[{"_1":2,"_111":-5,"_112":-5},"loaderData",{"_3":4,"_26":27},"root",{"_5":6,"_17":10,"_18":19,"_20":21,"_22":10,"_23":-5,"_24":-5,"_25":10},"user",{"_7":8,"_9":10,"_11":10,"_12":-5,"_13":-5,"_14":15,"_16":-5},"roles",[],"isAuthenticated",false,"isPremium","planName","subscriptionStatus","featureFlags",{},"insightsBudget","isDevelopmentHost","userPreferences",{},"recaptchaSiteKey","6LcvOJcUAAAAAHsB-gPGfGktcRlKpH7OTIU_dMTD","isImpersonating","impersonation","affiliateStatus","isFreedomPortal","routes/v2/article/layout",{"_28":29,"_30":31},"notFound",true,"relatedArticles",[32,76,88,100],{"_33":34,"_35":36,"_37":38,"_39":40,"_41":42,"_43":44,"_45":46,"_47":48,"_49":50,"_51":52,"_53":54,"_55":56,"_57":58,"_59":60,"_61":62,"_63":64,"_65":66,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},"mediaId",6361094,"mediaKeyId","2171153-c9836946bc4ebb82f96e19cfb744f705","parentId",2171153,"title","Transportation: proposed retail delivery fee, vehicle tax changes and new TTF revenues to boost MTA but leave some road needs unfunded","audioSeconds",459,"startMs",1435000,"endMs",1894000,"viewUrl","/Search/View?dp=1&key=2171153-c9836946bc4ebb82f96e19cfb744f705&start=1435&end=1894","thumbnailUrl","https://assets.pipeline.soar.com/2171153-c9836946bc4ebb82f96e19cfb744f705/thumbnail_1435000.jpg","articleUrl","/articles/6361094/Maryland/Transportation-proposed-retail-delivery-fee-vehicle-tax-changes-and-new-TTF-revenues-to-boost-MTA-but-leave-some-road-needs-unfunded","mediaUrl","https://secure.pipeline.soar.com/6361094-a204c3e712cb4a0b0a9bb7e35c6006d7/orig.mp4?Expires=1771142866&Signature=L4HV1JF3sfOylGlG4SiH8wf67sKpzWOuDdcP-xXd~Ky8eaxN5t347vVmMFITG6iec9k8iiVjmty1OLsgN344QlOQUPEAn~wo~ln9wTmBiObsD5Q1CGVkiiESU-i8tEmu4pKSpuDCPs76oEwFwi2g8IeAuu~mKpRTF3PiYrs5mzeJWzm2V1RDI~q-~mNqcwhptTqm-STJRuVNNlK~Om~59DY7z1eBA7SDDNkWpXVDKuODnFGJ-bgGRJEZ0MiliHoKrc5M87MnOPG0~dh51YH7qn9EKLTyBKMbkup-vmt9HTQ02Z4xin3DCRtDYLw0AT0CYkvURnupkWqxMQZEfoZXPA__&Key-Pair-Id=KUT5TJCACFTXG","author","Maryland General Assembly - Environment and Transportation","date","2025-01-30T00:00:00Z","article","Steve McCullough, transportation lead at the Department of Legislative Services, presented the transportation section of the governor's fiscal plan and the consolidated transportation program to the House Environment and Transportation Committee on Jan. 30.

McCullough said the largest single new transportation revenue in the proposal is a 75¢ retail delivery fee on taxable deliveries that the administration projects will generate about $225 million per year. Other proposed changes include modifying the vehicle trade‑in allowance (expected to raise about $140 million annually in the DLS presentation), accelerating a scheduled motor vehicle registration fee phase‑in (bringing $50 million into 2026), and increasing VEEP fees. The administration also proposes allowing the Motor Vehicle Administration to increase certain fees through the regulatory process to capture at least 115 percent of eligible costs.

McCullough reported that the new and previously enacted transportation revenues together total about $3.99 billion over a six‑year forecast period, and that roughly half of the new revenue is expected to cover increased operating spending with the remainder supporting capital programs. He said general fund transfers account for part of the special‑fund increases (DLS lists about $593 million of general fund transfers to the transportation trust fund in the current forecast) and that the forecast includes a proposal to use GARVEE revenue bonds for up to $248 million through 2030 for eligible projects.

On impacts to project modes, McCullough said the Maryland Transit Administration (MTA) shows the largest increase in capital funding in the current consolidated transportation program—nearly $1.0 billion compared with the previous forecast—driven in part by federal vehicle replacement grants and the need to upgrade stations, signaling and related infrastructure to make vehicle replacements effective. He said state highway capital funding shows a decrease of about $575 million compared with last year's forecast, although state highway remains the largest mode by funding.

Committee members asked about implementation details for the electric‑vehicle (EV) add‑on registration fee enacted last year. McCullough said the MVA delayed the effective date on purpose to allow programming changes; he said the department expects to collect the fee in 2026. In response to a question about household delivery orders that mix taxable and nontaxable goods, McCullough explained the delivery fee would apply to an order if it contains any item subject to state sales tax.

McCullough also noted the consolidated transportation program shows higher operating spending in the forecast (about $2.0 billion in increased operating spending over six years), leaving about $1.2 billion available for capital program increases in the six‑year window. He concluded his presentation and answered committee questions about the forecast, the state of good repair inventories and the use of federal grants.","mediaType","Video","parentTitle","ENT Committee Session, 1/30/2025 #1","oneSentenceSummary","Steve McCullough of the Department of Legislative Services told the committee that the governor's transportation proposals include a 75¢ retail delivery fee projected to raise about $225 million annually, changes to vehicle tax allowances and other fees that together add nearly $4.0 billion over six years.","taxTitle","Environment and Transportation Committee, HOUSE OF REPRESENTATIVES, Committees, Legislative, Maryland","taxId",15060,"location","Maryland","headline","","shortSummary",{"_33":77,"_35":36,"_37":38,"_39":78,"_41":79,"_43":80,"_45":81,"_47":82,"_49":83,"_51":84,"_53":85,"_55":56,"_57":58,"_59":86,"_61":62,"_63":64,"_65":87,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6361099,"Budget briefing: governor seeks pauses and caps in Blueprint rollout and shifts $144 million in costs to local governments",388,1023000,1411000,"/Search/View?dp=1&key=2171153-c9836946bc4ebb82f96e19cfb744f705&start=1023&end=1411","https://assets.pipeline.soar.com/2171153-c9836946bc4ebb82f96e19cfb744f705/thumbnail_1023000.jpg","/articles/6361099/Maryland/Budget-briefing-governor-seeks-pauses-and-caps-in-Blueprint-rollout-and-shifts-144-million-in-costs-to-local-governments","https://secure.pipeline.soar.com/6361099-7576fe1e7a8311c5017ba57b758ca787/orig.mp4?Expires=1771142866&Signature=WCT-hvQX5EaO1DX5ayUF5KuYwgmKfzIxGopOecBUff3k48wvIgyEQldx6n6HFCibsrRU60QvUyz0km-iLGhGye~7BuOOy58N7L22-uhDI0XtGUCzkAfcx7UeK-DUaE-T7LXi4tXxU2ofrYP1RVxmvqd-a65qBw0KWMhT9NECKhbj9~BOivWAm9xiNsmdfqHaoTixk5e1o~skA99X53xYLndQigvMyqhuGlH0iMeBOaEgjfZcbUKw5rsxyW4Yiny-P8qSUq9-gqljjdof1UbA0lQ5A-PjLI7xv8skzs2wdCDOpA5Kgfb55hbgRD86AAjuMZJDw5d7V-vjyrprGpiAww__&Key-Pair-Id=KUT5TJCACFTXG","Dave Romans, Department of Legislative Services staff, told the House Environment and Transportation Committee that the governor's FY26 proposal reduces or delays several education and child‑care commitments under current law to achieve budget savings.

Romans said the administration proposes holding the behavioral health portion of the Blueprint at $40 million annually rather than the $130 million mandated in statute. He also described a delay in the planned expansion of teacher collaborative time (the proposal would hold the rollout until 2030), a move Romans said would save roughly $124 million in fiscal 2026 and larger sums in later years. The governor would fund the concentration‑of‑poverty portion of the Blueprint at current fiscal 2026 levels but pause growth in fiscal 2027 and 2028, which DLS projects would save about $70 million in fiscal 2027 and nearly $200 million in fiscal 2028.

On local cost shifts, Romans and legislators discussed a proposal to share growth in the unfunded liability for teacher retirement with local governments. Romans said the state would pick up $93 million and locals would be asked to pick up $93 million, creating an ongoing $93 million local cost shift tied to teacher retirement. When Delegate Jacobs asked for confirmation, Romans replied, \"It's 93 that's shifting from the state to the counties, yep.\" The $93 million is the largest component of a roughly $144 million package of costs Romans said would fall to counties and local governments under the governor's plan; other elements include an increased share of Department of Assessments and Taxation costs (from 50 percent of that function to 90 percent borne by counties) and changes in nonpublic special education placements.

Romans also described a proposed cap on the childcare scholarship program at about 42,000 children in fiscal 2026; the program had grown from about 23,000 children in fiscal 2023 to roughly 42,000 currently, and the forecast had projected growth above 50,000 without the cap.

Committee members asked how the changes would be allocated at the county level; Romans pointed members to county‑by‑county impacts in the DLS packet (page 60) and noted that some costs fall to local governments rather than local education agencies. No formal legislative action occurred at the briefing; the presentation was framed as background for members who will consider bills and amendments this session.","DLS told the committee the governor's budget would cap childcare enrollment, delay parts of the Blueprint for Maryland's Future, and permanently shift roughly $93 million in teacher‑retirement costs plus other items to local governments, totaling about $144 million in new local responsibilities.",{"_33":89,"_35":36,"_37":38,"_39":90,"_41":91,"_43":92,"_45":93,"_47":94,"_49":95,"_51":96,"_53":97,"_55":56,"_57":58,"_59":98,"_61":62,"_63":64,"_65":99,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6361104,"Governor's income tax overhaul would raise top rates, double standard deduction and add 1% capital‑gains surcharge for four years",399,661000,1060000,"/Search/View?dp=1&key=2171153-c9836946bc4ebb82f96e19cfb744f705&start=661&end=1060","https://assets.pipeline.soar.com/2171153-c9836946bc4ebb82f96e19cfb744f705/thumbnail_661000.jpg","/articles/6361104/Maryland/Governors-income-tax-overhaul-would-raise-top-rates-double-standard-deduction-and-add-1-capitalgains-surcharge-for-four-years","https://secure.pipeline.soar.com/6361104-de45815c73e5ad5c65cc70878038cbef/orig.mp4?Expires=1771142866&Signature=MDSEQ5RZtocbpLp0uODHhssBlzJ1PEVbCBcd9rbq2KN0sRokwG4KHBdB9HlHRrLZwI15UmZav9EEqv3vuaRTBmfo7uclGY86ohIHxuxM4MJt25bVC3q3WPDyQfzFK7gttabQHjkziJkSJ1zXYcntOatdns47f5CMj-uAcdSAQsCXbSl54lpEdHxdpYP4WB69KpJMjWL9atP8cjMJh2MnIplMo7m~yf~mPMGt~udGM81SVXO6bvZL9lCjbG7VNUqBJSeSxVQK~3B-a1IEbwX5Pjcxs5ejlatqR3FVD~JL13N5ALVZCGjECbQf09dYXP7wNhdwspoA8oPBV1GPd-yzUA__&Key-Pair-Id=KUT5TJCACFTXG","Dave Romans, Department of Legislative Services staff, told the House Environment and Transportation Committee that the governor's proposed income tax package includes multiple layered changes that affect different income groups.

Romans said the plan would double Maryland's standard deduction (to $5,600 for single filers and $11,200 for joint filers) and eliminate the option to itemize on state returns. \"You can still itemize in your federal taxes if you so choose,\" Romans said, adding that roughly 23 percent of Maryland taxpayers currently itemize on their federal returns and the change will affect that smaller group on their Maryland liability.

On rates, Romans described modest cuts at many middle brackets (for example, a small reduction around the $3,000–$100,000 range for individual filers) while adding two higher brackets at 6.25 percent and 6.5 percent for high earners (Romans said the 6.25 percent bracket would begin for individual filers at $500,000 and the top bracket at $1 million). On top of those brackets, the governor proposes a 1 percent capital gains surcharge that would apply to filers with overall taxable income of $350,000 or more; Romans said that surcharge would apply to capital gains income and would be in effect for four years.

Romans also described related revenue proposals elsewhere in the governor's package, including a proposed increase in sports‑wagering and table‑game taxes and other fee changes. The administration's overall revenue package is presented in Romans' slides as generating roughly $1.3 billion of revenue adjustments in the BRFAA.

Legislators asked how these changes interact with federal tax law. Romans said the DLS forecast assumes the 2017 Tax Cuts and Jobs Act (TCJA) provisions affecting itemization expire at the end of the calendar year; that assumption lowers the state's revenue baseline by about $300 million annually. Romans said if Congress does not extend federal TCJA provisions, the governor's proposed Maryland changes would effectively produce similar revenue outcomes because all filers would be required to use the higher state standard deduction under the governor's plan.

Committee members asked technical questions about how state subtraction modifications and certain state‑specific deductions would be handled on tax forms; Romans said those subtraction and addition modifications remain part of the state tax base calculation even if the state disallows itemizing on the Maryland return.

No legislation was voted on during the briefing; the presentation provided background for members considering any bill proposals during the session.","Department of Legislative Services outlined the governor's proposed income tax changes: a larger standard deduction, elimination of state itemized deductions, modest rate reductions in middle brackets, two new top brackets, and a 1% capital gains surcharge for high‑income filers for four years.",{"_33":101,"_35":36,"_37":38,"_39":102,"_41":103,"_43":104,"_45":81,"_47":105,"_49":106,"_51":107,"_53":108,"_55":56,"_57":58,"_59":109,"_61":62,"_63":64,"_65":110,"_67":68,"_69":70,"_71":72,"_73":74,"_75":74},6361110,"Maryland fiscal briefing: governor's plan narrows short-term gap but leaves $186 million structural shortfall for FY26",1347,64000,"/Search/View?dp=1&key=2171153-c9836946bc4ebb82f96e19cfb744f705&start=64&end=1411","https://assets.pipeline.soar.com/2171153-c9836946bc4ebb82f96e19cfb744f705/thumbnail_64000.jpg","/articles/6361110/Maryland/Maryland-fiscal-briefing-governors-plan-narrows-short-term-gap-but-leaves-186-million-structural-shortfall-for-FY26","https://secure.pipeline.soar.com/6361110-63775fd1310d8d7bf8c84b6064090b46/orig.mp4?Expires=1771142866&Signature=ishOkmvJxUsTyWbo1loSpLE9KlAQAwVAkK~OdeLWweip5dXnj-iB22dUqqdwswvP0lqQGmBhtSRlq8m735GjaLQSejhazgzHyDC0AgJeytaP0NkLxVdBex-M8sVZEBApZ5ZOfddC0sxXQ6vmSmyXPr~23yEmhd-u06xPuAxsNVUgB6x-h8A~BTrz3vHrgZSWBdRBl0gghUAMKXPcDeMopll99JGjdQ5zQILvP2XNumPRU8lr914gTXLb8bXXYwI~yNdBvZsjAkOxi-5BPBI1D5p4mqlHh8WKaj5Gx3Y7mDF7BadzxFwSPe8j395dJmixNsy4XZlzRcH4Clu5qlmRCg__&Key-Pair-Id=KUT5TJCACFTXG","Dave Romans, Department of Legislative Services staff, told the House Environment and Transportation Committee on Jan. 30 that the governor's proposed FY26 operating budget totals $67.3 billion and narrows a previously forecast shortfall but does not achieve full structural balance in fiscal 2026.

Romans said the governor's package relies heavily on a Budget Reconciliation and Financing Act (BRFAA) that includes roughly $3.0 billion of statutory changes and financing actions. \"The BRFAA is just those things that require a statutory change,\" Romans said during the briefing.

The governor's proposal shows total general fund spending of about $27.0 billion, a decrease of about $274 million (roughly 1 percent) from the current year, according to Romans. The state would end fiscal 2026 with an estimated general fund cash balance of about $106 million and a rainy day fund of roughly $2.0 billion, equal to about 8 percent of general fund revenues. Romans said the plan still leaves an $186 million structural gap in fiscal 2026 that would require additional cuts or revenue actions to close.

Key balancing elements identified by Romans include about $1.3 billion in revenue adjustments, $633 million in transfers to the general fund (the largest single transfer is $230 million from the local income tax reserve fund, repayable over 10 years beginning in fiscal 2029) and about $1.0 billion in spending reductions. Transfers also include $150 million of alternative compliance payments from the Strategic Energy Investment Fund (SEIF) and a proposal to dedicate $180 million of SEIF dollars to a climate pollution plan account.

Spending reductions cited include a smaller deposit to the rainy day fund and policy cuts that affect hospitals and local governments. Romans said the governor proposes an increase in the state's hospital assessment of about $100 million annually. Local governments would see several cost shifts totaling roughly $144 million, the largest of which is a $93 million change related to teacher retirement costs.

Romans highlighted programmatic cuts and caps in social services and education as part of the cost containment plan. Examples he cited: capping the childcare scholarship program at about 42,000 children in fiscal 2026, a $106 million reduction in funding for the University System of Maryland in fiscal 2026 compared with fiscal 2025, and combined current‑year and FY26 reductions to developmental disabilities funding (about $97 million in the current year and $235 million in fiscal 2026).

Romans also flagged litigation and settlement risk tied to the Child Victims Act of 2023. He said about 35,100 people have come forward under the statute and that the attorney general's office is negotiating with plaintiffs; if a settlement is reached and funded in FY26, lawmakers would need to identify funding because there is no dedicated appropriation in the governor's budget for such settlements.

Romans told members the governor's proposal makes substantial progress against the five‑year structural shortfall but that further action will likely be needed in future years as deficits reemerge by fiscal 2028 and grow toward fiscal 2030.

Committee members asked clarifying questions about assumptions in the forecast, transfers, and the potential need for a second phase of budget adjustments in coming years. No formal action was taken during the briefing; the presentation was background for the committee's substantive hearings this session.","Department of Legislative Services staff told the House Environment and Transportation Committee on Jan. 30 that Gov. Hogan's proposed FY26 budget reduces a multi‑billion-dollar forecast shortfall through statutory changes and transfers, but a $186 million structural gap remains for fiscal 2026 and longer-term deficits persist through 2030.","actionData","errors"]

Article not found

Transportation: proposed retail delivery fee, vehicle tax changes and new TTF revenues to boost MTA but leave some road needs unfunded

Budget briefing: governor seeks pauses and caps in Blueprint rollout and shifts $144 million in costs to local governments

Governor's income tax overhaul would raise top rates, double standard deduction and add 1% capital‑gains surcharge for four years

Maryland fiscal briefing: governor's plan narrows short-term gap but leaves $186 million structural shortfall for FY26