Question(s):
1-What key aspects associated with the budget environment are highlighting in this budget message that helps to illustrate the fiscal health of the state of Maryland at that time?
2-Identify at least four areas of public policy that are highlighted in the budget message delivered by Governor O'Malley. Discuss how comments regarding the Governor's preferences for spending are reflective of the political nature of public budgeting.
3-Can you identify examples in which the Governor's budget message includes arguments that highlights the importance that government funded activities focus on achieving specific values (i.e. efficiency, effectiveness, equity, etc.). Briefly explain your selections. How does this relate to ensuring transparent and accountable government?
with a Governor Martin O'Malley included tuget proposal. State and local jurisdictions occasionally publish their budget messages as separate documents. Exhibit 8-1 2012 Budget Message, State of Maryland January 21, 2011 The Senate of Maryland. The Honorable Thomas V. "Mike" Miller, President The Maryland House of Delegates. The Honorable Michael E. Busch, Speaker The Citizens and Families of Maryland Dear Mr. President, Mr. Speaker, Ladies and Gentlemen of the General Assembly, and Fellow Marylanders: These last four years, in the face of the most serious economic challenges faced by our country in modern times, we've come together as one Maryland to make progress on make progress . our shared goals. In times of adversity, the people of Maryland do not make excuses; we Determined to move forward out of this recession, Maryland businesses chose to expand and create jobs again, and are now doing so at a rate that is twice the national rate of new job creation. Determined to make our children winners in this new economy, together we chose to improve public education with record investments. And alone among the fifty states, we made college more affordable for more families by holding the line against any increase in college tuition for four years in a row. Together we chose to extend affordable healthcare coverage to more families, to improve the health of the Chesapeake Bay, and to invest in job creating innovation, including biotech, renewable energy, research and development. Despite the challenges wrought by the national recession, we remain committed to fiscal responsibility. Maryland remains one of only eight states with a Triple A bond rating certified by all three rating agencies. During the first term of the O'Malley-Brown Administration, the State adopted $5.6 billion of spending reductions and abolished 4,200 positions. And despite fiscal pressures, Maryland has preserved a healthy Rainy Day Fund. Nearly $1 billion in additional spending reductions bring total reductions under the O'Malley-Brown Administration to $6.6 billion. Actions included in the budget improve the outlook for FY 2013 by more than $800 million. The FY 2012 proposed budget balances a $1.4 billion budget shortfall without any new tax increases. We reduce the structural deficit by 37%, reform Maryland's (Continued)256 long-neglected pension system to put it on a path of sustainability and reduce our retiree health liability by almost $7 billion. The FY 2012 budget, while painfully lean, protects our shared priorities and focuses new funding on job creating initiatives throughout Maryland. Progress on one of these fronts requires progress on all. Jobs and Opportunity In this changing new economy we are in a fight for our children's future. Together, we must move forward by creating and saving jobs through innovation, and that includes protecting our best-in-the-nation public school system. We must also be willing to con- tinue making tough choices so that we can protect our shared priorities-priorities that will allow us to make this new economy ours and build a better future for our children. Our FY 2012 budget proposes the creation of Invest Maryland, an initiative to support the growth of the state's knowledge-based industries by stimulating up to $100 million in venture capital funds and creating thousands of jobs. In addition, we include funding for the Small Business Credit Recovery Program, and further investments in job creat- ing industries such as biotechnology, life sciences, renewable energy and research and development. Education For the third straight year, Education Week Magazine ranked Maryland the number one public school system in America. Strong public schools, world-class teachers and princi- pals, and a workforce with the skills they need to compete in the 21st Century is essential if Maryland is to come through this national recession stronger and more quickly than other states. In order to make this new economy ours, we must protect our record invest- ments in public schools and invest in the innovative, knowledge-based economy of today. Together, we've chosen to protect this priority, funding public schools for the second year in a row at a record level of $5.7 billion. A record $4.9 billion in direct education aid will be distributed among Maryland's twenty-four local jurisdictions in order to maintain and build upon the progress we've already made. And as a winner in President Obama's "Race to the Top" competition, this budget proposal prioritizes innovative reform efforts to help boost student achievement, reduce achievement gaps, recruit and retain world-class teachers and students, and turn around struggling schools. Health and Wellness One of our solemn obligations is to protect the people of Maryland, and that means protecting the obligation we have to our most vulnerable citizens. In these tough economic times, the O'Malley-Brown Administration has expanded access to quality, af- fordable health care to 250,000 more Marylanders-half of whom are children; invested in the future of health care delivery; and strengthened the safety net for vulnerable families throughout our State. Together, we've chosen to maintain and improve access to health care for over one million adults and children in our FY 2012 budget. As a result of these efforts, moreBudget Documents 257 than 300,000 more Marylanders-including poor children-will have access to health care in FY 2012 who five years ago did not. Maryland will lead the nation in implementing health care reform by including funding in this budget for new technology to control administrative costs, improvements for the effectiveness and efficiency of health care, funding for better access to care for Mary- land families, and ensuring that patient care is guided by the best information available at the bedside or in the operating room. Public Safety Even in tough times, we've protected our investments in public safety, maintaining our commitment to protecting Maryland neighborhoods and families. Thanks to these ef- forts, together, we've driven violent crime, property crime, and total crime to the lowest rates ever recorded. Our FY 2012 budget proposal maintains our shared commitment to protecting our law enforcement, including those who work in Maryland's correctional facilities, while investing in advances in law enforcement technology to further support effective com- munication and information-sharing. In our continued effort to make Maryland the national leader in homeland security preparedness, our budget proposal supports our state's abilities to respond to natural disasters, terrorist activities, pandemics, and other large-scale emergencies. Environmental Protection Together, we continue to seek a cleaner, greener, more sustainable future for the people of Maryland committed to the restoration of the Chesapeake Bay, protection of open space, preservation of our agricultural heritage, revitalization of our communities, and enhancement of our mass transit systems. Our budget proposal increases funding for the Chesapeake Bay Trust Fund by 25%, and provides additional funding for the successful cover crop program, which experienced record levels of participation last year. With this budget proposal, we begin a conversation that will help protect these shared priorities, reform our pension system, and make the necessary choices for better times, better opportunities, and a better future for our children. And we do so as we reaffirm the truth that we are one Maryland, united by our belief in the dignity of every individual, and united by our belief in our own responsibility to advance the greater good. Sincerely, Martin O'Malley, Governor Source: Reprinted from State of Maryland (2012). Budget Highlights: Fiscal Year 2012 (January 21). Annapolis, MD: Office of Management and Budget
