December 15th, 2022 by WCBC Radio

In the final meeting for two of its three members, the Maryland Board of Revenue Estimates (BRE) voted today to increase state revenue projections for Fiscal Year 2023 to $23.74 billion, an uptick of $55.8 million that represents less than one-quarter of 1 percent of annual revenues.

The Board, which consists of Comptroller Peter Franchot, Treasurer Dereck Davis and Budget Secretary David Brinkley, also lowered revenue projections for Fiscal Year 2024 to $25.1 billion, a decrease of $166.8 million from the forecast approved in September.

The slight increase for the current fiscal year shows that revenue collections are generally performing as expected since September’s report, which took a more conservative approach. The more substantial reduction for FY 2024 reflects a decrease in capital gains income and unchanged projections in withholding, sales and use, and corporate income taxes, three of the state’s biggest revenue sources.

“It’s a stark reminder that the days of counting on federal stimulus money have come and gone; an economic slowdown is here,” said Franchot, after the official forecast was presented by Bureau of Revenue Estimates Director Robert Rehrmann.

In his last BRE meeting before leaving office next month, the Comptroller urged political leaders to be fiscally prudent with the expectation that tough times lie ahead and to let history be a guide for navigating turbulent periods.

“Our fiscal and economic policies must be consistently focused on supporting working families, low-income residents and small businesses,” said Franchot, who has served 16 years as Comptroller after being in the House of Delegates for 20 years.

It also marked the final meeting for Brinkley, who served as the state’s budget chief for the entirety of Gov. Larry Hogan’s two terms.