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Senate Budget and Taxation Committee approves budget, BRFAA and subcommittee reports as amended

Senate Budget and Taxation Committee · March 14, 2026

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Summary

The committee approved the fiscal package, adopting subcommittee reports and BRFAA (Budget Reconciliation and Financing Act) changes, including transfers and mandate adjustments across multiple programs. Members also approved an amendment to Senate Bill 4 shielding a first violation from penalty.

The Senate Budget and Taxation Committee approved the budget and related BRFAA actions as amended after a two-hour full-committee session that included adoption of multiple subcommittee reports and line-item adjustments.

Chair opened the meeting by presenting an amendment to Senate Bill 4 (the Kagan bill), explaining that "the first violation is not subject to the penalty" to avoid penalizing volunteer treasurers who may need time to learn reporting requirements. The amendment was moved, seconded and approved by voice vote.

Committee members then received and approved subcommittee reports from EVA, Public Safety, Health & Human Services and the PAYGO capital budget subgroup. Subcommittee actions included narrative and reporting requirements for agencies (for example, requests to the Maryland Zoo and the Maryland Center for School Safety), targeted fund reductions and restrictions pending agency reports, and restored or reallocated funding in some cases.

During discussion of BRFAA and BURFA packages, staff described multiple mandate reductions and changes in allowable uses for dedicated funds. The committee adopted or modified several proposals affecting areas including higher education funding formulas, community college growth caps, transfers from dedicated-purpose accounts, and transfers to the general fund. Notable fiscal actions included a $70 million transfer from the Bay Restoration Fund to the general fund in fiscal 2027 (to be replaced with general obligation bonds) and adoption of pages that modified the uses of alternative compliance payment funds for energy and housing programs.

A focused debate addressed cost-containment measures for the Developmental Disabilities Administration (DDA). The chair described the package as a complex compromise, saying the committee used "a belt" of cost containment measures to approach a $150 million target and that the plan brought in about $23 million in new general funds to help close the gap.

The committee adopted numerous technical and annual recommendations on a consent calendar, handled disputed items individually, and moved several pages from additional packet packages into the budget bill as amended. After the final votes, the chair said the committee had completed the work and would proceed to remaining capital budget items on the floor.

Votes at a glance - Senate Bill 4 amendment (first-offense penalty exception): adopted (voice vote; no roll call recorded) (see SEG 001–036) - EVA subcommittee report: adopted as amended (see SEG 055–207) - Public Safety subcommittee report: adopted as amended (see SEG 209–416) - Health & Human Services subcommittee report: adopted as amended (see SEG 426–651) - PAYGO capital budget report: adopted (see SEG 661–691) - BRFAA (budget reconciliation and related packages): approved as amended (see SEG 1028–1616; final vote SEG 2044–2066)

The committee concluded with thanks to staff and administration and announced it would return to capital-budget work; no floor votes were recorded in the transcript excerpt provided.