Baltimore budget office reports $46 million FY24 surplus, warns of $14.4 million FY25 shortfall and recommends $51.2 million in closeout supplements

Baltimore27s budget director told the City Council Budget and Appropriations Committee that the city closed fiscal 2024 with an approximately $46 million general‑fund surplus but is projecting a $14.4 million deficit in the first quarter of fiscal 2025 and is recommending a $51.2 million package of supplemental appropriations to cover agencies that ended last year in deficit.

"Today we are going to provide just a final update of the preliminary year end position for fiscal 24 as well as our first quarter projections for fiscal 25," City Budget Director Laura Larson said at the committee hearing. Larson said year‑end revenue strength — including higher property collections, a larger final income tax disbursement from the state and elevated interest earnings — produced a $77 million revenue surplus that helped offset about $30.9 million in agency expenditure deficits.

Why it matters: The city27s closeout position affects how councilors and the administration manage one‑time fund balance uses, allocate capital contributions and craft the coming fiscal 2026 outlook amid state budget pressure.

Larson told the committee the city27s previously reported $58.3 million projected surplus for FY24 narrowed during closeout activity to about $46 million because of late water billing entries from the Department of Public Works that added roughly $12.2 million in charges…