shift of $144 million in costs previously covered by the state.

The committee discussed the long-term sustainability of the budget, particularly in light of potential federal funding cuts that could impact Maryland's economy and income tax revenues. The risks associated with federal workforce reductions and the suspension of grants to state and local governments were emphasized as significant concerns.

Lastly, the meeting referenced the Child Victims Act passed in 2023, which allows victims of abuse while in state custody to file claims against the state, with no statute of limitations. Approximately 35,100 individuals have come forward, primarily from juvenile services facilities dating back to the 1960s.

The discussions from this session underscore the complexities and challenges facing Maryland's education funding and broader fiscal health as the state navigates significant budgetary changes.