Board of Public Works

Martin O'Malley

BALTIMORE -- If November's slots referendum doesn't pass, the remaining option is more cuts, according to Gov. Martin O'Malley (D-Baltimore).
 
"I don't think there is any political will for going back to revenues, because we've already looked at that," O'Malley told PolitickerMD.com at the state Democratic Party's One Week to Victory 2008 Gala on Monday.

The Board of Public Works approved over $345 million in additional budget cuts at Wednesday's meeting, according to the governor's office.

The reductions, which impact the fiscal year 2009 state budget, included over $297 million in general funds and $50 million in special and federal funds.

The announcement comes after Gov. Martin O'Malley (D-Baltimore) began asking state agencies to identify cuts of up to 5 percent. The Board of Public Works also approved the elimination of 880 state positions, 830 of which were vacant.

"The cuts we are making today are not easy," O'Malley said in a statement.

The Frederick County Commission is set to consider a hiring freeze next week to combat the county's $7 million budget shortfall, according to The Frederick News-Post.

The freeze is set to be discussed at a budget presentation on Tuesday and is expected to save the county $3 million. The county currently has approximately 118 vacant positions and commissioners are expected to target non-essential services, reports the News-Post.

Comptroller Peter Franchot (D-Takoma Park) says he'll support Gov. Martin O'Malley's (D-Baltimore) proposed budget cuts at tomorrow's Board of Public Works meeting, but insists he still differs with the governor on November's slots referendum.

"At this point, it is clear we are in the midst of the most serious economic situation we have seen since the Great Depression, and we have no choice but to tighten our belts and reign in State spending," Franchot said in a statement.

O'Malley will be proposing roughly $400 million worth of budget cuts at tomorrow's Board of Public works meeting, according to Shaun Adamec, a press secretary for O'Malley. Adamec says the governor has still not ruled out a furlough program since the state's deficit directly relates to the national economy.

Facing a looming budget shortfall, Gov. Martin O'Malley (D-Baltimore) announced he would be considering steeper cuts to funding for health care and education and is considering a furlough program, according to The Baltimore Sun.

Last month, the Board of Revenue Estimates reported the state's general fund revenues were at roughly $14 billion - $432 million less than original estimates.

To combat the deficit, O'Malley announced he would be asking state agencies to identify cuts of up to five percent in the current year's budget. The governor plans to present these cuts to the Board of Public Works on October 15. 

O'Malley said the nation's economic outlook and the result of November's slots referendum would influence the decision to make more cuts.

The Maryland Republican party says the state government doesn't have revenue problem, rather, it has a spending problem.

"The advertising from advocates of the slots constitutional amendment claims that the only solution to the projected deficit is to raise taxes or pass the referendum, I want to make it perfectly clear that the MDGOP is firmly opposed to raising taxes," said MDGOP chair Jim Pelura in a statement.

Pelura suggested that with a careful evaluation, spending could be brought under control.

Gov. Martin O'Malley (D-Baltimore) is expected to propose millions of dollars worth of additional cuts to the state budget in the coming weeks.

O'Malley is asking state agencies to identify cuts of up to 5 percent in the current year's budget, which he can propose at the next Board of Public Works meeting.